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HomeMy WebLinkAboutFinance April 8 20081 WHATCOM COUNTY COUNCIL 2 Finance and Administrative Services Committee 3 4 April 8, 2008 5 6 Committee Chair L. Ward Nelson called the meeting to order at 11:00 a.m. in the 7 Council Chambers, 311 Grand Avenue, Bellingham, Washington. 8 9 Present: Absent: 10 Sam Crawford None 11 Bob Kelly 12 13 Also Present: 14 Laurie Caskey- Schreiber 15 Seth Fleetwood 16 17 18 COMMITTEE DISCUSSION AND RECOMMENDATION TO COUNCIL 19 20 1. RESOLUTION UPDATING THE 2006 AMENDED APPENDIX OF THE 2002 21 WHATCOM COUNTY COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY 22 (CEDS) (AB2008 -099) 23 24 This item is withdrawn from the agenda. 25 26 27 COUNCIL "CONSENT AGENDA" ITEM 28 29 1. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO ENTER INTO A 30 CONTRACT BETWEEN WHATCOM COUNTY AND BENNETT ENGINEERING, LLC 31 FOR ON -CALL ENVIRONMENTAL CONSULTING SERVICES IN THE AMOUNT OF 32 $21,200 (AB2008 -157) 33 34 Crawford moved to recommend approval to the full Council. 35 36 Notion carried unanimously. 37 38 2. RESOLUTION ORDERING THE CANCELLATION OF CHECKS MORE THAN TWO 39 YEARS OLD (AB2008 -158) 40 41 Nelson moved to recommend approval to the full Council. 42 43 Notion carried unanimously. 44 ' 45 3. REQUEST COUNCIL RATIFICATION OF THE 2008 -2012 WSNA COLLECTIVE 46 BARGAINING AGREEMENT (AB2008 -121A) 47 48 Crawford moved to recommend approval to the full Council. 49 50 Notion carried unanimously. 51 52 4. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO AWARD BID #08 -18 53 TO LOW BIDDER WESTERN REFINERY SERVICES, INC. FOR STREET Finance and Administrative Services Committee, 4/8/2008, Page 1 SWEEPING AND CLEANING SERVICES IN THE AMOUNT OF $470,998 (AB2008 -159) Kelly moved to recommend approval to the full Council. Crawford stated he thought they couldn't contract this because it requires special equipment. He asked if it includes special equipment for the watershed. Mary Green, Public Works Department, stated they've contracted this service for the last three years, and they are purchasing a regenerative air sweeper. The County also has a sweeper. The Council and administration asked the staff to contract out the service for the watershed. Also, the County sweeper can't keep up with the amount of work in the watershed. Nelson stated they would have had to buy a new sweeper for the watershed, but they contracted the service instead. Caskey- Schreiber asked the cost. Green stated they are a couple hundred thousand dollars. They're very high maintenance. The sweeper they have is four or five years old. Crawford stated he thought they purchased it for the watershed. Frank Abart, Public Works Department Director, stated the staff discussed recently buying equipment and doing the service in- house. Now, it's contracted specifically to meet the watershed needs. Motion carried unanimously. S. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO AUTHORIZE USE OF THE WASHINGTON STATE CONTRACT TO PURCHASE REPLACEMENT COMPUTER EQUIPMENT IN THE AMOUNT OF $62,611.57 (AB2008 -160) Crawford moved to recommend approval to the full Council. Motion carried unanimously. 6. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO AWARD BID #08 -24 FOR ON CALL CONTRACTORS/ EQUIPMENT FOR PROJECTS FOR THE PUBLIC WORKS DEPARTMENT IN AN AMOUNT THAT MAY EXCEED $35,000 (AB2008- 161) Kelly moved to recommend approval to the full Council. Nelson asked how this is used and the Council's role in looking at these projects. Paula Cooper, Public Works Department, stated they use it for most projects. Nelson stated this is Councilmember Brenner's concern. She's concerned that they contract for certain resources but it would be cheaper from someone else. Cooper stated they contract with all responders. When the County needs a specific project, it goes to the lowest responder. If the lowest responder isn't available, they go to the next lowest responder. Finance and Administrative Services Committee, 4/8/2.008, Page 2 1 Nelson asked if a single contract for more than $35,000 would come back to the 2 Council. Cooper stated it would not. They do spend more than $35,000 with an individual 3 contractor. They don't go out to bid for a lot of the river projects because they're hard to 4 bid, the County will pay a lot more, and the projects will change. 5 6 Nelson stated submit a report to the Councilmembers on contracts that have been 7 submitted and approved. 8 9 Crawford stated that any councilmember who is confirmed can go sit with Public 10 Works Department staff and just talk with them. 11 12 The Committee concurred. 