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HomeMy WebLinkAboutTrans 2009-10-05 Item 3B - Ordinance - Tukwila Urban Center Access (Klickitat) Local Improvement District FormationCity of Tukwila TO: Mayor Haggerton Transportation Committee FROM: Public Works Director DATE: October 1, 2009 1wlnonf A "1"1"R1 A I 11/11 =nnnio A Al111 IAA IIYrJIUVIIt 1 I JI'4I L 1111G1111V(\M1 vvIMM SUBJECT: Tukwila Urban Center Access (Klickitat) Proiect Project No. 84 -RW19 Ordinance to Form Local Improvement District (LID) ISSUE Ordinance to Form LID #33 for the Tukwila Urban Center (TUC) Access Project. Attachments: Ordinance to Form Local Improvement District #33 Project Schedule W: \PW Eng \OTHER \Cyndy Knighton \KlickitatlINFORMATION MEMO LID Ordinance to Form LID #33 10- 1- 09.doc Jim Haggerton, Mayor BACKGROUND In 2005, the Transportation Improvement Board (TIB) informed the City that in order to be competitive for TIB grant funding, formation of an LID was strongly recommended. In response to the TIB, the City began taking steps toward forming an LID as part of the overall project funding. The City has pursued No- Protest Agreements from property owners as development has occurred. These agreements state that the property owner will not protest the formation of an LID for the TUC Access (Klickitat) Project. The property owner can protest the Final Assessment Roll amount. No- Protest Agreements have been signed by Westfield Mall and Wig Development. Invitations for two Open Houses on this topic were sent to all property owners, property managers and businesses within the LID area. The Open Houses were held on August 28, 2009 and September 3, 2009. Resolution No. 1690 for the Intent to Form a Local Improvement District was presented to City Council on September 21, 2009 and was approved unanimously. Notices were sent to all property owners of record on October 1, 2009 and included the preliminary assessment amount for each property within the LID boundary. The preliminary assessments were based on the Preliminary Assessment Roll which was presented at the Public Hearing on September 21, 2009. DISCUSSION Forming an LID involves many different steps that must be taken in very specific order and adhere to very specific notification schedules. The first step was adoption of a Resolution of Intent to Form a Local Improvement District. The next step is for Council to hold a second Public Hearing, scheduled for October 19, 2009, to consider adopting the Ordinance to Form an LID. Without the LID, the funding package for the TUC Access project is incomplete. Without the rest of the funding in place, over $8 million in awarded grants will become unavailable for use and returned to the granting agency. Projects unable to go to construction this or next year will have their funding cancelled. Additionally, over $2.5 million in impact fees already collected for this project may need to be refunded. RECOMMENDATION The Council is being asked to approve the Ordinance to Form an LID for the TUC Access (Klickitat) Project and consider this item at the October 12, 2009 Committee of the Whole Meeting and subsequent October 19, 2009 Regular Meeting for a Public Hearing and approval. W: \Word Processing Ordinances \Klickitat LID No 33.doc SV:ksn 09/30/2009 Do kr-7 Li AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, ORDERING THE IMPROVEMENT OF URBAN ACCESS FOR THE SOUTHCENTER AREA, WITHIN THE CITY, ALL IN ACCORDANCE WITH RESOLUTION OF INTENTION NO. 1690; ESTABLISHING THE KLICKITAT LOCAL IMPROVEMENT DISTRICT (LID NO. 33) AND ORDERING THE CARRYING OUT OF THE PROPOSED IMPROVEMENT; DESCRIBING THE METHOD OF ASSESSMENT; PROVIDING THAT PAYMENT FOR THE IMPROVEMENT BE MADE BY SPECIAL ASSESSMENT UPON THE PROPERTY IN THE DISTRICT, PAYABLE BY THE MODE OF "PAYMENT BY BONDS AND PROVIDING FOR THE ISSUANCE AND SALE OF LOCAL IMPROVEMENT DISTRICT WARRANTS OR OTHER SHORT -TERM OBLIGATIONS REDEEMABLE IN CASH AND LOCAL IMPROVEMENT DISTRICT BONDS; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, by Resolution of Intention No. 1690, adopted on September 21, 2009, the City Council of the City of Tukwila, Washington, declared its intention to order the improvement of urban access for the Southcenter area, within the City; and October 19, 2009, at the City Council Meeting beginning at 7:00 p.m., local time, at Tukwila City Hall, 6200 Southcenter Boulevard, Tukwila, Washington, is fixed as the time and place for hearing all matters relating to the proposed improvement, method of assessment, and all objections thereto, and for determining the method of payment for the improvement; and WHEREAS, the Public Works Director caused an estimate to be made of the cost and expense of the proposed improvement and certified that estimate to the City Council, together with all papers and information in his possession touching the proposed improvement, a description of the boundaries of the proposed Local Improvement District (the "District and a statement of what portion of the cost and expense of the improvement should be borne by the property within the proposed district; and WHEREAS, that estimate is accompanied by a diagram of the proposed improvement showing thereon the lots, tracts, parcels of land, and other property that will be specially benefited by the proposed improvement and the estimated cost and expense thereof to be borne by each lot, tract and parcel of land or other property; and WHEREAS, due notice of the above hearing was given in the manner provided