The Board of Island County Commissioners (including Diking Improvement District #4) met in Regular Session on May 18, 1998 at 9:30 a.m., in the Island County Courthouse Annex, Hearing Room, Coupeville, Wa. Wm. L. McDowell, Chairman, Tom Shaughnessy, Member, and Mike Shelton, Member, were present. Also in attendance were Margaret Rosenkranz, Clerk of the Board, and Ellen Meyer, Administrative Assistant to the Board.

The following vouchers/warrants were approved for payment by unanimous motion of the Board: Voucher (War.) #26211-#26550…….................................................. $590,137.90.

Veterans Assistance Fund: [emergency financial assistance to certain eligible veterans; the names and specific circumstances are maintained confidential]. The following vouchers for Veterans Assistance were approved for payment by unanimous motion of the Board, based on the recommendation of the Veterans Assistance Review Committee: V98-8 $616.55; V98-9 $1800.00; V98-10 $1220.79.

ELAINE MARLOW, Auditor’s Office

Dick Toft, Director, Human Resources, presented today for the Board’s review and action, two Personnel Action Authorizations. After receiving a briefing on the two PAA’s, the Board approved the following:

Maintenance Night Custodian Replacement 7/28/98

Position #901.01

Planning Assistant Planner Replacement 6/1/98

Position #1702.02

The Board took up the matter of filling Diking District No. 1 Commissioner position, vacant due to the death of Arthur Gabelein. The Board’s involvement in the business of a diking district, a municipal corporation separate and apart from county government, is prescribed by State Statute. With regard to a vacancy created on a diking district board of commissioners when one of the members dies, RCW 85.38.070(5)(6), providing [in part] that the legislative authority of the county appoint a district voter to serve until a person is elected, at the next special district general election occurring 60 or more days after the vacancy has occurred, to serve the remainder of the unexpired term.

By unanimous motion, the Board appointed Sally Berry, Clinton, to serve as Diking District No. 1 Commissioner refilling the vacancy left by the death of Arthur Gabelein with a term until such time as a special district general election can be held to formally fill this position.

HEARING HELD: Resolution #C-48-98 Declaring an Emergency in the 1998 Current Expense Fund Budget, Equipment Rental & Revolving Fund Budget & Capital Improvement (REET 1) Fund Budget

A Public Hearing was held, as scheduled and advertised, at 9:55 a.m. for the purpose of considering Resolution #C-48-98, an emergency appropriation in the 1998 Current Expense Fund Budget, ER&R Fund Budget and the Capital Improvement [REET 1] Fund Budget, a total of $369,860.00.

The specific break-outs of the three funds were described by Margaret Rosenkranz, Budget Director, provided in detail on page two of the resolution.

No one in the audience spoke either for or against the proposed resolution. By unanimous motion, the Board adopted Resolution #C-48-98 as presented.

WHEREAS, it appears that an emergency (legislative definition) exists in the following 1998 Island County Fund budgets that could not be foreseen when those budgets were adopted; Current Expense Fund Extension Services budget, Extension Services Grants budget, and Jail budget, Equipment Rental & Revolving Fund budget and the Capital Improvement (REET 1) Fund budget, and

WHEREAS, additional funding sources have been identified for the Current Expense Fund Extension Services budget ($2,350) and Jail budget ($5,000), with expenditures required in this budget year, and

WHEREAS, funding for various projects and expenditures has been determined necessary for this budget year from unrecognized funds for the Current Expense Fund Extension Services Grants budget ($7,000), Equipment Rental & Revolving Fund budget ($170,000) and the Capital Improvement (REET 1) Fund budget ($185,510), and

WHEREAS, funds need to be recognized in the amount of Three Hundred Sixty Nine Thousand Eight Hundred Sixty dollars ($369,860) to cover these expenditures, and

WHEREAS, RCW36.40.140 requires that a public hearing be held at which any person may appear and be heard for or against this proposed emergency appropriation, NOW THEREFORE

BE IT RESOLVED, that a public hearing be held at the hour of 9:55 a.m. on the 18th day of May, 1998, at the usual meeting place of the Board in Coupeville to consider this proposed emergency appropriation to the 1998 Island County Current Expense Fund Extension Services budget. Extension Services Grant budget and Jail budget, the Equipment Rental & Revolving Fund budget and the Capital Improvement (REET 1) Fund budget.

