CENTRALIA CITY COUNCIL MEETING AGENDA Tuesday May 22, :00 p.m.

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1 CENTRALIA CITY COUNCIL MEETING AGENDA Tuesday May 22, :00 p.m. Council Members Peter Abbarno Council Position No. 3 At Large pabbarno@cityofcentralia.com Joyce Barnes Council Position No. 1 At Large jbarnes@cityofcentralia.com Lee Coumbs, Mayor Council Position No. 2 At Large lcoumbs@cityofcentalia.com Susan Luond Council District No. 4 sluond@cityofcentralia.com Cameron McGee Council District No. 1 cmcgee@cityofcentralia.com Rebecca Staebler Council District No. 2 rstaebler@cityofcentralia.com Max Vogt, Mayor Pro-Tem Council District No. 3 mvogt@cityofcentralia.com City of Centralia 118 W. Maple Street Centralia, WA City Website Call to Order Pledge of Allegiance Council Attendance 1) Approval of Agenda As Presented 2) Comments by the Public on Non Agenda Items 3) Presentations a. Police Department Awards Chief Nielsen b. Flood Authority Update Ron Averill c. Summerfest Presentation Mayor Coumbs 4) Reports a. City Council b. City Manager -Public Works Week Kim Ashmore -Train Depot Brick Replacement Update Emil Pierson - Borst Church Update Emil Pierson - CD Lane Landscaping Update Emil Pierson 5) Consent Agenda a. Voucher Approval May 22, 2018 #216378, $1,471, b. Payroll Approval May 18, 2018 # and direct deposits # $130,850 c. Consideration of meeting minutes for May 8, 2018 (p 2) d. Consideration of amendment #1 to the Consultant Services Agreement for On-Call SCADA Support $30,000 (p 6) 6) Consideration of funding request from Historic Fox Theatre Restorations (p 8) 7) Consideration of a resolution declaring personal property surplus (p 16) 8) Consideration on first reading of an ordinance amending the 2018 Budget (p 20) 9) Consideration on first reading of an ordinance repealing and replacing CMC 5.01 Business Licensing and amending CMC 5.44 Secondhand and Pawnbrokers (p 26) 10) Consideration on first reading of an ordinance amending sections of CMC Title 20 Zoning Code (p 32) 11) Consideration on second reading of an ordinance amending CMC Net Metering and Renewal Energy System Incentive Payment (p 55) Adjournment City of Centralia s Mission Statement Continuously respond to citizens; Provide a clean, safe community in which to live, work and play in a historically rich environment; and Support and promote cultural diversity.

2 CITY OF CENTRALIA RECORD OF COUNCIL PROCEEDINGS Tuesday - May 8, :00 pm Mayor Pro-Tem Vogt Coumbs called the meeting to order at 7:01 pm. Pledge of Allegiance Attendance Councilor Abbarno led the pledge of allegiance. Present: Absent: Mayor Pro-Tem Vogt, Councilor Staebler, Councilor McGee, Councilor Barnes, Councilor Abbarno and Councilor Luond. Mayor Coumbs. 1. Approval of Agenda - As Presented COUNCILOR ABBARNO MOVED, SECONDED BY COUNCILOR MCGEE TO APPROVE THE AGENDA AS PRESENTED...motion PASSED Comments by the Public on Non Agenda Items Amber Ferrano, Centralia, addressed the Council and noted she was having issues with the Police Department and City Prosecutor. Susan Faubion, library, addressed the Council and updated them on library events. 3. Presentations a. Lewis County Update - Commissioner Fund Commissioner Fund and JP Anderson, Social Services, addressed the Council and on County events. 4. Reports Councilor Abbarno - reported he attended the Youth Fair, Fords Prairie School groundbreaking ceremony and thanked the community for passing the bond and levy for the schools. Councilor Barnes - reported she attended the prayer breakfast at the Christian School and a fundraiser for the Veteran s Pool. Councilor Luond - reported she attended the Community Policing District meeting and the Flood Insurance open house. 1 2

3 CITY OF CENTRALIA RECORD OF COUNCIL PROCEEDINGS Tuesday - May 8, :00 pm Councilor McGee - reported he worked on the CDA clean up event in downtown. Councilor Staebler - reported she attended a CDA Board meeting and noted that there would be a parking lot clean up event on May 20 th and reported that Scott White had resigned as the Executive Director of the CDA. Mayor Pro-Tem Vogt - reported he attended the Spring Youth Fair and the Farmers Market Ribbon Cutting. Kim Ashmore - introduced new Wastewater Operations Manager Rick Eaton. Shannon Murphy-Olson - updated the Council on tall grass. 5. Consent Agenda a. Voucher Approval - May 8, 2018 #216185, $346, b. Payroll Approval - May 4, 2018 # and direct deposits # $1,304, c. Consideration of meeting minutes for April 24, 2018 d. Consideration of a Realtor Services Agreement with John L. Scott e. Consideration of a Prof. Services Agreement for Material Testing for the 2018 Public Works Construction Projects $35,000 f. Consideration of a bid award for the Locust St Watermain Pipe Bursting Project $803, g. Consideration of a bid award for the Borst Ave Sanitary Sewer Replacement Project $922, h. Consideration of change order #2-Sanitary Sewer and Watermain Pipe Bursting Project - decrease of $419, I Consideration of change order #1-Purchase of Power Transformers for the Salzer Substation $871, bringing the total contract amount to $1,731, COUNCILOR ABBARNO MOVED, SECONDED BY COUNCILOR MCGEE, TO APPROVE THE CONSENT AGENDA AS PRESENTED...motion PASSED Consideration of funding request from Historic Fox Theatre Restorations Tim Browning, former Mayor, addressed the Council and spoke on the history of the Fox Theatre and how the partnership began with the City and Fox Theatre Restorations. Scot White, Fox Theatre Renovations, presented the Council with the renovations that have been completed to date and what is needed to move forward with his vision to complete the project in After his presentation, he requested $1,000,000 in funding from the City of Centralia. 2 3

