2003, 01-07 Regular Meeting8. ACTION ITEMS
Council Agenda 01 -07 -03
CITY OF SPOKANE VALLEY
CITY COUNCIL AGENDA — REGULAR MEETING
CITY HALL AT REDWOOD PLAZA
11707 East Sprague Avenue, First Floor
Spokane Valley, Washington
Tuesday, January 7, 2003 — 6:00 p.m.
1. CALL TO ORDER
2. INVOCATION
Rev. David Thorin, Good Samaritan Village
3. PLEDGE OF ALLEGIANCE
4. ROLL CALL
5. APPROVAL OF AGENDA
6. PUBLIC COMMENTS (For members of the Public to speak to the Council regarding matters NOT on the
Agenda. Please state your name, address and subject for thc record and limit remarks to three minutes. Thank you.)
7. COUNCIL REPORTS
A) Consent Agenda (Consists of items considered routine which are approved as a group. A
Councilruember may remove an item from thc Agenda to be considered separately.)
1. Approval of the Dec. 10, 2002 Regular Meeting Minutes
2. Approval of the Dec. 17, 2002 Regular Meeting Minutes
3. Approval of Claims - $102,593.98
13) Motions
1. Agenda Bill No. 2002 -001, Appointments to Regional Boards and
Committees
2. Agenda Bill No. 2003 -005, Authorize insurance agency for City of
Spokane Valley insurance coverage
C) Ordinances
1. Agenda Bill No. 2003 -006, Establishing Holidays for the City of
Spokane Valley
2. Agenda 13i11 No. 2003 -007, Establishing Salaries for the City of Spokane
Valley Mayor and Councilcnembers
3. Agenda 13111 No. 2003 -008, Authorizing collection of first half sales tax
1
4. Agenda Bill No. 2003 -009, Authorizing collection of second half sales
tax
5. Agenda Bill No. 2003 -010, Authorizing collection of first quarter real
estate excise tax
6. Agenda Bill No. 2003 -01 I , Authorizing collection of second quarter real
estate excise tax
7. Agenda Bill No. 2003 -012, Authorizing collection of leasehold excise
tax
U) Resolutions
1. Agenda Bill No. 2003 -014 Authorize Execution of State Procurement
Contract
2. Agenda Bill No. 2003 -015, Award telephone system contract
E) Contracts
9. CITY MANAGER AND STAFF REPORTS
10. PUBLIC COMMENTS (Maximum dilute minutes please; state your name, address and subject for the
record)
1 NEW BUSINESS
12. ADJOURNMENT
FUTURE SCHEDULE
A) Jan. 9, 2003, Study Session, 6:00 p.m., City Hall
B) Jan. 14, 2003, Regular Meeting, 6:00 p.m., City Hall
C) Jan. 16, 2003, Open House, 4 -6 p.m., City Hall
17) Jan. 21, 2003, Study Session, 6:00 p.m., City Hall
E) Jan. 27, 2003, Joint Council/County Commission Meeting, 7 a.m. or 11:30 a.m.,
City Hall
F) Jan. 29 -30, 2003, Joint Chambers Legislative Trip, Olympia
G) Feb. 19 -20, 2003, AWC City Legislative Action Conference, Olympia
Council Agenda 01 -07 -03
2
City of Spokane Valley
City Council Minutes
Regular Meeting
December 10, 2002
DRAFT
The regular meeting of the Spokane Valley City Council was called to order by Mayor
Mike DeVleming at 6:00 p.m.
Councilmembers present: Mayor Mike DeVleming, Deputy Mayor Diana Wilhite,
Councilmembers Steve Taylor, Gary Schimmels, Rich Munson, Mike Flanigan and Dick
Dcnenny.
Staff present: Interim City Manager Lee Walton, interim City Attorney Stanley
Schwartz, Interim Finance Director Robert Noack, Interim Public Works Director Dick
Warren, Interim Planning Director Jim Harris, interim Administrative Assistant Karin
Bosworth and interim City Clerk Ruth Muller.
Invocation: Councilmember Munson gave the invocation.
Pledge of Allegiance: Mayor DeVleming led the pledge of allegiance.
Roll Call: interim City Clerk called roll.
Approval of Agenda
Deputy Mayor Wilhite moved to amend the agenda adding an executive session under
new business and to move Prothman Contract for Interim Management Services to
executive session for discussion, with action on the contract following executive session.
Councilmember Munson seconded the motion. The motion to amend the agenda carried
unanimously. Councilmember Schimmels moved to adopt the amended agenda and
Councilmember Flanigan seconded the motion. The motion carried unanimously.
Public Comments
Tom DeGeare, 2820 South Avalon Road, said that as a 17 -year resident of the area, he
does not support the natne of the City as Spokane Valley. Prior to the incorporation vote,
he was advised that this could be a temporary name, but he has heard nothing since the
vote on any change. I -Ie said that there should be a decision prior to development of a
logo He said that he voted to divorce the area froni the City from Spokane, not to be a
foster child. Mayor DeVleming advised that the Council has agreed not to initiate any
action for a City name change, but that such action must be citizen driven. The mayor
reviewed the process that would be followed if any petition for a name change is
initiated.
December 10, 2002 Council ,Minutes, Approved
1
Council Reports
There were no Council reports.
Consent Agenda
Councilmember Munson moved and Councilmember Taylor seconded that the Consent
Agenda be approved including (l) December 3. 2002 Regular Meeting Minutes and (2)
no claims obligations. The motion carried unanimously.
Motions
1) Finance Committee: Mayor DeVleming announced that he has appointed
Deputy Mayor Wilhite, Councilmembers Munson and Taylor to the Finance
Committee. Councilmember Flanigan moved and Councilmember Munson
seconded that the Council confirm the mayor's Finance Committee appointments.
interim Manager and Finance Director responded to questions of the Council on
the operation of the Finance Committee. The motion to confirm appointments of
Deputy Mayor Wilhite, Councilmembers Munson and Taylor to the Finance
Committee carried unanimously.
2) Ad-Hoc Governance Coordination Committee: Mayor DeVleming announced
that he has appointed Councilmembers Flanigan, Denenny and himself to the Ad-
Hoc Governance Coordination Committee. Mayor DeVleming moved and
Councilmember Denenny seconded that the Council confirm the mayor's Ad -Hoc
Governance Coordination Committee appointments. The mayor responded to
questions as to operation of this committee. The notion to confirm appointments
of Mayor DeVlemin_ Councilmembers Flani , an and Denenn , to the Ad -Hoc
Governance Committee carried unanimously.
ORDINANCES
1) Ordinance No. 6: Interim City Clerk introduced the ordinance by reading the
title. Councilmember Denenny moved and Councilmember Flanigan seconded
that City Council suspend its rules for two readings of this ordinance and proceed
to final action at this meeting. The motion carried unanimously.
Councilmember Munson moved and Deputy Mayor Wilhite seconded that
Council adopt Ordinance No. 6 Requiring Certain City Officials to Take an Oath
of Office and Furnish a Bond. Responding to Councilmember Denenny's
question relating to Section 2 and dollar amounts for these bonds, Interim
Attorney Schwartz advised that the bond amounts are established at Council's
discretion. Councilmember Munson moved to amend the ordinance and
Councilmember Schiunmels seconded to establish a $250,000 bond requirement
for the positions of City Manager, City Clerk. Finance Director and Chief of
Police. Following discussion of suitable bonding requirements, the notion to
amend Section 2 requiring $250,000 bonds carried unanimously. Adoption of
amended Ordinance No. 6 carried unanimously.
December 10, 2002 Council Minutes, Approved
2) Ordinance No. 7: Interim City Clerk introduced the ordinance by reading the
title. Mayor DeVleming moved and Councilmember Taylor seconded that City
Council suspend its rules for two readings -of this ordinance and proceed to final
action at this meeting. The notion carried unanimously.
Councilmember Schimmels moved and Deputy Mayor Wilhite seconded that
Council adopt Ordinance No. 7 Relating to Legal Actions Brought Against City
Officials and Employees, Providing for Legal Representation for Conduct, Acts
and Omissions on Behalf of the City Within the Scope of Their Services or
Employment and Other Matters Reasonably Related Thereto. Interim Attorney
Schwartz summarized this ordinance as a contract for indemnity of City officials
whose legal defense will be covered if they are acting in good faith as a City
employee, and identified exclusions, conditions of defense, reimbursement and
coverage if there is conflict with provisions of insurance policies. Following
discussion of the contents of the ordinance. the motion to adopt Ordinance No. 7
carried unanimously.
3) Ordinance No. 8: Interim City Clerk introduced the ordinance by reading the
title. Councilmember Taylor moved and Councilmember Flanigan seconded that
City Council suspend its rules for two readings of this ordinance and proceed to
final action at this meeting. The carried unanimously.
Councilmember Denenny moved and Councilmember Munson seconded that
Council adopt Ordinance No. 8 Adopting a System for the Issuance and
Control of Credit Cards by City Officials and Employees Including Authority to
Adopt Rules and Procedures Reasonably Related Thereto. Interim Attorney
Schwartz summarized provisions of the ordinance, advising that per state statute
credit cards may be issued to the City for use by City officials for the purchase of
goods, supplies and for travel; the cards will be under control of the Finance
Director who will maintain a log of uses. The motion to adopt Ordinance No. 8
carried unanimously.
4) Ordinance No. 9: Interim City Clerk introduced the ordinance by reading the
title. Councilmember Taylor moved and Councilmember Flanigan seconded that
City Council suspend its rules for two readings of this ordinance and proceed to
final action at this meeting. The motion carried unanimously.
Deputy Mayor Wilhite moved and Councilmember Denenny seconded that
Council adopt Ordinance No. 9 Establishing Accounting Funds. The motion
carried unanimously.
5) Ordinance No. 1.0: Interim City Clerk introduced the ordinance by reading the
title. Councilmember Denenny moved and Councilmember Flanigan seconded
that Cit Council sus end its rules for two-readings of this ordinance and .roceed
to final action at this meeting. The motion carried unanimously.
December 10, 2002 Council Minutes, Approved
3
Mayor DeVleming moved and Councilmember Denenny seconded that Council
adopt Ordinance No. 10 Establishing a General Fund Petty Cash Account for the
City of Spokane Valley for the Purpose of Making Minor Authorized
Disbursements.
Councilmember Munson moved and Councilmember Taylor seconded to amend
Section 1 establishing the petty cash amount to not exceed $1000.00. The motion
to amend carried unanimously.
Motion to adopt Ordinance No. 10 as amended carried unanimously.
6) Ordinance No. 11: Interim City Clerk introduced the ordinance by reading the
title. Councilmember Taylor moved and Deputy Mayor Wilhite seconded that
City Council suspend its rules for two readings of this ordinance and proceed to
final action at this meeting. The motion carried unanimously
Councilmember Schimmels moved and Mayor DeVleming seconded that Council
adopt Ordinance No. 11 Establishing a Small Works Roster to Award Public
Works Contracts. Interim Attorney Schwartz summarized provisions of the
ordinance that allows the City to maintain a small works roster for projects under
$200,000, soliciting bids from firms on the roster, and providing specifications
and bids to the Council for authorization of projects; without such a roster, all
projects are subject to formal bid requirements. The motion to adopt Ordinance
No. 11 carried unanimously
7) Ordinance No. 12: Interim City Clerk introduced the ordinance by reading the
title. Mayor DeVleming moved and Councilmember Munson seconded that City
Council suspend its rules for two readings of this ordinance and proceed to final
action at this meeting. The motion carried unanimously.
Councilmember Denenny moved and Councilmember Munson seconded that
Council adopt Ordinance No. 12 Providing for Small Contract Authorization.
interim Attorney Schwartz, said that this ordinance gives the City Manager
purchasing authority for goods and services of budgeted items not to exceed
S5000, audited by the Finance Director and reviewed by the Finance Committee.
Following discussion as to the desirability and need for increasing this authority
from the $1000 currently in effect, the motion to adopt Ordinance No. 12 carried
by majority vote with four aye votes — Mayor DeVlerning, Councilmembers
Denenny, Schimmels and Taylor; and three nay votes — Deputy Mayor Wilhite,
CounciImembers Munson and Flanigan.
RESOLUTIONS
1) Resolution 02 -08: Interim City Clerk introduced the resolution by reading the
title. Councilmember Taylor moved and Councilmember Denenny seconded that
City Council ado t .Resolution 02 -08 Desi satin_ March 31, 2003 as the Official
Date of Incorporation for the City of Spokane Valley.
December 10, 2002 Council ,Minutes, Approved
4
Interim Manager Walton said that staff and Council have reviewed the pros and
cons as to a February 28 versus the March 31 date and have determined that the
March 31 date is preferable both financially and for time necessary to accomplish
everything required prior to incorporation. The motion to adopt Resolution No.
02 -08 carried unanimously.
2) Resolution No. 02 -09: interim City Clerk introduced the resolution by reading
the title. Councilmember Taylor moved and Councilmember Denenny seconded
that City Council adopt Resolution 02 -03 Authorizing Investment of City of
Spokane Valley Monies Into The Local Government Investment Pool. Interim
Finance Director Noack said that this investment pool was established by the
State to provide opportunity for cities within the State to earn a better return on
their investments given the larger pool of money for investment; in recent years,
the Pool has been able to offer a better return on investments than many other
financial institutions. The notion to adopt Resolution 02 -09 carried unanimously.
3) Resolution No. 02 -10: Interim City Clerk introduced the resolution by reading
the title. Councilmember Denenny moved and Councilmember Munson seconded
that City Council adopt Resolution No. 02 -10 In the Matter of a Loan From
Spokane County to the City of Spokane Valley Payable From Road District
Regular Property Tax Collection Distributions. The motion carried unanimously
CITY MANAGER AND STAFF REPORTS: Interim Manager Walton reported about
office work space /equipment status; requested that all transition committee reports be
made available to staff; and that a master list of boards and conmiittees for City
participation will be ready for the December 17, 2002 meeting.
Interim Finance Director Noack reported that banking proposals are to be submitted by
interested banks on December 18, 2002 and this will be an item on the January 7, 2003
agenda.
Councilmember Munson reported that he has had discussion with Michael Volz of the
County Treasurer's office regarding information on property taxes.
PUBLIC COMMENTS: There were no public comments at this time.
