Sue Tanner

HE contracting ordinance

July 15, 2004

Version #: I

ORDINANCE

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AN ORDINANCE relating to the Office of Hearing Examiner; adding a new subsection to Chapter 3.02

of the Seattle Municipal Code authorizing the Hearing Examiner to provide hearing examinerservices to other public entities and to accept compensation for those services for deposit into the

General Subfund.

WHEREAS, the Office of Hearing Examiner's caseload is determined entirely by factors outside the

Office's control and fluctuates widely; and

WHEREAS, the Hearing Examiner would like to try to stabilize the caseload, and thus the work of the

Examiner and Deputy Examiner, at a high level, through contracting to provide hearing services

with several smaller jurisdictions; and

WHEREAS, no additional staff or payment of overtime would be required for the Office of HearingExaminer to provide contract hearing services, as only salaried employees would perform the

extra work; and

WHEREAS, compensation received from contracts for the Office of Hearing Examiner's services

would defray some of the costs of maintaining the Office;

NOW, THEREFORE,

BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:

Section 1. A new subsection is added to Section 3.02.120 of the Seattle Municipal Code as

follows:

3.02.120 Powers of Hearing Examiner.

C. Using resources provided in the annual budget for the normal operation of the Office ofI

Hearing Examiner, the Hearing Examiner ingy provide hearing examiner services to other public entities

not likely to Upear before the Hearipg Examiner in C~y of Seattle matters. The Hearing Examiner is

authorized, on behalf of the Ci1y and without further ordinance, to enter into one or more contracts with

other public entities, whether pursuant to RCW 39.34.080 or otherwise, under which the Hearing

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Examiner will provide, and the City of Seattle will be compensated for, those services. Before enteripg

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Sue Tanner

HE contracting ordinance

July 15, 2004

Version#: I

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into M contract under this subsection, the Hearing Examiner shall obtain the advice of the City

Attorney and the Risk Manager as to the contract's provisions for liabili1y and indemnification. The

coMpensation called for in each contract shall be established by the Hearing Examiner as he'or she

deems qppropriate in each instance, but shall alwgys be designed, at a minimum, to recover the Hearjag

Examiner's marginal costs of performing the services. The Hearing Examiner is authorized.jo accept all

monetary coMpensation received under these contracts for deposit in the General Subfund.

Section 2. This ordinance shall take effect and be in force thirty (30) days from and after its

approval by the Mayor, but if not approved and returned by the Mayor within ten (10) days after

presentation, it shall take effect as provided by Municipal Code Section 1,04.020.

Passed by the City Council the /0--day of 12001, and signed by me in open session

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in authentication of its passage this day of

Filed by me this,~~L-"~Vay of

Seal)

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Sue Tanner:

Fiscal Note - HE contracting ordinance

July 15, 2004

Version #: I

FISCAL NOTE FOR NON-CAPITAL PROJECTS

D partment: Contact Person/Phone: DOF Analyst/Phone:

Hearing Examiner Sue Tanner/684-0703 Janet Credo/684-8687

Legislation Title: AN ORDINANCE relating to the Office of Hearing Examiner; adding a newsubsection to Chapter 3.02 of the Seattle Municipal Code authorizing the Hearing

Examiner to provide hearing examiner services to other public entities and to! accept

compensation for those services for deposit into the General Subfund.

0 Summarer,-y

of the Legislation: This Council Bill authorizes the Hearing Examin'

using budget resources, to contract with other jurisdictions to provide hearing

examiner services at cost, with revenue generated going to the General Subfund.

Background: The Office of Hearing Examiner's caseload is determined entirely by

factors outside the Office's control and fluctuates widely. Statistics for the last ton

years show that the number of cases filed can increase or decrease by 15% to 70%each year. The Hearing Examiner would like to try to stabilize the caseload, and thus

the work of the Examiner and Deputy Examiner, at a high level through contracting to

provide hearing services with several smaller jurisdictions. No additional staff or

payment of overtime would be required, as only salaried employees would increase

their hours to cover the work.

Please check one of the following:

This legislation does not have apA financial implications. (Stop here and delete

the remainder of this document prior to saving andprinting.)

X- This legislation has financial im]21ications. (Please complete all relevant

sections thatfollow.)

Appropriations: (Please only reflect the dollar amount actually appropriated by this

legislation)

Fund Name and

NumberDepartment Budget Control

Level*

2004

Appropriation

2005 A#ticipated

Apprdpriation

TOTALThis is line o businessfor operating budgets, andprogram or projectfor capital!f

improvements

Notes: Any appropriations will be made in the 2005 budget.

Sue Tanner:

Fiscal Note - HE contracting ordinance

July 15, 2004

Version #: I

Antic~eated Reven yelReinthursement: Resulting From This Legislation:

Fund Name and Department Revenue Source 2005 2 0

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Number Revenue RevenueGeneralFundOlOO HearingExaminer Interlocal $30,000.00 $35.000~100

BCL: V1XOO Contracting

TOTAL,

$30,00 .00 $35,00poNotes:

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Total RfLular Positions Created Or AbLegated Throuah This Legislation, Includina

FTE LiMpact:

Position Title* Part-Time/

Full Time

2003

Positions

2003

FTE2004

Positions"

2004

TOTAL

" Fund Name and Number:

" Department:

List each position separately

2004 positions and FTE are total 2004 position changes resultingftom this

legislation, not incremental changesftom 2003.

