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HomeMy WebLinkAbout2015.11.09 Council Workshop PacketPage 3 4-16 17 - 18 Workshop Meeting 1. CALL TO ORDER: 2. ROLL CALL: AGENDA PASCO CITY COUNCIL 6:00 p.m. (a) Pledge of Allegiance 3. VERBAL REPORTS FROM COUNCILMEMBERS: 4. ITEMS FOR DISCUSSION: (a) 2016 Preliminary Budget (b) 2016 Ad Valorem Tax Levy (c) Definition of "Hindering Police" 5. MISCELLANEOUS COUNCIL DISCUSSION: 6. EXECUTIVE SESSION: 7. ADJOURNMENT. November 9, 2015 REMINDERS: 11:45 a.m., Monday, November 9, Pasco Red Lion — Pasco Chamber of Commerce Membership Luncheon. (Pasco Retail Panel Discussion) 6:00 p.m., Tuesday, November 10, Pasco Red Lion — League of United Latin American Citizens National Presidential Dinner. (MAYOR MATT WATKINS, COUNCILMEMBERS SAUL MARTINEZ and AL YENNEY) 7:00 a.m., Thursday, November 12 — BFCG Tri -Mats Policy Advisory Committee Meeting. (COUNCILMEMBER BOB HOFFMANN, Rep.; REBECCA FRANCIK, Alt.) 10:00 a.m., Thursday, November 12 — B Reactor Tour and Manhattan Project National Historical Park Celebration. (COUNCILMEMBER MIKE GARRISON) 3:30 p.m., Thursday, November 12, Three -Rivers Convention Center — Visit Tri -Cities Annual Meeting and Tourism Tradeshow. (MAYOR MATT WATKINS, COUNCILMEMBERS REBECCA FRANCIK, MIKE GARRISON and SAUL Page 1 of 18 Workshop Meeting November 9, 2015 MARTINEZ) 5:00 p.m., Thursday, November 12, Pasco Red Lion — Tri -Cities Elected Leaders Reception. (MAYOR MATT WATKINS, COUNCILMEMBERS REBECCA FRANCIK, BOB HOFFMANN, SAUL MARTINEZ and AL YENNEY) 7:00 p.m., Thursday, November 12 — Ben -Franklin Transit Board Meeting. (MAYOR MATT WATKINS, Rep.; MIKE GARRISON, Alt.) This meeting is broadcast live on PSC -TV Channel 191 on Charter Cable and streamed at www.pasco-wa.2ov/psctvlive. Audio equipment available for the hearing impaired; contact the Clerk for assistance. Page 2 of 18 Presentation of CITY OF PASCO 1 ��uIIIIIII� 1111111� lul���� 2016 PRELIMINARY BUDGET Monday, November 9, 2015 6:00 p.m. PRESENTATIONS I. INTRODUCTION: (3 minutes)............................................................Dave Zabell Will give general overview of 2016 budget II. GENERAL FUND BRIEFING: (20 minutes)......................................Dave Zabell Will briefly compare proposed 2016 budget to 2015 • Major themes • Describe major revenue changes • Describe major expenditure changes III. UTILITIES: (30 minutes).....................................................................Dave Zabell • Ambulance Sewer • Water Storm • Irrigation IV. DEPARTMENT PRESENTATIONS: (±70 minutes) Each department manager will give a short briefing on respective operating budgets • Legislative, Municipal Court, Executive.............................................................. Stan Strebel • Police...................................................................................................................Bob Metzger • Fire............................................................................................................................ Bob Gear • Administrative & Community Services............................................................... Rick Terway Community Development...................................................................................... Rick White • Public Works................................................................................................ Ahmad Qayoumi • Non-Departmental................................................................................................ Stan Strebel V CAPITAL PROJECTS. (12 minutes) Respective Managers VI. SUMMARY AND SCHEDULE: (2 minutes) .......................................Dave Zabell Page 3 of 18 AGENDA REPORT FOR: City Council TO: Dave Zabell, City Manager Rick Terway, Director, Administrative & Community Services FROM: Eva Lindgren, Deputy Director Administrative & Community Services SUBJECT: 2016 Ad Valorem Tax Levy I. REFERENCE(S): Assessed Value/Tax Rate History Chart Summary of Options Fiscal Impact Table Proposed Ad Valorem Tax Ordinance - Option 1 Proposed Ad Valorem Tax Ordinance - Option 2 November 5, 2015 Workshop Meeting: 11/9/15 IL ACTION REQUESTED OF COUNCIL / STAFF RECOMMENDATIONS: Discussion III. FISCAL IMPACT: IV. HISTORY AND FACTS BRIEF: The maximum allowed property tax rate, that the city can levy (per $1,000 of assessed value) per State statute, is $3.60. The last time Pasco's levy rate was near that number