HomeMy WebLinkAboutCAP091114CITY OF CENTRAL POINT
Central Point
City Council Meeting Agenda
City Hall
September 11, 2014
541-664-3321
City Council
Next Res. 1410
Mayor
Next Ord. 1994
Hank Williams
Chapter 3.30 Marijuana and Marijuana -Infused Product
Ward
I. REGULAR ME ETI NG CALLE D TO ORDER -7:00 P. M.
Bruce Dingler
Tom Humphrey,
II. PLEDGE OF ALLEGIANCE
Ward II
25-31 B. Second Reading, Ordinance No. , Amending
Kelly Geiger
Central Point Municipal Code Chapter 5.24 Adult
Finance
III. ROLL CALL
Ward III
Ellie George
IV. PUBLIC APPEARANCES —Comments will be limited to 3 minutes per
Ward IV
individual ors minutes if representing a group or organization.
Allen Broderick
Lodging Tax (Clayton)
Works
V. CONSENTAGENDA
At Large
55-59 D. Resolution No. Authorizing the City
David Douglas
Page 2-9 A. Approval of August 14, 2014 Council Minutes
Rick Samuelson
of Understanding (Samitore)
Manager
10 B. Approval of Proclamation for Mayors United Month
VI. ITEMS REMOVED FROM CONSENT AGENDA
Administration
VII. PUBLIC HEARING, ORDINANCES, AND RESOLUTIONS
Chris Clayton, City
Manager
Deanna Casey, City
12-23 A. Public Hearing/Ordinance No. , Amending
Recorder
Ordinance No. 1992 Central Point Municipal Code
Chapter 3.30 Marijuana and Marijuana -Infused Product
Community
Tax and Declaring an Emergency (Clayton)
Development
Tom Humphrey,
Director
25-31 B. Second Reading, Ordinance No. , Amending
Central Point Municipal Code Chapter 5.24 Adult
Finance
Businesses (Clayton)
Bev Adams Director
Human Resources
33-53 C. Public Hearing/First Reading, An Ordinance Amending
Barb Robson, Director
Central Point Municipal Code Chapter 3.24 Transient
Parks and Public
Lodging Tax (Clayton)
Works
Matt Samitore,
55-59 D. Resolution No. Authorizing the City
Director
Manager to Sign the Twin Creeks Crossing Project Letter
Jennifer Boardman,
of Understanding (Samitore)
Manager
Police
Kris Allison Chief
61-83 E. Resolution No. Recommending Adoption of an Agreement
Between the City of Central Point and the Oregon State Department of
Consumer and Business Services, Building Codes Division (Richmond)
85-93 F. Resolution No. Recommending Adoption of an Agreement
between the City of Central Point and the Central Point Chamber of
Commerce for Contract Operation for the City's Visitor Information
Center (Clayton)
1�1 I I I�: i I ly I S I Y.ii
95-99 A. Water Treatment Facility Engineering Feasibility Discussion(Clayton)
IX. MAYOR'S REPORT
X. CITY MANAGER'S REPORT
1:1 1�41611J t• 14191.14:161.1 M
XII. DEPARTMENT REPORTS
XIII. EXECUTIVE SESSION — ORS 192.660 (2)(e)
The City Council will adjourn to executive session under the provisions of ORS 192.660
(2)(e) Real Property Transactions. Under the provisions of the Oregon Public Meetings
Law, the proceedings of an executive session are not for publication or broadcast.
XIV. ADJOURNMENT
Consent Agenda
CAP091114 Page
CITY OF CENTRAL POINT
City Council Meeting Minutes
August 14, 2014
I. REGULAR MEETING CALLED TO ORDER
Mayor Williams called the meeting to order at 7:00 p.m.
II. PLEDGE OF ALLEGIANCE
III. ROLL CALL: Mayor: Hank Williams
Council Members: Allen Broderick, Bruce Dingler, Rick
Samuelson, and David Douglas were present. Kelly Geiger
and Ellie George were absent.
City Manager Chris Clayton; City Attorney Sydnee Dreyer;
Police Captain Brian Day; Human Resource Director Barb
Robson; Parks and Public Works Director Matt Samitore;
and City Recorder Deanna Casey were also present.
IV. PUBLIC APPEARANCES
Kara Kari, 410 Robleda Drive, Jackson County Resident
Mrs. Kari stated that Council Members should be more concerned about the
marijuana grow sites then the issue of dispensaries. She has a grow site next to
her property and the smell of the plants make her sick. They degrade the
property values all around them.
V. CONSENT AGENDA
A. Approval of July 24, 2014 City Council Minutes
B. Approval to cancel the second Council meetings in August, September,
November and December 2014
C. Approval of Special Event for 2014 Drive Out Drugs Recovery Walk
Allen Broderick moved to approve the Consent Agenda as presented. Rick
Samuelson seconded. Rall call: Hank Williams, yes; Bruce Dingler, yes; Allen
Broderick, yes; David Douglas, yes; and Rick Samuelson, yes. Motion approved.
VI. ITEMS REMOVED FROM CONSENT AGENDA - None
VII. PUBLIC HEARINGS, ORDINANCES AND RESOLUTIONS
A. Resolution No. 1406, Authorizing Full Faith and Credit Borrowings to
Refinance Outstanding Obligations for the City of Central Point
City Manager Chris Clayton presented the staff report explaining that due to
favorable interest rates, the city is able to refinance three debt obligations for an
estimated savings of over $117,000, including financing costs. The refinance will
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incorporate the City's 2004, 2007, and 2008 issued debt into one Series 2014.
The total amount of this borrowing is $2,693,200 with an interest rate of 2.49%.
He provided a table showing what the payment schedule should be. There is a
prepayment penalty if paid off prior to 2017. This should not be an issue as the
city will not be able to pay the loan off before that date.
Rick Samuelson moved to approve Resolution No. 1406, Authorizing Full
Faith and Credit Borrowing to Refinance Outstanding Obligations for the
City of Central Point. Allen Broderick seconded. Rall call: Hank Williams, yes;
Bruce Dingler, yes; Allen Broderick, yes; David Douglas, yes; and Rick
Samuelson, yes. Motion approved.
B. Resolution No. 1407, to Adopt Tax Exempt Bond Post -Issuance
Compliance Policies for the City of Central Point
Mr. Clayton explained the IRS has become increasingly interested in
encouraging issuers to adopt written compliance procedures because they
believe that tax compliance may improve if issuers have written procedures
addressing how they will monitor compliance after bonds are issued.
Although the IRS does not require issuers to adopt post -issuance compliance
procedures, it has provided an incentive in the form of penalties in the event that
there is an inadvertent tax violation after issuance. If there is a change in use of a
bond -financed facility in a way that causes tax issues, an issuer who discovered
the problematic change in use pursuant to its post -issuance procedures is
entitled to pay a reduced amount if the chance is such that a monetary
settlement to the IRS is required to resolve the tax issue. Of course we plan for
there not to a tax issue in the first place, but if the City has procedures in place
the settlement in the event of such an issue would be reduced. In addition, while
the IRS has stated that it is not targeting issuers without post -issuance
compliance procedures for an audit, they have indicated that they view the
adoption of these procedures to be a favorable fact during an audit in indicating
that the issuer takes its post -issuance compliance procedures seriously.
Bruce Dingier moved to approve Resolution No. 1407, to Adopt Tax Exempt
Bond Post -Issuance Compliance Policies for the City of Central Point.
David Douglas seconded. Rall call: Hank Williams, yes; Bruce Dingler, yes; Allen
Broderick, yes; David Douglas, yes; and Rick Samuelson, yes. Motion approved.
C. Second Reading — Ordinance No. 1992, Establishing Central Point
Municipal Code Chapter 3.30 Marijuana and Marijuana -Infused
Product Tax
Mr. Clayton explained that this is the second reading of an Ordinance setting a
Tax on marijuana and marijuana -infused products. There was a public hearing at
the first reading where one person spoke on the issue stating that the tax should
be higher and should be the same county wide. He has spoken with the local
jurisdictions who are also discussing this issue, however they are not at the point
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of adoption yet. The County would need to put it to the vote of the citizens and
are considering putting it on the November ballot.
There have been no changes to the Ordinance and staff recommends moving
forward with the tax. If Council decides the tax should be higher before the
November election we can make adjustments to the Ordinance at a later date.
He does not recommend delaying implementation of the Ordinance.
There was discussion of regulation of grow sites. The current measure for
legalizing marijuana does not address grow sites. The state currently regulates
grow sites for medical purposes and does not provide the cities with that
information. There was discussion of increasing the tax but not to the point where
citizens could not afford it or that businesses could not afford to locate within the
city limits. We do not want to make it impossible, we only want to designate the
time and place, and allow for a tax to help reimburse the city for expenses to
monitor those sites.
Bruce Dingier moved to approve Ordinance No. 1992, Establishing Central
Point Municipal Code 3.30 Marijuana and Marijuana —Infused Product Tax.
David Douglas Seconded. Roll call: Hank Williams, yes; Bruce Dingler, yes; Allen
Broderick, yes; David Douglas, yes; and Rick Samuelson, yes. Motion approved.
D. First Reading, An Ordinance Amending Central Point Municipal
Code Chapter 5.24 Adult Business
Mr. Clayton explained that there are several revisions to the definitions of adult
businesses that have come to our attention that are outdated in the municipal
code. The original code was written in the 1980's and is no longer relevant. It is
recommended to eliminate or revise several definitions in this portion of the code.
Massage parlors were considered an adult business under this code. That is not
the case in current business practice and these changes will clarify that type of
business. There appears to be no immediate impacts to current businesses in
the City, however, new businesses entering Central Point will now be correctly
classified as adult businesses. A public hearing is not required but is
recommended.
Mayor Williams opened the public hearing. No one came forward and the public
hearing was closed.
There was discussion regarding a new type of business called snuggling that has
been introduced around the country. City Attorney Dreyer stated that this
Ordinance would not cover that type of business if it were to come into Central
Point. There is nothing to indicate that Snuggling would be considered an "Adult
Business" under these provisions.
There was discussion regarding the locations that an adult business could be
located. It was stated that the zoning would be limited to that similar to Medical
Marijuana Dispensaries. There are specific zones that they are allowed to be in.
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Cities are allowed to designate time and place for those businesses but are not
allowed to ban them.
Rick Samuelson made a motion to move to second reading An Ordinance
Amending Central Point Municipal Code Chapter 5.24 Adult Business.
David Douglas seconded. Rall call: Hank Williams, yes; Bruce Dingler, yes; Allen
Broderick, yes; David Douglas, yes; and Rick Samuelson, yes. Motion approved.
E. Second Reading — Ordinance No. 1993, Amending CPMC Chapter
17.60 Adding Provisions for Interim Water Service and Development
Standards for Lands within the Tolo Area (CP -1B) Urban Reserve
Mr. Samitore explained there were no recommended changes to the ordinance at
the first reading allowing interim water service standards for the lands within the
Talo Area for future development. The interim water service standards will allow
development to begin prior to city water service being available to the area. The
developers will be aware that there will be limitations for a time.
All parties will be aware of their ultimate responsibilities to financially participate
in an improvement district for a public water system when available; and that
there are interim water system standards that must be met as a condition of
development.
Rick Samuelson moved to approve Ordinance No. 1993, Amending CPMC
Chapter 17.60 Adding Provisions for Interim Water Service and
Development Standards for Lands within the Tolo Area (CP -1B) Urban
Reserve. Allen Broderick seconded. Rall call: Hank Williams, yes; Bruce Dingler,
yes; Allen Broderick, yes; David Douglas, yes; and Rick Samuelson, yes. Motion
approved.
F. Resolution No. 1408, Ratifying the General Services Collective
Bargaining Agreement and Authorizing the Mayor and City Manager
to Sign the Agreement
Human Resources Director Barbara Robson explained that the General Services
Union have ratified the revised agreement. This is a three year contract with a
cost of living adjustment of 1.6% for the current year. This adjustment will be
retroactive to July 1, 2014. She explained other changes to the agreement that
include language to allow some latitude for changing future pay dates,
clarification of pay for certifications, adjusting travel reimbursement parameters,
identifying types of positions that are excluded from this bargaining unit, and
language specifying minimum staffing requirements for public works crews with
respect to vacation scheduling. The City agreed to remove the additional year
required for eligibility for "Step F", but clarified that all step increases are
contingent on department head approval. Employees hired on or after July 1,
2014 will pay 20% of their health insurance premiums, while current bargaining
unit employees will continue to pay 10% of the premium.
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Allen Broderick moved to approve Resolution No. 1408, Ratifying the
General Services Collective Bargaining Agreement and Authorizing the
Mayor and City Manager to Sign the Agreement. Rick Samuelson seconded.
Roll call: Hank Williams, yes; Bruce Dingler, yes; Allen Broderick, yes; David
Douglas, yes; and Rick Samuelson, yes. Motion approved.
G. Resolution No. 1409, A Resolution Revising the Classification Pay
Plan
Mrs. Robson explained that this is an annual resolution setting the pay plan for
each year. This year she wanted to wait until after the General Services
Agreement was ratified to bring it before the Council. She explained the revisions
to the plan are according to both contract negotiations.
David Douglas moved to approve Resolution No. 1409, A Resolution
Revising the Classification Pay Plan. Bruce Dingler seconded. Roll call: Hank
Williams, yes; Bruce Dingler, yes; Allen Broderick, yes; David Douglas, yes; and
Rick Samuelson, yes. Motion approved.
VIII. BUSINESS
A. Run 4 Freedom Financial Report
Parks and Recreation Manger Jennifer Boardman stated that the Parks and
Recreation Department in conjunction with Anytime Fitness held the 4th annual
Run 4 Freedom and Kids Fun Run on the 4" of July.
The run was very successful and there were many positive comments. We didn't
have a large sponsor this year but we did have several smaller sponsors that
provided merchandise in the goodie bags for the adult run.
There were 189 kids that ran and 183 adults. We offered pre -race bag pick up
which helped cut down on staff costs during the day of the race.
There was a savings in cost this year because we utilized all of Pine Street for
the run route. This saved about $800 because we didn't have to shut down a
portion of Hwy 99.
Staff recommends donating the proceeds of $1397.18 to the Crater Foundation
for football scholarships since the helpers of the event were the Crater Football
team members.
Allen Broderick moved to donate the proceeds of the Run 4 Freedom event
to the Crater Foundation for Football Scholarships. Roll call: Hank Williams,
yes; Bruce Dingler, yes; Allen Broderick, yes; David Douglas, yes; and Rick
Samuelson, yes. Motion approved.
B. Planning Commission Report
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City Manager Chris Clayton presented three items that were discussed at the
August 5, 2015 Planning Commission meeting.
The Commission Considered a Major Modification per CPMC 17.09 to re -
plat portions of Beebe Woods Subdivision, Phases 3 and 4, located in the
R-2, Residential Two Family Zoning District. A final plat was recorded for
Beebe Woods, Phases 3 and 4 in October 2005 and all of the
infrastructure improvements were made. Construction began on houses
but stopped with the recession. This proposal to re -plat the subdivision
will reduce the number of lots from 33 to 25, replace the two-story with
single story homes and target an older residential population. Central
Point Eat residents voiced their concerns about traffic in their
neighborhood and wanted an alternative access built with this re -plat.
Under City and State codes, the scope of a modification is limited to the
owner's request which is simply to reduce the number of lots. The
Commission reasoned that the City approved the subdivision, the owner
made the improvements and that the scope and the City's authority was
limited to lot and vehicle trip reduction. They voted unanimously to
approve Resolution No. 805 to re -plat Beebe Woods, Phases 3 and 4.
The Commission discussed concerns raised by residents of Central Point
East Subdivision regarding traffic in their neighborhood around the
intersection of Oakview Avenue and Meadowbrook Drive. Because of the
changing demographics in the areas the results have created more
vehicle traffic. The commission would like to see the area re-evaluated
and made a motion to recommend the City Council direct Planning and
Public Works staff to evaluate the need for a stop sign on Oakview
Avenue at its intersection with Meadowbrook Drive.
The Commission considered the Floodplain Development Application to
complete floodway mitigation activities including in -channel bank
protection for Griffin Creek and upland grading activities for Twin Creeks
TOD. The Planning Commission reviewed the overall Twin Creeks
Floodway Mitigation Project and after deliberation with staff and the
applicant's consultant team, approved Resolution No. 806 for a
Floodplain Development Permit.
IX. MAYOR'S REPORT
Mayor Williams reported that he attended the Oregon Mayor's Conference in
Pendleton Oregon. All the State Department Directors were in attendance and
able to discuss issues that were concerns for local jurisdictions. There were lots
of discussions regarding medical marijuana and the ballot measure to legalize
recreational use of marijuana. OLCC will be the division in charge of regulating
the sale and regulations of this product if the measure is approved by voters.
X. CITY MANAGER'S REPORT
City Manager Chris Clayton reported that
• There will be a Study Session on Monday night. The President of RCC would
like to discuss the possibility of locating a campus in Central Point.
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• The Central Point Chamber of Commerce will begin Interviews for a new
CEO next week. They will include members from the City and Expo along
with Chamber Board members.
• The City continues to have issues with RVSS and will bring an Franchise
Agreement option to the Council in September.
• The Library District lowered their original recommendation for the tax rate to
.52 instead of the full taxing authority.
• Mr. Humphrey and Mr. Samitore have been working on the UGB expansion
to the Tolo Area.
• Twin Creeks Development has been talking with Community Development
regarding an expansion to the assisted living facility.
• He has been working with Public Works Management on a feasibility study
for a water treatment plant to service the Tolo area. More information will be
available in the near future.
XI. COUNCIL REPORTS
Council Member Allen Broderick reported that he attended the Eagle Point City
Council Meeting on Tuesday regarding a real-estate issue. They have a strange
water billing set up situation he was trying to work a client through.
No other Council reports.
XII. DEPARTMENT REPORTS
Parks and Public Works Director Matt Samitore reported that:
• RVSS has been working on Hazel Street replacing some 100 year old sewer
pipes. They had several issues that could have causes some serious issues
to their contract employees. These pipes were 29 foot deep and were under
our water main line. There were holding our water main up with make shift
braces while they tried to repair the crumbling side walls with men in the
ditches. The potential damage to a water main was huge and could have cost
the city residents the loss of water if it had broken. The proposed franchise
agreement will have policies in place for RVSS when they are working on
sewer line in the city and it will impose a franchise fee.
Police Captain Brian Day reported that the Central Point Police and Jackson
County Sheriff Department have been doing a Greenway sweep for transient
camps. They found several camps. He explained the evictions and a couple of
arrests that were made. The DARE Show and Shine was a success this year
with 159 entries. They received no negative feedback. Officer Grissom is
attending SWAT school in Salem.
Parks and Recreation Manager Jennifer Boardman reported that it is vital to
remove the blackberry bushes along the greenway. They will be instituting the
same program that Medford has done. They have noticed a lot of trash from the
truckers parked at the Pilot station throwing trash over the fence into the bushes
along the greenway.
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XIII. EXECUTIVE SESSION — No Executive Session
XIV. ADJOURNMENT
Mayor Williams moved to adjourn, Bruce Dingler seconded, all said "aye" and the
Council Meeting was adjourned at 8:40 p.m.
The foregoing minutes of the August 14, 2014, Council meeting were approved by the
City Council at its meeting of September 11, 2014.
871M.11
Mayor Hank Williams
ATTEST:
City Recorder
Return to Agenda
CAP091 n4 Page 9
Prodamadon
WHEREAS, hunger is a serious problem, among our elderly and disad van raged child and adult
populations in Central Point and
WHEREAS, Mayor Hank Williams ofCcmral Point comes together with the Mayors ofMcd-
ford, Ashland, Talent, Phocnix, Jacksonville, Rune Falls, Eagle Point, Shady Cove, Gold Hill
and Rogue River, once a year in October to raise money and awareness for ACCESS; and
WHEREAS, the Mayors of Jackson County have established their efforts in October as the
annual "Mayors United: Helping ACCESS Feed our Community"; and
WHEREAS, ACCESS is the designated Community Action Agency for Jackson County, Ore -
Pon; and
ro-Pon;and
WHEREAS, ACCESS provides numerous programs, through their housing, wearherizarion,
nutrition and senior outreach services, to help low-income and disadvantaged citizens in Jack-
son County help rhcmsclves: and
WHEREAS, ACCESS Food Share provides 3.1 mill ion pounds of food annually (59,615
pounds weekly) to over 10,062 families throughout Jackson County through a collaborative
network of25 food pantries staffed by volunteers and more than 20 programs including local
emergency shelters and residential feeding programs; and
WHEREAS, last year, ACCESS Food Share Gardens produced more than 61,845 pounds of
fresh produce grown and harvested by volunteers; and
NOW THEREFORE, The City of Central Point does hereby proclaim October, 2014, as
Mayors United to Help Fight Hunger Month
In Central Point, Oregon, in recognition of the hard work and dedication of the mayors, the
event sponsors and contributors, as well as the 1,400+ volunteers who work to fulfill the AC-
CESS mission of "Helping People Help Themselves." Mayor Hank Williams urges the citizens
of Central Point to come together to contribute to and support these efforts to eradicate hunger
in our community.
