HomeMy WebLinkAbout2014-08-18 Regular MinutesTukwila City Council
City Hall Council Chambers
MINUTES
Regular Meeting
August 18, 2014 — 7:00 P.M.
REGULAR MEETING
CALL TO ORDER/PLEDGE OF ALLEGIANCE /ROLL CALL
Mayor Haggerton called the Regular Meeting of the Tukwila City Council to order at 7:03 p.m. and led the
audience in the Pledge of Allegiance.
ROLL CALL
Christy O'Flaherty, City Clerk, called the roll of the Council. Present were Councilmembers Joe Duffie,
Dennis Robertson, De'Sean Quinn, Allan Ekberg, Verna Seal, Kathy Hougardy, and Kate Kruller.
CITY OFFICIALS
Jim Haggerton, Mayor; David Cline, City Administrator; Rachel Turpin, Assistant City Attorney; Peggy
McCarthy, Finance Director; Vicky Carlsen, Deputy Finance Director; Rick Still, Parks and Recreation
Director; Robert Eaton, Parks and Golf Maintenance Superintendent; Derek Speck, Economic
Development Administrator; Mike Villa, Police Chief; Joyce Trantina, Mayor's Office Project Analyst;
Evelyn Boykan, Human Services Manager; Mary Miotke, IT Director; Christy O'Flaherty, City Clerk.
SPECIAL PRESENTATIONS
a. Introduction of Kris KeIIy, Parks Supervisor. Robert Eaton, Parks and Golf Maintenance
Superintendent.
Robert Eaton, Parks and Golf Maintenance Superintendent, introduced Kris Kelly, the City's new Parks
Supervisor in charge of overseeing the daily operations of the Parks Maintenance Division. Mr. KeIIy has
worked for other local municipalities doing similar work. Mr. Kelly expressed pride and excitement at the
opportunity of working for Tukwila.
The Councilmembers welcomed Mr. Kelly to the City.
b. 2014 Second Quarter Financial Report. Peggy McCarthy, Finance Director, and Vicky Carlsen,
Deputy Finance Director
Vicky Carlsen, Deputy Finance Director, utilized a Powerpoint presentation to provide an overview of the
2014 second quarter financial report, with key points as follows:
City -wide fund balances through June 2014 increased by just under $2 million from $45.4 million to $47.4
million. Governmental funds show the largest change with an increase of $2.4 million. Enterprise funds
increased $379,000 and internal service funds decreased $836,000.
General Fund ongoing revenues through June 2014 are higher than January 2013 through June 2013 by
$595,000. All operating revenue categories, with the exception of sales and use taxes and building
permits and fees, show a year- over -year increase.
• Property taxes are over 50% collected and also exceeds 2013 by $70,000.
• The RGRL (Revenue Generating Regulatory License) is at 99.75% collected and is $101,000 higher
than last year. Any additional revenue in this category will come from either late filers or new
businesses.
• Business licenses, franchise fees, and permits are at 81.07 %, which is higher than 2013, which was
at 74.66 %. As with the RGRL, any additional revenue in this category will come from either late filers
or new businesses.
Tukwila City Council Regular Meeting Minutes
August 18, 2014 Page 2 of 7
• Excise taxes, which include gambling taxes is at 57.85% collected and over budget by $173,000.
The casinos are doing very well this year.
The 2 categories that are down from last year are sales and use taxes and building permits and fees.
Sales tax in the construction category is down from last year. While building permits and fees are down
from last year, we have a conservative budget for this line item, so it is over budget at 51.77 %.
Regarding one -time revenue, in 2013, the City received bond proceeds of $1 million that were loaned to
the MPD that we did not have this year.
With regard to expenditures in the General Fund, department expenditures are at 47.21% of budget.
Salaries are under budget due to conservative budgeting and favorable labor contract terms.
Every department is below budget with the exception of Fire. The main reason Fire is over budget is
because of overtime. Overtime through June is over budget by $335,000. This is due to the assistance
provided at the Oso landslide and minimum staffing requirements.
Police Department salaries are at 46.07 %, while overtime is at 56.99% because of a few vacant positions
which are in the process of being filled. Once the positions are filled, the savings in the salaries category
will not continue.
In the Hotel /Motel Fund, taxes are at 39.95% of budget through June. They are expected to increase in
the 3rd quarter during the peak travel season of summer. Construction for the Interurban Avenue South
project has begun and is expected to keep some lanes closed into 2016. Transfers into the Contingency
Fund were done in late 2013, bringing the balance in this fund in line with the Reserve Policy.
