HomeMy WebLinkAbout2014-07-14 Committee of the Whole MinutesTukwila City Council Committee of the Whole Meeting
City Hall Council Chambers July 14, 2014 — 7:00 P.M.
MINUTES
COMMITTEE OF THE WHOLE
CALL TO ORDER/PLEDGE OF ALLEGIANCE
Council President Quinn called the Tukwila City Council meeting to order at 7:03 p.m. and
Councilmember Ekberg led the audience in the Pledge of Allegiance.
OFFICIALS
Present were De'Sean Quinn, Council President, Councilmembers Joe Duffie, Dennis Robertson,
Allan Ekberg, Verna Seal, Kathy Hougardy, Kate Kruller.
CITY OFFICIALS
Jim Haggerton, Mayor; Jack Pace, Community Development Director; Nora Gierloff, Community
Development Deputy Director; Dave Johnson, Recreation Superintendent; Robert Eaton, Parks
Superintendent; Vicky Carlsen, Deputy Finance Director; Derek Speck, Economic Development
Administrator; Brandon Miles, Economic Development Planner; Laurel Humphrey, Council Analyst;
Melissa Hart, Deputy City Clerk.
SPECIAL PRESENTATIONS
a. A design update on the Duwamish Hill Preserve.
Dave Johnson, Recreation Superintendent, explained the purpose of the presentation is to update the
Council on Phase II of the Duwamish Hill Preserve (the Hill). In April 2014 the City entered into an
agreement with SvR Design Company for the design of Phase II of the Hill. On May 15th the City hosted
a design open house. This evening, the design team will present the draft conceptual design for Phase II
that includes information received by attendees of the open house, as well as suggestions by the
Duwamish Hill Preserve Management Team. The Duwamish Hill Preserve Management Team includes
City staff, representatives from Forterra, and community members that included individuals from the
Friends of the Hill group. He introduced Nate Cormier, Lead Landscape Architect with SvR Design.
Mr. Cormier stated he has been involved with the Duwamish Hill Preserve project since 2004. He
reviewed the planning, fundraising and history of the project. He utilized a PowerPoint presentation to
depict the different design habitat types that are being considered for the Duwamish Hill Preserve, and
different ways the restoration techniques for the site will honor the local Duwamish and Muckleshoot
Tribes. The vision for Phase II of the Duwamish Hill Preserve is "A living laboratory for traditional
ecological knowledge."
The Councilmembers exchanged comments and asked clarifying questions of Mr. Cormier on elements of
the presentation.
b. An update on Sound Transit's long -range plan.
Chelsea Levy, Government Relations Officer, thanked the Council for the opportunity to present this
update. She introduced Karen Waterman, Sound Transit, Planning and Development Manager. -
Ms. Levy utilized a PowerPoint presentation to update the Council on Sound Transit's timeline for
updating their Long -Range Plan.
The Plan outlines the agency's vision for the high capacity transit (HCT) system serving urban areas in
Snohomish, King, and Pierce Counties. The Plan was last updated in 2005 and served as a foundation
for voter approval of Sound Transit 2 (ST2) in November of 2008. Sound Transit has indicated that it
Tukwila City Council Committee of the Whole Minutes
July 14, 2014 Page 2 of 10
hopes to go to the voters in November of 2016 to seek authorization for Sound Transit 3 (ST3), which
would further expand HCT in the region. Prior to a vote, Sound Transit would need to obtain authority
from the State Legislature to increase its taxing authority.
On June 13, 2014, Sound Transit issued a draft Supplemental Environmental Impact Statement (SEIS)
regarding proposed changes to the Plan. A copy of the Executive Summary to the draft SEIS has been
included in the agenda packet. The Executive Summary outlines various proposed corridors for which
Sound Transit may consider providing HCT in the future. City staff is currently reviewing the draft SEIS
document and comments are due to Sound Transit on July 28, 2014. The Sound Transit Board will be
considering updates to the Plan in fall of 2014, with final action scheduled in December. In 2015 the
Sound Transit Board will consider whether to begin the ST3 planning process. Highlights of the
presentation included:
The Draft Supplemental Environmental Impact Statement (DSEIS) was released June 13th and is
available online and in major libraries. SEPA notification has been made to agencies, jurisdictions, tribes,
elected officials, and other stakeholders. The public comment period began June 13th and ends July 28th.