ADOPTED this 27th day of April, 1998.

IT IS HEREBY APPROVED AND ORDERED that the amount of Three Hundred Sixty Nine

Thousand Eight Hundred Sixty dollars ($369,860) be appropriated and distributed as shown within the 1998 Island County Fund budgets.

ADOPTED this 18^th day of May, 1998.

Based on favorable recommendations from the Sheriff, Health Department and Planning Department, the Board by unanimous motion approved new application for liquor license, #081096-4A, for the Camano Island Inn.

The staff session schedule for June was approved for distribution, outlining staff sessions for Wednesday, June 3 and 17, 1998, beginning at 9:00 a.m.

Larry Kwarsick, Public Works Director, presented for approval an Easement for access to radio tower on Camano Island from Horst O. and Jennie Stach, Parcel #299.1650, Sec. 12, T31N, R2E. A correction needs to be made to the document to eliminate reference to Jennie Stach. Previous contracts with this individual have been for five years.

Lew Legat, Assistant County Engineer, received the document signed by Horst O. Stach, and Mr. Stach verified there was no signature for Jennie Stach in that they were divorced. The document was returned to Mr. Stach to line out and initial the places where the name appears, and that corrected document has not yet been received.

The Board, on unanimous motion approved the easement for access to the radio tower on Camano Island, between Horst O. Stach and Island County, the Board’s signature authorized once original corrected easement has been received back from Mr. Stach showing the elimination of Jennie Stach from the signature page.

After Mr. Kwarsick reviewed and explained four proposed County Road Project initiation requests, the Board adopted the following Resolutions by unanimous motion in order to initiate CRP 98-06, CRP 98-09, CRP 98-10 and CRP 98-11:

• Resolution #C-58-98 (R-19-98) – initiating CRP 98-06, W.O. #127, Woodland Beach Road Slide Repair (includes FEMA funds); CE, PE, contract construction; $805,000.00
• Resolution #C-59-98 (R-23-98) – initiating CRP 98-09, W.O. #117, Possession Road Slide Repair (includes FEMA funds); CE, PE, contract construction; $213,200.00
• Resolution #C-60-98 (R-24-98) - initiating CRP 98-11, W.O. #124, Ferrydock Road repair (including Fema funds); CE, PE, contract construction, $149,495.00
• Resolution #C-61-98 (R-25-98) – initiating CRP 98-10, W.O. #167, Edgecliff Drive Slide repair (including Fema funds), CE, PE, contract construction, $276,650.00.

As presented and recommended by Mr. Kwarsick, the Board by unanimous motion, approved the Consultant Agreement between Island County and Reid Middleton Associates, for the design and construction inspection services for Possession Road, Ferrydock Road, and Edgecliff Road repair, with costs as included in CRP’s 98-09, 98-10 and 98-11.

Dick Snyder, Construction Engineer, Janet Kearsley, Watershed Project Assoc., and Julie Buktenica, Surface Water Manager, presented highlights from five proposed grants, requesting that the Board today approve all five grant applications for submittal:

Ms. Buktenica commented that the City of Oak Harbor is the purveyor of water for the navy, and therefore the Navy’s needs would be included in Oak Harbor’s projections. The Naval Air Station is within the urban area of Oak Harbor and from that standpoint, Oak Harbor should

include the Navy’s needs within this evaluation.

The Commissioners felt the Navy still needed to be made aware of this project, and the Chairman asked that a telephone call be made to the NAS Public Works Officer.

By unanimous motion, the Board authorized the application for Watershed Grant from DOE with the understanding there are some details to work out with the City of Oak Harbor.

Additionally, by unanimous motion, the Board authorized submittal of the four applications to the Washington State Department of Transportation for Holst/Glendale Project, Glendale Road, Maxwelton & Ericson Roads and Fish Passage Barrier Inventory.

Chairman McDowell opened a public hearing at 10:45 a.m., the Board on April 27, 1998 initially scheduled this date and time a hearing on Ordinance #C-50-98 (PLG-008-98) concerning Amended Interim Application Procedures Affecting Chapter 17.02 Island County Code.

Keith Dearborn, the County’s legal consultant/GMA process, explained that due an internal mistake legal notice was not provided as required and the matter therefore needed to be rescheduled. Had there been anyone present to testify today, he would have recommended that the Board ask for their testimony.

