Loading...
2022, 07-19 Study Session AgendaAGENDA SPOKANE VALLEY CITY COUNCIL REGULAR MEETING STUDY SESSION Tuesday, July 19, 2022 6:00 p.m. Remotely via ZOOM Meeting and In Person at 10210 E Sprague Avenue Council Requests Please Silence Your Cell Phones During Council Meeting NOTE: In response to Governor Inslee's announcement reopening Washington under the "Washington Ready" plan, members of the public may attend Spokane Valley Council meetings in -person at City Hall at the address provided above, or via Zoom at the link below. Members of the public will be allowed to comment in -person or via Zoom as described below. Public comments will only be accepted for those items noted on the agenda as "public comment opportunity." If wishing to make a comment via Zoom, comments must be received by 4:00 pm the day of the meeting. Otherwise, comments will be taken in -person at the meeting in Council Chambers, as noted on the agenda below. • Sign up to Provide Oral Public Comment at the Meeting via Calling -In • Submit Written Public Comment Prior to the Meeting • Join the Zoom WEB Meeting CALL TO ORDER ROLL CALL APPROVAL OF AGENDA ACTION ITEMS: 1. Resolution 22-014 WEDFA Revenue Bonds — Susan Nielsen [public comment opportunity] 2. Motion Consideration: Department of Ecology Grant Termination — Bill Helbig [public comment opportunity] 3. Motion Consideration: Potential Grant Opportunity — WSDOT Railroad Crossing Grant Program — Bill Helbig [public comment opportunity] 4. Motion Consideration: Opioid Distributor Settlement Agreement — Tony Beattie [public comment opportunity] NON -ACTION ITEMS: 5. Recreation Programs Update - Kendall May, John Bottelli 6. Fire Department Update - Fire Chief Soto 7. Council Goals & Priorities for Lodging Tax Advisory Committee - Chelsie Taylor 8. Nuisance Update: Camping - Cary Driskell, Erik Lamb, Bill Helbig, Jenny Nickerson 9. Department of Commerce Hope Update, Camp Erik Lamb, John Hohman Discussion/Information 10. Mayor Haley Advance Agenda Discussion/Information 11. Mayor Haley Council Comments Discussion/Information 12. John Hohman City Manager Comments Discussion/Information ADJOURN Council Agenda July 19, 2022 Page 1 of 1 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: 7-19-22 Department Director Approval: Check all that apply: ❑ consent ❑ old business ® new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Resolution 22-014, Washington Economic Development Finance Authority (WEDFA) Revenue Bond Program for Mutual Materials Project. GOVERNING LEGISLATION: Chapter 43.163 RCW; chapter 178-02 WAC. PREVIOUS COUNCIL ACTION TAKEN: This is an administrative report regarding a request from the Washington Economic Development Finance Authority (WEDFA). The City of Spokane Valley approved two previous revenue bond requests from WEDFA for unrelated projects in 2005 and 2008. July 12, 2022: Admin report with Council consensus to move this resolution forward for a motion consideration at the July 19 meeting. BACKGROUND: The City received a letter and packet of information from WEDFA concerning the proposed issuance of up to $12,163,000 of non -recourse revenue bonds to Mutual Materials, which has several manufacturing facilities throughout Washington, including one at 6712 E. Trent Avenue, Spokane Valley, WA 99212. They plan to construct a concrete masonry unit manufacturing facility, make exterior building improvements, make site improvements and it also includes related project costs, equipment and improvements. The City previously approved similar requests from WEDFA in 2005 for Four Corners Capital LLC and in 2008 for MacKay Manufacturing. In these instances, the City does not have any financial liability or exposure, and this action is simply a statement of support for the state to issues the bonds to support economic development. It is important to note that WEDFA will not consummate financing for Mutual Materials without a resolution that the City has no objection to the business being assisted. WEDFA would like the City Council to consider approval of a resolution in support of the project and financing before the end of July 2022 OPTIONS: Move to approve resolution 22-014, WEDFA Revenue Bonds, or take other appropriate action. RECOMMENDED ACTION OR MOTION: Move to approve Resolution 22-014, Approving the Action of the WEDFA and the Issuance of Non -Recourse Revenue Bonds to Finance an Economic Development facility for use by Mutual Materials. BUDGET/FINANCIAL IMPACTS: None. STAFF CONTACT: Susan Joseph Nielsen, Economic Development Specialist. ATTACHMENTS: Draft City of Spokane Valley Resolution 22-014, with attached WEDFA Resolution No. W-2022-02; June 28, 2022 letter from WEDFA DRAFT CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON RESOLUTION NO. 22-014 A RESOLUTION OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, APPROVING THE ACTION OF THE STATE OF WASHINGTON ECONOMIC DEVELOPMENT FINANCE AUTHORITY AND THE ISSUANCE OF NON -RECOURSE REVENUE BONDS TO FINANCE AN ECONOMIC DEVELOPMENT FACILITY FOR USE BY MUTUAL MATERIALS (THE "COMPANY"), AND PROVIDING FOR OTHER MATTERS PROPERLY RELATING THERETO. WHEREAS, on January 20, 2022, the Washington Economic Development Finance Authority ("WEDFA") was presented with Resolution No. W-2022-02 (the "Resolution"), a copy of which is attached hereto as Exhibit A, relating to the issuance of non -recourse revenue bonds, the proceeds of which would be loaned to the Company or its affiliates for, among other projects, the financing and refinancing of the construction and equipping of a concrete masonry unit manufacturing facility within an existing building and making site and exterior building improvements located in Spokane Valley, Washington (the "Project"), all as authorized by the Economic Development Finance Authority Act of 1989, chapter 43.163 RCW (the "Act"); and WHEREAS, on January 20, 2022, WEDFA unanimously approved the Resolution; and WHEREAS, it is