IN WITNESS WHEREOF, I hereby set my hand this , day of
.2014.
Mayor Hank Williams
City of Central Point
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Ordinance
Emergency Clause
Marijuana Tax
Adjustment
CAP091114 Page 11
A
CENTRAL
POINT
ADMINISTRATION DEPARTMENT
140 South 3rtl Street Central Point, OR 97502 (541) 664-7602 www. cent ra I pointoregon.gov
STAFF REPORT
September I I'", 2014
AGENDA ITEM: Ordinance No. _ An emergency ordinance amending Central Point
Municipal Code Chapter 3.30 — marijuana and marijuana -infused product tax.
STAFF SOURCE:
Chris Clayton, City Manager
Sydnee Dreyer, City Attorney
BACKGROUND/SYNOPSIS:
After the creation of Central Point Municipal Code Chapter 3.30, a question arose regarding the
city council's ability to adjust the marijuana product tax rate in the future. Future adjustment of the
rate may be necessary if public safety costs/impacts are not completely mitigated by the initial rates
established in Chapter 3.30. The proposed amendments set a rate ceiling of twenty-five percent
(25%) and allow future adjustment by city council resolution.
Legal analysis suggests that the twenty-five percent (25%) tax ceiling is reasonable and legally
defensible.
FISCAL IMPACT:
Oregon Ballot Mesure 491: The proposed ballot initiative does provide for a state-wide taxing
structure on the sale of legalized/medical marijuana; however, it does so in the following manner
Section #33
A tax is imposed on the privilege of engaging in business as a nearijuana producer at the rate of.•
$35 dollars per ounce of all marijuanallowers;
$10 dollars per ounce on all nearijuana leaves; and
$5 dollar for every ineneature plant.
The taxes collected under this section would be placed in the Oregon Marijuana Account and would
be distributed based on section #44 of the proposed ballot initiative:
At the end of each month, the Oregon Liquor Control Commission shall certify the amount of
moneys available for distribution in the Oregon Marijuana Account and, after withholding such
moneys as it may deem necessary to carry out its obligations under sections 3 to 70 of this Act,
shall within 35 days of the neonth for which a distribution is made distribute the moneys as
follows:
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Forty percent shall be transferred to the Common School Fund
Twenty percent shall be transferred to the Mental Health Alcoholism and Drug Services Account
Fifteen percent shall be transferred to the State Police Account
Ten percent shall be transferred to cities based on population
Ten percent shall be transferred to counties
5 percent shall be transferred to Oregon Health Authority.
City Revenue: There is no precise way of predicting whether a medical marijuana dispensary will
develop with or without the passage of ballot measure #91. Furthermore, predicting the tax revenue
generated by the development of such a facility is equally inaccurate, although it is apparent that
Central Point's share of 10% of whatever is left in the Oregon Marijuana Account after OLCC
withholds "such moneys as it deems necessary," will likely be insufficient to address the impacts to
Central Point.
City Expenditures: Similar to alcohol, the legalization of marijuana will likely impact the costs
associated with providing adequate public safety. At a minimum, new programs will need to be
developed for prevention/education and treatment. These new program costs will be in addition to
the necessary training required for our public safety officers.
ATTACHMENTS:
I. Emergency ordinance amending Chapter 3.30 of the Central Point Municipal Code allowing
future adjustment of the marijuana and marijuana -infused product tax.
RECOMMENDATION:
1. The proposed ordinance is consistent with previous efforts of the City Council to create a
disincentive to the establishment of a medical marijuana dispensaries/facilities within
Central Point.
2. The proposed ordinance will create the opportunity to provide general fund revenue and
offset the public safety costs/impacts associated with the legalization of marijuana
3. The City's strategic plan emphasizes a proactive city government that adopts policies
aligning with the community's values.
4. Central Point citizen surveys conducted in 2011 & 2013 identify public safety as the highest
priority for citizens of Central Point.
City Staff Recommendation: City staff is recommending adoption of the attached ordinance
amendments. Additionally, City staff is recommending this ordinance amendment be adopted as an
emergency ordinance. With ballot measure #91 being considered during November's general
election, the normal adoption process would not conclude prior to the election.
PUBLIC HEARING
Yes
Return to Agenda
SUGGESTED MOTION:
1 move to approve the first reading of an emergency ordinance number __ amending Central Point
Municipal Code Chapter 3.30 allowing for future city council adjustment of the marijuana product tax.
CAP091114 Page 13
ORDINANCE NO.
AMENDING ORDINANCE NO. 1992 CENTRAL POINT
MUNICIPAL CODE CHAPTER 3.30 MARIJUANA AND
MARIJUANA -INFUSED PRODUCT TAX AND
DECLARING AN EMERGENCY
Recitals:
A. Words lined thaeugh are to be deleted and words in bold are added.
B. Council may have a desire in the future to modify the tax rate on marijuana and
marijuana infused products. Ordinance 1992 did not provide sufficient language to allow
any change in the tax rate if changes are needed at a future date.
C. There were a few numerical corrections made to this ordinance.
THE PEOPLE OF THE CITY OF CENTRAL POINT DO ORDAIN AS FOLLOWS:
SECTION I. Title 3 Revenue and Finance of the Central Point Municipal Code hereby adds a
new Chapter 3.30, establishing a tax on the sale of marijuana and marijuana -infused
products, as follows:
CHAPTER 3.30 MARIJUANA AND
MARIJUANA INFUSED PRODUCT TAX
Sections:
3.30.010 Purpose
3.30.020 Definitions
3.30.030 Levy of Tax
3.30.040 Deductions
3.30.050 Seller Responsible for Payment of Tax
3.30.060 Penalties and Interest
3.30.070 Failure to Report and Remit Tax Determination of Tax
3.30.080 Appeal
3.30.090 Refunds
3.30. 100 Actions to Collect
3.30.110 Confidentiality
3.30.120 Audit of Books, Records or Persons
3.30.130 Penalties
3.30.140 Forms and Regulations
3.30.010 Purpose.
For the purposes of this Chapter, every person who sells marijuana, medical marijuana or
marijuana -infused products in the City of Central Point is exercising a taxable privilege.
The purpose of this Chapter is to impose a tax upon the retail sale of marijuana,
medical marijuana, and marijuana -infused products.
Ordigagcc Vo. (091114)
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3.30.020 Definitions.
When not clearly otherwise indicated by the context, the following words and phrases as
used in this chapter shall have the following meaning's:
I_ "DirectoC' means the Director of Finance for the City of Central Point or his/her
designee.
2. "Cross Taxable Sales" means the total amount received in money, credits,
property or other consideration from sales of marijuana, medical marijuana and
marijuana -infused products that is subject to the tax imposed by this chapter.
3. "Marijuana' means all parts of the plant of the Cannabis family Moraceae,
whether growing or not; the resin extracted from any part of the plant; and every
compound, manufacture, salt, derivative, mixture, or preparation of the plant or its
resin, as may be defined by Oregon Revised Statutes as they currently exist or may
from time to time be amended It does not include the mature stalks of the plant,
fiber produced from the stalks, oil or cake made from the seeds of the plant, any
other compound, manufacture, salt, derivative, mixture, or preparation of the
mature stalks (except the resin extracted there from), fiber, oil, or cake, or the
sterilized seed of the plant which is incapable of germination.
4. "Oregon Medical Marijuana Program" means the office within the Oregon
Health authority that administers the provisions of ORS 475.300 through 475.346,
the Oregon Medical Marijuana Act, and all policies and procedures pertaining thereto.
5. `Person' means natural person, joint venture, joint stock company,
partnership, association, club, company, corporation, business, trust, organization,
or any group or combination acting as a unit, including the United States of
America, the State of Oregon and any political subdivision thereof, or the manager,
lessee, agent, servant, officer or employee of any of them.
6. "Purchase or Sale" means the acquisition or furnishing for consideration by any
person of marijuana within the City.
7. "Purchaser" means any person who acquires marijuana from a seller for any valuable
consideration.
8. "Registry identification cardholder" means a person who has been diagnosed by
an attending physician with a debilitating medical condition and for whom the
use of medical marijuana may mitigate the symptoms or effects of the person's
debilitating medical condition, and who has been issued a registry identification card
by the Oregon Health Authority.
9. "Retail sale" means the transfer of goods or services in exchange for any
valuable consideration.
10. "Seller' means any person who is required to be licensed or has been licensed by
the State of Oregon to provide marijuana or marijuana -infused products to
purchasers for money, credit, property or other consideration.
11. "Tax" means either the tax payable by the seller or the aggregate amount of taxes
due from a seller during the period for which the seller is required to report
collections under this chapter.
12. "Taxpayer" means any person obligated to account to the Finance Director for
taxes collected or to be collected, or from whom a tax is due, under the terms of this
chapter.
Ordigagcc Vo. (091114)
CAP091114 Page 15
3.30.030 Levy of Tax.
A. There is hereby levied and shall be paid a tax by every seller exercising the taxable
privilege of selling marijuana and marijuana -infused products as defined in this chapter.
B. The amount of tax levied is as follows:
1) Five percent (5%) of the gross sale amount paid to the seller by a
registry identification cardholder.
2) Ten percent (10%) of the gross sale amount paid to the seller of marijuana
and marijuana -infused products by individuals who are not purchasing marijuana
under the Oregon Medical Marijuana Program.
3) Upon City Council resolution, the amount of the tax levied may be increased
up to twenty-five percent (25%) of the gross sale amount paid to the seller by a
registry identification cardholder.
4) Upon City Council resolution, the amount of the tax levied may be increased
up to twenty-five percent (25%) of the gross sale amount paid to the seller by
individuals who are not purchasing marijuana under the Oregon Medical
Marijuana Program.
C. The purchaser shall pay the tax to the seller at the time of the purchase or sale of
marijuana.
3.30.040 Deductions.
The following deductions shall be allowed against sales received by the seller providing
marijuana:
A. Refunds of sales actually returned to any purchaser;
B. Any adjustments in sales which amount to a refund to a purchaser, providing such
adjustment pertains to the actual sale of marijuana or marijuana -infused products and
does not include any adjustments for other services furnished by a seller.
3.30.050 Seller Responsible For Pavment Of Tax
A. Every seller shall, on or before the fifteenth (151') day of the month following the
end of each calendar quarter (in the months of April, July, October and January) make
a return to the Director, on forms provided by the City, specifying the total sales
subject to this chapter and the amount of tax collected under this chapter. The seller
may request or the Director may establish shorter reporting periods for any seller if
the seller or Director deems it necessary in order to ensure collection of the tax and
the Director may require further information in the return relevant to payment of the
tax. A return shall not be considered filed until it is actually received by the Director.
The quarters are:
First quarter: January, February, March
Second quarter: April, May, June
Third quarter: July, August, September
Ootm.uec Vo. (091114)
CAP091114 Page 16
Fourth quarter: October, November, December
B. At the time the return is filed, the full amount of the tax collected shall be remitted to
the Director. Payments received by the Director for application against existing
liabilities will be credited toward the period designated by the taxpayer under
conditions that are not prejudicial to the interest of the City. A condition
considered prejudicial is the imminent expiration of the statute of limitations for a
period or periods.
C. Non -designated payments shall be applied in the order of the oldest liability first, with
the payment credited first toward any accrued penalty, then to interest, then to the
underlying tax until the payment is exhausted. Crediting of a payment toward a
specific reporting period will be first applied against any accrued penalty, then to
interest, then to the underlying tax. If the Director, in his or her sole discretion,
determines that an alternative order of payment application would be in the best interest
of the City in a particular tax or factual situation, the Director may order such a
change. The Director may establish shorter reporting periods for any seller if the
Director deems it necessary in order to ensure collection of the tax. The Director also
may require additional information in the return relevant to payment of the liability.
When a shorter return period is required, penalties and interest shall be computed
according to the shorter return period. Returns and payments are due immediately
upon cessation of business for any reason. All taxes collected by sellers pursuant to
this chapter shall be held in trust for the account of the City until payment is made to
the Director. A separate trust bank account is not required in order to comply with this
provision.
D. For good cause, the Director may extend the time for filing a return or paying the tax for
not more than one month. Further extension may be granted only by the city council. A
seller to whom an extension is granted shall pay interest at the rate of one percent per
month on the amount of tax due, without proration for a fraction of a month. If a return
is not filed and if the tax and interest due are not paid by the end of the extension
granted, the interest shall become a part of the tax for computation of penalties
prescribed in Section 3.30.060.
E. Every seller required to remit the tax imposed in this chapter shall be entitled to
retain five percent (5%) of all taxes due to defray the costs of bookkeeping and
remittance.
F. Every seller must keep and preserve in an accounting format established by the
Director records of all sales made by the dispensary and such other books or accounts
as may be required by the Director. Every seller must keep and preserve for a period
of three (3) years all such books, invoices and other records. The Director shall
havethe right to inspect all such records at all reasonable times.
3.30.060 Penalties And Interest.
A. Any seller who fails to remit any portion of any tax imposed by this chapter within the
time required shall pay a penalty of ten percent (10%) of the amount of the tax.
Ordiu.uec Vo. (091114)
CAP091114 Page 17
B. Any seller who fails to remit any delinquent remittance on or before a period of 60
days following the date on which the remittance first became delinquent, shall pay a
second delinquency penalty of fifteen percent (15%) of the amount of the tax in
addition to the amount of the tax and the penalty first imposed.
C. If the Director determines that the nonpayment of any remittance due under this chapter
is due to fraud, a penalty of twenty-five percent (25%) of the amount of the tax shall be
added thereto in addition to the penalties stated in subparagraphs A and B of this
section.
D. In addition to the penalties imposed, any seller who fails to remit any tax imposed by
this chapter shall pay interest at the rate of one percent (1%) per month or fraction
thereof on the amount of the tax, exclusive of penalties, from the date on which the
remittance first became delinquent until paid.
E. Every penalty imposed, and such interest as accrues under the provisions of this
section, shall become a part of the tax required to be paid.
F. A seller who fails to remit the tax within the required time may petition the city council
for waiver and refund of the penalty or a portion of it. The council may, if good cause is
shown, direct a refund of the penalty or a portion of it. Any such hearing will be
conducted under the procedures described in section 3.30.080.
3.30.070 Failure To Report and Remit Tax Determination of Tax by Director.
If any seller should fail to make, within the time provided in this chapter, any report of
the tax required by this chapter, the Director shall proceed in such manner as deemed
best to obtain facts and information on which to base the estimate of tax due. As soon as
the Director shall procure such facts and information as is able to be obtained, upon
which to base the assessment of any tax imposed by this chapter and payable by any
seller, the Director shall proceed to determine and assess against such seller the tax,
interest and penalties provided for by this chapter. In case such determination is made, the
Director shall give a notice of the amount so assessed by having it served personally or
by depositing it in the United States mail, postage prepaid, addressed to the seller so
assessed at the last known place of address. Such seller may appeal such determination as
provided in section 3.30.080. If no appeal is filed, the Director's determination is final
and the amount thereby is immediately due and payable.
3.30.080 Appeal.
A.Any seller aggrieved by any decision of the Director with respect to the amount of such
tax, interest and penalties, if any, may appeal to the city council by filing a notice of
appeal with the Director within fifteen (15) days of mailing of the notice of a decision.
The city manager shall fix a time and place for hearing the appeal, as prescribed by the
city council, and shall give the appellant fifteen days written notice of the time and place
of the hearing before the city council.
Oolm.,,ec Vo. (091114)
CAP091114 Page 18
B. The appellant shall pay a nonrefundable appeal fee to facilitate the appeal. Appeal Fees
shall be set at $150 for each decision appealed, and may be adjusted by Resolution of the
city council.
C. The parties shall be entitled to appear personally and by counsel and to present such facts,
evidence and arguments as may tend to support the respective positions on appeal.
D. The city council shall afford the parties an opportunity to be heard at an appeal hearing
after reasonable notice. The city council shall take such action upon the appeal it sees fit.
The city council shall at a minimum:
1) At the commencement of the hearing, explain the relevant issues involved in the
hearing, applicable procedures and the burden of proof.
2) At the commencement of the hearing place on the record the substance of any written
or oral ex parte communications concerning any relevant and material fact in issue at the
hearing which was made outside the official proceedings during the pendency of the
proceeding. The parties shall be notified of the substance of the communication and the
right to rebut the communication. Notwithstanding the above, the parties are prohibited
from engaging in ex parte communications with the members of the city council.
3) Testimony shall be taken upon oath or affirmation of the witnesses.
4) The city council shall ensure that the record developed at the hearing shows a full and
fair inquiry into the relevant and material facts for consideration for the issues properly
before the hearings officer.
5) Written testimony may be submitted under penalty of false swearing for entry into the
record. All written evidence shall be filed with the City recorder no less than (5) five
working days before the date of the hearing.
6) The city council shall hear and consider any records and evidence presented bearing
upon the Director's determination of amount due, and make findings affirming
reversing or modifying the determination.
7) Informal disposition may be made of any case by stipulation, agreed settlement,
consent order or default.
F. The action of the Director shall be stayed pending the outcome of an appeal properly filed
pursuant to this section.
G. Failure to strictly comply with the applicable appeal requirements, including but not
limited to the required elements for the written notice of appeal, time for filing of the
notice of appeal, and payment of the applicable appeal fee, shall constitute jurisdictional
defects resulting in the summary dismissal of the appeal.
Ordiu.uec Vo. (091114)
CAP091114 Page 19
H. The findings of the city council shall be final and conclusive, and shall be served
upon the appellant in the manner prescribed above for service of notice of hearing.
Any amount found to be due shall be immediately due and payable upon the service
of notice.
3.30.090. Refunds.
Whenever the amount of any tax, interest or penalty has been overpaid or paid more than
once, or has been erroneously collected or received by the City under this chapter, it may
be refunded as provided in subparagraph B of this section, provided a claim in writing,
stating under penalty of perjury the specific grounds upon which the claim is founded, is
filed with the Director within one year of the date of paylnent. The claim shall be on
forms furnished by the Director.
The Director shall have 20 calendar days from the date of receipt of a claim to review
the claim and make a determination in writing as to the validity of the claim. The
Director shall notify the claimant in writing of the Director's determination. Such
notice shall be mailed to the address provided by claimant on the claim form. In
the event a claim is determined by the Director to be a valid claim, in a manner
prescribed by the Director a seller may claim a refund, or take as credit against
taxes collected and remitted, the amount overpaid, paid more than once or
erroneously collected or received. The seller shall notify the Director of claimant's
choice no later than 15 days following the date Director mailed the
determination. In the event claimant has not notified the Director of claimant's
choice within the 15 day period and the seller is still in business, a credit will be
granted against the tax liability for the next reporting period. If the seller is no
longer in business, a refund check will be mailed to claimant at the address provided
in the claim form.
2.No refund shall be paid under the provisions of this section unless the claimant
established the right by written records showing entitlement to such refund and the
Director acknowledged the validity of the claim.
3.30.100 Actions to Collect.
Any tax required to be paid by any seller under the provisions of this chapter shall be
deemed a debt owed by the seller to the City. Any such tax collected by a seller which
has not been paid to the City shall be deemed a debt owed by the seller to the City.
Within three years after the tax becomes payable or within three years after a determination
becomes final, the City may bring an action in the name of the city in the courts of this
state, another state or the United States to collect the amount delinquent and penalties and
interest. In lieu of filing an action for the recovery, the City, when taxes due are more
than 30 days delinquent, can submit any outstanding tax to a collection agency. So
long as the City has complied with the provisions set forth in ORS 697.105 (as
hereafter amended), in the event the City turns over a delinquent tax account to a
collection agency, it may add to the amount owing an amount equal to the collection
agency fees, not to exceed the greater of fifty dollars ($50.00) or fifty percent (50%) of the
outstanding tax, penalties and interest owing.
Ooliu.uec Vo. (091114)
CAP091114 Page 20
3.30.12-010 Confidentialitv.
Except as otherwise required by law, it shall be unlawful for the City, any officer,
employee or agent to divulge, release or make known in any manner any financial
information submitted or disclosed to the City under the terns of this chapter. Nothing
in this section shall prohibit:
A.The disclosure of the names and addresses of any person who is operating alicensed
establishment from which marijuana is sold or provided; or
B. The disclosure of general statistics in a form which would not reveal an individual
seller's financial information; or
C. Presentation of evidence to the court, or other tribunal having jurisdiction in
the prosecution of any criminal or civil claim by the Director or an appeal from the
Director for amount due the City under this chapter; or
D. The disclosure of information when such disclosure of conditionally exempt
information is ordered under public records law procedures; or
E. The disclosure of records related to a business' failure to report and remit the tax
when the report or tax is in arrears for over six months or the tax exceeds five thousand
dollars (55,000). The City Council expressly finds and determines that the public
interest in disclosure of such records clearly outweighs the interest in confidentiality
under ORS 192.501(5).
3.30. 12420 Audit of Books, Records or Persons.
