HomeMy WebLinkAboutCOW 2011-05-23 COMPLETE AGENDA PACKET Tukwila City Council Agenda
COMMITTEE OF THE WHOLE
Jim Haggerton, Mayor Councilmembers: Joe Duff ie Joan Hernandez
Steve Lancaster, City Administrator Dennis Robertson Verna Seal
Allan Ekberg, Council President Kathy Hougardy De'Sean Quinn
To be followed by a Special Meeting
Monday, May 23, 2011, 7:00 PM Tukwila City Hall Council Chambers
1. CALL TO ORDER PLEDGE OF ALLEGIANCE
2. CITIZEN COMMENT At this time, you are invited to comment on items not included on this agenda
(please limit your comments to five minutes per citizen). To comment on
an item listed on this agenda, please save your comments until the issue is
presented for discussion.
3. SPECIAL a. A resolution appointing committees to prepare written arguments Pg.1
ISSUES advocating approval and rejection of proposed formation of a Tukwila
Pool Metropolitan Park District Ballot Measure for inclusion in the
August 16, 2011 election Voters' Pamphlet.
b. Tukwila Village: Recommendation on developer selection. Pg.7
4. REPORTS a. Mayor
b. City Council
c. Staff
d. City Attorney
e. Intergovernmental
5. MISCELLANEOUS
6. EXECUTIVE SESSION
7. ADJOURN TO SPECIAL MEETING
SPECIAL MEETING
Ord #2334 Res #1742
1. CALL TO ORDER ROLL CALL
2. CONSENT AGENDA Approval of vouchers.
3. UNFINISHED A resolution appointing committees to prepare written arguments Pg.1
BUSINESS advocating approval and rejection of proposed formation of a Tukwila
Pool Metropolitan Park District Ballot Measure for inclusion in the
August 16, 2011 election Voters' Pamphlet.
4. ADJOURNMENT
Tukwila City Hall is wheelchair accessible.
Reasonable accommodations are available at public hearings with advance notice to the
City Clerk's Office (206- 433 -1800 or tukclerk @tukwilawa.gov). This notice is available at
www.tukwilawa.aov, and in alternate formats with advance notice for those with disabilities.
Tukwila Council meetings are audio taped.
HOW TO TESTIFY
If you would like to address the Council, please go to the podium and state your name and address clearly for
the record. Please observe the basic rules of courtesy when speaking and limit your comments to five
minutes. The Council appreciates hearing from citizens but may not be able to take immediate action on
comments received until they are referred to a Committee or discussed under New Business.
COUNCIL MEETINGS
No Council meetings are scheduled on the 5th Monday of the month unless prior public notification is given.
Regular Meetings The Mayor, elected by the people to a four -year term, presides at all Regular Council
Meetings held on the 1st and 3rd Mondays of each month at 7:00 p.m. Official Council action in the
form of formal motions, adopting of resolutions and passing of ordinances can only be taken at Regular
Council meetings.
Committee of the Whole Meetings Council members are elected for a four -year term. The Council
President is elected by the Council members to preside at all Committee of the Whole meetings for a
one -year term. Committee of the Whole meetings are held the 2nd and 4th Mondays at 7:00 p.m.
Issues discussed are forwarded to the Regular Council meeting for official action.
GENERAL INFORMATION
At each Council meeting citizens are given the opportunity to address the Council on items that are not
included on the agenda during CITIZENS COMMENTS. Please limit your comments to 5 minutes.
Special Meetings may be called at any time with proper public notice. Procedures followed are the same as
those used in Regular Council meetings.
Executive Sessions may be called to inform the Council of pending legal action, financial, or personnel
matters.
PUBLIC HEARINGS
Public Hearings are required by law before the Council can take action on matters affecting the public interest
such as land -use laws, annexations, rezone requests, public safety issues, etc. Section 2.04.150 of the
Tukwila Municipal Code states the following guidelines for Public Hearings:
1. The proponent shall speak first and is allowed 15 minutes for a presentation.
2. The opponent is then allowed 15 minutes to make a presentation.
3. Each side is then allowed 5 minutes for rebuttal.
4. Citizens who wish to address the Council may speak for 5 minutes each. No one may speak a second
time until everyone wishing to speak has spoken.
5. After each speaker has spoken, the Council may question the speaker. Each speaker can respond to the
question, but may not engage in further debate at this time.
6. After the Public Hearing is closed and during the Council meeting, the Council may choose to discuss
the issue among themselves, or defer the discussion to a future Council meeting, without further public
testimony. Council action may only be taken during Regular or Special Meetings.
