The Board of Island County Commissioners convened in Regular Session at 11:00 a.m. on
August 28, 2006 for a roundtable with Elected Officials and Appointed Department Heads, held in the Board of County Commissioners Hearing Room (Room #102B), Annex Building, 1 NE 6^th Street, Coupeville, Wa. Other topics for the regular session followed at 1:30 p.m. as outlined on the agenda. Wm. L. McDowell, Chairman, William J. Byrd, Member [absent for the 11:00 Roundtable due to a previously-scheduled meeting], and Mike Shelton, Member, were present.

Roger Case, M.D.

Diane Kendy

ASSESSOR. Appraisers are continuing their work picking up new construction and are about 90% complete with field work - probably will exceed last year in new construction dollar amount, although the total number of permits are lower than last year. Anticipate mailing reval notices between September 15-30, 2006.

AUDITOR. The new election system being used this year alerts election workers when a wrong ballot is placed in an envelope which will hopefully reduce or eliminate errors on ballots going out.

HEALTH.

• Bats - still a big issue - stay away from bats!

• Rats - remove areas that harbor rats as well as any food source for rats.

• Sea Mar Community Dental Clinic is opening for low and moderate income families, with open house planned for late September.

HUMAN RESOURCES. Instituted Health Retirement Savings Plan for Non-represented Employees and Elected Officials. H.R. will be providing further information soon about this new program.

PROSECUTOR. Josh Choate has submitted his resignation, leaving the County to work in the Attorney General's office, a bigger office with more opportunities. It is a loss for the Prosecutor's Office as Josh has been outstanding in everything he does.

SHERIFF. JBRS [jail booking reporting system] up and running, a live-to-population accounting program, tracking state wide, and dove-tails with Federal program that allows for victim notification. Will be coming on line with LINKS through NCIS, coordination of all criminal data bases throughout the State and a great investigating tool (free).

The Board of Island County Commissioners (including Diking Improvement District #4) met at 1:30 p.m., considering items contained on the agenda; the meeting began with the Pledge of Allegiance. By unanimous motion, the Board approved the minutes of previous meeting August 21, 2006.

By unanimous motion, the Board approved the following vouchers/warrants for payment:

As presented by Larry Larson, Human Resources Director, the Board by unanimous motion approved the following personnel action authorizations:

Health 071/06 EHS III 2403.05 Replacement 8/28/06

Health 115/06 Dept. Asst. .75 FTE 2420.00 Replacement 8/26/06

Planning 116/06 Asst. Planner 1708.04 Replacement 8/28/06

Pros. Atty. 118/06 Dep. Pros. Atty 1816.00 Replacement *

candidate can be hired, not contingent upon leave payout.

By unanimous motion, the Board approved the Purchase and Sale Agreement for the Boyer Property in the amount of $2,400,000, subject to conditions, authorizing either the Chairman or the other two Commissioners to sign the Agreement.

By unanimous motion, the Board approved the following purchase orders to furnish the Camano Island Annex Office from Bank & Office Interiors, Project #200178:

• Planning Department: Purchase Order No. 8104 $21,295.16 incl. WSST

• Health Department: Purchase Order No. 7239 $ 8,472.28 incl. WSST.

As advertised and scheduled, the Board opened a public hearing at 9:55 a.m. to consider Resolution #C-79-06 Increasing the Island County Current Expense Fund Reserve Account.

Elaine Marlow, Budget Director, provided further details and the need for adoption of the resolution. In 1995 the Board established a reserve account within the Island County Current Expense fund to set aside a minimum 10% of the annual current expense fund revenues to be used for extraordinary disasters that require money immediately available. Eleven years later it has been determined necessary to increase the amount of reserve to a total of 2.2 million dollars, for 10% of the 2006 Current Expense Revenue. Given some of the unfortunate occurrences in the past few years, Ms. Marlow thought this a very wise action, one that would provide money to pay first responders, vendors, etc. in the event of a major earthquake or disaster.

