Minutes - Council Work Session - 05/12/2020

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Councilmember Musgrove stated that she is not in favor of the franchise fee option but if that option moves forward, she does not support reimbursement of the assessments paid. She used the example of a permit fee that could have been paid in the past and then the permit amount is reduced. She stated that reduction would not be refunded to those that paid the higher amount in the past. She stated that Councilmember Kuzma mentioned that many of those that refused the project did that because they were hoping franchise fees would move forward. She did not believe that was a valid reason to petition a project. City Administrator Ulrich explained that the residents do not have to have a reason but simply state that they oppose the project. Mayor LeTourneau stated that this has been a long discussion and asked for a consensus of the Council. He noted that thus far Councilmembers Riley and Kuzma support franchise fees while Councilmembers Heinrich and Musgrove would not. Councilmember Specht stated that the residents that he has spoken with have concerns that franchise fees are a progressive tax and therefore he supports the full amount being supported by the levy. He stated that he does not support the current assessment method. Councilmember Menth stated that most people do not like the current road funding system which causes a lot of wasted time. He stated that he understands that the franchise fee is regressive, but it is easier to pay a $10 or less bill per month than a much higher assessment. He stated that he supports the franchise fee option, even though his road has already been fixed. He stated that he could support City funding through the levy but would prefer franchise fees. Councilmember Riley stated that it would depend who you talk to. He explained that people that have paid $6,000 or more in assessments much prefer the method of franchise fees which is a small budgetable amount. He stated that he prefers franchise fees and could also support full City funding through the levy but would not support assessments. Mayor LeTourneau stated that he would also favor franchise fees because the assessment method does not make sense. He stated that he would welcome more discussion about putting it on the tax rolls but would not allow for a future Council to neglect road funding in the future, as was done in the past. He stated that the franchise fee would provide dedicated and controlled funding. Councilmember Heinrich asked if a more united front could be gained for funding through full tax levy. She stated that she feels that there is not full support for franchise fees and did not want to see the process stopped like it was the previous year. Mayor LeTourneau stated that consensus has been reached to support franchise fees. He stated that he supports franchise fees and while the tax levy would be another method of funding, he does not support that choice over franchise fees. He stated that assessments are too costly, and he will not support that funding method in any form. City Council Work Session / May 12, 2020 Page 4 of 7