Mr. Dearborn explained that the Interim Application Procedures Amendment came as a result of the decision Judge Hancock entered about three weeks’ ago. The parties , WEAN and the County, agreed to the form and content of the Order. The Judge has that Order and is expected to sign it soon. If there is any need to modify the ordinance based on the language in the signed Order he will recommend that modification on June 1^st. These changes only affect Non-Residential development in the County. In the original ordinance reference was made to Growth Board decisions as the ground rules in this interim period for reviewing applications for Non-Residential development. Judge Hancock said that was not appropriate and the County needed to include in the ordinance specific standards that the Growth Board set in their decisions, not just refer to the decisions. The Judge in his Order sets out the specific words to be included in the Ordinance and directed the Western Growth Board that if in fact Island County adopts that ordinance with that language, they were to remove the Order of Invalidity and rescind it for the Non-Residential activity. On June 1^st when the Board takes action on the Ordinance, he can go to the Growth Board and ask the Board to rescind the invalidity order on all land use matters.

By unanimous motion, the Board rescheduled Ordinance #C-50-98 [PLG-008-98] Amendments to Interim Application Procedures Affecting Chapter 17.02 of the Island County Code, to be heard at public hearing on June 1, 1998 at 11:15 a.m.

On April 27, 1998, Mr. Dearborn brought before the Board a request for tentative public hearing date the amendments for Fish & Wildlife Critical Areas. At that time notice was to go out in the Saturday Whidbey News Times to start the SEPA review period, and the Board set the tentative hearing date as June 8, 1998, at 1:30 p.m. The end of the comment period on the SEPA Determination is today at 4:30 p.m. One comment letter has been received, from Fish and Wildlife, not on the SEPA Determination but on the ordinance itself. The Ordinance is a compilation of the provisions that were released on March 9, 1998, and has gone through four public hearings and Planning Commission deliberation, and the Planning Commission recommends adoption. Further discussion was held last Friday at the Joint Planning Commission/Board workshop. The action needed today by the Board is to now schedule a firm date for said hearing, on June 8, 1998 at 1:30 p.m.

By unanimous motion, the Board scheduled a public hearing on June 8, 1998 at 1:30 p.m. on

Ordinance #C-62-98 [PLG-014-98] Fish and Wildlife Habitat Areas.

With respect to completion of work in SPR#056/94, Trinity Lutheran Church, staff recommended release of funds guaranteeing completion. Action of the Board to release funds was presented by staff by way of Resolution PLG-012-98, releasing $1,000 bond for landscaping (see also SPR 051/91) and Resolution PLG-013-98, releasing $6,500.00 also for landscaping. The Planning Department inspected the landscaping improvements associated with the expansion of the Church and found same completed according to the conditions established with preliminary approval of SPR 056/94. Funds originally collected with SPR 052/91 were applied to SPR 056/94. Based on inspection the Department also recommended release of the $6500 held in Treasurer’s Trust Account under SPR 056/94.

By unanimous motion the Board approved Resolution #C-63-98 [PLG-013-98] releasing funds guaranteeing completion of work in the amount of $6,500, and Resolution #C-64-98 [PLG-012-98] releasing funds guaranteeing completion of work in the amount of $1,000.

The final approval of Rezone by Jeff and Laurel Holbeck from Residential to Rural Residential, parcel #R33218-183-3670, located off Arrowhead Road, North Camano Island, was presented to the Board with staff recommendation of approval. The Findings of Fact, Conclusion of Law and Decision of the Hearing Examiner accompanying recommendation of staff, signed on April 28, 1998, approved said rezone subject to the condition that the property be used only in accordance with, and conform to, all requirements of the Rural Residential zone and other applicable statutes, rules an regulations.

By unanimous motion, the Board approved Ordinance #C-65-98 [PLG-011-98] in the matter of reclassification of parcel #R33218-183-3670 from Residential to Rural Residential, Jeff & Laurel Holbeck, owners.

On presentation by the Planning Director, the Board by unanimous motion, scheduled a Public Hearing for June 8, 1998 at 10:45 a.m. to consider proposed Ordinance #C-66-98 [PLG-006-98] Revision of the Definition of Substantial Improvement in the Flood Damage Prevention Ordinance Chapter 14.02A ICC.