by law, and the hearing was held by the City Council on the date and at the time above mentioned, and objections to the proposed improvement were heard; and WHEREAS, all objections to the proposed improvement and /or method of assessment have been duly considered by the City Council, and all persons appearing at such hearings and wishing to be heard were heard; and WHEREAS, the City Council has determined it to be in the best interests of the City that the improvement as hereinafter described be carried out and the District be created in connection therewith; Page 1 of 5 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. The City Council of the City of Tukwila, Washington, orders the construction of improvements to urban access for the Southcenter area as described in Exhibit A attached hereto and by this reference incorporated herein. All of the foregoing shall be in accordance with the plans and specifications therefore prepared by the Public Works Director, and may be modified by the City Council as long as such modification does not affect the purpose of the improvement. Section 2. There is created and established a local improvement district to be called Local Improvement District No. 33, of the City of Tukwila, Washington (the "District the boundaries of the District being more particularly described in Exhibit B attached hereto and by this reference incorporated herein. Section 3. The total estimated cost and expense of the improvement is declared to be $10,500,000.00, a portion of the costs and expense shall be borne by and assessed against the property specially benefited by the improvement included in the District, which embraces as nearly as practicable all property specially benefited by such improvement. Section 4. In accordance with the provisions of RCW 35.44.047, the City may use any method or combination of methods to compute assessments, which may be deemed to fairly reflect the special benefits to the properties being assessed. Section 5. A. Local improvement district warrants may be issued in payment of the cost and expense of the improvement herein ordered to be assessed, such warrants to be paid out of the Local Improvement Fund, District No. 33, hereinafter created and referred to as the Local Improvement Fund and, until the bonds referred to in this section are issued and delivered to the purchaser thereof, to bear interest from the date thereof at a rate to be established hereafter by the City Finance Officer, as issuing officer, and to be redeemed in cash and /or by local improvement district bonds herein authorized to be issued, such interest bearing warrants to be hereinafter referred to as "revenue warrants." In anticipation of the issuance of bonds to finance the cost and expense of the improvement herein ordered to be assessed, the City may provide by ordinance for the issuance of short -term obligations pursuant to Chapter 39.50 RCW or may (without the need for additional Council action) utilize one or more interfund loans. If the City authorizes expenditures to be made for these improvements (other than for any cost or expense expected to be borne by the City) prior to the date that any short -term obligations or local improvement district bonds are issued to finance the improvement, from proceeds of interfund loans or other funds that are not and are not reasonably expected to be reserved, allocated on a long -term basis, or otherwise set aside to pay the cost of the improvement herein ordered to be assessed against the property specially benefited thereby, the City declares its official intent that those expenditures, to the extent not reimbursed with prepaid special benefit assessments, are to be reimbursed from proceeds of short -term obligations or local improvement district bonds that are expected to be issued for the improvement in a principal amount of approximately $10,500,000.00. B. The City is authorized to issue local improvement district bonds for the district that shall bear interest at a rate, and be payable on or before a date, to be hereafter fixed by ordinance. The bonds shall be issued in exchange for and /or in redemption of any and all revenue warrants issued hereunder or other short -term obligations hereafter authorized and not redeemed in cash within 20 days after the expiration of the 30 -day period for the cash payment without interest of assessments on the assessment roll for the District. The bonds shall be redeemed by the collection of special assessments to be levied and assessed against the property within the district, payable in annual installments, with interest at a rate to be hereafter fixed by ordinance under the mode of W:\ Word Processing \Ordinances \Klickitat LID No 33.doc SV:ksn 09/30/2009 Page 2 of 5 "payment by bonds" as defined by law and the ordinances of the City. The exact form, amount, date, interest rate and denominations of such bonds shall be hereafter fixed by ordinance of the City Council. Such bonds shall be sold in such manner as the City Council shall hereafter determine. Section 6. In all cases where the work necessary to be done in connection with the making of said improvement is carried out pursuant to contract upon competitive bids (and the City shall have and reserves the right to reject any and all bids), the call for bids shall include a statement that payment for such work will be made in cash warrants drawn upon the Local Improvement Fund. Section 7. The Local Improvement Fund for the District is created and