the policy of WEDFA not to issue revenue bonds except upon the approval of the county, city or town within whose planning jurisdiction the proposed economic development facility lies; and WHEREAS, the Project lies within the boundaries of the City of Spokane Valley, Washington. NOW, THEREFORE, IT IS HEREBY FOUND, DETERMINED AND ORDERED as follows: Section 1: The City of Spokane Valley City Council (the "City"), pursuant to the request of the WEDFA, does hereby approve the issuance of non -recourse revenue bonds (the "Bonds") by WEDFA, for the purposes provided in the Act. However, such approval shall not waive or modify any of the permitting requirements applicable to this project. Section 2: The proceeds of the Bonds are to be lent to the Company, pursuant to a loan agreement or other appropriate financing agreement, and used for the purpose of acquiring, constructing and equipping the Project, including the necessary appurtenances located within the boundaries of the City and to pay certain costs of issuance of the Bonds. Section 3: The Bonds shall not constitute an obligation of the State of Washington or of the City, and no tax funds or revenues of the State of Washington or of the City shall be used to pay the principal of or interest on the Bonds. Neither the faith and credit nor any taxing power of the State of Washington or of the City shall be pledged to pay the principal or interest on the Bonds. Section 4: This Resolution is intended to constitute approval of the issuance of revenue bonds within the meaning of the policy of WEDFA. Section 5: Upon passage and approval of this Resolution, it shall take effect immediately. Resolution 08-014, Revenue Bonds Page 1 of 2 DRAFT Approved this day of July, 2022. ATTEST: Christine Bainbridge, City Clerk APPROVED AS TO FORM: Office of the City Attorney AYES: NOES: ABSENT: ABSTAINING: CITY OF SPOKANE VALLEY, WASHINGTON By: Pam Haley, Mayor Resolution 08-014, Revenue Bonds Page 2 of 2 Exhibit A RESOLUTION NO. W-2022-02 A RESOLUTION OF THE WASHINGTON ECONOMIC DEVELOPMENT FINANCE AUTHORITY TAKING OFFICIAL ACTION TOWARD THE ISSUANCE OF NONRECOURSE ECONOMIC DEVELOPMENT REVENUE BONDS IN ONE OR MORE SERIES IN A MAXIMUM AMOUNT NOT TO EXCEED $12,163,000 AND AUTHORIZING THE EXECUTION OF AN INDEMNIFICATION AND COMPENSATION AGREEMENT BY AND BETWEEN THE WASHINGTON ECONOMIC DEVELOPMENT FINANCE AUTHORITY AND MUTUAL MATERIALS OR ITS SUCCESSOR OR ASSIGNS (the "Company"). WHEREAS, the Washington Economic Development Finance Authority (the "Issuer") is a duly organized and existing instrumentality of the State of Washington authorized and empowered by the provisions of RCW Chapter 43.163 (collectively, the "Act") to issue nonrecourse economic development revenue bonds for the purpose of carrying into effect the construction of improvements and the acquisition of personal properties and provide working capital suitable for use by any industry, and to loan its moneys when necessary or convenient to carry out its powers under the Act; and WHEREAS, the Company has informed the Issuer that it wishes to finance the construction and improvement of manufacturing facilities and equipment upgrades at the locations identified in Exhibit A attached hereto and incorporated herein (the "Sites"), which sites are located within the territorial limits of the State of Washington, and the Company has requested the Issuer to issue non -recourse revenue bonds (the 'Bonds") in a maximum amount not to exceed $12,163,000 pursuant to the Act to carry into effect the equipping and improving of real and personal property and provision of working capital at the Sites to be used in the manufacturing facilities of the Company, as more fully described in Exhibit A (collectively, the "Project"), and to loan the proceeds of the Bonds to pay the costs of such financing and refinancing; and WHEREAS, a form of agreement designated as an "Indemnification and Compensation Agreement," on file with the Issuer, has been prepared setting forth the respective agreements and undertaking of the Issuer and the Company with respect to the Bonds and the Project; and WHEREAS, it is considered necessary and desirable for the best interest of the Issuer that the Indemnification and Compensation Agreement be executed for and on the behalf of the Issuer; and WHEREAS, the Indemnification and Compensation Agreement requires the Company to pay all reasonable and necessary costs incurred by the Issuer in connection with the Bonds and/or in connection with the Project; and Resolution No. W-2022-02 Page 1 of 6 January 20, 2022 WHEREAS, the Issuer finds that the Project constitutes the development and improvement of economic development facilities under the Act; and WHEREAS, it is intended that this resolution shall constitute a declaration of official intent to reimburse Project expenditures within the meaning of Sections 1.103- (8)(T)(a)(5) and 1.150-2 of the Federal Income Tax Regulations. NOW THEREFORE, be it resolved by the Washington Economic Development Finance Authority as follows: Section 1. It is hereby determined that (a) the acquisition of the Project and its operation is an economic development facility; (b) the issuance of the bonds of the Issuer in one or more series and in a maximum amount not to exceed $12,163,000, to finance costs of the Project, such total costs to be financed by the Bonds presently estimated to be approximately $12,163,000; and (c) the execution and delivery of such contracts and agreements with the Issuer as are necessary to provide for the payment by the Issuer of amounts sufficient to pay the principal of, premium, if any, and interest on the Bonds, together with certain costs of the Issuer, will all be in furtherance of the Act. Section 2. Subject to the conditions listed in Section 3 below, including such other conditions as in the judgement of the Issuer and bond counsel are necessary to insure the validity of the Bonds and the tax-exempt