The City does have outstanding Build America Bonds, and we are receiving subsidy payments from the
federal government to offset the interest costs. However, the amounts received are being reduced by
7.2% due to sequestration.
The only Utility Fund to show a reduction in fund balance is the Water Fund. Revenues are at 34.77% of
budget and water sales are at 46.07 %. Water usage is higher during the drier months and we anticipate
that water sales will increase during the 3rd quarter. Additionally, we had budgeted for a Public Works
Trust Fund loan for the Andover Park East water main replacement project. This project has been moved
into 2015. Also, due to legislative changes, the hydrant rental charges from the General Fund into the
Water Fund was discontinued effective January 1 of this year. Expenses are at 46.09% of budget.
For the Sewer Fund, revenues are at 62.25% of budget while expenses are at 51.01% of budget. Sewer
sales are at 63.57% of budget because a rate increase was approved after the budget was adopted.
Funds for the Public Works Trust Fund loan approved for the CBD (Central Business District) sewer
rehabilitation project are now being received on a reimbursement basis rather than receipt of the funds up
front as was the case in the past.
The Golf Course is performing well so far this year. Revenues are at 46.61% with an anticipated increase
during July and August when the weather is typically warm and dry. Expenses are under budget at
48.69% of budget.
The Surface Water Fund revenue is at 29.95% of budget. Surface water sales are right on budget at
49.98% of budget. The debt proceeds are for the soils reclamation project, which has been postponed
until 2017. Expenses are at 26.07 %.
The fund balance for the Self- Insurance Fund decreased $848,000, which is higher than the budgeted
decrease of $714,000. Employee healthcare costs have been higher than expected; expenses for this
fund are at 58.74% through the end of June. The fund balance decrease in the LEOFF Insurance Fund is
a $376,000 reduction, lower than the budgeted decrease of $550,000. In July 2012, an actuarial
evaluation indicated that the City had excess reserves in this fund. Based on the evaluation, a decision
was made to not fund contributions for this biennium. This situation is being reevaluated as we prepare
the 2015 -2016 biennial budget. Both the Self - Insurance and LEOFF Insurance Funds are being closely
monitored to see if the increase in medical costs continues. It is possible that we may need to address
funding for both of these funds in the 4th quarter of this year.
Tukwila City Council Regular Meeting Minutes
August 18, 2014 Page 3 of 7
In summary, through the end of June, with the exception of the Self- Insurance and LEOFF insurance
funds, the City is on track to stay within the current adopted budget. If the trend in the General Fund
continues, ongoing revenues should meet budget, and departmental expenditures should be under
budget by $1 million or more. We continue to strive to maintain a balance between ongoing revenues
and ongoing expenditures to allow funding for capital projects and other initiatives identified in the
Strategic Plan.
Additionally, the City purchased 2 motels during the first part of August and is preparing to purchase a
third motel. A plan for funding the motel purchases, as well as Fire Department overtime, will be
discussed at the Finance & Safety Committee meeting tomorrow night.
The Councilmembers asked clarifying questions of Ms. Carlsen and Ms. McCarthy and thanked them for
the financial update.
CITIZEN COMMENTS
Lois Schipper, 10735 22nd SW, Seattle, is here to talk about public health services in King County and the
imminent proposed closures of public health clinics in South King County. While she has worked in public
health for 30 years as a nurse, she is here speaking for herseif personally. She has worked for 22 years
in King County, and closures are proposed at 4 of the 10 public health centers as part of the budget that
has been presented to the King County Executive. Clinics in Bothell, White Center, Federal Way and
Auburn would be closed. These clinics focus on prevention, to include working with low income pregnant
women to provide prenatal care, working with parents after infants are born to ensure the child's health
needs are met, making home visits to families at risk, and mitigating domestic violence and neglect. Ms.
Schipper explained that funding for public health came in part from the MVET (Motor Vehicle Excise Tax),
which has gone away. There has not been a replacement for the lost revenue, and costs have also gone
up. She is unaware of any other agency that can pick up the slack for the 12,000 people who will be
without services based on the proposed cuts. She is asking Tukwila Councilmembers to weigh in on
options and provide feedback to decision makers at King County prior to September 22, 2014, when the
budget is presented to the King County Executive.