13 14 Nelson stated that this committee has no concern about these contracts and how 15 they are administered. If any councilmember does have a concern, he or she may share 16 that concern with the administration directly. 17 18 Motion carried unanimously. 19 20 7. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO AWARD BID #08 -25 21 FOR ON CALL RENTAL EQUIPMENT FOR THE PUBLIC WORKS DEPARTMENT 22 IN AN AMOUNT THAT MAY EXCEED $35,000 (AB2008 -162) 23 24 Crawford moved to recommend approval to the full Council. 25 26 Nelson asked about contractors with unresponsive bids. 27 28 Frank Abart, Public Works Director, stated that if an on -call contractor isn't available, 29 they can evaluate whether there is an emergency and they need equipment. 30 31 Dewey Desler, Deputy Administrator, stated the Executive can amend the purchasing 32 requirements during an emergency, and report to the Council within three days. It is an 33 immediate negotiation. 34 35 Paula Cooper, Public Works Department, stated they do use the on -call list if people 36 are available. 37 38 Motion carried unanimously. 39 40 8. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO ENTER INTO AN 41 AGREEMENT BETWEEN WHATCOM COUNTY AND STEWART +KING 42 ARCHITECTS, INC. FOR MASTER PLANNING AT SMITH AND NORTHWEST 43 ROADS, PHASE I IN THE AMOUNT OF $285,970.08 (AB2008 -163) 44 45 Nelson moved to recommend approval to the full Council. Councilmember Brenner 46 is concerned about preservation of old buildings. He is more concerned about the health 47 and safety of the public. Also, get rid of structures that have been a detriment to the 48 County's Capital Facilities Plan for many years. 49 50 Fleetwood asked about the master plan. 51 52 Dewey Desler, Deputy Administrator, stated there are about 170 acres at the corner 53 of Smith Road and Northwest Road. They want to go through a master planning process. Finance and Administrative Services Committee, 4/8/2008, Page 3 1 They want a long -term facility to be used by the Public Works Department and Planning and 2 Development Services Department. 3 4 Fleetwood asked if this ties into the master facilities planning process. He asked if 5 they assume that the main planning and public works hub will be at this location. Desler 6 stated that is the direction they've been moving. Those are the only services that serve just 7 the unincorporated areas of the county. It's better to leave those services at that location 8 rather than bring them downtown, for several reasons. The administration wants to go 9 through this master planning process, and then come to the Council with a set of 10 recommendations. 11 12 Caskey- Schreiber stated it was more than four years ago when the Council 13 addressed the issue of site location for capital facilities master planning. The Council and 14 administration may want to have an update on that issue. 15 16 Crawford asked how this ties in with the process that HDR was involved in several 17 years ago. Desler stated that process was suspended about two - thirds of the way through 18 because they couldn't agree on whether they should consolidate or decentralize operations. 19 The plan now is that major criminal justice facilities will be at the courthouse location. The 20 main jail and Sheriff's Office will be at another location. The natural resource divisions will 21 be at a third location. 22 23 Caskey- Schreiber stated the Council allocated $500,000 and never got a 24 presentation on the results. Desler stated the administration didn't spend all that money. 25 It suspended the project. The County did receive analysis of projected space needs, which 26 it still uses today. 27 28 Motion carried unanimously. 29 30 9. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO ENTER INTO A GRANT 31 BETWEEN WHATCOM COUNTY AND THE DEPARTMENT OF ECOLOGY FOR 32 CONTINUATION OF HYDRAULIC ANALYSES OF PROJECTS RECOMMENDED IN 33 THE LOWER NOOKSACK RIVER COMPREHENSIVE FLOOD HAZARD 34 MANAGEMENT PLAN IN THE AMOUNT OF $133,334 (AB2008 -164) 35 36 Crawford moved to recommend approval to the full Council. 37 38 Motion carried unanimously. 39 40 10. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO ENTER INTO A 41 CONTRACT BETWEEN WHATCOM COUNTY AND NORTHWEST ECOLOGICAL 42 SERVICES, LLC FOR THE PRELIMINARY DESIGN AND PERMITTING OF THE 43 CHUCKANUT VILLAGE MARSH RESTORATION IN THE AMOUNT OF 44 $18,365.50 (AB2008 -165) 45 46 Nelson moved to recommend approval to the full Council. 47 48 Crawford asked the location. 