NEW BUSINESS
Logo Contest: Interim Manager Walton presented draft information, requirements, and
application form for a possible logo contest for the new City. Walton said that such a
contest has been very successful in other new cities and is a good opportunity to involve
students and community members in the process of preparing for the official date of
incorporation on March 31, 2003. Walton asked that City Council consider having such a
contest, and provide guidance to staff as to (1) who should be eligible for entry, (2)
whether a prize should be offered, (3) final date for entry form submittal, and (4) where
information/entry forms should be displayed.
December I0, 2002 Council Minutes, Approved
5
Councilmember Flanigan reported that the Valley Chamber of Commerce will be happy
to work with the City for placement of the entry forms within the City. Councilmember
Munson moved that the draft document submitted for a logo contest be approved with
entry deadline of January 31, 2003. Deputy Mayor Wilhite suggested that the design of
any logo selected be limited to three colors to reduce production costs. The motion died
for lack of a second.
13111 Gothmann, 10010 East 48 Avenue, said that Eastern Washington University
students would be happy to participate in design of a logo. There was discussion as to
whether entries should be limited to residents within the boundaries of the City.
Councilmember Taylor moved to limit logo contest entries to residents living within the
boundaries of Spokane County. The motion died for lack of a second. Councilmembers
Taylor and Schinunels spoke for allowing entries beyond the City boundaries to include
all of Spokane County since there are areas that may annex and these areas include
people with good ideas. Councilmembers Munson and Flanigan spoke against allowing
entries from residents outside City boundaries since there are many talented people living
within the City.
Mayor DeVleming advised that the Council will accept public comment on this issue.
Richard 13elmer, 3626 South R.idgeview Drive, suggested limiting entries to residents
within the three school districts since there are areas of the districts outside the City
boundary. Councilmember Denenny supports this suggestion.
Doug Ryder, 11516 East Mission Avenue, said that School District No. 81 is totally
within the City and suggested using Fire District No. 1 boundary as the entry limitation.
Councilmember Taylor moved and Deputy Mayor Wilhite seconded that the logo design
contest be limited to residents of Spokane County. The motion carried by majority vote
with five aye votes — Mayor DeVleming, Deputy Mayor Wilhite, Councilmembers
Denenny, Schimmels and Taylor and two nay votes — Councilmembers Munson and
Flanigan. The consensus of the Council is to provide a cash prize of $500, entry deadline
of January 31, 2003, and to work with the Valley Chamber of Commerce for distribution
of entry forms.
Mayor DeVleming recessed the meeting for ten minutes at 7:45 p.m. announcing that
following the recess the Council would convene in executive session for approximately
thirty minutes for discussion of Prothman Contract for interim staffing services.
The meeting reconvened at 7:55 p.m. and Council convened in closed conference room
for executive session. The executive session was extended for approximately 30 minutes
at 8:29 p.m.
The meeting reconvened from executive session at 9:05 p.m.
December 10, 2002 Council Minute, Approved
6
Councilmember Deneeny moved and Councilmember Schimmels seconded that Council
authorize Mayor DeVleming to execute contract with Prothman Company for Interim
Mana ' ement Services with the following conditions: 1 no Prothmen em lo ee or
"sourced" person may become an employee of Spokane Valley until the termination of
the contract June 30, 2003; (2) provision for a 5% transfer fee for only those individuals
"sourced" by Prothman Company; (3) if additional interim staff are authorized by the
Council. Prothman Company will "source" and present qualified candidates for review
and approval by Council: and (4) a housing stipend of $600 per month is provided to nine
individuals identified on Exhibit "A" and this amount will be pro -rated if an individual is
off work for more than one week per month. The motion carried by majority vote with
six aye votes — Mayor DeVleming, Councilmembers Denneny. Munson, Schimmels,
Taylor and Flanigan: and one nay vote — Deptuy Mayor �Villiite.
Councilmember Taylor suggested that the Council revisit the issue of City name change.
After brief discussion, Council requested that the interim Attorney research this issue and
provide a memo to City Council about process and statute requirements.
Greg Prothman announced that he will have information available at the December 17,
2002 meeting on City Manager search and interim staff organization chart with positions,
dollars, and job descriptions.
Interim Manager Walton announced that there will be a study session scheduled
following the December 17, 2002 regular meeting.
There being no further business, Councilmember Flanigan moved and Mayor DeVleming
seconded that the meeting adjourn. The motion carried unanimously and the meeting
adjourned at 9:25 p.m.
ATTEST: APPROVED:
Interim City Clerk Mayor Michael DeVleming
December l0, 2002 Council Minutes, Approved
7
The regular meeting of the Spokane Valley City Council was called to order by Mayor
Mike DeVleming at 6:00 p.m.
Councilmembers present: Mayor Mike DeVleming, Deputy Mayor Diana Wilhite,
Councilmembers Dick Denenny, Mike Flanigan, Rich Munson, Gary Schimmels, and
Steve Taylor.
Staff present: interim City Manager Lee Walton, Interim Deputy City Manager Stan
McNutt, Interim Finance Director Robert Noack, Interim Community Development
Director Jim Harris, Interim Public Works Director Dick Warren, Interim Administrative
Assistant Karin Bosworth, and interim City Clerk Ruth Muller.
invocation: Rev. Patrick W. Mecham, Opportunity Presbyterian Church gave the
invocation.
Roll Call: interim City Clerk called roll.
City of Spokane Valley .
City Council Minutes
Regular Meeting
December 17, 2002
DRAFT
Approval of Agenda: Mayor DeVleming moved to approve the agenda, adding an
executive session of approximately 15 minutes for discussion of legal matters following
New Business. Councilmember Dencnny seconded the motion. The motion carried
unanimously.
Public Comments: Mayor DeVleming opened the meeting for public comments.
Evelyn Santieson, 12915 East Broadway Avenue, #217, expressed concern about the
possibility of the sewage treatment plant being located at Freya and Trent..
Gary Alvarado, 4309 North Calvin Road, stated that he has 32 years experience working
with training persons of various disabilities, is presently operations manager for a pre-
vocational training center, and offers his services to work with the City as they hire staff.
Kent Richardson, president of the Central Valley Education Association, reviewed action
taken by the teachers to participate in the one -day demonstration to encourage state
legislators not to cut education funding. .Richardson summarized some of the impacts on
school programs if there are cuts as proposed by the governor. City Council agreed to
allow Richardson an additional three minutes under the Public Comments item at the end
of the agenda.
December 17, 2002 Council Minutes, Approved
1
Council Reports: Deputy Mayor Wilhite reported that the Finance Committee met Dec.
13, 2002 to review obligations submitted for payment and recommend approval for
payment with removal of one small item, changing total to be paid to $63,890.57.
Mayor DeVleming reported that the ad -hoc Governance Committee has been meeting to
begin work on process and at this time have some changes in the Study Session Agenda
that will be presented to Council.
Consent Agenda: Interim Manager Walton requested that the Dec. 10, 2002 Minutes be
removed. Councilmember Munson moved and Deputy Mayor Wilhite seconded to
approve the Consent Agenda. (1) approving payment of Claims obligations in the amount
of $63.890.57. The motion carried unanimously.
Motions:
Agenda Bill No. 2002 -001: Following discussion as to necessity for action on
appointments to boards and committee this evening, the mayor determined that this
matter shall be delayed until the January 7, 2003 meeting to allow time for
recommending a primary and alternate appointee to each board/committee for which a
City representative is needed.
Agenda Bill No. 2002 -002 and Resolution No. 02 -11: Interim Manager Walton
reviewed proposal information submitted by various local newspapers as to their
capability and costs for providing legal publication services to the City. Walton
recommended that the City authorize a one -year contract with Spokesman - Review for
legal publication services. Councilmember Flanigan moved and Councilmember Munson
seconded that Council adopt Resolution No. 02 -11 Designating the Official Newspaper
and authorize Cit Mana_er to execute a one -year contract with The S okesman Review
for legal advertising services. The motion carried unanimously.
Agenda Bill No. 2002 -003: interim Deputy Manager McNutt reported that the loaned
telephone system in City Hall is now maxed out with 16 instruments installed. It is
necessary to secure proposals for a City telephone system with flexibility to grow and
expand with the capabilities that we will need when the City is fully staffed. Following
brief discussion of types, costs, and lead time for line installation, Councilmember
Munson moved and Deputy Mayor Wilhite seconded that Council authorize advertising
Re ucst for Pro osal for telephone s 'stem for Cit Hall facilities. The motion carried
unanimously.
Interim Staffing Plan: Greg Prothman reviewed a proposed skeleton organization chart
with positions necessary and summary of position descriptions. Interim Manager Walton
said that the most critical positions are clerical, financial and public works field
supervisor. Council and staff discussed the fact that this staffing plan is predicated upon
the City providing a full- fledged one -stop planning and building permit center; that
Council has not yet had a full discussion as to what services the City will provide in-
house or by contract because direction to staff has been only the philosophical intent of
Council, the need to further cost out providing fully staffed in -house services, and that
December 17, 2002 Council Minutes, Approved
there will be time necessary for securing qualified individuals for specific positions.
Council concurred that this subject will be discussed fully at a January 9, 2003 study
session with cost figures provided by staff. Councilmember Munson moved and Deputy
Mayor Wilhite seconded that Prothman Company be authorized to begin to
identify /source individuals for specific positions, and to authorize hiring immediately
four .ositions: 1 office assistant 2 accountant, 3 o erations/contracts
superintendent, and (4) lone -range planner. The motion carried unanimously.
City Manager Search: Greg Prothman presented a draft position profile including
salary range, based upon his surveys, to begin the search for a City Manager for Spokane
Valley. There was brief discussion about this document noting that information contains
the values established by Council, this should attract qualified applicants with previous
experience in cities of similar size/type, and that the position will not be exempt from
social security. Councilmember Taylor moved and Councilmember Denenny seconded
that the draft position profile for City Manager search be approved. The motion carried
unanimously.
Department Director Search: Greg Prothman presented a draft agreement reviewing
the timeline, positions covered, and City information. Councilmember Taylor moved and
Councilmember Schimmels seconded that the manor be authorized to execute a reemcnt
with Prothman Company to begin search for Deputy City Manager, Public Works
Director. Finance Director. Planning Director. and Buildin_ Official. The motion carried
unanimously.
CiTY MANAGER AND STAFF REPORTS
There were no reports.
PUBLIC COMMENTS
Kent Richardson, president of Central Valley Education Association further identified
programs that may be cut if the governor cuts the state education budget that can lead to
increased social service costs, that many school districts in the state voted to close for the
Jan. 14, 2003 demonstration, but Central Valley will remain open with day to be made
up, that teachers of Central Valley District do not plan to travel to Olympia, but to rally in
Eastern Washington, that this is not a salary issue but about programs for students that the
District wishes to preserve, and requests support of the Spokane Valley City Council,
thanking them for the opportunity to present the teachers' position.
Tom Degeare, 2820 South Avalon Road, stated that he is impressed with the Council's
cost consciousness, but surprised that the City is proceeding with the logo design contest
that may be costly if a city name change is successful.
Tony Lazanis, 10625 East Trent, urged the Council to take a public position on the
sewage treatment plant indicating that if the plant is placed in Spokane Valley, then it
should be owned by the City.
December 17, 2002 Council Minutes, Approved
3
The mayor advised that Council would go into executive session for approximately 15
minutes for discussion of legal issues.
The meeting recessed to executive session at 7:10 p.n1. and the City Council met in
closed conference room for this session.
The meeting reconvened at 7:33 p.m.
There being no further business, Councilmember Flani an moved and Ma tor DeVlemin
seconded that the meeting adjourn. The motion carried unanimously and the meeting
adjourned at 7:35 p.m. to Study Session.
ATTEST: APPROVED:
December 17, 2002 Council ,Minutes, Approved
- interim City Clerk Mayor Michael DeVleming
4
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Council Meeting 1/7/2003
Check Date 12/28/02
hl1A WILHITli
STEVE TA
/R
CITY OF SPOKANE VALLEY
REQUEST' FOR COUNCIL ACTION
Agenda Bill No. 2002 -001
DATE ACTION IS
REQUESTED:
Dec. 17, 2002 (continued)
January 7, 2003
TITLE: Appointments to Regional TYPE OF ACTION:
Boards and Committees
APPROVED FOR ATTACHMENTS:
COUNCIL PACKET: (a) List of Boards and Committee`
(as compiled to date)
City Manager
Dept. Head
Attorney Approve As To
Form
Ordinance
Resolution
Motion
Y Other
SUBMITTED 13Y: Mayor DeVleming
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO:
Confirm individuals appointed by Mayor DeVleming to the Hoards and Committees identified on
Attachment "A" to Agenda Hill No. 2002 -001
DISCUSSION:
Councilmembers have an interest in participating in the various County, Regional, State boards and
committees in order to assure that the interests of the City of Spokane Valley residents are represented
and to communicate to the City residents information about various issues and actions that may affect
the community. 'I'he mayor has appointed councilmembers /staff to these boards and commissions to
assure that no one individual is overburdened with the need to attend meetings on behalf of the City.
ALTERNATIVES: Do not appoint representatives to the County, Regional, State boards and committees.
FISCAL IMPACT:
SOURCE O FUNDS: general revenue
AMOUNT BUDGETED: 50.00 (budget still in development)
AMOUNT NEEDED FOR PROJECT: unknown amounts for mileage /travel expenses
City of Spokane Valley
Memorandum
Date: December. 13, 2002
To: Lee Walton
From: Stan McNutt
Subject: Board and Commission Appointments
Review of the initial list of potential appointments for the new City of Spokane
Valley reveals that only a few are necessary or appropriate at this time.
Those which should be considered immediately are as follows:
• Spokane Regional Transportation Council. — needs an appointed official.
Meetings are held on the second Thursday of the month. Contact is
Glen Miles, 363 -6370.
• Bridge the Valley — Will need a Council representative with staff support.
Contact is Glen Miles, 363 -6370. No meeting information. Preliminary
contact indicates the City may be asked for $100,000 in 2003.
• Spokane Transit Authority — Needs a member of the Council. Contact
person is Robert Schweim, Executive Director, 325 -6095. Meeting
Information?
• Spokane County Steering Couunittee of Elected Officials — They are
currently updating bylaws. Leader is Paul Jensen, 477 721 Meeting
Information?
• Lodging Tax Advisory Committee (Hotel/Motel) — A Councilmember's
attendance at their meeting on Wednesday, December 18, would help the
transition to a City lodging tax advisory committee later. Some funding
issues may also be discussed. Contact is Jeff Fox, at the Valley Doubletree,
922 -6214.
