Farris retires… Chamber presents quarterly report and looks at future

by Richard Uhlhorn

City Administrator retirement:
City Administrator Wade Farris attended his last official city meeting at the Tuesday evening City Council meeting. He was praised for his six years of service to the community.

After six years of service as the City’s administrator, Wade Farris has retired. His position will be filled by one of three candidates in the near future.

Farris’ accomplishments included guidance on infrastructure development, Chean Airport business which is still ongoing with negotiations with the Port.

“Wade has had a remarkable career and leaves a lasting impact on the community,” said Mayor Erin McCardle.

Farris was honored with a retirement party at Wheatland Bank on Wednesday evening where an estimated 50 City staff, councilmen, business owners, other agency personnel and friends gave him a send off.

Farris will continue to help the city’s new administrator get settled.

Special Presentations:
Mayor McCardle read several proclamations into the record including one for First Responders. Public Works personnel respond to emergencies throughout the year, but in particular, during wildfires and other natural disasters. She stated the importance of Public Works and other emergency first responder services and declared October 28 First Responders day.

Mayor McCardle also read into the record the annual Arbor Day Proclamation

Chamber Update:
Lake Chelan Chamber of Commerce Executive Director Mike Steele was on hand to give is quarterly report on chamber activities.

Executive Director Michael Steele presented the City Council with the Lake Chelan Chamber of Commerce’s quarterly report.

He started his presentation by saying, “We are very proud of the work that we do.” Steele has been the chamber director for 20 years.

He explained that the chamber is funded through the City’s 3% bed tax, Chelan County tourism dollars, membership dues, sponsorships and advertising.

Steele also reminded the council that the chamber is not just handed $750,000 from the city, but that it has to pay out-of-pocket expenses from Chamber funds and/or its Line of Credit after which they can request payment from the city after it has reviewed the warrants. “We don’t get a check,” said Steele. “We have to pay up front.”

A number of business owners came the Council meeting on October 28 to support the Chamber.

Steele presented the chamber’s marketing strategy and what it plans on doing this winter. Obviously, the chamber will be advertising its Winterfest event but Steele also mentioned doing more with Echo Valley and Echo Ridge.

The Chamber sends out weekly and monthly news to its members and others. “We send out 30,000 monthly updates.”

“There is always a lot of conversations about community building,” said Steele. McCardle stated that the chamber’s efforts have been successful.

Zoning Code Amendment – co-living and ADUs:
Community Development Director John Ajax led a public hearing on the State mandated Growth Management Act (GMA) changes.

The updates to the Chelan Municipal Code are intended to increase housing options and affordability. The new regulations for co-living housing and a mandated requirement for cities to allow at least two ADUs on all lots zoned for single family homes.

Tim Hollingsworth said he hoped the new requirements will inspire more living opportunities for the community’s citizens. Mark Ericks feels it will be a positive move but still has issues with parking. Jon Higgins asked about square footage which is 1,200 sq. ft. per ADU. Ajax said, “They can’t go below 1,000 sq. ft.” Terry Sanders echoed Erick’s comment about parking and wondered how it may affect parking.

There were no public comments.

Motion Considerations:
                A. – Lake Chelan Airport Joint Operating Agreement entered into its seventh amendment. City Administrator Farris stated that the Port wants to extend the negotiations to December 31. “We are pretty close to an agreement,” said Farris. The current JOA expires on October 31.

                B. – The council unanimously approved a $53,100 prosecution agreement that is based on the $300.00 per case rate from previous years.

                C. – The council approved an expenditure of $53,600.00 Cascade Heating to replace two existing rooftop heating, ventilation and air conditioning units at City Hall and the Sheriff’s Office. “It costs a lot of money,” said Farris. “But in the long run it will save us money.”

                D. – Z Electric LLC Bid was accepted by the council to retrofit and upgrade the existing lighting systems to high efficiency LED technology at City Hall, the Library, 100 Building, the Water Treatment Plant, and the Wastewater Treatment Plant

The goal is to reduce energy consumption, lower operating costs, and improve lighting quality. This project will take advantage of the Chelan PUD’s Energy Efficiency Rebate Program.