or taxable status of the Bonds, it is the intent of the Issuer to proceed toward the issuance and sale of the Bonds pursuant to the provisions of the Act. Nothing in this resolution shall be construed as legally binding the Issuer to authorize, issue, or sell the Bonds. Section 3. The authorization, issuance, and sale of the Bonds by the Issuer are subject to the following conditions: (a) the Company shall have caused to be issued an irrevocable letter of credit (the "Letter of Credit") by an investment -grade rated commercial bank, acceptable to the Issuer (the "Letter of Credit Bank"), which shall be used to pay and secure the Bonds or shall have secured a bond purchase agreement (the "Bond Purchase Agreement") from an Accredited Investor, as such term is defined in 17 CFR 230.501(a), or qualified institutional buyers, in each case acceptable to the Issuer, for the purchase of the Bonds; (b) the Company shall enter into such contracts and loan agreements with the Issuer as shall be necessary to secure payment of the principal of, premium, if any, and interest on the Bonds as when the same shall come due and payable; (c) on or before two (2) years from the date hereof (or such later date as shall be mutually satisfactory to the Issuer and the Company) the Issuer and the Company shall have agreed to mutually acceptable terms and conditions of the contracts and agreements referred to in paragraph (b) of this Section 3; Resolution No. W-2022-02 Page 2 of 6 January 20, 2022 (d) the Issuer shall have received an opinion of bond counsel that, with certain customary exceptions, such of the Bonds which it is intended shall be issued as tax- exempt obligations may be so issued pursuant to the provisions of the Internal Revenue Code of 1986; (e) if required, the Issuer shall have received an allocation of the State ceiling on private activity bonds imposed by Section 146 of the Internal Revenue Code of 1986 in an amount equal to the aggregate face amount of such of the Bonds as shall be issued as tax-exempt obligations, and shall have allocated such amount to the Bonds; (f) the Issuer shall have received evidence that each county, city, or town within whose planning jurisdiction the Project lies has approved the Project and the Bonds or such other evidence satisfactory to the Issuer that the Project will be welcomed by the community in which the Project will be located (unless such jurisdiction generally refuses to supply such approvals, in which case no such evidence will be required); and (g) such other conditions as in the judgement of the Issuer and bond counsel are necessary to ensure the validity of the Bonds and the tax-exempt status of such of the Bonds as shall be issued as tax-exempt obligations. Section 4. The proper officials of the Issuer are hereby authorized to take such further action as is necessary to carry out the intent and purposes hereof under the terms and conditions stated herein and in compliance with the applicable provisions of law. Section 5. That it is deemed necessary and advisable that the Indemnification and Compensation Agreement be approved and executed for and on behalf of the Issuer. Section 6. That an Indemnification and Compensation Agreement by and between the Issuer and the Company be, and the same is hereby, approved and authorized and the Chair of the Issuer is hereby authorized to execute the Indemnification and Compensation Agreement on behalf of the Issuer. Section 7. Each Bond, when and if issued, shall substantially state the following language on the face thereof: THE OBLIGATIONS OF THE ISSUER HEREUNDER SHALL NOT BE DEEMED TO BE A DEBT, LIABILITY, OBLIGATION, OR PLEDGE OF THE FAITH AND CREDIT OF THE STATE OF WASHINGTON, OF ANY MUNICIPALITY, OR OF ANY MUNICIPAL CORPORATION, QUASI MUNICIPAL CORPORATION, SUBDIVISION, OR AGENCY OF THE STATE OF WASHINGTON, OR TO PLEDGE ANY OR ALL OF THE FAITH AND CREDIT OF ANY OF THESE ENTITIES. NEITHER THE STATE OF WASHINGTON, THE ISSUER, ANY MUNICIPALITY, OR ANY OTHER MUNICIPAL CORPORATION, QUASI MUNICIPAL CORPORATION, SUBDIVISION, OR AGENCY OF THE STATE OF WASHINGTON IS OBLIGATED TO PAY THE PRINCIPAL OR THE Resolution No. W-2022-02 Page 3 of 6 January 20, 2022 INTEREST THEREON. NO TAX FUNDS OR GOVERNMENTAL REVENUE MAY BE USED TO PAY THE PRINCIPAL OR INTEREST THEREON. NEITHER ANY OR ALL OF THE FAITH AND CREDIT NOR THE TAXING POWER OF THE STATE OF WASHINGTON, THE ISSUER, IF ANY, OR ANY MUNICIPAL CORPORATION, QUASI MUNICIPAL CORPORATION, SUBDIVISION, OR AGENCY THEREOF IS PLEDGED TO THE PAYMENT OF THE PRINCIPAL OR OF THE INTEREST ON THE BONDS. Section 8. This Resolution shall be effective after its adoption. ADOPTED by the Washington Economic Development Finance Authority this 20th day of January, 2022. WASHINGTON ECONOMIC DEVELOPMENT FINANCE AUTHORITY By: VIA COVLA Chair Resolution No. W-2022-02 Page 4 of 6 January 20, 2022 EXHIBIT A DESCRIPTION OF PROJECT AND SITE The Project will consist of: 1) At 6712 E Trent Ave, Spokane Valley, WA 99212 (the "Spokane Valley Site"), constructing a Concrete Masonry Unit manufacturing facility within an existing building, making exterior building improvement, making site improvements and related project costs, equipment and improvements; 2) At 8760 Commence P1 Dr NE, Lacey, WA 98516 (the "Lacey Site"), upgrading the equipment at the end of the unit concrete manufacturing process and related project costs, equipment and improvements; 3) At 3150 295h Ave SW, Tumwater, WA 98512 (the "Tumwater Site" and, together with the Spokane Valley Site and the Lacey Site, the "Sites"), purchasing new equipment for large block wetcast manufacturing and related project costs and improvements. Resolution No. W-2022-02 Page 5 of 6 January 20, 2022 CERTIFICATE I, the undersigned, Secretary of the Washington Economic Development Finance Authority (herein called the "Issuer"), DO HEREBY CERTIFY: 1. That the attached Resolution No. W-2022-02 (herein called the "Resolution") is a true and correct copy of a resolution of the Issuer as finally adopted at a regular meeting of the Board of Directors of the Issuer held on the 22nd day of January, 2022, and duly recorded in my office. 