4 CITY OF CENTRALIA RECORD OF COUNCIL PROCEEDINGS Tuesday - May 8, :00 pm Finance Director Bret Brodersen addressed the Council and reviewed the unrestricted and reserved funds that are available at this time. After Council discussion, it was the consensus of the Council to bring this item back on the May 22, 2018 agenda to allow more time to review the options. 7) Consideration on first reading of an ordinance amending CMC Net Metering and Renewal Energy System Incentive Payment COUNCILOR ABBARNO MOVED, SECONDED BY COUNCILOR MCGEE, TO APPROVE A ON FIRST READING AN ORDINANCE AMENDING CENTRALIA MUNICIPAL CODE (C.M.C) CHAPTER HYDROELECTRIC AND LIGHT SYSTEM, SECTION ENTITLED NET METERING AND SECTION ENTITLED RENEWABLE ENERGY SYSTEM INCENTIVE PAYMENT AND REPEALING THOSE SECTIONS IN CONFLICT HEREWITH...motion PASSED ) Consideration on second reading of an ordinance repealing CMC Chapter Solicitation of Occupants of Vehicles on Public Roadways Prohibited and Replacing Chapter with Pedestrian Activities within the City Road Ways Meant for Vehicular Travel Prohibited COUNCILOR ABBARNO MOVED, SECONDED BY COUNCILOR LUOND, TO APPROVE ON SECOND READING AN ORDINANCE REPEALING CENTRALIA MUNICIPAL CODE CHAPTER SOLICITATION OF OCCUPANTS OF VEHICLES ON PUBLIC ROADWAYS PROHIBITED AND REPLACING AS CHAPTER PEDESTRIAN ACTIVITIES WITHIN THE CITY ROADWAYS MEANT FOR VEHICULAR TRAVEL PROHIBITED AND REPEALING THOSE SECTIONS IN CONFLICT HEREWITH...motion PASSED ) Consideration on second reading of an ordinance amending CMC Codes Adopted-Copies on file and Building Code Review and Permit Fees COUNCILOR ABBARNO MOVED, SECONDED BY COUNCILOR LUOND, TO APPROVE ON SECOND READING AN ORDINANCE AMENDING CENTRALIA MUNICIPAL CODE (C.M.C) SECTIONS ENTITLED CODES ADOPTED-COPIES ON FILE AND ENTITLED BUILDING CODE REVIEW AND PERMIT FEES UNDER CHAPTER AND REPEALING THOSE SECTIONS IN CONFLICT HEREWITH...motion PASSED ) Executive Session to discuss Real Estate pursuant to RCW (1)(b)&(c). Expected to last approximately 30 minutes with nothing to report after COUNCILOR ABBARNO MOVED, SECONDED BY COUNCILOR MCGEE, TO ADJOURN INTO EXECUTIVE SESSION TO DISCUSS REAL ESTATE PURSUANT TO RCW 3 4

5 CITY OF CENTRALIA RECORD OF COUNCIL PROCEEDINGS Tuesday - May 8, :00 pm (1)(B) & (C), EXPECTED TO LAST APPROXIMATELY 30 MINUTES WITH NOTHING TO REPORT AFTER...motion PASSED The Executive Session was called to order at 8:30 pm and adjourned at 9:00 pm with nothing to report. Adjournment Mayor Pro-Tem Vogt adjourned the meeting at 9:00 pm. Submitted By: Approved By: Deena Bilodeau, City Clerk Max Vogt, Mayor Pro-Tem City of Centralia 4 5

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8 CITY OF CENTRALIA COUNCIL AGENDA REPORT To: Mayor and City Council Council Meeting Date: May 22, 2018 From: Rob Hill Department: City Manager Subject: Funding Request from Historic Fox Theatre Restorations Background: The City received the attached letter from Historic Fox Theatre Restorations requesting financial assistance. The letter outlines the need for a one million dollar contribution from the City of Centralia towards the restoration of the Fox Theatre. The Fox Theatre was purchased by the city in 2000 as part of the downtown revitalization envisioned at that time. Other aspects of the revitalization were the streetscape project and purchase of the Wilson Hotel. The City subsequently leased the building to HFTR starting in 2009 to complete the restoration and operate. Council considered the limited options available to honor this request at the May 8, 2018 meeting. A decision was delayed until the May 22, 2018 meeting to consider the request in more depth. The only viable options for funding this request on relatively short notice remain the general fund reserves and financing against future Hotel/Motel funds. General fund reserves at the end of 2016 were: Total GF $4,012,097 Less restricted funds (596,667) Less reserves set by policy (3x7.5%) (2,431,134) Less Library and Pool 2017 expenses from fund balance (300,018) 2016 Unrestricted/Reserved $ 684,278 Since activity for 2017 has not been completely closed out yet, a firm number for the unrestricted balance is not available. Staff estimates that the balance will be slightly higher for years-end The use of unrestricted reserves towards this request is one option. Council may also consider using the capital reserve as established in the City financial policies. This amounts to 7.5% of annual operating expenditures, or $810,378. Any amount used from this reserve would subsequently be repaid to the fund through an annual allocation in the budget over a term that would ensure the payment did not unreasonably impact services. 8