49 50 Atina Casas, Public Works Department, submitted a photo (on file) and indicated the 51 location on an aerial photo. They will assess what exists now and see about pulling the road 52 back, putting in a culvert, and creating an open channel. They will reconnect the hydrologic 53 element between the wetland and bay. Chuckanut Creek is nearby. It's a salmonid bearing Finance and Administrative Services Committee, 4/8/2008, Page 4 1 stream, so there is an opportunity to potentially have a rearing area for juvenile salmonids 2 that are out - migrating. 3 4 Nelson asked if they know the salmonid will use it. 5 6 Kelly stated they will, if it's opened up. 7 8 Casas stated they will find out through this study. It's a partnership with the City. 9 The City has funds to continue this project. 10 11 Crawford asked if it went out to bid. Casas stated it did. 12 13 Crawford asked if the contractor is familiar with the location. Casas stated it does. 14 15 Motion carried unanimously. 16 17 Crawford asked about another project, Cliffside. Casas stated it is moving forward. 18 The State Department of Ecology is working on it. The Marine Resources Committee and 19 State Department of Natural Resources has money to contribute. The money is to remove 20 the material, monitor, and do public outreach. 21 22 11. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO ENTER INTO A 23 CONTRACT BETWEEN WHATCOM COUNTY AND ASPECT CONSULTING, LLC 24 FOR THE PREPARATION OF A TECHNICAL REPORT THAT WILL SUPPORT THE 25 WATER QUALITY/ QUANTITY AND STORMWATER COMPONENTS OF THE 26 FOOTHILLS SUBAREA PLAN SEIS IN THE AMOUNT OF $27,830 (AB2008 -166) 27 28 Kelly moved to recommend approval to the full Council. 29 30 Motion carried unanimously. 31 32 12. REQUEST APPROVAL FOR THE COUNTY EXECUTIVE TO ENTER INTO A JOINT 33 OPERATING AGREEMENT BETWEEN WHATCOM COUNTY AND THE 34 INTERFAITH COMMUNITY HEALTH CENTER TO FORMALIZE A PARTNERSHIP 35 FOR THE PURPOSE OF OFFERING HEALTH AND SOCIAL SERVICES TO LOW 36 INCOME AND UNINSURED RESIDENTS AT THE FUTURE EAST WHATCOM 37 REGIONAL RESOURCE CENTER (AB2008 -167) 38 39 Nelson moved to recommend approval to the full Council. 40 41 Caskey- Schreiber asked the status of developing the center. 42 43 Dewey Desler, Deputy Administrator, stated things are going well. They are moving 44 ahead with architectural work and other things. They are working on water and sewer 45 connections. They will ask for about $3 million from the State legislature. The Council will 46 have to help to get that funding. They are initially spending money from the Economic 47 Development Investment (EDI) fund to pay for this work. The administration would like to 48 be done at the end of 2009 or in early 2010 to open. There are contracts to occupy the 49 space with Head Start and Interfaith for a medical clinic. 50 51 Caskey- Schreiber stated the State wants to see that the County has infrastructure 52 plans in place, to prove it has made progress, before it will provide funding. Desler stated 53 they will do that. However, they should have all the money lined up. Finance and Administrative Services Committee, 4/8/2008, Page 5 1 2 Caskey- Schreiber stated that will probably never happen. The State wants to see 3 the County spend what it has already. The State doesn't want to see a reserve of available 4 funds. 5 6 Crawford stated he also has questions. Have a discussion about the regional center 7 overall. 8 9 Motion carried unanimously. 10 11 12 COMMITTEE DISCUSSION 13 14 1. DISCUSSION WITH PUBLIC WORKS DIRECTOR FRANK ABART AND DEPUTY 15 ADMINISTRATOR DEWEY DESLER REGARDING ROAD FUND AND CAPITAL 16 PROJECT REVIEW (AB2008 -097) 17 18 Kelly asked if the administration and Lummi Nation are looking for an outside source 19 of funding, such as a federal appropriation, for the Slater Road project. 20 21 Dewey Desler, Deputy Administrator, stated the road fund projections shown include 22 only County cash collected through its revenue sources. It doesn't include grant funds. If 23 the County receives significant federal grants, it's not reflected in these estimations. 24 25 Kelly stated he had informed the Lummi Council that the Slater Road project is dead, 26 but it isn't. 27 28 Crawford asked the cost history of the Slater Road project. Desler stated the original 29 cost was $4 million. The County was to provide $1 million from the road fund and the 30 Federal Emergency Management Agency (FEMA) would provide $3 million. The estimates 31 continued to grow. 32 33 Kelly stated nothing happens unless they are able to secure additional funding. If 34 something does happen, the impact to the County would be less. That money would cover 35 more than the amount the County agreed to allocate. All the discussions about the cost of 36 the project aren't relevant. 