C:\Stan\A9emorandum to Lee - 12- 13 -OZdoc Page 1 of 3
• Mirabeau Point Board — Probably no reason to change current citizen
makeup, but a Councilmember's attendance would be important as well
as the Interim Parks Director. Meetings are Mondays, 3:30 to 5 p.m. at the
Journal of Business, 429 East Third. The contact is Greg Bever, 456 -5257.
• Economic Development Council (EDC) — Need a Councilmember.
Contact is Jim Huttenraier, 742 - 9358. Meeting place(s) and schedule?
• Convention and Visitors Bureau — One Councilmember needed. Contact
is John Brewer, 624 -1341. Meeting place(s) and schedule?
C:\ Stan\ Memorandum to Lee - 12- 13- O2.doc Page 2 of 3
Existing County Boards, Commissions, and Committees (pending
determination of function for Spokane Valley, i.e. organizational structure,
contracts, interlocals, etc.):
Local Emergency Management Planning Committee ( interlocal agreement),
Animal Control Committee, Arts Commission, Bicycle Advisory Board, Boiler
Examiners and Appeals Board, Chase Youth commission, Citizens Review
Commission, Civil Service Commission, Community Development Board,
Construction Review Board, Design Review Committee, Fire Code Advisory and
Appeals Board, Historic Landmarks Commission (Interlocal Agreement), Human
Rights Commission, Human Services Advisory Board, Police Advisory
Committee, Public Facilities District (Interlocal Agreement), Spokane Housing
Authority, Spokane County Steering Committee of Elected Officials.
Employee's Retirement Board, Plan Commission, Spokane Public Library Board
of Trustees, SEACAB, Pubic Development Authority, Local Law & Justice
Council, Local Emergency Management Planning Committee ( Interlocal
Agreement), Spokane Regional Transportation Council (SRTC), Cable Advisory
Board, Sister Cities Association of Spokane, Spokane Transportation
Management Center.
Aging and Long -Term Care of Eastern Washington, Association of Northeast
Washington Mayors, Association of Washington Cities (AWC), Directors of the
Industrial Development Corporation of Spokane County, Spokane City, Spokane
Area Workforce Development Council (Interlocal Agreement), Spokane County
Air Pollution Control Authority (SCAPCA), Spokane Neighborhood Action
Programs (SNAP).
C:\Stan\Memormndum to Lee - 12- 13- 02.doc Page of 3
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL ACTION
Agenda Bill No. 2003 -005
DATE ACTION IS
REQUESTED:
Jan. 7, 2003
APPROVED FOR
COUN(e'IL PACKET:
City Manager
Dept. Head
Attorney Approve
As To Form
T ITLE: Authorize Insurance
Agency for City Coverage
ATTACHMENTS:
1) Resolution No. 03 -01
2) Appendix 48 -03, WCIA
Interlocal
3) WCIA Delegate
Appointment
4) Cities serviced by WCIA
and CIAW
TYPE OF ACTION:
Ordinance
Resolution
X Motion
Other
SUBMITTED BY: Interim City Manager
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: 1.) Adopt Resolution No. 03-011 To Enter
into an Agreement for Insurance Services and Coverage, 2) to authorize City Manager to execute WCIA
lnterlocal Agreement Appendix 48 -03, and 3) to approve delegate and alternate delegate appointments.
DISCUSSION:
I have reviewed the insurance program and proposals submitted by WCIA and CIA\\'. Essentially
WCIA offers membership in a member owned "self- insured" organization of similar cities. CIAW is a
well established consortium and "pool" providing insurance primarily to school districts, special purpose
districts and small cities, placing much more emphasis on underwriting through private insurance
companies. After reviewing both proposals, i recommend that the City of Spokane Valley accept
membership in WCIA as the better alternative for the following reasons:
I) WCiA offers the inherent advantage of "self insurance" by sharing most risk with a large number
of cities that are similar in size and character to SV. As part owners, the City would be able to
participate in policy decisions that determine rates that are applied. CIAW has been very
successful in serving school districts and special purpose districts. However it serves very few
cities that are comparable in size or character to SV and would not offer an equal level of
ownership participation.
Agenda Bill 2H3 -OO5
2) Membership in WCIA offers immediate access to very strong and reliable financial resources and
reserves (S14 million) which, except for some "reinsurance," is not subject to the whims and cycles
of the insurance industry. In addition the "pool" provides very strong support and education
services that are unmatched in quality.
In summary, while CIA11' is a very strong program for small cities, our association with financially
strong and successful cities via WCIA offers greater protection and reliability. Ultimately association
with a city -owned "self- insured" risk pool also provides a greater probability of lower policy costs
over the long term.
ALTERNATIVES: Seek insurance coverage through a local broker from the private insurance industry.
FISCAL IMPACT:
SOURCE OF FUNDS: General Fund revenue
AMOUNT BUDGETED: budget not yet developed
AMOUNT NEEDED FOR PROJECT: not yet determined (based on worker hours plus property
owned)
Agenda Bill 2003 -005
2
1. Membership.
CiTY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
RESOLUTION NO. 03 -011
A RESOLUTION AUTHORIZING THE CITY OF SPOKANE VALLEY, SPOKANE
COUNTY, WASHINGTON, TO ENTER INTO AN AGREEMENT FOR INSURANCE
SERVICES AND COVERAGE.
WHEREAS, the availability, adequacy and cost of insurance for public entities such as
the City of Spokane Valley is an important concern to the City of Spokane Valley and its
citizens;
WHEREAS, joining together with other municipal corporations for joint self - insurance
and/or joint purchase of insurance coverage as an alternative to conventional insurance purchase
and claims procedures is in the best interest of the City of Spokane Valley;
WI- IER.EAS, the interim City Attorney has reviewed the Interlocal Agreement dated
January 12, 1993, creating the Washington Cities Insurance Authority, its Bylaws and various
coverage programs and approves the same as to form; and
WHEREAS, the City Council is desirous of becoming a member to the Interlocal
Agreement commencing as of November 20, 2002 at 12:01 a.m.
NOW, THEREFORE, be it Resolved by the City Council of the City of Spokane Valley,
Spokane County, Washington, as follows:
The City of Spokane Valley, Spokane County, Washington, desires to become a
member of the Washington Cities Insurance Authority commencing November 20, 2002, at
12:01 a.m.
2. Agreement.
The City of Spokane Valley agrees to and accepts the mutual benefits, covenants
and agreements of the lnterlocal Agreement creating the Washington Cities Insurance A.uthority
and agrees to he bound thereby. The City Council authorizes the Interim City Manager to
execute an "appendix" to the lnterlocal Agreement, which will bind the City of Spokane Valley
to said agreement that created the Washington Cities Insurance Authority.
3. Appointment to Board.
In accordance with the interlocal Agreement, the City Manager and /or Human
Resources Director is appointed as a delegate to the Board of Directors and the Deputy Manager
and/or Finance Director is appointed as alternate to the Board of Directors.
P:lcmail attachments \Resolution03- 011,insurance covcmgc.doc 1
ATTEST:
4. Effective Date.
This Resolution shall become effective immediately upon passage by the City of
Spokane Valley City Council and on the date of incorporation.
Adopted this day of January, 2003.
Interim City Clerk, Ruth Muller
Approved as to Form:
Interim City Attorney, Stanley M. Schwartz
City of Spokane Valley
Mayor Michael DeVlem.ing
Nenmi1 attachments \Rcsolution03- 011,insurince coverage.cloc 2
APPENDIX 48 -03 TO INTERLOCAL AGREEMENT
CREATING THE WASHINGTON CITIES
INSURANCE AUTHORITY.
WHEREAS, in 1980 the Cities of Mercer Island, Mountlake Terrace, Olympia, Kirkland,
Marysville, Lacey, Kent, Everett and Des Moines did enter into and sign an Interlocal
Agreement, as authorized by CH 48.62 RCW, for the creation of and operation of a
liability self - insurance pool for the mutual protection and benefit of said entities known
as the Puget Sound Cities Interlocal Insurance Authority; and,
WHEREAS, on March 13, 1986, the Board of Directors of the Authority did pass a
motion to change the name to Washington Cities Insurance Authority. Said change is also
ratified by new members; and,
WHEREAS, the above referenced Interlocal Agreement provides in Article 19 for the
addition of new members to said Authority after one year of operation as determined by
vote of the Board of Directors of said Authority; and,
WHEREAS, Article IV, Section 8 of the By -Laws of the Washington Cities Insurance
Authority provides the procedure for the admission of new members to said Authority;
and,
WHEREAS, on August 9, 2002, the Executive Committee of the Washington Cities
Insurance Authority did pass a motion authorizing and inviting City of Spokane Valley
to become a new member of said Authority; and,
WHEREAS, City of Spokane Valley by decision of its respective legislative and
executive authorities, has decided to become a new member to the Washington Cities
Insurance Authority commencing on January 1, 2003;
NOW THEREFORE, for and in consideration of all of the mutual benefits, covenants,
and agreements contained herein, City of Spokane Valley by signature of its respective
authorized representative to this Appendix 48 -03 to the original Interlocal Agreement, do
hereby agree to be bound to all the terms, conditions, and covenants of the original
Interlocal Agreement creating the Washington Cities Insurance Authority and all previous
appendixes, which are incorporated by reference herein and to become members of said
Authority commencing at 12:01 a.m. on January 1, 2003.
The new member whose representative signs this Appendix 48 -03 agree that they shall
be bound to the original Interlocal Agreement and all previous appendixes, and to which
the Appendix 48 -03 is attached; and. further agree that they shall be bound by all
provisions and terms of the By -Laws for the Washington Cities Insurance Authority as
they now exist or may be amended in the future. The new member whose representative
signs this agreement shall have the benefits of the Joint Protection Programs and
obligations thereto as provided by the Washington Cities Insurance Authority
commencing at 12:01 a.m., January 1, 2003.
IN \WITNE.SS WHEREOF, the party hereto has executed this Appendix 48 -03 to the
Interlocal Agreement creating the Washington Cities Insurance Authority by authorized
official thereof, on the date indicated below.
DATE:
ATTEST:
DATE:
GEN /48 -03 Appendix
Washington Cites :Insurance. Authority
Full: Board Delegate Job Description
Function as the primary source to coordinate communication with the Full Board, Executive
Committee, and Authority staff regarding its member needs.
2. Attend at least one and encouraged to attend three WCJA Full Board Meetings annually, come
informed as to the issues, and vote appropriately. Full Board policies or actions voted by Board
Delegate's are binding for the member entity.
3. Develop a working knowledge of pool operation, including an understanding of the budget,
investment strategies, assessment formula, program coverage's, and Authority services and
resources.
4. Coordinate to and from the Authority timely liability and/or property claims reporting procedures,
newsletter distribution, risk management and loss control issues, annual field audits, insurance and
indemnity requirements for member contracts, and generally possess the ability to communicate
issues throughout the city.
5. Coordinate insurance coverage letter requests, Authority annual requests for worker hour and/or
property or automobile schedule(s) and update additions and changes to schedules on a timely
basis.
6. Receive and insure timely processing of the annual assessment billing.
7. Arrange for orientation of elected officials, department heads and staff.
S. Monitor and coordinate compliance with the COMPACT.
9. Other duties developed by the Authority.
Signature of Appointing Official
Signature of Delegate
Printed Name of Delegate
Signature of Alternate Delegate
Printed Name of Alternate Delegate
Entity: City of Spokane Val.Iey
The appointed Board Delegate's responsibilities and tasks are as follows:
Title
Title
Date
Date
Title Date
Entail Address
Email Address
WCIA Coverage Document Page 2
LIMITS /ULTIMATE NET LOSS:
PRIMARY LAYER LIMIT
1st EXCESS LAYER LIMIT
2nd EXCESS LAYER LIMIT
TOTAL LIMIT
MEMBERS COVERED BY THIS AGREEMENT:
Aberdeen
Anacortes
A Regional Coalition for Housing
Arlington
Auburn
Bainbridge Island
Battle Ground
Benton County Emergency Services
Bonney Lake
Bothell
Burien
Camas
Centralia
Chehalis
Chelan
Clark Regional Emerg. Serv. Ag. (CRESA)
Clarkston
Clyde Hill
Coupeville
Covington
Cowlitz Sewer Operating Board
Des Moines
Eastside Public Safety Communications
Edgewood
Edmonds
Elrna
Emergency Services Coordinating Agency
Enumclaw
Fife
Goldendale
Grandview
Grays Harbor 911 Communications
Hoquiam
Issaquah
Kelso
Kenmore
WASHINGTON CITIES INSURANCE AUTHORITY
Self- Insured Coverage Document #CT -2003
January 1, 2003, to January 1, 2004
12:01 am Pacific Standard Time
$1,000,000 PER OCCURRENCE
$ 2,000,000 PER OCCURRENCE / $12,000,000 ANNUAL
AGGREGATE
$11,000,000 PER OCCURRENCE / NO ANNUAL AGGREGATE
EXCEPT FOR PUBLIC OFFICIALS E&0 - $10,000,000 PER MEMBER
$14,000,000 PER OCCURRENCE, subject to above aggregates and
see Section ID, (Coverage Limits) in the WCIA Joint Protection
Program.
DESCRIPTION OF COVERAGE: Comprehensive General Liability, Automobile Liability. Stop -Gap Coverage, Errors
or Omissions Liability and Employee Benefits Liability.
Kent
Kirkland
Lacey
La Conner
Lake Forest Park
Lake Stevens
Leavenworth
Long Beach
Longview
LOTT Alliance
Mabton
Maple Valley
Marysville
Marysville Fire District
McCleary
Medical Lake
Medina
Mercer Island
Mill Creek
Milton
Monroe
Monroe Fire District
Montesano
Mountlake Terrace
Mount Vernon
Mukilteo
Newcastle
Normandy Park
North Bonneville
Ocean Shores
Olympia
Pasco
PENCOM
Port Angeles
Port Townsend
Pullman
Pullman- Moscow Regional Airport
Puyallup
Renton
Richland
Sammamish
Shelton
Shoreline
Skagit 911
Snohomish
Snohomish Co. Dept. Emerg. Mgt.
Snohomish Co. Emergency Radio Sys.
SNOCOMfMedic 7
SNOPAC
Snoqualmie
Stanwood
Steilacoom
Sumner
Thurston Regional Planning Council
Toppenish
Tukwila
Tumwater
Union Gap
University Place
Valley Communications
Walla Walla
WA Cities Insurance Authority
Washougal
Water Operating Board
Westport
Woodinville
Woodway
Yakima Valley Conference of Govern.
