MARCH 7, 2005


The Regular Meeting of the Beaverton City Council was called to order by Mayor Rob Drake in the Forrest C. Soth City Council Chamber, 4755 SW Griffith Drive, Beaverton, Oregon, on Monday, March 7, 2005, at 6:34 p.m.


Present were Mayor Drake, Couns. Catherine Arnold, Betty Bode, Dennis Doyle, Fred Ruby and Cathy Stanton. Also present were City Attorney Alan Rappleyea, Chief of Staff Linda Adlard, Finance Director Patrick O'Claire, Community Development Director Joe Grillo, Engineering Director Tom Ramisch, Operations/Maintenance Director Gary Brentano, Library Director Ed House, Human Resources Director Nancy Bates, Police Chief David Bishop, Principal Planner Hal Bergsma, Budget Coordinator Joanne Harrington, Senior Accountant J.J. Schulz and Deputy City Recorder Catherine Jansen.


Mayor Drake proclaimed Sunday, March 20, 2005, Iranian New Year Celebration Day.


05043 Presentation of the Distinguished Budget Presentation Award and Certificate of Recognition for Budget Preparation to Joanne Harrington for the City's FY 2004-05 Annual Budget Document

05044 Presentation of the Certificate of Achievement for Excellence in Financial Reporting and the Award of Financial Reporting Achievement to J. J. Schulz for the City's FY 2002-03 Comprehensive Annual Financial Report

Finance Director Patrick O’Claire said the Distinguished Budget Presentation Award and the Certificate of Achievement for Excellent in Financial Reporting were presented by the Government Finance Officers Association of the United States and Canada (GFOA). He said these were the two highest awards a municipality could receive for its budget presentation and annual financial report. He said Budget Coordinator Joanne Harrington was responsible for coordinating the budget and Senior Accountant J.J. Schulz was responsible for preparing the City's annual financial report. He said the City, Harrington and Schultz were being recognized by the GFOA for excellence in the field of Financial Reporting.

O'Claire presented the Award of Financial Reporting Achievement to J.J. Schulz for the City's Fiscal Year 2002-03 Comprehensive Annual Financial Report. He then presented the Certificate of Recognition for Budget Preparation to Joanne Harrington for the City's Fiscal Year 2004-05 Annual Budget Document. He commended Schulz and Harrington stating they were exemplary employees; two of the many fine employees in the Finance Department.

O'Claire presented the plaques for the Distinguished Budget Presentation Award and the Certificate of Achievement for Financial Reporting to Mayor Drake; stating they would be displayed in the Finance Department.

Coun. Stanton thanked the entire Finance Department staff for their diligence and excellent work.


There were none.


Coun. Doyle thanked the Councilors who attended the Tualatin Hills Parks and Recreation District's 50th Anniversary Celebration. He said it was an excellent celebration; he congratulated the Park District for 50 years of great service.

Coun. Doyle congratulated the Southridge Girls' Basketball Team for winning the State title. He wished the Westview and Jesuit Boys' Basketball Teams good luck as they had made it to the final eight in their tournament.

Coun. Stanton said in the last two months the New Friends of the Library and the Library Foundation Board contributed over $19,000 in cash to the Library. She said these funds were designated for the DVD’s and Books on CD collections, at the request of the Friends and the Board. She said she appreciated the contributions these groups made and that they specified where they would like the funds used.


There were none.


Coun. Bode MOVED, SECONDED by Coun. Doyle, that the Consent Agenda be approved as follows:

Minutes of the Regular Meetings of February 14 and February 28, 2005

05045 Liquor License Application: Greater Privilege - Broadway Wines; New Outlet - Mio Sushi

05046 Traffic Commission Issues No. TC 569 - 572

05047 Transfer of Road Jurisdiction from Washington County to the City of Beaverton ( SW Corby Drive, SW Shilo Lane, SW 117th Avenue) (Resolution No. 3810)

Coun. Stanton said she had a correction to the city council minutes for February 14 and she would abstain from voting on the minutes of February 28, 2005, as she was not at that meeting.

Coun. Bode said she would abstain from voting on the minutes of February 28, 2005, as she was not at that meeting.

Coun. Stanton said she appreciated the decision of the Traffic Commission to not put a signal light at Ridgecrest and Hall Boulevard (Traffic Commission Issue 569). She said the Commission decided this was not an appropriate use of City funds or an appropriate place for a signal, and installing a signal light at that location would delay the 125th Avenue Extension project. She thanked the Commission for that decision and said she wanted to see the 125 th extension built in her lifetime.