9 Hotel/Motel Funds Current revenue projections are $189,000 and trending upwards Current bond payments are approximately $94,000 Amount available for grants is approximately $95,000 A conservative estimate for debt at current interest rates would be $7,600 per $100,000 (20 year term). This equates to $76,000 annually for $1,000,000. Increasing the term to 30 years would bring the payments down to $6,100 per $100,000, or $61,000 per $1,000,000. If the entire $1,000,000 were financed under the 30 year scenario, approximately $34,000 would remain in Hotel/Motel funds at current levels to be awarded annually. The Council may wish to fund the request all or in part from either source. For example, $300,000 form reserves would require financing $700,000 through Hotel/Motel. That would equate to a $42,700 payment annually. Based on input from the Council, staff has also attached a proposed amendment to the lease that reflects the additional City investment in the future purchase price. Based on direction from Council, staff will bring back the appropriate documents at a subsequent meeting for adoption. Financial Impacts: Potential impact of up to $1,000,000 to Hotel/Motel funds or City General Fund Implementation $ Annual Ongoing $ Funds in Current Budget: No Appropriation/Amendment Required Recommendation: Direction from Council 9

10 City of Centralia Multi - Year Comparison of Hotel/Motel Tax Revenues Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec ,800 21,009 30,451 40,062 52,497 63,288 76,784 91, , , , , ,307 17,070 27,549 35,427 48,261 61,248 78,207 93, , , , , ,441 20,004 29,338 38,259 50,347 63,167 83,149 98, , , , , ,142 20,697 30,974 41,212 54,685 68,926 87, , , , , , ,870 26,825 37,495 47,402 61,823 76,197 94, , , , , , ,756 36,032 54,026 68,807 84, , , , , , , , ,768 17,765 27,696 38,349 51,305 63,142 78,421 95, , , , , ,134 14,722 21,154 28,972 38,017 47,641 61,021 73,584 86,560 99, , , ,607 14,710 21,159 28,077 37,274 46,537 58,087 70,466 85, , , , ,909 14,104 22,208 29,120 38,646 46,807 55,961 66,865 81,522 98, , , ,765 14,058 24,606 31,998 38,958 47,850 57,977 70,806 89, , , , ,877 15,803 24,277 35,391 45,669 57,457 70,937 90, , , , ,525 18,968 26,800 35,783 47,455 57,713 72,319 90, , , , , ,069 21,465 31,953 44,732 58,320 71,706 85, , , , , , ,600 24,437 35,236 46,028 60,530 72,776 91, , , , , , ,835 22,725 33,117 47, budget 15,750 31,500 47,250 63,000 78,750 94, , , , , , ,000 10

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20 CITY OF CENTRALIA COUNCIL AGENDA REPORT To: Mayor and City Council Council Meeting Date: May 22, 2018 From: Bret D. Brodersen Department: Finance Subject: Consideration of approval of an Ordinance authorizing increases in the 2018 Adopted Budget Background: The City of Centralia Budget for 2018 was approved at $61,367,189. The proposed Budget Amendment Ordinance increases appropriations for expenditures in the City s General Fund and other funds. Changes are proposed to meet requirements initiated by legislative action and to meet other needs recognized since the November action to approve the 2018 budget. The requested changes are detailed in the staff report attached and summarized on the proposed ordinance. Financial Impacts: The proposed amendment increases the total City budget by $2,310,356. The budgets for remaining other funds not outlined in the staff memo continue as adopted. If approved, this amendment will result in a total City budget of $63,677,545. Implementation $ 2,310,356 Annual Ongoing $ X Funds in Current Budget Appropriation/Amendment Required Recommendation: Accept or amend for first reading and send to second reading and adoption on June 12,

21 FINANCE DEPARTMENT Date: May 22, 2018 To: City Council Members Via Rob Hill, City Manager From: Bret D. Brodersen, Finance Director Subject: First Amendment to the 2018 Adopted Budget Purpose: To describe the changes proposed in the first 2018 Budget Amendment scheduled for Council action on May 22, Background: On November 28, 2017, the City of Centralia Budget for 2018 was approved at $61,367,189. Since adoption of the budget in November additional revenues and unanticipated expenses have been identified. Authority: The Revised Codes of Washington provide that a legislative body may adjust the adopted budget by adopting a subsequent ordinance at a regularly scheduled public meeting. Budget Changes Proposed: The proposed changes would increase appropriations for the City budget by $2,310,356 for a new total of $63,677,545. Unbudgeted new financing sources and fund balance cover the proposed expenditure increases. Financing Sources: Financing sources for this amendment include unbudgeted revenues of $1,794,361 and fund balances of $515,995. The proposed appropriation increases are as follows: General Fund: Increase general fund funding by $146,064 for salary and benefit adjustments in council approved collective bargaining agreements for the teamsters clerical, non-commissioned police staff, commissioned police staff and parks department staff. Providing $105,500 in funding for window replacement for the south and east side of the city hall building, this includes use of $55,500 from 2017 authority which was not spent before end of Increase funding by $1,892 for reimbursed training for the human resources department. Increase in parks department by $75,000 for the George and Mary Jane Statue loan. Increase in parks department by $33,700 for tree removal at Borst and Riverside Parks. Increase by $7,295 elevator repairs for city hall elevator. 21

22 PROPOSED 2018 BUDGET AMENDMENT Increase special appropriations by $3,000 for Chehalis contribution to the cold weather shelter. Increase finance department funding by $25,700 for IT beginning fund balance not included in original budget. Increase police department funding of $4,946 vehicle insurance payments and auction proceeds to repair and maintain police vehicles and purchase pistols. Increase police department funding of $2,000 donated funds dedicated to national night out program costs. Increase building department funding of $27,000 for depot sidewalk repair from the depot reserve. Increase building inspection department funding of $80,248 for temporary staff for inspection costs funded with unanticipated building permit fees. Other Funds: Increase in Street Fund 101 of $23,615 salary and benefit adjustments in council approved collective bargaining agreements for street department staff. $11,500 increase in Street Fund 101 for dry storage building budgeted in 2017 but delivered in 2018 use of unspent 2017 funds. Increase in JNET Seizure Fund 111 of $376 auction proceeds to purchase pistols. Increase in 24/7 Sobriety Fund 145 of $3,425 for reimbursed 24/7 Summit. Increase in Flood Control Fund 304 of $1,622,524 for the China Creek Grant Phase 1 project. Increase in City Light Fund 401 of $13,067 salary and benefit adjustments in council approved collective bargaining agreements for clerical staff. Increase in City Light Fund 401 of $25,700 for IT beginning fund balance not included in original budget. Increase in Water Fund 402 of $7,371 salary and benefit adjustments in council approved collective bargaining agreements for clerical staff. Increase in Water Fund 402 of $24,600 for IT beginning fund balance not included in original budget. Increase in Wastewater Fund 403 of $9,394 salary and benefit adjustments in council approved collective bargaining agreement for streets/parks and clerical staff. 22 2