was in 1994. From 1994 through 1999, the City's property tax levy rate was reduced by not levying any of the then allowable 6% increase available at that time. In November 1999, the legislature reduced the Motor Vehicle Excise Tax (MVET) to $30 per vehicle. To compensate for this loss, Council elected to use most of the unused or banked levy capacity. The levy rate for 2000 taxes was set at $3.07 per $1,000 of assessed value — still well below the $3.60 maximum. In 2001, the voters approved Initiative 747, limiting the amount taxing districts could increase property tax levy over the previous year by the lesser of 101% or the Implicit Price Deflator (IPD), without voter approval. In November 2007, that initiative was Page 4 of 18 challenged and ruled unconstitutional in the Washington State Supreme Court; that decision returned the limit to the lesser of 6% or IPD. Council chose not to increase the 2008 property tax levy rate by any allowable legal limit. In January 2008, the legislature placed into law those limits suggested by I-747. The current legal limit is the lesser of 1% or IPD. The IPD differs significantly from a regional Consumer Price Index (CPI) in that unlike the CPI, the IPD is not based on a fixed basket of goods and services; the "basket" in a region. The IPD basket spans the nation and the basket on which it is based changes from year to year with people's consumption and investment patterns. The IPD figure for the 2016 tax calculation is 0.251%. Since final tax levy data has yet to be issued by Franklin County Assessor's Office, including information on any increases to state assessed utilities, the calculations provided herein are estimates. Furthermore, because the assessor's office is not allowed to set the levy to exceed what is shown in the City's budget, we are providing information on both our estimated calculations and the rounded up amount to be used for presentation in the budget. The preliminary budget document has been prepared using an estimated property tax levy of $7,628,164, rounded up to $7,655,000, for budgeting purposes. This is represented by Option 1, below. Option 1 reflects an increase of $469,379 over the 2015 levy amount. The proposed increase in property tax revenue is derived by a combination of enacting the recommended and statutorily allowed 1.0% increase in the City property tax levy and an increase in assessed valuation due to new construction and annexations in 2015. This increase would require a declaration of substantial need by the City Council. Option 2 reflects an increase of $415,760 over the 2015 levy amount. The proposed increase in property tax revenue is derived by a combination of enacting the recommended and statutorily allowed 0.251% increase in the City property tax levy and an increase in assessed valuation due to new construction and annexations in 2015. Option 3 depicts the maximum amount the City could collect if the City Council chose to levy all prior property tax authority that has been preserved for future use by passing a declaration of substantial need. Option 4 depicts the amount the City would collect if the City Council chose a 0% increase. Over the last two decades or more the City has experienced rapid growth and the one time revenues that go along with such growth; construction sales tax and development fees as well as an increase in assessed valuation. As these newer areas have developed and other portions of the community have matured, demand for public services has increased at a rate greater than the added valuation of new construction. While the City continues to experience moderate growth, it can no longer rely on the kind of growth - related property tax revenue increases experienced just a few years ago. Additionally, the economic challenges faced by the State in funding basic education could negatively affect 2016 outcomes if state -shared revenue sources are curtailed. Fund Balance in the general fund is expected to decrease from an estimated $10.7 Page 5 of 18 million at the beginning of 2016 to an estimated $8.6 million at the end of the year. Factors contributing to the decline in fund balance include some one-time capital related expenditures, the largest of which relate to the Police Community Services Building as well as retro pay for public safety collective bargaining agreements which are projected to be settled in 2016. The property tax levy for 2016 will be comprised of the following two elements: 1. General Property Tax Levy 2. 