37 38 (Clerk's Note: End of tape one, side A.) 39 40 Crawford stated the cost now is $9 million. He asked if the federal government is 41 providing $3 million and the County is paying $6 million. He asked if part of the local $6 42 million is being covered. 43 44 Kelly stated that is correct. The local $6 million cost will possibly go down. They 45 received an extension on the $3 million from FEMA for another year. 46 47 Crawford stated the County never really agreed to paying $6 million. They're still 48 trying to decide whether or not to go forward. He asked if the federal contribution could 49 increase. 50 51 Kelly stated it could. They were considering an additional $5 million. Both the Tribe 52 and County are considering securing that funding together. The project is not dead. The Finance and Administrative Services Committee, 4/8/2008, Page 6 1 cost to the County will more than likely go down. Consider that when the Council and 2 administration goes through this process. 3 4 Frank Abart, Public Works Department Director, stated a $3 million FEMA grant is 5 coming through the Lummi Nation for the Slater Road project. The deadline to substantially 6 begin the project, if not complete the project, is January 2010. If they miss the deadline, 7 they lose any unspent money and have to return money they've spent. At this point, they 8 have spent $750,000 or more on that project, which they would have to repay if not 9 completed. The County needs $6 million or more to complete its portion of the project. The 10 County has never declared the project dead. They've tried to pursue and acquire additional 11 funding for the project. However, they haven't been successful. 12 13 Crawford asked if Conoco or Intalco are contributing to the project. Abart stated 14 both companies were contacted. Last Fall, one company verbally expressed an interest, but 15 there is nothing in writing. 16 17 Caskey- Schreiber asked if the County is really in the negative if they include all the 18 grant funding. Desler stated they are. The grant funding is not included in the calculations. 19 20 Caskey- Schreiber stated the road fund projections are a real concern. Therefore, 21 she's ready to take the Slater Road project off the table. A road fix of $9 million is too 22 much for a road that is trouble about one week each year. She is even willing to refund the 23 money spent. She may consider it if the Lummi Nation were to take on a greater portion of 24 the cost of the project. There are more urgent needs around the county. 25 26 Nelson stated the option that includes a new ferry, no Slater Road project, and 27 increased REET funding would lower the total costs to $76 million and the bond to $28 28 million. He asked the ending fund balances. 29 30 Marianne Caldwell, Administrative Services Department, stated that the County 31 would have $6 million at the end of 2013. It would give the County about $2 million for 32 road projects. 33 34 Nelson stated that would be all they would have for road improvements, storm 35 damage, or anything else. 36 37 Caskey - Schreiber asked about using EDI funding for the Hannegan Road intersection 38 project. 39 40 Nelson stated that amount is included in the calculations in the Council packet on 41 page 17. The total cost is $76 million and allows $2.6 million for road projects. 42 43 Caskey- Schreiber stated that page includes money allocated each year for future 44 needs. She asked if that is part of the extra $2.6 million for road projects. Caldwell stated 45 it is. There are no major projects included in those figures. 46 47 Caskey- Schreiber stated that is still money needed to meet needs. It is a huge 48 amount. 49 50 Caldwell stated the cost of completing current projects is in the Other line item. 51 52 Caskey- Schreiber asked what is happening with Lincoln Road, and if the estimates 53 included the three phases. She's heard that Mr. Bovencamp can't complete his phase. Finance and Administrative Services Committee, 4/8/2008, Page 7 Abart stated the County has stopped the eastern portion of the project. That money was put to the Pole Road and Hannegan Road intersection project. They continue to work on design and right -of -way acquisition for the other portion. These estimates do not include the Bovencamp section. Caskey- Schreiber asked the point of continuing with sections two and three if section one isn't done. Jim Karcher, Public