Zillah
Town of Albion
Town of Almira
City of Asotin
City of Bingen
City of Black Diamond
City of Brewster
City of Bridgeport
City of Buckley
City of Burlington
Town of Carbonado
City of Cashmere
Town of Cathlamet
City of Chewelah
City of Colfax
City of College Place
Town of Colton
City of Colville
Town of Conconully
Town of Concrete
City of Connell
City of Cosmopolis
Town of Coulee City
Town of Coulee Dam
Town of Creston
Town of Cusick
City of Davenport
City of Dayton
City of Duvall
City of East Wenatchee
Town of Electric City
Town of Elmer City
Town of Endicott
City of Entiat
City of Ephrata
City of Everson
Town of Garfield
City of George
City of Grand Coulee
City of Granite Falls
Town of Hamilton
Town of Hartline
Town of Hatton
Town of lone
City of Kahlotus
City of Kennewick
City of Kittitas
CANFIELD & ASSOCIATES, INC.
INSURED CITIES
Town of Krupp
Town of LaCrosse
City of Lakewood
City of Liberty Lake
Town of Lind
Town of Lyman
City of Lynden
City of Lynnwood
Town of Malden
Town of Mansfield
Town of Marcus
Town of Mattawa
Town of Mesa
Town of Metaline
Town of Metaline Falls
City of Moses Lake
Town of Moxee
Town of Nespelem
City of Newport
City of Nooksack
Town of Northport
City of Oak Harbor
City of Oakville
City of Okanogan
City of Omak
City of Oroville
City of Othello
City of Pacific
City of Palouse
City of Pateros
City of Pomeroy
City of Prescott
City of Prosser
City of Quincy
Town of Reardan
City of Republic
City of Ritzville
Town of Riverside
City of Rock Island
Town of Rosalia
City of Royal City
Town of Saint John
City of Sea -Tac
City of Sedro - Woolley
City of Selah
Town of Skykomish
City of Soap Lake
City of South Bend
Town of South Cle Elum
City of Sprague
Town of Starbuck
City of Stevenson
City of Sultan
City of Sumas
City of Sunnyside
City of Tekoa
City of Tenino
Town of Tieton
Town of Tonasket
Town of Uniontown
City of Waitsburg
City of Warden
Town of Washtucna
Town of Waterville
City of White Salmon
Town of Wilbur
Town of Wilkeson
Town of Wilson Creek
City of Woodland
Multi- Agency
Comm. Center
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL ACTION
Agenda Bill No. 2003 -006
DATE ACTION 1S
REQUESTED:
Jan. 7, 2003
TITLE: Establishing City TYPE OF ACTION:
Holidays
X Ordinance
APPROVED FOR
COUNCIL PACKET: ATTACHMENTS: Resolution
Ordinance No. 13
City Manager Motion
Dept. Head Other
Attorney Approve
As To Form
SUBMITTED BY: Interim City Manager
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Adopt Ordinance No. 13 Establishing
City Holidays for Spokane Valley.
DISCUSSION: City of Spokane Valley office hours were established by adoption of Ordinance No. 2.
The City is desirous of recognizing certain legal holidays and closing its offices for the transaction of
business on said holidays. The holidays designated in Ordinance No. 13 are identical to those established
by the State of Washington.
ALTE..RNATIVES: Provide legal holidays for the City of Spokane Valley that differ from those established by
the State of Washington.
FISCAL. IMPACT: No fiscal impact unless certain staff are required to work on a holiday under
emergency situations.
SOURCE OF FUNDS: General Fund revenue
AMOUNT BUDGETED: budget not yet developed
AMOUNT NEEDED FOR PROJECT: not known
CITY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
ORDINANCE NO. 13
AN ORDINANCE OF THIN; CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, ESTABLISHING CITY HOLIDAYS
WHEREAS, the City of Spokane Valley through Ordinance No. 2 established regular
office hours for the City of Spokane Valley; and
WHEREAS, the City of Spokane Valley is desirous of recognizing certain legal holidays
and closing its offices for the transaction of business on said holidays, except as otherwise
required by the City Manager and /or City Council; and
WHEREAS, the established City holidays are identical to those established by the State
. of Washington.
NOW, THEREFORE, the City Council of the City of Spokane Valley, Spokane County,
Washington do ordain as follows:
Section 1. Legal Holidays.
The following days shall be recognized as legal holidays during which all
offices of the City of Spokane Valley, including the Municipal Court, shall be closed for the
transaction of business, unless otherwise ordered by the City Manager and/or City Council.
A. First day of January, commonly known as New Year's Day;
B. The third Monday of January, being celebrated as the anniversary of the
birth of Martin Luther King, Jr.;
C. The third Monday of. February, to be known as Presidents' Day and to be
celebrated as the anniversary of the births of Abraham Lincoln and George
Washington;
D. The last Monday of May commonly known as Memorial Day;
E. The fourth day of July, being the anniversary of the !Declaration of
Independence;
F. The first Monday of September, to be known as Labor Day;
G. The eleventh day of November, to be known as Veteran's Day;
H. The fourth Thursday in November, to be known as Thanksgiving Day;
1. The day immediately following Thanksgiving Day; and
J. The twenty -fifth day of December, commonly known as Christmas Day.
Section 2. Severability.
If any section, sentence, clause or phrase of this ordinance should be held
to be invalid or unconstitutional such invalidity or unconstitutionality shall not affect the
validity or constitutionality of any other section, sentence, clause or phrase of this ordinance.
P :ksnail attachmemA0cdinance No 13 Holidays.doc 1
Section 3. Effective Date.
This Ordinance shall be in full force and effect on the official date of
incorporation provided publication of this Ordinance or a summary thereof occurs in the official
newspaper of the City as provided by law.
ATTEST:
Passed 13y the City Council of the City of Spokane Valley on January , 2003.
Interim City Clerk, Ruth Muller
Approved As To Form:
Interim City Attorney, Stanley M. Schwartz
Date of Publication:
Effective Date:
P:ltmnil nnuhrnnislOrdironcu No 13 }1oLd ys.doc
Mayor, Michael DeVleming
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL ACTION
Agenda Bill No. 2003 -007
DATE ACTION IS
REQUESTED:
Jan. 7, 2003
APPROVED FOR
COU L PACKET:
City Manager
Dept. Head
Attorney Approve
As To Form
TITLE: Establishing salaries TYPE OF ACTION:
for Mayor and Council
X Ordinance
ATTACHMENTS: :Resolution
1) Ordinance No. 14
2) Municipal Research & Motion
Services Center (MRSC)
New City Guide Section Other
SUBMITTED BY: Interim Finance Director
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Adopt Ordinance No. 14 Establishing the.
Salaries for City Councilmembers and Mayor.
DISCUSSION: State law provides for compensation to elected officials of newly incorporated cities to
begin on the date that the election results have been certified by the County Auditor. The City of
Spokane Valley councilmember election results were certified by the Spokane County Auditor on
November 20, 2002. Washington State RCW 35A.13.040 provides that elective officers of a newly
incorporated code city are entitled to compensation according to population of the new city until a salary
schedule is established.
ALTERNATIVES: (1) Do not compensate elected officials of the City of Spokane Valley; or (2) provide
compensation in amount less than state law establishes for newly incorporated cities with population greater
than 15,000.
FISCAL IMPACT:
SOURCE OF FUNDS: general fund revenue
AMOUNT BUDGETED: budget not yet developed
AMOUNT NEEDED FOR PROJECT: approximately $9600 through March 31, 2003
CITY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
ORDINANCE NO. 14
AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, ESTABLISHING THE SALARIES FOR CITY COUNCIL
MEMBERS AND MAYOR
WHEREAS, RCW 35A.13.040 sets forth the interim compensation allowed for
newly elected Council Members and the appointed Mayor during the interim period until
a salary ordinance can be passed and become effective;
WHEREAS, RCW 35A.13.040 provides that a Council Member of a city having
more than fifteen thousand (15,000) inhabitants shall be entitled to a salary of four
hundred dollars ($400.00) per calendar month with the Mayor entitled to a Council
Member's salary, plus twenty -five percent (25.00 %); and
WHEREAS, the City Council desires to adopt by ordinance the interim
compensation allowed by RCW 35A.13.040 for the Council Members and the Mayor as
the usual and standard compensation.
NOW, THEREFORE, the City Council of the City of Spokane Valley, Spokane
County, Washington, do ordain as follows:
Section 1. Salary Levels Established.
A. Council Members. Each City Council Member shall be
entitled to receive a salary of four hundred dollars ($400.00) per month, payable on the
last day of each calendar month, unless said day is a holiday or weekend, then said salary
shall be paid the Friday before the last day of the month.
B. Mayor. The Mayor shall be entitled to a salary of five
hundred dollars ($500.00) per month, which is twenty -five percent (25.00%) greater than
Council Member salaries, payable on the last day of each calendar month, unless said day
is a holiday or weekend, then said salary shall be paid the Friday before the last day of
the month.
Section 2: Increase /Decrease in Salary Levels.
A. Council Members. The Council Member's salary may be
adjusted from time to time by ordinance, but any increase or reduction in said salary shall
not become effective until the expiration of the term then being served by the incumbent;
provided that, the salary may not be increased or diminished after the election of a
Council Member.
P.'1ema3 attachcucz9Acdinznm 14,Cauncif salaries,d 1
B. Mayor. The Mayor's salary may be adjusted from time to
time by ordinance, but any increase or reduction in said salary shall not become effective
until the expiration of the term then being served by the incumbent; provided that, the
salary may not be increased or diminished after the Mayor has been chosen by the
council.
Should any section, paragraph, sentence, clause of phrase of this
ordinance, or its application to any person or circumstance, be declared unconstitutional
or otherwise invalid for any reason, or should any portion of this ordinance be preempted
by state or federal laws or regulation, such decision or pre - emption shall not affect the
validity of the remaining portions of this ordinance or its application to other persons or
circumstances.
ATTEST:
Section 3. Severability.
Section 4. Effective Date.
This Ordinance shall be in full force and effect on the official date
of incorporation provided publication of this Ordinance or a summary thereof occurs in
the official newspaper of the City as provided by law.
Passed By the City Council of the City of Spokane Valley on January , 2003.
Interim City Clerk, Ruth Muller
Approved As To Form:
Interim City Attorney, Stanley M. Schwartz
Date of Publication:
Effective Date:
PAertuil acr..Mert0Ardiasnet I4.Cour it salaiics.doc
Mayor, Michael DeVleming
7
The New City Guide
Personnel Issues
4 Salary schedule. A salary schedule for city officials and employees should be adopted as soon
as possible.' This must be done by ordinance (often as part of the budget ordinance), to take
effect on the official date of incorporation. During the interim period, however, the salary for
interim staff can be set by resolution. A salary schedule for the interim period should be a part
of the interim budget for the city.
For elected officials, the relevant statutes provide that, until a salary ordinance can be passed
and become effective as to elective officers of a newly incorporated code city, such officers are
entitled to compensation as follows:
4 18
City with Tess than 5,000 population:
Mayor (mayor /council city) - $150 /month
Mayor (council- manager city) - councilmember salary plus 25% ($25 /meeting)
Councilmembers - $20 /meeting (for not more than two meetings per month)
City with between 5,000 and 15,000 population:
Mayor (mayor /council city) - $350 /month
Mayor (council- manager city) - councilmember salary plus 25% ($187.50/month)
Councilmembers - $150 /month
City with greater than 15,000 population:
Mayor (mayor - council city) - $1.250 /month
Mayor council -- wat=er city) - councilmember salary plus 25% ($500)
Councilmembers - $400 /month
A salary ordinance governing mayoral and council salaries cannot be effective except for a new
term, which in the case of an initial city council (that follows the interim council) will begin on
January 1 following the next general municipal election after the official incorporation date, or
following the municipal general election after that the next general municipal election is less
than 12months after the date the councilmembers are first elected. RCW 35.02.130. This is
because article 1 1 , section 8, and article 30, section 1 of the state constitution prohibit increasing
the salary of an elected municipal official who fixes his or her own compensation (i.e., the
members of the city council) after election and during the tern of that office. Sometime during
l 'AWC annually publishes its Washington City & County Employee Salary and Benefit Survey, which can be
extremely helpful in developing a salary schedule. This publication provides salary data from most Washington cities
and towns for a wide variety of employment positions, as well as for city officials such as councilmembers, the mayor,
and the city attomey. it. also provides extensive data on the types and levels of benefits provided by the responding cities
and towns.
»See RCW 35A.12.070; 35A.13.040.
The New City Guide
the initial term and before the next council election, the initial council should adopt a salary
schedule to apply to its members who take office after that election. (If the council does not do
so before the next election, then it appears that the next council may not be entitled to a salary.)
Also, because article 11, section 8 of the state constitution prohibits decreasing the salary of an
elected municipal officer after his or her election and during his or her term of office, it does not
appear that the council of a new code city may provide for a lesser salary to be paid to its
members or the mayor during their initial term of office than that established in the above
schedule.
The 2001 legislature provided a new. option for setting local elected official salaries. Under
RCW 35.21.105, cities may by ordinance establish an appointive salary commission with the
authority to increase councilmember and mayoral salaries during their terms of office or decrease
them for the following terms of office, subject to potential voter referendum. An interim council
may establish a salary commission, but it could not begin operation until the official
incorporation date or later, when the ordinance establishing it can be effective.
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL ACTION
Agenda Bill No. 2003 -008
DATE ACTION IS
REQUESTED:
Jan. 7, 2003
APPROVED FOR
COUNCIL PACKET:
'i/ /Cit Manager
A iP 4e Head
Attorney Approve
As To Form
TITLE: Ordinance Imposing TYPE OF ACTION:
the first one -half percent sales
and use tax within the City of
Spokane Valley X Ordinance
Resolution
ATTACI.M=ENTS: Motion
Other
Ordinance No. 15
SUBMITTED BY: Interim Finance Director
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Adopt Ordinance No. 15 Imposing a Sales
and Usc Tax as Authorized by RCW 82.14.030(1).
DISCUSSION: This is not a new tax, but will direct the revenue to the City of Spokane Valley to fund
necessary municipal services and shall not result in an increase in the amount of tax paid by residents
and visitors in the City of Spokane Valley. Spokane County is currently collecting this sales tax.