COUNCIL AGENDA SYNOPSIS
�nitials I ITEM
Meeting Date
Prepared b Ma o eview Council review
05/23/11 CO
(3— 5
ITEM INFORMATION
CAS NUMBER: 11-053 STAFF SPONSOR: SHELLEY KERSLAKE IORIGINAL AGENDA DATE: 5/23/11
A( hrrM Trrr_I A resolution appointing pro and con committees regarding the formation of a
Metropolitan Park District for the Tukwila Poo'
C\TI?GORY Discussion Motion Resolution Ordinance BidAward Public Hearing Other
Mtg Date 9123111 Mtg Date Mig Date 9123111 Mt
g Date Mtg Date Mtg Date Mtg Date
SPONSOR Council Mayor Adm Svcs DCD Finance Fire Legal PAR E] Police Ply
SPONSOR'S Pursuant to RCW 29.A.32.280, the City shall formally appoint a committee to prepare
SUMMARY arguments advocating approval of the measure and a committee to prepare arguments
advocating rejection of the measure. The City took steps to advertise the opportunity to
participate in the committees by posting a notice on the City website, at City facilities, and
announcing it at a Council meeting. The City received one interested response which is
contained in the attached Resolution, which is due to King County Elections by 5/27/11.
Rrwlr:,wI BY COW Mtg. CA &P Cmte F &S Cmte Transportation Cmte
Utilities Cmte Arts Comm. Parks Comm. Planning Comm.
DATE: COMMITTEE CHAIR: S
RECOMMENDATIONS:
SPONSOR /ADMIN. City Attorney's Office
CONIMI"1TEE Forward to Committee of the Whole /Special Meeting
COST IMPACT. FUND SOURCE
EXPI ";NDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED
Fund Source:
MTG. DATE =RECORD OF`.COUNCIL ACTION
05/23/11
J MTG.DATEJ ATTACHMENTS
05/23/11 Informational Memorandum dated 5/18/11
Resolution
1
2
r
City of Tukwila
Jim Haggerton, Mayor
INFORMATIONAL MEMORANDUM
TO: Mayor Haggerton
FROM: Shelley Kerslake, City Attorney 4�v
DATE: May 18, 2011
SUBJECT: Metropolitan Park District Ballot Measure Pro and Con Committee
Appointments
ISSUE
Whether the City should adopt a resolution appointing pro and con committees to
prepare arguments to be included in the local voters' pamphlet regarding the formation
of a Metropolitan Park District for the Tukwila Pool.
BACKGROUND
Pursuant to RCW 29.A.32.280, for each measure from a unit of local government that is
included in a local voters' pamphlet, the legislative authority of that jurisdiction shall, not
later than forty -five days before the publication of the pamphlet, formally appoint a
committee to prepare arguments advocating voters' approval of the measure and shall
formally appoint a committee to prepare arguments advocating voters' rejection of the
measure. The Council shall appoint persons known to favor the measure to serve on
the committee advocating approval and shall, whenever possible, appoint persons
known to oppose the measure to serve on the committee advocating rejection. Each
committee shall have not more than three members, however, a committee may seek
the advice of any person or persons.
DISCUSSION
The City took affirmative steps to advertise the opportunity to participate in these
committees by posting the information on the City web -site, at City facilities and
announcing it at a City Council meeting. The City only received one interested response
and that name appears on the resolution that is before you, for consideration.
RECOMMENDATION
Approve the resolution appointing pro and con committees.
ATTACHMENTS
Resolution
3
4
1 of
Washington
Resolution No.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUKWILA, WASHINGTON, APPOINTING COMMITTEES TO
PREPARE WRITTEN ARGUMENTS, ADVOCATING APPROVAL
AND REJECTION OF PROPOSED FORMATION OF A
TUKWILA POOL METROPOLITAN PARK DISTRICT BALLOT
MEASURE, FOR INCLUSION IN THE AUGUST 16, 2011
PRIMARY ELECTION VOTERS' PAMPHLET.
WHEREAS, on April 18, 2011, the Tukwila City Council passed Resolution No.