Question called on the motion. Couns. Arnold, Bode, Doyle, Ruby and Stanton voting AYE, the MOTION CARRIED unanimously. (5:0) Couns. Bode and Stanton abstained from voting on the February 28, 2005 minutes.


05048 A Public Hearing to Receive Public Input Regarding the Annexation of Several Parcels Located Generally in the Southern Portion of Beaverton to the City of Beaverton: ANX 2005-0001

Community Development Director Joe Grillo read a prepared statement defining the process to be followed for this hearing. He said the City had received two requests that the record be kept open. He said staff was recommending that the record be kept open for seven days, until Monday, March 14, 2005, at 5:00 p.m. He said staff would submit a staff report responding to the written comments that were received; the report would be available by Monday, March 21, 2005, by 5:00 p.m.

Principal Planner Hal Bergsma said this was the third phase of island annexations Council directed staff to initiate. He said Council initiated this annexation through Resolution No. 3802 and it was processed through the City's island annexation policy. He said Notice of the Hearing was provided in compliance with the Metro Code and ORS. He said Notice of the Hearing was sent to property owners in each area, as well as the County's Citizen Participation Organization and the Citizens Neighborhood Committee for each area. He said the hearing notice and the staff report were also posted on the City's Web site.

Bergsma said this application was consistent with the intergovernmental agreement between the City and Washington County, signed December 22, 2004, that set the Interim Urban Services Area for the City. He said under the provisions of that agreement, the City would not annex areas outside of the Interim Urban Services Area without County consent and the County would not oppose annexation within the Interim Urban Services Area.

Bergsma concluded it was staff's recommendation that Council conduct the public hearing, followed by the first reading of the ordinance for this annexation application.

Coun. Ruby said one of the areas being considered was the condominium area adjacent to the Redtail Golf Course. He asked the status of the golf course. He said he thought a sewage access issue caused the transfer of the golf course from Portland to Beaverton, but he was not sure where that situation was left.

Bergsma said the annexation of the Redtail Golf Course began when the course needed to connect to the City's storm drain system on Scholl's Ferry Road. He said the parties agreed to a delayed annexation which was effective on June 30, 2004.

Coun. Bode asked Bergsma to explain the Washington County 2000 Policy and what planning went into forming the policy.

Bergsmasaid the Washington County 2000 Policy was adopted by the County Commissioners in 1986 and updated in 1994. He said this policy states the County wants to get out of the business of providing municipal services and that responsibility should be taken over by cities and special districts. He said as an interim measure, the County established the Enhanced Sheriff's Patrol District and the Urban Road Maintenance District, with the unders tanding that these were interim providers and as areas were annexed they would come out of those Districts. He said that was the case for the annexations being considered at this hearing.

Mayor Drake opened the public hearing.

Steven Fitzgerald, Brightfield Village Condominiums, said his neighborhood was regulated by a Condominium Association with private streets; they do not receive City street services. He asked what benefit they would get from annexing to the City. He said he had nothing against the City taking over Brightfield and he hoped he would get better police coverage than what Washington County has provided.

Coun. Bode asked Fitzgerald if he had ever heard of the Washington County 2000 Plan.

Fitzgerald replied he was aware of that plan.

Susan Gysel, West Slope Raleigh Hills, said she felt the residents did not have a choice in this annexation and it was a not a democratic process. She said citizens needed to have a vote on their own fate. She said the unincorporated residents were being demonized by propaganda which insinuated they consumed services for which they do not pay. She said this was creating enmity and asked that the City keep its promise to only accept requested annexations.

Mayor Drake said he spoke earlier with Gysel and he noted her property was not being considered at this hearing.

Gysel replied it was not, but said it was in the ten-year plan. She said she was speaking in solidarity for those people being annexed against their will.

Scott Russell, 155 th Avenue/ Scholls Ferry Road, said he represented his family who has owned land since the mid 1960's. He said they were opposed to this annexation and did not need or use City services at this time. He said he was told his property would not be annexed until it was developed.

Richard Carson, SW 155th Avenue, said he had lived in the area since August and he would not have purchased the property if he had known of the annexation plans. He said there weren’t any advantages for him to belong to the City and the cost for City services was higher than what he currently pays. He said he did not receive notification of the annexations and if regulations required 45 days notification prior to the hearing, the City was not in compliance. He said most of the land being annexed in this area was covered with trees and would end up being cleared if annexed. He said he opposed the annexation.

Coun. Stanton referred to Carson's comments concerning public noticing and asked staff if notices were sent in a timely and legal fashion.