Elements examined in the DSEIS
• Transportation /Transit
• Air quality /greenhouse gases
• Ecosystems
• Water quality, geology and earth
• Noise and vibration
• Visual quality
• Land use and energy
• Environmental health
• Public services and utilities
• Environmental justice
• Historic and cultural
• Parks and recreation
• Cumulative impacts
2005 Long-Range Plan (LRP) with ST2 Updates: Current Long-Range Plan is very robust
• Major transportation corridors already have regional transit service options
• Most system ridership gains from future growth possible within 2005 LRP and ST2 Plan
South King County suggestions possible in existing LRP:
• Extend light rail between Burien and Renton
• Light rail stations at S.133rd and Boeing Access Road
• HCT from Renton to Lynnwood
• Improve Sounder station access, including parking
• Increase frequency and span of Sounder service
• Extend and expand ST Express routes and invest in signal priority at key intersections
South Kinq County - Potential Plan Modifications: Rail & HCT Corridors:
Suggestions from public scoping period (fall 2013):
Light rail extension suggestions:
• Downtown Seattle to West Seattle /Burien (corridor 2)
• Puyallup /Sumner to Renton via SR 167 (corridor 7)
• Tukwila to SODO via Duwamish industrial area (corridor 9)
HCT extension suggestions (mode not specified):
• Tukwila Sounder station to downtown Seattle via SeaTac Airport, Burien, and West Seattle
(corridor 19)
South Kinq Co. — Potential Plan Modifications: Bus Corridors
Suggestions from public scoping. (Fall 2013):
Regional Express Bus extension suggestions:
• Renton to downtown Seattle (corridor 25)
• Renton to Eastgate via Factoria (corridor 28)
Tukwila City Council Committee of the Whole Minutes
July 14, 2014 Page 3 of 10
Regional Express extension suggestions:
• Tacoma to Bellevue (corridor 34)
• Kent to SeaTac Airport (corridor 35)
• Puyallup to Rainier Valley (corridor 36)
Public Outreach
• Emails to individuals who sign up for weekly reports. Sound Transit rider alerts and Sound Transit
project updates
• Website announcements
• Press releases and legal notice
• Mailers to all registered voters in Sound Transit district
• Posters, print, and web ads
• Translated materials
• Presentations to jurisdictions /agencies
Public Feedback
• Interagency Coordination Group (agency staff): June 25
• -Public Open House /Public Hearings (5:30 — 7:30 PM; Public hearing 6 PM).
o July 15 - Seattle - Museum of History and Industry
o July 16 - Federal Way - Truman High School
o July 17 - Everett Station
• Written comments •
• Email comments
• Online survey (httr: / /www.soundtransit.orq /Protects- and - Plans /Long- range -Plan- update)
Next Steps
• June 13 - July 28: Draft SEIS public comment period
• June 26: Sound Transit Board briefing
• July 8 - 17: Open house /public hearings
• July 31, 2014: Sound Transit Board workshop
• August - November 2014: Complete Final SEIS
• December 2014: Board considers changes to LRP and possible adoption by resolution
• 2015: After LRP is updated, Sound Transit Board to consider whether to begin ST3 planning
Ms. Waterman explained Sound Transit staff has been conducting presentations to the South King
County local jurisdictions. They also have been working with City staff on review of the Long -Range Plan.
The Councilmembers exchanged comments and asked clarifying questions about the presentation
materials, and they thanked Ms. Levy and Ms. Waterman for the presentation. The Councilmembers
expressed an interest in the Tukwila Station located at South 133rd Street and Boeing Access Road that
was included in the Sound Transit 2 plan.
ANNOUNCEMENT
Mayor Haggerton announced that for many years, the City has contracted with Kenyon Disend for
attorney services, and Shelley Kerslake served as the Tukwila City Attorney. For the past several years,
Ms. Kerslake had been dealing with a health issue and while dealing with those issues, she continued to
be involved in projects and work with the City. Sadly, Ms. Kerslake lost her battle and passed away on
Sunday, July 13, 2014. He said City staff, Councilmembers and others contributed to a memory book
that was delivered to her on July 8, 2014. Mayor Haggerton asked for a moment of silence to honor Ms.