1738, which called for an election to be conducted and held within the City of Tukwila on
August 16, 2011, for the purpose of submitting to the qualified electors of the City, for
their ratification or rejection, a proposition creating the Tukwila Pool Metropolitan Park
District; and
WHEREAS, pursuant to RCW 29A.32.280 a local jurisdiction that has a ballot issue
for either the primary or general election is required to have its legislative authority
formally appoint, not later than 45 days before publication of the voters' pamphlet, a
committee to prepare arguments advocating voters' approval of the measure and a
committee to prepare arguments advocating voters' rejection of the measure; and
WHEREAS, the legislative authority is required to appoint persons known to favor
the measure to serve on the committee advocating approval, and shall, whenever
possible, appoint persons known to oppose the measure to serve on the committee
advocating rejection; and
WHEREAS, each committee shall have not more than three members; however the
committees may seek the advice of any person or persons; and
WHEREAS, the City Council desires to appoint the committees as provided for in
RCW 29A.32.280;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
W: \Word Processing \Resolutions \Pool Park District -Pro Con Cmtes 5 -4 -11
SK:bjs Page 1 of 2
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Section 1. Committee to Prepare Arguments Advocating Approval. The
following individuals are appointed to serve on a committee to prepare arguments for
inclusion in the voters' pamphlet advocating approval of the proposed Tukwila Pool
Metropolitan Park District:
Christine Neuffer
Section 2. Committee to Prepare Arguments Advocating Rejection. The
following individuals are appointed to serve on a committee to prepare arguments for
inclusion in the voters' pamphlet advocating rejection of the proposed Tukwila Pool
Metropolitan Park District:
Section 3. Submission of Written Arguments. The committees appointed in
Sections 1 and 2 above are directed to submit their written arguments to King County
Elections no later than June 1, 2011, with rebuttal arguments submitted no later than
June 3, 2011. Written arguments must comply with word limits and other requirements
as set forth at pages 46 49 of the King County 2011 Jurisdiction Manual, available at
http /vour.kinacountv.aov/ elections /vour /docs /Jurisdiction Manual. odf and from King
County Elections.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at
a Special Meeting thereof this day of 1 2011.
ATTEST /AUTHENTICATED:
Christy O'Flaherty, CMC, City Clerk Allan Ekberg, Council President
APPROVED AS TO FORM BY:
Filed with the City Clerk:
Passed by the City Council:
Resolution Number:
Shelley M. Kerslake, City Attorney
W: \Word Processing \Resolutions \Pool Park District -Pro Con Cmtes 5 -4 -11
SK:bjs Page 2 of 2
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COUNCIL AGENDA SYNOPSIS
Initials ITEMNO.
Meeting Date Prepared by MqjPr,*',review Council review
Iir 7.
05/23/11 DCS
06/06/11 DCS
ITEM INFORMATION
CAS N U MBI: 11-054 I STAFF SPONSOR: DEREK SPECK ORIGINAL, AGENDA DATE: 5/23/11
A(; j 'Nl):\ TITLE Tukwila Village Developer Selection
Cxi'j;G()RY Z Discussion Z Motion Resolution Ordinance BidAward Public Heann
,g 0 Other
Mtg Date O5123111 Mtg Date 616111 Mt Date
,g Date Mtg Date Mi Mt
,g Date Aft Date
SPONSOR Council M Mayor HR DCD Finance Fire IT P&R Police PIV
SPONSOR'S The Council is being asked to consider and select a developer for Tukwila Village.
SUMMARY
RI- -xij -'Av.EA) BY cow Mtg. CA&P Cmte F&S Cmte Transportation Cmte
Utilities Cmte Arts Comm. Parks Comm. Planning Comm.
DATE: COMMITTEE CHAIR:
RECOMMENDATIONS:
SPONSOR/ADMIN. Select Tukwila Village Development Associates, LLC
COMMITTEE
COST IMPACT FUND SOURCE
EXPENDITuiu_ REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED
Fund Source:
Comments:
I MTG. DATE I RECORD OF COUNCIL ACTION
05/23/11
I MTG. DATE I ATTACHMENTS
05/23/11 Informational Memorandum dated 5/18/11
Tukwila Village Developer Selection Principles
Tukwila Village Vision Statement
Income Limitation Table
Citizen Comment Sheet
7
8
City of Tukwila
Jim Haggerton, Mayor
INFORMATIONAL MEMORANDUM
TO: Mayor Haggerton
FROM: Derek Speck, Economic Development Administrator
DATE: May 18, 2011
SUBJECT: Tukwila Village Developer Selection
ISSUE
The City Council is requested to select a developer for Tukwila Village.
BACKGROUND
On March 14, 2011 the City Council approved a developer selection process for Tukwila
Village. The City issued the Request for Qualification on March 30 and closed the
application period on April 29. Applications were received from two developers: Trillium
Corporation and Tukwila Village Development Associates, LLC (which will be referenced
as SHAG, for reasons described below). Staff has reviewed the applications and seeks
Council selection of a developer so that staff can begin negotiations.