Based on sales tax revenue forecast in the Spokane Valley Incorporation Study Update dated December
2001, Spokane Valley should receive a total of S15,256,074 under the one percent sales tax collections.
This ordinance provides for the first one -half percent sales and use tax collection.
ALTERNATIVES: None
FISCAL IMPACT: None, this action will provide revenue to the City of Spokane Valley
SOURCE OF FUNDS:
AMOUNT BUDGETED:
AMOUNT NEEDED FOR PROJECT:
N:■Grrrtil utichmemskOrdleaece Ts% 15 Salm Ti; lst lalCdnc
CITY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
ORDINANCE NO. 15
AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, IMPOSING A SALES AND USE TAX AS AUTHORIZED BY RCW
82.14.030(1)
WHEREAS, upon the incorporation of a new city, Washington State Law authorizes the
new city to impose a one percent (1.00 %) retail sales tax comprised of two separate one -half
percent (.5 %) options; and
WHEREAS, the collected tax is credited against the sales tax otherwise collected by
Spokane County, for the same salable event; and
WHEREAS, to the extent collected, this Ordinance diverts revenues to the City of
Spokane Valley to fund necessary municipal services and shall not result in an increase in the
amount of tax paid by residents and visitors in the City of Spokane Valley.
NOW, THEREFORE, the City Council of the City of Spokane Valley, Spokane County,
Washington, do ordain as follows:
Section 1. I position of Sales and Use Tax as authorized by RCW 82.14.0300
A. Imposition. There is imposed a sales and /or use tax, as the case
may be, upon every taxable event as defined in Chapter 82.14 RCW, as the same now
exists or may hereafter be amended, which occurs within the corporate limits of the City
of Spokane Valley. The tax shall be imposed upon and collected from those persons or
entities from whom Washington State sales and /or use tax is collected pursuant to RCW
Chapters 82.08 and 82.12, as the same now exist or may hereafter be amended.
13. Tax rate. The rate of tax imposed by subsection A of this section
shall be one -half of one percent of the selling price or value of the article used as the case
may be; provided that, during such period as there is in effect a sales and/or use tax
imposed by Spokane County pursuant to RCW 82.14.030(1), the rate imposed by this
ordinance shall be as provided in RCW 82.14.030(1), as the same now exists or may
hereafter be amended. The rate as of the effective date of this ordinance shall be
425/1000 of one percent (.425 %).
Section 2. Administration — Collection: Agreement with Department of Revenue.
The administration and collection of the tax imposed by this Ordinance
shall be in accordance with the provisions of RCW 82.14.050, as the same now exists or may
hereafter be amended. The City Manager is authorized to enter into an agreement with the
Department of Revenue for the administration and collection of the above - described tax.
1
Section 3. Inspection of Records - Agreement with Department of Revenue.
The City of Spokane Valley consents to the inspection of such records as
are necessary by the Department of Revenue, pursuant to RCW 82.32.330, as the same now
exists or may hereafter be amended.
Section 4. Penalty.
It is unlawful for any seller to fail or refuse to collect taxes with intent to
violate the provisions of this Ordinance, or to gain some advantage or benefit, whether direct or
indirect, or for any buyer to refuse to pay any tax due under the provisions of this Ordinance.
Any person or entity violating any provision of this Ordinance shall be guilty of a misdemeanor,
and upon conviction thereof, punished pursuant to Washington State law or city ordinance.
Section 5. Severability.
If any section, sentence, clause or phrase of this Ordinance should be held
to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or
unconstitutionality shall not affect the validity or constitutionality of any other section, sentence,
clause or phrase of this Ordinance.
This Ordinance shall be in full force and effect on the official date of
incorporation provided publication of this Ordinance or a summary thereof occurs in the official
newspaper of the City as provided by law.
A`fTEST:
Section 6. Effective Date.
Passed By the City Council of the City of Spokane Valley on January , 2003.
Interim City Clerk, Ruth Muller
Approved As To Norm:
Interim City Attorney, Stanley M. Schwartz
Date of Publication:
Effective Date:
P:kmail utachmtnS 4): nrce Nu 15 Snits Tax, L i 1,ILJuc 2
Mayor, Michael DeVleming
City of Spokane Valley
1 1707 East Sprague
Spokane, WA 99206
NOTICE OF ORDINANCE PASSED
BY SPOKANE VALLEY CITY COUNCIL
The following is the title and summary of Ordinance No. 15 passed by the City of Spokane
Valley City Council on the day ofJanuary, 2003.
AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, IMPOSING A SALES AND USE TAX AS AUTHORIZED BY RCW
82.14.030(1)
Section 1 imposes a 425/1000 of one percent sales and use tax as authorized by RCW
82.14.030(1).
Section 2 establishes administration and collection of the tax.
Section 3 consents to the inspection of records by the Department of Revenue and authorizes the
City Manager to enter into an agreement with the Department of Revenue for the administration
of the sales and use tax.
Section 4 establishes a penalty for a violation of. the Ordinance.
Section 5 provides for a severability clause in the event that some portion of the Ordinance is
held invalid.
Section 6 states that the Ordinance shall be in full force and effect on the official date of'
incorporation.
The full text of the Ordinance is available at the City of Spokane Valley business offices located
at 11707 East Sprague, Spokane, Washington 99206. A copy of Ordinance 15 will be mailed
upon request.
Ruth Muller
Interim City Clerk
Published:
P.Semzil a luchmmUl(hdiance No 15 Sales Tat, 1 i laltdoc 3
SUBMITTED BY: Interim Finance Director
CITY OF SPOKANE VALLEY
:REQUEST FOR COUNCIL ACTION
Agenda Kill No. 2003 -009
DATE ACTION IS
REQUESTED:
Jan. 7, 2003
APPROVED FOR
COUNCIL PACKET:
City Manager
Dept. Head
Attorney Approve
As To Form
TITLE: An Ordinance
Imposing the Second One -half
Percent Sales Tax within the
City of Spokane Valley
ATTACHMENTS:
Ordinance No. 16
TYPE OF ACTION:
X Ordinance
Resolution
Motion
Other
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Adopt Ordinance No. 16 Imposing a Sales
and Use Tax as Authorized by RCW 82.14.030(2).
DISCUSSION: This is not a new tax, but will direct the revenue to the City of Spokane Valley to fund
necessary municipal services and shall not result in an increase in the amount of tax paid by residents
and visitors in the City of Spokane Valley. Spokane County is currently collecting this sales tax.
Based on sales tax revenue forecast in the Spokane Valley Incorporation Study Update dated December
2001, Spokane Valley should receive a total of S15,256,074 under the one percent sales tax collections.
This ordinance provides for the second one -half percent sales and use tax collection.
ALTERNATIVES: None
FISCAL IMPACT: Non, this action will provide revenue to the City of Spokane Valley
SOURCE OF FUNDS:
AMOUNT BUDGETED:
AMOUNT NEEDED FOR PROJECT:
CITY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
ORDINANCE NO. 16
AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, IMPOSING A SALES AND USE TAX AS AUTHORIZED BY RCW
82.14.030(2)
WHEREAS, upon incorporation of a new city, Washington State Law authorizes the new
city to impose a retail sales tax in a total amount of 1.0 percent, comprised of two separate one -
half percent (.5 %) options; and
WHEREAS, the tax so collected is credited against the sales tax otherwise collected by
Spokane County, for the same salable event; and
WHEREAS, to the extent collected, this Ordinance diverts revenues to the City of
Spokane Valley to fund necessary municipal services and shall not result in an increase in the
amount of tax paid by residents and visitors in the City of Spokane Valley.
NOW, THEREFORE, the City Council of the City of Spokane Valley, Spokane County,
Washington, do ordain as follows:
Section 1. Imposition of sales and use tax as authorized by RCW 82.14.030(a
A. Imposition. In addition to other taxes which may be unposed by
the City, there is imposed a separate sales and /or use tax, as the case may be, upon the same
taxable events and upon which the tax imposed pursuant to RCW 82.14.030(1) is levied, as the
same exists or may hereafter be amended, and as specifically authorized by RCW 82.14.020(2).
R. Tax rate. The rate of tax imposed by this section, which shall be in
addition to the rate of tax permitted to be imposed by City ordinance pursuant to RCW
82.14.030(1), as the same now exists or may hereafter be amended, shall be one -half of one
percent of the selling price (in the case of a sales tax) or value of the article used (in the case of a
use tax); provided that if Spokane County shall impose a sales and/or use tax pursuant to RCW
82.14.030(2), as the same now exists or may hereafter be amended, at a rate that is equal to or
greater than the rate imposed under this Ordinance, then Spokane County shall receive fifteen
percent (15 %) of the City of Spokane Valley tax; provided further, that if Spokane County shall
impose a sales and /or use tax pursuant to RCW 82.1'4.030(2), at a rate that is less than the rate
imposed under this Ordinance, Spokane County shall receive that amount of revenues from the
City of Spokane Valley tax to fifteen percent (15 %) of the rate of tax ,imposed by the
County.
Section 2. Administration — Collection; Agreement with Department of Revenue.
The administration and collection of the tax imposed by this Ordinance
P_'letrail a 1:ectments50rdimxe No 16 Sales Tax, 2nd helf.doc 1
shall be in accordance with the provisions of RCW 82.14.050, as the same now exists or may
hereafter be amended. The City Manager is authorized to enter into an agreement with the
Department of Revenue for the administration and collection of the tax.
Section 3. Inspection of Records.
The City of Spokane Valley consents to the inspection of such records as
are necessary by the Department of Revenue, pursuant to RCW 82.32.330, as the same now
exists or may hereafter be amended.
Section 4. Subject to Referendum.
Pursuant to RCW 82.14.036, the tax imposed by this Ordinance is subject
to referendum. A referendum petition to repeal the tax imposed by this Ordinance must be filed
with the City Clerk within seven (7) days of passage of this Ordinance. Within ten (10) days of
filing of the referendum petition, the City Clerk shall confer with the petitioner concerning the
form and style of the petition, issue an identification number for the petition and write a ballot
title for the measure. The ballot title shall be posed as a question so that an affirmative answer to
the question and an affirmative vote on the measure results in the tax or tax rate increase being
imposed, and a negative answer to the question and a negative vote on the measure results in the
tax or tax rate increase not being imposed. The petitioner shall be notified of the identification
number and ballot title within the ten (10) day period.
After notification of the identification number and ballot title, the
petitioner shall have thirty (30) days to secure on petition forms the signatures of not less than
fifteen percent (15 %) of the registered voters of the City of Spokane Valley and to file the signed
petitions with the City Clerk. Each petition form must contain the ballot title and the full text of
the measure to be referred.
The City Clerk shall verify the sufficiency of the signatures on the
petitions. If sufficient valid signatures are properly submitted, the City Clerk shall submit the
referendum measure to the county or city voters at a general or special election held on one of
the dates provided in RCW 29.13.010 as determined by the county legislative authority or City
Council, which election shall not take place later than one hundred twenty days (120) after the
signed petition has been filed with the City Clerk.
Section 5. Penalty.
It is unlawful for any seller to fail or refuse to collect taxes with intent to
violate the provisions of this Ordinance, or to gain some advantage or benefit, whether direct or
indirect, or for any buyer to refuse to pay any tax due under the provisions of this Ordinance.
Any person violating any provision of this Ordinance shall be guilty of a misdemeanor and upon
conviction thereof punished pursuant to Washington State law or city ordinance.
P %email snatimen &Ordinance No 16 Saks Tax, 2nd tutf.doc 2
ATTEST:
Section 6. Severability.
If any section, sentence, clause or phrase of this Ordinance should be held
to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or
unconstitutionality shall not affect the validity or constitutionality of any other section, sentience,
clause or phrase of this Ordinance.
Section 7. Effective Date.
This Ordinance shall be in full force and effect on the official date of
incorporation provided publication of this Ordinance or a summary thereof occurs in the official
newspaper of the City as provided by law.
Passed By the City Council of the City of Spokane Valley on January 2003.
Interim City Clerk, Ruth Muller
Approved As To Form:
Interim City Attorney, Stanley M. Schwartz
Date of Publication:
Effective Date:
P:keu7 asio hnsatsWrdiranoe No 16 Sales Tax. 2nd hdf.doc
3
Mayor, Michael DeVleming
SUBMITTED BY: Interim Finance Director
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL. ACTION
Agenda Bill No. 2003-010
FATE ACTION IS
REQUESTED:
Jan. 7, 2003
APPROVED FOR
COUNC PACKET:
City Manager
Dept. Head
Attorney Approve
As To Form
TITLE: Authorize
implementation of REET first
quarter excise tax
ATTACHMENTS:
I) Ordinance No. 17
2) Incorporation Study
revenue forecast
TYPE OF ACTION:
X
Ordinance
Resolution
Motion
Other
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Adopt Ordinance No. 17 Imposing a one-
quarter percent excise tax on real estate sales, imposing restrictions on use of the tax, providing for
collection and refunds and establishing a special fund.
DISCUSSION: Implementation of this tax for Spokane Valley does not result in an increase in the
amount of tax paid by sellers of real property, but diverts money from Spokane County to the City. The
City has responsibilities to finance necessary capital improvements that implementation of this excise tax
authorized by state law will help in financing these improvements. The revenue collected from this excise
tax will be deposited into the special fund established by the ordinance.
ALTERNATIVES: None
FISCAL IMPACT: None, adoption of this ordinance will provide a revenue source for the City.
SOURCE OF FUNDS:
AMOUNT BUDGETED:
AMOUNT NEEDED FOR PROJECT:
CITY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
ORDINANCE NO. 17
AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, IMPOSING A ONE - QUARTER PERCENT EXCISE TAX ON REAL
ESTATE SALES, IMPOSING RESTRICTIONS ON USE OF THE TAX, PROVIDING
FOR COLLECTION AND REFUNDS AND ESTABLISHING A SPECIAL FUND
WHEREAS, state law authorizes the imposition of certain taxes upon real estate
transactions occurring within the City of Spokane Valley; and
WHEREAS, to the extent collected, this tax does not result in an increase in the amount
of tax paid by sellers of real property but diverts money from Spokane County to the City of
Spokane Valley; and
WHEREAS, the City, upon incorporation, has responsibilities to finance necessary
capital improvements and it is therefore appropriate to impose the excise tax authorized by law
to help finance these improvements.
NOW, THEREFORE, the City Council of the City of Spokane Valley, Spokane County,
Washington, do ordain' as follows:
Section 1. One- quarter Percent Excise Tax on Real Estate Sales.