A. It shall be the duty of every seller liable for the collection and payment to the city of any
tax imposed by this chapter to keep and preserve, for a period of three years and six
months, all records, books, reports, income tax reports and other matters required by this
chapter as may be necessary to determine the amount of such tax as the seller may have
been liable for the collection of and payment to the City, which records the Director shall
have the right to inspect at all reasonable times as set forth below. Every operator shall
maintain records of marijuana purchase and sales, accounting books and records of
income. Sellers must, at a minimum, include a cash receipt and deposit journal, and a
cash disbursements journal/check register for all authorized deductions. These records
and books shall reconcile to the tax reports and be auditable. They shall also reconcile to
the seller's income tax reports. If the Director finds the books and records of the seller
are deficient in that they do not provide adequate support for tax reports filed, or the
seller's accounting system is not auditable, it shall be the responsibility of the seller to
improve its accounting system to the satisfaction of the Director.
B. The City, for the purpose of determining the correctness of any tax return, or for the
purpose of an estimate of taxes due, may examine or may cause to be examined by
an agent or representative designated by the City for that purpose, any books,
papers, records, or memoranda, including copies of seller's state and federal income tax
return, bearing upon the matter of the seller's tax return. All books, invoices,
accounts and other records shall be made available within the City limits and be open
Oolm.a ecVo. (091114)
CAP091114 Page 21
at any time during regular business hours for examination by the Director or an
authorized agent of the Director. If any taxpayer refuses to voluntarily furnish any
of the foregoing information when requested, the Director may immediately seek a
subpoena from the Central Point Municipal Court to require that the taxpayer or a
representative of the taxpayer attend a hearing or produce any such books, accounts
and records for examination.
3.30.14430 Penalties.
A.It is unlawful for any seller or any other person so required to fail or refuse to furnish any
return required to be made, or fail or refuse to furnish the supplementary return or other
data required by the Director or to enter a false or fraudulent report, with intent to defeat
or evade the determination of any amount due required by this chapter.
B. Violation of any provision of this chapter of this code shall be punishable by the general
penalty. Every day in which the violation is caused or permitted to exist constitutes a
separate infraction, and the punishment therefor shall be in addition to any other penalty,
interest, sum or charge imposed by this code or this chapter. Delinquent taxes and fees,
penalty and interest imposed by this chapter and this code may be collected in a civil
action.
C. The remedies provided by this section are not exclusive and shall not prevent the City
from exercising any other remedy available under the law, nor shall the provisions of
this ordinance prohibit or restrict the City or other appropriate prosecutor from
pursuing criminal charges under state law or City ordinance.
3.30.140 Forms And Regulations.
The Director is hereby authorized to prescribe forms and promulgate rules and
regulations to aid in the making of returns, the ascertainment, assessment and collection
of said medical marijuana tax and in particular and without limiting the general language
of this chapter, to provide for:
1) A form of report on sales and purchases to be supplied to all vendors;
2) The records which sellers providing marijuana and marijuana -infused products are to
keep concerning the tax imposed by this chapter.
SECTION 2. Severability. The sections, subsections, paragraphs and clauses of this ordinance
are severable. The invalidity of one section, subsection, paragraph, or clause shall not affect the
validity of the remaining sections, subsections, paragraphs and clauses.
SECTION 3. Savings. Notwithstanding any amendment/repeal, the City ordinances in existence
at the time any criminal or civil enforcement actions were commenced, shall remain valid and in
full force and effect for purposes of all cases filed or commenced during the times said
ordinance(s) or portions thereof were operative. This section simply clarifies the existing
situation that nothing in this Ordinance affects the validity of prosecutions commenced and
continued under the laws in effect at the time the matters were originally filed.
Ordigagcc Vo. (091114)
CAP091114 Page 22
SECTION 4. Codification. Provisions of this Ordinance shall be incorporated in the City Code
and the word 'ordinance" may be changed to 'bode", "article", "section', 'chapter" or another
word, and the sections of this Ordinance may be renumbered, or re -lettered, provided however
that any Whereas clauses and boilerplate provisions (i.e. Sections 2-4) need not be codified and
the City Recorder is authorized to correct any cross-references and any typographical errors.
SECTION 5. Emergency. Adoption of this ordinance is required prior to the General Election on
November 4, 2014. The Central Point Council hereby enacts an emergency clause making the tax
effective upon its passage.
Passed by the Council and signed by me in authentication of its passage this
day of ,2014.
Mayor Hank Williams
ATTEST:
City Recorder
Return to Agenda
Oolm.a ecNo. (091114)
CAP091114 Page 23
Ordinance
Adult Business
License
CAP091114 Page 24
A
CENTRAL
POINT
ADMINISTRATION DEPARTMENT
140 South 3rtl Street Central Point, OR 97502 (S41) 664-7602 www.rentra l pointoregon.gov
STAFF REPORT
September I I'r, 2014
AGENDA ITEM: Ordinance No. _ An ordinance amending Central Point Municipal
Code Chapter 5.24 — Adult Businesses
STAFFSOURCE:
Chris Clayton, City Manager
Sydnee Dreyer, City Attorney
BACKGROUND/SYNOPSIS:
Earlier this year while reviewing the Central Point Municipal Code for business license issues
associated with medical marijuana dispensaries, staff recognized a need to update the adult business
license code/chapter.
The proposed amendments to Central Point Municipal Code Chapter 5.24 include the following:
I. Revision of the "adult business" definition;
2. Revision of the "specified anatomical areas" definition;
3. Elimination of the"adult arcade" definition;
4. Revision of the "adult cabaret' definition;
5. Revision of the "sexual encounter center" definition;
6. Elimination of"adult hotel & adult motel' definition;
7. Elimination of"massage parlor" definition;
8. Elimination of"modeling studio' definition;
9. Revision of "adult theater" definition;
10. Creation of "significant or substantial portion' definition;
11. Elimination of chapter 5.24.030 section B Planning Commission Discretion.
FISCAL IMPACT:
There appears to be no immediate fiscal impacts; however, new business entering Central Point will
now be correctly classified as adult business. Correct classification will result in the corresponding
business license fees for an adult business.
ATTACHMENTS:
1. Ordinance amending chapter 5.24 of the Central Point Municipal Code Adult Businesses
RECOMMENDATION:
1. The proposed ordinance amendment includes current definitions and updated language that
will allow city staff to accurately apply the Central Point Municipal Code to adult business
applications.
CAP091114 Page 25
City Staff Recommendation: City staff is recommending adoption of the attached ordinance
amendments.
PUBLIC HEARING REQUIRED:
Held on August 14", 2014
SUGGESTED MOTION:
I move to approve Ordinance number amending Central Point Municipal Code chapter 5.24—Adult
Businesses.
Return to Agenda
CAP091114 Page 26
ORDINANCE NO.
AN ORDINANCE AMENDING CENTRAL POINT -MUNICIPAL CODE
CHAPTER 5.24 ADULT BUSINESSES
Recitals:
A. Words lined through are to be deleted and words in bold are added.
B. Chapter 524 was established in 1981 and is currently out of date in regards to
the definition of what is currently considered an "Adult Business".
"I HE PEOPLE OF"IHEC1"IYOFCEN "IRAL POIN"I DO ORDAIN AS FOLLOWS:
SEC "PION I. Chapter 5.24 regulating Adult Businesses is hereby amended to read as
follows:
Sections:
Chapter 524
ADULT BUSINESSES
524.010 Purpose.
524.020 Definitions.
524.030 Regulations for adult businesses.
524.040 License --Required.
524.050 License --Period.
524.060 License --Fees.
524.010 Purpose.
It is recognized that the presence of certain "adult businesses" within the community of
Central Point may result in adverse social and economic impacts, increased crime
incidents, and physical deterioration in the general areas of such businesses. It is evident
that regulations applicable to adult businesses are necessary to preserve the integrity of
existing commercial areas of the city, and to protect the character, safety and stability of
residential areas that are in close proximity to such commercial areas. The purpose of this
section is to establish regulations applicable to adult businesses, as defined in the Oregon
Revised Statutes and in Section 524.020 of this chapter.
524.020 Definitions.
For purposes of this chapter, the following terms and business types are defined in this
section:
A. "Adult business" includes any adult arcade, adult bookstore, adult cabaret, adult
theater, massage pade, sexual encounter center, body y paintingestudio,
Ordinance No. (081414)
CAP091114 Page 27
hoteladult or mmel, topless or nude baFs. or other businesses which are characterized by
an emphasis on sexually explicit material dealing with "specified anatomical areas"
and/or "specified sexual activities," as defined in this section.
B. "Specified Anatomical Areas" means:
L Less than completely and opaquely covered:
a. Human genitals, pubic region;
b. Buttocks; and
One or both female breasts without a circular covering, centered
on the nipple that is at least three inches in diameter and does not
simulate the organ covered; and
2. Human male genitals in a discernibly turgid state, even if completely and
opaquely covered.
C. "Specified sexual activities" means:
L Human genitals in a state of sexual stimulation or arousal; and/or
2. Acts of human masturbation, sexual intercourse, sodomy, sexual
stimulation or arousal; and/or
3. Fondling or other erotic touching of human genitals, pubic region,
buttock, or female breast.
ri "n,Wll .. ...,..,: ...,...d .,hi -h ..............._;i.. ,... .. .,..�,.,
general public, but v hich excludes minors as a legal or prevailing business I
D€. "Adult bookstore" means any store having a significant portion of its stock in trade,
books, magazines, newspapers, or other printed or written material or any pictures,
drawings, photographs, motion pictures, or other pictorial representations which are
distinguished by their emphasis on matter depicting, describing or relating to "specified
anatomical areas' or "specified sexual activities," as defined in this section.
EF. "Adult cabaret means a nightclub, adult theate_ .,6... or other establishment hick
...,.
a _ .. .... .... .i...... ......
a _a .i...... ....,. _s go a,..:,, a.. .... ... .....:.... .s
female impersonators, OF similar entertainers, OF any establishment which fid ruffe' SUCII
is an establishment having as its primary attraction live exhibition (either
for direct viewing, closed circuit viewing, or viewing through a transparent
partition) for patrons either individually or in groups, where a substantial portion
of the material presented is characterized by an emphasis on "specified anatomical
areas" or "specified sexual activities" and excludes minors as a legal or prevailing
business practice.
Ordinance No. (081414)
CAP091114 Page 28
FG. "Sexual encounter center' means any business, agency, or person who, for any form
of consideration or gratuity, provides a place where persons may congregate, assemble or
associate for the purpose of engaging inconduct "specified sexual activities".
ol,"Ral m -rut television OF other media, material M hich is distinguished orchdrdcu-Fi7-d
by ibe emphasis,.n inane.. depicting or describing or relatedto "specified sexu it
activities" OF "special anaomUCal area!;," OF anylmuel OF nuclei having hourlyraue!; and
1 "Massage paror"... ansa., establishment that provides pmassage and is no!.
part of or directly related In i been, J mer,..it or physical .he....., facility
j. "Nio cling it r.."...e......., establishment in mhich figure models are pFoN ided to
i1:...J..5°_.... ,.:a d.......,....:,..J.... aS" f.F!h puirpos@ 4b@iRg 4.., e.l sk@!.h d
sculptured, photographed, 0asimilady depicted, and v, Inch excludes minor; as a legal OF
businesspractice.
N. G. "Adult theater' means any theater or similar facility which is used primarily for
presenting material disu..•.uish a 9 - by with an emphasis on matter
depicting describing or relating to "specified anatomical areas" or "specified sexual
activities," for observation by patrons therein.
H. "Significant or substantial portion" means more than 25 percent of the total
cost of the inventory of merchandise for sale in the establishment, whether at
wholesale or retail, or more than 25 percent of the establishment's gross sales per
month, whether wholesale or retail.
5.24.030 Regulations for adult businesses.
........................................................................................................................................................................................................................
A. Adult businesses may be granted a conditional use permit by the planning commission
in accordance with the requirements of the zoning district in which the business is
proposed, and in accordance with the following regulations:
1. The proposed use complies with all requirements set forth for the
issuance of a conditional use permit;
2. The lot on which the business is proposed to be located is classified C-5
(thoroughfare commercial);
3. The subject lot is not within two hundred feet of the nearest residential
(R) zoning district;
4. The lot is not within five hundred feet of any lot upon which there is
located a church, educational institution primarily attended by minors, a
public park or recreational facility, a day nursery or child care center, a
mobile home park, or any other public facility which is customarily utilized
by minors;
Ordinance No. (081414)
CAP091114 Page 29
5. The lot is not within one thousand feet of any lot upon which there is
located another adult business;
6. The exterior appearance of the structure shall be consistent with the
appearance of existing commercial structures on abutting lots or within the
immediate neighborhood, so as not to cause blight, deterioration, or
avoidable depreciation in property values within the general vicinity;
7. The business shall be permitted an identification sign but shall not exhibit
advertisements, displays, or any other promotional or advertising materials
that may be visible to the public outside the structure;
8. All doorways, windows and other openings shall be located, covered or
screened in such a manner to prevent a view into the interior from any
exterior public or semipublic area;
9. No adult business, as defined in this chapter, shall be kept open for
business between the hours of ten p.m. and ten a.m., except as specifically
permitted by the terms of the conditional use permit.
G T14@ ..L.....:........PsPsissi.... Psa a! its disoiz ti.... ......d....! .. pollsHF'of es ..:d ..n.
and Property owners in flie �� icurnity of a Proposed adult business ifsuch poll msuP�ey is
determined In by necessary to adequately . ..e.. ihesociaL economic OF other impact!; 0
die Proposed adult b ...e..
B C. Applicants for licenses under this chapter must file with the city recorder a sworn
application in writing for the license which shall give the following information:
L The name of the applicant;
2. Permanent home address and full local address of the applicant;
3. A brief description of the nature of the business and goods to be sold, if
any;
4. Length of time for which the right to do business is desired;
5. The location of the proposed adult business.
C D. Any person violating any of the provisions of this chapter shall, upon conviction
thereof, be punished by a fine not to exceed two hundred dollars or by imprisonment not
to exceed thirty days, or by both such fine or by imprisonment.
5.24.040 License—Required.
No person, or his employee or agent, shall engage in or conduct within the city any adult
business unless the license fee has been paid and a license issued as provided herein.
5.24.050 License—Period.
License for adult businesses shall be for semi-annual periods commencing on July Ist
and January I st of each year. No license fee shall be for Tess than the full six-month
quarter semi-annual period.
Ordinance No. (081414)
CAP091114 Page 30
5.24.060 License -Lees.
The license fee to be charged by the city designee for an adult business license shall be as
set forth in the City of Central Point Business License Fee Schedule
SECTION 2. Codification. Provisions of this Ordinance shall be incorporated in the
City Code and the word 'ordinance" may be changed to "code", "article", "section',
"chapter" or another word, and the sections of this Ordinance may be renumbered, or
re -lettered, provided however that any Whereas clauses and boilerplate provisions need
not be codified and the City Recorder is authorized to correct any cross-references and
any typographical errors.
Passed by the Council and signed by me in authentication of its passage this
day of , 2014.
Mayor Hank Williams
ATTEST:
City Recorder
Return to Agenda
Ordinance No. (081414)
CAP091114 Page 31
Ordinance
Hotel MoteI Tax
Amendment
CAP091114 Page 32
A
CENTRAL
POINT
ADMINISTRATION DEPARTMENT
140 South 3rtl Street Central Point, OR 97 SO2 (S41) 664-7602 www.rentra l pointoregon.gov
STAFF REPORT
September I I'r, 2014
AGENDA ITEM: Ordinance No. An ordinance amending Central Point Municipal
Code Chapter 3.24 — transient lodging tax
STAFFSOURCE:
Chris Clayton, City Manager
Sydnee Dreyer, City Attorney
BACKGROUND/SYNOPSIS:
A recent review of the Central Point transient lodging tax revealed the need to amend, clarify, and
redefine portions of Central Point Municipal Code (CPMC) chapter 3.24. Many of the processes,
definitions, collection procedures and penalties described in CPMC chapter 3.24 warranted
updating. The proposed amendments are aimed at providing clear understanding of process and
procedure for businesses/residents subject to provisions of the Central Point transient lodging tax.
FISCAL IMPACT
Although the proposed revisions are extensive, staff is not recommending an increase to the
transient lodging tax rate. Staff research indicates that Central Point's current rate of 9% is
consistent with both Ashland and Medford. Furthermore, a review of similar taxes throughout the
state of Oregon indicates that a 9% transient lodging tax is reasonable, and not at a level that
warrants adjustment.
The 2014/2015 budget projects 5390,000 in transient lodging tax revenue during the current fiscal
cycle.
ATTACHMENTS:
I. Ordinance amending chapter 3.24 of the Central Point Municipal Code allowing future
adjustment of the transient lodging tax.
RECOMMENDATION:
City staff is recommending adoption of the attached ordinance amendments.
PUBLIC HEARING
Yes
SUGGESTED MOTION:
Return to Agenda
I move to approve the first reading of an ordinance number_ amending Central Point Municipal
Code chapter 3.24 transient lodging tax.
CAP091114 Page 33
ORDINANCE NO.
AN ORDINANCE AMENDING CENTRAL POINT -MUNICIPAL CODE
CHAPTER 3.24 TRANSIENT ROO VI TAX
Recitals:
A. Words hired through are to be deleted and words in bold are added.
B. A recent review of the Room Tax revealed the need to amend, clarify and redefine
portions of the code.
C. the proposed amendments are aimed at providing clear understanding of process
and procedure.
THE PEOPLE OF THE CITY OF CENTRAL POINT DO ORDAIN AS FOLLOWS:
SECTION I. Chapter 3.24 Transient Room Tax is hereby amended to read as follows:
Chapter 3.24
TRANSIENT ROONILODGING TAX
Sections:
3 24.010 Definitions.
3 24.020 Tax imposed.
3 24.030 Rules for collection of tax by opennorOperator.
3 24.040 Operator's duties.
3 24.050 Exemptions.
3 24.060 Operator's registration form and certificate of authority.
3 24.070 Collections, returns and payments.
3 24.080 Delinquency penalties.
3 24.090 Deficiency determinations.
a on n n n.... ... a i.,,,
Ordinance No. , (091114)
CAP091114 Page 34
1 On 110 R d,I,FPain-4: on
3 24.130 Security for collection of tax.
3 24.140 Liens.
3 24.150 Refunds by issued by city4wo - nor.
1 -1 W Refunds 6.
3 24.170 Refunds by opennewOperator to transient.
3 24.180 Records required from opKatF>FOperator--Examination
3 24.190 Confidentiality.
3 24.200 Disposition and use of transient room tax funds.
3 24.210 Appeals to the city council.
3 24.220 , and ,a.;Violations.
3 24.230 ,z m.,, , E-Alecl n Actions to Collect.
3.24.010 Definitions.
For purposes of this chapter, the following definitions apply:
"Accrual accounting" means a system of accounting in which the openum Operator enters the
rent due from a transient into the record when the rent is earned, whether or not it is paid.
"Bed and Breakfast " means a single-famih dwelling, or part thereof, other than a motel,
hotel or multiple famih dwelling, where traveler's accommodations and breakfast are
provided for a fee on a daily or weekly room rental basis
"Cash accounting" means a system of accounting in which the ope+atku Operator does not enter
the rent due from a transient into the record until the rent is paid.
"Council/city council" means the city council of Central Point, Oregon.
-"Hotel- " means apaFt-ofaam structureIhat, or am portion of am structure which is
occupied or intended or designed for transient occupancy lby uan;ients for 30 days or less for
dwelling, lodging, or sleeping including apurposes, and includes any hotel, inn, tourist home or
house, motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house,
public or private dormitory, fraternity, sorority, public or private club,bin.
Ordinance No. , (091114)
CAP091114 Page 35
trailer at a fixed location, recreational vehicle and trailer park, or similar structure or portionsand
also means space or portion thereof so occupied, provided such occupancy is for twenty-seven
Fless than a 30 -day period.
"Occupancy" means use or possession of, or the right to use or possess, a room in
ledgingza sleepingor rooms or any portion thereof for transient lodgings.
"OperatoC' means a person who is the proprietor of a bote[transient lodging facility in any
capacity. When an operakeriOperator's functions are performed through a managing agent of a
type other than an employee, the managing agent shall also be considered an opet aka Operator.
For purposes of this chapter, compliance by either the operaku Operator or the managing agent
shall be considered compliance by both.
`Person' means an individual, firm, partnership, joint venture, association, social club, fraternal
organization, fraternity, sorority, public or private dormitory, joint stock company, corporation,
estate, trust, business trust, receiver, trustee, syndicate, or another group or combination acting as
a unit.
"Rent" means the ���total retail price, including all charges other
,"a.Tthan taxes, paid by a person for occupancy of the transient lodging. The total
retail price paid by a person for occupancy of transient lodging that is part
of a travel package may be determined by reasonable and verifiable standards from books
and records kept in the ordinary course of the transient lodging Operator's
business. where the consideration cJcharge includes both food and rent in a single
rate, the amount applicable to rent for determination of transient room tax under this
chapter shall be the same charge made for rent of the identical room when it is not a part
of a package plan.
"Tax" means either the tax payable by the transient or the aggregate amount of taxes due from an
opetaua Operator during the period for which the opet aunOperator is required to report
collections.
fax administrator"Director" means the city of Central Point city manager, or his designee.
