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Home My WebLink AboutCOW 2024-02-12 COMPLETE AGENDA PACKET�vI_A w Tukwila City Council Agenda J 4 .• COMMITTEE OF THE WHOLE .• `''s� 20 Thomas McLeod, Mayor Councilmembers: ❖ De'Sean Quinn ❖ Tosh Sharp 1905 Marty Wine, Interim City Administrator ❖ Armen Papyan ❖ Jovita McConnell Mohamed Abdi, Council President ❖ Dennis Martinez ❖ Hannah Hedrick ON -SITE PRESENCE: TUKWILA CITY HALL COUNCIL CHAMBERS REMOTE PARTICIPATION FOR THE PUBLIC: 1-253-292-9750, ACCESS CODE: 670077847# Click here to: Join Microsoft Teams Meeting 6200 SOUTHCENTER BOULEVARD For Technical Support: 1-206-433-7155 Monday, February 12, 2024; 7:00 PM • Ord #2728 • Res #2092 1. CALL TO ORDER / PLEDGE OF ALLEGIANCE 2. LAND ACKNOWLEDGEMENT The City of Tukwila is located on the ancestral lands of the Coast Salish people. We acknowledge their continuing connections to land, waters and culture. We pay our respects to their elders past, present and emerging. 3. PUBLIC COMMENTS including comment on items both on and not on the meeting agenda Those wishing to provide public comments may verbally address the City Council both on -site at Tukwila City Hall or via phone or Microsoft Teams for up to 5 minutes for items both on and not on the meeting agenda. To provide comment via phone or Microsoft Teams, please email citycouncil@tukwilawa.gov with your name and topic by 5:00 PM on the meeting date. Please clearly indicate that your message is for public comment during the meeting, and you will receive further instructions. 4. SPECIAL ISSUES a. An update on the Financial Sustainability Committee. b. An update on solid waste transition. c. An update from the Department of Community Development: (1) Rental Housing Program (2) Code Enforcement Pg.1 Pg.33 Pg.55 Pg.75 5. REPORTS a. Mayor b. City Council c. Staff 6. MISCELLANEOUS 7. EXECUTIVE SESSION 8. ADJOURNMENT This agenda is available at www.tukwilawa.gov, and in alternate formats with advance notice for those with disabilities. Remote Tukwila Council meetings are audio taped (and video taped as of 9/14/20). Available at www.tukwilawa.gov) -awl If you are in need of translation or interpretation services at a Council meeting, Vii% please contact us at 206-433-1800 by 12:00 p.m. on the meeting date. WELCOME TO THE TUKWILA CITY COUNCIL MEETING The Tukwila City Council encourages community participation in the local government process and welcomes attendance and public comment at its meetings. MEETING SCHEDULE Regular Meetings are held at 7:00 p.m. on the 1st and 3rd Mondays of each month. The City Council takes formal action in the form of motions, resolutions and ordinances at Regular Meetings. Committee of the Whole Meetings are held at 7:00 p.m. on the 2nd and 4th Mondays of each month. The City Council considers current issues, discusses policy matters in detail, and coordinates the work of the Council at Committee of the Whole meetings. PUBLIC COMMENTS Members of the public are given the opportunity to address the Council for up to 5 minutes on items both on and not on the meeting agenda during Public Comments. The City Council will also accept comments on an agenda item when the item is presented in the agenda, but speakers are limited to commenting once per item each meeting. When recognized by the Presiding Officer, please go to the podium if on -site or turn on your microphone if attending virtually and state your name clearly for the record. The City Council appreciates hearing from you but may not respond or answer questions during the meeting. Members of the City Council or City staff may follow up with you following the meeting. 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. The City Council Rules of Procedure provide the following guidelines for Public Hearings: 1. City staff will provide a report summarizing and providing context to the issue at hand. 2. City staff shall speak first and be allowed 15 minutes to make a presentation. 3. The applicant is then allowed 15 minutes to make a presentation. 4. Each side is then allowed 5 minutes for rebuttal. 5. After City staff and the applicant have used their speaking time, the Council may ask further clarifying questions of the speakers. 6. Members of the public who wish to address the Council on the hearing topic may speak for 5 minutes each. 7. Speakers are asked to sign in on forms provided by the City Clerk. 8. The Council may ask clarifying questions of speakers and the speakers may respond. 9. Speakers should address their comments to the City Council. 10. If a large number of people wish to speak to the issue, the Council may limit the total amount of comment time dedicated to the Public Hearing. 11. Once the Presiding Officer closes the public hearing, no further comments will be accepted, and the issue is open for Councilmember discussion. 12. Any hearing being held or ordered to be held by the City Council may be continued in the manner as set forth by RCW 42.30.100. For more information about the City Council, including its complete Rules of Procedure, please visit: https://www.tukwilawa.gov/departments/city-council/ COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 2/12/24 LH ITEM INFORMATION ITEM NO. 4.A. STAFF SPONSOR: VICKY CARLSEN ORIGINAL AGENDA DATE: 2/12/24 AGENDA ITEM TITLE Update on activities of the Financial Sustainability Committee CATEGORY ® Discussion Mtg Date 2/12/24 ❑ Motion Mtg Date ❑ Resolution Mtg Date ❑ Ordinance Mtg Date ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ❑ Other Mtg Date SPONSOR ® Council ❑ Mayor ❑ Admin Svcs ❑ DCD Finance ❑ Fire ❑ P&R ❑ Police ❑ PW SPONSOR'S SUMMARY The City's consultant on the project will give an update on the activities and progress of the Committee. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ Planning & Community Dev. ❑ LTAC DATE: ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. COMMITTEE CHAIR: RECOMMENDATIONS: SPONSOR/ADMIN. COMMITTEE COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED Fund Source: Comments: MTG. DATE RECORD OF COUNCIL ACTION MTG. DATE ATTACHMENTS 2/12/24 Informational Memo PowerPoint 1 2 IILBERK MEMORANDUM DATE: February 6, 2024 TO: Tukwila City Council FROM: Brian Murphy and Katherine Goetz RE: Update on Financial Sustainability Planning Process Phone: (206) 324-8760 2200 Sixth Avenue, Suite 1000 Seattle, WA 98121 www.berkconsulting.com We will be providing an update on the Financial Sustainability Plan development process at the City Council meeting on February 1 2th. This memo provides a brief overview of the effort and an update on the work to date. Background The City of Tukwila is facing a challenge like many other cities in Washington: how to provide the level of programs, services, and infrastructure improvements desired by the community over the long-term in the face of budget constraints and the need to contain impacts to taxpayers and ratepayers. The City has recently taken steps to enhance its long-term financial sustainability. The Business & Occupation Tax, implemented in January 2024, broadens the taxpayer base, and provides additional funding to support police services. The annexation into the regional fire authority, to be implemented in January 2025, provides flexibility for future budgets. The development of a Financial Sustainability Plan continues this work and draws on input from the community. The graphic below includes these recently adopted strategies, as well as additional context and planning efforts that will influence the City's long-term financial sustainability. Community context COVID-19 Pandemic: declining 'Bridge Budget": use of Economic recovery and additional Community growth and revenues and reduced service levels one-time funds property tax capacity 2020-2022 City strategies Additional planning efforts 2023-2024 BUDGET 2025-2026 BUDGET service level adjustments FUTURE FORECAST Adoption of Business Annexation into Puget Sound Strategies for future financial & Occupation Tax Regional Fire Authority sustainability Economic Golf Course and Capital Improvement Comprehensive Plan Development Community Center Plan and Facility Periodic Update strategy business planning Condition Assessment 110 1 3 The key questions to be answered in this study include: • How can the City best use its limited financial resources to meet the priorities of the community? Is the City using the right tools to achieve long-term financial sustainability? • How should the City's programs and services be calibrated with the community members' desires and willingness to pay? • How can impacts to residents and businesses be most equitably balanced, including consideration of the range of household wealth and business size present in Tukwila? Financial Sustainability Committee The Financial Sustainability Committee, comprised of Tukwila residents and business representatives, is advising on the development of the Plan. The Committee has reviewed information about the makeup of the Tukwila community, the City's programs and services, and the City's primary revenue sources and expenditure categories. At this point, we are having discussions together to learn what programs and services the Committee members would prioritize, as well as what strategies they would suggest to maintain financial sustainabilty. The Financial Sustainability Committee has met three times, with a fourth meeting scheduled for February 7'". The content covered in each meeting is available online and described below: • Meeting 1: Project overview and Tukwila Community Profile (demographics, profile of businesses) • Meeting 2: Community vision and priorities, financial overview (revenue sources, expenditure categories, budget trends) • Meeting 3: Fiscal impacts of land use, City programs and services overview • Meeting 4: Financial plan overview, emerging themes from Committee input Committee Members • Arta Baharmast, General Manager, Westfield Southcenter • Phillip Combs, COO, Segale Properties • Jacob Halverson, Resident • Kathy Hougardy, Resident • Peggy McCarthy, Resident • Annie McGrath, CEO, Seattle Southside Chamber • Krysteena Mann, Resident • Karin Masters, Resident • Amber Meza, Resident • Abdiwali Mohamed, Owner, Abdiwali Mohamed CPA • Diane Myers, Resident • David Puki, Resident • Verna Seal, Resident • Greg Sherlock, Resident In meetings 5 and 6, scheduled for March and April, the discussion will focus on evaluating options and developing Committee recommendations. Options and recommendations will be evaluated against the following criteria, as directed by the City Council on October 2, 2023: • Equity • Cost • Magnitude and Growth • Stability • Sustainability 4 ..iII City of Tukwila I Financial Sustainabilty Planning: Council Briefing February 12, 2024 2 • Alignment with City Priorities • Feasibility • Impact to Other Services Analysis To inform the options that will be discussed with the Committee, BERK developed a Community Profile that highlights the demographic and economic makeup of Tukwila. We also presented summaries of historical revenue and expenditure data, historical data that indicates demand for programs and services, and the City's six -year financial plan. We collected information on several peer cities, to learn how the City's services and funding strategies compare to neighboring cities or cities of similar size. We interviewed the leadership of each City department to learn about departmental priorities, challenges, and opportunities. The highlights shared below were shared and discussed with the Committee. Community Profile Takeaways • Tukwila is a growing community, with more diversity and younger residents than King County. Tukwila School District has students that represent many cultures and speak more than 80 world languages. • Tukwila has a higher share of low-income households than King County, particularly among renters. • Tukwila residents identify as less healthy than residents in King County and Washington State. • Tukwila has a very high jobs to population ratio, with a strong commercial sector that includes retail sales and manufacturing. Employment growth in Tukwila has been slower than peer cities, but jobs are projected to grow over the next two decades. • Most businesses in Tukwila have 100 or fewer employees and most jobs are in the services, retail, and manufacturing sectors. Most workers in Tukwila commute from outside the City. The influx of workers and daytime visitors drives up the demand for public services. Financial Overview Highlights • The City collects different types of revenues from different groups. The City's largest revenue sources are taxes and fees. More than half of Tukwila's General Fund revenues are from property and sales taxes. With the Southcenter mall, a majority of Tukwila's taxable retail sales are attributed to consumer shopping. • Tukwila's total property tax rate is similar to peer cities in King County. Compared to peer cities, Tukwila has a lower business and occupation tax rate. • 67% of total property tax revenue comes from commercial property. One quarter of property tax revenue comes from residential property and eight percent comes from apartments and mobile homes. • As a service provider, the City spends the largest percentage of General Fund expenditures on salaries and benefits. Labor costs are driven by the regional employment market and City policies. • Total City staffing has decreased slightly since 2016, during which time the City's population has continued to grow. • Tukwila's largest General Fund expenditure is for Police services, which is similar to peer cities. • ill City of Tukwila I Financial Sustainabilty Planning: Council Briefing February 12, 2024 3 5 ■ Increased service needs and the growing cost of providing existing services will impact the City's financial forecast. Programs and Services Overview Highlights ■ The City provides many services. Some services are required by federal, state, or local statute, and some are discretionary. ■ Service levels were reduced during the pandemic and not all services have been restored to pre - pandemic levels. ■ The demographic makeup of the Tukwila community necessitates a high level of service. ■ Population and employment growth drive staff workload and will increase demands on the City's infrastructure. ■ The cost of providing existing services is increasing due to factors such as inflation, minimum wage requirements, and technology and training needs. Next Steps Using the input from the Committee, we will develop a financial forecast that incorporates their priorities and present potential options to ensure revenues and expenditures will be aligned in the future. Options will include both revenue and expenditure strategies. The Committee will discuss these ideas in meetings 5 and 6. We anticipate presenting a final report to the City Council in April. The report will summarize the materials the Committee has received and present the Committee's recommendations for future City budgeting and financial management. 6 ' 111 City of Tukwila I Financial Sustainabilty Planning: Council Briefing February 12, 2024 4 CITY OF TUKWILA FINANCIAL SUSTAINABILITY PLAN COUNCIL BRIEFING FEBRUARY 12, 2024 00 INTRODUCTIONS Brian Murphy Project Manager Katherine Goetz Financial Sustainability Plan Lead with FCS GROUP lead for Utility Rate Study. MEETING AGENDA • Project Overview ■ Project Purpose • Financial Sustainabilty Committee Charge ■ Guidance from Council • Status Update • Content Shared with the Committee ■ Input from the Committee • Next Steps • Discussion CD PROJECT OVERVIEW PROJECT PURPOSE Key questions to be answered include: • How can the City best use its limited financial resources to meet the priorities of the community? Is the City using the right tools to achieve long-term financial sustainability? ■ How should the City's programs and services be calibrated with the community members' desires and willingness to pay? ■ How can impacts to residents and businesses be most equitably balanced, including consideration of the range of household wealth and business size present in Tukwila? The City is implementing two interrelated planning processes to answer these questions and establish the City's long-range financial strategy: a Financial Sustainability Plan and a Utility Rate Study. 5 PROJECT PURPOSE Community context COVID-19 Pandemic: declining "Bridge Budget": use of revenues and reduced service levels one-time funds Economic recovery and additional Community growth and property tax capacity service level adjustments I 2020-2022 2023-2024 BUDGET 2025-2026 BUDGET FUTURE FORECAST City strategies Additional planning efforts 11[ Adoption of Business Annexation into Puget Sound Strategies for future financial & Occupation Tax Regional Fire Authority sustainability Economic Golf Course and Capital Improvement Development Community Center Plan and Facility strategy business planning Condition Assessment Comprehensive Plan Periodic Update FINANCIAL SUSTAINABILITY COMMITTEE CHARGE • Representatives of Tukwila's residential and business communities. • Input of the Committee is intended to advise the consulting team and City Council. Members of the Financial Sustainability Committee will: • Review information about the City's financial condition and factors that will impact future revenues and expenditures. • Review options for enhancing the City's financial sustainability. • Prepare recommendations for the Mayor and City Council. Financial Sustainability Committee Members • Arta Baharmast, General Manager, Westfield Southcenter • Phillip Combs, COO, Segale Properties • Jacob Halverson, Resident • Kathy Hougardy, Resident • Peggy McCarthy, Resident • Annie McGrath, CEO, Seattle Southside Chamber • Krysteena Mann, Resident • Karin Masters, Resident • Amber Meza, Resident • Abdiwali Mohamed, Owner, Abdiwali Mohamed CPA • Diane Myers, Resident • David Puki, Resident • Verna Seal, Resident • Greg Sherlock, Resident DIRECTION FROM CITY COUNCIL Process Guidance Evaluative Criteria The process for developing the Financial Ensure that final recommendations balance the Sustainability Plan must be: City's financial sustainability, the provision of City services that meet community expectations, and • Inclusive. equity in costs and services. • Open, Accessible, and Fair. Options and strategies should be evaluated against at • Tukwila -specific. least the following criteria: • Analytically -based. ■ Equity. • Sustainability. • Transparent. • Cost. • Alignment with ▪ Magnitude Priorities. and Growth. • Feasibility. ■ Stability. • Impact to Other :111 Services. 8 STATUS UPDATE COMMITTEE MEETING SCHEDULE ■ Meeting 1: Project overview and Tukwila community profile (November) ■ Meeting 2: Community vision and priorities, financial overview (December) Meeting 3: Fiscal impacts of land use, City programs and services overview (January) Meeting 4: Financial plan overview, emerging themes from Committee input (February) 4 Update to City Council (February) Meeting 5: Options discussion (March) Meeting 6: Recommendations discussion (April) 4 Final delivery of recommendations to City Council (April) 10 PROJECT ARC Meeting 1 Meeting 2 Meeting 3 Meeting 4 Meeting 5 Meeting 6 Community Context Who lives here? What kind of businesses? What is the composition of the Tukwila economy? Community Values and Priorities Revenue Mix General Spending 1 What does the community desire? What are the City's biggest costs? How do City revenue tools compare to others? City Programs and Services Gather Potential Principles and Recommendations in meetings 1-4 Identify themes and preferred strategies What are the City's greatest needs? How might efficiencies be gained? What programs and services best align with community priorities? Financial forecast Full Set of Recommendations How can we best balance the City's financial sustainability, the provision of City services that meet community expectations, and equity in costs and services? CITY FINANCES AND SERVICES Revenues Expenses City revenues are (mostly) paid for by residents and businesses through taxes, fees, and rates. Considerations • Revenue tools in use. • Rate compared to neighbors and peers. • Distribution of burden between residents and businesses. • Nexus between payment and benefit. City expenses are directly or indirectly incurred in delivering services to residents and businesses. Some services help residents and businesses do well, supporting their ability to contribute to City revenues. Considerations • Service mix and levels of service. • Inflation (labor and capital). • Capital needs. Financial Sustainability A city can't run a deficit. One-time funds and levels of service adjustments are used to match revenues. There is almost always a gap in actual and desired services. This gap is not visible in the City's forecast. Considerations • Unmet operating needs and capital investments. • Impacts of population growth and inflation. A city's fiscal sustainability depends on its land uses. The mix of commercial and residential property has an impact on both City revenues and City costs. It drives the revenue the City collects and demand for City services. Revenue and service mix that is sustainable and equitable. 