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2018, 03-20 Study Session MINUTES SPOKANE VALLEY COUNCIL MEETING STUDY SP.SSION Spokane Valley City Hail Council Chambers Spokane Valley,Washington Mai-ch 20, 2018 Attendance: Cotine ilrrKeMltltf;e _ Staff Rod Higgins, Mayor Mark Calhoun City Manager Brandi Pcetz, Coune.ilnlember John ILohman, Deputy City Manager Linda Thompson, Councifremher Cary Driskell, Ci[y Attorney Ben Wick, Couneilmember Erik tarot,, Deputy City Attorney Sam Wood, Council member Chelsie Taylor, l-inance Director Arne Woodard, Councilmen]her Mike Stone, Parks & RO:Director Mark Werner, Police Chief Bill Helbing, City Engineer Gloria Mantz tinginccrielg Manager Absent: Erica Amsden, Senior Engineer Pam Haley, Deputy Mayor Lori Barlow, Senior Planner l-lenry Allen, Senior Engineer Deanna Horton,Administrative Assistant Carrie Koudelka, Deputy City Clerk Mayor Higgins called the meeting to order at 6:00 p.m- ROLL CALL: Deputy City Clerk Koudclka called the roll, all Councahnembers were present except Deputy Mayor Haley. It was moved by Codrncilmernber Woodard, seconded and unanimously agreed to excuse Deputy Mayor Haley from the meeting, 1, a and Carnahan Right of Way Acquisition Remediation• •Gloria Mantz Engineering Manager Manta,began her presentation stating that in late November, 2016, the City issued a purchase and sale agreement for the property at 8th and Carnahan,which closed in January, 2017. She said the City did not follow the laederal Acquisition Act, which requires we Colllow the Uniform Relocation Act (LIRA) whenever any phase of a project is funded by federal dollars. She said under the Act, we arc required to pay fair compensation for the purchase of the property, moving expenses, relocation and closing costs to make the seller "-whole" and the City will not be able to pursue federal Funds for a project involving the property unless we meet those requirements, She said the seller has found a property they arc interested in and they are entitled to lull replacement cost. The price differential for housing replacement and incidentals is approximately $56,761.46. She said the total cost of the house and the remediation costs exceed the City Manager's authority, so stall is 'looking lbr consensus to bring this back to Council next week for a motion consideration. Councilniember Wick asked if we purchased any other properties without Ibllowing the Act and City Manager Calhoun said this is the only one. It was Ire cranxer.s.0 ref ='ouwii to € ove f Drward for a motion consideration. 2. 8'h Avenue Sidewalk l'hierman to Dickey Erica Amsden, Gloria Mantz Senior Engineer Amsden said the project is located on 8th Avenue between Dickey and '1`hierman and currently there is a gravel shoulder!, no sidewalks, numerous residential entrances and failing stirrmwater structures, She said the project will put a sidewalk oti the north side cit`5th, a paved council Study Session:03-20-2018 I'agv 1 or 5 Approved by Council:04-10-2018 shoulder lane for shared use and parking, and new drywells .for sediment control. She said staff is meeting with residents and sending project mailers to all residents in the surrounding area. She explained that 8th will he closed to through traffic and there will be temporary driveway closures, and a temporary pedestrian detour directing them to the south side of 8th Avenue. Bus stops will be relocated and she said staff is working with STA. Westbound traffic will be routed onto 'l'hierman to 61d` Avenue and eastbound traffic will be routed onto Dickey to I Irh Avenue, then to Their-man, She said the estimated cost for the project is just under $600,000; it is scheduled to advertise this Friday for a hid opening on April 6, 2018, Council bid award on April 17,2018, and construction in mid-May for a target completion date in mid-June. Mayor Higgins asked if staff has had a discussion with. Central Park .Balks because he thinks that road is not public, and Councilmember Wood said it looks Like we are going through the Central Park condominiums and that is not a City street. Ms. Amsdcn said staff will look into that, Councilmember Thompson asked if'we have talked to the schools about getting kids where they need to go and Ms. Ani den said the;buses and the kids will be able to get through. . Floodplain FEMA Process—Henry Allen Senior Engineer Allen said during his presentation he will discuss the process for floodplain revisions- He said under certain conditions, floodplain boundaries can be modified and in certain conditions, people can build in a Iloodi,lain. Mr. Allen said Spokane Valley has six 100-year floodplains: Forker Draw, Spokane River, Shelley Lake fed by Saltcse Creek, Chester Creek, Central Park and Gletmose watershed. IIe said in 1968 the National Flood. Insurance Act was started, creating the National Flood Insurance Program (NFIP) to reduce flood loss and provide protection against potential losses. Two additional acts mandated that federally regulated institutions require flood insurance for buildings located in a participating NFIP.IIe said to receive flood insurance, a community must adopt ordinances meeting certain minimum requirements intended to reduce future flood losses. Mr. Allen said flood hazard naps have been developed all over the country through engineering analysis to show boundaries of flooding. He said during the engineering analysis, they look at the channel, put a 100-year flood through the channel and then determine the Kase flood elevation of the 100-year flood. Mr. Allen said there are several reasons to revise [loodplains: to provide an accurate risk awareness for insurance coverage; to correct incorrect flood boundaries; and to reflect changes in land use and development, new bridges or culverts, and updated topography and hydrology. He said revisions can he initiated by FEMA or by the public. He said there are four steps to revisions initiated by FEMA and the whole process takes more than five years: a mapping needs assessment, project scoping, data development, and processing with a ninety-day appeal period. Mr. Allen added that revisions to Chester Creek took ten years. He said community initiated map revisions are broken into "small" and "big" and are either based on a current condition or due to a proposed condition, Small revisions usually have a process time of two to three months, Councilmember Woodard asked if a single house or 600-lot project would be considered a small revision;M.L Allen said a 600-lot project would not fall into the small category, but up to a couple lots could, Councilrncnther Woodard asked how long it would take to go through the process if a developer were to put forty houses on Barker and used fill. Mr, Allen said that type of project would be multiple parcels, often involving substantial charges. IIe said it would follow the same process but because of the scale it would take longer;up to several years. Ile said FEMA does a lot of in- depth review and it is a long process,and he added that they arc very detailed because of the hazard to properties and property owners, Councilli„ember Woodard pointed out that the Painted Mills update is the next agenda item and asked if that project falls into category number 4 revision due Council Study Session:03-20-2015 Page 2 of 5 Approved by Council_04-1Q-2OIS to proposed condition,Mr. Allen said that it does.Mr.Woodard asked if that is a project that would take many years and Mr. Allen responded that it could, but it is hard to tell. IIe said the City is involved in the review process and as a jurisdiction, we need to sign off that we are comfortable with the project analysis, that the project includes measures that will reduce floodplain risk and meet other requirements and then we send it on tee FEMA. 4. Painted Hills Update—John Holman, Lori Barlow, Cary Driskell Deputy City Manager HoInman said he is here to update Council with the latest steps in the process relating to the Painted Hills proposed development; he thanked Mr. Allen and Ms. Horton for the FEMA presentation as it set the stage for this update and the impacts and analysis for moving forward with the project, Senior Planner Barlow said the project area was a got f'course from 1989 —2012, went bankrupt and was purchased by Black Realty,now NAI Black. She said prior to 1985 it was zoned agricultural; in 1991 the County rezoned the property to Multi-Family, and in 2007 the City rezoned it to Single-Family Residential. She said the City has developed a webpage containing all inlimnalion available to elate_ The project is a Planned Residential Development (PRD). proposes 580 units on approximately 99 acres, and is bordered on the east by Madison, on the south by Thorpe, and on the west by Dishman Mica. She said as proposed, the project contains several areas with different development including mixed and retail use, and either natural or active open space. She said the north portion of the proposal will have cottages on approximately five acres with 52 lots and narrow hot frontages; 206 lots with single family residences will be located internally on approximately forty acres. She said the project was proposed in 2015 under prior development regulations and in December 2016, new development regulations were adopted and the current proposal lot sizes are too large to meet those standards. Continuing, she said in the south portion of the proposal there will he 42 estate lots on just under twelve acres, uniform in size and bordering a common space area. She said adjacent to Dishman Mica will be 270 units for multi-family and mixed use. Currently active and zoned commercial is a tap house and restaurant on the south end of the proposal. She said zoning has been R3 since 2007 and there have been changes to the zoning adjacent to the site but riot the proposal property. Ms_ Barlow said PRDs have a special set of regulations and are allowed in any residential zone so long as they meet the minimum standard, initially a live-acre piece ol"properly. She said all types of residential developments are allowed and PRDs allow neighborhood commercial use if the project is ten or more acres; they allow greater flexibility for design and can eliminate rear- and :side-yard setbacks to allow the developer options in exchange for providing open space. She said the underlying zoning regulations dictate the PRD density and the Hearing Examiner makes the final decision. on the project; therefore,ore, i t does riot go to Planning Commission or Council for any approvals, Since 2015, the project has received traffic conicu4rren.cy and in .April 2017, some: improvements to intersections were identified and would be required as part of the proposal, She said that in August 2017, the SEPA determination was issued indicating a determination of significance (DS). She said after review of the project it was determined it would have an adverse impact on the environment and need further analysis. The DS was issued and that started the review of the impact statement, She said the Iloodplain has been an ongoing issue since 2015 and discussed between the developer and City staff as they move through the process. Next, she said, a scoping meeting was conducted in September 2017; a final scoping notice was issued that identified what was to be discussed in the environmental impact statement (EIS); the developer was given the draft FAS and the City has not yet received the draft BIS hack. She said from there, the City sends comments, then issues a final FTS, then moves the project forward to the Hearing Examiner. Council Sludy Srssion.03-20-2018 Page.3 of 5 Approved by Council:04-10-2018 Mr. Hohmann showed a map of the project and an overlay of the 100-year floodplain and pointed out that almost the entire project is located within the 1 00-year floodplain and he said the impacts of the development en the floodplain need to be studied in more detail. He said project proponents are looking at ways to handle this, mitigation and other options, and he said he is expecting a supplemental application or a new application and if there is a significant change, they may have to start again from scratch. He said another important aspect is that.the FEMA floodplain process is a separate and significant process that they will have to follow and it is a timely process. City Attorney Driskell said the reason the decision goes through the Hearing Examiner is