Tigard City Council and Local Contract Review Board Meeting - January 13, 2026

This was a regular meeting of the Tigard City Council, held on January 13, 2026. The council addressed a range of items including a city manager update on library services, approval of the consent agenda, a presentation on the external financial audit, adoption of council liaison assignments, discussion of the FY27 Mayor and Council budget, adoption of a transient lodging tax (TLT) strategic framework, and approval of a resolution of necessity for the Tigard Street-Fannel Creek Bridge Replacement Project. The meeting began with a statement from the Mayor acknowledging community anxiety regarding federal immigration enforcement activities and affirming the city's commitment to treating all individuals with dignity and respect.

Consent Calendar

• A motion to approve the consent agenda (three contract items: on-call engineer/architecture/related services, on-call water system engineer/hydrogeologist of record, and a contract amendment for bond counsel services) was approved unanimously. Prior to the vote, Council President Wolf asked for clarification on the scale of the on-call engineering contracts; staff confirmed typical task orders range up to $250,000 each, with multiple task orders possible over a five-year term, all budgeted through the capital improvement plan. The Mayor also made a disclosure about a prior professional connection to the law firm under consideration for bond counsel services, but stated it did not affect his ability to participate impartially.

Public Comments & Testimony

• No public comments were received, either in person or by phone/video.