At the time of hearing when the Chairman called for comments from members of the public, no comments were made either for or against said Resolution.

The September, 2006 Staff Session Schedule was approved by unanimous motion for Staff Sessions to be held on September 6 and 20, beginning at 9:00 a.m.

The Board by unanimous motion approved the Contract with CXT Incorporated for Goss Lake vault toilet purchase and installation, per bid previously awarded by the Board, in the amount of $13,652.06 including Washington State Sales Tax (RM-PARKS-06-0092).

By unanimous motion, the Board approved the following Health contracts as recommended by Tim L.

McDonald, Health Services Director:

Having been reviewed by the appropriate County departments and received recommendations of approval, the Board by unanimous motion recommended approval of the following liquor license applications to the Washington State Liquor Control Board:

Resolution #C-98-06/R-34-06 In the Matter of Adoption of Island County’s Six-Year Transportation Improvement Program for the Years 2007-2012, having been reviewed by the Island County Planning Commission and found in compliance with the Island County Comprehensive Plan, was presented to the Board with a recommendation of approval by Randy Brackett, Assistant County Engineer.

The Board by unanimous motion, approved Resolution #C-98-06/R-34-06 In the Matter of Adoption of Island County’s Six-Year Transportation Improvement Program for the Years 2007-2012 as presented.

Resolution #C-99-06/R-35-06 – In the Matter of Adoption of Island County’s Six-Year Capital Improvement Program for the Years 2007-2012 was submitted to the Board by Mr. Brackett with a recommendation of approval, the CIP having been reviewed by the Island County Planning Commission and found in compliance with the Island County Comprehensive Plan.

By unanimous motion, the Board approved Resolution #C-99-06/R-35-06 – In the Matter of Adoption of Island County’s Six-Year Capital Improvement Program for the Years 2007-2012 as presented.

As advertised and scheduled for 2:30 p.m. a public hearing was held for the purpose of considering proposed Ordinance #C-90-06 (PLG-024-06) In the matter of an ordinance concerning Technical Amendments to the Island County Comprehensive Plan Future Land Use Plan Map and the Island County Zoning Atlas, Parcel R13222-197-1650 (Map #153 North Whidbey Island, WA). The landowners, the Fircvhaus, were present in the audience at the time of hearing.

Jeff Tate, Assistant Planning Director, referred to three exhibits attached to the proposed Ordinance:

Mr. Tate noted that the applicants supplied data to show that in 1998 some information probably was not before staff at that time when making initial recommendations to the Planning Commission. A sewer district boundary had been previously established which includes this parcel, has been in the sewer district boundary and capable of being served by the sewer district - a serviceable property. There were other areas in the County, for example Holmes Harbor, where the County did very much consider the presence of sewer district boundaries and the ability of those sewer districts to provide parcels with service.

At the time of hearing, no one in the audience spoke either for or against Ordinance #C-90-06.

On August 21, 2006 the Board held a Closed Record Appeal Hearing on Appeal #308/06 by Gerald Wood, appellant, appealing the Hearing Examiner’s Decision dated July 13, 2006 granting Preliminary Long Plat (PLP) #386/05, Chipshot Heights, with conditions, located in the Holmes Harbor Residential Area of More Intensive Development (RAID) north of Freeland, WA. The Board's decision was scheduled for announcement at public meeting this date.

The Board's written decision was prepared based on the record and the individual statements from each Commissioner provided previously to the Planning Director.

By unanimous motion, the Board approved and signed the Appeal Decision, File No. APP 308/06 In the Matter of an Appeal of the Island County Hearing Examiner's Decision in PLP 386/05, SWDC, Inc.,

affirming the decision of the Island County Hearing Examiner to grant conditional approval of the Chipshot Heights Preliminary Long Plat Application PLP 386/05.

A Public Hearing was held at 2:45 p.m. as advertised and scheduled for the purpose of considering proposed Ordinance #C-84-06 Amending Chapter 3.22A ICC Conservation Futures Fund Annual Allocation Distribution Formula, a different method by which to allocate Conservation Futures funds.