12 INFORMATION SHARED WITH THE COMMITTEE ■ Community Profile - demographics, profile of businesses ■ Community vision and priorities, financial overview (revenue sources, expenditure categories, budget trends) • Fiscal impacts of land use, City programs and services, departmental priorities and challenges ■ Financial plan overview, general cost and revenue options that can impact the forecast 13 EMERGENT THEMES FROM COMMITTEE DISCUSSIONS Not Draft Recommendations • Explore cost-efficient options for gathering statistically valid community input Evaluate investments for community return on investment Consider creative staffing and service delivery approaches • Manage costs to achieve the greatest value and live within our means • Encourage business growth and a range • of housing as investments with future returns Add capacity to pursue grants in high value areas Use performance audits and continuous improvement to achieve efficiency and effectiveness Prioritize public safety (which needs to be defined) and maintaining City infrastructure • Maintain quality staff while • calibrating personnel costs Invest in financial management Improve the City's approach to asset management Keep context in mind: the unique needs of the Tukwila community • 14 REPORT OUTLINE • Introduction and Background ❑ Project purpose and current context in Tukwila that is impacting long-term financial sustainability • About the Financial Sustainability Committee ❑ Committee charge and formation; summary of meeting schedule, materials, and discussion topics • The City's Financial Condition ❑ General fund financial forecast and major drivers; programs and services; capital needs; short- and long-term financial challenges, with benchmarking • Options ❑ Summary of options and evaluation • Recommendations and Next Steps ❑ Short- and long-term strategies for Council consideration, including both revenue- and cost -side strategies; description of how the Plan will be used in the future • Appendices: Community Profile, Peer Benchmarking, and others TBD 15 NEXT STEPS ■ Committee Meeting 5: Options Discussion (March) • Update on the Utility Rate Study from consultants from FCS GROUP • Impact of Committee input on six -year financial forecast • Evaluation of options: how cost savings and revenue generating options compare to Evaluative Criteria and advance financial sustainability • Committee Meeting 6: Recommendations Discussion (April) • Preparation of final report and presentation to City Council (April/May) • Launch of City's budget development process DISCUSSION ■ What questions do you have? ■ What specific choices or tradeoffs would you like the Committee to consider in their recommendations? 17 THANK YOU! ADDITIONAL INFORMATION :I1 COMMUNITY PROFILE TAKEAWAYS • Tukwila is a growing community, with more diversity and younger residents than King County. Tukwila School District has students that represent many cultures and speak more than 80 world languages. • Tukwila has a higher share of low-income households than King County, particularly among renters. • Tukwila residents identify as less healthy than residents in King County and Washington State. • Tukwila has a very high jobs to population ratio, with a strong commercial sector that includes retail sales and manufacturing. Employment growth in Tukwila has been slower than peer cities, but jobs are projected to grow over the next two decades. • Most businesses in Tukwila have 100 or fewer employees and most jobs are in the services, retail, and manufacturing sectors. Most workers in Tukwila commute from outside the City. The influx of workers and daytime visitors drives up the demand for public services. • More than half of Tukwila's General Fund revenues are from property and sales taxes. With the Southcenter mall, a majority of Tukwila's taxable retail sales are attributed to consumer shopping. • Tukwila's largest General Fund expenditure is toward Police services, which is similar to peer cities. 20 FINANCIAL OVERVIEW HIGHLIGHTS ■ The City collects different types of revenues from different groups. The City's largest revenue sources are taxes and fees. ■ Tukwila's total property tax rate is similar to peer cities in King County. Compared to peer cities, Tukwila has a lower business and occupation tax rate. ■ 67% of total property tax revenue comes from commercial property. One quarter of property tax revenue comes from residential property and eight percent comes from apartments and mobile homes ■ General Fund revenues decreased significantly at the onset of the pandemic and increased as the economy began to recover. The City has aligned service levels to match expenditures with available revenues. ■ As a service provider, the City spends the largest percentage of General Fund expenditures on salaries and benefits. Labor costs are driven by the regional employment market and City policies. ■ Total City staffing has decreased slightly since 2016, during which time the City's population has continued to grow. ■ Increased service needs and the growing cost of providing existing services will impact the City's financial forecast. 21 PROGRAMS AND SERVICES OVERVIEW HIGHLIGHTS ■ The City provides many services. Some services are required by federal, state, or local statute, and some are discretionary. ■ Service levels were reduced during the pandemic and not all services have been restored to pre - pandemic levels. ■ Costs and demand for City services ■ The demographic makeup of the Tukwila community necessitates a high level of service. ■ Population and employment growth (see slide 16) drive staff workload and will increase demands on the City's infrastructure. ■ The cost of providing existing services is increasing due to factors such as inflation, minimum wage requirements, and technology and training needs. 22 COST AND REVENUE OPTIONS These are the cost levers we can adjust. Limit growth in baseline costs Change levels of service Deliver services differently Other? • Find efficiencies, such as streamlining processes • Add programs or eliminate programs • Increase or decrease levels of service • Partner with other entities to provide services • Identify opportunities for the private/non-profit sectors to deliver services 23 COST AND REVENUE OPTIONS These are the revenue levers we can adjust. Il Property tax revenue Dedicated funding for infrastructure User fee revenue Sales tax revenue Business taxes/fees Grant revenue Other? • Adjust the levy rate • Use banked levy capacity • Encourage new development to expand the tax base • Establish a dedicated funding stream for transportation or parks • Establish cost recovery principles • Adjust the tax rate • Encourage commercial growth to expand the tax base • Adjust the business tax rate or business license fee • Encourage business growth • Seek to increase grant revenues 24 CURRENT GENERAL FUND FINANCIAL PLAN ■ The City's six -year plan restores services to pre-COVID levels and funds positions that had been frozen or funded by one-time revenues. ■ The plan adds a B&O tax and uses some property tax capacity created by fire annexation. ■ Overall, the City's property tax rate decreases. 4 Revenue growth is sufficient to fund planned expenditures and leave a margin of 1-3% of annual revenues $80,000,000 $75,000,000 $70,000,000 $65,000,000 $60,000,000 $55,000,000 $50,000,000 $45,000,000 $40,000,000 Impact of fire annexation 2023 2024 2025 2026 2027 2028 2029 2030 —Total Revenues —Total Expenditures 25 PROPERTY TAX IN WASH I NGTON ■ In Washington, a jurisdiction's property tax revenues can only increase by 1% annually, unless the public votes for a greater increase (a levy lid lift). This is the result of Legislative action following the passage of Initiative 747 in 2001. ■ Expenditures typically grow significantly more than 1% annually due to inflation, which creates a structural gap between property tax revenues and expenses. Illustrative Example Funding gaps r■ l i Year 1 Year 2 Year 3 Year 4 Year 5 ■ Property Tax (1% annual growth) ■ Expenditures (3% annual growth) 26 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 2/12/24 CM ITEM INFORMATION ITEM NO. 4.B. STAFF SPONSOR: COLLEEN MINION ORIGINAL AGENDA DATE: 2/12/24 AGENDA ITEM TITLE Update on solid waste transition CATEGORY ® Discussion Mtg Date 2/12/24 Motion Mtg Date Resolution Mtg Date ❑ Ordinance Mtp Date Bid Award Mtp Date ❑ Public Hearing Alt Date ❑ Other Mtg Date SPONSOR ❑ Council ❑ Mayor ❑ Admin Svcs ❑ DCD ❑ Finance ❑ Fire ❑ P&R ❑ Police ® PW SPONSOR'S SUMMARY On November 1, 2023, Recology began servicing Tukwila under the new solid waste contract. Recology is providing an update on the first 3 months of the transition. They are open to Council and community feedback. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ LTAC ❑ Arts Comm. ❑ Parks Comm. DATE: COMMITTEE CHAIR: LJ Planning & Community Dev. ❑ Planning Comm. RECOMMENDATIONS: SPONSOR/ADMIN. COMMITTEE COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED Fund Source: Comments: 2/12/24 MTG. DATE 2/12/24 RECORD OF COUNCIL ACTION ATTACHMENTS Informational Memorandum dated 2/09/24 Tukwila's New Waste and Recycling Hauler FAQs Recology PowerPoint 33 34 City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM TO: Committee of the Whole FROM: Hari Ponnekanti, Public Works Director/City Engineer BY: Colleen Minion, Public Works Solid Waste Analyst CC: Thomas McLeod, Mayor DATE: 2/9/2024 SUBJECT: Update on Solid Waste Transition ISSUE Recology is providing an update on the first 3 months of the solid waste transition. They are open to Council and community feedback. BACKGROUND The City's contract with Waste Management (WM) expired on October 31, 2023. Prior to this date and at Council's direction, staff pursued an open, competitive procurement process for the next contract. Recology was the highest -rated proponent and staff proceeded with contract negotiations. On September 19, 2022, Council approved awarding a 10-year contract to Recology. On November 1, 2023, Recology began servicing Tukwila residents and businesses under the new solid waste contract. FINANCIAL IMPACT N/A RECOMMENDATION Discussion only. ATTACHMENTS Tukwila's New Waste and Recycling Hauler FAQs Recology PowerPoint 35 36 Tukwila's New Waste and Recycling Hauler FAQs On November 1, 2023, the City of Tukwila started a 10-year waste hauler contract with Recology. Recology provides garbage, recycling, and food & yard waste services. In 2022, the City of Tukwila conducted a competitive RFP process and received proposals from multiple companies. Staff conducted an extensive review of the proposals. Through this process, Recology was selected and the contract was approved by the City Council in September 2022. 1. Did rates increase? Yes, garbage rates increased under the new contract with Recology. This rate increase would have happened whether the City renewed a contract with WM or changed haulers. Tukwila has benefitted from artificially low rates for several years due to the City's prior 10+ year contract. These rates were reviewed by an independent consultant hired by the City and are in line with other new contracts in the King County region. Rates increased due to rising costs of trucks, fuel, labor, parts, disposal, and other factors. For residential customers, Tukwila's garbage rates are still among the lowest in the region. Rates were mailed to all customers in November 2023 for the 2024 calendar year and can also be found on Recology's website: https://www.recology.com/recology-king-county/tukwila/. 2. How do Tukwila's rates compare to other surrounding cities? As of January 1, 2024, Recology's monthly rates for a residential 32/35-gallon garbage cart picked up weekly: Issaquah - $36.70 Mercer Island - $36.17 Shoreline - $31.97 Carnation - $31.70 Burien - $29.82 Des Moines - $29.16 SeaTac - $22.54 Bothell - $21.37 Tukwila - $20.82 Maple Valley - $17.93 37 3. Is there a discount for senior and/or disabled low-income residents? Yes, the City of Tukwila has a solid waste collection discount application available. To qualify a & % discount on your solid waste collection bill, you must meet all the following criteria: 1. At least one of the owners/renters in the house must be 62 years old or older and/or disabled 2. Your total annual household income, from all sources, must be less than $47,950 if in a one -person household or $54,800 if in a two -person household (50% of the Area Median Income.) 3. You must be an owner or renter and reside in the City of Tukwila. Once the application is approved, the discount will be applied to the next billing period. Retroactive discounting is not available. 4. Will I get a new garbage, recycling, or food & yard waste cart/container? New collection carts for residential customers and new collection containers for businesses or apartments are not part of the new contract between the City of Tukwila and Recology. However, if your cart or container is damaged or in need of cleaning, please contact Recology at 206-944-3900 or email them at Tukwila@recology.com Recology will add new stickers/decals to the containers with updated sorting guidelines and contact information between October 2023-January 2024. 5. Can I change the size of my cart and/or service level? Absolutely. Call Recology at 206-944-3900 or email them at Tukwila@Recology.com to adjust your cart size or service level. 6. Can I recycle and/or compost the same items as before with the new hauler? Yes, anything you could recycle or compost with WM can also be recycled or composted with Recology. In addition, Recology also accepts clean aluminum foil (balled up) and clean aluminum containers such as pie plates. Also, caps and lids can be left on plastic containers when being recycled. For more information on what is recyclable, visit https://www.recology.com/recology-king-county/tukwila/sorting-guides/ or email Recology's Waste Zero Team at RKCwastezero@recology.com 7. What new solid waste services will I receive? • Residents have the option of accessing the Recology Store, located at 15858 1st Ave S, Suite A100 in Burien. Besides being able to access in -person customer service support, residents can bring hard -to -recycle items for free. Special items include CFL light bulbs, household batteries, textiles, used cooking oil, small propane cylinders, hard -cover books, small electronics and appliances, block Styrofoam', and bicycles. The Recology Store also offers a wide variety of products that support a zero -waste lifestyle. • There will be no -cost curbside collection of Christmas trees for all customers, even those who do not subscribe to food & yard waste service. 38 • Recology's call center will be open seven days per week. Monday -Friday hours are 7 a.m. — 7 p.m. Saturday and Sunday hours are 8 a.m. — 7 p.m. • Once each year, residential customers can order a no -cost collection of up to four non - appliance bulky items plus extra trash and small items (up to two cubic yards). Pickup will be during their normal collection days, but Recology must be notified in advance at: 206-944-3900 or through an online form at Recology.com/Tukwila. • Residents that sign up for food & yard waste service will be provided a food scrap composting starter kit from Recology upon request, including a kitchen countertop container, one roll of compostable bag liners, and instructional materials. • Businesses, apartments, and condominiums can receive one year of free food scrap composting service. • Recology has a full-time Waste Zero Specialist dedicated to working with Tukwila residents and businesses, as well as a full-time Tukwila -focused Customer Service Specialist. Also, Recology's customer service center is located less than 5 miles from Tukwila City Hall. Customer Service Specialists are familiar with the area and our communities. • The City hired Colleen Minion, a Solid Waste Analyst, to manage the Recology contract and State and County grants focused on waste reduction, recycling, household hazardous waste disposal, and litter pickup. She also manages the annual recycling collection events and annual citywide yard sale. She can be reached at Recycle@TukwilaWA.gov or 206-431-2445. 39 40 Recology WASTE ZERO New Contract: Commenced November 1, 2023 • Full-time dedicated Waste Zero Specialist • Full-time dedicated Customer Service Representative • New collection vehicle fleet • Enhanced public education and outreach • Contamination Reduction Program • Target outreach to multi -family and commercial • Expanded call center / customer service hours Scam dunk Global number of ransomware victims*, '000 5 3 2 1 0 1 I I f 2020 21 22 23t *Data leaked on extortion sites Source: Recorded Future tTo December 15th • On November 2, 2023, Recology experienced a cybersecurity incident • Recology shut down all systems to protect our data and servers, including internal routing systems and on -board vehicle technology • Systems are being restored with clean and healthy data • Changes in service schedule • Refining routes / missed collections • Billing issues / late billing • Truck service verification and navigation tablets disabled • Extra resources dedicated to improve implementation & solutions • Proactive collaboration with City staff, residents, and businesses • Commercial and multi -family audits to confirm service levels • Working closely with City staff to monitor social media during outage • Industrial roll -off on -call service adjustments with in -person site visits H Education & Outreach • Call Center Feedback • Misses • In -Field Responses • Attended 4 community events prior to contract start, including the Southcenter Touch -a - Truck and Bark in the Park • In 2024, Recology will attend additional events as directed by the City, including the upcoming May 18th Recycling Event • Tukwila and Recology Art Contest T U KW V I LA PARKS & RECREATION GOOD HEALTHY FUN Waste Zero Specialist accomplishments since November: • 9 Technical Assistances with Commercial and Multifamily properties • 250 Recycle Right Bags & 30 Kitchen Compost Pails provided at Doorhanging & Property Events • 25+ Site Visits • Assistance rolling out organics service in Tukwila schools Contamination Program Launching in February to reach 1,000+ MF/COM sites • Available for single-family customers to pick up at The Recology Store in Burien • Available for multi -family units upon request • Hard -to -Recycle drop-off • In -person customer service • Events and reusable products/gifts • 120 drop-off by Tukwila residents since November RI( RecologY WASTE ZERO 206.944.3900 RRmbotoo RecolEg mild without waste. oR SIDE+ o�RmnEq� ETHER STRONGER Feedback from customers, with direct follow up Will be available in English, Spanish, Amharic, Vietnamese, Somali ALISSA CAMPBELL WASTE ZERO MANAGER ANDREW JARVIS TUKWILA WASTE ZERO SPECIALIST BRITTANY REMBERT CUSTOMER SERVICE MANAGER AMANDA ESSEX TUKWILA ROUTE SUPERVISOR if RT. Recology. WASTE ZERO COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 2/12/24 NG ITEM INFORMATION ITEM No. 4.C. (1) STAFF SPONSOR: NORA GIERLOFF ORIGINAL AGENDA DATE: 2/12/24 AGENDA ITEM TITLE Rental Housing Program Update CATEGORY ® Discussion Mtg Date 2/12/24 ❑ Motion Mtg Date ❑ Resolution Mtg Date ❑ Ordinance Mfg Date ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ❑ Other Mtg Date SPONSOR ❑ Council ❑ Mayor ❑ Admin Svcs ® DCD Finance ❑ Fire ❑ P&R ❑ Police ❑ PW SPONSOR'S SUMMARY The Tukwila Code Enforcement team works to support a safe, inviting, and healthy environment for residents, businesses, and visitors by enforcing the parts of the Tukwila Municipal Code that relate to conditions on private property. The Rental Housing team is also responsible for managing and administering the Residential Rental Business License and Inspection Program. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ Planning & Community Dev. ❑ LTAC DATE: ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. COMMITTEE CHAIR: RECOMMENDATIONS: SPONsoR/ADMIN. Department of Community Development COMMITTEE None, direct to Committee of the Whole COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED Fund Source: Comments: MTG. DATE RECORD OF COUNCIL ACTION 2/12/24 MTG. DATE ATTACHMENTS 2/12/24 Informational Memorandum dated 2/12/24 Power Point Presentation 55 56 TO: FROM: BY: CC: DATE: SUBJECT: ISSUE Review the City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM Committee of the Whole Nora Gierloff, Community Development Director Joseph Mose, Code Enforcement Officer Lori Solberg, Rental Housing Program Admin Mayor McLeod February 12, 2024 Rental Housing Program Update Rental Housing Program's background and current activity. BACKGROUND The Tukwila Code Enforcement team works to support a safe, inviting, and healthy environment for residents, businesses, and visitors by enforcing the parts of the Tukwila Municipal Code that relate to conditions on private property. Compliance is typically reached through promoting public awareness, communication, and collaboration. In difficult cases monetary penalties and/or legal action may be required. In addition to general code enforcement, the team is also responsible for managing and administering the Residential Rental Business License and Inspection Program. The city established the Rental Program in 2010 to protect public health, safety, and welfare by ensuring the proper maintenance of rental housing. It does this by identifying and requiring correction of substandard housing conditions and by preventing conditions of deterioration and blight that could adversely impact the quality of life in the City of Tukwila. DISCUSSION Current Code Enforcement activity: As of January 24, 2024, code enforcement has 29 open enforcement cases related to rental housing, most of the cases are for overdue rental licenses and/or inspections, however, a few are for confirmed rentals that do not have a license and/or complaint -based issues. Rental Housing Business Licensing and Inspection Program: Tukwila Municipal Code Chapter 5.06 establishes regulations pertaining to rental housing licensing and inspection. Residential rental properties are required to obtain an annual rental business license. As of January 24, 2024, the Rental Housing Program has 4,587 registered rental units and 548 active rental licenses (one license per property). As of January 24, 2024, 300 properties have renewed their 2024 rental licenses. Late fees began March 1 at a rate of $10 per month until the license is renewed. Rental Inspections In addition to annual licensing, all rental housing units in the city must pass an inspection every 4 years. This allows the city to catch and correct health and safety violations that otherwise tenants might be reluctant to report due to language barriers or fear of retaliation by landlords. 57 INFORMATIONAL MEMO Page 2 The purpose of the periodic inspections is to ensure that all rental units are safe, healthy, and suitable for occupancy. The inspectors check for properly working door locks, functional appliances, windows that are intact and that open, smoke and carbon monoxide detectors, adequate emergency escape routes, mold, and other items. Some of the most common maintenance items that we find during inspections are improperly installed and maintained water heaters, water leaks, and missing or inoperable carbon monoxide or smoke detector(s). Properties with up to 12 units may use a city inspector (code enforcement officer) while all larger properties must use a private inspector who meets specific qualifications. In the past the city inspector only inspected properties with up to 4 units, this was raised to 12 in 2023. The city may also inspect units in response to complaints and audit inspections submitted by private inspectors if inspection reports are in question. In 2023 we did 12 courtesy inspections; 7 of those failed, 4 have been brought into compliance. The rental program continues to show its effectiveness in improving housing quality in the city. Similar to what we saw during our first round of inspections, when the program was first implemented (2010-2014), we are seeing more units fail after we paused inspections and gave a 2-year extension due to Covid. Inspections began again in March of 2022. In 2022, the city conducted 105 inspections; 29 properties failed, of those 20 have been brought into compliance. In 2023, the city inspector conducted 137 inspections; 42 properties failed, 20 of those have been brought into compliance. This year, 116 licenses (2,177 rental units) are due for their next inspection; of those 19 licenses will be done by a private inspector. In 2025, 148 licenses (732 units) will be due for inspection. Here are a few instances where Rental Housing was contacted for assistance with various units. Hampton Heights On June 29, 2022, the Fire Department notified us about a significant issue at the Hampton Heights apartment complex. A tenant in building #2 reported an active sewer backflow, resulting in raw sewage flooding her apartment and the center hallway. Code enforcement officers confirmed the reported problems and discovered additional issues such as missing smoke detectors in the hallways of building #3 and exposed wires from electrical outlets. Subsequent courtesy rental housing inspections for four units revealed failures. On July 21, 2022, the owner was notified to address the violations by August 19, 2022, with the possibility of a Notice of Violation and Order if compliance was not achieved. On August 10, 2022, the Property Owner contacted the City, providing updates on repairs for the inspected units, excluding those not in compliance with rent payments. By November 25, 2022, a follow-up inspection confirmed repairs had been made or scheduled for the units with previous violations. However, as of January 23, 2024, a complaint from the Tukwila Police Department highlighted concerns of vacant units being used by squatters. An on -site visit revealed multiple rental violations in the hallways of building #3, damaged properties, and Fire Code Violations. We are currently in the process of compiling a detailed report and reaching out to the property owner to address the situation promptly. 58 INFORMATIONAL MEMO Page 3 Courtesy Inspections Single Family Home: On December 13, 2023, Rental Housing received a tenant complaint outlining various violation conditions, primarily concerning a leak in the bedrooms downstairs. A scheduled Courtesy Inspection on December 17, 2023, revealed a failing score of 262 points for the unit, citing deficiencies such as ceiling and wall leaks, rat infestation, overgrowth, and missing smoke detectors. Additionally, it was discovered that the property had not been registered with a rental license despite being used as a rental for over two years. Consequently, a Code Enforcement case was initiated to address these issues, and discussions with the owner have taken place, making them aware of both the necessary fees and required repairs, with further updates anticipated. 59 INFORMATIONAL MEMO Page 4 Multi -Family Home: Rental Housing received a request from a social worker at Cascade View expressing concerns about the living conditions of an immigrant family residing in Park Avenue Apartments, who faced language barriers. The last official inspection for the property was conducted in 2021, with the next scheduled inspection set for 2025. A courtesy inspection on 4/26/2023 revealed significant issues, primarily mold buildup in all corners of the 1-bedroom, 1-bath unit. Following standard rental housing procedures, collaboration with the property manager and owner resulted in successful remediation of the mold and other deficiencies, achieving compliance by 10/3/2023 after a reinspection. Notably, this single courtesy inspection acted as a catalyst for broader improvements, prompting a mass repair and cleaning initiative for other units not initially inspected by the City. The next scheduled inspection for the property is slated for 9/30/2025. FINANCIAL IMPACT The Residential Rental License and Inspection Program YTD revenue for 2024 is $10,949, 2023 was $58,442, 2022 was $44,241; 2021 was $51,728; 2020 revenue was $55,123; and 2019 revenue was $52,313. 