2. That said meeting was duly convened and held in all aspects in accordance with law, and, to the extent required by law and the by-laws of the Issuer, due and proper notice of such meeting was given; that a legal quorum was present throughout the meeting and a legally sufficient number of members of the Washington Economic Development Finance Authority voted in the proper manner for the adoption of the Resolution; that all other requirements and proceedings incident to the proper adoption of the Resolution have been duly fulfilled, carried out, and otherwise observed; and that I am authorized to execute this certificate. IN WITNESS THEREOF, I have hereunto set my hand this 20th day of January, 2022. Secre {y. Resolution No. W-2022-02 Page 6 of 6 January 20, 2022 WEDFA 1000 Second Avenue, Ste 2700 Seattle, WA 98104-1046 vwww.wedfa_otg June 28, 2022 City of Spokane Valley City Council c/o City Clerk Chris Bainbridge Spokane Valley City Hall 10210 E. Sprague Ave. Spokane Valley, WA 99206 cbainbridge@spokanevalley.org 173 206-587-5634 C� 206-587-5113 f?3 info@vwedfa.oig Re: Washington Economic Development Finance Authority Economic Development Revenue Bonds: Mutual Materials Project Dear Ms, Bainbridge: Mutual Materials, a masonry and hardscape product manufacturer and retailer, is financing and refinancing construction of a concrete masonry unit manufacturing facility within an existing building, as well as exterior building and site improvements, at 6712 E Trent Ave in Spokane Valley. Mutual Materials intends to finance this project through the use of nonrecourse economic development revenue bonds issued by the Washington Economic Development Finance Authority (WEDFA). It is the policy of WEDFA only to issue bonds in support of projects which would be welcomed by the local community. As part of the issuance process, therefore, we would like the City of Spokane Valley City Council, as the planning jurisdiction, to consider passage of a Planning Jurisdiction Approval Resolution, in the form substantially as attached. We wish to emphasize that the only purpose of this resolution is to approve Mutual Material's use of WEDFA financing for this project. It does not supplement or replace any portion of the normal permitting process. There is no liability against the City of Spokane Valley created by issuance of WEDFA's bonds or adoption of this resolution. We are planning to issue the bonds in the upcoming months. It would greatly assist our timing if the City Council could consider this approval at a July Council meeting. I would appreciate it if your office could send me a copy of the approved resolution should the City Council look on our request favorably. Kendall Anderegg, President and CEO of Mutual Materials, would be happy to provide you with any further information that you might find helpful regarding the project. Her telephone number is (206) 618-0208. Rodney Wendt, Executive Director of WEDFA, would also be happy to attend the City Council meeting to answer questions from the Council. Washington Er-onomic Development Finance Authority c-2-3WEDFA 1000 Second Avenue, Ste 2700 Seattle, WA 98104-1046 w.nnu.wedfa_org n 206-587-5634 ( 206-587-5113 inttrC wedfaorg Please let me know how we can work together to facilitate this process. If you have any questions, please do not hesitate to give me a call. My telephone number is 206-793-2409, and I can also be reached by email at molly.abbey@wshfc.org. Sincerely yoti,Fs Mollbbey Program Administrator cc: Kendall Anderegg, Mutual Materials Rodney Wendt, WEDFA Encls. Washington Economic Development Finance Authority iiiimimmi CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 19, 2022 Check all that apply: ❑ consent ❑ old business ❑ information ['admin. report Department Director Approval: ® new business ❑ public hearing ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Motion Consideration: Termination of Water Quality Financial Assistance Agreement with the Department of Ecology for the Sprague Avenue Stormwater Project. GOVERNING LEGISLATION: RCW 90.48, Chapter 173-200 WAC, Title 33 U.S.C. 1251-1376; Storm and Surface Water Utility: SVMC 3.80; Aquifer Protection Area Fund: RCW 36.36. The Federal Clean Water Act of 1987, Section 319, Chapter 173-95A WAC PREVIOUS COUNCIL ACTION TAKEN: • October 7, 2014 — Info report on Ecology Stormwater Grant Opportunities, Call for Projects • October 21, 2014 — Administrative Report discussing Washington State Department of Ecology stormwater grant opportunities resulting in consensus to apply for grants. • October 11, 2016 — Administrative Report discussing Washington State Department of Ecology stormwater grant opportunities resulting in consensus to apply for grants. • May 21, 2019 — Administrative Report regarding the details of the Water Quality Financial Assistance Agreement with the Department of Ecology • May 28, 2019 — Council authorized execution of Water Quality Financial Assistance Agreement with the Department of Ecology • July 5, 2022 — Council reached consensus for a future motion consideration to terminate the Agreement with Ecology BACKGROUND: In November 2014, the City applied to the Washington State Department of Ecology (Ecology) for a grant to improve water quality in the Spokane Valley-Rathdrum Prairie Aquifer through the installation of Low Impact Development (LID) techniques and best management practices along the two-mile segment of Sprague Avenue between University and Park Roads. The Stormwater Project will provide treatment for total suspended solids (TSS), oil (total petroleum hydrocarbons) and will reduce the volume of pollutants that enter the groundwater. Stormwater in the project area is currently collected and discharged