to ensure it is decided objectively by someone with specific and proper training and it also takes politics out of the scenario. fie said the approach of Council is to develop regulations appropriate for the community and the application is processed pursuant to those regulations. He said he has heard From citizens that the City should have tried to buy the property and he said the City did try. In 2013, lie said the item went bel'ore Council seeking authorization to go to the foreclosure sale to bid on the property, however, we received comments from the public indicating someone else was interested in purchasing the property, they had a good plan for its use and asked Council to stand down and not make a hid. He said Council voted 4-3 or 4-2 to not bid on the property. He said he has received fin-ther questions as to why the City does not try to buy the property now and he said as a reviewing agent, we can't put ourselves in a position where it looks like we have an ulterior motive to purchase the land. If the developer were to come to the City and ask if we are interested in purchasing the property, he said we would take that information to Council. Councilmember Woodard said that during that discussion, it came back that the private market wanted to pursue the property and by a Council vote 01'4-2, it was determined that the City would stand down because the public asked Council not to bid. He said there was a lot of discussion on that topic and he said he thinks we tried to do our due diligence and stay informed. Councilmember Wick asked who would be responsible for maintaining the mitigating factors put into the plan. Mr. Hehman said we would need to look at the features put in and the level of oversight needed; he said thisfloodplain flows every year and would need to he properly managed and nothing has been resolved on that. IIe said in looking at what the legal requirements would be, there is a lot of risk that would fall on the City or the homeowners association and discussion of any mitigation measures would likely go before Council. Mr. Hohman said this is a very complicated floodplain and will take very detailed analysis to make sure flood solutions arc looked at appropriately. 5. Cell Carrier Franchise Agreements—Cary Driskell City Attorney Driskell said generally speaking, cities have broad authority to manage right-cel'- way, sidewalks and streets through adoption of our City code. He said a franchise is an agreement that gets adopted pursuant to ordinance by Council and the franchise grants the permission for an agency to operate iai the corridors and rights-of-way ol'the City. He said the philosophy of the City is not to charge a franchise fee, those lees related to drafting, negotiating and managing the franchise, and that is reflective of our business-friendly community. He said the proposed. franchises coming forward are for ten-year periods due to frequent changes in technology. it was the consensus of Council to advance the proposed.franchise ordinances for first readings. 6. Advance .Agenda—Mayor Higgins Councilmember Peetz said she would like to discuss recognition of citizens with a key to the city Of something similar, either quarterly or twice a year. City Manager Calhoun said this topic is on Council Study Session;03-20`2018 Page 4 or 5 Approved by Council_44-10-2018 our advance agenda and staff can bring an administrative report forward fairly soon. He said with regard to recognition of Katherine Morgan from the Valley Chamber, we can do a proclamation in a timely manner. 7. Council Check-in—Mayor Higgins Councilmember Thompson said she appreciates the City accomplishments and the report that was provided to Council and would like that information to get out to the citizens to recognize the staff and their teamwork. She said she also appreciates all the background in formation that was provided tonight. Councilmember Woodard said the roundabout at Airway Heights was well-designed and works well and he commented that the Appleway Trail is very nice, the HAWK. lights work well and the landscaping is starting to grow. 8. City Manager Comments—Mark Calhoun Mr. Calhoun said he received an email from Briahna Murray that the Governor is considering vetoing Section 1 of HB-2057, the foreclosure bill regarding abandoned nuisance properties. He said Mr. Dri:kell will outline the details and ask i i'Council would like to authorize the Mayor to sign a letter, drafted by Mr. T)riskell, on behalf of the Council asking the Governor to sign the bill as it was adopted by the legislature. City Attorney Driskell said the most concerning parts of the bill are new sections 10 and 11 that provide requirements for mortgage companies to care for the property and if they do not, the City is authorized to care for the property. He said Section 1 primarily deals with situations involving deceased people, which becomes difficult to deal with because it can be difficult to locate their heirs. Providing for an expedited judicial process would help the City because the cases we have the most difficulty with are code compliance cases in which somebody has died and family members are living in the house that has not gone through probate and it becomes convoluted to work through. He said there are also notice provisions contained in the language relative to what the City needs to do and he said he thinks it would be appropriate f or Council to send a letter to the Governor asking that he sign the bill as it is. He saki it.was negotiated over a couple of years with all of the interest groups,including housing advocates. He said it is his understanding the housing advocates are now trying to get that part of the bill vetoed, but he said he thinks the bill works best the way it was written. It was the consensus of Council that Mr. Driskell draft a tetter on behalf`of the Council asking the G'over'nor to sign the bill u,s. it was adopted by the legislature. It was moved by Counci/member Woodard, seconded and unanimously agreed to adtourn.. The meeting adjourned at 7:36 p�m. ATMS' L.I . Higg r .- a. 744— /15-e: l.iristine Bainbridge, City Clerk Council Study Session;03-20-2018 Page 5 of 5 Approved by Council:04-1(3-2{118