2024 RENTAL BUSINESS LICENSE FEES: • $84 for properties with up to four units • $218 for properties with 5 to 20 units • $273 for properties with 21 to 50 units • $340 for properties with 51 or more units 2024 RENTAL INSPECTION FEES: • $79 per unit up to 4 units; each additional unit, up to 12, is $37 per unit. RECOMMENDATION Information and discussion only. 60 Department of Community Development Rental Housing 2023-2024 Update Rental Housing Team I Rental Housing Program Admin Department of Community Development Work Phone: 206-431-3674 Work Email: Lori.Solberg@TukwilaWA.gov Fo Code Enforcement Officer/Rental House Primary Inspector Department of Community Development Work Phone: 206-698-2575 Work Email: Joseph.Mose@TukwilaWA.gov Code Enforcement Officer/Rental House Inspector Department of Community Development Work Phone: 206 571-3153 Work Email: wally.snover@tukwilawa.gov Background • The City established the Residential Rental Business License and Inspection Program in 2010. • Protect the public health, safety and welfare by ensuring the proper maintenance of such housing, by identifying and requiring correction of substandard housing conditions, and by preventing conditions of deterioration and blight that could adversely impact the quality of life in the City of Tukwila. • Tukwila Municipal Code Chapter 5.06 establishes regulations pertaining to rental housing license and inspection. Benefits • Improved Housing: - Ensures citizens live in safe and healthy housing - Increases property values - Spurs economic development - Lowers Crime • Proactive inspections address problems without tenant involvement Admin Updates - The city is offering inspections for properties with up to 12 units. Previously city inspectors only performed inspections for properties with up to 4 units. - The rental inspection fee increased from $75 per unit in 2023 to $79 in 2024 per unit for the first 4 units, then each additional unit is $37 each up to 12. - 2024 RENTAL BUSINESS LICENSE FEES: • $84 for properties with up to 4 units • $218 for properties with 5 to 20 units • $273 for properties with 21 to 50 units • $340 for properties with 51 or more units - As of February 05, 2024, the Rental Housing Program has 4,585 registered rental units and 545 active rental licenses (one license per property). Inspection Updates • Increase number of Courtesy inspections by the request of tenants. • One of the main complaints that we receive from tenants are issues dealing with mold and house leaks. • In 2019, the city conducted 133 inspections, but in 2020 and 2021 they were paused due to the pandemic. • In 2022, the Rental Housing Program reinstated scheduled rental inspections. • Numerous property owners have deferred maintenance, leading to unit deterioration and subsequent rental inspection failures. • Emphasizes the critical need for regular inspections to prevent adverse impacts on rental housing conditions and resident well-being. Rental Housing Website WELCOME TO THE CITY OF TUKWILA RENTAL HOUSING PROGRAM The Rental Housing Program is open via phone: email. and virtual appointment Monday - Friday, 8:30 am to 4:00 pm. In -person assistance hours are Mondays, Wednesdays and Thursdays, 8:30 am to 4:00 pm. To meet with staff virtually. please schedule a virtual Teams appointment (please note, this is not for an inspection). You may also email RentalHousing@TukwilaWA.gov or call (206) 431-3674. RENTAL BUSINESS LICENSE PORTAL QQUICK TIPS! NEED HELP RENEWING YOUR RENTAL LICENSE ONLINE? Click here NEED HELP WITH OTHER ONLINE SERVICES? Please email RentalHousing@TukwilaWA.gov COURTESY RENTAL INSPECTIONS Did you know that you can request a City inspector to inspect your rental property if you have concerns about your living conditions? To request a courtesy rental inspection, please contact the Rental Housing Program at RentalHousing@TukwilaWA.gov Rental Housing Inspection Procedures • Residential rental properties are required to obtain an annual rental business license. • All rental housing units in the City must pass an inspection every 4 years. • Properties with up to 12 units may use a City inspector while all larger properties must use a private inspector who meets specific qualifications. Hampton Heights • On January 23, 2024, a complaint from the Tukwila Police Department alerted us to potential issues with vacant units being occupied by squatters. Our on -site visit unveiled troubling findings, including multiple rental violations in the hallways of building #3, property damage, and Fire Code Violations. To address these issues promptly, we are actively compiling a comprehensive report and initiating engagement with the property owner. Visuals below depict the current situation. Courtesy Inspection Single Family Home • On December 13, 2023, a tenant reported numerous violations, notably a downstairs bedroom leak. On December 17, 2023, Courtesy Inspection exposed a unit with a failing score of 262 points, citing issues like ceiling and wall leaks, rat infestation, overgrowth, and missing smoke detectors. No rental license was applied for, in which triggered a Code Enforcement case, with ongoing discussions addressing fees and repairs. Courtesy Inspection Multi -Family Home • Concerns at Park Avenue Apartments, raised by a social worker at Cascade View Elementary, prompted a courtesy inspection on 4/26/2023. Mold issues in their 1-bedroom, 1-bath unit were identified and successfully addressed by 10/3/2023, following collaborative efforts with the property manager and owner. This single inspection triggered wider improvements, leading to a comprehensive repair and cleaning initiative for other units. Notably, the last official inspection for the property was in 2021, and the next scheduled inspection is set for 9/30/2025. Rental Housing Overview ast Updated: 2/5/2024 350 300 250 200 150 100 50 0 e C 289 RENTAL UNITS BY DWELLING TYPE 92 48 65 28 10 13 ■ 2024 to YTD. $10,949 LICENSE ISSUED (2024) 211 2023 $58,442 LICENSES WITH BALANCE DUE 143 2022 $44,241 .••\ 2021 $51,728 TOTAL LICENSE 545 TOTAL UNITS 4,585 e+I �� o�6 P� X c� (<0 C, t� CITY INSPECTORS 139 PRIVATE INSPECTORS 62 Rental Housing Program Questions? 74 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 2/12/24 NG ITEM INFORMATION ITEM No. 4.C. (2) STAFF SPONSOR: NORA GIERLOFF ORIGINAL AGENDA DATE: 2/12/24 AGENDA ITEM TITLE Code Enforcement Update CATEGORY ® Discussion Mtg Date 2/12/24 ❑ Motion Mtg Date ❑ Resolution Mtg Date ❑ Ordinance Mfg Date ❑ Bid Award Aitg Date ❑ Public Hearing Mtg Date ❑ Other !Wig Date SPONSOR ❑ Council ❑ Mayor ❑ Admin Svcs ® DCD Finance ❑ Fire ❑ P&R ❑ Police ❑ PW SPONSOR'S SUMMARY The Tukwila Code Enforcement team works to support a safe, inviting, and healthy environment for residents, businesses, and visitors by enforcing the parts of the Tukwila Municipal Code that relate to conditions on private property. These include rubbish and garbage, parking on grass, unpermitted remodeling and additions to residential homes, filling and grading, tree removals, clearing, and disturbance of Environmentally Critical Areas. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ Planning & Community Dev. ❑ LTAC DATE: ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. COMMITTEE CHAIR: RECOMMENDATIONS: SPONsoR/ADMIN. Department of Community Development COMMITTEE None, direct to Committee of the Whole COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED Fund Source: Comments: MTG. DATE RECORD OF COUNCIL ACTION 2/12/24 MTG. DATE ATTACHMENTS 2/12/24 Informational Memorandum dated 2/12/24 Power Point Presentation 75 76 City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM TO: City Council FROM: Nora Gierloff, DCD Director BY: Jim Toole & Wally Snover, Code Enforcement Officers CC: Mayor Thomas McLeod DATE: February 12, 2024 SUBJECT: Code Enforcement Update ISSUE Provide a periodic update on Tukwila's Code Enforcement program and the serious nature of the life safety and environmental issues the Officers address. BACKGROUND The Code Enforcement team consists of two general Code Enforcement officers, one Rental Housing focused officer, and one Rental Housing Admin who also is lead on public records requests for DCD. Historically Officers have addressed a wide range of complaints including rubbish and garbage, parking on grass, contractor's storage yards, unpermitted remodeling and additions to residential homes, filling and grading, tree removals, clearing, and disturbance of Environmentally Critical Areas. Over the last 5 years there has been an increase in the scale and seriousness of violations in the City including life safety issues like constructing an addition onto a house without permits or destabilizing a steep slope through unpermitted grading. Code Enforcement Officers approach each case individually, but they rely on their knowledge of the City, past cases, and City Codes such as TMC 8.45 to determine reasonable timelines and effective solutions for the property owner to achieve compliance. Unfortunately, there are cases where the violation is so severe or the fix so expensive that the property owner may be unwilling or unable to bring their property into compliance in a timely manner. TUKWILA Department of Community Development CODE ENFORCEMENT- FLOWCHART CITY OF TUKWILA www.Tubwilo W A.oc, CASE OPENED Inspection Inspection 1111,* hbhccal . M1ssesrrot.1 . Inspection Requosl for 00mp6oncc Compliance 77 INFORMATIONAL MEMO Page 2 DISCUSSION While Tukwila generally takes a reactive, complaint -based approach to code enforcement we will actively pursue cases when we see potentially serious violations of construction, environmental, and livestock codes. Code enforcement cases become significantly more difficult to resolve when they require consultants like geotechnical engineers, wetland biologists, or structural engineers to design solutions to bring the property into compliance. A contractor who clears and grades or fills a site without permits or without following Geotechnical recommendations can quickly create a situation that can take many tens of thousands of dollars and years of work to bring into compliance. Code Enforcement Cases by Year Year Opened Closed 2020 148 125 2021 153 117 2022 208 155 2023 273 194 TOTALS 782 591 Code Enforcement Top 10 Types of Cases by Year 2020 2021 2022 2023 Bldg Permit Req 40 Rental License and/or Inspection Req. 42 Bldg Permit Req 44 Prohibited Signage 49 Garbage/Rubbish 24 Bldg Permit Req 35 Overgrowth 36 Garbage/Rubbish 44 Overgrowth 21 Garbage/Rubbish 20 Rental License and/or Inspection Req. 33 Overgrowth 31 Parking (Not in the R.O.W.) 8 Grading Permit Req. 13 Garbage/Rubbish 