Ordinance No. , (091114)
CAP091114 Page 36
"Transient" means an individual who occupies or is entitled to occupy space in a hoteltransient
lodging facilih for a period of twenty-seventhirtr (30) consecutive days or less, counting
portions of days as full days. The day a transient checks out of a hotel shall not be included in
determining the tV, cut'. Se', e;.thirh day period if the transient is not charged rent for that day. A
person occupying space in a hoteltransient lodging facility shall be considered a transient until
a period of tare�,,;thirh (30) days has expired unless there is an agreement in writing
between the opetannOperator and the occupant providing for a longer period of occupancy or
the tenant actually extends occupancy more than tv,.cut,. s 3,, enthirtr (30) consecutive days. A
person who pays for lodging on a monthly basis, regardless of the number of days in the month,
shall not be considered a transient.
"°transient Lodging" means hotel, tied and breakfast, or ampart thereof, which are used
or designed for occupancy by transients for dwelling, lodging or sleeping purposes and
which are rented or intended for rent on a daily or weekly basis, or any period of thirty
(30) days or less to transients for a charge or fee paid or to be paid for rental or use of
facilities.
3.24.020 Tax imposedlmposed.
At or the privilege of occupancy in any transient lodging facility, a transient shall pay a tax in
the amount of nine percent of the rent charged for the privilege of occupancy in a hoteltransient
lodging facility in the city. The tax constitutes a debt owed by the transient to the city, and the
debt is extinguished only when the tax is remitted by the Prot atop Operator to the city. The
transient shall pay the tax to the opet ann Operator at the time rent is paid. The
openion Operator shall enter the tax into the record when rent is collected if the
openion Operator keeps records on the cash accounting and when earned if the
openion Operator keeps records on the accrual accounting basis. If the rent is paid in
installments, a proportionate share of the tax shall be paid by the transient to the
operator Operator with each installment. The unpaid tax is due upon the transient's ceasing
to occupy space in the transient lodging. In all cases, rent paid or charged for occupancy shall
exclude the sale of goods, services or commodities.
3.24.030 Rules for collection of tax by operatorOperator.
...........................................................................................................................................................................................................................................
Ordinance No. , (091114)
CAP091114 Page 37
A. Every operalor renting space for lodging m sleeping shall collect a lax from the occupant the
lax col Iccled or accrued Coll dilWes a debt owed by the operalor to IIIc city.
B.A. In cases of creditor deferred paylnent of rent, the payment of tax to the operalorOperator
may be deferred until the rent is paid, and the poet a torOperator shall not be liable for the tax
until cam, an rent is paid or deferred payments are made. Adjustments may be made for
uncollectible accounts.
CB. The la- adruiri, a -no, Director shall enforce this chapter and may adopt rules and
regulations necessary for enforcement.
PC. The rent collected on portions of a dollar, fractions of a penny of tax, shall not be remitted.
3.24.040 Operator's duties.
An operalm Operator shall collect the tax when the rent is collected from the transient. The
amount of tax shall be stated separately in the opei annr'sOperator's records and on the receipt
given by the opei lout Operator. An opei lamOperator shall not advertise that the tax will not be
added to the rent, that a portion of it will be assumed or absorbed by the opei almOperator, or
that a portion will be refunded, except in the manner provided in this chapter.
3.24.050 Exemptions.
The tax shall not be imposed on:
A. An occupant staying for more than Iwenly-seven daysthirty (30) consecutive days, or a
person paying for lodging on a monthly basis regardless of the number of days in the
month;
B. A person who rents a private home, vacation cabin or similar facility from an owner who
personally rents the facility incidentally to the owner's personal use, except a Bed and
Breakfast;
C. Any occupant whose rent is paid for a hospital room or to a medical clinic, convalescent
home, or home for aged people, or to a public institution owned and operated by a unit of the
government.
Ordinance No. , (091114)
CAP091114 Page 38
D. Any room donated to a non-profit organization claiming exemption under IRS code 501;
E. Any home occasionally exchanged with a home outside the City without payment of
rent;
E. Any person housed through an emergency shelter or disaster program where the rends
paid with government assistance funds;
G. Any Eederal Government employee traveling on official government business, who
presents an official Government Exemption Certificate or official travel authorization.
3.24.060 Operator's registration form and certificate of authority.
A. Evcry person engaging or about to engage in business as an operant Each Operator of a
hotel in transient lodging facility within the cityCity shall register said business with the tax
administrator, on a form provided by the tax a� iri, a - o, Director, within fifteen days after
gcommencing business.
B. The registration form shall set forth the name in which an ope+ann Operator transacts or
intends to transact business, the location of his place or places of business and such other
information to facilitate the collection of the tax as the tax a.,-n,d,.:,:�,.onDirector may require.
The registration shall be signed by the openom Operator.
C. The tax adminisoalm Director shall, within ten days after registration, issue without charge a
certificate of authority to each registrant to collect the tax from the occupant, together with a
duplicate thereof for each additional place of business of each registrant. Certificates shall be
nonassignable and nontransferable and shall be surrendered immediately to the tax
.,d,,�.o,Director upon the cessation of business at the location named or upon its sale or
transfer. EuCh 0elfilkille. ac,
000HIMPIS and lieISMIS Seeking 000LIINIPO�. Failure 10 legklel d0c; 1101 lefieN e !he Offluml !!our
collecting the tax or a person from paying the tax.
D. Each certificate of authority shall state the place of business to which it applies, shall be
prominently displayed—. +tK4 therein so as to be seen and be readily apparent to all transients
Ordinance No. , (091114)
CAP091114 Page 39
seeking occupancy. Failure to register does not relieve the Operator from collecting the tax
or a person from paving the tax. 'Phe certificate of authority shall set forth:
1. The name of the o nOperator;
2. The address of the hole transient lodging facility;
3. The date the certificate was issued;
4. The following statement: "This transient occupancy registration certificate signifies that the
person named on the certificate has fulfilled the requirements of the transient rexrndodging tax
ordinance of the city of Central Point by registering with the 1-v adruir, a -it(), Director for the
purpose of collecting the room tax imposed by the city of Central Point and remitting the tax to
the lax ad min i sit ang.Director. This certificate does not authorize any person to conduct any
unlawful business or to conduct any lawful business in an unlawful manner, or to operate a
hole transient lodging facility without strictly complying with all local applicable laws,
including but not limited to those requiring a permit from any board, commission, department or
office of the city of Central Point. This certificate does not constitute a permit."
3.24.070 Collections, returns and payments.
...........................................................................................................................................................................................................................................
A. I he taxes collected by an operator arc payable to the lax administrator on a quarterly basis on
the Gfleenlh day of the followine month for the precedine Ihree monlhS and arc delinquent on the
las! div, of _ '.Every Operator shall, on or before the fifteenth
(15') day of the month following the end of each calendar quarter (in the months of April,
July, October and January) file a return with the Director, on forms provided by the City,
specifying the total rent subject to this chapter and the amount of tax collected under this
chapter. A return shall not be considered filed until it is actually received by the Director.
If the return is mailed, the postmark shall be considered the date of delivery for
determining delinquencies. The initial return may be for less than the three months preceding
the due date. The quarters are:
First quarter: January, February, March
Second quarter: April, May, June
Ordinance No. , (091114)
CAP091114 Page 40
Third quarter: July, August, September
Fourth quarter: October, November, December
B. A return ! hov, inP !ax collecron! lot dre pleceding unit[ iel ! hall be filed v, idl fln' lax
and lax.
D. Returns shall show the amount of tax collected or due for the related period. The UP
.1donin, I, -no, Director may require returns to show the total rentals on which the tax was
collected or is due, gross receipts of the opei ang Operator for the period, a detailed explanation
of any discrepancy between the amounts, and the amount of rentals exempt.
.z gin 1 1
ot dem miningr
FL. -C. At the time the return is filed, the full amount of the tax collected shall be remitted
to the Director. Payments received by the Director for application against existing
liabilities will be credited toward the period designated by the taxpayer under conditions
that are not prejudicial to the interest of the City. A condition considered prejudicial
is the imminent expiration of the statute of limitations for a period or periods
D. Von -designated payments shall be applied in the order of the oldest liability first, with
the payment credited first toward any accrued penalty, then to interest, then to the
underhing tax until the payment is exhausted. Crediting of a payment toward a specific
reporting period will be first applied against any accrued penalty, then to interest,
then to the underhing tax. If the Director, in his or her sole discretion, determines that an
alternative order of payment application would be in the best interest of the City in a
particular tax or factual situation, the Director may order such a change. The
Director may establish shorter reporting periods for any Operator if the Director
deems it necessary in order to ensure collection of the tax. The Director also may
Ordinance No. , (091114)
CAP091114 Page 41
require additional information in the return relevant to payment of the liability. When
a shorter return period is required, penalties and interest shall be computed according
to the shorter return period. Returns and payments are due immediately upon cessation
of business for any reason. All taxes collected by Operators pursuant to this chapter
shall be held in trust for the account of the Cit until payment is made to the Director. A
separate trust bank account is not required in order to comply with this provision.
E. For good cause, the no Director may extend the time for filing a return or
paying the tax for not more than one month. Further extension may be granted only by the city
council. An operatm Operator to whom an extension is granted shall pay interest at the rate of
one percent per month on the amount of tax due, without proration for a fraction of a month. If a
return is not filed and if the tax and interest due are not paid by the end of the extension granted,
the interest shall become a part of the tax for computation of penalties prescribed in
Section 3.24.080.
.;—.�-no, F. Every Operator required to remit the tax imposed in this
chapter shall he entitled to retain five percent (5°/) of all taxes due to defray the costs of
bookkeeping and remittance.
G. Every Operator must keep and preserve in an accounting format established by the
Director records of all sales made by the dispensary and such other books or accounts as
may be required by the Director. Every Operator must keep and preserve for a period
of three (3) years all such books, invoices and other records. The Director shall have
the right to inspect all such records at all reasonable times.
H. The Director may require returns and payment of the taxes for other than monthly/quarterly
periods in individual cases to ensure payment or to facilitate collection by the city.
3.24.080 Delinquency peunitiesTenalties
A. An operator who has not been granted an extension of time for remittance of tax due and Any
Operator who fails to remit the tax ta im to definquen�any portion of any tax imposed by
this chapter within the time required shall pay a penalty of ten percent (10°/,) of the
amount of the tax dide in addition
Ordinance No. , (091114)
CAP091114 Page 42
B. An operator who has not been granted an extension of time tot remittance of tax due and who
fails to pay a
A. Any Operator who fails to remit any delinquent remittance on or before are
c zn4err11 period of.:,::-,�-. nAI days following the date on which the remittance first
became delinquent, shall pay a second delinquency penalty of fifteen percent (1,0%) of the
amount of the tax cktc.in addition to the amount of the tax,- and the tea pe+cent penalty first
imposed.
C_
B. If the tax adminisuann Director determines that the nonpayment of aany remittance
due under this chapter is due to fraudr ut:.x, a penalty of twenty-five
percent (2,0%) of the amount of the tax shall be added thereto in addition to the penalties
stated in , Jlb, u,o subparagraphs A and B of this section.
I}
C. In addition to the penalties imposed by this section, an operator, any Operator who
fails to remit the iequaedan.y tax imposed by this chapter shall pay interest at the rate of one
percent (10/,,) per month, v ithoutan mitiotu of . month, or fraction thereof on the
amount of the taxes, exclusive of penalties, from the date on which the myremittance first
became delinquent until paid.
k t a'. ,
D. Every penalty imposed, and aresuch interest das accrues under the provisions
of this section, shall be mereed with and become a part of the tax required to be paid.
I. An oper nm Operator who fails to remit the tax within the required time may petition the
city council for waiver and refund of the penalty or a portion of it. The council may, if good
cause is shown, direct a refund of the penalty or a portion of it. (n.d. 1 v - a(pai 9914 Any
such hearing will be conducted under the procedures described in section 3.24.210.
3.24.090 Deficiency determinations.
A.- If the
C(anp to andDirector determine the amount [eq iled to 1r!laid oil tile 1xisis of tile facts
cdamcd�that a return is incorrect, that required reports or returns m up n, tile Imsis of
Ordinance No. , (091114)
CAP091114 Page 43
any information within the tax administrators possession or that may conic into his or her
possession
B. A deficiency determination may be made on the amount chic lin one or more than one period.
The determined amount shall be payable immediately on service of notice, after which the
determined amount is delinquent. Penalties on dclicicncics shall be applied as provided in
Section 324.080.
C. In making a determination, the tax administrator may offset overpayments that have not been
made against a deficiency for a snbsequcnt pciiod or against pmaltics and interest on the
deficiency. I he interest on the dclicicncy shall bC computed as provided in Section 3.24.080.
D. A determination becomes payable immediately on receipt of notice and becomes final within
fifteen days after mailing. However, the operator may paition lin redemption and refund by
filing a petition More the determination becomes final. (Ord 1707 §I(part). 1994).
........................................................................................................................................................................................................................................
A. If an operator fails or refuses to collect the tax, make the filed, that a report m remit the tax,
. a is fraudulent return, or that as Operator has otherwise w l pmrSfailed to
- ad comply with the tax fun mentterms of this chapter, the ne adinan, n -no,Director shall
proceed in such manner as deemed best to obtain facts and information on which to base
:nathe estimate of. . All - (I �( - mining tile tax due and tile ancle! t and pernflue! . tile
.tax due. As soon as the Director
shall procure such facts and information as is able to be obtained, upon which to base
the assessment of any tax imposed by this chapter and payable by any Operator, the
Director shall proceed to determine and assess against such Operator the tax, interest
and penalties provided for by this chapter.
R. I-) �( - Planation and robe shall b � roul � -aid inailed v, ithin tin cc caP allot di! evy, or,, of
determination become! paNable immediatek on occeipt of notice and become! !quit! fificen day
allot mailing.
G. Pie openum non petition fin redemption and ocund it the petition i! !if �d b4o, � Ih
final.
Ordinance No. , (091114)
CAP091114 Page 44
D. the tax administrator shall give the operator written notice of the determination. If notice is
mailed it shall be addressed to the operator at the address that appeals on the records of the tax
administrator, and service is Complete when the notice is deposited in the mail.
E. Except in the case of fraud or intent to Cvade the tax, a deficiency determination shall be made
and notice mailed within three years after the last day of the month following the close of the
quarterly pcliod for which the determination has been made or within three years after the return
is filed, whichever is later. (Ord 1707 §I(part), 1994).
lithe tax administrator believes that Collection of the tax will bcjcopardizcd by delay, or it a
determination will be jeopardized by delay.. the tax administrator shall determine the tax to be
Collected and note facts concerning the delay on the determination. The dctcrmincd amount is
payable immediately alter service of the notice. Ager payment has been made, the operator may
petition for redemption and rclund of the determination tithe petition is filed within fifteen days
bona the date of mailing of notice by the tax administrator. (Ord 1707 $ Hpart). 1994).
A. An operator against whom a determination is made under
Section 324.090_. 324.100 or 324.110_. or a person directly interested. may petition for a
redetermination. redemption and rclund within Iiltecn days Ilona the date the notice was mailed.
II a petition for redetermination and rclund is not tiled within the time required. the
determination is final on expiration ofthe allowable time.
B. II a petition Ior redetermination and rclund is filed within the allowable period. the tax
administrator shall reconsider the determination and. if the operator requCsted a hearing in the
petition. shall grant the hearing and give the operator hitecn days notice ofthe time and place of
the hearing. The tax administrator may ContinuC the hearing if necessary.
C. The tax administrator may change the amount of the determination as a result of the hearing.
II an increase is dctcrmincd. the increase is payable immediately alter the hearing.
D. The decision of the tax administrator on a petition for redetermination becomes final hitecn
days alter mailing ofnotice on the petitioner unless appeal of the decision is tiled with the
Council within hhCCn days alter noticC is mailed.
Ordinance No. , (091114)
CAP091 n4 Page 45
E. A petition for redetermination or an appeal is not effective unless the operator has complied
with the payment provisions. (Ord 1707 § I (part). 1994).
B. In case such determination is made, the Director shall give a written notice of the
amount so assessed by having it served personally or by depositing it in the United
States mail, postage prepaid, addressed to the Operator so assessed at the last known
place of address. Any deficiency is due and payable 10 days after the Director serves its
written notice. The Operator may appeal such determination as provided in section
3.24.210 within 10 days of service of the deficiency notice. If no appeal is filed, the
Director's determination is final and the amount thereby is immediateh due and
payable.
C. Except as provided herein, every deficiency determination shall be made and notice
mailed within 3 years after a return was originally filed or subsequently amended,
whichever period expires later. In the case of the filing of a false or fraudulent return
with the intent to evade this chapter, a failure to file a required return, or willful refusal to
collect and remit the tax, a deficiency determination may be made, or a proceeding for the
collection of such deficiency may be commenced, at any time.
3.24.130 Security for collection of tax.
A. The tax adminisuatco Director may require an operatorOperator to deposit security in the
form of cash, bond or other security. The amount of security shall be fixed by the tax
adru ,Director and shall not be greater than twice the opet atorsOperator's estimated
average quarterly liability for the period for which the opetatmOperator files returns or five
thousand dollars, whichever armunt is less.
B. Within three years after the tax becomes payable or within three years after a detennination
becomes final, the tax adruaDirector may bring an action in the nalne of the city in the
courts of this state, another state or the United States to collect the alnount delinquent and
penalties and interest.
3. 24 . 140 Liens .
......................................
Ordinance No. , (091114)
CAP091114 Page 46
After a determination of taxes owing has become final, such taxes, together with all applicable
interest and penalties, shall become a lien on the real property used in the operation of the hotel.
transient lodging facility.'fhe Director shall cause the lien to be recorded
in the city's lien docket, and the lien may thereafter be foreclosed in the same manner as in the
case of liens for local improvements, as set forth in Oregon Revised Statutes 223.505 to 223.595.
3.24.150 Refunds issued by city to operatorCity.
14 h�aA. Whenever the amount of any tax, penakN oi interest or penalty has been overpaid or
paid more than once, or has been erroneously or illegally collected or received by the to s,
a(hu a mCity under this chapter, it may be refunded ifas provided in subparagraphs (B)
and (C) of this section, provided a . i iia aisl m'_. claim in writing therefore, stating under
penalty of perjury the specific reason Imgrounds upon which the claim is founded, is filed
with the Director within three (3) years fromof the date of payment. The claim must be on
forms furnished by the Director.
B. An Operator may claim a refund, or take as credit against taxes collected and remitted,
the amount overpaid, paid more than once or erroneously or illegally collected or received
when it is established in a manner prescribed by the Director that the person from whom
the tax has been collected was not a transient; provided, however, that neither a refund nor
a credit shall be submitted on forms provided byallowed unless the amount of the tax
administrator. If the claim is approved, the excesS amount may beso collected has either been
refunded to the opemN transient or it nur, he credited to an amount rent subsequently payable
by the openian and anN_. balance i efunded. "O °O° ° " ', °O^'.transient to the Operator.
?' ^ 160 Refunds o C. A transient.
��ill-it tax .,-as may obtain a refund of taxes overpaid or paid more than
once, or erroneously or illegally collected or received by the .:.x adruin ua rbe
r City, by filing a claim in the manner provided in subparagraph (A) of this
section, but only when the tax was paid by the transient directly to the Director, or when
the transient if a written verified claim stating the sp cilic reason Rrr the claim is filed
Ordinance No. , (091114)
CAP091114 Page 47
withhaving paid the tax to the Operator, established to the tax administrator within three
ycarssatisfaction of the Director that the transient has been unable to obtain a refund from
the d nt.Opera lot who collected the tax.
D. No refund shall be paid under the provisions of this section unless the claimant
establishes that right hereto by written records showing entitlement thereto
3.24.170 Refunds by operaturOperator to transient.
..........................................................................................................................................................................................................................................
If the tax has been collected by the opemtorOperator and it is later determined that the transient
occupied the hotel for a period exceeding P-, cntt ;ac,, e,rthirty (30) days without interruption, the
opciatei Operator shall refund the tax to the transient. The op�Operator shall account for
the collection and refund to the ax aduuni, uawiDirector. If the opci at>FOperator has remitted
the tax prior to refund or credit to the transient, the o>FOperator shall be entitled to a
corresponding refund.
3.24.180 Records required from operatersOperators--Examination.
A. It shall be the duty of every operatorOperator liable for the collection and payment to the city
of any tax imposed by this chapter to keep and preserve, for a period of three years and six
months, all records, books, reports, income tax reports and other matters required by this chapter
as may be necessary to determine the amount of such tax as the o>FOperator may have
been liable for the collection of and payment to the city, which records the fr
.1dru.,r..., awi Director shall have the right to inspect at all reasonable times as set forth below.
Every opci shall maintain guest records of room rents, accounting books and
records of income. The opemtorsOperators must, at a minimum, include a daily room rental
register, a room billing/revenue daily journal, a cash receipt and deposit journal, and a cash
disbursements journal/check register for all authorized deductions. These records and books shall
reconcile to the transient room tax reports and be auditable. They shall also reconcile to the
opei 'sOperator's income tax reports. Ifthe'ax a wi Director finds the books and
records of the o�Operator are deficient in that they do not provide adequate support for
transient room tax reports filed, or the opei atei "sOperator's accounting system is inauditable, it
shall be the responsibility of the ope-r�Operator to improve their accounting system to the
satisfaction of the'axa u�.., awi Director.