City Attorney Alan Rappleyea said the notice was sent in a timely and legal fashion. He said the requirements were that notices be sent 45 days prior to the date of decision, and the date of decision would be in two weeks (March 28, 2005).

David Weitzer, SW Scholls Ferry Road, said he owned property for 25 years. He said he believed it was less efficient for the County to provide these urban services; however, his taxes would increase between $500 and $800 annually if annexed. He said he had a bamboo and herb farm on the land; it was a small family-run business. He said the City was densely populated and suggested the City could use the productivity of high density in order to lower taxes. He said the high cost was one of the biggest difficulties the residents had with the annexation. He asked that the City carefully review the cost effectiveness of its service administration and its expenditures, to determine why the cost increase is so high.

Robert Aylwin, Brightfield Village Condominiums, asked that the record be kept open for seven days. He said he did not unders tand how the citizens of Bull Mountain were able to vote on their annexation to Tigard, and those in Beaverton were not. He said Hall Boulevard was owned by the State of Oregon, not the County as stated in the staff report. He listed the urban services in the staff report and said none of these service providers would change for his parcel if annexed. He said the only change would be in police coverage and at $2.72/$1000 he felt the cost was outrageous. He said there were side deals made with companies for tax abatements, discounts and deferred status and they were not given such benefits. He said County Chair Tom Bryan made the statement that the cost of services needs to be sorted out. He asked that the City wait until the County 2000 Plan is updated and the legislature acts on the bills being presented.

Coun. Stanton asked Weitzer how his land was zoned and if had a farm deferral.

Weitzer said he believed the zoning was R9 and he did not have a farm deferral. He said he had not followed up on getting information for a farm deferral.

Mayor Drake asked Grillo if staff had sent a correction clarifying that Hall Boulevard was owned by the State and that there weren’t any side deals approved by the City Council regarding any of this year's or December's annexations.

Grillo confirmed a memo was sent stating Hall Boulevard was owned by the State and he was unaware of any side deals regarding any of these annexations.

Mayor Drake asked if the area where Aylwin lived was included in the Enhanced Sheriff's Patrol, the Urban Road Maintenance and the County's Lighting Districts.

Grillo replied the area was in the Enhanced Sheriff's Patrol and Urban Road Maintenance Districts, and would be removed from those districts if annexed. He said he was not certain if that area was in the Lighting District.

Kathryn Sayles, SW Kemmer, Aloha, said the Council supported the residents of the unincorporated area a year ago when the Tualatin Hills Park & Recreation District tried to incorporate them and she was bewildered by the Council's turn about now. She said the Council had a bond with these residents not to force annexation. She asked that the City not go any further as it was ruining its reputation with distorted information. She said studies would show there wouldn’t be any benefits to the people being annexed.

Henry Kane, Beaverton, said he filed two motions; one to keep the record open seven days after the hearing and the other to ensure that when new material was submitted to the City that he receive it immediately instead of 24 hours later. He said he could not find that the County was providing any urban services to these islands. He said the Tualatin Valley Water District, the Tualatin Hills Park & Recreation District and Tualatin Valley Fire & Rescue District were not operated by the County. He said the City had not obeyed the Metro Code and had not allowed the citizens the right to vote on this issue.

Mayor Drake noted James Lyons, Brightfield Circle, submitted a testimony card in opposition to the annexation.

Osborn Blanchard, Brightfield Village Condominiums, said one of the areas being annexed was not an island. He said in the years he lived in Brightfield he had never seen Beaverton Police patrol their area. He said they would not be getting anything in return for the annexation except higher taxes. He said if he had wanted City services he would have moved to Beaverton. He said commercial entities were receiving special benefits for annexation. He asked that the City wait until the 2000 Plan is validated and the Legislature acts on the bills currently pending.

John Thomas, Raleigh Park, said his neighborhood was not affected by this annexation but he shared many of the concerns voiced earlier. He said these neighborhoods had all municipal services provided by districts. He said there were only two services where the City could questionably provide better service; police and roads. He said he and his neighbors were happy with the Enhanced Sheriff's Patrol District. He said it might make sense for the County to get out of the road business if all the roads were maintained by the State or a municipality. He said traffic in Beaverton was an increasing problem and in the last ten years it had become intolerable. He said he avoided downtown Beaverton because of the traffic. He said he questioned if he wanted to trust his neighborhood and its roads to the governmental body in charge of the roads in Beaverton. He said he had low confidence his neighborhood would be well served by the City.