21 Bldg Permit Reg. 30 Prohibited Signage 7 Overgrowth 8 Parking (Not in the R.O.W.) 13 Rental License and/or Inspection Req. 29 Tree Permit Req 6 Contractor Storage Yard 6 Graffiti 12 Parking (Not in the R.O.W.) 13 Rental License and/or Inspection Req. 5 Graffiti 4 Grading Permit Req. 9 Tree Permit Req. 10 Junk Vehicle 5 Tree Permit Req 3 ROW Use Permit 6 Graffiti 9 Public Works Permit Req 4 Env Critical Areas 3 Erosion Control Req 6 Env Critical Areas 8 Sign Permit Req 4 Junk Vehicle 3 Unsecured Structure/Premises 5 Livestock 6 TOTALS 124 137 185 229 Some examples of resolved cases are: 78 https://tukwilawa.sharepoint.com/sites/mayorsoffice/cc/Council Agenda ltems/DCD/2-12-24 COW CE Update.docx INFORMATIONAL MEMO Page 3 • Vintage Housing Holdings, LLC (VHH), 107xx 47th Ave S: On March 2023, VHH purchased this property for a senior housing development and inherited a tremendous amount of rubbish, garbage, construction debris, automotive parts / tires, and unpermitted structures. They quickly took action to remove all the debris, remove the overgrowth, and install security fencing around the entire property. Since this property was brought into compliance, it has remained in compliance to this date. April 2023 Current Condition • 102xx E Marginal Way S: Complaints from local businesses regarding overgrowth at the intersection of S 104th St and S 102nd St creating a dangerous "line of sight" condition. Within one mile of this intersection are the new Amazon Distribution Center, USPS Distribution Center, and Boeing, all significant traffic generators. The property owner was contacted, and they had a crew remove not only the overgrowth at the corner, but throughout the property. https://tukwilawa.sharepoint.com/sites/mayorsoffice/cc/Council Agenda Items/DCD/2-12-24 COW CE Update.docx 79 INFORMATIONAL MEMO Page 4 • On August 22, 2023, we received a complaint from the Police Department about four RVs and several junk vehicles impeding semi -truck access onto Midland Drive from Andover Park West. This was causing verbal confrontations between truckers and the RV occupants. TPD could not remove the RVs because Midland Drive is a private road on its own parcel. Further investigation discovered that the parcel was owned by an LLC with the address of a small shed on a dirt road in Wyoming. It took quite some time to find the owner of the property and advise him of the need to have the vehicles removed. We finally met the owner on site in November so he could see the situation firsthand. It is difficult to find tow truck companies that will impound RVs because it is not profitable for them. However, a TPD traffic officer was able to put the owner in contact with a tow company that would work with him. The vehicles were all marked with 24 hour impound notice stickers and the RV occupants advised that they needed to leave or be trespassed. After allowing some extra time for the occupants to get the vehicles running a total of two RVs, two junk vehicles and a semi -trailer were towed away. It cost the property owner $5000 each to remove the RVs. In the end all vehicles that were in violation had been removed along with the garbage that was left behind. ONGOING CASES • 13242 40th Ave S: On July 3, 2023, the City was contacted regarding active clearing in the Southgate Creek Environmentally Critical Area. Code Enforcement and the Urban Environmentalist arrived on site to discover active clearing, excavating, and grading occurring on and around both branches of the salmon bearing Southgate Creek without a permit. The contractor explained that they were installing a side sewer along the back property line because the septic system had failed. The work was immediately stopped, and the excavator was removed from the property. Since July 3, 2023, the City, WA State Fish and Wildlife, the property owner, and their Biologist have worked collaboratively to install temporary erosion and sediment control measures (TESC) and work on obtaining required permits. Remediation of the damage to the Creek, three to five years of monitoring, and a performance bond are required. The owner has maintained the TESC measures and is required to monitor upstream from the property to confirm there is no flooding caused by this unpermitted work. 80 https://tukwilawa.sharepoint.com/sites/mayorsoffice/cc/Council Agenda Items/DCD/2-12-24 COW CE Update.docx INFORMATIONAL MEMO Page 5 During Grading Environmentally Critical Areas Map Red rectangle is the area of unpermitted work. After erosion control measures were installed We have also seen a rise in unpermitted and non -code compliant building construction. Some of these are flippers, hoping to make a quick sale before the construction is discovered. This can create unsafe conditions that are expensive for the new owners to correct. We have had some success reaching out to real estate agents to inform them about houses that have been remodeled or converted without approvals when we discover them in time. Other times it's the owners themselves who have expanded their houses or created an Airbnb for additional income. https://tukwilawa.sharepoint.com/sites/mayorsoffice/cc/Council Agenda Items/DCD/2-12-24 COW CE Update.docx 81 INFORMATIONAL MEMO Page 6 82 The picture to the left shows an open space / cutout and stairs to the back deck. The picture above shows an unpermitted addition without a foundation that was constructed in that area. Tree removal without permits on residential property has been an ongoing issue. Neighbors, delivery drivers, and dog walkers do reach out to the City when they see trees being removed. Since Tukwila Works has been reactivated, we have received complaints from overgrowth to garbage and rubbish. Tukwila Works This is an efficient web or app-based tool based on the SeeClickFix platform used for reporting non -emergency concerns to the City in various categories such as potholes, graffiti, animals, garbage, overgrowth, speeding, discharging sewage into the storm drain, or illegally parked cars. This information is received by a designated City staff member who then forwards the complaint to the appropriate department. If the complaint is regarding trees being cut down or environmental issues, code enforcement will respond quickly to minimize the violations. Complaints can be anonymous, photographs can be attached to the complaint, and an interactive map allows the complainant to pinpoint where the violation is / has occurred. Users can view the status of complaints online and see a map or list of current reported issues. https://www.tukwilawa.gov/residents/enqaqe/tukwila-works/ FINANCIAL IMPACT While the majority of code enforcement cases are resolved by the property owner there are cases where the City intervenes due to life safety issues for the public or significant environmental impacts. Code Enforcement has in the past resolved violations on private property through abatement, but due to financial limitations abatements are difficult to perform. Code Enforcement has an abatement fund of $17,000 yearly that we have used in targeted situations to board up a nuisance property, install erosion control, or in rare cases demolish a dangerous structure. It can cost $5,000 to board up a single -story house and up to $10,000 for a two-story. It can cost up to $75,000 to demolish a house including removal of the foundation and capping of utilities. Erosion and sediment control measures can cost as little as $1,500 or up to $10,000 depending on the size and location of the property. Even getting the legal right to go onto the property to make the corrections can involve significant legal costs. The City records a lien on the property to eventually recover our expenses but are generally not paid until the property changes hands. RECOMMENDATION Information and discussion only. https://tukwilawa.sharepoint.com/sites/mayorsoffice/cc/Council Agenda Items/DCD/2-12-24 COW CE Update.docx City of Tukwila Department of Community Development Code Enforcement Department Case Presentation What Code Enforcement Investigates. TUKWILA Department of Community Development CODE ENFORCEMENT- FLOWCHART CASE OPENED Notice of Violation & Order Inspection r Inspection r, Notice of Assessment Inspection Request for Compliance CITY OF TUKWILA www.TukrwilaWA.gov Compliance Grading and Filling without a Permit in an Environmentally Critical Area: Steep Slopes Violation: Excavation and Grading in unstable soils. The soils were then pushed to create a larger flat surface. In the process, created a large, steep slope acceptable to runoff, erosion, and slides. Before & After Unpermitted Excavation, Grading, & Fill in the Right -of -Way without a Right -of -Way Use permit. September 2016 August 2023 Before & After Unpermitted Excavation, Grading, & Fill (Continued) The property owner excavated this area to create a larger surface area to store their equipment and vehicles (contractor's storage yard). The soils generated by the excavation were graded throughout this area, which created areas with deep fill. The zoning for this site is Single Family (LDR). Grading and Filling without a Permit in an Environmentally Critical Area: Two branches of Southgate Creek. The property owner's intention was to connect their side sewer to the 8" sanitary sewer located along their back property. (J w, LiT11.E P6S, mriYa L GOvoW T B 1- OU R HOu%E PouWN ►. Our r GHEGKEA WITH GITL MU- ANP F0142 OUT 'ou 6us pIQN'T RPP►_) eoR A ROMAN& PERmh1„, CO co 90 UPCOMING MEETINGS AND EVENTS FEBRUARY 2024 City Council meetings and Council Committee meetings will be conducted in a hybrid model, with in -person and virtual attendance available. FEB 12 MON FEB 13 TUE FEB 14 WED FEB 15 THU FEB 16 FRI FEB 17 SAT ➢ Community Services and Safety Committee 5:30 PM City Hall — Hazelnut Room Hybrid Meeting ➢Planning and Community Development Meeting 5:30 PM 6300 Building — 2nd Floor Duwamish Conference Hybrid Meeting ➢ City Council Committee of the Whole Meeting 7:00 PM City Hall Council Chambers Hybrid Meeting BOARD OF SUPERVISORS 202kt ELECTION VOTE ONLINE NOW BY FEB 13! KCD promotes cleaner water, increased tree canopy and stronger local food systems. Board Supervisors are elected positions that direct the work and determine the natural resource priorities. Go to below link for online voting and candidate statements. Click here to vote online. ➢ Park Commission 5:30 PM Hybrid Meeting GREEN TUKWILA PARTNERSHIP RESTORATION AT RIVERTON Help Tukwila stewards clear invasive plants. 