Memorandum 17-028 HART Policy Revisions

Memorandum 17-028

TO:                        Mayor Zak and the Homer City Council

THROUGH:       Katie Koester, City Manager

FROM:                 Julie Engebretsen, Deputy City Planner

MEETING:          February 13, 2017

SUBJECT:          HART Policy Revisions

HART Policy Manual Review Tasks

The City Council requested the Planning Commission review the Homer Accelerated Roads and Trails (HART) policy manual. The assigned tasks from Council were:

1. Update and improve the organization and readability of the HART Policy Manual

2. Make HART policies as consistent as possible with HAWSP policies

3. Review project eligibility

4. Provide for funding of SAD’s for sidewalks w HART funds

5. Develop a matching grant program for trails.

Additionally, the City Manager requested that the calculation for the 1.25 debt ratio be described.

Work Completed

Task 1: Readability

Staff has removed duplicate information and things that are spelled out in code. This document was first written circa 1987, and there have been a lot of code amendments since then! Any items that are spelled out in code or other adopted city documents have been removed.

Task 2: Consistency between manuals. Staff has formatted the manuals and revised the wording so they are more consistent.

Task 3: Review Project Eligibility. (See new section, Page 2 Section D)

There appears to be a need for funding major patch jobs that are outside the scope of the operating budget, but are lesser than a total road rebuild that requires a Special Assessment District. To be clear, HART funds cannot be used for routine maintenance, like ditch cleaning or grading. In 2015, the City Council authorized $30,000, with an additional $7,000 in matching funds to do patch repairs to annexed roads on the hill – Fireweed Ave and Cottonwood Lane (Ordinance 15-10 (S). There was not enough land owner support for a full road SAD. The HAPC struggled with this use of HART funds and feels that City funding for road maintenance in general is inadequate. However, the Fireweed-Cottonwood reconstruction project is outside the scope of the operating budget and the HART SAD process has traditionally filled the need for major road reconstruction projects. Staff recommends revising the manual to include more detail on eligible projects. With increased pressure on HART for major road reconstruction and repair, Council may want to consider requesting more definitive language from the voters.

Task 4: Provide for funding of SAD’s for sidewalks with HART funds.

Staff researched other community sidewalk policies and found that some have a required property owner match, but it’s capped at $2,000. City costs are capped at $15,000 per lot. Our Homer costs are significantly higher. Additionally, a community may have a sidewalk plan, or a prioritization of sidewalk improvements. This focuses where new sidewalks should be constructed. The Homer Non-motorized Transportation and Trails Plan does a nice job of mapping where our community improvements are desired, and also states that special populations are of importance to our community. The HAPC supports using the HNMTTP as a guide for when HART funds will be used on sidewalks. THE HAPC did not support capping the property owner assessment for sidewalk construction.

New Section: “E. Sidewalks. To use HART funds, projects must be mapped as either sidewalks, paved shoulders or separated pathways, or directly serve the special populations discussed in sections 3.1 and 3.2 of the HNMTTP. Effort will be made to find grants or non-city funding sources to match city construction funds, whenever possible.”

Task 5: Develop a matching grant program for trails.

Currently, there is about $600,000 of trail money available. The city has had some success in building trails (Reber Trail), but generally, we don’t have the staff to plan and construct trails, despite the community desire for them. The fund has grown by $100,000 a year as taxes are collected but we’re not building trails. Homer citizens have responded by suggesting a small grant program.  Citizens apply for funds to build trails – think neighborhood groups, youth groups, scouts etc. These would be projects that don’t require heavy equipment and would not require a lot of engineering. The Calhoun Trail is a good example. Trail builders would leverage volunteer labor, fundraising, and city funds to build new trails.

Julie Engebretsen worked with the Parks, Recreation Arts and Culture Advisory Commission (PARCAC) and the local ad-hoc trails group on a grant process. Within the HART Manual, things have been kept very simple. On page 3 of the Manual, it states “C. Citizens may work with the City Administration to use HART funds to construct public trails.” Also, the availability of volunteer efforts or matching funds can be considered when the City is selecting trail projects. The details of this program will be worked out administratively, with the City Council approving funds for projects via ordinance.  A sample grant application, and scoring sheet are attached.

Task 6: 1.25 Debt Service Ratio. Staff recommends and the HAPC agreed that this provision should be removed. First, the City pays cash for HART projects because there is a fund balance. Second, this program is only authorized through 2027. The city will not be able to collect sales tax to pay any debt payment after this date (unless voters extend the program).

Further comments from HAPC:

Recommend codifying conservation easement exemptions and project payment mechanism
Request legal review of 17.04.180(a) – is it still valid and current regulation? (Pertains to lots with double frontage).

Staff Recommendations:
1.      Adopt a resolution adopting the revised HART Policy Manual.

Request staff draft an ordinance codifying conservation easement exemptions and project payment mechanism
Request legal review of 17.04.180(a) – is it still valid and current regulation? (Pertains to lots with double frontage).