Ordinance No. , (091114)
CAP091114 Page 48
B. During normal business hours and after notifying the operatcs Operator, the tax
administrator Director, or an authorized representative, may examine books, papers and
accounting records -i dat �d to iooui i �ata],, including the Operator's federal and state income
tax returns, to verify the accuracy of a return or, if no return is made, to determine the amount
to be paid.
3.24.190 Confidentiality.
...........................................................................................................................................................................................................................................
The ;;a,danni, P ,.Director or a person having an administrative or clerical duty under the
provisions of this chapter shall not make known in any manner the business affairs, operations or
information obtained by an investigation of records and equipment of a person required to file a
return or pay a transient occupancy tax or a person visited or examined in the discharge of
official duty; or the amount or source of income, profits, losses or expenditures contained in a
statement or application; or permit a statement or application, or a copy of either, or a book
containing an abstract or particulars to be seen or examined by any person. However, nothing in
this section shall be construed to prevent:
A. Disclosure to or examination of records and equipment by a city official, employee or agent
for collecting taxes for the purposes of administering or enforcing the provisions or collecting the
taxes imposed by this chapter;
B. Disclosure, after filing a written request, to the taxpayer, receivers, trustees, executors,
administrators, assignees and guarantors, if directly interested, of information concerning tax
paid, unpaid tax, amount of tax required to be collected, or interest and penalties. However, the
city attorney shall approve each disclosure, and the ta; admi ni, P ateiDirector may refuse to
make a disclosure referred to in this subsection when, in the IaN ad Praia„alw'aDirector's
opinion, the public interest would suffer;
C. Disclosure of names and addresses of persons making returns;
D. Disclosure of general statistics regarding taxes collected or business done in the city.
E. Presentation of evidence to the court, or other tribunal hav ing,jurisdiction in the
prosecution of any criminal or civil claim for amount due the Citi under this chapter; or
Ordinance No. , (091114)
CAP091 n4 Page 49
F. The disclosure of information when such disclosure of conditionally exempt information
is ordered under public records law procedures; or
G. The disclosure of records related to a business' s failure to report and remit the tax
when the report or tax is in arrears for over six months or the tax arrearage exceeds
$5,000.00. The City Council expressh finds and determines that the public interest in
disclosure of such records clearh outweighs the interest in confidentiality under ORS
192.501(5).
3.24.200 Disposition and use of transient room tax funds.
All revenues received by the city from the tax shall be deposited in the general fund
3.24.210 Appeals to the city council.
........................................................................................................................................................................................................................................
A. A poisonAni Operator aggrieved by aany decision of the Director with respect to
the amount of such taxf.;,ini- P lot, interest and penalties, if any, may appeal to the city
council by filing a notice of appeal with the tax administratorDirector within fifteen (IS) days
of mailing of the notice of a decision. The city manager shall fix a time and place for hearing the
appeal, as prescribed by the city council, and shall give the appellant fifteen days written notice
of the time and place of the hearing before the city council. At __ the council tua,
B.] lie appellant shall pay a nonrefundable appeal fee to facilitate the appeal. Appeal Fees
shall be set at $150 for each decision appealed, and may be adjusted by Resolution of the
city council.
C. The parties shall be entitled to appear personalh and by counsel and to present such
facts, evidence and arguments as may tend to support the respective positions on appeal.
D. The city council shall afford the parties an opportunity to be heard at an appeal hearing
after reasonable notice. The city council shall take such action upon the appeal it sees fit.
The city council shall at a minimum:
Ordinance No. , (091114)
CAP091114 Page 50
1) At the commencement of the hearing, explain the relevant issues invoked in the hearing,
applicable procedures and the burden of proof.
2) At the commencement of the hearing place on the record the substance of any written or
oral ex parte communications concerning any relevant and material fact in issue at the
hearing which was made outside the official proceedings during the pendency oft lie
proceeding. The parties shall be notified of the substance of the communication and the
right to rebut the communication. Notwithstanding the above, the parties are prohibited
from engaging in ex parte communications with the members of the cit} council.
3) Testimon} shall be taken upon oath or affirmation of the witnesses.
4) The city council shall ensure that the record developed at the hearing shows a full and
fair inquiry into the relevant and material facts for consideration for the issues proper[}
before the hearings officer.
5) W ritten testimony ma} be submitted under penalty of false searing for entry into the
record. All written evidence shall be filed with the City recorder no less than (5) five
working days before the date of the hearing.
6) The city council shall hear and consider an} records and evidence presented bearing
upon the Director's determination of amount due, and makefindings affirming,
reversing or modifying the determination.
7) Informal disposition ma} be made of an} case by stipulation, agreed settlement, consent
order or default.
F. The action of the Director shall be stayed pending the outcome of an appeal proper[}
filed pursuant to this section.
G. Failure to strictly comply with the applicable appeal requirements, including but not
limited to the required elements for the written notice of appeal, time for filing of the notice
of appeal, and payment of the applicable appeal fee, shall con stitute,j urisd fiction ,it defects
resulting in the summary dismissal of the appeal.
Ordinance No. , (091114)
CAP091114 Page 51
H. The findings of the cit} council shall be final and conclusive, and shall be served
upon the appellant in the manner prescribed above for service of notice of hearing.
Any amount found to be due shall be immediately due and payable upon the service of
notice.
3.24.220 "--n- ki— - nd • io' tion,
A. It is unlawful for any opena>FOperator or any other person so required to fail or
refuse to rcgistcr Hs rcquircd 11CMn, or to furnish any return required to be made, or fail or
refuse to furnish the supplementary return or other data required by the tax
"Imini- P tw Director or to enter a false or fraudulent report, with intent to defeat or evade
the determination of any amount due required by this chapter.
3.24.230 Penalties—Collection.
B. Violation of any provision of this chapter of this code shall be punishable by the
general penalty. Every day in which the violation is caused or permitted to exist constitutes
a separate infraction, and the punishment therefor shall be in addition to any other penalty,
interest, sum or charge imposed by this code or this chapter. Delinquent taxes and fees,
penalty and interest imposed by this chapter and this code may be collected in a civil
action.
C. The remedies provided by this section are not exclusive and shall not prevent the
City from exercising any other remedy available under the law, nor shall the provisions
of this ordinance prohibit or restrict the City or other appropriate prosecutor
from pursuing criminal charges under state law or City ordinance.
3.24.230 Actions to Collect
Any tax required to be paid by any transient under the provisions of this chapter shall be
deemed a debt owed by the transient to the City. Any such tax collected by an Operator
which has not been paid to the City shall be deemed a debt owed by the Operator to the
City. Any person owing money to the City under the provisions of this ordinance shall be
liable to an action brought in the name of the City of Central Point for the recovery of such
amount In lieu of filing an action for the recovery, the City, when taxes due are more than
Ordinance No. , (091114)
CAP091114 Page 52
30 days delinquent, can submit any outstanding tax to a collection agency. Solon as the
City has complied with the provisions set forth in ORS 697.105, in the event the Citi turns
over a delinquent tax account to a collection agency, it may add to the amount owing an
amount equal to the collection agency fees, not to exceed the greater of fifthdollars or fifh
percent of the outstanding tax, penalties and interest owning.
SECTION 2. Codification. Provisions of this Ordinance shall be incorporated in the City Code
and the word Ordinance maybe changed to "code", "article", "section', "chapter" or another
word, and the sections of this Ordinance may be renumbered, or re -lettered, provided however
that any Whereas clauses and boilerplate provisions need not be codified and the City Recorder
is authorized to correct any cross-references and any typographical errors.
SECTION 3. Effective date. The Central Point City Charter states that an ordinance enacted by
the council shall take effect on the thirtieth day after its enactment. The effective date of this
ordinance will be the thirtieth day after the second reading.
Passed by the Council and signed by me in authentication of its passage this
day of , 2014.
Mayor Hank Williams
ATTEST:
City Recorder
Ordinance No. , (091114)
CAP091114 Page 53
Return to Agenda
Resolution
Authorizing Twin
Creeks Crossing
Project LOU
CAP091114 Page 54
A
CENTRAL
POINT
ADMINISTRATION DEPARTMENT
140 South 3rtl Street Central Point, OR 97502 (S41) 664-7602 www.rentra l pointoregon.gov
STAFF REPORT
September 2, 2014
AGENDA ITEM: Resolution No. _ A resolution allowing the City Manager or his
designee to sign the Project Letter of Understanding for the Twin Creeks Rail Crossing.
Consideration of Resolution No. Authorizing the City Manager or his designee to sip
the Project Letter of Understanding with the Oregon Department of Transportation for the Twin
Creeks Rail Crossing.
STAFFSOURCE:
Matt Samitore, Parks & Public Works Director
BACKGROUND/SYNOPSIS:
The City of Central Point was awarded a grant in the amount of $2,670,000 for the construction of
the Twin Creeks Rail Crossing associated with the 2015-2018 Oregon Surface Transportation
Improvement Program (STIP). The grant requires a match of $994,406.55. The City has reached
an agreement with Twin Creeks Development, LLC for $500,000 for its share of the crossing.
Additionally, Twin Creeks Development LLC is obligated to complete an additional $250,000 of
estimated costs of the project including the irrigation and sewer relocation and construction of the
Griffin Creek and Twin Creeks Crossing floodway overflow culverts.
With both of these agreements in place the City's contribution will be a maximum of 5244,406.55,
but could be substantially less depending on how much value is associated with the work that is
currently underway.
This agreement is a letter of understanding; a formal legally binding agreement will be required
prior to acceptance of the funds.
FISCAL IMPACT:
Positives: Upon completion of the project all the remaining land associated with the Twin Creeks
Development will be available for development.
Negatives: The City and the Development Commission could be obligated up to $244,406.55.
ATTACHMENTS:
I. Resolution authorizing the signatures for the Twin Creeks Rail Crossing.
RECOMMENDATION:
City Staff: City staff recommends approving the resolution authorizing the City Manager or his
designee to sign the Project Letter of Understanding.
CAP091114 Page 55
PUBLIC HEARING REQUIRED:
No. Public comment can be accemec
SUGGESTED MOTION:
I move to approve the resolution Authorizing the City Manager or his designee to sign the
Project Letter of Understanding with the Oregon Department of Transportation for the Twin Creeks
Rail Crossing.
Return to Agenda
CAP091114 Page 56
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER TO SIGN THE TWIN
CREEKS CROSSING PROJECT LETTER OF UNDERSTANDING
Recitals
A. The City of Central Point was awarded a grant in the amount of $2,670,000 for the
construction of the Twin Creeks Rail Crossing associated with the 2015-2018 Oregon Surface
Transportation Improvement Program (STIP). The grant requires a match of $994,406.55. The
City has reached an agreement with Twin Creeks Development, LLC for 5500,000.00 for its
share of the crossing. Additionally, Twin Creeks Development LLC is obligated to complete an
additional $250,000.00 of estimated costs of the project including the irrigation and sewer
relocation and construction of the Griffin Creek and Twin Creeks Crossing floodway overflow
culverts.
B. City has an anticipated maximum contribution of $244,406.55 based upon current
project estimates, including the agreed-upon contributions from Twin Creeks Development,
LLC.
C. The Oregon Department of Transportation requires a project letter of understanding to
be signed by the city.
The City of Central Point resolves as follows:
Section 1. Allows the City Manager or his designee to sign the Project Letter of
Understanding for the Twin Creeks Rail Crossing project.
Passed by the Council and signed by me in authentication of its passage this day
of 2014.
Mayor Hank Williams
ATTEST:
City Recorder
CAP091114 Page 57
/I rego l
Jar A.IC rM1abe+.MD. C
August 8, 2014
Klatt Samitore
Public Worley Director
City ofCcnlml Point
140 S. Third Street
Central Point, OR 97,502
Subject: Project Term of Under' standing -2015-2018 STI P Enhance Project
Project Name: 'PWIN CREEKS RAIL CROSSING; (CENTRAL POINT)
YN: 18972
Department of Transportation
OD0'1Region 3 Headquarters
3500 NW Stewart Parkway
Roseburg, OR 97470
Phone:(541)388-6150
We are pleased to announce the above project has been placed on the Oregon Transportation Commission preliminaryaward list. This
list is referred to as the STIP Enhance 100% list and is moving forward in the process.
While Lire project will not be `officially" awarded Ponding until final approval by the OTC, ODOT has been working with you to
finalize the details of your project. Bused oil the application, the project scoping visits, and the information received hour the Pre -
Award Letter, our final understanding of the project details are listed below.
It is imoertant to onto that this letter is not a legal agreement. The intent, of this letter, is to document each patties understanding of
the project details and the dateline for moving forward. The details of your project as stated below will be used to prepare the
Intergovernmental Agreement (1GA).
Final Project Details
Project Financials: 72.66 _ __2.670-
Rnhance STIP Pu ufno4mounl
6766_ 662.7
xz.67o.aao.oa
Required Non-federal Mamonnu Match (10.27%):
_
$305,593.45
Addil!!,1 Match.
.$994,40655
Olhcr Onodul,
7776
IrAnacorsPmjcct( sC
7777
$0.00
ng Ratio:
'Forth Ratio
MIEP,000.00 w -
MTPP-67.25% Acnc -32.75%
Match T,,c
_
Cash
Match Provided P -:
Project Details:
STIP Project.
7e
1'rcjedSwpe(I(iABxlnbn6SOWp.
_
72.77_.
Requias -Kew l0A
'conteren to connat gedcks,bi,c ytnl5csanandbos rutty
consnuctien m conmat vehicles, bicycles, puleslriaos mrd bus routes from the
Twin Caela llevelopmenl area [o Highway 99_ The project e76o includes
road.ray anA sidewalk hnprovmnrnts along 1 hvy 99 Jncluding e ®dewall:
c r"io_'ofGriffiu Creek.
Dclivep Method:
Non -Certified Local Administered
'*Gsfimu rd Oblieation Mon th11'c!oE:
_
1/31/2015
Estimated Obligation Month/Year-ROW:
6/30/2015
Sstimaled Obligation Month/Veer-C nstructran
Date IGA most be eeecuted bg
_
9/30/2016
12/2/2014 =60d - I for to rmimmed Obligstion Month/Year- PE: orI"
phvsq nhovc_/or'soon J_
State Contact Information:
- Signature Authonty Conleel Name:
'Ont, Samitore
Tito:
_
Public Works Direclm
--,road: ---
_
Matt. SamarretMcennalpo utavgoo.gov
Phone:
(541)428-1017 --
Mailing Address.
140 S_ Third Street
Cen od Pon,(
City:
S
OR
Page 1
CAP091114 Page 58
Zip:
97502 _
- LADI'M Conrad Name:
Email
Kelli Sra6man _
kcllisp,, aer*bod,,tstrtrar.os_
Phone
541.774.6383
Melfiaa Address:
_
100 Antelope Rd
city
While L$y
Stat,:
OR
Zr"( ad,.
97503-1674
-Fund , Ricoh defvs,d Ih lalioa hll 1=noeen STIP C1 e fde and mm/project'eo anencyfimda andlhe f..1"''njecsms.
")`Delivm y methods, "State Adinin,,,ed-Reglarr T chrSaol Censer", wE dale is only ""No generate ICA rL-aft m timely umnaee
We are asking that a representative from your Agency sign and return a scanned copy of this letter via RmaiIto Art Anderson, at
Arthur H. ANDER SON( ofodot.state.orms and CC: the ODOT mailbox at STIP-Enhan.@.doLs[atc...... s. n ahin 30 days of .... ipi. If
we du vat hen. bae%f.orn vow Agency wahin 30 days Mcfi,nds will be injeopmoly gf.edisirihati,, to an,Ih,, r,,ipiml,
Please don't hesitate to contact me if yon have any questions, (541) 774-6353.
Regards,
Art Anderson
Area Managcr
Please check one ofthc tollowing:
❑ Upon final approval by the OTC - My agency will accept the S'I'IP L chance Award for this project and has secured the match for
this project.
❑ My agency has decided to decline the S'IIP Lnhanoe Award
A,ec, R ,u,,er ioive & Title
Am
ODOT Rcprcvcntarive—Tine U' Dale:
Page 2
CAP091114 Page 59
Resolution
Authorizing IGA with
State for EPermitting
CAP091114 Page 60
A
CENTRAL
POINT
INFORMATION TECHNOLOGY DEPARTMENT
140 South 3rtl Street Central Point, OR 97 SO2 (S41) 664-7602 www.centra l pointoregon.gov
STAFF REPORT
September I I'r, 2014
AGENDA ITEM: Resolution authorizing the IT Director and City Manager to execute an
agreement with the Oregon State Department of Consumer and Business Services, Building
Codes Division for deployment and administration of the City's electronic permitting system.
STAFFSOURCE:
Jason Richmond, IT Director
Chris Clayton, City Manager
BACKGROUND/SYNOPSIS:
Oregon State Statute ORS 455.095 provides that Oregon State Department of Consumer and
Business Services develop an system to manage and carry out the building inspection programs for
municipalities. To fund the program the state implemented a 4% fee on permits to build and operate
the system. Many of the local agencies have already implemented this state ePermitting system and
it is beneficial for both the City of Central Point and its contractors and citizens by providing a
unified online system across all agencies.
FISCAL IMPACT:
There is no fiscal impact to the City of Central Point. The system is funded through a fee already
being collected on building permits.
ATTACHMENTS:
1. Resolution approving an agreement between the City of Central Point and the Oregon State
Department of Consumer and Business Services, Building Codes Division for
implementation of an ePermitting system.
RECOMMENDATION:
City staff is recommending approval of the attached resolution.
PUBLIC HEARING REQUIRED
No.
Return to Agenda
SUGGESTED MOTION:
I move to approve the first reading of a resolution number authorizing the city manager and
mayor to execute an agreement between the City and the Oregon State Department of Consumer
and Business Services, Building Code Division for implementation of the state ePermitting System
CAP091114 Page 61
RESOLUTION NO.
A RESOLUTION RECOMMENDING ADOPTION OF AN AGREEMENT BETWEEN
THE CITY OF CENTRAL POINT AND THE OREGON STATE DEPARTMENT OF
CONSUMER AND BUSINESS SERVICES, BUILDING CODES DIVISION.
RECITALS:
A. Oregon Revised Statute ORS 455.095 provides that DCBS shall develop and
implement a system that provides electronic access to building permitting
information. The statute also requires DCBS to make the system accessible
for use by municipalities in carrying out the building inspection programs
administered and enforced by the municipalities.
B. The ePermitting system is funded through a current4%fee being collected on
all permits issued. As such, no additional monthly or annual fees are required
of the City of Central Point.
C. The City of Central Point deems it to be in its best interest to enter into this
agreement with the DCBS for the purpose of implementing the state funded
ePermitting system.
The City of Central Point resolves:
Section 1. The attached agreement between the City of Central Point and the Oregon
State Department of Consumer and Business Services, Building Codes Division is
approved.
Section 2. Upon approval of this agreement by the Oregon State Department of
Business Services, the attached agreement shall remain in effect between the two
agencies for the entire period the City of Central Point administers and enforces a
building inspection program.
The Information Technology Director and City Manager of Central Point are
authorized to sign the attached agreement on behalf of the City of Central Point.
Passed by the Council and signed by me in authentication of its passage this
day of 2014.
Mayor Hank Williams
ATTEST:
City Recorder
CAP091114 Page 62
Regional IGA# PA 717910-00
INTERGOVERNMENTAL PARTNERSHIP AGREEMENT
ePermit System and Services
THIS INTERGOVERNMENTAL PARTNERSHIP AGREEMENT
("Agreement') will become effective when all required signatures have been obtained
by and between The State of Oregon, acting by and through the Department of
Consumer and Business Services (DCBS), Building Codes Division ("BCD") and the
City of Central Point ("Jurisdiction"), a political subdivision of the State of Oregon.
BCD and the Jurisdiction may collectively be referred to herein as the Parties and
individually as the Party. The Parties enter into this Agreement to cooperate and
share services pursuant to the authority granted under Oregon Laws 2013 Chapter
528 (SB 582). The purpose of this partnering agreement is to encourage economic
development through construction and to use experimentation and innovation for
administration of building inspection programs. It is in the best interest of BCD and
Central Point leaders to ensure that construction -related development activities
proceed in a manner as quickly and efficiently as practical. Having a flexible and
responsive system requires sufficient staff and resources to be available to
construction businesses. By partnering together, BCD and Central Point can explore
new ways to maximize the use of scarce resources.
DCBS: Jurisdiction:
Celina Patterson
Chris Clayton
e -Permitting Manager
City Manager
1535 Edgewater Street NW
City Hall
PO Box 14470
140 South Third Street
Salem, OR 97309
Central Point. OR 97502
(503)373-0855
(541) 664-3321
RECITALS
A. Oregon Revised Statute ORS 455.095 provides that DCBS shall develop and
implement a system that provides electronic access to building permitting
information. The statute also requires DCBS to make the system accessible
for use by municipalities in carrying out the building inspection programs
administered and enforced by the municipalities.