23 PROPOSED 2018 BUDGET AMENDMENT Increase in Wastewater Fund 403 of $24,600 for IT beginning fund balance not included in original budget. Increase in Stormwater Fund 405 of $12,057 salary and benefit adjustments in council approved collective bargaining agreement for streets/parks and clerical staff. Increase in Stormwater Fund 405 of $11,500 for IT beginning fund balance not included in original budget. Increase in Equipment Repair & Replacement Fund 501 of $8,278 salary and benefit adjustments in council approved collective bargaining agreement for streets/parks and clerical staff. Appropriation Changes by Fund Although each proposed budget change is discussed by expenditure category and department, the modifying ordinance will only show the total change in appropriations for each fund. The City adopts budgets at the fund level. RECOMMENDATION: Approve, or modify and then approve, Ordinance No. incorporating the requested budget changes described above. Conduct first reading of said Ordinance and pass for second and final reading on June 12, Attachment: Proposed Budget Amendment Ordinance 23 3

24 ORDINANCE NO. AN ORDINANCE OF THE CITY OF CENTRALIA, WASHINGTON, AMENDING THE 2018 BUDGET BY INCREASING THE APPROPRIATIONS IN CERTAIN FUNDS FROM WHAT WAS ANTICIPATED AT THE TIME SAID BUDGET WAS ADOPTED WHEREAS, the City Council approved the 2018 Adopted Budget in Ordinance No on November 28, 2017, and WHEREAS, since adoption of the budget, additional financing has developed, adjustments are needed to respond to legislative requirements, and a special revenue fund has been created, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CENTRALIA, WASHINGTON, DO ORDAIN as follow s: Section 1 The 2018 budget amounts for revenues and expenditures for the City of Centralia is amended w ith changes to the follow ing named funds in the amounts show n: Fund FUND NAME Adopted Budget Proposed Change Amended Budget 001 GENERAL FUND $ 10,256, ,348 $ 10,769, STREET FUND 1,258,756 35,115 1,293, PATHS & TRAILS FUND 11,943 11, REPAIR & DEMOLITION FUND 16,127 16, ELECTRIC UTILITY REVOLVING FUND PARK IMPROVEMENT FUND STADIUM FUND 267, , CONFISCATIONS/SEIZURES FUND 145, , LAW ENFORCEMENT GRANT FUND INDOOR POOL FUND 120, , BORST PARK CONSTRUCTION FUND 71,200 71, BORST HOME FUND 1,000 1, WASH LAWN CEMETERY FUND LANDFILL CLOSURE FUND LANDFILL OPERATING TRUST FUND TRANSPORTATION BENEFIT FUND 651, , /7 SOBRIETY FUND 47,100 3,425 50, DEBT SERVICE FUND 135, , CAPITAL PROJECTS FUND 230, , ENERGY EFFICIENCY CAPITAL PROJECT FUND 15,000 15,000 24

25 304 FLOOD CAPITAL PROJECTS 943,976 1,622,524 2,566, CITY LIGHT FUND 29,811,594 38,767 29,850, WATER FUND 6,161,299 31,971 6,193, WASTEWATER FUND 8,967,470 33,994 9,001, STORM & SURFACE WATER FUND 974,390 23, , EQUIPMENT RENTAL FUND 581,875 8, , INFORMATION SERVICES FUND 671, , FIREMEN'S PENSION FUND 27,572 27,572 TOTAL APPROPRIATIONS $ 61,367,189 $2,310,356 $63,677,545 Section 2 The provisions of this ordinance are declared to be severable and in the event a court of competent jurisdiction declares any portion of this ordinance invalid, the remaining provisions shall be unaffected thereby. Section 3 That any previously enacted ordinance, or part thereof, in conflict herew ith be and the same hereby is repealed to the extent of such conflict. Section 4 That such amendments are for the best interest of the City and the same shall take effect immediately upon its passage and publication as provided by law. Section 5 PASSED by the City Council of the City of Centralia, Washington for the first reading on the 22 nd day of May, 2018 and the second and final reading on the 12th day of June MAYOR ATTEST: City Clerk APPROVED AS TO FORM: City Attorney 25

26 CITY OF CENTRALIA COUNCIL AGENDA REPORT To: Mayor and City Council Council Meeting Date: May 22, 2018 From: Deena Bilodeau, City Clerk Department: City Clerk Subject: Consideration of to repeal and replace CMC Chapter 5.01 amendments to CMC Chapter 5.44 Background: At the March 27, 2018 meeting the City Council approved an agreement with the Washington State Department of Revenue authorizing the City to join their Business Licensing System. One of the next steps is to update our business license ordinance to reflect the processing change and standardize business types to align to the State procedures. There are a few license types that will need to continue to be processed in house at this time until the State is able to broaden their process. Please note that the approval process will continue to be run through the City prior to the issuance of a license. For clarity in drafting these changes, it was easiest to repeal and replace CMC Section 5.01, rather than amend. Financial Impacts: Implementation $ n/a Annual Ongoing $ n/a Funds in Current Budget Appropriation/Amendment Required Alternatives: 1. Approve the ordinance. 2. Deny the ordinance. Recommendation: Approve on first reading an ordinance repealing and replacing Centralia Municipal Code Chapter 5.01 General Provisions and amending 26