DISCUSSION
This developer selection process is intended to be based on the developers' qualifications
as they relate to Tukwila Village. As such, the application requested information on each
developer's experience with similar developments, experience getting financing,
experience getting commercial or residential tenants, management team, and design
team. The application also asked the developers to describe their general concept for
Tukwila Village and other relevant information. The staff team reviewed this information
and has determined that both developers are highly qualified. Both developers' concepts
embrace the City's vision for Tukwila Village and fit the selection principles approved by
Council and shown on Attachment 1. The developers' concepts and qualifications and key
differences are summarized below.
Developer Experience
Trillium
Trillium is based in Bellingham, Washington. Trillium has over 40 years of development
experience and has done many different types of projects ranging from golf courses to
shopping malls. In general, Trillium is a "master developer" in that they will get ownership
control of large areas of land, create a master plan, install roads and infrastructure,
coordinate zoning and other entitlements, and then sell or lease parcels to other
developers to construct the buildings and lease out the space. In some cases, Trillium
also constructs the buildings and leases out the space.
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INFORMATIONAL MEMO
Page 2
In response to the application's request for three examples of prior development projects,
Trillium described Cordata near Bellingham, Washington, Denver Commons near Denver,
Colorado, and Semiahmoo Resort near Blaine, Washington. These are large
developments ranging in size from 165 acres to 1,100 acres. They show that Trillium has
good experience taking projects from start to finish, working with many types of uses
including office, retail, apartments, condominiums, houses, entertainment, education,
recreation, and many others. In the Cordata development, Trillium worked with an
organization that developed senior housing. These examples show that Trillium has a
wide variety of experience and success in arranging financing and bringing product to
market. Trillium is not itself a developer of senior housing so they would need to partner
with another senior housing developer. Their application indicates they are in discussions
with Regency Pacific, which owns many senior housing developments in Washington and
other states.
Senior Housing Assistance Group (SHAG)
The Senior Housing Assistance Group (SHAG) is a private Washington non profit
corporation headquartered in Puyallup, Washington that is "dedicated to providing quality
affordable, safe and secure independent living opportunities for elderly and disabled
individuals and households Formed in 1988, SHAG is committed to sponsoring
affordable senior living rental apartment communities designed specifically to address the
needs of low and moderate income seniors. SHAG currently operates thirty senior living
apartment communities throughout the Puget Sound comprising 4,566 dwelling units.
SHAG, however, is not the developer or owner of these projects. SHAG cooperates with
third party developers and owners. SHAG owns a for profit subsidiary, the Senior Housing
Assistance Corporation (SHAC) which has the same officers and board of directors.
SHAC partners with other developers and owners for SHAG communities.
One of SHAC's main partners in the development and ownership of SHAG communities is
Pacific Northern Construction Company, Inc. (Pacific Northern). Pacific Northern was
formed in 1994 and has developed, or co- developed, thirty affordable rental apartment
communities including both senior living and family living communities comprising 4,753
dwelling units. Bryan Park is the President and controlling shareholder of Pacific
Northern. Twenty -eight of SHAC's thirty senior communities were developed and
constructed under the supervision of Pacific Northern.
Technically, SHAG is not the applicant for Tukwila Village. The actual applicant is Tukwila
Village Development Associates, LLC. The sole members and managers of the applicant
are SHAC and Pacific Northern. However, because this is the typical organizational
structure of senior living communities that are publicly recognized as the SHAG brand, for
simplicity and public understanding in this report, city staff will refer to the applicant as
SHAG.
In response to the application's request for three examples of prior development projects,
SHAG described Arrowhead Gardens, Linden Place at Bitter Lake, and Rainier Court.
These projects are mixed -use developments ranging in size from 386 apartments to 449
apartments, 5,500 to 18,500 square feet of retail /commercial space. These developments
ranged from $55 million to $60 million in total cost. These developments show that SHAG
WA2011 Info Memos\TAVillage5- 23- 1 1.doc
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INFORMATIONAL MEMO
Page 3
has strong experience and success in arranging financing and bringing product to market
for developments that are very similar in size and scope to Tukwila Village.
Both developers have excellent experience and capacity to complete the project. Trillium
has wider range of experience but SHAG is more experienced with projects of the size and
market demographics of Tukwila Village.
Development Team
Trillium's proposed development team would include the architecture firm of Collins
Woerman. Trillium has not selected a general contractor or other key members of their
development team for this project. Trillium is in discussions with Regency Pacific to
develop the senior housing portion of the project. Collins Woerman is an excellent
architecture firm highly capable of the sort of work needed for Tukwila Village and is very
familiar with the project because they provided architectural services for a previous
developer's proposal in 2008.