Discussion Items

• City Manager Report: Acting City Manager Trish announced that Tigard Public Library services will move to a temporary location at City Hall starting Friday, February 6th, due to HVAC construction at the library building beginning February 1st. Express services will be available Friday through Sunday, 10 a.m. to 6 p.m., including story times, a browsing collection, Wi-Fi, computers, limited printing, technology help, and account assistance. Library staff can also be reached by phone daily at 503-684-6537. The library is expected to reopen on or before May 1st.
• External Financial Audit Presentation: Keith Simovic, principal at Baker Tilly (formerly Moss Adams), presented the results of the city's 2025 financial statement audit, assisted by Assistant Finance Director Amy McCluck. The audit was completed timely and filed with the state before the December 31st deadline. The city received a clean audit opinion with no material weaknesses or significant deficiencies. Three instances of budget over-expenditures were noted in the Oregon Minimum Standards report, described as the most common such finding. The city successfully adopted GASB Statement 101 regarding compensated absences and implemented two best practice recommendations from the prior year: establishing an allowance for doubtful accounts for utility billing (approximately 140 accounts, under $600,000, out of about 22,000 total) and reviewing IT access for ERP users. The city also received the GFOA Triple Crown Award for its budget document, ACFR, and Popular Annual Financial Report (PAFR), a distinction achieved by only 300 of 90,000 municipalities nationwide (0.3%). Three new best practice recommendations were made, all related to the utility billing module implementation; the finance team has already begun addressing them. Councilmember Schlack asked about the audit committee's involvement; the committee meets twice yearly and includes a council liaison, and Keith Simovic noted that fewer than 50% of his clients have an audit committee, which he considers a valuable governance tool. Councilmember Shaw congratulated the team and suggested highlighting the Triple Crown award on the website.
• Council Liaison Assignments: The Mayor presented proposed council liaison assignments for the new year, based on council preferences and balancing workloads. Councilmembers expressed appreciation for the process and the assignments. The assignments were adopted as presented.
• FY27 Mayor and Council Budget Development: Assistant to the City Manager Nicole Hendrix presented staff recommendations for a 5.1% reduction ($26,220) in the Mayor and Council budget for FY27, which totals approximately $512,000. The recommended reductions include: reducing Tigard Youth Advisory Council travel costs for the National League of Cities Congressional Cities Conference by $2,500 (sending youth only to the youth-focused pre-conference, based on feedback that the full conference was lengthy and less relevant); reducing counselor training budgets by $2,000 each (from $9,000 to $7,000 per counselor, saving $12,000 total); reducing the Mayor's training budget by $6,600 (to $10,000); reducing State of the City event spending from $6,000 to $3,000 (mainly by cutting food costs); and eliminating the "Move with the Mayor" program (saving $1,250). A $5,000 contingency fund was also proposed but drew mixed feedback. Council discussion: Councilmember Schlack supported the 5.1% reduction but preferred a 10% cut to match reductions asked of other departments. Councilmember Robbins noted the Mayor's training budget was not reduced in the prior year and supported seeking additional savings, possibly from the Mayor's innovation project line. Councilmembers Shaw, Anderson, and Council President Wolf supported 5.1% as a floor but expressed interest in finding more savings. The $5,000 contingency fund was not supported by a majority (Councilmembers Schlack, Robbins, Shaw, and Anderson opposed; Council President Wolf was neutral; Councilmember Kuducy supported it). Staff clarified that 5.1% was a reduction of discretionary items, not the entire budget, and that departments are being asked to prepare for a 10% reduction in general fund utilization. The council gave direction to proceed with the 5.1% reduction and to look for additional savings. The contingency fund was not adopted.
• Transient Lodging Tax (TLT) Strategic Framework Adoption: Economic Development Manager Holler and EcoNorthwest Project Director Mag Craig presented the final TLT strategic framework for adoption. The framework is designed to guide the use of the 70% of TLT revenue that must be reinvested in tourism promotion or tourism-related facilities (the other 30% goes to city services). The three expenditure priority categories are: 1) Promotion and Marketing (highest priority), 2) Destination Improvements, and 3) Events and Entertainment. The framework also includes the establishment of a TLT Administrative Committee (composed of the Finance Director, Community Development Director, Economic Development Manager, City Attorney, and a grant committee representative) to evaluate eligibility of funding requests against state rules and the framework's criteria, ensuring legal compliance and strategic alignment. The committee would not make final funding decisions—budget authority remains with the council—but would provide a preliminary eligibility review. Council discussion: Council President Wolf asked about community/outside group involvement; staff clarified the committee is internal for administrative review, but community partners (e.g., Chamber of Commerce, Explore Tualatin Valley) would continue to be engaged for their expertise and as potential applicants. Councilmember Robbins expressed concern about adding workload to already busy staff, but staff responded that preventing incorrect allocations is less time-consuming than correcting them. Councilmember Shaw raised the absence of community partner voices on the committee; staff noted the committee is not the sole venue for input and that partnerships will be considered during evaluation. Councilmember Kuducy asked if the framework includes active event recruitment; staff clarified that is a separate economic development work plan item. Councilmember Schlack emphasized the framework's value in unlocking TLT funds beyond small grants, justifying the tax. The resolution (No. 26-02) was approved unanimously.
• Resolution of Necessity for Right-of-Way and Easement Acquisition for Tigard Street-Fannel Creek Bridge Replacement Project: Senior Project Engineer Zach Morris presented the resolution of necessity, which is a standard step for property acquisition. The project is in final design and nearing construction. It requires easements from four private properties (temporary construction easements for all, permanent easements for slopes/drainage/utilities on two properties, and expansion of public right-of-way on one property for the bridge itself). Staff have had positive discussions with property owners and do not anticipate needing eminent domain, but the resolution would allow it if negotiations reach an impasse. Councilmember Kuducy asked about objections from landowners; staff reported none to date. The resolution (No. 26-03) was approved unanimously.

Key Outcomes

• Consent Agenda: Approved unanimously.
• Council Liaison Assignments: Approved as presented.
• FY27 Mayor and Council Budget Direction: Council directed staff to proceed with a 5.1% reduction ($26,220) as a floor, with interest in further savings. The proposed $5,000 contingency fund was not adopted.
• TLT Strategic Framework: Resolution No. 26-02 adopting the framework was approved unanimously.
• Resolution of Necessity for Bridge Project: Resolution No. 26-03 was approved unanimously.
• The meeting was adjourned without executive session.