Mayor Drake explained to Thomas that Beaverton-Hillsdale Highway and Canyon Road were State roads and most of the major arterials in the area belong to the State or the County. He said whether one lived in the City or County there was not enough money to maintain these roads. He said the County has grown without the requisite funds needed to maintain these services. He said the City could not set the tone for State highways because they were funded by everyone in the State. He said probably the roads Thomas referred to were roads the City does not maintain or fund.

Joe Willis, attorney, Schwabe, Williamson & Wyatt, representing NIKE, expressed concern that the City was moving forward with more annexations. He said from what he read and heard from persons speaking on behalf of the City, he thought there was a commitment that the annexation process was going to be put on hold for the near term.

Mayor Drake said he personally talked with Willis's representatives and the City has represented all along that it had a series of annexations it would conclude and once they were concluded the City would stop and call a timeout. He said there was NIKE staff at the Citizen Participation Organization (CPO) meeting in January when he explained that once the City had finished the announced annexations, the City would stop and have a three-way conversation with people from the unincorporated areas, the County and the City. He said the City was being consistent with that process.

Willis asked what commitment NIKE had from the City that the annexations in the near term would stop.

Mayor Drake said the City had made its statements. He said once the City finished this annexation and the Cornell Oaks properties, the City will have completed its work for the short term. He said the City called for a County-wide discussion and for the County to update County 2000 Plan.

Coun. Stanton said an agreement was signed with Cornell Oaks ten years ago and it was annexed as scheduled per a development timeline. She said that timeline was concluded. She said Cornell Oaks was not part of the package the Council considered in November, 2004, and neither was NIKE.

Willis said having read the newspapers he was surprised to see the annexations continuing.

Mayor Drake repeated the City was proceeding with the annexations it announced and the Cornell Oaks annexation which was deferred for ten years; it would then call for a timeout. He said the City was being consistent with what was announced.

Steve Munch, Raleigh Park, said six years ago SW Laurelwood, Birchwood and 87th Avenue were annexed into the City, in a "stealth" annexation. He said the neighborhood was not notified of it. He said the residents circulated a petition and when they had 50% of the residents' signatures the petition went to the City and it was approved. He said that split the Raleigh Park neighborhood in half. He said this was prompted because the County wanted to put in a road in that area and the residents fought the County because they feared it would be a thoroughfare. He said the result of that annexation was that the City put in speed bumps, which slowed the fire response, and photo radar. He said this had not preserved or enhanced their sense of community, and it had not ensured a safe and healthy community. He said many people were cut off by these artificial islands. He said he and others in the neighborhood opposed this annexation and felt annexation should only occur when it is requested.

Coun. Stanton told Munch that over ten years ago she was at a meeting at the County when residents from the Laurelwood and Birchwood neighborhoods were trying to get the County to do a study because of cut through traffic between Canyon Road and Beaverton-Hillsdale Highway. She said the citizens eventually went to the City for relief because the County would not help them. She said those residents circulated annexation petitions and got signatures from the residents, so speed bumps could be installed on that street to slow the traffic. She said they also asked for the photo radar to slow the traffic. She said that was how the City became involved and the annexations between Laurelwood and Birchwood were citizen driven.

Munch said he agreed with Coun. Stanton but they did not want to be annexed.

Don Peterson, SW Davis Road, said he and his wife were objecting to the annexation on economic terms. He said they could not see improvements in service if they were annexed and yet their property taxes would increase. He said his services were adequate as they currently exist, including police coverage. He said he owned a sizeable piece of property and their zoning benefits would be diminished if annexed to the City.

Mayor Drake told Peterson that under an agreement with the County, when a property is annexed the City is required to give the property the same zoning they had in the County, or as close to it as possible if an identical zone is not available. He referred Peterson to Joe Grillo to determine the current zoning on his property and what the zoning would be under the City.

David Williams, SW 155th Avenue, said he used to be one of those islands and they had to deal with a County who would not pave a major road or provide any services. He said they annexed to the City and now the road was paved and he had utilities. He thanked the City and said while the County would not help, the City stepped in and took care of things quickly. He thanked the City for helping and improving 155th Avenue. He said his current neighbors did not live there when there were pot holes two feet deep and it was risky to use the road.

There was no further testimony.

Mayor Drake closed the public hearing.

Coun. Ruby said in relation to the annexation issues, he wanted to speak on the role of the Council and the leadership role of the Mayor's Office. He said in November the Mayor made a good case to the Council that a more aggressive policy on island annexation was justified to frame and normalize the boundaries of Beaverton. He said the Mayor made a case that this issue had been discussed between the County, the City and other agencies for a long time, though no one wanted to take action. He said island annexation was forced annexation and the Council takes it very seriously.