SHAG's proposed development team would include the architecture firm of Johnson
Braund Design Group, Inc. (JBDG), Inter -City Contractors as the general contractor,
Pacific Northern as the construction project manager, and Independent Living Associates
as the property management company. These firms have teamed on many of SHAG's
developments and have a lot of experience working together. JBDG is an excellent
architecture firm highly capable of the sort of work needed for Tukwila Village. JBDG is
also headquartered in Tukwila and very familiar with the neighborhood.
Both developers would bring high quality partners to their team. At this point, we have
greater knowledge about SHAG's team, and in particular, their expertise in senior and
family apartments which would be the largest financial component of the site.
Concept
Trillium's concept includes a library of up to 20,000 square feet, a 2,000 square foot police
neighborhood resource center, a 20,000 square foot public plaza, a meeting area, 20,000
to 40,000 square feet of medical office space, and 300 to 600 apartments. Of the
apartments, approximately 50% would be age restricted for seniors. At this time, Trillium
does not anticipate any of the apartments being income restricted or rent restricted
although they would like that option to be available. Trillium did not specify a specific
amount of retail or describe the type of retail but did refer to including ground floor retail.
Trillium indicated they support the King County Library's desire to locate on the northeast
corner of the intersection of Tukwila International Boulevard and South 144 Street and
they see HealthPoint as a good fit for the medical office space.
SHAG's concept includes a 10,000 square foot library, a 2,000 square foot police
neighborhood resource center, a 20,000 square foot public plaza, a 2,000 square foot
indoor community commons, a 20,000 square foot medical office space, 7,000 square feet
of retail space, and 382 apartments.
SHAG indicated they support the King County Library's desire to locate on the northeast
corner of the intersection of Tukwila International Boulevard and South 144 Street and
they see HealthPoint as a good fit for the medical office space. Their application includes
WA2011 Info Memos\TukViIIage5- 23- 1 1.doc
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INFORMATIONAL MEMO
Page 4
a letter from HealthPoint indicating an interest in being included in SHAG's concept for
Tukwila Village. SHAG indicates the retail would be a coffee shop /ice cream parlor /deli,
one or two restaurants, and some small retail spaces.
Of the 382 apartments, 321 would be age restricted (senior apartments) and 61 would be
not age restricted. The non -age restricted apartments would all be in one building and
would have no rent restrictions; however, on 12 of the apartments, incomes would be
restricted to households earning less than 50% of the area median income. Of the senior
apartments, 83 would be restricted to households earning less than 50% of the area
median income, 130 would be restricted to households earning less than 60% of the area
median income, 41 would be restricted to households earning less than 80% of the area
median income, and 67 would have no income restrictions. Of the units with income
restrictions, 186 would also have rent restricted to no more than 30% of the household's
income. A chart showing current area median income is included as Attachment 2.
Of the 61 non senior apartments, five would be live /work loft style. Of the 321 senior
apartments, 15 would be townhouse style with street level entries.
Both developers' concepts are very similar in types of uses such as the library, police
neighborhood resource center, plaza, indoor community commons, medical office, retail,
and apartments. Trillium indicates potential for greater amount of medical office and
library but those users have not indicated a desire for that extra space. Trillium sees
potential for more apartments. SHAG sees potential in a higher percentage of senior
apartments and including some income and rent restrictions. It is important to remember at
at this stage, both developers' concepts are very preliminary and may change as they
further refine the project.
It should be noted that SHAG has a dual purpose in accepting restrictions on household
income or rent. First, it fulfills SHAG's mission. Second, it makes the development eligible
for lower cost (tax exempt) financing, tax credit equity, and property tax exemptions which
make the project more financially feasible.
Overall, Trillium's concept seems more fluid while SHAG's seems farther along in analysis.
Trillium is more likely to seek a development targeted to higher income tenants but it is
untested and SHAG's target market is more defined and likely to be feasible.
Timeline
Trillium indicated a desire to execute an agreement with the City within a matter of
months. Staff is not clear on Trillium's estimate for completing any feasibility analysis, pre
development, and design work but Trillium indicated it typically completes construction 18
months after closing on the land purchase.
SHAG has completed a preliminary due diligence analysis. If selected, they expect to
complete due diligence and feasibility analysis in 90 days. They expect to complete the
design /development/permitting within six months of completing negotiations with the City.
Construction would take 12 to 18 months, depending on the phase. SHAG's current
estimate is to complete construction on the "north phase" in late 2013 and on the "south
phase" in mid -2014.
WA2011 Info Memos\TukViI1age5- 23- 1 1.doc
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INFORMATIONAL MEMO
Page 5
Both developers indicate a desire to start negotiations quickly and construct the project in
a reasonable timeframe. SHAG provided a more detailed timeline that appears to have
greater certainty.