Works Department, stated the Lincoln Project, phase 2 is the full phase from Shintaffer Road to Blaine Road. Now, they are finishing the design and acquisition for the section from Shintaffer Road to Harborview Road. That does not include the Bovencamp project. The ultimate plan was to have that private connector road done to provide a faster flow route of traffic out of Birch Bay. Caskey- Schreiber stated that Mr. Bovencamp's section of the project is section one. That's the portion that the citizens cared about getting done. Crawford asked what is happening with the Bovencamp project. Karcher stated it seems that there isn't fire suppression for that development. Crawford asked the point of doing the County phases of the Lincoln Road project if Mr. Bovencamp doesn't finish his portion of the road. Abart stated it is a private development. Mr. Bovencamp had capacity to finish the road all the way through, under the assumption he could build and sell those commercial lots toward Lincoln Road. Now there is a fire district issue related to fire capacity. He could not get occupancy due to fire issues. This is not the only subdivision in the county running into this problem. Crawford asked if the Hearing Examiner condition that he complete the road included a bond. Abart stated it did not because it is a private project. Crawford stated he didn't realize the County had a risk in trying to implement a regional road system in that area. He didn't realize there is a risk in partnering with a private entity. He thought that in those situations, the County secured its interest. The County does seem to have leverage with occupancy permits. Abart stated Mr. Bovencamp can get occupancy for the residences, which was a separate agreement, but not the commercial property. Caskey- Schreiber stated she is not willing to commit money to those County projects until that issue is resolved. Abart stated the administration discussed the question of whether or not the County should continue building the two phases. Crawford stated they end up with the worst -case scenario, an incomplete road system and intersection, if they don't resolve the situation. It's disappointing that the Council didn't hear about the consequences of the builder not building the road when it reviewed the Hearing Examiner's decision on the planned unit development (PUD). Caskey- Schreiber stated she doesn't want to spend any more money on segments two or three. She is willing to cost -share with the developer to get the first segment done. Kathy Berg, Birch Bay, stated there are three segments of road projects. The residents need phase one of Lincoln Road, which is from Shintaffer Road to Harborview Road. It serves all of Semiahmoo, which continues to grow. Mr. Bovencamp has built his Finance and Administrative Services Committee, 4/8/2008, Page 8 1 portion of the project, called Birch Point Road. It is phase two of Mr. Bovencamp's Birch 2 Point Road that includes the commercial area, for which he doesn't have a permit. 3 4 Continue to work on Lincoln Road between Shintaffer Road and Harborview Road. 5 That can serve Birch Bay Village and all of Semiahmoo. Also, figure out how to continue the 6 Birch Point Road. 7 8 Nelson asked how far done they are on the County's phase one. Karcher stated the 9 design is about 50 percent complete and to the stage where they can begin right -of -way 10 acquisition. That is from Shintaffer Road to Harborview Road. 11 12 Nelson asked the cost of Lincoln Road, phase two. Caldwell stated the two Lincoln 13 Road projects combined are $8 million. If done separately, phase one is $5 million and 14 phase two is $5 million. There are grants for phase one of $2.1 million. 15 16 Caskey- Schreiber stated the Lincoln Road project phase from Harborview Road to 17 Blaine Road, which is phase two, should be removed from the transportation plan until they 18 figure out Mr. Bovencamp. 19 20 Nelson stated removing Lincoln Road is reflected on Council packet page 18. It 21 provides $4 million for road projects at the end of 2013. He asked why the ending fund 22 balances on that page drops from 2010 to 2011. Caldwell stated other projects kick in 23 during that time. 24 25 Nelson asked the cost to the County if it takes on Mr. Bovencamp's road project. 26 27 Crawford stated it's $2 -3 million, according to Mr. Bovencamp. Abart stated that is a 28 conservative estimate. Mr. Bovencamp doesn't have to pay prevailing wages and other 29 things that a government entity would have to pay. He guesses that it would easily be $5 30 million. 