B. The Department of Administrative Services, State Procurement on behalf
DCBS issued a Request for Proposal (REP) for a statewide ePermit system
and associated products and services ("ePermit System"). Accela, Inc. was the
successful proposer. On or about August 8, 2008, DCBS and Accela, Inc.
entered into a contract ("ePermit contract") by which Accela, Inc, licensed to
DCBS ePermitting system software, an IVR system and provided related
configuration, implementation and hosting services (collectively the "ePermit
System").
1 Rt,66 70013
CAP091114 Page 63
Regional IGA# PA 717910-00
C. The ePermit contract provided that the ePermit System and related Services
would be available to municipalities ("Participating Jurisdictions").
D. BCD is the division of DCBS that implements and administers the
ePennitting system.
E. Jurisdiction has requested that BCD provide access to the ePennitting
System and related Services to Jurisdiction and to unplement the
Jurisdiction as a Participating Jurisdiction as set forth in the ePennitting
contract.
E. BCD is willing, upon the terns of and conditions of this Agreement, to
provide access to Jurisdiction to the ePennitting System and related Services
and to implement Jurisdiction as provided herein.
1. DEFINITIONS.
1.1. As used in this Agreement, the following words and phrases shall have the
indicated meanings.
1.2. "Agreement' means this Intergovernmental Agreement.
E3. "ePennitting Contract' has the meaning set forth in Recital B and
includes all amendments thereto.
E4. "ePermit System" means the entire system including the ePennitting software
licensed unplemented and configured pursuant to the ePermit contract and
related Services including hosting and IVR.
E5. "Jurisdiction" has the meaning set forth in the first paragraph of this
Agreement.
2. TERM, RENEWAL AND MODIFICATIONS.
2. E Term. This Agreement is effective, and will be considered fully executed,
upon signature by both parties, and shall remain in effect until
termination of this Contract as provided herein. Unless otherwise terminated
as provided herein, this Contract will be in effect for the period that
Jurisdiction administers and enforces a building inspection program. This
Agreement will automatically renew in the event that the Jurisdiction's
program assumption is renewed for an additional period.
2.2. Agreement Modifications. Notwithstanding the foregoing, or, any other
provision of the Agreement, BCD may propose a modified Agreement or new
intergovernmental agreement for Jurisdiction access to the ePermit System.
Rt,i� 70013
CAP091114 Page 64
Regional IGA# PA 717910-00
BCD will propose such modified Agreement or new intergovernmental
agreement with at least 60 days written notice prior to expiration of the
Jurisdiction's current program assumption period. The new
intergovernmental agreement or modified Agreement will be effective on the
effective date of the renewal of Jurisdiction's program assumption. If the parties
cannot agree to the new intergovernmental agreement or modified Agreement,
this Agreement will terminate effective on the renewal date of
Jurisdiction's program assumption. Additionally, during the term of this
Agreement, BCD may propose modifications to this Agreement and which will
become effective upon mutual agreement by the parties in accord with section
19 of this Agreement.
3. PERFORMANCE AND DELIVERY.
3.1 Responsibilities of BCD.
3.1.1. BCD shall use its best efforts to provide Jurisdiction access to the
ePermit System and related Services. BCD shall use it best effort to
provide the Jurisdiction with satisfactory access on a parity with all other
jurisdictions implemented by BCD to the ePermit System.
3.1.2. BCD will implement the Jurisdiction using the process according to the
ePermitting Implementation Methodology set forth in Exhibit B. In
the event that a Work Order Contract is used to implement a specific
city or county, a copy of that agreement shall be provided in Exhibit E.
3.1.3. Upon implementation, Jurisdiction will have access to the System and
the functionality as described in the ePermit contract and determined
during the implementation process.
3.1.4. BCD will provide technical support for the ePermit program. Support
shall be provided to Jurisdiction 8:00 a.m. to 5:00 p.m. Monday
through Friday, except for state observed holidays and from 8:30-
10:00 am on Mondays when ePermitting staff holds its weekly
staff meeting. The general support structure shall be as follows:
3.1 .4. I. State ePermitting team provides technical support to
participating city or county.
3.1.4.2. Accela provides technical support to State ePermitting
team.
In the event that the State team is unable to communicate a solution to the
participating city or county, the State team will facilitate
communication between Accela and participant.
3.2. Responsibilities of Jurisdiction.
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3.2. L Jurisdiction agrees to the requirements of Exhibit A
3.2.2. Jurisdiction agrees to abide by the terns and conditions of the Software
License set forth in Exhibit B.
3.2.3. Jurisdiction agrees to abide by the implementation model that is
identified in Exhibit E.
4. REPRESENTATIONS AND WARRANTIES.
4.1 Representations of Jurisdiction. Jurisdiction represents and warrants to BCD
as follows:
4. L 1. Organization and Authority. Jurisdiction is a political subdivision of
the State of Oregon (or an intergovernmental entity formed by political
subdivisions of the State of Oregon under ORS Chapter 190) duly
organized and validly existing under the laws of the State of Oregon.
Jurisdiction has full power, authority and legal right to make this
Agreement and to incur and perform its obligations hereunder.
Jurisdiction has assumed and administers a building inspection program
under ORS 455.148 to ORS 455.153.
4.1.2. Due Authorization. The making and performance by Jurisdiction of this
Agreement ( I ) have been duly authorized by all necessary action of
Jurisdiction and (2) do not and will not violate any provision of any
applicable law, rule, and regulation.
4.1.3. Binding Obligation. This Agreement has been duly executed and delivered
by Jurisdiction and constitutes a legal, valid and binding obligation
of Jurisdiction, enforceable according to its terms.
4.1.4. Jurisdiction has reviewed the ePermit contract and ePermit System and is
knowledgeable of the ePermit system functionality and performance and
has entered into this agreement based on its evaluation of the ePermit
Contract and the ePermit System
4.2. Representations and Warranties of BCD. BCD represents and warrants to
Jurisdiction as follows:
4.2.1. Organization and Authority. BCD is an agency of the state government
and BCD has full power, authority and legal right to make this Agreement
and to incur and perform its obligations hereunder.
4.2.2. Due Authorization. The making and performance by BCD of this
Agreement (1) have been duly authorized by all necessary action of BCD
and (2) do not and will not violate any provision of any applicable law,
rule, and regulation.
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4.2.3. Binding Obligation. This Agreement has been duly executed and delivered
by BCD and constitutes a legal, valid and binding obligation of BCD,
enforceable according to its terms.
4.2.4. Performance Warranty. BCD will use its best efforts to provide
Jurisdiction access to the ePermit System and implement the
Jurisdiction according to the ePermit contract and Exhibit B.
Notwithstanding the foregoing, Jurisdiction understands and agrees
that the ePermit System is composed of software and services provided
by third parties and BCD has no responsibility to Jurisdiction for
the functionality or performance of the ePermit System.
4.3. The warranties set forth above are in addition to, and not in lieu of, any
other warranties set forth in this Agreement or implied by law.
5. ACCESS TO RECORDS AND FACILITIES.
5.1. Records Access. BCD, the Secretary of State s Office of the State of Oregon,
the Federal Government, and their duly authorized representatives shall have
access to the books, documents, papers and records of the Jurisdiction that are
directly related to this Agreement, for the purpose of making audits,
examinations, excerpts, copies and transcriptions.
5.2. Retention of Records. Jurisdiction shall retain and keep accessible all
books, documents, papers, and records that are directly related to this
Agreement for a minimum of six (6) years, or such longer period as
may be required by other provisions of this Agreement or applicable law,
following the termination of this Agreement.
5.3. Public Records. Jurisdiction shall be deemed the Custodian for the
purposes of public records requests regarding requests related to
Jurisdiction's building inspection program.
6. JURISDICTION DEFAULT. Jurisdiction shall be in default under this
Agreement upon the occurrence of any of the following events:
6.1. Jurisdiction fails to perform, observe or discharge any of its covenants,
agreements or obligations set forth herein.
6.2. Any representation, warranty or statement made by Jurisdiction herein is
untrue in any material respect when made.
7. BCD DEFAULT. BCD shall be in default under this Agreement upon the
occurrence of any of the following events:
7.1. BCD fails to perform, observe or discharge any of its covenants, agreements,
or obligations set forth herein; or
7.2. Any representation, warranty or statement made by BCD herein is untrue in
any material respect when made.
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8. TERMINATION.
8.1. Jurisdiction Termination. Jurisdiction may terminate this Agreement in its
entirety as follows:
8.1.1. For its convenience, upon at least six calendar months advance written
notice to BCD, with the termination effective as of the first day of the
month following the notice period;
8.1.2. Upon 30 days advance written notice to BCD, if BCD is in default
under this Agreement and such default remains uncured at the end of
said 30 day period or such longer period, if any, as Jurisdiction may
specify in the notice; or
8.1.3. Immediately upon written notice to BCD, if Oregon statutes or federal
laws, regulations or guidelines are modified, changed or interpreted by the
Oregon Legislative Assembly, the federal government or a court in such
a way that Jurisdiction no longer has the authority to meet its obligations
under this Agreement.
9. DCBS, BCD TERMINATION. BCD may terminate this Agreement as follows:
9.1. For its convenience, upon at least twenty-four calendar months advance
written notice to Jurisdiction, with the termination effective as of the first day
of the month following the notice period.
9.2. Upon termination of the ePermit Contract with such reasonable notice to
Jurisdiction as feasible under the terms of the ePermit Contract.
9.3. Immediately upon written notice to Jurisdiction if Oregon statutes or federal
laws, regulations or guidelines are modified, changed or interpreted by the
Oregon Legislative Assembly, the federal government or a court in such a
way that BCD no longer has the authority to meet its obligations under this
Agreement.
9.4. Upon 30 days advance written notice to Jurisdiction, if Jurisdiction is in
default under this Agreement and such default remains uncured at the end of
said 30 day period or such longer period, if any, as BCD may specify in the
notice.
9.5. Immediately, in the event that Jurisdiction no longer administers and enforces
a building inspection program.
10. EFFECT OF TERMINATION.
10.1. No Further Obligation. Upon termination of this Agreement in its entirety,
BCD shall have no further obligation to provide access to the ePermit
System and related Services to Jurisdiction.
10.2. Survival. Termination or modification of this Agreement pursuant to sections 8
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and 9 above, shall be without prejudice to any obligations or liabilities of
either party already accrued prior to such termination or modification.
However, upon receiving a notice of termination, Jurisdiction shall immediately
cease all activities under this Agreement, unless expressly directed
otherwise by BCD in the notice of termination.
10.3. Minimize Disruptions. If a termination right set forth in section 8 or 9 is
exercised, both parties shall make reasonable good faith efforts to minimize
unnecessary disruption or other problems associated with the termination.
10.4. Jurisdiction Data. Jurisdiction may obtain a copy of data related to its
building inspection program.
11. NOTICE. Except as otherwise expressly provided in this Agreement, any
communications between the parties hereto or notices to be given hereunder
shall be given in writing by personal delivery, facsimile, or mailing the same,
postage prepaid to Jurisdiction or BCD at the addresses or numbers set forth on
page one of this agreement, or to such other addresses or numbers as either
party may indicate pursuant to this section. Any communication or notice so
addressed and mailed shall be effective five (5) days after mailing. Any
communication or notice delivered by facsimile shall be effective on the day the
transmitting machine generates a receipt of the successful transmission, if
transmission was during normal business hours of the recipient, or on the next
business day, if transmission was outside normal business hours of the
recipient. To be effective against BCD, any notice transmitted by facsimile
must be confirmed by telephone notice to BCD'IePermitting Manager. To be
effective against Jurisdiction, any notice transmitted by facsimile must be
confirmed by telephone notice to Jurisdiction s City Manager or County
Administrative Officer. Any communication or notice given by personal
delivery shall be effective when actually delivered.
12. SEVERABILITY. The parties agree that if any term or provision of this
Agreement is declared by a court of competent jurisdiction to be illegal or in conflict
with any law, the validity of the remaining terms and provisions shall not be affected,
and the rights and obligations of the parties shall be construed and enforced as if
the Agreement did not contain the particular term or provision held to be invalid.
13. COUNTERPARTS. This Agreement may be executed in several counterparts, all
of which when taken together shall constitute one agreement binding on all parties,
notwithstanding that all parties are not signatories to the same counterpart.
Each copy of this Agreement so executed shall constitute an original.
14. GOVERNING LAW, CONSENT TO JURISDICTION. This Agreement shall
be governed by and construed in accordance with the laws of the State of Oregon
without regard to principles of conflicts of law. Any claim, action, suit or proceeding
(collectively, "Claim") between BCD (and/or any other agency or department of the
State of Oregon) and Jurisdiction that arises from or relates to this Agreement
shall be brought and conducted solely and exclusively within a circuit court in
the State of Oregon of proper jurisdiction. In no event shall this section be
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construed as a waiver by the State of Oregon of any form of defense or immunity,
whether sovereign immunity, governmental immunity, immunity based on the
eleventh amendment to the Constitution of the United States or otherwise, from any
Claim or from thejurisdiction of any court. JURISDICTION, BY
EXECUTION OF THIS AGREEMENT, HEREBY CONSENTS TO THE IN
PERSONAM JURISDICTION OF SAID COURTS.
15. COMPLIANCE WITH LAW. The parties shall comply with all state and local
laws, regulations, executive orders and ordinances applicable to the Agreement.
All employers, including BCD and Jurisdiction, that employ subject workers who
provide Services in the State of Oregon shall comply with ORS 656.017 and
provide the required Workers Compensation coverage, unless such employers are
exempt under ORS 656.126.
16. ASSIGNMENT OF AGREEMENT, SUCCESSORS IN INTEREST. The parties
agree there will be no assignment or delegation of the Agreement, or of any interest
in this Agreement, unless both parties agree in writing. The parties agree that no
services required under this Agreement may be performed under subcontract
unless both parties agree in writing. The provisions of this Agreement shall be
binding upon and shall inure to the parties hereto, and their respective
successors and permitted assignees.
17. NO THIRD PARTY BENEFICIARIES. BCD and Jurisdiction are the only
parties to this Agreement and are the only parties entitled to enforce its terms.
Nothing in this Agreement gives, is intended to give, or shall be construed to
give or provide any benefit or right, whether directly, indirectly or otherwise, to
third persons any greater than the rights and benefits enjoyed by the general
public unless such third persons are individually identified by name herein and
expressly described as intended beneficiaries of the terms of this Agreement.
18. WAIVER. The failure of either party to enforce any provision of this
Agreement shall not constitute a waiver by that party of that or any other provision.
No waiver or consent shall be effective unless in writing and signed by the party
against whom it is asserted.
19.AMENDMENT. No amendment, modification or change of terms of this Agreement
shall bind either party unless in writing and signed by both parties and when
required by the Department of Administrative Services and Department of Justice.
Such amendment, modification or change, if made, shall be effective only in the
specific instance and for the specific purpose given. Jurisdiction, by signature of its
authorized representative, hereby acknowledges that it has read this Agreement,
understands it, and agrees to be bound by its terms and conditions.
20. HEADINGS. The headings and captions to sections of this Agreement have been
inserted for identification and reference purposes only and shall not be used to
construe the meaning or to interpret this Agreement.
21. CONSTRUCTION. This Agreement is the product of extensive negotiations between
BCD and representatives of Jurisdiction. The provisions of this Agreement are to
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be interpreted and their legal effects determined as a whole. An arbitrator or court
interpreting this Agreement shall give a reasonable, lawful and effective
meaning to the Agreement to the extent possible, consistent with the public
interest.
22. INDEPENDENT CONTRACTOR. The parties agree and acknowledge that
their relationship is that of independent contracting parties and that neither party is
an officer, employee, or agent of the other as those terms are used in ORS 30.265
or otherwise.
23. LIMITATION OF LIABILITY.
23.1. Jurisdiction agrees that BCD shall not be subject to any claim, action, or
liability ARISING IN ANY MANNER WHATSOEVER OUT OF ANY
ACT OR OMISSION, INTERRUPTION, OR CESSATION OF ACCESS
OR SERVICE UNDER THIS AGREEMENT. THE STATE SHALL NOT BE
LIABLE OR RESPONSIBLE FOR ANY DIRECT, INDIRECT SPECIAL OR
CONSEQUENTIAL DAMAGES SUSTAINED BY THE POLITICAL
SUBDIVISION, INCLUDING, BUT NOT LIMITED TO, DELAY,
INTERRUPTION OF BUSINESS ACTIVITIES, OR LOST RECEIPTS
THAT MAY RESULT IN ANY MANNER WHATSOEVER FROM ANY
ACT OR OMISSION, INTERRUPTION, OR CESSATION OF SERVICE.
23.2. EXCEPT FOR LIABILITY ARISING UNDER SECTION 26 NEITHER
PARTY SHALL BE LIABLE TO THE OTHER FOR ANY INCIDENTAL
OR CONSEQUENTIAL DAMAGES ARISING OUT OF OR RELATED TO
THIS AGREEMENT. NEITHER PARTY SHALL BE LIABLE FOR
ANY DAMAGES OF ANY SORT ARISING SOLELY FROM THE
TERMINATION OF THIS AGREEMENT OR ANY PART HEREOF IN
ACCORDANCE WITH ITS TERMS.
24. FORCE MAdEURE. Neither BCD nor Jurisdiction shall be held responsible for
delay or default caused by fire, civil unrest, labor unrest, natural causes, or war
which is beyond the reasonable control of BCD or Jurisdiction, respectively.
Each party shall, however, make all reasonable efforts to remove or eliminate
such cause of delay or default and shall, upon the cessation of the cause,
diligently pursue performance of its obligations under this Agreement.
25. TIME IS OF THE ESSENCE. Time is of the essence in the performance
of all under this Agreement.
26. CONTRIBUTION
26.1. If any third party makes any claim or brings any action, suit or proceeding
("Third Party Claim") against a party (the "Notified Party") with respect to
which the other party ("Other Party") may have liability, the Notified Party
must promptly notify the Other Party in writing of the Third Party Claim and
deliver to the Other Party a copy of the claim, process, and all legal pleadings
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with respect to the Third Party Claim. Either party is entitled to participate in
the defense of a Third Party Claim, and to defend a Third Party Claim with
counsel of its own choosing. Receipt by the Other Party of the notice and
copies required in this paragraph and meaningful opportunity for the Other
Party to participate in the investigation, defense and settlement of the Third
Party Claim with counsel of its own choosing are conditions precedent to the
Other Party's liability with respect to the Third Party Claim.
26.2. With respect to a Third Party Claim for which BCD is jointly liable with the
Jurisdiction (or would be if joined in the Third Party Claim ), BCD shall
contribute to the amount of expenses (including attorneys' fees), judgments,
fines and amounts paid in settlement actually and reasonably incurred and
paid or payable by the Jurisdiction in such proportion as is appropriate to
reflect the relative fault of BCD on the one hand and of the Jurisdiction on
the other hand in connection with the events which resulted in such expenses,
judgments, fines or settlement amounts, as well as any other relevant
equitable considerations. The relative fault of BCD on the one hand and of
the Jurisdiction on the other hand shall be determined by reference to, among
other things, the parties' relative intent, knowledge, access to information and
opportunity to correct or prevent the circumstances resulting in such
expenses, judgments, fines or settlement amounts. BCD's contribution
amount in any instance is capped to the same extent it would have been
capped under Oregon law if BCD had sole liability in the proceeding.
26.3. With respect to a Third Party Claim for which the Jurisdiction isjointly liable
with BCD (or would be ifjoined in the Third Party Claim), the Jurisdiction
shall contribute to the amount of expenses (including attorneys' fees),
judgments, fines and amounts paid in settlement actually and reasonably
incurred and paid or payable by BCD in such proportion as is appropriate to
reflect the relative fault of the Jurisdiction on the one hand and of BCD on
the other hand in connection with the events which resulted in such expenses,
judgments, fines or settlement amounts, as well as any other relevant
equitable considerations. The relative fault of the Jurisdiction on the one
hand and of BCD on the other hand shall be determined by reference to,
among other things, the parties' relative intent, knowledge, access to
information and opportunity to correct or prevent the circumstances resulting
in such expenses, judgments, fines or settlement amounts. The Jurisdiction's
contribution amount in any instance is capped to the same extent it would
have been capped under Oregon law if it had sole liability in the proceeding.
27. AGREEMENT DOCUMENTS IN ORDER OF PRECEDENCE. This
Agreement consists of the following documents that are listed in descending order
of precedence:
This Agreement less all exhibits;
Exhibit A - Jurisdiction Obligations
Exhibit B - ePermit License Agreement
Exhibit C - ePermit Contract (not attached, but made available
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to Jurisdiction)
Exhibit D - (Work Order, if applicable)
Exhibit E Implementation Model
All attached and referenced exhibits are hereby incorporated by reference.
28. MERGER CLAUSE. This Agreement and attached exhibits constitute the
entire agreement between the parties on the subject matter hereof. There
are no understandings, agreements, or representations, oral or written,
not specified herein regarding this Agreement. No waiver, consent,
modification or change of terms of this Agreement shall bind all parties
unless in writing and signed by both parties and all necessary State approvals
have been obtained. Such waiver, consent, modification or change, if made,
shall be effective only in the specific instance and for the specific purpose
given. The failure of BCD to enforce any provision of this Agreement shall not
constitute a waiver by BCD of that or any other provision.