27 ORDINANCE AN ORDINANCE OF THE CITY OF CENTRALIA, WASHINGTON, REPEALING AND REPLACING CENTRALIA MUNICIPAL CODE CHAPTER 5.01 GENERAL PROVISIONS AND AMENDING CHAPTER 5.16 PAWNBROKERS, SECONDHAND DEALERS, ETC. UNDER TITLE 5 BUSINESS LICENSES AND REGULATIONS AND REPEALING THOSE SECTIONS IN CONFLICT HEREWITH BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CENTRALIA AS FOLLOWS: Section 1 Centralia Municipal Code Chapter 5.01 entitled General Provisions is hereby repealed in its entirety and replaced as follows: Chapter 5.01 GENERAL PROVISIONS Sections: Authority License required License application, review and denial process License types and fees required Location change Exemptions to license requirement License Revocation Violation is misdemeanor Civil remedy Authority. The provisions of this title shall be deemed an exercise of the authority and power of the city of Centralia to license, for the purposes of regulation and revenue, all and every kind of business authorized by law and transacted and carried on within the corporate limits of the city of Centralia or as defined in this title License required. A. Within the city, it is unlawful for any person, company, association, corporation or copartnership, excepting as an employee, to engage in any kind of business, trade or profession authorized by law, without first obtaining a license as provided for by this chapter. B. The person to whom such license is issued shall, at all times, prominently display the license in a conspicuous place at the location of such business. Ordinance/2018/Bus Lic & Regulations 1 27

28 License application, review and denial process. A. Application for all licenses, with the exception of a solicitor s license and licenses under CMC 5.44 Adult Entertainment Businesses, are made to the Washington State Business Licensing Service (BLS). The license expires on the date established by the Washington State BLS, and must be renewed on or before that date each year. The term and license fee due may be prorated in order to synchronize the expiration of the license with the established expiration date of the business as maintained by the Washington State BLS. The application must be accompanied by the license fee prescribed by this chapter, the total fees due for all other licenses requested on the application, and the handling fee required by RCW B. Prior to issuance of all new licenses authorized by this chapter, the applications shall be submitted for review. The initial application review will be completed within 15 working days from the day the city clerk receives the applicant s information from the Washington State BLS. At that time the license will either be approved, denied or the applicant will be notified if further information is needed or additional requirements need to be met. C. Applications may be denied upon findings that granting said application would be detrimental to the public peace, health or welfare, or the proposed business and location would be in violation with building, zoning, fire or pretreatment codes. Whenever any such license is denied the applicant may within fifteen days from date of action, file written notice of appeal to the city council of the City of Centralia. Action of the city council shall be conclusive and not subject to review License Types and Fees required. A. Standard Business License. Standard business means all activities, occupations, trades, pursuits, professions and matters located or engaged within the city limits of Centralia, or anywhere else within the city s jurisdiction, with the object of gain, benefit, advantage or profit to the business enterprise or to another person, directly or indirectly. The standard business license fee shall be fixed in the amount of fifty dollars for the initial business license application and each renewal thereafter shall be fifty dollars per year, payable in advance to the Washington State BLS for each business license required hereunder. 1. A business that operates from more than one location in the city, shall be required to get a separate standard license for each location. 2. If more than one separate business is conducted on a single premises within the city, a separate standard license shall be required for each business. B. Solicitor s License. Solicitor means any person who engages in merchandising any goods, wares, commodities, books, periodicals or services by going from house to house, place to place or street to street. A Solicitor business shall pay a license fee of twenty-five dollars per ninety-day period and for each subsequent ninety-day period shall be required to pay an additional twenty-five dollars prior to the expiration of said license. Solicitor businesses shall apply for a license directly with the City of Centralia, City Clerk. Ordinance/2018/Bus Lic & Regulations 2 28

29 C. Performances, Carnivals and Circuses. All street carnivals, shows or circuses, or shows or performances ordinarily classified as such, whether shown upon public streets or property or upon other property within the city, shall pay a license fee of twenty-five dollars per day and apply for a license directly with the City of Centralia, City Clerk Location change. If an existing licensee desires to change the location of the business, trade or profession from the location designated on the business license, application must be made to the Washington State BLS prior to the change in location and it shall be submitted for review Exemptions to license requirement. A. The following shall be exempt from paying the licensing fees set forth in this chapter: 1. All federal, state, county, city or other public governmental activities, whether same are conducted in a governmental or proprietary capacity; 2. All bona fide religious organizations; 3. All garage sales so long as no more than two sales are conducted each year for a total of not more than eight days in such year; 4. All business conducted by individuals under eighteen years of age; 5. Persons, sales or services arising out of the farmer s market located within the city limits of Centralia or any other community event determined by the city manager to be exempt from the requirements of this chapter. B. The city manager or their designee shall have the authority to grant exceptions on a case-by-case basis to the requirements for obtaining a City of Centralia business license License Revocation. A. Any license issued under the provisions of this chapter may be revoked by the city clerk and/or police chief and/or building official and/or pretreatment coordinator for any reason if the further operation thereof would be detrimental to public peace, health or welfare, or violate any federal or state law or any ordinance or regulation of the city. The city clerk shall notify such parties of the intention to revoke such license. B. Where deemed necessary to prevent further detriment to public peace, health or welfare, or violation of any federal or state law or any city ordinance or regulation, the police chief, fire chief, building official or pretreatment coordinator may immediately revoke any license issued under the provisions of this chapter. C. Whenever any such license is revoked, the licensee may, within fifteen days from the date of action, file written notice of appeal to the city council of the City of Centralia. Action of the city council shall be conclusive and not subject to review. Ordinance/2018/Bus Lic & Regulations 3 29