1999 Unlimited Tax General Obligation Fire Station/Library Bonds Debt Service The City is required to certify property tax levies with the County by November 30 of each year. V. DISCUSSION: The Franklin County Assessor has provided a preliminary assessed valuation of $3,935,119,950 which is used to calculate 2016 property taxes. This amount includes new construction of $79,307,800 and an increase in State -assessed utility values of $7,564,600 and annexations of property before the cutoff date of August 1st of $117,581,200. The Franklin County Assessor's Office re -assesses all properties in the County each year. GENERAL PROPERTY TAX LEVY Options for setting the 2016 levy are outlined as follows: Option 1 (Recommended): Increase the general property tax levy over last year by 1% or $71,588. Under this option, the 2016 levy rate calculation reflects a decrease to $1.938483 per $1,000 from the 2015 rate of $1.945632. Because the IPD is less than 1%, in order to levy the full 1% Council will need to declare, as part of the ordinance, that there is substantial need for revenues above the IPD. Given the public safety needs of the community and the public safety enhancements included in the preliminary budget funded in part by this proposed levy increase, such a determination is appropriate. As noted above, 2016 property tax revenues will be increased to reflect the value of new construction, new annexations and any increases in State -assessed utility values at last year's rate and adding those numbers to last year's total levy. 2015 (prior year) Total General Property Tax Levy $7,158,785 1.0% increase in the levy rate based on the allowable maximum increase Page 6 of 18 amount, in the event of a determination of substantial need $71,588 New Construction Values of $79,307,800 using the prior year rate of $1.945632/$1,000 Assessed Value $154,304 New Annexation Values of $117,581,200 using the prior year rate of $1.945632/$1,000 Assessed Value $228,770 Increase in the State Assessed Utilities of $7,564,600 using the prior year rate of $1.945632/$1,000 Assessed Value $14,718 Total Proposed 2016 Levy: $7,628,164 (rounded to $7,655,000 for budgeting purposes) A 2016 General Levy of $7,628,164 using the assessed value of $3,935,119,950 calculates to a levy rate of $1.938483 per $1,000 of assessed value. Under this option, the 2016 levy rate would be approximately $0.007149 per $1,000 lower than the 2015 rate of $1.945632. This is the option upon which staff has based the preliminary budget presented to Council on November 23rd. Selection of this option requires a "super majority" vote of the Council, or five affirmative votes. Option 2: Since the IPD of 0.251% is less than 1%, last year's levy would be increased by the allowed 0.251% of $17,969 plus the value of new construction, new annexations and any increases in state assessed utility values at last year's rate and adding those numbers to last year's total levy. This calculates to a levy rate at $1.924857 per $1,000 of assessed value. Under Option 2, the 2016 General Property Tax "base" levy would decrease by $53,619 from the amount, as described in Option 1, above. The total general levy would decrease to $7,574,545 (rounded to $7,600,000 for budgeting purposes). Option 3 Beginning in 1993 and continuing through 2014, the City has preserved its accumulated taxing capacity. If the City were to levy all of the tax available in Option 3 and choose to levy all the preserved levy capacity, and declare a substantial need for the 1% increase, the total general levy would increase to $8,020,912 (rounded to $8,050,000 for budgeting purposes). The levy rate would calculate to $2.038289 per $1,000 of assessed value, still well below the maximum rate allowed per State statute of $3.60 per $1,000 of assessed value. Selecting this option would require a "super majority" vote of the Council, or five affirmative votes. Page 7 of 18 Option 4• If the City were to levy with a 0% increase, the total general levy would increase to $7,556,577 (rounded to $7,600,000 for budgeting purposes). This would set the levy rate at $1.920291 per $1,000 of assessed value. Under Option 4, the 2016 General Property Tax "base" levy would decrease by $71,588 from the amount, as described in Option 1, above. PRESERVING FUTURE LEVY CAPACITY Preserved levy capacity, also