HomeMy WebLinkAboutCity Council Committees - Operations - 11/03/2009 W ns.N INOTev '..
OPERATIONS COMMITTEE MINUTES
NOVEMBER 3, 2009
Committee Members Present.: Debbie Raplee, Tim Clark, and Les Thomas
The meeting was called to order by Tim Clark at 4:07 p.m.
Walk On Item: City Attorney Tom Brubaker presented an add on item which Clark
abeled as Item 4k4 and moved the Budget Financial Summary to Item #5.
1. APPROVAL OF MINUTES DATED OCTOBER 20 2009
Thomas moved to approve the minutes of the October 20, 2009 Operations
Committee meeting. Raplee seconded the motion, which passed 3-0.
2. APPROVAL OF VOUCHERS 'DATED OCTOBER 31�2009
Finance Director Bob Nachlinger presented the vouchers for October 31, 2009.
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Raplee moved to approve the vouchers dated October 31, 2009, Thomas
seconded the motion, which passed 3-0.
3. MOVE TO RECOMMEND COUNCIL ADOPT THE PROPOSED ORDINANCE
WHICH AMENDS CHAPTER 3.70 OF THE KENT CITY CODE TO ADD A NEW
SECTION 3.70.045 ESTABLISHING A PROCUREMENT PREFERENCE FOR
PURCHASING FROM OR CONTRACTING WITH LOCAL KENT BUSINESSES.
City Attorney Tom Brubaker reported that Council Members Ron Harmon and
Jamie Danielson requested the Law Department prepare a draft ordinance that
encourages a "best efforts" approach to purchase from or contract with local Kent
businesses. This local business preference, however, will not prohibit City staff
from comparing the quality or fitness for use of supplies, materials, equipment, or
services when selecting the best vendor, whether within or outside of Kent.
Whenever any City staff member decides to procure goods or services from a
business outside of Kent, if a local business is also under consideration, the
manager in charge of making that procurement shall provide an explanation in a
suitable format, electronic or otherwise, that will be retained in a central
repository in the City. Brubaker noted that exempt from the provisions of this
ordinance are goods or services procured under a cooperative purchase
agreement or an interlocal agreement, contracts for professional or technical
service consultants as referenced under KCC 3.70.060, contracts entered into
under emergency situations, and contracts funded by a separate governmental
entity whose laws, regulations, or policies prohibit application of this local
business preference. Brubaker added that the Kent Chamber of Commerce
wanted to put a floor on this to make it apply only to purchases over $250. If the
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Operations Committee Minutes
November 3, 2009
Page: 2
Committee amends the motion he will go back and incorporate that into the order
so it is clear. Council member Raplee noted that this has to do with keeping the
written record, don't have to track items under that $250 limit. The Committee
raised questions which Brubaker responded to.
Thomas moved to recommend Council adopt the proposed ordinance which
amends chapter 3.70 of the Kent City Code to add a new section 3.70.045
establishing a procurement preference for purchasing from or contracting
with local Kent businesses with the modification that it applies only to
contracts exceeding $250 or more. Raplee seconded the motion, which
passed 3-0.
4. RESOUTION REQUESTING STATE ACTION TO EXYABtIS i JOIN'Y'
UNDERWRITING ASSOCIATION REGARDING BUSINESS FLOOD
INSURANCE.
City Attorney Tom Brubaker Some public comments and media coverage regarding
the flooding potential attributable to the condition of the. Howard Hanson dam have
let to the assumption that winter flooding is inevitable rather than a potential risk.
As a result, the insurance market has been inundated with coverage requests, and
the market has dried up. The scarcity of any supplemental insurance is a particular
hardship for hundreds if not thousands of Green River Valley businesses, given
national flood insurance limits of $500,000 for a building and $500,000 for its
contents, which is grossly inadequate for commercial, distribution, and
warehousing firms that depend on the operation of tens of hundreds of millions of
dollars' worth of equipment. This leaves many businesses either unable to insure
their operations, subject to dramatically increased costs, or both. Additionally,
these insurance concerns have some businesses worried about staying in the Green
River Valley, or electing not to locate their operations in what has traditionally be a
very business-conducive, business-friendly place to operate. Brubaker advised that
the Washington State Legislature has the ability to establish a "Joint Underwriting
Association" that can assure the creation of a supplemental insurance market, and
which has proven to work in other areas in prior years. The lead time it takes to
establish a Joint Underwriting Association, to take administrative steps to form it,
and to have insurance available to Green River Valley area businesses can be
extensive. Therefore, City staff recommends council adopt a resolution urging the
Washington State Legislature to take immediate action to establish a Joint
Underwriting Association. This item is presented to the Operations Committee as
an information item only. This resolution will subsequently proceed to the
Operations Committee and the full City Council for action on November 17, 2009.
Council member Thomas had questions regarding the origination of the resolution
which Mayor Cooke responded to. The Committee raised further questions Which
Brubaker responded to. The Committee agreed to approve this resolution today
and put under other business at the next Council meeting on November 17, 2009.
Raplee moved to recommend Council adopt the proposed resolution
requesting the Legislature establish a Joint Underwriting Association to
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Operations Committee Minutes
November 3, 2009
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make supplemental flood insurance available to Green River Valley
businesses. Thomas seconded the motion, which passed 3-0.
This will go under Other Business at the next Council meeting.
5. MONTHLY BUDGET SUMMARY (Informational Only)
Finance Director Bob Nachlirger provided a brief overview of the Monthly Budget
Summary. Nachlirger referred to the chart on page 18, which shows that the
actual sales tax collections for the month of July, which were received in
September, went up. Nachlinger further noted that expenditures for the month
Werct substantially underbudc,et for thn month. Also, should b( colleciin(i mart,
than $10 million w property tax in OcLo[wr and unother $3 million In November
to complete out property tax collection. Still anticipating a healthy ending fund
balance in the General Fund. I
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e meeting ad'ourne�a 4:31 p.m.
'PST
Nancy Chat/y
Operatio s Cormitte Secretary
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