to groundwater without pretreatment via approximately 75 drywells. On July 7, 2015, this project was selected by Ecology for award, contingent on funding availability. In 2016, Ecology received direction from the Legislature to delay funding for 67 state-wide stormwater projects proposed to receive funding from the Stormwater Financial Assistance Program (SFAP) in SFY16 and SFY17. These delays were necessary to address a shortfall in the Model Toxics Control Act funds and were accompanied by significant reductions in both operating and capital budgets, across many environmental program areas. This stormwater project application was included on the SFY16 and SFY17 list of delayed projects. On February 21, 2018, the City was informed by the Ecology that the 2017-2019 Washington State Biennial Budget successfully addressed funding shortfalls, and Ecology was authorized to resume agreement negotiations for this project. At the time of application, the total project cost was estimated at $2M and Ecology funds typically 75% of the total project cost. Consequently, the grant would provide $1.5M and the City's stormwater fund was to provide $500K in matching funds. In May 2019, staff revisited the preliminary estimate and increased the potential City stormwater funding by $569,320 to account for inflationary increases from 2014 to 2019. The grant agreement with Ecology was executed in 2019. In 2021, the Spokane Transit Authority awarded $163,685 to improve the crossing between City Hall and Balfour Park on Sprague Avenue (Crossing Project). Additionally, the City was awarded $556,400 for the Crossing Project from the Pedestrian & Bicycle Program (PBP). For efficiencies, the Stormwater Project and the Crossing Project were planned to be completed concurrently. Due to limited resources, staff was unable to initialize the project until June of 2021. In the fall of 2021, the City selected a consultant firm who advanced the conceptual design to a 30% preliminary design. The City has spent $64,125 of the Ecology grant to develop a design report which was approved in early May 2022. The updated preliminary design, with more detailed information than the original conceptual plan at grant application in 2014, allowed the consultant to prepare a more accurate project estimate. The total project cost increased to over $5.5M and could be substantially higher due to recent additional construction cost increases. The design assumed that Sprague Avenue will be reduced to three lanes between Herald and University and two four lanes from Herald to Park Road. Currently, Sprague Avenue has five lanes within the project limits. Due to the large funding gap needed to advance the Stormwater & Crossing projects, staff presented the options below at the July 15, 2022 Council meeting: 1) Do not proceed with the Stormwater Project between University and Park Roads and terminate the Ecology grant. Ecology has indicated that it will not require repayment of grant funds expended to date. The City will have the option to reapply for a future Ecology grant with the updated project costs utilizing the previously approved Design Report. 2) Terminate the Ecology grant and proceed with the Crossing Project which will include stormwater quality facilities between University & Herald Roads. Staff and Council identified that Coronavirus Local Fiscal Recovery Fund (CLFR) funds may be utilized for the Crossing Project because the project is an eligible stormwater/water quality project for the Clean Water State Revolving Fund (CWSRF) per the EPA Overview of Clean Water State Revolving Eligibilities, dated May 2016. Currently, the City Council has not allocated $1,379,386 of CLFR funds. Council reached consensus to terminate the Ecology grant. Council also discussed the proposed lane reduction for Sprague Avenue and requested that staff brings back more information on the proposed lane reduction and pedestrian crossing project. OPTIONS: 1) Move to authorize staff to terminate the Ecology agreement for the Sprague Avenue Stormwater project, or 2) take other appropriate action. RECOMMENDED ACTION OR MOTION: Move to authorize staff to terminate the Water Quality Financial Assistance Agreement with the Department of Ecology for the Sprague Avenue Stormwater Project. BUDGET/FINANCIAL IMPACTS: None. STAFF CONTACT: Bill Helbig, Community & Public Works Director CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 19, 2022 Department Director Approval: Check all that apply: ❑ consent ❑ old business ® new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Motion Consideration: Potential Grant Opportunity - WSDOT Railroad Crossing Grant Program GOVERNING LEGISLATION: RCW 35.77.010: Six -Year Transportation Improvement Program PREVIOUS COUNCIL ACTION TAKEN: • The Pines Road/BNSF Grade Separation Project (Pines/BNSF GSP) has been identified in the City's Six -Year Transportation Improvement Plan since 2015. • Since 2018, the City has submitted an annual application to the United States Dept. of Transportation's (USDOT) Rebuilding American Infrastructure with Sustainability and Equity (RAISE) program requesting funding for the Pines Road/BNSF Grade Separation Project. BACKGROUND: On July 7, Washington State Dept. of Transportation (WSDOT) announced its 2022 call for projects for the Railroad Crossing Grant (RCG) Program. This program was primarily sponsored by Senator Padden during the state's most recent legislative session and included as part of the Move Ahead Washington transportation package. This RCG program is intended to provide matching funds for projects which eliminate at -grade highway -rail crossings. The funding is to provide a non-federal "match" to those agencies applying for federal funding through the USDOT's Railroad Crossing Elimination (RCE) Program or its Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant program. The RCE program announced its notice of funding on July 6, 2022. Staff