Kerslake, and prayers for the Kenyon Disend Law Firm and Shelley's husband and young son Ian. He
will update the Council as details become available.
The Council and audience observed a moment of silence in memory of Ms. Kerslake.
Mayor Haggerton thanked the Council and the audience and said Ms. Kerslake was the consummate
professional and she will be greatly missed.
Tukwila City Council Committee of the Whole Minutes
July 14,2014 Page 4of10
CITIZEN COMMENTS
Vanessa Zaputil, 15171 52nd Avenue South, offered her condolences and said the Tukwila community
benefited from the work performed by Ms. Kerslake. She announced the Tukwila Pool Advisory
Committee (TPAC) will be hosting a community picnic Saturday, July 26th, from 10:00 a.m. — 5:00 p.m., in
conjunction with the Touch -a -Truck event. In addition to the picnic, from 3:00 p.m. to 5:00 p.m., there will
be a $1:00 swim at the Tukwila Pool. The intent of the picnic is to bring the community together.
Pam Carter, 4115 South 139th Street, commented on information that was presented by Sound Transit.
She updated the Council on the marijuana grow operation in her neighborhood, and announced the
marijuana has been removed from that location. Ms. Carter briefed the Council on her activities
associated with bringing awareness to King County prosecutors and the Washington legislators about
these types of issues.
PUBLIC HEARING
An ordinance amending the Sign Code to allow limited changes to non - conforming freeway
interchange signs.
The current .Sign Code states that no new freeway interchange signs are permitted within the City, and
existing ones may be refaced and have copy changes until August of 2015, provided the height and area
of the sign remain unchanged. Updates to the Sign Code must remain content neutral, meaning that the
City can no longer limit certain types of signs to specific types of businesses as in the previous freeway
interchange sign regulations.
8:13 p.m. Council President Quinn opened the public hearing.
Nora Gierloff, Community Development Deputy Director, explained the draft ordinance would amend Sign
Code regulations relating to non - conforming freeway interchange signs. The Council has discussed this
issue at several meetings. The draft ordinance is relatively narrow, with two changes being proposed.
They include allowing an increase in sign area up to 125 feet per face (250 square feet for all sides) and
clarifying on -going maintenance and repair on the existing non - conforming freeway interchange signs.
Council President Quinn called for public hearing comments.
Morgan Llewellyn, 601 West Gowe Street, Kent, stated he is speaking in support of the proposed Sign
Code amendments. He feels signs are very important to the small businesses'in Tukwila. He is a
commercial broker, and in his experience the development process can seem intimidating to small
business owners. He feels creating an environment where a small business can thrive is very important,
and the proposed amendments will achieve that goal.
Steven Peterson, 14712 57th Avenue South, thanked the Council for the time and effort spent relating to
their recent Sign Code issues. He asked for clarification on whether they would be required to remove
their sign if they expand their business in the near future.
Stan Peterson, 13310 Interurban Avenue South, commented that with current technology replacing an
LED bulb in the sign could require replacement of an entire light panel. Their concern is whether
replacement of the LED panel would be considered maintenance or sign refacing.
Joe Shaffner, 20926 1st Avenue South, Des Moines, stated he is representing the Jacksons Food
Stores and they support the proposed Sign Code amendments.
8:20 p.m. Council President Quinn closed the public hearing.
Tukwila City Council Committee of the Whole Minutes
July 14, 2014 Page 5 of 10
SPECIAL ISSUES
a. An ordinance amending the Sign Code to allow limited changes to non - conforming freeway
interchange signs.
Councilmember Duffie indicated this item was discussed at the Community Affairs and Parks Committee
meeting on February 11. 2014 and March 25, 2014, and at the June 9, 2014 and June 23, 2014
Committee of the Whole Meetings.
During the February 11, 2014 Community Affairs and Parks Committee meeting, the Petersons, owners
of the Union 76 station at 13310 Interurban Avenue, discussed their desire to see the regulations
regarding freeway interchange signs modified. The owners have requested to reface and expand the
existing 200 - square -foot freeway interchange sign (100 square feet per face) in a manner that is not
permitted under the City's current Sign Code. At the June 9th Committee of the Whole meeting, the
Petersons indicated that a 125 - square -foot sign face would be acceptable to them. The draft ordinance
before the Council incorporates the options the Council discussed at the June 23rd Committee of the
Whole meeting.