30 Violation is misdemeanor. Any person, firm or corporation failing, neglecting or refusing to comply timely with this title is guilty of a misdemeanor. Each day of continued violation constitutes a separate violation of this chapter Civil remedy. In addition to the above and foregoing and not in any way a limitation thereof, the city may institute civil court action to compel compliance with the terms of this title. Section 2 Centralia Municipal Code Chapter 5.16 entitled Pawnbrokers, Secondhand Dealers, Etc. is hereby repealed in its entirety and replaced as follows: Chapter 5.16 PAWNBROKERS, SECONDHAND DEALERS, ETC. Sections: State statutes adopted Violation Penalty Annual license fee. Authority State statutes adopted. Chapter RCW, as now in force or hereafter amended, added to or deleted from, is adopted by reference Violation Penalty. Violation of Chapter RCW as adopted by reference in CMC is a gross misdemeanor punishable by a fine not exceeding five thousand dollars, imprisonment not exceeding one year, or both Annual license fee. Authority. Annual license fee shall be one hundred dollars in addition to the standard business license fee. Registration and payment of any associated fees shall be made with the Centralia Police Department. Section 3 That the provisions of this ordinance are declared to be severable and in the event a court of competent jurisdiction declares any portion of this ordinance invalid, the remaining provisions shall be unaffected thereby. Section 4 That any previously enacted ordinance, or part thereof in conflict herewith be and the same hereby is repealed to the extent of such conflict. Ordinance/2018/Bus Lic & Regulations 4 30

31 Section 5 This ordinance shall become effective on July 15, 2018, after its passage and publication as required by law. PASSED by the City Council of the City of Centralia, Washington for the first reading on the day of May, 2018 and the second and final reading on the day of June, ATTEST: M A Y O R City Clerk APPROVED AS TO FORM: City Attorney Ordinance/2018/Bus Lic & Regulations 5 31

32 CITY OF CENTRALIA COUNCIL AGENDA REPORT To: Mayor and City Council Council Meeting Date: May 22, 2018 From: Emil Pierson, Director Department: Community Development Subject: 1 st Reading for an Ordinance amending the City of Centralia Zoning Ordinance Title 20 ZONING ORDINANCE TEXT AMENDMENTS The following amendments are being proposed in the Centralia Municipal Code (CMC) Title 20 Zoning Ordinance. The Site Plan Review Committee and Planning Commission have reviewed the requests and their recommendations are listed. As per CMC , an amendment to the Zoning Ordinance may be initiated by the property owner or the City. In this case, the City is the applicant for Text Amendments numbers 1-8, and Text Amendment #9 is by a property owner. Proposed Text Amendment #1 Applicant: City Staff Background: Multiple-family dwelling means a building arranged or designed to include five three or more dwelling units, each to be occupied by one family which lives independently. (Ord (part), 2008). Recommendations: Site Plan Review: Positive Recommendation Planning Commission: Positive Recommendation, Approved Proposed Text Amendment #2-8 Applicant: City Staff and Planning Commissioners Background: To encourage new and redeveloped building s to blend into the neighborhood and not be a distraction or reduce property values of adjacent properties owners Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008: Ord (part), 1999). Centralia Municipal Code Section under C-2 Highway Commercial District Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008: Ord (part), 1999). 32

33 Centralia Municipal Code Section under LBD Limited Business District Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Centralia Municipal Code Section under H-1 Health Services Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Centralia Municipal Code Section under M-1 Light Industrial Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Centralia Municipal Code Section under M-2 Heavy Industrial District Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Centralia Municipal Code Section under OS/PF Open Space Public Facility Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Recommendations: Site Plan Review: Positive Recommendation, Planning Commission: Positive Recommendation, Approved Proposed Text Amendment #9 Applicant: Richard Dick Watkins Background: This is a request to allow retail marijuana stores in the General Commercial (C-1) Zoning District. Currently, the City only allows for marijuana retail stores in the Heavy Industrial (M-2) Zoning District. The City is only allowed to have three (3) marijuana retail stores within its municipal boundaries. Currently, there are no stores constructed. PROPOSED ORDINANCE CHANGES CMC under Recreational Marijuana Businesses Development requirements. 33