plans to return to council in the coming weeks to describe the program details as related to the Pines/BNSF GSP. The CRISI program's notice of funding is anticipated to be announced in August 2022. If awarded RCG funds, WSDOT will provide a conditional award letter to include with the federal grant application. If a federal grant is not awarded, the funds will be rescinded to WSDOT and carried over to a future biennium. For the RCG program, there is no local funding match requirement. Critical RCG program details are: Total Available Funds Award Range Match Amount Application Due Date Award Date $5,000,000 Up to $5,000,000 None. These non-federal funds support federal grant requests July 29, 2022 TBD — By August 31, 2022 OPTIONS: Proceed with the recommended motion or take other action. RECOMMENDED ACTION OR MOTION: Move to authorize the City Manager or designee, to apply for $5,000,000 to the Washington State Department of Transportation Railroad Crossing Grant program for the Pines Road/BNSF Grade Separation Project. BUDGET/FINANCIAL IMPACTS: The project has not secured any of funding required for the construction phase. There is no local match requirement to be awarded RCG funds. Any RCG award will only be realized if the City is awarded federal funds from the RCE or CRISI programs. STAFF CONTACT: Bill Helbiq, P.E. — Community & Public Works Director ATTACHMENTS: N/A Page 1 of 1 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 19, 2022 Check all that apply: ❑ consent ❑ old business ❑ information ❑ admin. report AGENDA ITEM TITLE: Motion Consideration — Washington — Subdivision Settlement Participation Form. GOVERNING LEGISLATION: SVMC 2.15.020. Department Director Approval: ® new business ❑ public hearing ❑ pending legislation ❑ executive session Opioid Distributor Settlement with State of PREVIOUS COUNCIL ACTION TAKEN: April 26, 2022 approval of the One Washington MOU for settlement between the same opioid distributors and cities/counties in Washington. Admin Report on July 5, 2022 regarding the State of Washington settlement, and Subdivision Participation Form. BACKGROUND: Prior action: On April 26, 2022, Council was informed about the ongoing opioid litigation occurring throughout the state. Several cities and counties in the state sued various companies involved in the prescription opioid supply chain, including Purdue Pharmaceutical, (the manufacturer), and the four major distributors, Johnson & Johnson, Cardinal Health, Amerisource, and McKesson. The majority of these jurisdictions are represented by the law firm of Keller Rohrback. Keller Rohrback circulated the One Washington MOU to determine all possible jurisdictions that would be included in settlement negotiations for the litigating and non -litigating Washington cities and counties. Council approved entering into this MOU on April 26, 2022, and it was signed by the City Manager on April 27, 2022. The MOU set forth a default allocation for any funds received through settlement and also required each listed allocation region to create an Opioid Abatement Council. Current action: Separately, on May 2, 2022, the Washington State Attorney General's Office announced a settlement agreement between the state of Washington and opioid distributors Cardinal Health, Amerisource, and McKesson in the amount of $518 million. This is referred to as the Distributors Washington Settlement. The Distributors Washington Settlement requires litigating and non -litigating cities to sign the Subdivision Settlement Participation Form, included as Attachment A. In order to become a participating non -litigating subdivision and receive possible payment, the City is required to sign. By signing this form, the City releases all claims against the defendants as defined in the Distributors Washington Settlement. Allocation amounts are not known at this time. Once staff has more information on the possible allocation, we will bring that information to Council. Future action: This will still leave claims by cities/counties and the state against Johnson & Johnson, as well as claims into the ongoing Purdue bankruptcy. Once we have information on these items, we will bring those forward as well. Additionally, staff will bring forward a proposed six -county interlocal as required under the original One Washington MOU, which is currently being reviewed and discussed by the various parties. Once the City is a party to that interlocal, we can negotiate intra-County for a higher allocation of funds than is identified in the default allocation formula. OPTIONS: Consider authorizing the City Manager's completing and executing Exhibit F of the Distributors Washington Settlement Agreement. RECOMMENDED ACTION OR MOTION: Move to authorize the City Manager's completion and execution of Exhibit F, the Subdivision Settlement Participation Form within the Distributors Washington Settlement Agreement. BUDGET/FINANCIAL IMPACTS: Unknown at this time. STAFF CONTACT: Tony Beattie, Senior Deputy City Attorney. ATTACHMENTS: Opioid Settlement Update Presentation; 2022 Distributors Washington Settlement Agreement (note Exhibit F) Opioid Settlement Update Tony Beattie Senior Deputy City Attorney, City of Spokane Valley July 19, 2022 City of Spokane Valley - Office of the City Attorney i Litigating Cities and Counties Suits against Johnson & Johnson, Mckesson, AmerisourceBergen, and Cardinal Health. Law firm representing a majority of the jurisdictions requested signature on Washington MOU. Outlined potential allocation amounts and procedures for each region. Council authorized execution of the MOU in late April 2022. Could be adopted by State in allocating funds from most recent and future settlements. City of Spokane Valley - Office of the City Attorney Regional/County interlocals Outstanding issue of six county regional interlocal to oversee compliance, currently being negotiated. • Counties - Spokane, Lincoln, Pend