referred to as "banked" levy capacity, is NOT money that has been put into a bank account. It is merely capacity that has not been levied and, therefore, dollars left in the pockets of the taxpayers. The purpose of RCW 84.55.092 allowing a governmental entity to preserve future levy capacity is to "remove the incentive for a taxing district to maintain its tax levy at the maximum level permitted under this chapter, and to protect the future levy capacity of a taxing district that reduces its tax levy below the level that it otherwise could impose under this chapter, by removing the adverse consequences to future levy capacities resulting from such levy reductions." This simply means if the tax is not needed, a City does not have to set the levy at the maximum amount. The City can reserve that resource for future use. Preserving any unused levy capacity requires a "super majority" vote of the Council. 1999 UNLIMITED TAX GENERAL OBLIGATION BOND DEBT SERVICE The 2016 debt service requirement for the 1999 UTGO Bonds issued for the purpose of the Library Remodel and Fire Station Relocation is 53,959 and $68,341, respectively. Staff recommends the 1999 Unlimited Tax General Obligation Bond tax levy be set at those amounts. The two numbers are not combined because they appeared on the official ballot separately when voted upon. The county assessor's office requires we set these levies separately. The estimated assessed value for properties subject to the tax is $3,168,530,032; this will result in levy rates of approximately $0.0170 and $0.0216 for the Library and Fire Station bonds, respectively, for a combined levy rate of $0.0386. The 2015 levy rates were $0.0185 and $0.0235, respectively, or $0.0420 combined. The schedule of payments calls for principal payments of $100,000 each year. This will result in decreased levy rates for the remaining payment schedule as the interest portion declines. The final payment for these bonds is scheduled to occur in December 2019. Staff recommends Option 1. In the event Council selects to take Option 2, the corresponding ordinances are attached. Page 8 of 18 $2.4000 $2.2000 $1.$000 PASCO PROPERTY TAX LEVY RATE HISTORY (GENERAL FUND PORTION) PER $1,000 OF ASSESSED VALUE X83 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 $4.500 $4.000 $3.500 $3.000 Ril $2.500 v $2.000 co $1.500 $1.000 $0.500 $0.000 Assessed Value 2[307 2008 2009 2010 2011 2012 2013 2014 2015 2016 Summary of Options OPTION I I Prior Year Total General Property Tax Levy $ 7,158,785 1,000% 1% or IPD - Increase in the levy rate based on the allowable maximum increase amount With IDP of .251 declare substantial need for 1% 1.000% 71,588 New Construction Values of $ 79.307.800 at the 2015 rate of $ 1.945632 per $1.000 154,304 of Assessed Value Annexation Values of $ 117,581,200 at the 2015 rate of $ 1.945632 per $1,000 228.770 of Assessed Value Increase in the State Assessed Utilities $ 7,564,600 at the 2015 rate of $ 1.945632 per $1,000 14,718 of Assessed Value Levy rate of $ 1.939483 per $1,000 of Total Assessed Value $ 7,628,164 OPTION 2 Prior Year Total General Property Tax Levy $ 7,158,785 1.000% 1% or IPD - Increase in the levy rate based on the allowable maximum increase amount (Lesser of IPD .251 or 1%) 0.251% 17,969 New Construction Values of $ 79,307,800 at the 2015 rate of $ 1.945632 per $1,000 154,304 of Assessed Value Annexation Values of $ 117,581,200 at the 2015 rate of $ 1.945632 per $1:000 228,770 of Assessed Value Increase in value 51,253.007 per $1-000 Increase in the State Assessed Utilities $ 7,564,600 at the 2015 rate of $ 1.945632 per $1,000 14,718 of Assessed Value Levy rate of $ 1.924857 per $1,000 of Total Assessed Value $ 7,574'..545 Page 10 of 18 Summary of Options [OPTION 3 1 Using banked capacity and declaring substatial need for 1°o Highest Lau,-fiil Lewy from Previous Years Declare substantial need and increase highest allowed by I% I% New Construction Values of $ 79,307,800 $ at the 2015 rate of $ 1.945632 per $1,000 of Assessed Value Annexation Values of $ Annexation Values of $ 117.581.200 at the 2015 rate of $ at the 2015 rate of $ 1.945632 per $1,000 of Assessed Value Increase in the State Assessed Utilities $ at the 2015 rate of $ 1.945632 per $1,000 of Assessed Value per $1,000 of Assessed Value Levy rate of $ 1,038189 per '51.000 of Total Assessed Value OPTIO'_ti 4 Prior Year Total General Property Tax Levy IPD - No Increase of 1 % in the levy rate 0% New Construction Values of $ 79,307,800 at the 2015 rate of $ 1.945632 per $1.000 of Assessed Value Annexation Values of $ 117.581.200 at the 2015 rate of $ 1.945632 per $1,000 of Assessed Value Increase in the State Assessed Utilities $ 7.564.600 at the 2015 rate of $ 1.945632 per $1,000 of Assessed Value Levy rate of $ 1.920291 per 51,000 of Total Assessed Value $ 7,547,644 75,476 154,304 228,770 14,718 $ 8,420,912 $ 7,158,785 0 154,304 228,770 14,718 $ 7,556,577 Page 11 of 18 Fiscal Impact on a $200,000 Property from Tax Levy Increase Options Page 12 of 18 Proposed Current 2015 2016 Levy Impact on Levy Rate, Rate, per $200,000 per $1,000 $,1000 Difference Property Option 1 1 1.9456321 1.938483 -0.007149 -$1.43 Option 2 1 1.9456321 1.924857 -0.020775 -$4.16 Option 3 1 1.9456321 2.0382891 0.0926571 $18.53 Page 12 of 18 ORDINANCE NO. AN ORDINANCE PROVIDING FOR THE 2016 AD VALOREM TAX LEVY, A LEVY AND FOR THE 1999 UNLIMITED TAX GENERAL OBLIGATION BONDS IN THE CITY OF PASCO IN ACCORDANCE WITH STATE LAW. Whereas, the City is, pursuant to RCW 35A.33.135, authorized to set by ordinance the amount to be raised by ad valorem taxes; and Whereas, a public hearing was held on November 16, 2015, as required by RCW 84.55.120, regarding the revenue sources for the City's following year Budget with consideration of a possible increases in property tax revenues levied including ad valorem taxes; and Whereas, the City Council having found that the City anticipates greater expenses for the public safety needs of the community and the public safety enhancements without a corresponding increase in revenues, thereby constituting a substantial need for the additional levy as provided by RCW 84.55.0101, and the City Council having approved this Ordinance by a majority plus one vote of the Council, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON DO ORDAIN AS FOLLOWS: §l. The City Council of the City of Pasco (the population of which is greater than 10,000) has met and considered its budget for the calendar year 2016; §2. The City Council of the City of Pasco after public hearing and after duly considering all relevant evidence and testimony presented, determined that the City of Pasco requires a regular levy in the amount of $7,628,164, which includes the 1% allowable percentage increase in property tax revenues from the previous year, with a declaration of hardship by the City Council, and does include amounts resulting from the addition of new construction, improvements to property, annexations, and any increases in the value of state -assessed property, and amounts authorized by law as a result of any annexations that have occurred and refunds made, in order to discharge the expected expenses and obligations of the district. RCW 84.55.120 requires a specific statement regarding the amount of any increase in regular property tax from the previous year. The actual general levy amount from the previous year (2015) was $7,158,785. The City Council of the City of Pasco hereby authorizes the following increase in the regular property tax levy to be collected in the 2016 tax year. The dollar amount of the increase over the actual levy amount from the previous year shall be $71,588 (seventy-one thousand five hundred and eighty-eight dollars) which is a percentage INCREASE of 1% (one PERCENT) from the previous year. This increase is exclusive of additional revenue resulting from the addition of new construction and improvements, newly constructed wind turbines to property, any increase in the value of state assessed property, and any additional amounts resulting from any annexations that have occurred and refunds made. Page 13 of 18 The property tax from new construction to be included in the actual levy is calculated to be $154,304. This number is the result of the amount of new construction and improvements to property of $79,307,800, provided by the Franklin County Assessor's Office, multiplied by the 2015 (prior year) levy rate of $1.945632 per $1,000 of that value. The property tax from annexation to be included in the actual levy is calculated to be $228,770. This number is the result of Annexation property values of $117,581,200 provided by the Franklin County Assessor's Office, multiplied by the 2015 (prior year) levy rate of $1.9456321 per $1,000 of that value. The property tax from the increase in state assessed utilities