Councilmember Ekberg asked staff to address the concerns raised by Mr. Peterson.
Ms. Gierloff clarified that currently there are ruies in place that state if an applicant triggers design review,
the property would need to come into compliance with existing signs. She referred to the proposed
amendment to Tukwila Municipal Code Section 19.36.070, in that the added language clarifies that the
"trigger" does not apply to freeway interchange signs; they are treated separately. In the case of the
Petersons' application, if they made the changes to their sign now, and in two years for example, they
construct their new building that triggers design review, they would not lose their sign investment.
Additionally, Mr. Peterson had a question relating to maintenance and repair. Technology changes
frequently and the proposed amendments include a neutral description for the maintenance and repair,
such that over a two -year period the maintenance costs cannot exceed 25% of the cost to replace the
sign. The intent is to allow maintenance of the existing signage, and not be restrictive by saying a bulb
can be changed and not a wire.
Councilmember Hougardy asked if there is leeway in the code. If a sign is being maintained and the
costs associated with the technology to repair or maintain the sign became expensive and exceed the
25 %, what options would be available to the applicant.
Ms. Gierloff clarified the intent of this amendment is to keep the current signs working, rather than invest
in new technology. If a major investment is being made, the sign would need to come into conformance.
It would be a case -by -case situation.
COUNCIL CONSENSUS EXISTED TO FORWARD THIS ITEM TO THE NEXT REGULAR MEETING.
b. A resolution authorizing the issuance of claims prior to Council approval.
Councilmember Seal indicated this item was discussed at the Finance and Safety Committee meeting on
July 8, 2014. The committee members were unanimous in recommending approval.
Vicky Carlsen, Deputy Finance Director, explained the City currently pays claims twice a month,
immediately after Regular Council meetings. Most contracts, professional services and utilities are paid
via a regularly issued check. Many supplies are purchased via a City issued credit card (PCard program)
through US Bank. Occasionally, invoices are paid late due to unforeseen circumstances with vendors,
mail delivery issues, etc.
City staff is seeking formal approval from Council to issue checks prior to Council approval to address
urgent claims issues that sometimes arise. While this does not happen frequently, it does occasionally
occur, and having authority to pay claims prior to Council approval gives the City the flexibility to pay the
invoices immediately rather than waiting for the next Regular Council meeting.
Tukwila City Council Committee of the Whole Minutes
July 14,2014 Page 6of10
The Councilmembers exchanged comments and asked clarifying questions on the draft resolution. After
Council discussion there was a request to have the Finance Department update the Finance and Safety
Committee meeting annually on the implementation of the process.
COUNCIL CONSENSUS EXISTED TO FORWARD THIS ITEM TO THE NEXT REGULAR MEETING.
c. A discussion on Washington Place Development fee deferral.
Councilmember Sea! indicated this item was discussed at the Finance and Safety Committee meeting on
July 8, 2014. The committee members forwarded to the Committee of the Whole with no
recommendation.
Derek Speck, Economic Development Administrator, explained the property owner of 223 Andover Park
East, would like to develop a mixed -use project called Washington Place and has requested the City
reduce or defer fees and taxes.
Omar and Christine Lee, as owners of the former Circuit City site at 223 Andover Park East have been .
working for the-past few years to demolish the Circuit City building and construct a mixed -use building
that would comprise 370 multi- family residential units, 189 hotel rooms and a small cafe. The Lees are
still working on project design and financing. Currently, the total project cost is over $100 million.
The Lees have explained that financing the project is very challenging and have requested the City
consider any possible reduction or deferral in taxes and fees in order to increase the probability that the
project can be funded. They plan to use the Federal immigrant investor program (EB -5) to provide at
least $50 million of the project funding. Given the repayment arrangements they would have with those
investors, the Lees have indicated they would have greater ability to pay taxes and fees starting five
years after receiving certificate of occupancy.