Based on comments sent via e-mails it was brought to Chairman McDowell's attention that one problem with the proposed change in Ordinance #C-84-06 was that over time it pushes the allocation into a one-third, one-third, one-third division of funds, but the three districts as defined are not one-third, one-third, one-third by assessed value. It was his belief there had been no intent to force the distribution of one-third, one-third, one-third across the board. He handed out to members of the public and Commissioners a suggested slightly-changed revision to proposed Ordinance #C-84-06 for consideration:

Diane Kendy, Langley, expressed her problems in deciphering the proposal by the Chair, and thought simpler language needed. She was appreciative to Commissioner Shelton for opposing both proposals. The proposals made no sense and would hamper the Commissioners in making a selection for whatever property comes on the market, and was an example of a divisive politics of the worst kind. The language proposed by CAB (Conservation Futures Citizens Advisory Board) is simpler:

Mariane Edain, WEAN, Langley, reminded that folks previously said loud and clear this type proposal was not a good idea. The language proposed by CAB is simple, straight forward, does the job and provides the leeway necessary. To divide up a fund so as not to be able to use the entire fund when a special property comes up basically would cripple the fund. She recommended adoption of language proposed by the CAB.

Steve Erickson, WEAN, Langley, noted the only instances he was aware of where conservation acquisitions did not occur due to shortfall in funding had to do with parity provisions. He reminded that conservation needs and opportunities do not follow immediately defined political or tax boundaries. Divisions suggested are not equal in terms of population, area or funding, and these types of programs need to be driven by opportunity when a property comes on the market or a landowner expresses interest in a partial donation. He thought the proposal was neither good planning nor good politics in the long run in terms of providing opportunities for the people in the different districts.

Tom Cahill, Freeland, pointed out that the people elected the Commissioners to exercise sound judgment for the benefit of all residents of Island County; striving for perfect parity would guarantee partial paralysis. He asked the Commissioners to use wisdom, courage and foresight and not enact the ordinance in any form as proposed.

Janet Hall, Whidbey Island resident, believed that any opportunity to preserve property should occur regardless of where the property is located. She felt by enacting a parity provision would tie the Commissioners hands. The Commissioners have the ultimate say after the CAB goes through that process, and as a taxpayer, asked that all options be kept open and the right decision made for all Island County residents.

Curt Gordon, Clinton, who has served on the South Whidbey Parks and Recreation Board for almost 20 years and appointed in that capacity to the TAG (Technical Advisory Group), helped write the first drafts for scoring criteria at the time. He was against the first parity move. Scoring different projects are based on whether a project is of a regional, district or local benefit. The Heron rookery on Camano Island, for example, is a Puget Sound region benefit. He agreed while there is something to the parity issue, he felt there should be some fairness and wanted to trust the Commissioners to make that choice and not build it into an ordinance or legislation.

Larry Kwarsick, Langley, current CAB Chair, and a member of TAG, observed both parties were in attendance today, through him as well as other members of CAB, to present some recommendations to

Stan Stanley, North Whidbey, CAB member for four years, concluded that to do the job right there needs to be the ability to look at properties that are available and their value, which is much more important than the allocation aspect on a short term basis. He suggested the Board look at this as a way to fund those properties that have conservation value, use the funds in a judicious appropriate manner, and he supported the inclusion of the language about out of cycle applications and that the Board consider same at a future public hearing.

Harry Jester, Langley, urged that the Board not adopt the proposed change in that it would not provide preservation of properties with the highest conservation value and it is not in the interest of the people of Island County. He thought CAB had done well in reviewing and judging opportunities in the past without significant bias for location, etc. He asked that the Board not destroy a well-controlled process and to not adopt either proposed change.