A. Imposition. Pursuant to RCW 82.46.010, there is imposed
an excise tax on each sale of real property constituting a taxable event as defined in Chapter
82.45 RCW, as the same now exists or may hereafter be amended. The tax imposed under this
section shall be collected from persons who are taxable by the State under Chapter 82.45 RCW,
as the same now exists or may hereafter be amended, and such tax shall comply with all
applicable niles, regulations, laws and court decisions regarding real estate excise taxes as
imposed by the State under RCW Chapters 82.45 and 82.46, as the same now exists or may
hereafter be amended.
13. Tax rate. The rate of tax imposed by this section pursuant
to RCW 82.46.010, as the same now exists or may hereafter be amended, shall be one - quarter of
one percent of the selling price of all real property upon which this tax is imposed.
C. Use of proceeds. All proceeds from the tax imposed by this
section shall be placed by the City Treasurer, or authorized designee, in the City's Capital
Project Fund, with expenditures therefrom restricted solely to those uses permitted by state law,
namely, for any capital purpose identified in a capital improvements plan and local capital
improvements including those listed in RCW 35.43.040.
P:\email attachmentslOrdinance 17, REET first qtr.doc
Section 2. County to Collect Payment.
The County Treasurer shall collect the tax imposed by this ordinance. The
County Treasurer shall place one percent of the proceeds of the taxes imposed and collected by
this ordinance in the County Current Expense Fund to defray costs of collection. The remaining
proceeds from City taxes imposed by this ordinance shall be distributed to the City monthly.
Section 3. Tax is Obligation of Seller.
The taxes imposed by this ordinance are the obligation of the seller and
may be enforced through the action of debt against the seller or in the manner prescribed for the
foreclosure of mortgages.
Section 4. Tax Lien on Real Property.
The taxes imposed by this ordinance and any interest or penalties thereon
is a specific lien upon each piece of real property sold from the time of sale or until the tax is
paid, which liar may be enforced in the manner prescribed for the foreclosure of mortgages.
Resort to one course of enforcement is not an election o.f remedies or a waiver of legal rights.
Section 5. Duties of County Treasurer.
The taxes imposed by this'ordinance shall be paid to and collected by the
County Treasurer. The County Treasurer shall cause a stamp evidencing satisfaction of the lien
to be affixed to the instrument of sale or conveyance prior to its recording or to the real estate
excise tax affidavit in the case of used mobile home sales. A receipt issued by the County
Treasurer for the payment of the tax imposed herein shall be evidence of the satisfaction of the
lien imposed by this ordinance and may be recorded in the manner prescribed for recording
satisfactions of mortgages. No instrument of sale or conveyance evidencing a sale subject to the
tax may be accepted by the Spokane County Auditor's office for filing or recording until the tax
is paid and the stamp affixed thereto. Tn case the tax is not due on the transfer, the instrument
shall not be accepted until suitable notation of this fact is made on the instrument by the County
Treasurer.
Section 6. Payment Due.
The tax imposed by this ordinance shall become due and payable
immediately at the time of the sale, and if not so paid within 30 days thereafter, shall bear
interest at the maximum rate permitted by law from the time of sale until the date of payment.
Section 7. Refunds.
If, upon written application by taxpayer to the County Treasurer for a
refund, it appears that tax has been paid in excess of the amount actually due or upon a sale or
other transfer declared to be exempt, such excess amount or improper payment shall be refunded
by the County Treasurer to the taxpayer; provided, that no refund shall be made unless the State
Paernail a ttachmentslOrdinance 17, REST first qtr.doc �
has first authorized the refund of an excessive amount or an improper amount paid, unless such
improper amount was paid as a result of miscalculation. Any refund made shall be withheld
from the next monthly distribution to the City of Spokane Valley.
ATTEST:
Section 8. Creation of Capital Projects Fund.
There is created a special City fund to be known as the "Capital Projects
Fund," into which shall be deposited all proceeds of the tax imposed by Section 1 of this
Ordinance. Revenue in the Capital Projects Fund shall be used to finance capital projects
specified in the capital facilities plan element of the City Comprehensive Plan.
Section 9. Penalty.
It is unlawful for any person to fail or refuse to pay taxes with intent to
violate the provisions of this ordinance. Any person violating any provision of this ordinance
shall be guilty of a misdemeanor and upon conviction thereof, punished pursuant to state law or
city ordinance.
Section 10. Severability.
If any section, sentence, clause or phrase of this ordinance should be held
to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or
unconstitutionality shall not affect the validity or unconstitutionality of any other section,
sentence, clause or phrase of this Ordinance.
Section 1 1 . Effective Date.
This Ordinance shall be in full force and effect on the official date of
incorporation provided publication of this Ordinance or a summary thereof occurs in the official
newspaper of the City as provided by law.
Passed By the City Council of the City of Spokane Valley on January , 2003.
Interim City Clerk, Ruth Muller
Mayor, Michael DeVleming
P:lemail attachments\Ordinance 17, REET first qtr.doc 3
Approved As To Form:
Interim City Attorney, Stanley M. Schwartz
Date of Publication:
Effective Date:
P: \e.mail attachments \Ordinance 17, REET first qtr.doc 4
SPOKANE VALLEY
Real Estate Excise Tax
City Revenues
This information is from the Boundary Review Board's Spokane Valley Study.
The revenue estimates have been updated, when available, by the Spokane
Valley Finance Transition Committee.
Capital Revenues
Many revenue options are available to cities to fund capital projects.
Real Estate Excise Taxes
This is one obvious source of capital funding earmarked under State law for capital
spending. It is projected that the new city would generate $1,691,596 in 2001 from real
estate excise tax.
Revenues Available to the New City
$879,630 $914,815 $951,408 $989,464
Real Estate Excise Tax
(2nd 1/4%)
$879,630 $914.815 $951,408 $989,464
11/24/2002
Real Estate Excise Tax
The real estate excise tax is levied on all sales of real estate, measured by the full selling price,
including the amount of any liens, mortgages, and other debts given to secure the purchase.
The state levies this tax at the rate of 1.28 percent. A locally- imposed tax is also authorized.
However, the rate at which it can be levied and the uses to which it may be put differs by city size
and whether the city is planning under the Growth Management Act (GMA). All cities may levy a
quarter percent tax (described as "the first quarter percent of the real estate excise tax' or "REET
1 ")Y Cities that are planning under GMA have the authority to levy a second quarter percent tax
(REET 2). Note that this statute specifies that if the city is located in a county that is required to
plan under GMA, the tax may be levied by a vote of the legislative body. If, however, the county
chooses to plan under GMA, the tax must be approved by a majority of the voters.
•How Can the First Quarter Percent - REET 1 - Be Spent?
Cities That Are Not Planning Under GMA and Those That Are Planning But Have a Population
Under 5,000. Both groups of entities have the same restrictions on their spending of REET 1
revenues. They must spend these funds for "for any capital purpose identified in a capital
improvements plan and local capital improvements, including those listed in RCW 35.43.040.
91 AGO 1993 No. 7.
92 Pages 2 -5 contain an expanded discussion of levy limits under RCW 84.55.010 and Referendum 47. A vote
of only two out of three commissioners is required.
93 RCW 84.52.069(5) and RCW 84.52.043(2)(d). RCW 84.52.010 sets out the order in which the special district
levies get cut in the event that the aggregate rate exceeds 65.90.
B4 RCW 84.52.050 and art. 7, §2, of the Washington State Constitution. Note that excess levies for operations
and maintenance.(discussed on pages 6 -7) are not subject to this one percent limit, nor are port district levies. RCW
84.52.052 and RCW 84.52.050.
95R CW 82.46.010(5) and RCW 82.45.030. As with most taxes, there are some exemptions. Of interest to cities
is the provision that sales by cities are exempt from the tax, but sales to cities are not. Ch. 25, Laws of 1993, 1st sp.
sess. and RCW 82.45.010(m).
89 RCW 82.45.060.
97 See Chapter 82.46 RCW.
9$ RCW 82.46.010(2). .
99 RCW 82.46.035(2).
1o0RCW 82.46.010(2).
RCW 35.43.040 lists local improvements that can be funded through a local improvement district
(LID), including streets, parks, sewers, water mains, swimming pools, and gymnasiums.
Capital projects not listed in the LID statute (for example, a fire station, city hall, or library) are also
permitted uses as long as they are included in the city's capital improvement plan. Expenditures
that are not allowed are such things as the purchase of police cars. Accountants may consider
these to be "capital" for accounting purposes, but they are not "capital purposes" or "local capital
improvements." A 1984 letter from the Attorney General to a county prosecutor defines "local
capital improvements" as "various kinds of things which may be done to a tract or parcel of
tangible real property as an improvement thereto. " 102 An Attorney General's Memorandum dated
July 16, 1991 confirmed this definition.
A Revenue Guide • 17
Note that these funds may not be used for developing a capital facilities element or a capital
improvement plan, but they can be used for design costs, engineering costs, surveys, etc. for
specific projects in a capital facilities element or capital improvements plan. They also cannot be
used for maintenance. If the project would be considered a "public work" for bidding purposes,
then BEET funds may be used as long as it is a permitted use as discussed above.
Cities With a Population of 5,000 or More That Are Planning Under GMA. These jurisdictions
must spend the first quarter percent of their real estate excise tax receipts solely on capital projects
that are listed in the capital facilities plan element of their comprehensive plan.
"Capital projects" are defined as:
those public works projects of a local government for planning, acquisition, construction,
reconstruction, repair, replacement, rehabilitation, or improvement of streets; roads;
highways; sidewalks; street and road lighting systems; traffic signals; bridges; domestic
water systems; storm and sanitary sewer systems; parks; recreational facilities; law
enforcement facilities; fire protection facilities; trails; libraries; administrative and judicial
facilities...."
Because some legislators were concerned that jurisdictions might simply substitute REET 1 (and
REET 2) revenues for other funds in financing,these capital projects, the law was amended to
require that the "legislative authority shall identify in the adopted budget the capital projects funded
in whole or in part from the proceeds of the tax authorized in this section, and shall indicate that
such tax is intended to be in addition to other funds that may be reasonably available for such
capital projects.i
101 Nate that in ch. 272, Laws of 1994, the legislature clarified its original intent that "local capital improvements"
was intended to include the acquisition of real and personal property associated with such local capital improvements.
This means that land acquisition for parks is a permitted expenditure.
102 Informal opinion dated March 6, 1984, from Philip H. Austin, Senior Deputy Attorney General, to Alan A.
Hancock, Deputy Prosecuting Attorney for Island County.
103 Memorandum opinion dated July 16, 1991, from Maureen Hart, Senior Assistant Attorney General,
Legal /Fiscal Division, to Steven Marootte, Assistant Chief Examiner, State Auditor's Office.
104 R0W 82.46.010(1) and RCW 82.46.035(1).
A'Revenue Guide • 18
•Spending the Second Quarter Percent - REET 2
This part of the real estate excise tax may only be levied by cities that are required to or choose
to plan under the Growth Management Act. All cities that Ievy this tax face the same provisions,
whether their population is greater or Tess than 5,000.
For this quarter percent of the real estate excise tax, "capital project" means those:
public works projects of a local government for - planning, acquisition, construction,
reconstruction, repair, replacement, rehabilitation, or improvement of streets, roads,
highways, sidewalks, street and road lighting systems, traffic signals, bridges, domestic
water systems, storm and sanitary • sewer systems, and planning, construction,
reconstruction, repair, rehabilitation, or improvement of parks.
Note that acquisition of land for parks is not a permitted use of REET 2 receipts, although it is a
permitted use for street, water, and sewer projects.
•What's This Other One -Half Percent Real Estate Excise Tax?
Cities that are not levying the optional half -cent sales tax under RCW 82.14.030(2) have the option
of levying an additional one -half percent real estate excise tax. These receipts are not
designated for capital projects. They are a general fund revenue for city operating expenditures.
Only one city, the City of Clarkston, has chosen to do this. From a financial standpoint, the
optional half -cent sales tax will probably always bring in more revenue than this additional one -half
percent real estate excise tax. For border cities, however, who do not feel they are able to levy the
optional sales tax, this tax is a revenue option.
•Accounting for These Funds
Because this revenue source has a dedicated purpose, it must be accounted for separately in a
capital projects fund. Those cities that are planning under GMA and levying both REET 1 and
REET 2 need to keep track of each'of these revenues separately because the uses to which they
may be put are different.108
SUBMITTED BY: interim Finance Director
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL ACTION
Agenda Bill No. 2003 -011
DATE ACTION IS
REQUESTED:
Jan. 7, 2003
APPROVED FOR
COUNCIL PACKET:
T1TLE: Authorize
implementation of REET
second quarter excise tax
ATTACHMENTS:
City Manager Ordinance No. 18
Kept. Head
Attorney Approve
As To Form
TYPE OF ACTION:
X Ordinance
Resolution
Motion
Other
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Adopt Ordinance No. 18 Imposing an
additional one- quarter percent excise tax on real estate sales, imposing restrictions on use of the taxes,
providing for collection and refunds, and establishing a special fund.
DISCUSSION: Implementation of this tax for Spokane Valley does not result in an increase in the
amount of tax paid by sellers of real property, but diverts money from Spokane County to the City. The
City has responsibilities to finance necessary capital improvements that implementation of this excise tax
authorized by state law will help in financing these improvements. The revenue collected from this excise
tax will be deposited into the special fund established by the ordinance. Attachment to Agenda Bill No.
2003 -010 provides information on revenue amounts forecast by the Incorporation Study.
ALTERNATIVES: None
FISCAL IMPACT: None, adoption of this ordinance will provide a revenue source for the City.
SOURCE OF FUNDS:
AMOUNT BUDGETED:
AMOUNT NEEDED FOR PROJECT:
CITY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
ORDINANCE NO. 18
AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, IMPOSING AN ADDITIONAL ONE - QUARTER PERCENT EXCISE
TAX ON REAL ESTATE SALES, IMPOSING RESTRICTIONS ON USE OF THE
TAXES, PROVIDING FOR COLLECTION AND REFUNDS AND ESTABLISHING A
SPECIAL FUND.