Currently, the Lees have requested:
(1) Reduce the building permit fees and /or impact fees
(2) Approve deferral of a portion of the building permit fees
(3) Approve deferral of some or all of the development impact fees (traffic, parks, and fire)
(4) Approve a. property tax exemption on the multi- family residential portion of the project.
The fees shown below are based on the City's adopted fee schedules and are intended to cover the
City's costs of providing the related services.
Current
Estimate of Development
Due at Permit
Application
Fees
Due at Permit
Issuance
Total
Building
$208,000
$336,000
$544,000
Mechanical
13,000
54,000
67,000
Plumbing
2,000
7,000
9,000
Electrical
16,000
67,000
83,000
Traffic Concurrency
12,000
0
12,000
Traffic Impact
47,000
47,000
Fire Impact
484,000
484,000
Parks Impact
546,000
546,000
Total
$251,000
$1,541,000
$1,792,000
Fees are estimates based on 189 hotel
based on the application when subm.tted
such as pavement mitigation, fire hydrants
agencies such as water, sanitary sewer,
required to install or contribute to infrastructure
rooms and 370 apartments. Actual amounts will be calculated
or when permits are issued. Additional permit fees may apply
and sprinklers, special inspections, etc. Fees from non -City
and power are not reflected in this analysis. Developer may be
such as sanitary sewer
Tukwila City Council Committee of the Whole Minutes
July 14, 2014 Page 7 of 10
Mr. Speck referred to the "Heartland Study" and commented that staff is continuing to research the issues
associated with the proposed fee deferrals and/or reductions. He explained the Lees need to make a
decision on the project based on whether the Council would consider the requested items and the Council
discussion this evening.
Councilmember Duffie spoke in favor of the proposed development and working with the Lees on the
issues.
Councilmember Robertson referred to the spreadsheet on page 83 of the agenda packet. He asked if the
reduction in property tax would affect all tax collectors such as schools, City, State and County. Mr.
Speck answered in the affirmative.
Councilmember Ekberg asked if the City would need to create a Zoning Code change that would allow
the multi - family tax credit for the proposed development.
Mr. Speck answered yes, based on early research. Staff is continuing to review the issue.
Councilmember Kruller asked if the fees paid to the City by the developer are used to build infrastructure
that would he needed to support the development. She voiced her support for staff to research the
legality of the options presented.
Mr. Speck explained that there are two types of fees being discussed. First are the permit fees that are
assessed to cover staff time necessary to issue the permits for the development. The second type of
fees assessed is impact fees. Impact fees are fees assessed on a development to cover some of the
costs associated with providing City services to the development.
Councilmember Robertson asked if the City would receive the entire $600,000 sales tax figure as listed
on page 83 of the agenda packet, or just a portion of that amount.
Mr. Speck said the amount listed on the spreadsheet is the estimated revenue for the City. He clarified
that the spreadsheet was designed to provide a rough estimate of possible revenues based on the
reduction of fees and deferrals as requested by the Lees.
Councilmember Robertson said his next question relates to the Heartland Study on the project. He
explained the analysis listed a projected rental rate of $1.85 per square foot. He asked staff to clarify the
reasoning behind the lower rate. He feels this type of development could have rental rates similar to
Seattle and Bellevue.
Mr. Speck explained the proposed development will be unique to Tukwila, and it would be the tallest
building from south of 1 -90 to Tacoma. The Heartland Study is a bit conservative. However, rents are
usually based on the amenities within the area and residential income levels. There are some people
who choose to live in the other areas, such as Bellevue and Seattle, due to the income levels within those
cities. He referenced the analysis of the housing stock at The Landing in Renton, and that rent is based
at $1.83 per square foot. The proposed development in Tukwila is a superior location with the access to
transit and other area amenities.
Councilmember Hougardy commented that this has been a good discussion for the Council. She
reminded the Council that this is a business for the Lees, and the request is a good policy decision for the
Council. This type of development is new for the Tukwila Urban Center. Having the discussion on this
agenda topic, allows the Council to discuss creative ways to address development fees, and whether the
City wants to invest in the development.
Councilmember Kruller stated she would like to have information from staff identifying how the numbers
pencil out for the City.