established in the office of the Finance Director. The proceeds from the sale of revenue warrants or other short -term obligations drawn against the fund that may be issued and sold by the City, and the collections of special assessments, interest and penalties hereon, shall be deposited in the Local Improvement Fund. Cash warrants to the contractor or contractors in payment for the work to be done by them in connection with the improvement and against cash warrants in payment for all other items of expense in connection with the improvement shall be issued against the Local Improvement Fund. Section 8. Within 15 days of the passage of this ordinance there shall be filed with the Finance Officer the title of the improvement and District number, a copy of the diagram or print showing the boundaries of the District and the preliminary assessment roll or abstract of such roll showing thereon the lots, tracts and parcels of land that will be specially benefited thereby and the estimated cost and expense of such improvement to be borne by each lot, tract or parcel of land. The Finance Officer immediately shall post the proposed assessment roll upon his index of local improvement assessments against the properties affected by the local improvement. Section 9. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. Section 10. This ordinance or a summary thereof consisting of the title shall be published in the official newspaper of the City, and shall take effect and be in full force and effect five days after passage and publication as provided by law. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of 2009. ATTEST/ AUTHENTICATED: Christy O'Flaherty, CMC APPROVED AS TO FORM BY: Office of the City Attorney Attachment: Exhibit A Project Description Exhibit B LID Boundary W: \Word Processing Ordinances \Klickitat LID No 33.doc SV:ksn 09/30/2009 Jim Haggerton, Mayor Filed with the City Clerk: Passed by the City Council: Published: Effective Date: Ordinance Number: Page 3 of 5 CITY OF TUKWILA ORDINANCE NO. EXHIBIT A PROJECT DESCRIPTION TUKWILA URBAN ACCESS IMPROVEMENT PROJECT (Local Improvement District 33) The Tukwila Urban Access Improvement Project consists of a grade separated structure using a partial lid over Southcenter Parkway, removing left turn/ through conflicting movements. The roadway will be widened on Southcenter Parkway with southbound lanes depressed under a lid structure accommodating both northbound and eastbound left turns with Klickitat Drive. Sidewalks will be included on the east side of the street as well as one new signal and interconnection of three signals to the city's Traffic Operation Control system. Included in all the preceding are: legal requirements; permits; licenses; reviews; and any and all other matters necessary for a complete improvement in accordance with City standards. W;\ Word Processing Ordinances \Klickitat LID No 33.doc SV:ksn 09/30/2009 Page 4 of 5 CITY OF TUKWILA ORDINANCE NO. EXHIBIT B LID BOUNDARY TUKWILA URBAN ACCESS IMPROVEMENT PROJECT (Local Improvement District 33) W: \Word Processing \Ordinances \Klickitat LID No 33.doc SV:ksn 09/30/2009 Page 5 of 5 Complete Date 5/7/07 5/24/07 7/16/09 8/17/09 8/24/09 8/25/09 8/28/09 9/3/09 9/4/09 9/8/09 9/14/09 10/1/09-10/7/09 9/21/09 10/15/09 10/7/09 or later 10/2/09 10/5/09 10/12/09 10/16/09 or later 10/19/09 10/19/09-10/31/09 11/1/09-11/15-09 11/1/09-11/15/09 12/16/09-12/31/09 January 2010 January 2010 Jan Feb 2010 Feb March 2010 March Nov 2010 November 15, 2010 W: \PW Eng \Old P drive \Cyndy \Klickitat \Project Schedule Council Packet.doc Tukwila Urban Center Access (Klickitat) Project Schedule I ue r ipuvn Environmental Approval: ECS Accepted by FHWA Design Substantial Completion: 100% Shelf -Ready Plans completed Right -of -Way: Possession and Use Agreement from Legacy Partners Transportation Committee: LID schedule and steps Committee of the Whole: LID Schedule and Process WSDOT: ROW certification, limited access revision, channelization plans Open House: For property owners, businesses and tenants Open House: For property owners, businesses and tenants Notification to Property Owners For Public Hearing on Resolution to Form LID Transportation Committee: Resolution of Intent to Form LID Committee of the Whole: Resolution of Intent to Form LID Right -of -Way: Possession and Use Agreement from Doubletree (originals needed) Regular Council: Public Hearing Adoption of Resolution of Intent to Form LID WSDOT: Submit for Channelization Plan approval (target date) WSDOT: Submit for ROW Certification (depends on P &U from Doubletree) Notification to Property Owners For Public Hearing on Ordinance to Form LID Transportation Committee: Ordinance to Form LID Committee of the Whole: Ordinance to Form LID WSDOT: ROW Certification approved (3 week process from submittal) Regular Council: Public Hearing and Adoption of Ordinance to Form LID Transportation Improvement Board: Construction Prospectus submittal approval WSDOT: Channelization Plans Approval Advertise for Construction Bid: 4 week time period (3 weeks required by federal funds, 1 week extra for holiday) Bids Due with Bid Opening Transportation Improvement Board: Updated Cost Estimate submitted for approval prior to award of contract Transportation Committee: Award of construction contract to successful bidder City Council (C.O.W. and Regular): Award of Contract Notice to Proceed to successful bidder Construction of project Roadway open to traffic, substantial completion of construction