WHEREAS, state law authorizes the imposition of certain taxes upon real estate
transactions occurring within the City of Spokane Valley;
WHEREAS, RCW 82.46.035 provides that revenues generated by real estate excise taxes
in cities planning under the Growth Management Act and that are required to plan under RCW
36.70A.040 shall be used for financing capital projects as defined in RCW 82.46.035(6);
WHEREAS, to the extent collected, this tax does not result in an increase in the amount
of tax paid by sellers of real property but diverts money from Spokane County to the City of
Spokane Valley;
WHEREAS, the City of Spokane Valley must be able to finance necessary capital facility
improvements and it is therefore appropriate to impose the excise tax authorized by law to help
finance these improvements;
WHEREAS, the City of Spokane Valley has heretofore imposed a first one - quarter
percent excise tax on real estate sales by adoption of Ordinance No. 17; and
WHEREAS, in order to provide for the necessary capital facility improvements of the
City of Spokane Valley, it is appropriate for the City of Spokane Valley to impose a second one -
quarter percent excise tax on real estate sales.
NOW, THEREFORE, the City Council of the City of Spokane Valley, Spokane County,
Washington do ordain as follows: •
Section 1. Additional One - quarter Percent Excise Tax on Real Estate Saks.
A. imposition. Pursuant to RC \V 82.46.035, there is imposed an
additional excise tax on each sale of real property constituting a taxable event as defined in
Chapter 82.45 .RCW, as the same now exists or may hereafter be amended. The tax imposed
under this section shall be collected from persons who are taxable by the State under Chapter
82.45 RCW, as the same now exists or may hereafter be amended, and such tax shall comply
with all applicable rules, regulations, laws and court decisions regarding real estate excise taxes
as imposed by the State of Washington under RCW Chapters 82.45 and 82.46, as the same now
exists or may hereafter be amended.
P:lemail attachments\Ordinance 18, [BEET 2nd Qtr.doc 1
B. Tax rate. The rate of tax imposed by this section pursuant to RCW
82.46.035, as the same now exists or may hereafter be amended, shall be one - quarter of one
percent of the selling price of all real property upon which this tax is imposed.
C. Use of proceeds. All proceeds from the tax imposed by this
Section shall be placed by the City Treasurer, or authorized designee, in the City of Spokane
Valley's Special Capital Project Fund established under. Section 8 of this Ordinance and shall be
used solely for financing capital projects, as specified in the capital facilities plan element of a
the City Comprehensive Plan approved by the City Council.
Section 2. County to Collect Payment.
The County Treasurer shall collect the tax imposed by this Ordinance.
The County Treasurer shall place one percent of the proceeds of the taxes imposed and collected
by this Ordinance in the County Current Expense Fund to defray costs of collection. The
remaining proceeds from City of Spokane Valley taxes imposed by this ordinance shall be
distributed to the City of Spokane Valley monthly.
Section 3. Tax is Obligation of Seller.
The taxes imposed by this Ordinance are the obligation of the seller and
may be enforced through the action of debt against the seller or in the manner prescribed for the
foreclosure of mortgages.
Section 4. Tax Lien on Real Pro.
The taxes imposed by this ordinance and any interest or penalties thereon
is a specific lien upon each piece of real property sold from the time of sale or until the tax is
paid, which lien may be enforced in the manner prescribed for the foreclosure of mortgages.
Resort to one course of enforcement is not an election not to pursue the other.
Section 5. Duties of County Treasurer.
The taxes imposed by this ordinance shall be paid to and collected by the
County Treasurer. The County Treasurer shall cause a stamp evidencing satisfaction of the lien
to be affixed to the instrument of sale or conveyance prior to its recording or to the real estate
excise tax affidavit in the case of used mobile home sales. A receipt issued by the County
Treasurer for the payment of the tax imposed herein shall be evidence of the satisfaction of the
lien imposed by this ordinance and may be recorded in the manner prescribed for recording
satisfactions of mortgages. No instrument of sale or conveyance evidencing a sale subject to the
tax may be accepted by the Spokane County Auditor's office for filing or recording until the tax
is paid and the stamp affixed thereto. In case the tax is not due on the transfer, the instrument
shall not be accepted until suitable notation of this fact is made on the instrument by the County
Treasurer.
P:\ernail attachrentslOrdinance 18, REE 1' 2nd Qtr.doc 2
Section 6. Payment Due.
The tax imposed by this ordinance shall become due and payable
immediately at the time of the sale, and if not so paid within thirty (30) days thereafter, shall bear
interest at the maximum rate permitted by law from the time of sale until the date of payment.
Section 7. Refunds.
If, upon written application by taxpayer to the County Treasurer for a
refund, it appears that tax has been paid in excess of the amount actually due or upon a sale or
other transfer declared to be exempt, such excess amount or improper payment shall be refunded
by the County Treasurer to the taxpayer; provided, that no refund shall be made unless the State
has first authorized the refund of an excessive amount or an improper amount paid, unless such
improper amount was paid as a result of miscalculation. Any refund made shall be withheld
from the next monthly distribution to the City of Spokane Valley.
Section 8. Creation of Special Capital Projects Fund.
There is created a special fund to be known as the "Special Capital
Projects Fund," into which shall be deposited all proceeds of the tax imposed by Section 1 of this
ordinance. Revenue in the Special Capital Projects Fund shall be used to finance capital projects
specified in the capital facilities plan element of the City Comprehensive Plan.
Section 9. Penalty.
It is unlawful for any person to fail or refuse to pay taxes with intent to
violate the provisions of this ordinance. Any person violating any provision of this ordinance
shall be guilty of a misdemeanor and upon conviction thereof, punished pursuant to state law or
city ordinance.
Section 10. Severability.
If any section, sentence, clause or phrase of this ordinance should be held
to he invalid or unconstitutional by a court of competent jurisdiction, such invalidity or
unconstitutionality shall not affect the validity or unconstitutionality of any other section,
sentence, clause or phrase of this ordinance.
Section 1 1.. Effective Date.
This Ordinance shall be in full force and effect on the official date of
incorporation provided publication of this Ordinance or a summary thereof occurs in the official
newspaper of the City as provided by law.
Passed By the City Council of the City of Spokane Valley on January , 2003.
Mayor, Michael DeVleming
P:lemail attachments \Ordinance Ili, BEET 2nd Qtr.doc 3
ATTEST:
Interim City Clerk, Ruth Muller
Approved As To Forrn:
Interim City Attorney, Stanley M. Schwartz
Date of. Publication:
Effective Date:
Pacmail attachmcnts\Qrdinance 18, BEET 2nd Qtr,doc 4
SUBMITTED BY: Interim Finance Director
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL ACTION
Agenda 13i11 No. 2003 -012
DATE ACTION IS TITLE: Authorize
REQUESTED: implementation of leasehold
Jan. 7, 2003 excise tax
Attorney Approve
As To Form
TYPE OF ACTION:
X Ordinance
APPROVED FOR
COUNC L PACKET: Resolution
ATTACHMENTS:
City Manager 1) Ordinance No. 19 Motion
2) MRSC Revenue Guide
/ Dept. Head Other
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Adopt Ordinance No. 19, Imposing a
Leasehold Excise Tax to obtain the local share of existing taxes collected by the State and Spokane
County and providing for other matters properly related thereto.
DISCUSSION: This tax provides for taxes to compensate governmental units for providing services to
lessees of publicly owned property who are not obligated to pay State or local property tax. This does not
result in an increase in tax payable by lessees of public property, but will transfer revenues from Spokane
County to the City as compensation for the provision of City services.
ALTERNATIVES: None
FISCAL IMPACT: None, adoption of this ordinance will provide a revenue source for the City.
SOURCE OF FUNDS:
AMOUNT BUDGETED:
AMOUNT NEEDED FOR PROJECT:
CITY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
ORDINANCE NO. 19
AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, WASHINGTON IMPOSING
A LEASEHOLD EXCISE TAX TO OBTAIN THE LOCAL SHARE OF EXISTING
TAXES COLLECTED BY THE STATE AND SPOKANE COUNTY AND PROVIDING
FOR OTHER MATTERS PROPERLY RELATED THERETO.
WHEREAS, the State of Washington through RCW Chapter 82.29A recognizes that
properties of the State, County, school districts and other municipal corporations are exempt
from taxation pursuant to the State Constitution but that private lessees of such public property
receive benefit from governmental services;
WHEREAS, the leasehold excise tax is designed to compensate goverrunental units for
providing services to lessees of publicly owned property who are not obligated to pay State or
local property tax;
WHEREAS, Spokane County through Chapter 7.36 of the Spokane County Code
imposes a leasehold excise tax upon the occupancy of publicly owned real property in an amount
of six percent of the taxable rent payable by lessee;
WHEREAS, the City is authorized to levy a leasehold excise tax not to exceed four
percent, with the Ciy tax deemed to be a credit against the County tax and thereby obtain a local
share of existing taxes; and
WHEREAS, the imposition of the leasehold excise tax will not result in an increase in tax
payable by lessees of public property but will transfer revenues from Spokane County to the City
as compensation for the provision of City services.
NOW, THEREFORE, the City Council of the City of Spokane Valley, Washington, do
ordain as follows:
Section 1. Leasehold Excise Tax., There is levied and shall be collected a leasehold
excise tax on the act or privilege of occupying or using publicly owned real or personal property
through a "leasehold interest" as that term as defined in RCW 82.29A.020. The leasehold excise
tax shall be imposed upon and collected from those persons holding a leasehold interest within
the City on publicly owned property who are required to pay a leasehold excise tax to the State
Department of Revenue pursuant to RCW Chapter 82.29A.
Section 2. Rate of Leasehold Excise Tax. The City imposes a leasehold excise tax in
the amount of four percent of the taxable rent, as that term is defined in RCW 82.29A.020 less
any allowable credits in RCW 82.29A.120.
Section 3. Exemptions. The City exempts certain leasehold interests from this
ordinance pursuant to RC\V 82.29A.130, RCW 82.29A.134, RCW 82.29A.135 and RCW
82.29A.136.
Section 4. Administration and Collection. The City Treasurer, or designee, is
authorized and directed to contact the Washington State Department of Revenue to administer
and collect the tax in accordance with RCW 82.29A.080. The City Manager is authorized to
Y:lcmail anachments\Ordinanc. 19, leasehold excisc.doc 1
enter into a contract with the State Department of Revenue for the administration, collection and
disbursement of the taxes imposed herein, pursuant to RCW 82.29A.080. A copy of the contract
shall be maintained on file in the office of the City Clerk.
The City Clerk is further directed to transmit a certified copy of this ordinance to the
Clerk of the Board for Spokane County, the Washington State Office of Financial Management
and the Department of Revenue.
Section 5. Adoption of Other Laws. Pursuant to RCW 35A.11.020 and 35A.21.160,
the City adopts by reference the State leasehold excise tax laws, RCW Chapter 82.29A and the
State leasehold excise tax rules found at WAC Chapter 458 -29A which are incorporated by this
reference as presently written or hereafter amended as the excise tax laws and rules of the City of
Spokane Valley.
Section 6. Penalty. It is unlawful for any person to fail or refuse to pay the leasehold
excise tax imposed under this ordinance. Any person violating any provision of this ordinance
shall be guilty of a misdemeanor and upon conviction shall be punished according to State law
and/or City ordinance.
Section 7. Severability. If any section, sentence, clause or phrase of this ordinance
shall beheldd to be invalid or unconstitutional by a court of competent jurisdiction, such
invalidity or unconstitutionality shall not effect the validity or constitutionality of any other
section, sentence, clause or phrase of this ordinance.
Section 8. Effective Date. This Ordinance shall be in full force and effect five (5)
days after publication of this Ordinance or a summary thereof in the official newspaper of the
City as provided by law.
ATTEST:
PASSED by the City Council of the City of Spokane Valley on January , 2003.
Interim City Clerk, Ruth Muller
Approved As To Form:
Interim City Attorney, Stanley M. Schwartz
Date of Publication:
Effective Date:
P:l Mill l attachmeuts\Ordinance 19, leasehold excise.doc
2
Mayor, Michael DeVleming
... ROBERT 1AL N AC
UNflCIPALFINANCIALCDNSULTANT •
30 YEARS EXPEP ENCE
317 . Third A.erWe x"103
• Edmonds, WA 98020
(425) 778 -1929 (0)
{425) 670- 9981 {F}
August 1999 • Report No. 46
ur ic6 of Research & Ser }ceS Center of Washington
Leasehold Excise Tax
RCW 82.29A,030(1)
133 RCW 82.29A.020(2)(b).
134 RCW 82.29A.030(2).
1 35 See RCW 82.29A.040.
138 RCW 82.29A.080.
13' RCW 82.29A.090.
Most leases of publicly -owned real and personal property in the state are subject to a leasehold
excise tax in lieu of a property tax. The 1976 legislature established a 12 percent tax to be
levied either on the contract rent (when the lease is established by competitive bidding) or, in other
instances, by the imputed economic rent as determined by the State Department of Revenue.'
The 1982 legislature added a seven percent surcharge making the total rate 12.84 percent.
Cities and counties may collectively levy up to six percent of this 12.84 percent.' The maximum
county rate is six percent and the maximum city rate is four percent. The county must give a credit
for any city tax. Therefore, if a city is levying its maximum four percent, the county may collect only
two percent in the city. These taxes are collected by the city and remitted to the Department of
Revenue. After deducting an administrative fee,'`' the department distributes the taxes to local
governments on a bimonthly basis.13'
SUBMITTED BY: Interim Finance Director
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL ACTION
Agenda Bill No. 2003 -014
DATE ACTION IS
REQUESTED:
Jan. 7, 2003
APPROVED FOR
COUi TCIL PACKET:
I
City Manager
A ept. Head
Attorney Approve
As To Form
TITLE: Authorizing execution TYPE OF ACTION:
of State Purchasing Agreement
ATTACHMENTS:
1) Resolution No. 03-013
2) State Agreement for
Spokane Valley
3) Copy check for payment
X Ordinance
Resolution
Motion
Other
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Adopt Resolution No. 03 -013 Authorizing
the City Manager to Enter into an Agreement with the State of Washington, Department of General
Administration for Purchasing Goods and Services.
DISCUSSION: This agreement will allow the City of Spokane Valley to obtain goods and services
through the Office of State Procurement without the necessity of separate bidding, request or
procurement by the City. Use of the Office of State Procurement for obtaining certain goods and services
should result in financial savings to the City.
ALTERNATIVES: Do not enter into an agreement with the State and obtain all services and goods through the
City bidding process.