Councilmember Seal said while the Council is not being asked to make a decision this evening on the
issue, staff is requesting guidance on the request by the Lees. She spoke in favor of staff continuing to
work through the issues to find a solution that works for the City and the project. She has experience with
Tukwila City Council Committee of the Whole Minutes
July 14, 2014 Page 8 of 10
the EB -5 process, and the fact that the Lees are taking advantage of this program speaks volumes to her.
in her opinion, everyone needs to do their share, come to a compromise and see the bigger picture and
the benefits of the development to the City. •
Matthew Chan, 20601 2nd Avenue SW, Normandy Park, stated he is the director of Special Services
for Washington Place. He explained he has experience with structuring government assisted programs
throughout the Puget Sound region. He commented that while listening to the Council comments he feels
the Council has made constructive remarks and asked good questions. The Lees and the project team
are very conservative, and are working to reduce fees in other areas of the development. He referenced
the earlier comment about the calculation of rental rates. Most financial institutions loan money based on
appraisals and current market rents. The Lees have spent their money, time and used their reputation for
this project. He feels once the development begins, others will want to develop in Tukwila. Many cities
have approved the use of a multi - family tax credit. The Council is being asked to defer the property taxes
for the housing portion only of the project. The City will continue to receive property tax on the land, hotel
and parking garage development. He asked the City to consider the request for the deferral to become a
project stakeholder for the development. They are spending a great deal of time working through the
issues in hope of breaking ground on September 1st. The vision is to construct a prestige building that
people will see from Interstate 405 and 1 -5. If the market supported higher rent, they would charge it. He
feels the increased construction activities will increase sales tax revenue for the City.
Christine Lee, 8448 North Mercer Way, Mercer Island, stated they have been working on this project
for the past two years and have spent a significant amount of money working through the issues
associated with the project. She explained that due to their friendships and connections they have been
able to secure a great deal of financing through the EB -5 program. Mrs. Lee described the intricacies and
criteria of the EB -5 program for the Council. Now that the economy is improving, construction costs have
increased and the estimate of the project is $18 million over their $100 million budget. They have been
working with contractors, suppliers and others to review the project costs and that review has shown
areas where they can save $13 million. They are requesting the City allow the project to move forward
with some allowable credits. She feels this is a public /private partnership. If the project does not move
forward, then the City will not receive the revenue the project could provide. She asked the Council to
consider their requests in order to keep the project moving forward.
Councilmember Hougardy said that during discussion on this issue at the Finance and Safety Committee
meeting, there were comments made on the assessment of impact fees. She asked Mrs. Lee to address
that issue for the Council.
Mrs. Lee explained that the original plan included bigger units and information they received is that bigger
units are difficult to rent. With that information, the design was redone and they were able to redesign
some of the larger units to studio and one - bedroom units, with no additional square footage added to the
project. The City's impact fees are based on the number of units in a development, rather than the total
square feet. By redesigning the project with additional units, it significantly increased the impact fees
assessed for the project. In her opinion, the way the impact fees are calculated is incorrect. She believes
the proposed development will ignite additional development in Tukwila.
Omar Lee, 8448 North Mercer Way, Mercer Island, stated they have come a long way and they believe
in this project. Financing issues caused them to stop and take a step back and re- evaluate the project
and all options that are available. This allowed them to think outside -of -the box and find the creative
financing for the project. They have spent a great deal of time working through potential issues with
contractors while being fiscally responsible. This project is a challenge, which he enjoys, and he believes
the project will be very beneficial to the City. The project is a pioneer for the City. They are asking the
Council to help the project with reduced /deferred fees and to become a partner with them in the
development of the project.
Councilmember Ekberg stated he is interested in sound financial footing for the City and the project. He
looks forward to this type of development within the Tukwila Urban Center, and he wants to make sure
there is no. net loss to the City. He looks forward to additional information from staff on the requested
items, and he voiced his support for the development.
Tukwila City Council Committee of the Whole Minutes
July 14, 2014 Page 9of10
Councilmember Duffle stated the proposed development is an opportunity for the City, and he feels the
project would benefit the City in the future.
Councilmember Robertson asked Mayor Haggerton for his opinion on the requests by the developers.