to be included in the actual levy is calculated to be $14,718. This number is the result of the amount of new increase of $7,564,600 provided by the Franklin County Assessor's Office, multiplied by the 2015 (prior year) levy rate of $1.945632 per $1,000 of that value. §3. A tax for the following sums of money which includes new construction and annexations to defray the expense and liabilities of the City of Pasco be and the same is hereby levied for the purposes specified against all taxable property in the City for the fiscal year 2016: General Expense, including Councilmanic Bond Debt Service $7,628,164 1999 Unlimited Tax General Obligation Bond/Library Remodel 53,959 1999 Unlimited Tax General Obligation Bond/Fire Station 68,341 $7,750,464 §4. A certified copy of this Ordinance shall be transmitted to the Franklin County Board of Commissioners and to the Franklin County Assessor on or before November 30, 2015. §5. This Ordinance shall take effect five (5) days after passage and publication. Adopted by the City Council of the City of Pasco, on this 30th day of November, 2015. City of Pasco: Matt Watkins, Mayor Attest: Debra L. Clark, City Clerk Approved As To Form: Leland B. Kerr, City Attorney Page 14 of 18 ORDINANCE NO. AN ORDINANCE PROVIDING FOR THE 2016 AD VALOREM TAX LEVY, A LEVY AND FOR THE 1999 UNLIMITED TAX GENERAL OBLIGATION BONDS IN THE CITY OF PASCO IN ACCORDANCE WITH STATE LAW. Whereas, the City is, pursuant to RCW 35A.33.135, authorized to set by ordinance the amount to be raised by ad valorem taxes; and Whereas, a public hearing was held on November 16, 2015, as required by RCW 84.55.120, regarding the revenue sources for the City's following year Budget with consideration of a possible increases in property tax revenues levied including ad valorem taxes; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON DO ORDAIN AS FOLLOWS: §1. The City Council of the City of Pasco (the population of which is greater than 10,000) has met and considered its budget for the calendar year 2016; §2. The City Council of the City of Pasco after public hearing and after duly considering all relevant evidence and testimony presented, determined that the City of Pasco requires a regular levy in the amount of $7,574,545, which includes the IDP .251% allowable percentage increase in property tax revenues from the previous year and does include amounts resulting from the addition of new construction, improvements to property, annexations, and any increases in the value of state -assessed property, and amounts authorized by law as a result of any annexations that have occurred and refunds made, in order to discharge the expected expenses and obligations of the district. RCW 84.55.120 requires a specific statement regarding the amount of any increase in regular property tax from the previous year. The actual general levy amount from the previous year (2015) was $7,158,785. The City Council of the City of Pasco hereby authorizes the following increase in the regular property tax levy to be collected in the 2016 tax year. The dollar amount of the increase over the actual levy amount from the previous year shall be $17,969 (seventeen thousand nine hundred and sixty-nine dollars) which is a percentage INCREASE of 0.251% (0.251 PERCENT) from the previous year. This increase is exclusive of additional revenue resulting from the addition of new construction and improvements, newly constructed wind turbines to property, any increase in the value of state assessed property, and any additional amounts resulting from any annexations that have occurred and refunds made. The property tax from new construction to be included in the actual levy is calculated to be $154,304. This number is the result of the amount of new construction and improvements to property of $79,307,800, provided by the Franklin County Assessor's Office, multiplied by the 2015 (prior year) levy rate of $1.945632 per $1,000 of that value. The property tax from annexation to be included in the actual levy is calculated to be $228,770. This number is the Page 15 of 18 result of Annexation property values of $117,581,200 provided by the Franklin County Assessor's Office, multiplied by the 2015 (prior year) levy rate of $1.9456321 per $1,000 of that value. The property tax from the increase in state assessed utilities to be included in the actual levy is calculated to be $14,718. This number is the result