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JURISDICTION, BY EXECUTION OF THIS AGREEMENT, HEREBY
ACKNOWLEDGES THAT JURISDICTION HAS READ THIS CONTRACT,
UNDERSTANDS IT, AND AGREES TO BE BOUND BY ITS TERMS AND
CONDITIONS.
A. Jurisdiction
By:
Printed Name:
Date:
B. State of Oregon, Acting by and through its Departmentof Consumer and
Business Services, Building Codes Division
By: Date:
Printed Name:
C. State of Oregon, acting by and through its Department of Consumer and Business
Services, Building Codes Division
By:
Printed Name:
Date:
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Exhibit A
Jurisdiction Obligations
Jurisdiction Software
As part of the state hosted system, any software being used by Jurisdiction to support either the
building permitting system or any supplemental products being purchased from Accela, must be
compatible with the Accela product.
Product Features
Jurisdiction agrees to sell permits online through the ePermitting Portal. Jurisdiction agrees to
offer online and IVR inspection scheduling for permits in an appropriate status. Jurisdiction
agrees to offer online submittal of plan documents at appropriate point(s) in the application
process as dictated by the Jurisdiction's workflow associated with each record type.
Permit Numbering Scheme.
As a full service participant, Jurisdiction agrees to include the pre -assigned three digit prefix to all
permits covered by and processed through ePennitting system. Permits for any supplemental
products purchased through Accela, hosted in the State of Oregon environment and being serviced
through the State of Oregon ePortal must also use the three -digit prefix in the permit number.
Permits for supplemental products purchased through Accela that will not be hosted or maintained
on the Oregon platform and that are not serviced through the State of Oregon ePortal are not
required to use the three -digit prefix.
Status and Result Codes.
All status and result codes such as inspections, plan review, permit issuance status will be
pursuant to a statewide uniform system. Jurisdiction shall only use the uniform status and result
codes.
Inspection Codes.
Inspection types for code required inspections must be consistent throughout the state. Unique
inspection types must be requested through and assigned by the ePermitting staff.
Supplemental Products Purchased by Jurisdiction through Accela.
Any supplemental product such as, but not limited to, Land Use, Enforcement, Licensing or
other services, are licensed directly to Jurisdiction by Accela. Support services for the
supplemental products fall outside of the scope of this Intergovernmental Agreement and are
therefore provided through direct agreement with Accela or other service provider. Installation
of supplemental products onto the State hosted servers cannot occur before the State
ePermitting team begins active development of the building permitting module.
Version (Product) updates.
Migration from one product version of Accela Automation to another product version will be
regulated and coordinated through BCD. Supplemental products will be required to migrate to the
same version of the product at the same time as the product version for the building product
module. After implementation, Jurisdiction is required to test the configuration against new
versions of the product in the timeframe specified by BCD.
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Exhibit B
Software License Agreement
Note: DCBS through the ePermit Contract has the right to permit Jurisdictions to use the
ePermit System software as set forth in Exhibit G, License Agreement, of the ePermit
Contract. While the entire software license agreement between the State and Accela, Inc.,
including the added language in Amendment 7, has been provided here for continuity and
ease of use, a participating city or county is only bound by Sections 3.1, 3.2, and 4 as
specified in this Agreement.
L Parties ACCELA
Accela, Inc.
2633 Camino Ramon, Suite
120 Bishop Ranch 3
San Ramon, California
94583 Attention: Contracts
Administration T: 925.659.3200
F: 925.407.2722
e -Mail: contractsadmin(o accela.com
CUSTOMER
State of Oregon
Department of Consumer & Business
Services P.O. Box 14470
Salem, OR 97309
Attention: Building Codes
Division T: (503)378-4100 F:
(503)378-3989
e -Mail: chris.s.huntington(ddstete.or.us
This License Agreement ("LA") is intended for the exclusive benefit of the Parties; except as
expressly stated herein, nothing will be construed to create any benefits, rights, or
responsibilities in any other parties.
2. Term and Termination
2.1 Term Provided that Customer signs and returns this LA to Accela no later than
August 8, 2008, this LA is effective as of the date of Customers signature
("Effective Date") and will continue until terminated as provided herein.
2.2 Termination Either party may terminate if the other party materially breaches
this LA and, after receiving a written notice describing the circumstances of the
default, fails to correct the breach within thirty (30) calendar days. Upon any
termination or expiration of this LA, all rights granted to Customer are cancelled and
revert to Accela.
3 Intellectual Property
3.1 License The software products ("Software") listed in Exhibit A are protected under the
laws of the United States and the individual states and by international treaty
provisions. Accela retains full ownership in the Software and grants to Customer a
perpetual, limited, nonexclusive, nontransferable license to use the Software, subject to
the following terms and conditions:
3. L 1 The Software is provided for use only by Customer employees. For the
purposes of subsections 3.1, 3.2 and Sections 4 of this LA, Customer means: i) the
CAP091114 Page 76
individual Jurisdiction with respect to its use of the Software, provided that the
licensing fee has been paid for such Jurisdiction, and ii) the State of Oregon acting
by and through its Department of Consumer and Business Services with respect to
its use of the Software.
1.2 The Software may be installed on one or more computers but may not be used by
more than the number of users for which the Customer has named user licenses.
For the purposes of this License Agreement, the Customer has unlimited use, per
department, of any license covered by this agreement. The Software is deemed to
be in use when it is loaded into memory in a computer, regardless of whether a
user is actively working with the Software. Accela may audit Customers use of
the Software to ensure that Customer has paid for an appropriate number of
licenses. Should the results of any such audit indicate that Customer's use of the
Software exceeds its licensed allowance, Customer agrees to pay all costs of its
overuse as determined using Accela's then -current pricing; any such assessed
costs will be due and payable by Customer upon assessment. Customer agrees
that Accela's assessment of overuse costs pursuant to this Subsection is not a
waiver by Accela of any other remedies available to Accela in law and equity for
Customer's unlicensed use of the Software.
3.1.3 Customer may make backup copies of the Software only to protect against
destruction of the Software. With exception of the Entity Relationship Diagram and
any other documentation reasonably -designated and specifically -marked by
Accela as trade secret information not for distribution, Customer may copy Accela's
documentation for use by those persons described in section 3. L t, supra, provided
that such use is for business purposes not inconsistent with the terms and conditions
of this Licensing Agreement. -Trade Secret' has the meaning set forth in ORS
192.501(2)
3. L4 Customer may not make any form of derivative work from the Software,
although Customer is permitted to develop additional or alternative functionality for
the Software using tools and/or techniques licensed to Customer by Accela.
3. L5 Customer may not obscure, alter, or remove any confidentiality or proprietary
rights notices.
3. L6 Subject to the limitations of Article XI, § 7 of the Oregon Constitution and the
Oregon Tort Claims Act (ORS 30.260 through 30.300), Customer is liable to Accela
for any direct damages incurred as the result of unauthorized reproduction or
distribution of the Software which occur while the Software is in Customer's
possession or control.
3. L7 Customer may use the Software only to process transactions relating to
properties within both its own geographical and political boundaries and in
counties contiguous to Oregon with populations below 100,000. Customer may not
sell, rent, assign, sublicense, lend, or share any of its rights under this LA.
CAP091114 Page 77
3.1.8 Customer is entitled to receive the Software compiled (object) code and is
licensed to use any data code produced through implementation and/or normal
operation of the Software; Customer is not entitled to receive source code for the
Software except pursuant to an Intellectual Property Escrow Agreement, which
may be executed separately by the Parties. Accela and Customer will execute an
Intellectual Property Escrow Agreement within 30 days of Contract execution.
3.1.9 All rights not expressly granted to Customer are retained by Accela.
3.1.10 Customers are allowed unlimited use, per department, of software products listed
in Exhibit A, for in -scope record type categories defined in Attachment 1 to this LA In
addition, each customer is allowed five (5) additional record types for activities that fall
outside of the in -scope record type categories defined in Attachment I to this L.A., are
delivered under the Building Department and are submitted to and approved by DCBS.
3.2 License Warranties
3.2.1 Accela warrants that it has full power and authority to grant this license and
that, as of the effective date of this LA, the Software does not infringe on any
existing intellectual property rights of any third party. If a third party claims
that the Software does infringe, Accela may, at its sole option, secure for
Customer the right to continue using the Software or modify the Software so
that it does not infringe. Accela expressly agrees to defend, indemnify, and hold
Customer harmless from any and all claims, suits, actions, losses, liabilities,
costs, expenses, including attorneys fees, and damages arising out of or related
to any claims that the Software, or the Customers use thereof, infringes any
patent, copyright, trade secret, trademark, trade dress, mask work, utility
design, or other proprietary right of any third party; provided, that Customer
shall provide Accela with prompt written notice of any infringement claim.
Accela will have the sole right to conduct the defense of any legal action and all
negotiations for its settlement or compromise; provided, however, Accela shall
not settle any claim against the Customer with the consent of Customer.
3.2.2 Accela has no obligation for any claim based upon a modified version of the
Software or the combination or operation of the Software with any product, data, or
apparatus not provided by Accela, with the exception of those products
identified in Exhibit J. Accela provides no warranty whatsoever for any third -
party hardware or software products.
3.2.3 Except as expressly set forth herein, Accela disclaims any and all express and
implied warranties, including but not necessarily limited to warranties of
merchantability and fitness for a particular purpose.
3.3 Compensation
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3.3.1 License Fees In exchange for the Software described hereinabove,
Customer will pay to Accela the amounts indicated in Exhibit A3.
3.3.2 Payment Terms Amounts are quoted in United States dollars and do not
include applicable taxes, if any. The payment terms of all invoices are net
forty-five (45) calendar days from the dates of the invoices. Any payment not
paid to Accela within said period will incur a late payment in an amount
equal to two-thirds of one percent (.66%) per month (eight percent (8% per
annum), on the outstanding balance from the billing date. Accela may, at its
sole discretion, suspend its obligations hereunder without penalty until
payments for all past -due billings have been paid in full by Customer. All
payments to Contractor are subject to ORS 293.462
4. Confidentiality
4.1 Confidentiality and Nondisclosure. Each party acknowledges that it and its
employees or agents may, in the course of performing its responsibilities under this LA,
be exposed to or acquire information that is confidential to the other party or the other
party's clients. Any and all information clearly marked confidential, or identified as
confidential in a separate writing as confidential provided by one party or its employees
or agents in the performance of this LA shall be deemed to be confidential information of
the other party ("Confidential Information"). Any reports or other documents or items
(including software) which result from the use of the Confidential Information by the
recipient of such information shall be treated with respect to confidentiality in the same
manner as the Confidential Information. Confidential Information shall be deemed not
to include information that (a) is or becomes (other than by disclosure by the party
acquiring such information) publicly known or is contained in a publicly available
document; (b) is furnished by the party disclosing such information to others without
restrictions similar to those imposed by this LA; (c) is rightfully in the receiving
party's possession without the obligation of nondisclosure prior to the time of its
disclosure under this LA; (d) is obtained from a source other than the discloser without
the obligation of confidentiality, (e) is disclosed with the written consent of the
disclosing party, or; (f) is independently developed by employees or agents of the
receiving party who can be shown to have had no access to the Confidential
Information.
4.2 The recipient of Confidential Information agrees to hold Confidential Information in
strict confidence, using at least the same degree of care that it uses in maintaining the
confidentiality of its own Confidential Information, and not to copy, reproduce, sell,
assign, license, market, transfer or otherwise dispose of, give or disclose Confidential
Information to third parties or use Confidential Information for any purposes
whatsoever other than as contemplated by this LA or reasonably related thereto,
including without limitation the use by Customer of Accela who need to access or
use the System for any valid business purpose, and to advise each of its employees and
Accela of their obligations to keep Confidential Information confidential.
CAP091114 Page 79
4.3 Each party shall use commercially reasonable efforts to assist the other in
identifying and preventing any unauthorized use or disclosure of any Confidential
Information. Without limitation of the foregoing, each party shall advise the other
immediately in the event it learns or has reason to believe that any person who has had
access to Confidential Information has violated or intends to violate the terms of this
LA and each party will at its expense cooperate with the other in seeking injunctive or
other equitable relief in the name of the other against any such person.
4.4 Each party agrees that, except as provided in this LA or directed by the other, it
will not at any time during or after the term of this LA disclose, directly or
indirectly, any Confidential Information to any person, and that upon termination
of this LA each party will turn over to the other all documents, papers and other
matter in its possession which embody Confidential Information.
4.5 Each party acknowledges that breach of this Article VIII, including disclosure of
any Confidential Information will give rise to irreparable injury which is
inadequately compensable in damages. Accordingly, each party may seek and obtain
injunctive relief against the breach or threatened breach of the foregoing undertakings,
in addition to any other legal remedies that may be available. Each party
acknowledges and agrees that the covenants contained herein are necessary
for the protection of the legitimate business interests of the other and are reasonable
in scope and content.
4.6 Customers obligations under this Article VIII shall be subject to the Oregon Public Records
Laws, ORS 192.410 through ORS 192.505.
CAP091114 Page 80
Exhibit C
ePermitting Contract
The epermitting contract is available, upon request, for the Jurisdiction to review.
Exhibit D
Work Order Contract
Under the terms and conditions of the ePermit System Agreement, BCD has the ability to enter into a
Work Order Contract for implementation services. Should implementation services be used for the
implementation of a specific participating city or county, the provisions of that agreement will be
provided here.
A Work Order Contract is not being used to implement this jurisdiction.
Exhibit E
IMPLEMENTATION
OREGON STANDARD MODEL
Oregon Standard Model (OSM), version 2 includes:
• Standard Model Permits (records)
o Commercial Agricultural Equine
o Commercial Alarm Suppression Systems
o Commercial & Residential Deferred Submittal
o Commercial & Residential Demolition
o Commercial & Residential Electrical
o Commercial & Residential Investigation
o Commercial & Residential Mechanical
o Commercial & Residential Phased
o Commercial & Residential Plumbing
o Commercial RV Park or Manufactured Home Park
o Commercial & Residential Septic DEQ
o Commercial & Residential Site Development
o Commercial & Residential Structural
o Commercial & Residential Research
o Driveway (if used counts as I out of scope)
o Inquiry
o Post Disaster
o Residential I & 2 Family Dwelling
o Residential Manufactured Dwelling
• Standard Model Reports
o Application About to Expire (List and Letters to Applicant and Owner)
o Permit About to Expire ((List and Letters to Applicant and Owner)
o Usage
o Configuration Reports
CAP091114 Page 81
o Fee by Account (Summary & Detail)
o Invoice
o Out of Balance
o Payments Applied
o Payments not Applied
o Refunds Issued
o Payments Received
o Payments Summary
o School Construction Excise Tax
o Inspection Correction Notice
o Inspection Summary
o Inspections Assigned
o Recent Inspection Activity
o Monthly Permit Summary
o Monthly Permits Issued
o Monthly Permits Issued Valuation Report
o State Surcharge
o State Surcharge Details
o Balance Due
o Building Application
o Building Permit
o Certificate of Occupancy
o Fee Estimate
o Fee by Record
o Phased Authorization to Begin Work
o Plan Review Checklist
o Temporary Certificate of Occupancy
o Work Authorization
o Receipt
Use of"Consistent Form and Fee Methodology"
Use of Elavon "Virtual Merchant" payment processor with US Bank for internet credit card
processing in Accela Citizen Access (ACA)
Oregon Standard Model Implementation includes:
• Up to 5 "out of scope' (non -building department) permits
• Development of up to 5 "custom" reports
• Importing jurisdiction's fee schedule into Accela
• Data conversion- None anticipated
• Address, Parcel, Owner Database Load
o ePennitting will provide documentation about how data is to be formatted
o Jurisdiction will provide files containing Address,
Parcel, Owner reference data for loading into ePennitting database
• Interfaces to Jurisdiction Systems (optional)
o Financial- Anticipated interface to Springbrook
• ePennitting will provide files with specified fields for interfaces to jurisdiction's on
site systems
• Jurisdiction will upload the files into their on site system
o GIS- Not anticipated
CAP091114 Page 82
• ESRI ArcGIS Server 10 or ESRI ArcGIS Server 10 sp I
• Future versions of Accela Software may require upgrades to ESRI software to
maintain interface operability
• Training
o ePerinitting provides online training through its ePermitting Web site, several Live trainings
will also be arranged through Go To Meeting.
o Jurisdiction's "super users" will train other jurisdictional employees
Administrative Responsibilities
o State may provide limited training on administrative system administrative tools, allowing
Jurisdiction to manage its users, fees, inspection calendars and email alerts; Jurisdiction may
also write reports that can be run against the data warehouse.
o ePermitting reserves the right to tum off administrative tools and rights if Jurisdiction's use
of the tools is causing problems to the system or if Jurisdiction does not have a trained
system administrator.
• Coordination with Accela
o If Jurisdiction purchases other modules, such as Planning or Code Enforcement, from Accela
and has them implemented by Accela, an independent contractor or by Jurisdiction staff,
Jurisdiction must coordinate that implementation with ePermitting.
• Coordination with ePermitting means including ePermitting staff in project
management meetings with Jurisdiction and the party implementing the other
modules.
• Third Party Jurisdictions
o If Jurisdiction uses a third party building official and/or inspection agency, Jurisdiction shall
run the third party report provided with OSM and submit it with their program assumption
Plans. ORS 455.148 (4).
Return to Agenda
CAP091114 Page 83
Resolution
Chamber Visitor
Information Center
Agreement
CAP091114 Page 84
A
CENTRAL
POINT
ADMINISTRATION DEPARTMENT
140 South 3rtl Street Central Point, OR 97502 (S41) 664-7602 www.rentra l pointoregon.gov
STAFF REPORT
September I I'r, 2014
AGENDA ITEM: Resolution authorizing the Mayor and City Manager to execute an
agreement with the Central Point Chamber of Commerce for operation of the City's Visitor
Information Center.
STAFFSOURCE:
Chris Clayton, City Manager
Sydnee Dreyer, City Attorney
BACKGROUND/SYNOPSIS:
The previous agreement between the City and the Central Point Chamber of Commerce expired
December 31", 2013. Additionally, the Chamber has been in a period of transition during recent
months and is currently concluding the process of selecting new leadership. This transitional
period has allowed the City to review and revise portions of the agreement for contract services of
the City's Visitor Information Center (VIC).
The revised agreement includes amendments to the following:
I . Term & renewal process;
2. Budget approval process;
3. Accounting/reporting process;
4. Required contract services;
5. City of Central Point representation;
6. Funding& overpayment recovery schedule;
7. Insurance/Indemnification
FISCAL IMPACT:
The 2014/2015 City of Central Point budget projects $390,000 in revenue will be generated from
the City's transient lodging tax. Oregon Revised Statues require a portion of this revenue be
appropriated to tourism promotion. The 2014/2015 city enhancement budget designates $198,500
for tourism promotion. This amount more than meets our mandated obligations; however, a
significant portion of the city enhancement funds are directed to the Central Point Chamber of
Commerce for contract operations of the City's Visitor Information Center.
ATTACHMENTS:
I. Resolution approving an agreement between the City of Central Point and the Central Point
Chamber of Commerce for operation of the City's Visitor Information Center
CAP091114 Page 85
RECOMMENDATION:
City staff is recommending approval of the attached resolution.
PUBLIC HEARING REQUIRED:
SUGGESTED MOTION:
I move to approve the first reading of a resolution number authorizing the city manager and
mayor to execute an agreement between the City and the Central Point Chamber of Commerce for
contract operations of the City's Visitor Information Center.
Return to Agenda
CAP091114 Page 86
RESOLUTION NO.
A RESOLUTION RECOMMENDING ADOPTION OF AN AGREEMENT BETWEEN
THE CITY OF CENTRAL POINT AND THE CENTRAL POINT CHAMBER OF
COMMERCE FOR CONTRACT OPERATIONS OF THE CITY'S VISITOR
INFORMATION CENTER.
RECITALS:
A. The City of Central Point retains the authority to reduce costs and produce
public benefit through the use privatized contract services.
B. The City of Central Point and the Central Point Chamber of Commerce deem it
to be to their mutual advantage and to be in the best interest of their respective
constituencies/membership to enter into this agreement for the purpose of the
Chamber of Commerce to operate the City's Visitor Information Center.
The City of Central Point resolves:
Section 1. The attached agreement between the City of Central Point and the Central
Point Chamber of Commerce for the operation of the City's Visitor Information Center
is approved.
Section 2. Upon approval of this agreement by the Central Point Chamber of
Commerce, the attached agreement shall govern contract services between the two
agencies from October 1s', 2014 to September 301", 2016.
The Mayor and City Manager of Central Point are authorized to sign the attached
agreement on behalf of the City of Central Point.
Passed by the Council and signed by me in authentication of its passage this
day of 2014.
Mayor Hank Williams
ATTEST:
City Recorder
CAP091114 Page 87
VISITOR CENTER AGREEMENT
THIS AGREEMENT by and between the CITY OF CENTRAL POINT, a municipal
corporation of the State of Oregon hereinafter called "the CITY", and the CENTRAL POINT
CHAMBER OF COMMERCE, an Oregon not -for- profit corporation hereinafter called "the
CHAMBER," is effective as of October I, 2014.