34 A. Marijuana producers, marijuana processors, and marijuana retailers shall only be permitted as allowed under Chapter RCW and Chapter WAC. B. Marijuana producers, marijuana processors, and marijuana retailers shall only be allowed within the city of Centralia municipal boundaries if appropriately licensed by the state of Washington and the city of Centralia, and operated consistent with the requirements of the state and all applicable city ordinances, rules, requirements and standards. C. Marijuana producers, marijuana processors, and marijuana retailers shall only be allowed within the city of Centralia in those zoning districts where they are specifically identified as an allowed use. 1. Marijuana retailers shall only be allowed in the M-2 industrial zoning district and the C-1, General Commercial District. 2. Marijuana producers and processors shall only be allowed only in the M-2 industrial zoning district. D. The production, processing, selling, or delivery of marijuana, marijuana-infused products, or usable marijuana may not be conducted in association with any business establishment, dwelling unit, or home occupation located in any of the following zoning districts in the city of Centralia: 1. Very low-density residential district (R:2). 2. Low-density residential district (R:4). 3. Moderate-density residential district (R:8). 4. Medium-high-density residential district (R:15). 5. High-density residential district (R:20). 6. Health services district (H-1). 7. Open space/public facilities district (OS/PF). 8. Port master plan district (PMP). 9. Limited business district (LBD). 10. General commercial district (C-1) Highway commercial district (C-2) Core commercial district (C-3) Light industrial district (M-1). E. Marijuana production and marijuana processing facilities shall be designed to include controls and features to prevent odors from traveling off site and being detected from a public place, the public right-of-way, or properties owned or leased by another person or entity. F. Marijuana retailers shall not include drive-through, exterior, or off-site sales. Marijuana retailers shall not be located in a mobile or temporary structure. G. In accordance with WAC , marijuana retail sales shall not be open to the public between the hours of twelve a.m. and eight a.m. H. Signage for marijuana production, processing and retail businesses shall be subject to the requirements of WAC and Chapter CMC, whichever is more restrictive. No off-premises signage is permitted. I. Displays against or adjacent to exterior windows shall not include marijuana or marijuana paraphernalia. J. As provided in RCW and WAC , marijuana producers, marijuana processors, and marijuana retailers shall not be allowed to locate within one thousand feet of public parks, playgrounds, recreation/community centers, libraries, child care centers, schools, game arcades, and public transit centers. For purposes of this standard, these uses are defined in Chapter WAC. The methodology for measuring the buffers shall be as provided in Chapter WAC. It shall be the responsibility of the owner or operator of the proposed state-licensed marijuana use to demonstrate and ensure that a proposed location is not within one of the buffers. K. Marijuana retailers shall not be allowed to locate within one thousand feet of correctional facilities, courthouses, drug rehabilitation facilities, substance abuse facilities, and detoxification centers. The methodology for measuring the buffers shall be as provided in Chapter WAC. It shall be the responsibility of the owner or operator of the proposed state-licensed marijuana use to demonstrate and ensure that a proposed location is not within one of the buffers. L. An existing nonconforming use located within a zoning district that would otherwise not permit marijuana uses, such as an old convenience store in a residential district, shall not be allowed to convert to a marijuana use. 34

35 M. Marijuana producers, marijuana processors, and marijuana retailers shall connect to all city of Centralia utilities. N. Marijuana production, processing and retail sales are not permitted as a home occupation under Chapter CMC. O. Retail marijuana sales may not be located within any other businesses, and may only be located in buildings with other uses only if the marijuana business is separated by full walls and with a separate entrance. No more than one marijuana retail business shall be located on a single parcel. P. Marijuana production, processing and retail sales are subject to all applicable requirements of RCW Title 69 and Chapter WAC and other state statutes, as they now exist or may be amended. Q. Marijuana production, processing and retail sales must take place within fully enclosed secure indoor facilities. R. Only three recreational marijuana retail stores shall be allowed at any one time within the Centralia city limits. (Ord , 2016; Ord (part), 2014). Recommendations: Site Plan Review: Positive Recommendation, Planning Commission: Positive Recommendation, Approved Financial Impacts: N/A Implementation $ Annual Ongoing $ 0.00 Funds in Current Budget Appropriation/Amendment Required RECOMMENDATION: The Planning Commission recommended approving all of the Zoning Ordinance text amendments as requested. 35

36 ORDINANCE AN ORDINANCE OF THE CITY OF CENTRALIA, WASHINGTON, AMENDING CENTRALIA MUNICIPAL CODE (C.M.C) TITLE 20 ENTITLED ZONING BY AMENDING SECTIONS , , , , , , , , AND REPEALING THOSE SECTIONS IN CONFLICT HEREWITH FOLLOWS: BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CENTRALIA AS Section 1 Centralia Municipal Code Section under Definitions is hereby amended to read as follows: Dwelling, multiple-family. Multiple-family dwelling means a building arranged or designed to include five three or more dwelling units, each to be occupied by one family which lives independently. (Ord (part), 2008). Section 2 Centralia Municipal Code Section under C-1 General Commercial District is hereby amended to read as follows: Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008: Ord (part), 1999). 36

37 Section 3 Centralia Municipal Code Section under C-2 Highway Commercial District is hereby amended to read as follows: Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008: Ord (part), 1999). Section 4 Centralia Municipal Code Section under LBD Limited Business District is hereby amended to read as follows: Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Section 5 Centralia Municipal Code Section under H-1 Health Services is hereby amended to read as follows: Site plan review. 37

38 Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Section 6 Centralia Municipal Code Section under M-1 Light Industrial is hereby amended to read as follows: Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Section 7 Centralia Municipal Code Section under M-2 Heavy Industrial District is hereby amended to read as follows: Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and 38

39 follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Section 8 Centralia Municipal Code Section under OS/PF Open Space Public Facility is hereby amended to read as follows: Site plan review. Architectural and building materials review will be critical in this district to ensure that new, reoccupied or remodeled structures maintain an appearance which is highly compatible with adjoining commercial and residential areas in accordance with Chapter CMC. Structure colors should be medium to dark earth tones and follow the character of the neighborhood, or as approved by the Site Plan Review Committee. (Ord (part), 2008). Section 9 Centralia Municipal Code Section under Recreational Marijuana Businesses is hereby amended to read as follows: Development requirements. A. Marijuana producers, marijuana processors, and marijuana retailers shall only be permitted as allowed under Chapter RCW and Chapter WAC. B. Marijuana producers, marijuana processors, and marijuana retailers shall only be allowed within the city of Centralia municipal boundaries if appropriately licensed by the state of Washington and the city of Centralia, and operated consistent with the requirements of the state and all applicable city ordinances, rules, requirements and standards. 39

40 C. Marijuana producers, marijuana processors, and marijuana retailers shall only be allowed within the city of Centralia in those zoning districts where they are specifically identified as an allowed use. 1. Marijuana retailers shall only be allowed in the M-2 industrial zoning district and the C-1, General Commercial District. 2. Marijuana producers and processors shall only be allowed only in the M-2 industrial zoning district. D. The production, processing, selling, or delivery of marijuana, marijuana-infused products, or usable marijuana may not be conducted in association with any business establishment, dwelling unit, or home occupation located in any of the following zoning districts in the city of Centralia: 1. Very low-density residential district (R:2). 2. Low-density residential district (R:4). 3. Moderate-density residential district (R:8). 4. Medium-high-density residential district (R:15). 5. High-density residential district (R:20). 6. Health services district (H-1). 7. Open space/public facilities district (OS/PF). 8. Port master plan district (PMP). 9. Limited business district (LBD). 10. General commercial district (C-1) Highway commercial district (C-2). 40