Julie Crassweller, 404 SW 182nd Street, Normandy Park, is a former Tukwila resident and member of the
Tukwila Human Services Advisory Board. She is also a public health nurse and has been working in this
area for 25 years. She is speaking as a member of Communities for Public Health. She has concerns
about the cuts to South King County public health which serves the Tukwila community and the whole
Pacific Highway South corridor. Public health services keep children safe and communities healthy and
saves lives and money through prevention and education. For every $1.00 spent in prevention, $4.00 are
saved for healthcare and social service costs later on. In 2013 residents in the 98168 and 98188 zip
codes, of which Tukwila is a part, had 5,000 visits to the 3 south county clinics proposed to be closed.
The White Center Clinic served 4,800 of those 5,000 local residents. In the past 25 years, she estimates
that she has made 10,000 home visits to families along Pacific Highway. Many of those served in
Tukwila are new refugees who are unable to navigate the complex systems associated with healthcare
and social services. Without essential resources, healthcare for children and families will be in jeopardy.
The Councilmembers asked questions of Ms. Schipper and Ms. Crassweller and expressed concern
regarding the potential impacts to the community, with the intent to further look into this matter. The
Councilmembers also thanked Ms. Schipper and Ms. Crassweller for bringing this to the Council's
attention and for their good work in the community.
CONSENT AGENDA
a. Approval of Minutes: 8/4/14 (Regular Mtg.)
b. Approval of Vouchers #367024- 367128 and #140801 - 140803 in the amount of $1,008,956.98
c. Award a bid to R.L. Alia Company for the Cascade View ''Safe Routes to School" Project in the
amount of $279,113.00 and authorize the Mayor to sign the contract.
(Reviewed and forwarded to Consent by Transportation Committee on 8/11/14.)
d. Award a bid to MACNAK Construction for the Tukwila Manufacturing /Industrial Center (MIC) "Smart
Street" Non - Motorized Project in the amount of $216,806.00 and authorize the Mayor to sign the contract.
(Reviewed and forwarded to Consent by Transportation Committee on 8/11/14.)
Tukwila City Council Regular Meeting Minutes
August 18, 2014 Page 4 of 7
e. Authorize the Mayor to sign an agreement with AECOM Technical Services for construction
management services for the Tukwila Manufacturing /Industrial Center (MIC) "Smart Street" Non -
Motorized Project in the amount of $57,960.44 and authorize the Mayor to sign the contract.
(Reviewed and forwarded to Consent by Transportation Committee on 8/11/14.)
f. A resolution declaring certain fleet vehicles and equipment as surplus, and authorizing their sale or
disposal. RESOLUTION 1837 (Reviewed and forwarded to Consent by Transportation Committee on
8/11/14.)
g. Authorize the Mayor to sign an Interlocal Agreement with the U.S. Department of Agriculture's Wildlife
Services in the amount of $27,528.00, with Tukwila's share being $2,230.00.
(Reviewed and forwarded to Consent by Community Affairs and Parks Committee on 8/12/14.)
h. Authorize the Mayor to sign Amendment No. 4 to contract #12 -007 with J.A. Brennan Associates for
the Duwamish Gardens Project in the amount of $5,047.50.
(Reviewed and forwarded to Consent by Community Affairs and Parks Committee on 8/12/14.)
MOVED BY DUFFIE, SECONDED BY ROBERTSON THAT THE CONSENT AGENDA BE APPROVED
AS SUBMITTED. MOTION CARRIED 7 -0.
UNFINISHED BUSINESS
Support for the City's continued involvement in after - school programming at the Tukwila
elementary schools.
Councilmember Duffie indicated this item was discussed at the Community Affairs and Parks Committee
meeting on August 12, 2014. In reviewing this topic this evening, he would like to hear from staff, the
partners and the City Attorney.
Evelyn Boykan, Human Services Manager, and Dr. Nancy Coogan, Tukwila School District
Superintendent, provided an overview of this topic.
A joint committee composed of School District and City staff reviewed three proposals for after - school
programming at the Tukwila School District. The discussion included the provision of services only at the
three elementary schools.
The review committee looked at a variety of factors to include model, capacity, financial stability,
leveraging existing resources, and cost in order to make a recommendation. The committee was
especially impressed with a proposal that includes an integrated model involving the City's Parks and
Recreation Department as well as the YMCA. Parks and Recreation brings experience and great visibility
within the community. The YMCA brings expected and proven success in providing academic
programming, coordination of health services and the ability to leverage additional funding. Both of these
parties considered an integrated model that would cost approximately $247,050. The District has
committed $80,000; however, dollars are restricted by the nature of the funding source to serve
underperforming students.