Craig Williams, Clinton, President, Friends of Glendale, a watershed council for the Glendale Watershed on South Whidbey, addressed a lost opportunity because of the parity issue. When they first started forming in late 2002 looking to preserve Glendale headland waters as well as salmon bearing portion of Glendale stream, there was a listing in Glendale Heights area for in excess of 20 acres and included the entire salmon bearing spawning section of the lower Glendale watershed. Inquiries were made into the possibility of accessing Conservation Futures funds for the County to have ownership of this section of the stream, and were basically told not to consider it because of the parity issue. Recently two five acre properties above the salmon section on an unstable slope have been sold and are now going through the process of development. When starting to divide up the money, opportunity is lost to have comprehensive solutions to sections that would benefit not only the conservation programs but other programs the County is involved in.

Bob Hallahan, Oak Harbor, opposed both proposals, believing both unnecessary. Funds should be able to move quickly to fund the best properties for conservation value.

Judy Chapman, Camano Island, endorsed what the other members of CAB stated.

Steve Erickson, WEAN, gave an example of another possibly foregone opportunity because of the existing parity provision: the 780 acres of Trillium forest land, mostly clear-cut in the late 1980's, an acquisition of regional significance over the long term, next to a state park and would form an important two mile wildlife corridor.

Lee McFarland, Oak Harbor, mentioned it was apparent how this segment of the population felt about the proposed ordinance, and suggested the Board entertain a motion disapproving the ordinance as proposed today and bring forth a new change to the ordinance.

Chairman McDowell explained his support for something along the lines of parity. In general most of the projects purchased with conservation futures have had a side value to the public for use as recreation [primarily trails]. As to the argument to purchase only those properties with the best conservation value, while that may be important, since the property is used for other things rather than strictly conservation, the people who pay for it with their tax dollars should have the ability to at least have reasonable access. As far as the argument that given long term it would work out, he was not convinced with just the goal of having parity that that would ever happen. He thought that the proposal brought forward to address out of cycle applications was a very reasonable request, and would like to look further at the proposal from CAB addressing that provision, and suggested the Board discuss and consider that in a staff session, and have the Deputy Prosecuting Attorney involved in assisting with the drafting of language.

Commissioner Shelton believed that as the CAB recommended, the out of cycle provision was an important component. He pointed out that the Board has the ability to approve or deny projects to ensure that projects from around the County are funded or not funded. Putting the provision into ordinance would be like "telling ourselves how we ought to spend the money before we ever have an opportunity to look at what we might spend the money for". It has been said previously that there are more activists in his District, which is probably very true; there probably will be many more conservation futures fund applications from South Whidbey and Central Whidbey than from North Whidbey; however, the Board still has the ability to create that parity without putting it in code He encouraged his fellow Commissioners to rethink their positions and listen to the recommendation from CAB.

Commissioner Byrd agreed there were a number of points brought up worth considering; fairness to everyone is one that rings true with him. With regard to comments about long term averaging and parity, some questions that come to mind are: how to achieve that; how long a period of time and what kind of controls should be put in the system. This is the second attempt to try and come up with something reasonable, fair and equitable for all. He agreed with the suggestion of more time to look at proposals, address all issues and include language with regard to out of cycle applications.

Chairman McDowell wanted an opportunity to review at a minimum the comments from CAB with regard to out of cycle applications, and further review language he may want to propose. The earliest review that could take place would be at staff session on September 6, and possibly the following Monday have a proposal to set for public hearing on October 2^nd. Between today and the Staff Session, Commissioners will individually have an opportunity to review what was said at today's hearing and come up with suggestions.

Commissioner Shelton moved denial of Ordinance #C-84-06 in the matter of amending chapter 3.22A ICC, Conservation Futures Funds Annual Allocation Distribution Formula. Motion, seconded by Commissioner Byrd, carried unanimously.

ISLAND COUNTY, WASHINGTON

______________________________

Wm. L. McDowell, Chairman

William J. Byrd, Member

_____________________________

Mike Shelton, Member

ATTEST:

_______________________

Elaine Marlow

Clerk of the Board