41 Core commercial district (C-3) Light industrial district (M-1). E. Marijuana production and marijuana processing facilities shall be designed to include controls and features to prevent odors from traveling off site and being detected from a public place, the public right-of-way, or properties owned or leased by another person or entity. F. Marijuana retailers shall not include drive-through, exterior, or off-site sales. Marijuana retailers shall not be located in a mobile or temporary structure. G. In accordance with WAC , marijuana retail sales shall not be open to the public between the hours of twelve a.m. and eight a.m. H. Signage for marijuana production, processing and retail businesses shall be subject to the requirements of WAC and Chapter CMC, whichever is more restrictive. No off-premises signage is permitted. I. Displays against or adjacent to exterior windows shall not include marijuana or marijuana paraphernalia. J. As provided in RCW and WAC , marijuana producers, marijuana processors, and marijuana retailers shall not be allowed to locate within one thousand feet of public parks, playgrounds, recreation/community centers, libraries, child care centers, schools, game arcades, and public transit centers. For purposes of this standard, these uses are defined in Chapter WAC. The methodology for measuring the buffers shall be as provided in Chapter WAC. It shall be the responsibility of the owner or operator of the proposed state-licensed marijuana use to demonstrate and ensure that a proposed location is not within one of the buffers. 41

42 K. Marijuana retailers shall not be allowed to locate within one thousand feet of correctional facilities, courthouses, drug rehabilitation facilities, substance abuse facilities, and detoxification centers. The methodology for measuring the buffers shall be as provided in Chapter WAC. It shall be the responsibility of the owner or operator of the proposed state-licensed marijuana use to demonstrate and ensure that a proposed location is not within one of the buffers. L. An existing nonconforming use located within a zoning district that would otherwise not permit marijuana uses, such as an old convenience store in a residential district, shall not be allowed to convert to a marijuana use. M. Marijuana producers, marijuana processors, and marijuana retailers shall connect to all city of Centralia utilities. N. Marijuana production, processing and retail sales are not permitted as a home occupation under Chapter CMC. O. Retail marijuana sales may not be located within any other businesses, and may only be located in buildings with other uses only if the marijuana business is separated by full walls and with a separate entrance. No more than one marijuana retail business shall be located on a single parcel. P. Marijuana production, processing and retail sales are subject to all applicable requirements of RCW Title 69 and Chapter WAC and other state statutes, as they now exist or may be amended. Q. Marijuana production, processing and retail sales must take place within fully enclosed secure indoor facilities. 42

43 R. Only three recreational marijuana retail stores shall be allowed at any one time within the Centralia city limits. (Ord , 2016; Ord (part), 2014). Section 10 WHEREAS, the Centralia Planning Commission provided opportunities for local agencies and the general public to comment on the Zoning Ordinance during a public hearing conducted by the Centralia Planning Commission on May 10, Section 11 That the provisions of this ordinance are declared to be severable and in the event a court of competent jurisdiction declares any portion of this ordinance invalid, the remaining provisions shall be unaffected thereby. Section 12 That any previously enacted ordinance, or part thereof in conflict herewith be and the same hereby is repealed to the extent of such conflict. Section 13 This ordinance shall become effective five days after its passage and publication as required by law. PASSED by the City Council of the City of Centralia, Washington for the first reading on the day of May, 2018, and the second and final reading on the day of June, ATTEST: City Clerk APPROVED AS TO FORM: City Attorney M A Y O R 43

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55 To: From: CITY OF CENTRALIA COUNCIL AGENDA REPORT Mayor and City Council M.L. Norton, General Manager Council Meeting Date: Department: May 22, 2018 City Light Fund 401 Subject: Second Reading Proposed Revision to City Ordinance and Regarding Net Metering for Solar Installations Background: Ordinance addresses the cumulative generating capacity of net metering systems (solar installations) connected to the City's electric distribution system. The current limit was developed using the requirements of RCW which stipulates that the cumulative generating capacity available to net metering systems will equal 0.5 percent (this is a minimum) of the utility's peak demand during This amount was calculated to be 293KW, which is the current limit specified in the City's ordinance During the past year the City has experienced a significant growth in new net metered connections. All of the new net metered connections are for new solar systems being added to existing commercial and residential dwellings. Staff recommends increasing the cumulative generating capacity from 293KW to 500KW. Ordinance addresses the total investment cost recovery incentives for each KWh generated by a customer from a renewable energy system. RCW provides an upper threshold limit of one and one-half percent of the taxable power sales generated in calendar year 2014 or $250,000, whichever is greater. This change will increase the upper threshold limit from $100,000 to $314,076. Customers who installed renewable energy systems prior to 9/30/2017 are eligible to receive incentive payments up to 6/30/2021. Customers who installed renewable energy systems after 10/1/2017 are entitled to receive incentive payments up to 6/30/2029. The City makes incentive payments to customers with renewable energy systems annually. The incentive payments to customers are subtracted from the Public Utility Tax payments that the City is required to make to the State of Washington. In 2017, the total incentive payments made to customers with renewable energy systems was $28, Financial Impacts: Implementation '-I $ -'- 0.! Annual Ongoing L...I $-'-0;, []] Funds in Current Budget D Appropriation/ Amendment Required Funds for this project are available in the 2018 City Light Budget in Object 441. Alternatives: N/ A Recommendation: Staff recommends that the City Council approve changes to City Ordinance and Index: CCL ADMI 051 CCL- l 8- l 80RD 55