As scheduled and advertised, the Board held a public hearing at 11:00 a.m. for the purpose of considering application TLC #109/98 by John and Virginia Isler, for reclassification as Timber Land for a 20 acre parcel, Parcels #R23132-299-3620 and R23132-363-3620 located approximately 3 miles north of Greenbank, off Cox Road, Whidbey Island. Vince Moore, Planning Director, summarized from the Staff Report prepared by Matt Nash, Senior Planner, with his recommendation:

Based on the foregoing Findings and Conclusions, Open Space Application #TLC

109/98, submitted by John & Virginia Isler, requesting to place 20 acres in open

space/timber current use taxation status (Assessor’s Parcel Nos. R23132-299-3620

& R23132-360-320) located on central Whidbey Island, in the northeast quarter of

Section 32, Township 31 North, Range 02 East, W.M. is hereby recommended for

approval. The following should be required as conditions of approval for open space/

timber tax classification: all future forest practices activity on the subject property

At the time public comment was called for, applicants were not present, and no one in the audience spoke either for or against requested open space timber application.

By unanimous motion, the Board accepted recommendation of staff and approved Application TLC 109/98 by John & Virginia Isler.

Maxine Sauter, Island County Treasurer, reported favorably at the end of April; the cash residual report on track, and revenues coming in as anticipated. The County received four years’ past revenues for county franchise tax due. The property tax collection figure as of April 30 represented about 40% of what will be collected and posted in May. Cash balance after reserve is $1,099,000, which is on target or better. About 78 million dollars was invested as of May 11, receiving rates from 6.2% for 6 month periods, and for up to 91 days, from 5.5% to 5.55%.

Gay Dubigk, Executive Director, Northwest Washington Private Industry Council (PIC), appeared before the Board with regard to requesting Board approval of the Northwest PIC Program Year 1998 and 1999 Job Training Plan for Job Training partnership Act funds administered by PIC. At this time, Ms. Dubigk provided the requested language in the plan the Board discussed with her when she last appeared before them on May 4, 1998 regarding this matter.

Ms. Dubigk had an executive committee meeting with the PIC who discussed the issue at length and are familiar with the history and what the current circumstances are. She has been asked to draft a letter for the Chair of the Private Industry Council with this specific language to the leadership of the agencies as well as the NW PIC members, expressing the role of PIC in this initiative.

Chairman McDowell announced that through the efforts of Tim McDonald, Health Services Director, and Ms. Dubigk, a meeting has now been scheduled on June 19, at 9:00 a.m. between the Board and Tom Hilyard, Regional Director, Employment Security Department, to discuss Island County’s lack of access to employment security. Further, Commissioner Shelton noted that both Senator Haugen’s and Representative Sehlin’s offices had been very helpful in getting the meeting scheduled. This issue is an important issue and needs to remain on the surface.

Mr. McDonald believed the issue of having Employment Security presence in the County has been a long one and he appreciated the Board’s focus on this issue and one he hoped the Board would continue to be tenacious with. He views this issue as very important for the low

income unemployed, people who are not low income and are unemployed and looking for a job, as well as for employers looking to fill jobs.

As mentioned by Ms. Dubigk, the State’s one stop development system is an initiative to do more integrated services State-wide. There is a process in place "One Stop Business Plan" that the consortium has been involved in, and today she provided a copy with the Board and Mr. McDonald that discusses how those work force preparation services are being planned until July, 2000. Commissioner McDowell will be a signature on that plan as the Chief Elected Official for PIC and it is an avenue to assure that kind of planning is going on for Island County. The commissioners have a signatory role in the Wagner-Pizer plan, which funds the Employment Security Department, and that plan is very specific about what services are to be provided and again another avenue to assure the best interests of the County are reflected.

By unanimous motion, the Board signed the NW JTPA Job Training Plan.

Friday, May 22, 1998 – 9:00 a.m. to 5:00 p.m. – Hearing Room 1, Courthouse Annex Basement, Coupeville. Topics: SPR Study; NR Zone; RS Use/Study; Design Guidelines; SPR/PRD Approval Criteria; Signs & Lighting.

The Special Session of the Board scheduled originally for May 29 to meet jointly with the Planning Commission in GMA Workshop, has been rescheduled to: June 1 from 1:30 – 5:30 p.m.

The Chairman made the announcement that the Board would meet today at 3:00 p.m. in Executive Session as allowed under R.C.W. 42.30.110(1) (i) to discuss potential litigation with the County’s legal counsel. The expected length of the executive session was given to be one-half hour, with no announcement afterwards.