SHAG's concept includes more detail than Trillium's and SHAG appears to have
completed a greater amount of feasibility analysis.
Other Considerations
There are many other considerations. Some of the more significant are:
King County Library's Preference: At the time this report was drafted, the Library staff
indicated they thought both developers were qualified and the Library could work with
either one. The Library had met with SHAG and felt it was a very positive meeting.
Future Revitalization: In staff's opinion, Trillium has greater experience and capacity to
expand the Tukwila Village project, or take on other projects in the neighborhood.
City Financial Results: Because this selection process is based on qualifications and not
actual proposals, we do not know with certainty what the land price will be or which
developer would pay the City the most for the property. Both developers indicated they
intended to pay a fair market price for the land based on the actual development agreed to
between the developer and City. There are many factors that would affect this price such
as cost of construction, cost of financing, and rents. One factor should be mentioned
since it can be very significant. Given that the neighborhood around Tukwila Village has
household incomes much lower than the average median income for King County, it is
likely that the household incomes allowed under the SHAG concept would be similar to
those under the Trillium concept; however, the SHAG concept would be eligible for lower
cost financing and tax credit equity which would result in a higher land price to the City.
Because a large portion of SHAG's development would likely be exempt from paying
property tax for a number of years, the City would receive more ongoing revenue from the
Trillium development.
Citizen Feedback
Citizens were invited to come to City Hall during the first two weeks of May to review the
developer applications and provide feedback to City staff. Two citizens submitted written
comments on the form provided by staff (see attachment 4). Staff made presentations at
the Chamber of Commerce's Tukwila Government Affairs committee and at the Tukwila
International Boulevard Action Committee. Full copies of the applications were posted on
the Tukwila Village website on May 13.
Summary Comparison
Staff believes both developers are strong, have good experience, and can perform well
with Tukwila Village. Trillium has broader capabilities which means that it can be more
flexible if market conditions change or the City's vision changes. Trillium also has more
experience acting as a master developer. SHAG has more experience with projects the
size of Tukwila Village, understands senior housing more, has done more feasibility
analysis, and has a more specific timeframe for project completion.
WA2011 Info Memos\TukVjIIage5- 23 -1 Uoc
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INFORMATIONAL MEMO
Page 6
Staff believes both concepts are strong and fulfill the vision of Tukwila Village. Because
SHAG's concept includes some income and rent restricted apartments, it is more likely to
receive financing, more likely to receive lower cost financing, and be more feasible.
Because SHAG's concept is very similar to their typical developments, their concept is
more predictable.
In summary, both developers are qualified. The community has gone through many ups
and downs with Tukwila Village over past number of years. At this stage, staff
recommends Council select SHAG since its experience and concept have more
predictability and certainty.
RECOMMENDATION
Staff recommends Council selects Tukwila Village Development Associates, LLC as the
preferred developer and authorizes authorizes staff to enter into exclusive negotiations
with said developer.
ATTACHMENTS
Developer Selection Principles
Tukwila Village Vision Statement
Income Limitation Table
Citizen comment sheet
WA2011 Info MemosUAVillage5- 23 -1 tdoc
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INFORMATIONAL MEMO
Page 7
ATTACHMENT 1
Developer Selection Principles (as approved by Council 3/7/11)
(1) The City still holds the vision for Tukwila Village that was adopted in 2007.
(2) The Library is still a key component of the vision and the City is committed to
reasonable deal terms to include the Library at the primary corner "Site B
(3) Active living, age restricted apartments "senior apartments" for 62 and older) are
an appropriate type of residential space and can be a major portion, or even all, of
the residential space.
(4) Some portion of the apartments (senior or non senior) can be "affordable
meaning income restricted to levels of 50 60% and 80% of area median income.
(5) If possible, a significant portion of the units should also be "market rate meaning
not income restricted.
(6) A heathcare provider, including a non profit providing primary and dental care to
people regardless of income, can be a positive use for the site.
Developer Selection Principles (excerpted and paraphrased from the 2008 RFQ)
(1) The City desires a development that accomplishes the City's vision as adopted by
the City Council in 2007:
"Tukwila Village will be a welcoming place where all residents can gather
and connect with each other. This mixed -use development will draw upon
Tukwila's strengths and include a library, a neighborhood police resource
center, retail, restaurants, public meeting space, and an outdoor plaza. The
Village may also include office, live /work, and residential space. This
active, vibrant place will set high standards for quality and foster additional
neighborhood revitalization and civic pride.
(2) The City prefers to sell all six acres to one developer. However, selling significant
portions to separate developers will be considered.
(3) This project is located in a designated urban renewal area in which the City has
eminent domain authority; however, the City is not seeking to acquire additional
property at this time.