31 32 Nelson stated he supports bringing all options forward to reduce the debt load. Find 33 out what grants may be available, but move forward with the public process. 34 35 Caskey- Schreiber stated she likes Council packet page 21, which includes a new 36 ferry, no Slater Road project, increasing REET funding, adding EDI funding, and no Lincoln 37 Road phase two. 38 39 Crawford stated it also means raising taxes. 40 41 Nelson moved to recommend approval of the option on Council packet page 18, 42 which is the same as page 21, without adding banked capacity. 43 44 Crawford stated he agrees with Councilmember Nelson. He is not in favor of raising 45 taxes by accessing banked capacity. One scenario would be the option on Council packet 46 page 15, plus the REET and EDI funds. It is the option that would add REET and EDI funds 47 and not remove any projects from the list. He is okay with removing the Slater Road 48 project only if the County gets funds to revert to the base option if there is no more federal 49 or State money to add to it. 50 51 The time has come when they need to look at bonding. They must go ahead and do 52 these road projects. It is fundamental and important. Get them done in a timely way. If 53 the County needs to postpone the Slater Road project, still include the capacity to get it Finance and Administrative Services Committee, 4/8/2008, Page 9 done. The reason FEMA is involved is because they are going to help with flood problems in Marietta. Kelly stated the Slater Road project has had life. Staff has said they've started projects and spent significant amounts of money on design projects, but they don't get to follow through with those projects. He would like to know how often that happens and have a list of projects that were designed but were stopped or suspended during the last two budget cycles. He would like to know how much they've spent on those designs. Singling out the Slater Road project is not fair. Nelson stated the administration is concerned there won't be any money for the road fund in the future. Desler stated a variation of the option on Council packet page 17 is adding the Slater Road project and including REET and EDI funds. Caskey- Schreiber asked if Councilmember Crawford is comfortable putting the County in $40 million -worth of debt. She's not. That binds future County councils for a long time. Crawford stated it takes away their ability to have flexibility with the road fund. (Clerk's Note: End of tape one, side 8.) Crawford continued to state that road fund revenue will increase over time. It takes ten to 12 percent of road fund revenue for the next 20 years to build those projects today. For the first ten years, the County will be limited in its ability to take on new projects. After the first ten years, they won't know what will happen with the road fund. It will grow, but he doesn't know by how much. Caskey- Schreiber stated she's heard that the Slater Road project will make the Marietta flooding worse, not better. Crawford stated it's a road project, not a flood control project. He asked if the County can pay back the bond early if it gets grant funding. Desler stated they can refinance the bonds. Nelson stated the administration needs direction. He supports the scenario on Council packet page 18. His opinion may change if the funding sources change or if the County receives a grant. This option would require the County to borrow $18 million. Crawford stated he supports Council packet 15 or 17. Nelson stated Councilmember Crawford's option would require the County to borrow $30 million if they include Slater Road. Crawford stated the main difference between the scenarios on pages 17 and 18 is phase two of the Lincoln Road project. If Mr. Bovencamp's road is done, it will create a bottleneck at Harborview Road. They need to complete the entire Lincoln Road project. Caskey- Schreiber stated she agrees. However, the County has spent six years working on the Hannegan Road -East Pole Road upgrade. She anticipates that the first part of the Lincoln Road will take six to ten years. Don't bind the road fund even more without clearer direction. There may be other options. Acquiring right -of -way is costly and difficult. Finance and Administrative Services Committee, 4/8/2008, Page 10 1 Don't burden the County if they're not sure the Bovencamp portion is done. Proceed with 2 what they can. It will be a very expensive project. 3 4 Kelly stated he would like to see an option to keep the old ferry and do the Slater 5 Road project. 6 7 Nelson stated anything they do with Slater Road will cost about $6 million. 