                E. – City Council unanimously approved a not to exceed $125,630 Additional Services Addendum (ASA) to Ardurra Group Inc. to provide the scope and fee for the completion phase of the SR150 Sewer Main Replacement Project. The following additional services are as follows: 1. Project Coordination; 2. Design Services; and 3. Bid Support.

                F. – Transpo Group has been approved by the City Council to help with the 2026 Comprehensive Plan Update. Transpo Group will provide project management, coordination and engagement, existing conditions inventory, travel forecasts and needs, plan development, and implementation at a cost of $125,000+.

Brad Chitty remarked that it is a pretty small scale of what they are looking at. City Engineer Travis Denham said. “We are looking at Manson’s population growth.” Mayor McCardle added that the Woodin Avenue Bridge project has been separated from this project.

Chitty said if the bridge is not a part of the project, is it being taken into account. Denham replied that the bridge will end up operating as a one-way or two-way.

                G & H – PUD Interlocal Agreements. Denham reported that the PUD and City are entering into Interlocal Agreements to discharge wastewater from Chelan Falls PUD Park, Powerhouse Park and the Chelan Falls Fish Hatchery to the City’s Wastewater Treatment Plant.

In addition to the discharge the City and PUD have worked out a Lift Station No. 1 Project Contribution to improve that aesthetic and architecture components at the site which is located at the northeast end of Riverwalk Park. The council approved the Mayor to finalize

Construction on the Lift Station will begin in the summer of 2026.

                2025 Finance Qtr. Three report:
                In-coming Finance Director Heidi Neal Evans reported that sales taxes are lower and lower while city expenditures are increasing. “It is a perfect storm, if you will,” she told the council. As of September, sales tax revenue totaled $1,871,817 compared to 2024’s revenue of $1,982,343, a decrease of $110,526. With early fall collection months remaining Evans reported that the City is on pace for a budget expectation of $2,517,881 by the end of the year.

Councilman Brad Chitty said that there are a lot of cause and effects to seeing shortfalls. “Part of my job is to look at these things,” said Chitty. He added that it might be time to make some hard decisions like adding fee schedules for public works and the possibility of adding utility costs to customers.

Evans did report that park revenues are up over last year. Parks revenue over all departments was at $4,206,284 at the end of September.

Evans also reported that wages have increased from $5,400,000 to $10,423,000 over the past five years.

Overall lodging tax (2% and 3%) revenues are also on track to exceed the 2025 budget expectations.

                Boys & Girls Club MOU:
Communications Director Chad Coltman reported to Council that there has been no change to the Memorandum of Understanding with the Boys and Girls Club which is a two year partnership between the City and the Club to provide year-round recreational sports and a youth development programs for Chelan kids aged 5 to 18.

The City’s annual contribution is $45,000 and is included in the 2026 budget. The decision to continue will be addressed at the next City Council workshop.

                2025 Parks Communication Plan:
Assistant Parks Director Audrey Cooper reported in Director Paul Horne’s absence that a lot of effort went into the 2025 communications plan. “The security team provided daily reports to us,” said Cooper. Out of 1,000 security contacts at the City’s parks, Cooper reported that only three instances required Chelan County Sheriff intervention.

With Paul Horne’s resignation as director of the Parks Department, his assistant director Audrey Cooper will assume the position as interim director for the rest of the year.

The City’s parking enforcement staff cited 3,000 vehicles throughout the summer months.

This is a visitor distribution map for both Don Morse Park and Lakeside Park showing where they came from over the summer months based on cell phone data.

Mayor McCardle remarked from the parks attendance data, that the activity at Lakeside Park changed dramatically. “It became family friendly and the BBQ crowd moved to other areas.”

                Administration reports:
City Engineer Travis Denham told the Council that the Lakeside Trail contractor is in the paving mode of the construction and hopes the weather will cooperate so it can be finished up.

Assistant Parks Director Audrey Cooper told council that the Lakeside Park renovation is on schedule.

City Administrator Wade Farris remarked that he has had a remarkable life and career. He also said ending up in Chelan as his last stop has been a pleasure. “The council and mayor have been incredibly involved.”