(4) In addition to the library and neighborhood police resource center, the City is
amenable to concepts that include office, live /work, or residential as major
components of the development. Apartments will be considered but preference
may be given to concepts with ownership housing.
WA2011 Info Memos\TukViIIage5- 23- 1 1.doc
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INFORMATIONAL MEMO
Page 8
(5) The City encourages both market rate and mixed income concepts but is not
interested in concepts in which the entire residential component is income
restricted, unless it is to offer housing for active seniors or artists.
(6) The City desires to maximize its financial return while achieving the project vision.
We are open to creative approaches such as phasing the construction, phasing
financial payments, or retaining an equity position.
(7) Improvements are scheduled for South 144 Street in the City's capital
improvement plan. If technically feasible, the City is willing to coordinate the timing
of those improvements to coincide with the development of this project. The City
owns Tukwila International Boulevard and is willing to explore on- street parking or
other improvements.
(8) The City plans to own or lease approximately 2,000 square feet of office space in
the development for a neighborhood police resource center.
(9) We encourage green and environmentally sustainable building practices.
WA2011 Info MemosJukVillage5- 23- 1 1.doc
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INFORMATIONAL MEMO
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ATTACHMENT 2
Tukwila Village Vision
Tukwila Village will be a welcoming place where all residents can gather and connect
with each other. This mixed -use development will draw upon Tukwila's strengths and
include a library, a neighborhood police resource center, retail, restaurants, public
meeting space, and an outdoor plaza. The Village may also include office, live /work, and
residential space. This active, vibrant place will set high standards for quality
and foster additional neighborhood revitalization and civic pride.
WA2011 Info MemosJukVillage5- 23 -1 Uoc
17
INFORMATIONAL MEMO
Page 10
ATTACHMENT 3
Household Income Restrictions
Max of AMI 1 person 2 Persons 3 Persons
80% $48,000 $54,800 $61,680
60% $36,000 $41,100 $46,260
50% $30,000 $34,250 $38,550
This table reflects the maximum income for households eligible to rent apartments set aside for households at
80 60% or 50% of the area median income.
AM[ area median income
Income limits per Washington State Housing Finance Commission for King County effective 5/14/10.
W:12011 Info MemosJukVillage5- 23- 1 1.doc
18
INFORMATIONAL MEMO
Page 19
ATTACHMENT 4
Citizen Comments
The public was invited to review the developer applications at City Hall during the first two
weeks of May and submit comments on prepared survey forms. Approximately four citizens
attended and two submitted comments. Following are the submitted comments.
Comments from Marie Parish
Concept:
Which developer's concept best fits the City's vision?
Comments on Trillium: "no retail
Comments on SHAG: "Specifically addresses all key elements"
Which developer is strongest in this regard? "SHAG"
Concept
Which developer's concept best fits the Library's goals, includes "green" and sustainable
elements, and is easiest to manage well?
Comments on Trillium:
Comments on SHAG: "Would include residents and other interested parties in
management/scheduling of common areas."
Which developer is strongest in this regard? "SHAG"
Comments from Chuck Parish
Concept
Which developer's concept best fits the City's vision?
Comments on Trillium:
Comments on SHAG: "Looks like a better mix but 1 do not like the possibility of up to 900% of
age restricted housing being income restricted. Needs to be majority market rate."
Which developer is strongest in this regard? "SHAG"
Concept
Which developer's concept best fits the Library's goals, includes "green" and sustainable
elements, and is easiest to manage well?
Comments on Trillium:
Comments on SHAG:
Which developer is strongest in this regard? "Unimportant at this stage." f
W12011 Info MemoslTukVillage5- 23- 1 1.doc
19
20
4
p comin g Meetings Events
xMay&&June2®11
23rd `($lpndav) ..t
24th"(Tuesda "i
26th' (Thursday)
27th (Friday)
28th (Saturday)
Community
Affairs Parks
Cmte,
5:00 PM
(CR #3)
City Council
Committee of
the Whole Mtg.,
7:00 PM
(Council
Chambers)
C.O.W. TO BE
IMMEDIATELY
FOLLOWED BYA
SPECIAL MTG.
Utilities Cmte,
5:00 PM
(CR #1)
COPCAB,
6:30 PM
(CR #5)
Planning
Commission
6:30 PM
(Council
Chambers)
Tukwila Intl. Blvd.
Action Cmte's
Trash Pickup Day
9.00— 10:00 AM
1
For location contact
Ricic
rick ors hler.org
Spray Pork
Open 10:00
8:00 PM dui
permitting)
Tukwila C
Center
zz
a I
6
Opens!