RECITALS
WHEREAS, the CITY desires to contract for tourism promotion utilizing funds derived in
whole or in part from transient lodging taxes ("TLT") collected within the CITY; and
WHEREAS, the CHAMBER has the capability and desire to undertake such a tourism
promotion program, through a Visitor Information Center ("VIC" );
NOW THEREFORE the parties agree as follows:
SECTION I
TERM AND RENEWAL
This Agreement is effective beginning October 1, 2014. Its initial term extends through
September 30, 2016. Unless this Agreement is terminated under Section II below, it will
automatically be renewed another two years (October 1, 2016 September 30, 2018), on the same
terms, except for the payments to be made as described in Section III below and except to the
extent the parties may choose to amend or modify the Agreement under Section XII below.
Payments for the renewal period will be determined as set forth in Section V below.
SECTION II
TERMINATION
1. Either party, for any reason, upon one hundred eighty (180) days prior written notice to the
other, may terminate this Agreement without further obligations. Notwithstanding this general
rule:
a) Either party may terminate this Agreement in the event of a breach of the Agreement by
the other party. Prior to such termination, however, the party seeking the termination shall
give to the other party written notice of the breach and of the party's intent to terminate. If
the party has not entirely cured the breach within fifteen (90) days after such notice, then
the party giving the notice may terminate the Agreement at any time thereafter by giving a
written notice of termination. Provided, however, if said default cannot reasonably be cured
within ninety (90) days, then this Agreement shall not terminate if the defaulting party uses
reasonable efforts and diligence to commence curing said problem within the 90 -day period
and completes the cure of said problem within a reasonable time thereafter. Such
termination will be without prejudice to a party's rights to other legal or equitable remedies
for breach of this Agreement, such as the right to recover money damages for such breach.
CAP091 na Page 88
b) This Agreement will terminate, without further action by the parties and without further
obligations, in either of the following events:
L If the CITY'S appropriation of funds for this Agreement in any fiscal year fails to equal
or exceed the budget submitted by the CHAMBER to the CITY under Section V below,
or the CITY' S schedule for payment of funds differs from that budget, this agreement
will terminate on June 30 of the last fiscal year for which sufficient funds are
appropriated and paid; or
2. If sufficient funds are not available for this Agreement.
The CITY certifies that funds for this Agreement are included in the CITY'S budget for the current
fiscal year which ends on June 30, 2015. The CITY, in compliance with the appropriation of funds
requirements in ORS 294.305 to 294.565, will in good faith endeavor to budget and appropriate
such funds for subsequent fiscal years. If funds are not appropriated for this agreement for any
fiscal year after 2014-2015, the CITY will notify the Chamber, and this Agreement will terminate.
SECTION III
CITY FUNDING FOR VISITOR INFORMATION CENTER
During the term of this Agreement, unless otherwise stipulated in the budget submitted by the
CHAMBER to the CITY under Section V below, the CITY shall pay to the CHAMBER, from
funds lawfully appropriated, a monthly amount equal to one -twelfth of the CHAMBER' S
approved budget for the VIC for the CHAMBER'S fiscal year in question (for VIC purposes, and
for purposes of this Agreement, the CHAMBER'S fiscal year is July 1 -June 30, although for other
purposes, the CHAMBER operates on a calendar -year basis). Such monthly payments will be no
later than the 10th business day of each month (a "business day" is a day that is neither a weekend
nor an official holiday under Oregon state law). However, inasmuch as the initial term of this
Agreement ends on September 30, 2016, and it may thereafter be renewed, the CITY'S payments
will be:
a) For the initial term of this Agreement, the current appropriated amount for visitor's
information center (VIC) operation is $22,400 per year ($1866.67/month). These monthly
payments shall initially be reduced to $1,500.00/month beginning October 1", 2014. This
reduction shall remain in effect for a period of 24 months (ending September 301h, 2016).
The parties agree said monthly reduction of $366.67 will be applied to an accounting
error/overpayment of $8,800.00 dollars paid by the City to the Chamber during the
2013/2014 fiscal cycle. The foregoing reduction will allow the City to recover the entire
overpayment of 58,800.00. This reduction in operating funds does not preclude the City
Council from appropriating additional funds for Chamber related events or budget requests.
b) For successive terms the parties acknowledge and agree that the VIC will be funded by the
CITY in amounts, and according to the schedule of payments, set forth in the CHAMBER'S
approved budget submitted to the CITY under Section V below, provided that if such
funding is not appropriated, the CHAMBER may terminate this Agreement as provided in
Section II b above. Inasmuch as TLT is expected to be the primary or exclusive source of
funds for the VIC under this Agreement, the CHAMBER understands and agrees that use
and expenditure of TLT is subject to the requirements of ORS 320.300 to 320.350, and the
parties will follow these requirements with respect to TLT.
CAP091 na Page 89
c) The City of Central Point is currently leasing office space for the operation of the Central
Point Chamber of Commerce & Visitor's Information Center. The office space is located
at 650 E. Pine Street and the current lease agreement remains valid until June 301h, 2016.
Future lease agreements/funding will be subject to city council approval.
SECTION IV
SERVICES TO BE PROVIDED
a) The CHAMBER'S purpose for operating the VIC is to provide local citizens and visitors with
information about Central Point area visitor facilities, recreational opportunities, services
offered by the CITY and other relevant governmental entities, and services provided by private
nonprofits and other nongovernmental organizations and charities in the Central Point area;
and other information that is reasonable for the CHAMBER to provide by means of a VIC,
given the limits of the CHAMBER' S budget, the level of funds available for the VIC, and the
hours the VIC is open.
b) The CHAMBER shall operate the VIC with an office and telephone service, regularly open
and available to the public. The CHAMBER Board of Directors, in its discretion, will
determine the VIC'S hours of operation, provided that office and telephone service to the public
will be available at least 25 hours each week during daytime hours; the CHAMBER may
choose to include Saturday in this 25 -hour week, or limit hours of operation to weekdays.
c) The CHAMBER'S activities in furtherance of its purposes for the VIC will include marketing
and promotion of tourism and promotion of economic development, and providing
information necessary to support such activities. Specific examples of activities the
CHAMBER will conduct include:
1. Production, display and distribution of promotional brochures;
2. Advertising in local and regional publications;
3. Providing information about services offered by the CITY and other governmental and
nongovernmental entities;
4. Providing the public with maps, brochures and other information about the Central Point
and the surrounding area;
5. Publicizing local and regional entertainment, events, and tourist attractions, and tourist
destinations;
6. Informing the public about restaurants, lodging, and similar accommodations that may
be of interest to visitors;
7. Publicizing opportunities for the development and promotion of tourism and tourism
related businesses; and
8. Assisting with and promoting annual events which foster CHAMBER goals.
SECTION V
BUDGET
Beginning no later than February 1, 2015, and the first business day of each February thereafter,
for as long as this Agreement remains in effect (including renewal periods), the CHAMBER shall
submit a detailed program and revenue request for the VIC'S upcoming fiscal year to the CITY.
The proposal shall become part of the CITY'S annual budget appropriation process. The proposal
will include a copy of the CHAMBER'S board -approved VIC operating budget for the next fiscal
CAP091114 Page 90
year. The proposal also will include the CHAMBER'S projected goals and objectives for the VIC
for the next fiscal year. (Example: On February 1, 2015, the CHAMBER will submit the proposal,
including the budget, for the VIC for the year July I, 2015 -June 30, 2016.)
SECTION VI
ACCOUNTING AND REPORTING
a) The CHAMBER will separately account for VIC monies apart from its general books of
account. The City Finance Director or his/her designee may examine this separate VIC
accounting during normal business hours after providing written notification to the
CHAMBER, at least 48 hours prior to the time such examination is to be held. Nothing
contained herein shall be interpreted to grant the CITY access to the general books, papers,
and accounting records of the CHAMBER, or to any other records of the CHAMBER not
directly related to the VIC.
b) The CHAMBER shall account to the CITY for monies received from the CITY for the VIC.
This accounting will be provided by the seventh business day of the first month following the
end of each fiscal -year quarter. The accounting shall refer to the three calendar months
preceding the accounting. (Example: The October2015 accounting will be forJuly -September
2015.) The CHAMBER shall forward this report to the CITY Finance Department.
c) The CHAMBER also shall file with the CITY, with each quarterly accounting, a program
report. This report will cover the same time period as the accounting submitted under Section
VI b above. If the Chamber fails to meet the accounting/reporting requirements described in
this section VI (a -c) of this Agreement, CITY may withhold future monthly payments of
appropriated funds until proper accounting/reporting required under this Section is provided.
CITY shall not be required to pay interest or penalties for such delayed payment, where the
delay is caused by CHAMBER's failure to property account/report to CITY.
d) The CHAMBER shall maintain adequate accounting records of all revenues and expenditures
covered by this Section VI, with supporting invoices, for a period of three (3) years.
e) It is understood and agreed that the CITY may appropriate funds derived from any source it
chooses to fund the VIC under this Agreement. Even so, it is understood that TLT will most
likely be the source of such funds. Therefore, if the CITY'S projections for future collection of
TLT change during the CITY'S fiscal year, the CITY will advise the CHAMBER ofthe CITY'S
changes in projections for TLT collection within forty (40) days after the close of the CITY'S
fiscal year- quarter in which the change in collection projections occurred.
SECTION VII
CITY REPRESENTATIVE
The CHAMBER'S board of directors will, no later than October 31"„ 2014, appoint an advisory
committee for the VIC. This advisory committee will meet at least once each fiscal -year quarter
while this Agreement is in effect, beginning in the October 1 -December 31, 2014, quarter. The
advisory committee will provide the CITY with notification of the date, time, and location of its
meetings, at least 14 days before the scheduled date of the meeting, except that in the case of
emergency or specially -scheduled meetings, the notification will be (if possible) at least four days
before the meeting is to take place. The CITY will appoint a city council liaison to sit as a member
of this committee, and this individual will be entitled to a seat on the committee. Nothing in this
CAP091 na Page 91
section will affect the right of the CHAMBER' S board of directors to conduct the CHAMBER' S
business under the CHAMBER'S bylaws and other governing documents. However, if requested
by the board, the appointed city council liaison will be available to attend regularly scheduled
chamber board meetingrs.
SECTION VIII.
INSURANCE
The CHAMBER shall carry insurance as follows:
a) Workers compensation coverage in accordance with Oregon law; and
b) Commercial general liability insurance for the VIC, with areputable insurance carrier, naming
the CITY, elected officials, officers, agents and employees as an additional insured The
insurance limits shall be a minimum of $1 million per occurrence and $2 million aggregate.
Evidence of such insurance coverage, in the form of a certificate from the CHAMBER'S
insurer, will be provided to the CITY within fifteen (15) days from the end of each calendar -
year The CHAMBER also will furnish a new certificate of coverage to the CITY forthwith,
upon any change of insurance carrier by the CHAMBER. The CHAMBER may not cancel this
insurance without at least thirty (30) days prior written notice to the CITY.
SECTION IN
INDEMNIFICATION
L CHAMBER will indemnify defend and hold CITY, its elected officials, officers,
agents and employees, harmless from and against all claims, demands, actions, costs and
expenses, including attorneys' fees and costs of defense, which may be incurred by or asserted
against CITY, arising out of or resulting CHAMBER'S acts and omissions and the acts and
omissions of CHAMBER'S officers, subcontractors, agents and employees.
CITY will indemnify defend and hold CHAMBER, its officers, agents and employees,
harmless from and against all claims, demands, actions, costs and expenses, including attorneys
fees and costs of defense, which may be incurred by or asserted against CHAMBER, arising out
of CITY'S acts and omissions and the acts and omissions of CHAMBER'S officers,
subcontractors, agents and employees.
SECTION X
COMPLIANCE WITH LAWS
The CHAMBER will comply with the provisions of all federal, state and local laws and ordinances
that are applicable to the VIC and its operations.
SECTION XI
STATUS AS AN INDEPENDENT CONTRACTOR
In the performance of the work, duties, and obligations required of the CHAMBER under this
agreement, it is mutually understood and agreed that the CHAMBER is at all times acting and
CAP091114 Page 92
performing as an independent contractor and not an agent, partner, or joint venture with the CITY.
The CITY shall neither have nor exercise any control over the methods by which the CHAMBER
performs its work and functions. The parties acknowledge that any contracts entered into between
the CHAMBER and any third party are not an obligation of the CITY, and the CHAMBER must
not represent that it has the power or authority to contractually bind or obligate the CITY.
SECTION XII
MODIFICATION
This Agreement may not be released, discharged, abandoned, changed, or modified in any manner,
except by an instrument in writing signed on behalf of each of the parties, by their duly authorized
representatives.
SECTION XIII
ASSIGNMENT
The responsibility for performing the CHAMBER'S services under the terns of this Agreement
shall not be assigned, transferred, delegated or otherwise referred by the CHAMBER to a third
person without the prior written consent of the CITY.
SECTION XIV
NOTICES
For purposes of this Agreement, notices by one party to the other are deemed to be made if in
writing, sent by certified mail, return receipt requested to the other party, addressed as follows:
A. For the CHAMBER: Executive Director B. For the CITY: City Administrator
Central Point Chamber of Commerce City of Central Point
150 Manzanita St. 140 S. 3rd Street
Central Point, OR 97502 Central Point, OR 97502
IN WITNESS WHEREOF, this agreement is entered into as of , 2014.
CITY OF CENTRAL POINT
CENTRAL POINT CHAMBER OF
COMMERCE
Director
Return to Agenda
CAP091114 Page 93
Business
Water Treatment
Facility Feasibility
Discussion
CAP091114 Page 94
A
CENTRAL
POINT
ADMINISTRATION DEPARTMENT
140 South 3rtl Street Central Point, OR 97502 (S41) 664-7602 www.rentra l pointoregon.gov
STAFF REPORT
September I I'r, 2014
AGENDA ITEM: General Discussion on the scope of work and preliminary feasibility study
for independent water supply in Central Point's Northwest Urban Reserve Area.
STAFFSOURCE:
Chris Clayton, City Manager
Joe Strahl, City Engineer
BACKGROUND/SYNOPSIS:
The Urban Growth Boundary (UGB) process has revealed the difficulties of extending the City's
existing infrastructure to urban reserve areas. The first area of expansion is northwest of current
city limits in the area commonly referred to as Tole. During a previous council discussion, the city
manager was directed to have the City Engineer (RH2 Engineering) develop a scope of work and
cost estimate for a feasibility analysis studying these infrastructure -related issues. RH2 has
responded with the following:
Water supply for the City of Central Point (City) is currently provided by the Medford Water
Commission (MWC) through several wholesale supply meters. The City's Northwest Urban
Reserve Area (NWURA) is not located adjacent to the City's existing water system infrastructure.
If the City provided water service to the NWURA, significant improvements would be needed to
expand the City's existing water system to the NWURA and supply the area with water from the
MWC. The purpose of this preliminary study is to evaluate the feasibility of developing an
independent source of supply to serve the NWURA and to expand the independent source of supply
to eventually serve the City's entire water system. Critical infrastructure planning will also be
performed to determine the water system facilities, and general location of those facilities, to
develop a distribution system to serve NWURA.
The proposed scope of work includes the following:
I. Critical infrastructure planning and options;
2. Cost comparison of infrastructure options;
3. Summary report and presentation to council
Further complicating this issue is the current rate analysis being performed by the Medford Water
Commission. One aspect of M WC's study includes diverting all Big Butte Springs water (lower
cost) to inside Medford Customers. This diversion would leave customers from outside cities with
more expensive water supplied from the Rogue River and treated at the Duff Treatment Facility.
CAP091114 Page 95
Should the Medford Water Commission Board select this option, Central Point's current rates could
be significantly impacted. Such an impact would further justify the exploration of water supply
options outside of the current supply from Medford Water Commission.
FISCAL IMPACT:
The proposed feasibility study has a projected cost of $27,619. This study was not specifically
identified in the 2014/2015 budget; however, the project could be funded via discretionary funds or
a supplemental budget.
ATTACHMENTS:
L Preliminary feasibility study for independent water supply scope of work and cost
estimate.
RECOMMENDATION
City staff is recommending three possible scenarios for council consideration
L Direct Staff to complete the proposed feasibility study immediately;
2. Direct Staff to wait for the outcome of the current Medford Water Commission rate
study before making a final decision;
3. Direct Staff to not complete the feasibility analysis at this time.
PUBLIC HEARING
No.
SUGGESTED MOTION:
I move to direct staff per recommendation (I, 2 or 3).
Return to Agenda
CAP091114 Page 96
EXHIBIT A
Scope of Work
City of Central Point
Preliminary Feasibility Study for Independent Water Supply
August 2014
Background
IX/ater supply for the Cit' of Central Point (Cit) is currently provided by the .3fedford IX/ater Commission
(NRN'C) through several wholesale supply meters. The City's Northwest fJrban Reserve Area (NWURA) is
not located adjacent to the City's existing water system infrastructure. If the City provided water service to
the NWURA, significant improvements would be needed to expand the evsting water system to the N W URA
and supple the area with water from the bIWC. The purpose of tNs preGntinan- study is to evaluate the
feasibilin of instead developing an independent source of supple to serve the NWL:RA and to expand the
independent source of supple to eventually serve the City's entire water system. Critical infrastructure
planning will also be performed to determine the water system facilities, and general location of those facilities,
to develop a distribution system to serve the NWURA.
Task 1— Critical Infrastmcture Planning
Objective: Identify the critical infrastructure needed to serve the NWURA and connect to the City's existing
water system. Identify potential independent sources of supply.
Approach:
1.1 Utilizioginformation in the City's 2009IX/ater System Nlaster Plan (XX/SIvfP), estimate the 20 -year and
buildout average and peak demands for the NWURA and for the City's entire water system.
1.2 Perform a cursory water rights evaluation and comment on the sufficiency of the City's water rights
in meeting future 20 -year and buildout demands for the NWURA and the CitN's water system as a
whole.
1.3 1''valuate the ground elevation in the NIXW'ITRA and recommend pressure zone boundaries and
hydraulic grades that would provide service pressures within acceptable ranges.
1.4 Identify potential supply alternatives for serving the NWURA and the Cites entire water system
independent of b1WC. List the potential hurdles in developing the supply alternatives and potential
pros and cons of each alternative.
1.5 Generally discuss the water treatment requirements for each supply alternative.
1.6 Identify other critical water system infrastructure needed to serve the NIXW'LIRA and connect to the
CitN,s existingwater system including transmission mains, storage, booster pump stations and pressure
reducing vahaes.
7.7 Prepare a figure showing the general location of the proposed critical water system infrastructure for
one proposed water system configuration.
1.8 Identify the critical water system infrastructure needed to expand the independent source of supply
to serve the City's evsting water system and prepare a figure showing the general location of the
proposed critical water system infrastructure for one proposed water system configuration.
1.9 Perform cursory analyses to provide preliminary sizing for critical water system infrastructure.
CAP091114Page g]
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City of Centrad Point Exhibit A
Preliminary Feasibility Study for Independent Water Supply Scope of Work
Provided by the City:
• GIS or AutoCAD files for the following:
o CityLimits
o Urban Growth Area
o Urban Reserve Area boundary (including NWURA)
o Parcels, right-of-way and other general City basemap data
o Land Llse
o Lxisting water systetn piping end facilities
o Contour data
• t xisting water systetn model
R142 Deliverables:
• Figures showing potential critical water system infrastmctnre.
Task 2 — Cost Comparison and Letter Report
Objective: Perform a comparison of costs of future supply alternatives for the City. Prepare a confidential
letter report documenting the results of the stud}'.
Approach:
2.1 Prepare cursor}planning-level cost estimates for all proposed critical water systetn infrastructure.
2.2 Prepare a cost comparison of building on independent water supply to serve the N WURA to supplying
the N WURA from the ecisting'V1WC supply through the City's evsting water system.
2.3 Prepare a cost comparison of building independent water supply to serve the City to continuing to
receive supply from MV C under the current water sen ice agreement and rate structure. b1W C rebates
of SDCs will be included.
2.4 Prepare a confidential letter report that documents the results of the preliminary study. Recommend
next steps for advancing the analyses if the recommendations are considered feasible by the Cit}'.
2.5 Meet with Cit}' staff to discuss the results of the analyses.
2.6 Update the letter report based on comments received from Cit}' staff. Submit the final letter to the
City.
Provided by the City:
• Nf%VC water service agreement, current rate structure and rebates of SDCs.
R142 Deliverables:
• Confidential letter report that documents the results of the preliminary study and recommends next
steps for advancing the analyses if the recommendations are considered feasible by the City.
• Attendance at one (1) meeting with City staff.
C1JI 1 4'J14 P
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EXHIBIT B
City of Central Point
Preliminary Feasibility Study for Independent Water Supply
Estimate of Time and Expense
Task 1 Critical Infrastructure Planning
otal
Oesnip[ian
Total Lobar
Taal Evcense
Total Cas[
Sub.tail
Hours
li$
15,607
11
Task 1 Critical Infrastructure Planning
Sub.tail
110
li$
15,607
11
Task2 Cost Comparison and Letter Re purl
Subuttall
65
1 $
9,707
1 $
692
$
10,309
PROJECT TOTAL
1 175
1 $
25,354
1 $
2,265
Return to Agenda
CAP091114 Page 99
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