FISCAL IMPACT:
SOURCE OF FUNDS: General Fund revenue
AMOUNT BUDGETED: budget not yet developed
AMOUNT NEEDED FOR PROJECT: Annual fee of $200.00
A RESOLUTION OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, AUTHORIZING THE CITY MANAGER TO ENTER INTO AN
AGREEMENT WITH THE STATE OF WASHINGTON, DEPARTMENT OF GENERAL
ADMINISTRATION FOR PURCHASING GOODS AND SERVICES
WHEREAS, the City of Spokane Valley, Washington is required to procure goods and
services through various state and federal laws and regulations that promote the public policy of
obtaining the goods and services at fair and reasonable prices;
WHEREAS, the State of Washington, through the Department of General
Administration, Office of State Procurement permits governmental entities such as cities, to
obtain goods and services through the Office of State Procurement without the necessity of
separate bidding, request or procurement by the City;
WHEREAS, through RCW Chapter 39.34, the City and the State may enter into an
Interlocal Agreement for purchase of goods and services and comply with the bidding and
procurement laws of the State; and
WHEREAS, the execution of an Interlocal Agreement with the State of Washington,
Department of General Administration should result in financial savings to the City.
NOW, THEREFORE, be it Resolved by the City Council of the City of Spokane Valley,
Spokane County, Washington, as follows:
1. Authority and Agreement.
The City Manager is authorized to enter into a Interlocal Agreement with the
State of Washington, Department of General Administration through the Office of State
Procurement for the purpose of contracting for the purchase of goods and services which are
procured according to the laws and regulations of the State of Washington. This grant of
authority to the City Manager is deemed to be an alternative method to the general public (City)
procurement process.
The Interlocal Agreement will provide that the City, following compliance with
the purchasing laws, niay obtain goods and services, on the same terms and conditions offered
the State of Washington. The City will exercise best efforts to utilize services of the State when
the City may realize savings through such purchases.
Effective Date.
CiTY OF SPOKANE VALLEY
SPOKANE COUNTY, WASHINGTON
RESOLUTION NO. 03-013
This Resolution shall be in full .force and effect on March 31, 2003, provided that
the terms of this resolution shall also be in effect during the interim period.
P:lemai1 att achmcnts\Rcsolution03- 013,State procurement,dx
ATTEST:
Adopted this day of January 2003.
interim City Clerk, Ruth Muller
Approved as to Form:
Interim City Attorney, Stanley M. Schwartz
City of Spokane Valley
Mayor Michael DeVlerning
P:\cmail uusshmenis \Rcsolution03- O13,Statc procurcment.doc 2
(1)
(2)
STATE OF WASHINGTON
• DEPARTMENT OF GENERAL ADMINISTRATION
OFFICE OF STATE PROCUREMENT
Rm. 201 General Administration Building, P.O. Box 41017 • Olympia, Washington 98504 -1017 • 060) 902 -7400
STATE OF WASHINGTON
INTERGOVERNMENTAL COOPERATIVE
PURCHASING AGREEMENT FOR
POLITICAL SUBDIVISIONS
Appendix D 69
Pursuant to Chapter 39.34 RCW and to other provisions of law, the State of Washington, Department of General
Administration, Office of State Procurement, Puri:hasing and Contract Administration, hereinafter called the
("Office of State Procurement" or "OSP"), and the following named municipal pal corporation of political subdivision
of the State of Washington, and any political subdivision of another state (t
hereby ces to
by a � cooperative governmental purchasing upo the following terms and�con itioiis: i/
The Office of State Procurement, in contracting for the purchase of goods and services according
to the laws and regulations governing purchases by and on behalf of the State of Washington,
also agrees to contract on behalf of the political subdivision, to the' extent permitted by law and
agreed upon by both parties. The political subdivision accepts responsibility for compliance with
any additional laws and regulations governing purchases by or on behalf of the political
subdivision.
When the Office of State Procurement has entered into a contractual agreement for the purchase
of goods or services on behalf of political subdivision(s). the political subdivision may purchase
goods and services covered by the contract on the same terms and conditions as the Stater of
Washing ton. Purchases by the political subdivision may be made by a purchase order issued by
the political subdivision to the state contractor. The political subdivision accepts full
responsibility for payment for any goods any services purchase from _contracts negotiated by OSP
with private vendors or purchased directly from OSP.
(3) The political subdivision reserves the right to contract independently for the purchase of any
particular class of goods or services, with or without' notice being given to OSP.
(4) This Agreement shall continue in force until canceled in writing by either party. '
(5) In the event that either the Office of State Procurement or the political subdivision is abolished,
this Agreement shall continue in operation as to any public agency succeeding to the powers and
duties of the abolished agency, except as canceled or modified by operation of law.
(6) The undersigned agrees to use only contracts available to political subdivisions, and only in
accordance with contract terms and conditions. The undersigned further agrees that all
purchases from state contracts will be made only for the direct use of their political subdivision
programs and will not be made on behalf of other jurisdictions (political subdivisions)
ip
(
(9)
70 THE BIDDING BOOK
(
The Office �f State Procurement is required by statute to recover the costs of administration of
it's contracts. The Subscription Fee Schedule illustrates the fee structure which is based on the
total organization budget. This subscription fee is due upon subscribing for the first year of
membership and by January 31 of each year thereafter. Subscription term is January through
December. The undersigned agrees to pay the annual subscription fee as a part of this agreement
OSP may from time to time make changes to this table in either the expense categories or fees
which will be effective with the very next subscription period.
$ 90,000,000
$ 150;000,000
and over
$ 200.00
$ 500.00
$ 900.00
$ 1000.00
$ 2000.00
$ 3000.00
$ 4000.00
$ 5000.00
Expenses of more
, than
$ 0.00
S 3,000,000
$ 7,500,001
$ 21,000,001
$ 30,000,001
$ 68,000,001
$ 90,000,001
$ 150,000,001
The State Auditors' xnost recently published Local Government Comparative Statistics report will
be used as the authoritative document to resolve any issues regarding total expenses. Where a
political subdivision is not reported separately in that document the most recently approved
budget will be used.
In addition to the subscription fee, the political subdivision will pay S100 per vehicle for each
vehicle purchased from the state vehicle contract Payment will be made to the contractor unless
otherwise directed by the Office of State Procurement.
(10) In addition to established contracts, custom contracting and procurement services are available
for a predetermined fee. These include development of contracts and/or single requisitions that
meet specific needs. The cost for these optional services, typically a flat fee, is established at the
time of request.
Please return by mail with payment to :
Intergovernmental Cooperative
Purchasing Agreement for
Political Subdivisions
Page 2
Subscription Fee Schedule
Expenses of less _
than
$ 3,000,000
$ 7,500,000
$ 21,000,000
$ 30,000,000
$ 68,000,000
State of Washington
PAF PoUSubs Fund 425 04 20 000214
303 General Administration Bldg.
PO Box 41008
Olympia WA 98504 -1008
Annual Fee
OSP has assigned you customer number, . Please provide this number when ordering
from
contracts or communicating with OSP.
Organization contact information:
Contact Person (To whom contract documents and related communications are to be mailed or faxed).
A Tr,
Name
Address:
Phone Number:
Federal Id #:
FAX Number:
Internet Addre
Political Subdi Au
Name:
Address:
Phone Number:
Date:
of ,SPoi•A/.lE V Rat..E •
Fi,o pi 3Cc - Tie6G-r, .
/1 A,rc S � G rod
S Po4 ) Valrr_ty t)4. ' 99 - 206
(S'o 1 9a/ - /000
7/-O9/ 4/7o
Intergovernmental Cooperative
Purchasing Agreement for
Political Subdivisions
Page 3
9 ,q/- /cco
The undersigned understands and agrees to the terms and conditions of this agreement and attests that the
• expense/budget category checked above is true and correct. -
Office of State Procurement Authorized Signature:
Name:
Date:
R cP t` id.
- Appendix D . 71
R. W. Noack
The Mayfield
317 3rd Ave. South, Unit 103 778 -1929
Edmonds, WA 08020 -3523
Pay to the
Order of .
Robert W. Noack
Interim Finance Director
City of Spokane Valley
11707 East Sprague Avenue, Suite 106
Spokane Valley, WA 99206
509- 921 -1000 - City Hall
509-921-1008 - Fax
bnoack@spokanevalley.org
,
1 WEAFIR5TQANK
• l x.1 117 '.. anion 0
� :.i Sw
r ; .�
i:` 0000 241: 880 7 5 09811'
•
19- 2 /iZ5o
FIRSTCI1oIc Gow 22725
Date
2 ? 25
a • II
Dollars
DATE ACTION IS
REQUESTED:
Jan. 7, 2003
APPROVED FOR
CO NCIL PACKET:
City Manager
a3 /Dept. Head
Attorney Approve
As To Form
SUBMITTED BY: Deputy City Manager
CITY OF SPOKANE VALLEY
REQUEST FOR COUNCIL ACTION
Agenda Bill No. 2003 -015
TITLE: Award telephone TYPE OF ACTION:
system contract
ATTACHMENTS:
Resolution No. 03-
(1'-eada i- ,r.eEi Ac)
Ordinance
X Resolution
Motion
Other
STAFF RECOMMENDS COUNCIL MAKE A MOTION TO: Award the bid for a Telephone system.
OR `approve the most qualified proposal as determined by the Finance Committee"
DISCUSSION: RFPs have been out and the deadline for submission is today (Friday). We will be making
a preliminary review of the bid documents this weekend. However we are requesting some professional
help in making the tech. evaluation before final Council decision. That may not he available in time for
Tuesday's regular meeting. As an alternative you may want to approve the most qualified proposal as
determined by the Finance Committee. This may save up to 10 days time.
ALTERNATIVES: Stay with the same loaner telephone system.
FISCAL IMPACT: Unknown until the bids are opened and studied.
SOURCE OF FUNDS: General Fund
AMOUNT BUDGETED: Transition Budget estimate $30,000 (page 18)
AMOUNT NEEDED FOR PROJECT: Transition Committee estimated "a range of $20- $30,000
depending on what we demand" (page 17)
Name
Present /Absent
1- Council Member Wilhite*
(Diana)
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2- Council Member Taylor
(Steve)
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3- Mayor DeVleming
(Mike)
4- Council Member Schimmels
(Gary)
5- Council Member Munson
(Rich)
6- Council Member Flanigan
(Mike)
7- Council Member Denenny
(Dick)
A:\Roll Call Sheet.doc
*Deputy Mayor
City of Spokane Valley
Council Member Roll Call List
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CITIZEN COMMENTS
City of Spokane Val ey
City Council Meeting
Please state your name and address for the Record. Thank you!I
Saturday, January 18, 2003:
Basketball clinic hosted by Team Hollywood
4 At Gonzaga Prep Gym, 9:00 AM to Noon
4 For boys and girls in grades 4 through 12. Parents are welcome to attend with
their children.
•➢ Cost: $40.00. This includes admission into the exhibition game on Monday,
January 20, 7:00 PM at Central Valley High School
Sunday, January 19, 2003
4 Dessert banquet at Affair at the Falls, 510 N. Lincoln
.. $ 1.5.00 per person, goodwill offering for South Africa will be taken
4 7:00 -9:00 PM
4 Guest speakers from Team Hollywood
.� Exclusive Video: Interview with Yolanda King (Dr. King's daughter) at the
conclusion of the taping of her movie, "Trick Dribble ". This interview will be
aired on E! Entertainment in October. The film will be available for purchase at
the basketball game.
4 Exclusive Video: Interview with Dr. Sampson L. Kwaje, the Vice President of
New Sudan. He addresses the effects of Dr. Martin Luther King Jr.'s message on
the African people and the incredible need to nurture and train the young people
of his country.
Monday, January 20, 2003
4 Exhibition basketball game: Team Hollywood vs. community and civic leaders
from Spokane. Local television personalities, deputy sheriffs and others will be
on hand to make it a fun and entertaining game!
TEAM SPOKANE
Paul Horton — KXLY TV
Dave Cotton — KHQ TV
Jeff Moreau — KHQ TV
Rick Graichen — KHQ TV
Matt Rogers — K1-1Q TV
Dave Sposito — KZZU
Ken Hopkins — KZZU
Terry Liljenbell — DARE Officer
Bob Christilaw— DARE Officer
Scott Szoke — DARE Officer
4 Cost: $10.00 per person, children five years and under admitted free.
.+ Game is at Central Valley High School at 7:00 PM. Team shirts and videos will
be for sale.
Tickets can be purchased through G & B Select a Seat: 325 -SEAT
Report template Deputy City Manager to City Council
City of Spokane Valley WA
Date: 12 -23 -02
To: City Council
From: Deputy City Manager
Subject: Governance Coordination Committee activity
This memo is to brief the whole Council on the progress of the Governance Coordination Committee's
activity (since only 3 are involved at this stage).
To begin, let me repeat what I said in the seminar about the long range effect on our new city this effort can
have. The seemingly simple things which work together shaping the way we do business and relate to our
citizens can have more long term effect (on citizen satisfaction) than some other routine things we do
(unless we do something radical).
The second consideration is to keep the public well informed as to how carefully we are striving to make
this new government "user friendly ". The press, generally, may not devote much space in telling the
ongoing story of how you want your city to be the best in that area. They are, just, by nature, drawn to the
more immediate debates as you make the hard decisions.
It is easy to be consumed with the myriad "nuts and bolts" of putting a city operation together. However,
now there will be elements of recommended citizen friendly practices brought to the whole Council by the
committee at almost every meeting over the next 2 months or so. By giving this long range project public
exposure and discussion, you can reinforce how serious you are that your "core beliefs" be formally
manifested in policies and performance throughout the organization. Nobody will "toot your horn" about
this but you! Few people understand the difference at. this stage of the game.
The Committee will want to give short progress reports at regular council meetings. Some discussion may
be appropriate at that time. Then each study session will review the recommendations in more detail with
an opportunity for Council discussion and revision. Any procedure the Council likes can be tried out on a
trial basis until time to adopt the whole resolution and publish.
The first example is the study session procedure when not combined with a regular formal meeting. The
suggested procedure calls for a less formal setting and an agenda designed to keep the informal
environment focused to some kind of identified goal or direction. The committee would like to try out the
procedure January 9' This memo is your first "touch" on the subject. If you would like information about
it before the committee "touches" it again on the 7' of January, please ask one of us.
Because of the time constraints at the seminar, we postponed a useful exercise I use to solidify the "core
beliefs" part of this effort. I believe it still has value in helping me develop the whole package of
"Governmental Coordination" options for you. We could do it at a study session soon. It takes about a half
hour.
CC: City Manager
City Attorney