Coun. Ruby said from his perspective, in determining how the island annexations were carried out and which properties were targeted for island annexation, it was his role to defer to the Mayor's leadership because the Council does not have the ability to evaluate all the properties to determine the best properties to carry out that policy. He said he deferred to the Mayor and staff to decide how the island annexations should be determined. He said for those areas that were not islands, further action and legislative scrutiny will be required to determine how that would be carried out. He said manipulating elections, as proposed by the Park District, was not the best way to handle annexations. He said in some measure the more limited forced annexations, were more accountable and honest with the voters.

Coun. Bode said the City’s purpose was to make the City's boundaries more logical and there was a rationale to how the parcels were selected. She said the State Legislature adopted State statutes that defined how properties would be annexed. She said the County stated in its long-term plan that it wanted the cities to take in these unincorporated areas because the County did not want to provide urban services. She said the City looked at its contractual and working relationships as a city within a county; and it looked at the legislation and the County goals to determine what should be done. She said throughout the State, counties and cities were looking at the annexation issue and realigning themselves. She said in order for a community to grow there has to be a little stretch. She said she found it frustrating to see misinformation in the printed media, though it does make people want more information which is available on the City's Web site. She stressed this involved the State, the County and the City; it was the whole continuum of how Oregon is changing. She added this was long-term planning to determine what communities will look like in the future. She said amongst all the cities, Beaverton took a step forward and acknowledged this was the plan and readjustments were needed. She said the City stepped up to the plate because the legislation was in place, the County's goal was in place and someone needed to start.

Coun. Stanton said she supported Coun. Bode’s comments. She referred to a comment Sayles had made and explained any seated Council could not bind a future Council. She said she was part of the Council that had previously said there wouldn’t be forced annexations. She said this was not about forcing annexations and the City was not taking over communities. She said she was most comfortable with this annexation package, of all the ones done since the policy was issued last November, because this was about aligning and straightening the City boundaries. She said normalizing the City boundary was a big pro to her for annexation. She said this was the most responsible annexation package as these areas were completely surrounded by Beaverton and there weren’t any road annexations involved. She said she would definitely support this annexation.

Coun. Arnold said annexation was not a new issue and it has always been a difficult issue. She spoke about other areas in the country that had experienced problems with unincorporated island areas. She said cities in the east suffered from the donut syndrome, where the urban areas incorporated into cities that surrounded the central city and then the central city did not have a tax base to maintain its infrastructure and services, so the inner city crumbled. She said in 1993 Oregon passed SB 122 to direct cities and counties to define what made sense for providing urban services. She said now, in 2005, these things were defined and this should not be a big surprise to anyone as it has been around for a long time. She said she hoped the Legislature would review what had been done since 1993. She said she was glad there were going to be discussions on the long-term annexation plans. She said she understood how those opposing the annexation felt it was unfair; however, these islands were entirely surrounded by Beaverton and sooner or later those areas would be part of the City. She said it made sense that these areas be part of the City.

Coun. Doyle said he had made it clear to the many people with whom he has come in contact, that for any additional action to occur there would have to be a community and county-wide discussion to determine where the communities want to go. He said the County has been talking about this for a very long time and City finally took the initiative and an agreement was finalized with a possible ten-year plan, which showed possible annexations in the long-term. He said as long a he is able to vote, this would be done jointly. He said he understood some people were unhappy about this, but he also served the 80,000 citizens in Beaverton. He said this would proceed as a community from this point forward.


Suspend Rules:

Coun. Doyle MOVED, SECONDED by Coun. Bode, that the rules be suspended, and that the ordinances embodied in Agenda Bills 05049 and 05050, be read for the first time by title only at this meeting, and for the second time by title only at the next regular meeting of the Council, and that regarding Agenda Bill 05049, the record will be kept open for seven days until March 14, 2005 at 5:00 p.m. Couns. Arnold, Bode, Doyle, Ruby and Stanton voting AYE, the MOTION CARRIED unanimously. (5:0)

First Reading:

Rappleyea read the following ordinances for the first time by title only:

05049 An Ordinance Annexing Several Parcels Located Generally in the Southern Portion of Beaverton to the City of Beaverton: ANX 2005-0001 (Ordinance No. 4342)

05050 TA 2004-0010 Utility Undergrounding Section 60.65 Amendment (Ordinance No. 4343)


There being no further business to come before the Council at this time, the meeting was adjourned at 8:12 p.m.

Catherine Jansen , Deputy City Recorder




Approved this 28th day of March, 2005.

Rob Drake, Mayor