AM to
y (weather
mm unity
s
/I
300t'tun`daY)
k1Tuesaay'..3`'.=
J:st:(R?@' ikidap)
f2iid '(Thursda
3rd (Friday)_'
4tli'(Saturday)-'
Memorial Day
City offices closed
Sieekin
S Sister City
Cmte, 5:30 PM,
(Tukwila
Community
Center)
Equity
Diversity
Commission,
5:15 PM
(CR #3)
Hands On
Tukwila
A Community
Clean -up Event
C\ c.o//
.'4\
Volunteers are needed
to get their hands dirty
to clean up Tukwila
trails in honor of
National Trails Day.
To participate contact
the Tukwila
Community Center at
206- 768 -2822 or email
volunteer@
tukwilawa.gov
Arts Commission 1st Tues., 5:30 PM, Tukwila Community Center. Contact Stephanie Gardner at 206- 767 -2342.
Chamber of Commerce's Tukwila Government and Community Affairs Committee: 1st Tues., 12:00 Noon, Chamber Offices.
Contact Lynn Wallace at 206 -575 -1633.
➢City Council Committee of Whole (C.O.W.) Meeting: 2nd 4th Mon., 7:00 PM, Council Chambers at City Hall.
City Council Regular Meeting: 1st 3rd Mon., 7:00 PM, Council Chambers at City Hall.
Civil Service Commission: 1st Mon., 5:00 PM, Conf. Room #3. Contact Human Resources at 206 431 -2187.
Community Affairs Parks Committee: 2nd 4th Mon., 5:00 PM, Conf Room #3. (A) Additional grant funding for lighting
upgrades (B) lnterlocal agreement with Kent granting permitting authority to Tukwila for Tukwila South wetland mitigation area. (C)
Comprehensive Plan amendments. (D) Duwamish Hill Preserve update. (E) Parks Recreation Events Calendar
COPCAB (Community Oriented Policing Citizens Adv. Board): 4th Wed., 6:30 PM, Conf. Rm #5. Phi Huynh (206- 433 7175).
Equity Diversity Commission: 1st Thurs., 5:15 PM, Conf. Room #3. Contact Joyce Trantina at 206- 433 -1850.
Finance Safety Committee: 1st 3rd Tues., 5:00 PM, Conf Room #3.
>Human Services Advisory Brd: 2nd Fri. of odd months, 10:00 AM, Human Services Office. Contact Evie Boykan at 206- 433 -7180.
Library Advisory Board: 3rd Wed., 7:00 PM, Foster Library. Contact Stephanie Gardner at 206- 767 -2342.
Lodging Tax Advisory Committee: Every other month (or as scheduled), 12:00 Now Contact Katherine Kertsman at 206 -575 -2489.
➢Parks Commission: 3rd Wed., 5:30 PM, Senior Game Room at Community Center. Contact Stephanie Gardner at 206- 767 -2342.
Planning Commission /Board of Architectural Review: 4th Thurs., except 2nd Thursday in Nov. Dec., 6:30 PM,
Council Chambers at City Hall. Contact Wynetta Bivens at 206 431-3670.
P Sister City Committee: Quarterly, 5:30 PM,. Conf. Room #3. Contact Human Resources at 206- 431 -2187.
S. Transportation Committee: 1st 3rd Mon., 5:00 PM, Conf. Room 41.
P Tukwila Historical Society: 3rd Thurs., 7:00 PM (meeting location varies). Contact Pat B rodin at 206 433 -186/.
>Tukwila Intl. Blvd. Action Cmte: 2nd Tues., 7:00 PM, Tukwila Community Center. Contact Interim Chief Villa at 206 -433 -1815.
➢Utilities Committee: 2nd 4th Tues., 5:00 Pm, Conf Room #1. (A) Interurban Avenue South Gravity Sewer Bid Award
22
Tentative Agenda Schedule
MONTH
34I S G1
ETING2
MEETING 3
REGULAR
MEETING 4_
C.O.W.
May
2
9
16
23
See agenda packet
cover sheet for this
week's agenda
(May 23, 2011
Committee of the Whole
Meeting)
June
6
Special Presentation:
13
20
27
Public Hearing:
Financeial Status
Report on P' Quarter
2011
Appointment
Shoreline Master
Program Four
ordinances
Special Issues:
Confirm the
appointment of Mike
Villa as the Chief of
Police
Unfinished Business:
Shoreline Master
Program
Contract amendment
Tukwila Village:
Recommendation on
developer selection
J
4th
Independence Day
(City offices closed)
5 (Tuesday)
Unfinished Business:
11
18
25
Shoreline Master
Program Four
ordinances
Contract amendment
23