Mayor Haggerton stated that in all the meetings he attended on this item, he has made it clear the City
would not give away tax -payer monies. He feels any special concessions allowed should be done via the
creation of a Zoning Code change. He does not believe in favoring one developer over another and if
future development occurs in the new zone, those developers would need to meet the established
requirements to qualify for the concessions. In his opinion the Lees have worked hard to address the
project deficit, and he said they raise a good point about interior changes not triggering an increase of
impact fees. Additionally, he concurs with the proposal of deferring the collection of impact fees. He
suggested the fees could be paid to the City when the building is ready for occupancy, rather than a 5-
year deferral.
Councilmember Robertson voiced his support and admiration for the Lees and their business practices.
He feels the proposed project is a game changer for the City. Relating to a reduction in permit fees, he
feels direct costs of the City, such as permit fees, should not be reduced. He voiced his support for the
deferrai of the impact fees, while he would need additional information on the multi -tax credit issue. He
commented that property tax fees the City collects are used to support fire and police services within the
City and the proposed project will increase costs for providing City services.
Council President Quinn stated there has been a lot of conjecture, and he feels the City is not giving
anything away with the fee deferral proposals. If the project does not move forward, the City will not
receive any of the estimated revenues or permit fees. The developers are committed to the project and
he feels the request for fee deferrals is how the City can invest in the project. There are some certainties
for the City and the development is a good opportunity for the City.
Councilmember Seal commented that there is a certain amount of risk with development, and the
proposed project is a new type of development. The City needs more housing options and people want
to live in an urban center. She voiced her support for staff to review the process used to assess impact
fees.
Councilmember Hougardy commented that staff should move forward with the research and reviewing
the estimated impact fees. Additionally, she concurs with the option to defer the collection of some of the
fees.
Councilmember Kruller cautioned about making special deals for developers. She urged staff to take a
hard look at the structure of any fees to be assessed.on the development and return to the Council with
solid data. She does not support eliminating any of the fees; rather, she would like staff to present data to
see what is feasible for the City and developer.
Council President Quinn relayed that in his experience, changes in the assessment of impact fees should
be done correctly. He feels there needs to be clarity on the purpose associated with impact fees. He
asked staff if there was any question on the direction of the Council.
Mr. Speck commented that the Council discussion on this item shows support for staff to spend
considerable time reviewing the project, review different options and formulas that will allow the City to
cover actual costs. Additionally, it is implied that the City should continue to encourage the proposed
development.
REPORTS
a. Mayor
There was no report.
Tukwila City Council Committee of the Whole Minutes
July 14, 2014 Page 10 of 10
b. City Council
Councilmember Robertson reported that the Facilities Study Committee met on July 1, 2014, and he
reviewed topics of discussion from that meeting. He explained there had been a proposal to have a
Special Council Work Session for an update. He feels the work sessions should be used for budget
review, and he will suggest the Council update be included on a future Regular Meeting agenda.
Council President Quinn thanked Councilmembers Seal and Kruller for attending several meetings in his
absence. He reviewed the history of some of the places he visited during his recent vacation to South
Carolina. Additionally he participated in the Seattle to Portland Bike Ride this past weekend.
Councilmember Ekberg met with Puget Sound Regional Counsel Member Michael Huber.
Councilmember Seal reported that the Fire Exploratory Committee will be updating the Council on the
Committee's progress and the update will include a recommendation.
Councilmember Hougardy reminded the Council and audience of the upcoming performances by the
Community Acting Summer Theatre in Tukwila (CASTT) group at Foster High School July 18 -19, 2014.
Councilmember Kruller attended the recent Sound Cities Association Meeting, and provided information
on her recent trip to Glacier National Park.
c. Staff
There was no report.
d. City Attorney
The City Attorney's presence is not required at Committee of the Whole meetings.
e. Intergovernmental
There was no report.
ADJOURNMENT
10:31 p.m. COUNCIL PRESIDENT QUINN DECLARED THE COMMITTEE OF THE WHOLE MEETING
ADJOURNED.
l,�'6'.//
De' -ean uinn, Council President
-11-k.tt2i 4404
Melissa Hart, Deputy City Clerk
APPROVED AND SIGNED BY THE COUNCIL PRESIDENT ON 08/04/2014
AVAILABLE ON THE CITY'S WEBSITE 08/05/2014