11:30 AM — 1:30 PM Click here for information. Seattle/King County Clinic FREE DENTAL, VISION & MEDICAL CARE First come, first served. Come prepared for a long day with food, comfortable clothing and any daily medications. Limited tickets distributed at 5:30 AM! Feb 15-18 Thursday thru Sunday Fisher Pavilion Corner of 2"d Ave N & Lenny Wilkens Way, Seattle Click here for information. Click here for other free and affordable resources. ➢Civil Service Commission 5:00 PM Hybrid Meeting BOARD & COMMISSION APPLICATIONS DUE BY 5:00 PM TODAY! Click here for information. T King County METRO YOUTH VOICES NEEDED FOR THE SAFE EQUITY WORK GROUP Ages 15-19 can apply to help shape the future of transit safety. Youths will be paid a stipend of $75 for each hour attending meetings and other events. Apply by today! Click here for information. Give Blood = Save 3 Lives DONATE BLOOD AND ENTER TO WIN A 15" MACBOOKAIR! It takes 1,000 donors a day to sustain a blood supply for patients in our community. Click here to schedule an appointment. Or call 1-800-398-7888. FEB 19 MON FEB 20 TUE FEB 21 WED FEB 22 THU FEB 23 FRI FEB 24 SAT 4 No Council meeting and Special Work Session due to the holiday. City offices and community center are closed. GREEN TUKWILA -v PARTNERSHIP P1 RESTORATION AT RIVERTON Help Tukwila stewards clear invasive plants. 11:30 AM —1:30 PM Click here for information. ENTRY-LEVEL FIREFIGHTER REGISTRATION IS OPEN WA Fore Careers will be running a continuous recruitment process for entry-level firefighters in anticipation of upcoming recruitment academies. WA Fire Careers will pull scores on Mar 29. Register now! Click here for information. SEASONAL JOB FAIR This is a unique opportunity for community members, students and part-time job seekers to connect directly with employers that have urgent job openings. Recruiters and HR professionals will conduct interviews on the spot and extend contingent job offers! Register now! 1:00 PM — 4:00 PM Click here for information. ➢Planning Commission 6:30 PM Hybrid Meeting Sat[ e Southside FREE SAVINGS PASS Sign up now and get the mobile pass delivered instantly. You will get savings at attractions, restaurants, retailers and more. Both one- time and repeating offers allow you to save all year long! Click here for information. TUKWILA COMMUNITY POLICE ACADEMY Join us for a FREE 8-week crash course in everything that is Tukwila Police. Classes are open to all with priority to those who live or work in Tukwila. Some topics will include Use of Force, Patrol Operations, SWAT, Narcotics, Major Crimes and Court Procedures. Apply by Feb 23 Click here for information. King County METRO VIRTUAL CAREER NETWORKING EVENT Metro Transit is hiring! This is a chance for you to talk with us virtually on Feb 28. Register nowt Click here for information. CLASSICS CONCERT Feb 24 7:30 PM Feb 25 3:00 PM Foster Performing Arts Center 4242 S 144' St Click here to buy tickets. CITY HALL & 6300 BUILDINGS ARE OPEN TO THE PUBLIC MONDAYS, WEDNESDAYS & THURSDAYS 8:30 AM — 4:00 PM BOARDS, COMMISSIONS AND COMMITTEES APPLICATIONS DUE BY FEB 15 TUKWILA CITY HALL — 6200 SOUTHCENTER BLVD We have volunteer opportunities to serve on a City Board, Commission or Committee! Click here for information. Or, call 206-433-1850. SEASONAL JOB FAIR FEB 21 1:00 PM — 4:00 PM TUKWILA COMMUNITY CENTER —12424 42"d Ave S The City will be hosting a job fair for seasonal and part-time job openings. Click here for information. Or, call 206-768-2822 for information. FREE 8-WEEK COMMUNITY POLICE ACADEMY APPLICATIONS DUE FEB 23 Join us for a free 8-week crash course in everything that is Tukwila Police. Apply now. Email B.Lamothe@TukwilaWA.gov for an application. Click here for information. NEIGHBORHOOD WATCH GROUP HELP Police Community Engagement Coordinator can help to create a neighborhood watch group in your neighborhood and apartments. Click here to email Brooke Lamothe. FREE CRIME PREVENTION SURVEY FOR BUSINESSES TO ENHANCE SECURITY Police Community Engagement Coordinator will visit your business to conduct a security assessment and recommend making your business more secure. Allow up to 2 weeks for an appointment date confirmation. Click here to make an appointment. FOOD BANK OPENS: TUESDAYS, THURSDAYS AND SATURDAYS 10:00 AM — 2:30 PM 3118 S 140TH ST, TUKWILA lie. VOLUNTEERS — In need of volunteers for food packaging or food distributions. To volunteer, click here to sign up. . DONORS — Please donate at tukwilapantry.org/please-donate/. Donations can be dropped off on Tuesday -Saturday from 8 AM — 11 AM or by appointment. Click here for a current list of items in need. STILL WATERS SNACK PACK NEEDS YOUR DONATIONS AND VOLUNTEER HELP! SnackPack distributes food bags on Fridays to Tukwila students in need. Click here for the Snack Pack list. VOLUNTEERS NEEDED ON WEDNESDAYS. Pack snacks every Wednesday at 9:30 AM. To volunteer, email Stillwatersfamilyservices@gmail.com. To deliver food, click here to register with Tukwila School District. Please donate to feed our Tukwila kids. Click here to donate online or mail checks to Still Waters, PO Box 88984, Tukwila WA 98138. O QALL YOUTH AGE 18 AND YOUNGER RIDE TRANSIT FOR FREE! Transit is free for riders 18 years of age and younger. Youths can use ORCA on all participating transit agencies. Click here for information. United Way Y GET FREE TAX HELP IN -PERSON / ONLINE OR FILE YOUR OWN TAXES Free tax filing assistance if you make less than $80,000 a year (or $96,000 for non -single filers). In -person locations will run through Apr 21. Please arrive no later than 45 minutes BEFORE closing time. First come, first serve. Click here for information. SOUTHCENTER MALL (NEAR SEARS) 11:00 AM -7:00 PM THURSDAYS, FRIDAYS, SATURDAYS AND SUNDAYS 91 Tentative Agenda Schedule MEETING 1 — REGULAR MEETING 2 — C.O.W. MEETING 3 — REGULAR MEETING 4 — C.O.W. FEBRUARY 5 See below links for the agenda packets to view the agenda items: February 5, 2024 Special Work Session February 5, 2024 Regular Meeting FEBRUARY 12 See below links for the agenda packets to view the agenda items: February 12, 2024 Committee of the Whole Meeting FEBRUARY 19 .l * "r" PRRIUP Mr SrD * Work Session and Regular Meeting are cancelled. Cityoffices and community center closed. FEBRUARY 26 SPECIAL ISSUES - Update on 42"d Avenue South Bridge Replacement. - Update on the Allentown Truck Reroute Environmental Impact Statement. - Purchase and sale agreement with Forterra for the Duwamish Hill Preserve. Special Meeting to follow Committee of the Whole Meeting. SPECIAL ISSUES Authorize the Mayor to sign Amendment No. 1 to Contract #23- 047 with Versaterm (formerly SPIDR Tech) for data collection, a computer aided dispatch (CAD) system and text and email messaging services, in the amount of $18,380.09 (pushing total to $40,000.00+). MEETING 1— REGULAR MEETING 2 — C.O.W. MEETING 3 — REGULAR MEETING 4 — C.O.W. MARCH 4 MARCH 11 SPECIAL ISSUES Update on asylum seekers or migrants. MARCH 18 WORK SESSION REGULAR MEETING MARCH 25 WORK SESSION Permitting update from Department of Community Development. REGULAR MEETING CONSENT AGENDA - Authorize the Mayor to sign a grant agreement with the Transportation Improvement Board for the Southcenter Boulevard and 65th Avenue South signal project, in the amount of $782,090.00. - Authorize the Mayor to sign a grant agreement with Conservation Futures (CFT) for land acquisitions for the Nelsen Side Channel and Duwamish Hill Preserve projects, in the amount of $515,000.00. - Authorize the Mayor to sign a grant agreement with the King County Flood Control District through the Cooperative Watershed Management (CWM) Program for the Nelsen Side Channel and "Green the Green" shoreline revegetation projects, in the amount of $240,000.00. - Authorize the Mayor to sign a grant agreement with the Washington State Department of Transportation (WSDOT) through the National Highway System Asset Management Program for Orillia Road South pavement repairs and overlay, in the amount of $1,309,000.00. - Authorize the Mayor to sign a grant agreement with the Washington State Department of Transportation (WSDOT) through the National Highway System Asset Management Program for Interurban Avenue South pavement repairs and overlay, in the amount of $4,958,000.00. - Authorize the Mayor to sign a grant agreement with the Washington State Department of Transportation (WSDOT) through the National Highway System Asset Management Program for Boeing Access Road pavement repairs and overlay, in the amount of $3,990,000.00. - Authorize the Mayor to sign a contract with Herrera for an Enhanced Maintenance Plan. - Authorize the Mayor to sign a contract for the Sewer Lift Station 2 Maintenance Improvements project, in the amount of $80,194.00. - Authorize the Mayor to sign a contract for the South 144'" Street Sewer Improvements project, in the amount of $77,300.00. - Accept turnover of off -site stormwater improvements in the amount of $33,745.00, on -site sidewalk and stormwater improvements in the amount of $53,970, and dedication of right-of-way from Brixx, and authorize the Mayor to sign turnover documents. - Authorize the Mayor to sign a contract for the Chinook Public Access Wind Project. UNFINISHED BUSINESS Authorize the Mayor to sign an agreement with Forterra for the assignment of a purchase and sale agreement for King County parcel Nos. 1023049072 and 3351400005 to the City of Tukwila, in the amount of $455,000.00 (including City match of $125,000), upon terms acceptable to the Mayor and City Attorney. 92