The Parks and Recreation Department has proposed providing programming at all the elementary
schools in the Tukwila School District. The District will offer space in each of the three schools as an in-
kind resource. Transportation resources need to be arranged at the building level, as the buildings have
discretion over dollars that would be used for this source. Transportation dollars are not included in this
budget. They are estimated at $100,000 for all elementary schools.
All parties would like to start programming in the fall. It is estimated the costs from September through
December will be $87,170 ($43,404 for Parks and Recreation and $56,070 for YMCA). The Tukwila
School District is proposing to cover the costs from September through December, with the City covering
costs from January through June. The Community Schools Collaboration (CSC) will be providing
programming for the middle school and the high school; however, the proposed external funding from
Race to the Top funds may not materialize until 2015. The committee talked about options such as
amending CSC's contract, and reallocating some funds to Recreation services. They, are recommending
continuing CSC's contract through December 2014, with those dollars covering programming at
Showalter and Foster. Historically, the City has provided a financial commitment of $100,000 toward
after - school programs.
Tukwila City Council Regular Meeting Minutes
August 18, 2014 Page 5 of 7
This item was discussed at the August 12 Community Affairs and Parks Committee meeting and the
Committee suggested this item move forward to the August 18 Regular Council meeting for further
discussion. With the school year beginning in early September, the timeliness of this issue is very
important.
Staff is recommending that the Council make a motion in support of the City's continued involvement in
after - school programming at the Tukwila elementary schools. If support is granted at tonight's meeting,
the Finance and Safety Committee will consider funding options at their August 19 meeting.
Dr. Nancy Coogan, Tukwila School District Superintendent, said this is a unique hybrid approach for
meeting the academic and social needs of students, and the District intends and expects to be held to a
high level of accountability to review outcomes and show benefits.
Nathan Phillips, Regional Executive for the YMCA for South King County, said he is grateful to be a part
of this process and to be partnering with the School District and the Tukwila Parks and Recreation
Department. He originally contacted Rick Still, the Parks and Recreation Director, to suggest they submit
a joint application on this project. Tukwila Parks and Recreation has an excellent regional reputation, and
they are excited for this collaborative opportunity.
Rick Still, Parks and Recreation Director, explained that the Parks and Recreation Department is able to
provide enrichment to this effort, to include offering programming in places other than the Tukwila
Community Center, which is a goal of the Parks, Recreation and Open Space Plan.
The Counciimembers asked questions of the presenters and made comments as follows:
Acknowledgement that no additional funding is being requested for 2014; Recognition that this is a unique
and creative partnership that will benefit students; Concern regarding a lack of clarity regarding the costs
to be incurred by the City in the near future and over the long term; The need for additional information
regarding impacts to middle and high school students; The desire for further information regarding the
appropriate use of tax dollars by the City and the School District; A better understanding regarding the
ongoing relationship with CSC (Community Schools Collaboration); and A willingness to support
continued involvement and analysis of this important community issue.
MOVED BY DUFFIE, SECONDED BY EKBERG TO SUPPORT THE CITY'S CONTINUED
INVOLVEMENT IN AFTER - SCHOOL PROGRAMMING AT THE TUKWILA ELEMENTARY SCHOOLS.*
Rachel Turpin, Assistant City Attorney, clarified that early on in this process, City administration came to
her to discuss plans regarding this proposed partnership for after - school programming. Washington
State's bidding and procurement laws can be complicated, and while RFPs or RFQs can sometimes be a
requirement, that was not the case in this instance. Although a modified RFQ process was used by the
parties in this matter, it was not a requirement. The partners could have come together without seeking
formal proposals and moved forward with a mutually agreeable arrangement.
*MOTION CARRIED 7 -0.
REPORTS
a. Mayor
The Mayor had no report.
b. City Council
Council President Quinn participated in the August 15, 2014 Vietnamese Martyrs Parish Summer
Festival. He was excited to see the number of people who came to this incredible event. In speaking
with the members of the church, they are deeply appreciative of the relationship with the City, and they
value learning from City staff as it relates to processes and procedures.