O'rielle, Adams, Ferry, Stevens; • Cities - Spokane Valley, Spokane, Cheney, Liberty Lake. Once regional interlocal done, need to negotiate Spokane County interlocal to try for higher allocation than standard formula. The formula is based upon: (1) the amount of opioids shipped to the county; (2) the number of opioid deaths that occurred in that county; and (3) the number of people who suffer opioid use disorder in that county. To determine the allocation within a county, the formula utilizes historical federal data showing how the specific counties and the cities and towns within the counties have made opioids epidemic -related expenditures in the past. City of Spokane Valley - Office of the City Attorney Attorney General lawsuit against Major Distributors McKesson, AmerisourceBergen, Cardinal Health. $518 million settlement reached in principle on May 2, 2022. Allocation amounts are uncertain, but anticipated to use similar formula to what was presented in the One Washington MOU. Requires certain action prior to finalization. i00% of litigating cities and 9o% of non -litigating cities must approve and sign the Subdivision Participation Form or not effective. City of Spokane Valley - Office of the City Attorney Unresolved — WA. AG challenge to Purdue Pharma Bankruptcy Potential $183 million settlement for Washington. Case is on appeal. The settlement and allocation is dependent on the appeal. More to come... City of Spokane Valley - Office of the City Attorney UrrFesolved — WA. AG lawsuit against Johnson & Johnson Trial is currently scheduled for September 2022. More to come... City of Spokane Valley - Office of the City Attorney 6 DISTRIBUTORS WASHINGTON SETTLEMENT AGREEMENT Table of Contents L Overview 1 II. Conditions to Effectiveness of Agreement 1 III. Participation by Subdivisions 3 IV. Settlement Payments 3 V. Plaintiffs' Attorneys' Fees and Costs 4 VI. Release 6 VII. Miscellaneous 6 Exhibit A Primary Subdivisions A-1 Exhibit B Litigating Subdivisions B-1 Exhibit C ABC IRS Form 1098-F C-1 Exhibit D Cardinal Health IRS Form 1098-F D-1 Exhibit E McKesson IRS Form 1098-F E-1 Exhibit F Subdivision Settlement Participation Form F-1 Exhibit G Consent Judgment and Stipulation of Dismissal with Prejudice G-1 Exhibit H Distributor Global Settlement Agreement H-1 DISTRIBUTORS — WASHINGTON SETTLEMENT AGREEMENT I. Overview This Distributors Washington Settlement Agreement ("Agreement") sets forth the terms and conditions of a settlement agreement between and among the State of Washington, McKesson Corporation ("McKesson"), Cardinal Health, Inc. ("Cardinal") and AmerisourceBergen Corporation ("Amerisource") (collectively, the "Agreement Parties") to resolve opioid-related Claims against McKesson, Cardinal, and/or Amerisource (collectively, "Settling Distributors"). By entering into this Agreement, the State of Washington and its Participating Subdivisions agree to be bound by all terms and conditions of the Distributor Global Settlement Agreement dated July 21, 2021 (including its exhibits) ("Global Settlement"), which (including its exhibits) is incorporated into this Agreement as Exhibit H.1 By entering this Agreement, and upon execution of an Agreement Regarding the State of Washington and the Distributor Global Settlement Agreement ("Enforcement Committee Agreement"), unless otherwise set forth in this Agreement, the Settling Distributors agree to treat the State of Washington for all purposes as if it were a Settling State under the Global Settlement and its Participating Subdivisions for all purposes as if they were Participating Subdivisions under the Global Settlement. Unless stated otherwise in this Agreement, the terms of this Agreement are intended to be consistent with the terms of the Global Settlement and shall be construed accordingly. Unless otherwise defined in this Agreement, all capitalized terms in this Agreement shall be defined as they are in the Global Settlement. The Settling Distributors have agreed to the below terms for the sole purpose of settlement, and nothing herein, including in any exhibit to this Agreement, may be taken as or construed to be an admission or concession of any violation of law, rule, or regulation, or of any other matter of fact or law, or of any liability or wrongdoing, or any misfeasance, nonfeasance, or malfeasance, all of which the Settling Distributors expressly deny. No part of this Agreement, including its statements and commitments, and its exhibits, shall constitute or be used as evidence of any liability, fault, or wrongdoing by the Settling Distributors. Unless the contrary is expressly stated, this Agreement is not intended for use by any third party for any purpose, including submission to any court for any purpose. II. Conditions to Effectiveness of Agreement A. Global Settlement Conditions to Effectiveness. 1. The Agreement Parties acknowledge that certain deadlines set forth in Section VIII of the Global Settlement passed before the execution of this Agreement. For ' The version of the Global Settlement as updated on March 25, 2022 is attached to this Agreement as Exhibit H. Further updates to the Global Settlement shall be deemed incorporated into this Agreement and shall supersede all earlier versions of the updated provisions. 1 that reason, (i) Settling Distributors agree to treat the State of Washington as satisfying the deadlines set forth in Section VIII of the Global Settlement provided that the State of Washington satisfies its obligations set forth in this Section II and (ii) the State of Washington agrees to treat Settling Distributors as having satisfied all notice obligations under Section VIII.B of the Global Settlement as to the State of Washington. 