8 9 Kelly stated he approves of an option that does not include a new ferry. Add that 10 scenario. 11 12 Nelson stated they need to find a scenario that a majority of the Council can 13 approve. 14 15 Caskey- Schreiber stated they have to reach a decision on the ferry, first. She could 16 agree with Councilmember Nelson's motion. After the vote on the new ferry, the Council 17 will know which option to discuss. 18 19 Crawford stated he could also agree with the motion. 20 21 Nelson asked if the administration can wait until the Council decides on the new 22 ferry. Desler stated the administration is not in any rush. 23 24 Nelson stated that if the Council votes to not buy a new ferry, the administration can 25 bring forward options that do not include a new ferry. 26 27 Crawford stated redo options on packet pages 22 through 24 with Slater Road as 28 options. Desler stated the result would be to add $7 -8 million to the debt issue for each of 29 those options. That would add the cost of Slater Road back into the plan. 30 31 Kelly stated that if the other funding for Slater Road doesn't come through, the 32 project won't happen. That $6 million will still be on the table. If the Tribe doesn't secure 33 the extra $5 million, the project won't happen. If the Tribe does secure the extra $5 34 million, that $6 million cost potentially goes down. Keep the project on the table so it 35 doesn't die, given the fact that they have an additional year. 36 37 Caskey- Schreiber stated that even if that estimated cost of $6 million away, the 38 County has already spent close to $900,000. 39 40 Nelson asked, if they would be considered for funding if the Slater Road project is 41 removed from the six year program. He asked if the County can take away the funding, 42 and leave the project on the six year program. Abart stated he recommends leaving the 43 project on the six -year program if there is any chance for outside funding. The project 44 doesn't have to have identified funding, just be on the six -year program. 45 46 Nelson stated that if they don't do the project, the County would have to return 47 $900,000 and would not have to borrow $6 million. 48 49 Kelly stated he doesn't want a $38 million bond to tie the hands of this and future 50 councils. Don't preclude doing the Slater Road project in these scenarios. 51 52 Caskey- Schreiber stated the councilmembers seem to be comfortable leaving the 53 Slater Road project on the road program and possibly paying back the $900,000 if the Finance and Administrative Services Committee, 4/8/2008, Page 11 1 project doesn't go through. They are not comfortable with allocating more money towards 2 the project unless the Lummi Nation or another entity provides a larger contribution. If that 3 is the situation, the County should not commit any more funding until that opportunity 4 presents itself. It is not acceptable now to include $6 million in the budget for that project. 5 Don't factor that amount in to the total amount the County will borrow. Until that scenario 6 changes, the project is off the table. 7 8 Kelly stated the full Council will decide on the final scenario. Until that happens, 9 keep the Slater Road project on the table so they can get more information. 10 11 Nelson stated they won't reach a decision on a scenario today. Save this decision 12 until after the Council votes on a new ferry. Hold this item in committee until after the 13 Council makes a decision on a new ferry. His priority is to reduce the debt load. 14 15 Desler stated he would like a poll of councilmembers present about using the REET 16 and EDI funds. 17 18 Nelson amended his motion and moved to support assigning REET II in the 19 amount of $1.5 million and to add $3 million from EDI funds for the Pole Road project. 20 21 Caskey- Schreiber stated that some of REET II funds were assigned to park 22 maintenance. Don't exhaust that fund. 23 24 Kelly stated that if they're talking about REET and EDI increases, talk about other 25 projects related to those funds that may be impacted. He will agree with the motion to 26 move it forward. 27 28 The Committee concurred with the motion. 29 30 31 OTHER BUSINESS ON 33 There was no other business. 34 35 36 ADJOURN 37 38 The meeting adjourned at 1:03 p.m. 41 *- l 42 Jill Nixon, Mi `LIr tTf,�nscription 43 Co 45 ATT,$: • "A7• EF •• y���'% 46 Q� �X 48 �� 47 = — U• 49 a 50 • 51 Danalskrowrf 113 ificil (irk WHATCOM COUNTY COUNCIL WHATCOM COUNTY, WASHINGTON L. Ward Nelson, Committee Chair Finance and Administrative Services Committee, 4/8/2008, Page 12