                Mayor/Council comments:
Terry Sanders asked Denham if there would be any more traffic controls on the Lakeside Trail construction. Denham replied that there might be a couple of hours, but essentially traffic control will end when the paving is complete. Sanders also mentioned that difficult discussions will have to be made during the upcoming budget hearings.

The rest of the council members all congratulated Wade Farris on his tenure and retirement. Mark Ericks thanked him for his service to the country and the city.

Mayor McCardle reminded the council that a workshop would be conducted on the 11th and the final budget hearing on December 9.

She then told Farris that she couldn’t say enough about his service to the city. “Your leadership is exceptional and you are leaving this place a better place then when you arrived. You will be missed.”

She then congratulated councilman Brad Chitty for receiving his advanced certification from the Association of Washington Cities.

NOTE: Parks Director Paul Horne has tendered his resignation and in his absence from the department, Audrey Cooper will serve as the interim director through the rest of the year.

CHELAN CITY COUNCIL APPROVES NEW CONTRACTS

by Richard Uhlhorn

Capital Path LLC – lobbyist
City Administrator Wade Farris stated that John Culton has done an exceptional job as the City’s lobbyist. “It has been well worth it,” stated Farris.

The motion was to accept a new contract with Culton under his new name, Capital Path LLC at a monetary figure of $4,000 per month. Culton’s job as a lobbyist has been to facilitate contacts and relationships with senators, congresswomen and their staffers, hopefull leading to significant grant opportunities in the near and far future.

Tim Hollingsworth asked if the city’s grant consultant, Ms. Noble was doing the same job. Farris replied that Culton works on a federal level while Noble works with the state legislative body. “Just making sure we are not double-dipping,” said Hollingsworth.

Chelan County Sheriff’s agreement:
Farris reported that the City and Chelan County have negotiated a new Interlocal Law Enforcement Agreement starting on January 1, 2026 and lasting until December 31, 2029.

Under this agreement, the Sheriff’s Office will serve as the City’s law enforcement department providing 24/7 patrol coverage with a minimum of 6.33 full-time deputies, This agreement includes marine patrol duties during the summer months, 208 hours of foot patrol, investigative and special operations support, dispatch through RiverCom and annual planning for city priorities.

The cost of these services are, $1.72 million in 2026, increasing to $1.94 million in 2029 plus RiverCom costs. The City continues to rent office space to the Sheriff’s department at a cost of $14,800 to $16,700 over the three year term.

Construction management – Sewer Lift Station No. 3:
KRCI, LLC has been awarded the construction contract for the Sewer Lift Station No. 3 and has requested that RH2 Engineering provide them a scope of work. RH2 will also be providing construction management services for this project at a cost of $40,000.

Sanders Street Pedestrian Improvements:
Public Works Director Jake Youngren reported that the local agency agreement with the Department of Transportation (DOT) has been updated to reflect actual expenditures and more detailed cost estimates before going to bid. The three project phases include design, right-of-way and construction.

Youngren told the council that the project costs have increased. The City originally committed to a contribution of $82,000. It has now bloomed to approximately $ $200,000 with additional funding from the Transportation Improvement Board – $100,000 and $66,000 from Link Transit. The additional city funds will be added as a part of the 2025 Budget Amendment No 2.

Youngren stated that the project includes additional stormwater work.

Temporary Construction Permit – Lakeside Trail Project:
City Council unanimously approved Temporary Construction Easements for the Lakeside Trail Project with Bulandet Properties, LLC and Sunniford Properties, LLC. The City, in coordination with its legal counsel and Tierra Right-of-Way Servies have secured temporary easement rights for two Woodin Avenue properties at 1228 W. Woodin and 1230 W Woodin  at a cost of $7,200 and $9,600 respectively. “The reason this is important is the differences in elevation between the properties and the project,” Youngren stated.