of the amount of new increase of $7,564,600 provided by the Franklin County Assessor's Office, multiplied by the 2015 (prior year) levy rate of $1.945632 per $1,000 of that value. §3. A tax for the following sums of money which includes new construction and annexations to defray the expense and liabilities of the City of Pasco be and the same is hereby levied for the purposes specified against all taxable property in the City for the fiscal year 2016: General Expense, including Councilmanic Bond Debt Service $7,574,545 1999 Unlimited Tax General Obligation Bond/Library Remodel 53,959 1999 Unlimited Tax General Obligation Bond/Fire Station 68,341 $7,696,845 §4. A certified copy of this Ordinance shall be transmitted to the Franklin County Board of Commissioners and to the Franklin County Assessor on or before November 30, 2015. §5. This Ordinance shall take effect five (5) days after passage and publication. Adopted by the City Council of the City of Pasco, on this 30th day of November, 2015. City of Pasco: Matt Watkins, Mayor Attest: Debra L. Clark, City Clerk Approved As To Form: Leland B. Kerr, City Attorney Page 16 of 18 AGENDA REPORT FOR: City Council November 5, 2015 TO: Dave Zabell, City Manager Workshop Meeting: 11/9/15 FROM: Stan Strebel, Deputy City Manager SUBJECT: Definition of "Hindering Police" I. REFERENCE(S): Proposed Ordinance II. ACTION REQUESTED OF COUNCIL / STAFF RECOMMENDATIONS: Discussion III. FISCAL IMPACT: IV. HISTORY AND FACTS BRIEF: Recent Supreme Court cases, both in the state and at the national level, have clarified the distinction between conduct which may hinder, delay or obstruct a police officer and constitutionally protected free speech, which may be in the form of challenging police actions, but is protected and not criminal activity. In order to maintain consistency with the rulings of the courts, the City Attorney has prepared amendments to PMC Section 9.42.020 which clarify that conduct which is deemed to hinder, obstruct or delay a police officer must be other than speech. V. DISCUSSION: Staff recommends adoption of the Ordinance. Page 17 of 18 ORDINANCE NO. AN ORDINANCE of the City of Pasco, Washington, Amending PMC Section 9.42.020 "Hindering Police" WHEREAS, the Washington State Supreme Court has recently, in State of Washington vs. E.J.J., determined that municipal ordinances dealing with the hindering or obstruction of police officers that is phrased so generally that such may include constitutionally -protected speech; and WHEREAS, in order to comply with the mandate of the Court, and to provide direction that hindering a police officer must consist of conduct as opposed to speech which may be constitutionally protected; and WHEREAS, to provide sufficient description of what conduct is prohibited, an amendment is required to come into compliance. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON, DO ORDAIN AS FOLLOWS: Section 1. That Section 9.42.020 entitled "Hindering Police" of the Pasco Municipal Code shall be and hereby is amended and shall read as follows: 9.42.020 HINDERING POLICE. (1) It is unlawful for any person to knowingly or willfully engage in conduct, other than speech, that hinders, obstructs, or delays any pokee law enforcement officer of the eity i the including any general authority or limited authority peace officer, or other public officers who are responsible for enforcement of fire, building, zoning, and life and safety codes and ordinances in the discharge of the officer's official powers or duties. (32) Hindering police is a gross misdemeanor. (Ord. 3490 Sec. 3, 2001.) Section 2. This Ordinance shall take full force and effect five (5) days after its approval, passage, and publication as required by law. PASSED by the City Council of the City of Pasco, Washington, and approved as provided by law this day of 52015. Matt Watkins, Mayor ATTEST: APPROVED AS TO FORM: Debra L. Clark, City Clerk Leland B. Kerr, City Attorney Page 18 of 18 Oil M-1 - � (32) Hindering police is a gross misdemeanor. (Ord. 3490 Sec. 3, 2001.) Section 2. This Ordinance shall take full force and effect five (5) days after its approval, passage, and publication as required by law. PASSED by the City Council of the City of Pasco, Washington, and approved as provided by law this day of 52015. Matt Watkins, Mayor ATTEST: APPROVED AS TO FORM: Debra L. Clark, City Clerk Leland B. Kerr, City Attorney Page 18 of 18