* Do positions sunset in the future? (Ifyes, identify sunset date):

g_ or allSpendin lCash Flow: (Please complete this section only in those cases where part

of the funds will be spent in a different year than when they were appropriated (e.g., ias in

the case ofcertain grants and capital projects)

Fund Name and

NumberDepartment Budget Control

Level*

2005

Expenditures

2006 A ticipated

Expe'ditures

TOTAL* This is line o businessfor operating budgets, andprogram orprojectfor capital

improvements

Notes: Any appropriations and anticipated expenditures will be reflected in the 2005

budget.i

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Sue Tanner:

Fiscal Note - HE contracting ordinance

July 15, 2004

Version #: I

What is the financial cost of not implementing, the legislation? There is a certain

minimumlevel of fixed costs associated with maintaining an administrative hearing

office. If this legislation is not implemented, the City will forego the opportunity of

having the Office of Hearing Examiner attempt to recover some of those costs for the

city.

0 What are the possible alternatives to the legislation that could achieve the S~ mor similarobiectives? NA

0 Is the leeislation subject to public hearing requirements: No

Other Issues The Council Bill will provide the Office of Hearing Examiner the

opportunity to market its services to smaller jurisdictions at competitive rates. If

OHE is successful in obtaining outside contracts for hearing services, the contract

work would maximize use of the Office's resources while generating revenue for the

general ftind, thereby defraying some of the costs of maintaining the Office.i

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City of Seattle

Office of Hearing ExaminerSue Tanner, Hearing Examiner

Anne Watanabe, Deputy Hearing Examiner

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July 15, 2004

Honorable Jan Drago

President

Seattle City Council

CH 02-10

Dear Council President Drago:

I am pleased to transmit the attached proposed Council Bill that authorizes the Hearing Examine~

to enter into contracts to provide hearing examiner services to other jurisdictions. The Examine~is to provide these services with existing staff, and the revenue generated will go to the General

Fund. To enable the Examiner to be competitive in marketing its services, the rate to be~~ charged

is left to the Examiner's discretion so long as it covers the marginal costs '6f performing the wort.

Services are to be provided only to public entities that, are not likely to appear as a party in the

Examiner's hearings for the City. The Examiner is to obtain the advice of the City Attorney and~

Risk Manager as to each contract's provisions on liability and indemnity, but a separate ordinancefor each would not be required.

The Office of Hearing Examiner's caseload is determined entirely by factors outside our control

and fluctuates widely. Statistics for the last ten years show that the number of cases filed canincrease or decrease by 15% to 70% each year. Thus, while it is essential to maintain our

existing, core staffing level (4.7 FTEs), I would like to try to maximize use of our resources. Tostabilize the caseload (and thus the Deputy Examiner's and my work) at a high level, we propose

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to contract to provide hearing services to several smallerjurisdictions. No additional staff or

payment of overtime would be required, as the Deputy Examiner and I are both salaried:

employees. We intend to contract with agencies that have an established hearing examiner

support system and require only an outside examiner to step into it.

This Council Bill will provide the Office of Hearing Examiner the opportunity to market its

services to smaller jurisdictions, at a competitive rate, and the contract work would maximize useof the Office's resources while generating revenue for the General Fund. Thank you for

considering this legislation. Should you have questions, please contact me at 684-0703.

Sincerely,

Sue A. Tanner

Hearing Examiner

618 Second Avenue, Alaska Building, Room 1320, Seattle, WA 98104-2222

Tel: (206) 684-0521, Fax: (206) 684-0536., www.cityofseatte.pet/examiner

Anequal einployment opportunity, affmative action employer. Reasonable accommodations upon request.

STATE OF WASHINGTON - KING COUNTY--sS.

176233 No. ORDINANCE IN FULLCITY OF SEATTLE,CLERKS OFFICE

Affidavit of Publication

The undersigned, on oath states that he is an authorized representative of The Daily Journal of:

Commerce, a daily newspaper, which newspaper is a legal newspaper of general circulation and it is nowand has been for more than six months prior to the date of publication hereinafter referred to, published i

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nthe English language continuously as a daily newspaper in Seattle, King County, Washington, and it is nowand during all of said time was printed in an office maintained at the aforesaid place of publication of thi

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newspaper. The Daily Journal of Commerce was on the 12'h day of June, 1941, approved as a legal

newspaper by the Superior Court of King County.

The notice in the exact form annexed, was published in regular issues of The DailyJournal of Commerce, which was regularly distributed to its subscribers during the below stated period.The annexed notice, a

CT: 121562 ORD IN FULL

was published on

8/27/2004

Subscribed and sworn to before me on

8/27/2004

Notary public for the~ State of Washington,

residing in Seattle

State of Washington, King County

C7-

of Seattleof~S_ea~fl_ORDINANCE 121562

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