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HomeMy WebLinkAboutCAP 2011-07-25 Item 2B - Update - North Highline AnnexationTO: City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM Mayor Haggerton Community Affairs and Parks Committee FROM: Lynn Miranda, Senior Planner, DCD DATE: July 20, 2011 SUBJECT: Briefing on Tukwila's North Highline Annexation Effort ISSUE Provide a second briefing on the Tukwila's efforts to annex the North Highline area, including overlap issues and the annexation process. BACKGROUND Staff briefed the Community Affairs and Parks Committee on March 14, 2011, and the Committee of the Whole on March 28, 2011, on the issues involved with annexing the North Highline area. Tukwila designated the North Highline area as a potential annexation area (PAA) in the City's Comprehensive Plan in 1995. The City of Seattle has also designated a much larger area of unincorporated North Highline area as its PAA, which overlaps with Tukwila's PAA (see attached PAA map). There are a number of methods of annexation including election, petition or Interlocal Agreement method. At this time Tukwila has decided to use an Interlocal Agreement process to annex its PAA. On April 4, 2011, Tukwila City Council adopted the resolution number 1737 to commence negotiations with King County for an Interlocal Agreement with King County, as required by RCW 35A.14.460(1). Since April 2011 staff has rechecked the preliminary fiscal analysis to confirm that the additional revenue generated by property and utility taxes (approximately $452,400 in general revenue, $74,000 in enterprise funds) will likely exceed the costs associated with the annexation. There are still some costs associated with servicing the area that cannot be confirmed due to unknown nature of which agency will end up servicing the area. Since the City of Seattle has also been considering annexation of their PAA, which overlaps with Tukwila's smaller PAA, Seattle entered into negotiations with Tukwila and King County to resolve the overlap issues prior to Seattle initiating the annexation. King County Countywide Planning Policy LU -32 encourages using a negotiation process to resolve PAA overlaps in the North Highline area, prior to filing Notice of Intent to annex with King County Boundary Review Board. In June 2011, the City of Seattle formally ended the process to develop a negotiated settlement of the overlap issues that it initiated earlier with the City of Tukwila. During negotiations Tukwila offered to not pursue annexing the PAA provided the City of Seattle entered into a settlement amending the city boundaries around Associated Grocers site and Boeing properties along East Marginal Way South. However Seattle was not interested in any boundary changes that would have a negative impact on their revenue. 19 INFORMATIONAL MEMO Page 2 Also, in March 2011, Seattle passed a resolution stating that while they were interested in annexing their PAA, financial challenges were making it difficult for the City to commit to the annexation at this time. Instead, Seattle committed to making a final decision by February 28, 2012, as to whether to proceed with an annexation election or to withdraw its PAA designation from their Comprehensive Plan. The resolution also stated that Seattle would not stand in the way should Burien choose at any time to proceed with annexing that portion of the North Highline Area designated by Burien as its PAA (which excludes Tukwila's PAA). Burien's annexation of the southern portion of the North Highline area became effective in April, 2010. At this point, Burien is considering moving forward with annexing the northern portion of its PAA that overlaps with Seattle's PAA. Burien and Tukwila's PAA do not overlap. Burien anticipates that a study testing the financial viability of annexing the area will be completed by August 2011 by their consultants. After studying the report and allowing for public comment, Burien officials could place an annexation measure on the ballot. NEXT STEPS Staff is moving forward with a work program to annex Tukwila's PAA in the North Highline area. The proposed next steps are as follows: Summer 2011 • Prepare a frequently asked question (FAQ) handout on annexation and associated issues for the area's residents, businesses, and property owners. • Meet with property owners located in the PAA to introduce Tukwila and gauge their feelings on annexation. Fall 2011 • Provide an update to the Community Affairs and Parks Committee on the preliminary interviews and the status of other cities' annexation efforts. • Present the Community Affairs and Parks Committee with alternative strategies for moving forward with Tukwila's annexation of the PAA. For example: o Based on the outcome of our meetings with property owners, determine if it is more feasible to annex using the 60% Petition method rather than the Interlocal Agreement method. The 60% Petition method requires a petition to the City Council signed by property owners representing at least 60% of the assessed value of the property in the PAA. o Determine the timing of our efforts considering other cities' actions and decisions. For example: • Wait until Seattle withdraws the PAA from their comprehensive plan? • Wait until Burien moves forward with a decision to annex so that our process can occur simultaneously? Or, wait until after Burien annexes? ■ Move forward with annexation as soon as possible, independent of other cities' actions. ATTACHMENTS Map of Potential Annexation Area 20 11113! III11 11111l111u 111IIIII111I Il i� Ili 11IIII11i1■ 1111111111111 IMO MIL :111► 1I11111&I1III 1111I111111 • 1!11111111 11•1111IIIL 111111!6 11111111!1; 0111111118: ■ 1111 ■11; 111111111111" 1111•11m 11•111 I1111I111f1 11111111111 .. I .. W IL■ :111111111 =▪ 1 S ®a ® a ilJ 11111 111 1r' dirreop pot OP Era • 121,7\ \ 11 tHELEli 5._mat r atilt 111 UMW 1011��( El MI 14th.St. =_ ' ■11111111Ino'it 11 ■ 1 inch = 1,000 feet 1- i Potential Annexation Area - Existing 21