In other business:

Administrative reports:
The Finance Department reported that additional funds were added to:

 Administration for City Admin Recruitment and CivicPlus Media/Agenda
Management software
 Finance for ClearGov renewal; additional training expenses for incoming
Finance Director and final 2022 & 2023 Audit Costs
 Legal Services for City Attorney and Conflict Counsel Reserve
 Wellness Physical Fitness Reimbursements
 Human Resources Benefits adjusted to reflect actuals
 Facilities were adjusted to reflect reallocation of staff and repairs &
maintenance of facilities|
 Communications subscription for Placer.AI
 Public Safety Services to reflect 2025 contract|
 Community Development had increases for Comp plan and reallocation of
funds between Building and Planning departments
 Parks Operating revenues were adjusted to reflect increase in parking fines,
insurance reimbursements, and golf course fees
Additional expenses related to the irrigation pump failure such as wages, overtime and pump parts
 Development deposits beginning fund balance was redistributed to individual accounts
 Capital Improvement received funds from City Hall Facility Professional
Services-Audit & Assessment
 Parks Capital moved money from Lakeside Park Golf Maintenance Other Improvements Irrigation System
 Recycle Insurance Recovery for Recycle Center
Reductions were made in the following areas:
 City Hall Facility Audit & Assessment funds were moved to Capital improvement Facility Projects to cover unforeseen repairs and maintenance of the city facilities
 Public Safety contracts funds were removed from old contracts that have not been utilized
 Parks Capital Lakeside Park funds were moved to Golf Maintenance Other Improvements Irrigation System
 Water & Sewer Capital funds were adjusted to reflect project costs and/or updated estimates

ADU Code Update:
Community Development Director John Ajax gave the council a brief overview of the new state requirements regarding Additional Dwelling Units that are being added to the City’s comprehensive plan.

The plan allows for up to two ADUs on a residential lot of 1,000 sq. ft., however, Ajax said the City will bump that square footage to 1,200 sq. ft. “We continue to work on Chelan housing issues,” said Ajax. For complete information on this issue go to the city’s code at Additional Dwelling Unit (ADU) Chelan Municipal Code (CMC) Update – AB AB 2025-063

Tim Hollingsworth asked Ajax if it was possible to limit ADUs under the code for STRs. Ajax said the city would work around that issue.

PUD/Chelan Interlocal Agreements:
Jake Youngren reported on agreements being sought with Chelan County PUD for Fish Hatchery Discharges to the Sewer Treatment Plant and the PUDs contribution to the Lift Station #1 Project Contribution.

“We are working with the PUD on a couple of different projects,” said Youngren. He reported that the city is working on the $750,000 Lift Station project with the PUD. “We want them to be very involved in this project.”

As for the fish hatchery discharge, Youngren explained that an agreement would only be for several months during hatchery operations and would only involve about 200 gallons per day. He said the City would charge a one-time fee of $3,000.

Other entities would be charged 1.5 times the going rate for the Lake Chelan Reclamation District and South Shore Sewer District, both of which have a long standing agreement to discharge their effluent to the sewer treatment plant.

HDCA funding agreement:
The City and the Historic Downtown Chelan Association (HDCA) have developed a funding agreement to support the placement of sixteen (16) Big Belly garbage cans in downtown Chelan.

The City will purchase, own, and operate the units. HDCA will reimburse the City for the full purchase cost upon invoice, ensuring no net cost to the City.

Key Terms:

 · Purchase & Ownership: The City will procure and maintain the garbage cans

· Funding: HDCA will reimburse the City for 100% of the cost following invoicing

· Branding: HDCA may add its logo to the units at their own expense

· Agreement: Establishes the partnership and outlines the responsibilities of both parties

Link Transit agreements:
Youngren reported on an agreement with Link Transit for related improvements regarding Link’s contribution to the following city projects:
1. Lakeside Trial Project – $296,853
2. Sanders Street Pedestrian Improvements Project – $66,297.50
3. Woodin Avenue and Center Street Pedestrian Improvements Project – $94,340.94

City Department Reports:
Finance Director Jacki Tupling reported that the department is getting ready for the fall budget hearings
Parks Director Paul Horne reported that the department is working on its rate resolution for the September 23 City Council meeting.
Community Development Director John Ajax reported that his department is looking at Short Term Rentals. “We have a number of those but there is nothing extraordinary.” He also said the department is working with the County on STRs.
City Administrator Wade Farris told the Council that advertisements went out in search or potential city administrator applicants. “We will choose who we want to interview by the third or fourth of October.

The next City Council meeting will take place on Tuesday, September 23 beginning at 5:15. The public is encouraged to attend.