Tukwila City Council Regular Meeting Minutes
August 18. 2014 Page 6 of 7
Councilmember Kruller attended the TIBAC (Tukwila International Boulevard Action Committee) meeting
on August 12, 2014 and the Tukwila Food Pantry meeting on August 13, 2014. The Food Pantry is
looking at changing staffing and reviewing ways to meet standards for service. On August 14, 2014 she
attended the MPD.(Metropolitan Park District) Executive Director Committee meeting. This past weekend
there were ham radio classes at Fire Station 51 which were well attended and a great success.
c. Staff
David Cline, City Administrator, referenced the City Administrator (CA) Report in the packet and offered to
answer any questions.
Councilmember Robertson inquired about information on page 170 of the report regarding the Briscoe
Desimone levee shoreline variance. The report says there is a shoreline variance requested by the City
of Kent to vary Tukwila's adopted levee profile.
Mr. Cline said this is going through the normal process, and they are meeting our Shoreline Management
Plan regulations which allow for variances. Mr. Robertson said that when the Interlocal Agreement (ILA)
was developed, it was specific that Tukwila's profile would be followed. Mr. Cline clarified that the City of
Kent is following the process that Tukwila has outlined, which involves a variance specifically for the
highway. Mr. Cline said the standards that Tukwila has in place will apply to Tukwila and any partners
involved in the Briscoe Desimone levee.
Rachel Turpin, Assistant City Attorney, said when the ILA was drafted, there was mention of the
Shoreline Master Program and of this permit, and it was contemplated they would have to apply for this
particular variance.
Councilmember Robertson asked to receive a copy of what is being requested by the applicant. Mr. Cline
relayed that copies will be forthcoming to all Councilmembers.
Council President Quinn explained that it would be helpful to have a follow -up discussion, possibly under
Miscellaneous at a future Council meeting, to ensure there is clarity.
Councilmember Kruller inquired as to when the Kids Festival will occur. Mr. Cline said the Parks and
Recreation staff will be hosting the Kids Festival at Cascade View Park on August 23,'2014 from noon to
4:00 p.m.
d. City Attorney
There was no report.
e. Intergovernmental
The Council Analyst was not present.
ANNOUNCEMENT
Mayor Haggerton announced that the Council will now go into Executive Session to discuss:
Potential Property Sale — Pursuant to RCW 42.30.110(1)(c)
It will last no more than 30 minutes, and no decisions will be made during the Executive Session.
However, the Council may choose to take action after the Executive Session this evening. If so. the
public will be re- admitted to the Council Chambers and the meeting will be called to order and any action
taken will be during the open meeting.
9:00 p.m. Mayor Haggerton called a 5- minute recess to allow the audience to leave the Council
Chambers.
Tukwila City Council Regular Meeting Minutes
August 18, 2014 Page 7 of 7
EXECUTIVE SESSION — Potential Land Sale — Pursuant to RCW 42.30.110(1)(c) — 30 minutes
Start: 9:05 p.m.
Attendees: Jim Haggerton, Mayor; David Cline, City Administrator; Rachel Turpin, Assistant City Attorney;
Derek Speck, Economic Development Administrator; Tukwila City Councilmembers Joe Duffie, Dennis
Robertson, De'Sean Quinn, Allan Ekberg, Verna Seal, Kathy Hougardy, Kate Kruller.
End: 9:17 p.m.
9:22 p.m. Mayor Haggerton called the Regular Meeting of the Tukwila City Council back to order.
MOVED BY QUINN, SECONDED BY SEAL TO AMEND THE AGENDA TO ADD A NEW BUSINESS
ITEM TO AUTHORIZE THE MAYOR TO EXECUTE A PURCHASE AND SALE AGREEMENT.
MOTION CARRIED 7 -0.
NEW BUSINESS
MOVED BY QUINN, SECONDED BY SEAL TO AUTHORIZE THE MAYOR TO EXECUTE A
PURCHASE AND SALE AGREEMENT TO SELL 3.18 ACRES OF CITY PROPERTY, KNOWN AS
KING COUNTY PARCEL NUMBER 242304 -9034, TO LEUQAR BB, LLC FOR NOT LESS THAN
$1,600,000. MOTION CARRIED 7 -0.
ADJOURNMENT
9:24 p.m. MOVED BY HOUGARDY, SECONDED BY DUFFIE THAT THE TUKWILA CITY COUNCIL
MEETING BE ADJOURNED. MOTION CARRIED 7 -0.
J
ggerton
Christy O'Flaherty, ' ity Clerk
APPROVED BY THE CITY COUNCIL: 9/2/14
AVAILABLE ON CITY WEBSITE: 9/3/14