2. The State of Washington shall deliver all signatures and releases required by the Agreement to be provided by the Settling States to the Settling Distributors by September 30, 2022. This Section II.A.2 supersedes the deadline for delivering those signatures and releases set forth in Section VIII.A.1 of the Global Settlement. B. Agreement with Enforcement Committee. This Agreement shall not become effective unless the Enforcement Committee and the Settling Distributors execute the Enforcement Committee Agreement. If the Enforcement Committee Agreement is not executed by June 1, 2022, the State of Washington and Settling Distributors will promptly negotiate an agreement that mirrors the Global Settlement to the extent possible and with a credit of $1,000,000 to Settling Distributors to account for possible credits the Settling Distributors would have received under Section V of this Agreement from the State Cost Fund and the Litigating Subdivision Cost Fund of the Global Settlement and to be deducted from the Year 7 payment described in Section V.B.1 and Section V.C.g of this Agreement. C. Participation by Subdivisions. If the condition in Section II.B has been satisfied, this Agreement shall become effective upon one of the following conditions being satisfied: 1. All Litigating Subdivisions in the State of Washington and ninety percent (90%) of Non -Litigating Primary Subdivisions (calculated by population pursuant to the Global Settlement) in the State of Washington must become Participating Subdivisions by September 23, 2022. 2. If the condition set forth in Section II.C.1 is not met, the Settling Distributors shall have sole discretion to accept the terms of this Agreement, which shall become effective upon notice provided by the Settling Distributors to the State of Washington. If the condition set forth by Section II.C.1 is not met and Settling Distributors do not exercise discretion to accept this Agreement, this Agreement will have no further effect and all releases and other commitments or obligations contained herein will be void. D. Dismissal of Claims. Provided that the conditions in Sections II.B and IIC have been satisfied, the State of Washington shall file the Consent Judgment described in Section I.N of the Global Settlement and attached hereto as Exhibit G (" Washington Consent Judgment") with the King County Superior Court (" Washington Consent Judgment Court") on or before November 1, 2022. This Section II.C.2 supersedes the deadline for submitting a Consent Judgment set forth in Section VIII.B of the Global Settlement. In the event that the Court declines to enter the Washington Consent Judgment, each Settling Distributor shall be entitled to terminate the Agreement as to itself and shall be excused from all obligations under the Agreement, and if a Settling Distributor terminates the Agreement as to itself, all releases and other commitments or obligations contained herein with respect to that Settling Distributor will be null and void. The date of the entry of the Washington Consent Judgment shall be the effective date of this Agreement 2 ("Washington Effective Date"). Within the later of forty-five (45) days after the Washington Effective Date or December 31, 2022, each Settling Distributor will certify to the State that all medical claims data provided to it during the litigation (including Medicaid, PMP, LNI claims, and PEBB data) has been destroyed by the party and its agents, including all retained experts. III. Participation by Subdivisions A. Notice. The Office of the State of Washington Attorney General in consultation with the Settling Distributors shall send individual notice of the opportunity to participate in this Agreement and the requirements for participation to all Subdivisions eligible to participate who have not returned an executed Subdivision Settlement Participation Form within fifteen (15) days of the execution of this Agreement. The Office of the State of Washington Attorney General may also provide general notice reasonably calculated to alert Subdivisions, including publication and other standard forms of notification. Nothing contained herein shall preclude the State of Washington from providing further notice to, or from contacting any of its Subdivision(s) about, becoming a Participating Subdivision. B. Trigger Date for Later Litigating Subdivisions. Notwithstanding Sections I.EE and I.GGGG of the Global Settlement, as to the State of Washington, Settling Distributors and the State of Washington agree to treat the Trigger Date for Primary Subdivisions as September 23, 2022 and the Trigger Date for all other Subdivisions as May 3, 2022. C. Initial and Later Participating Subdivisions. Notwithstanding Sections I.BB, I.CC, I.FF and Section VII.D and E of the Global Settlement, any Participating Subdivision in Washington that meets the applicable requirements for becoming a Participating Subdivision set forth in Section VII.B or Section VII.0 of the Global Settlement on or before September 23, 2022 shall be considered an Initial Participating Subdivision. Participating Subdivisions that are not Initial Participating Subdivisions but meet the applicable requirements for becoming Participating Subdivisions set forth in Section VII.B or Section VII.0 of the Global Settlement after September 23, 2022 shall be considered Later Participating Subdivisions. D. Subdivision Settlement Participation Forms. Each Subdivision Settlement Participation Form submitted by a Participating Subdivision from the State of Washington shall be materially identical to Exhibit F to this Agreement. Nothing in Exhibit F is intended to modify in any way either the terms of this Agreement or the terms of the Global Settlement, both of which the State of Washington and Participating Subdivisions agree to be bound. To the extent that any Subdivision Settlement Participation Form submitted by any Participating Subdivision is worded differently from Exhibit F to this Agreement or interpreted differently from the Global Agreement and this Agreement in any respect, the Global Agreement and this Agreement control. IV. Settlement Payments A. Schedule. Annual Payments under this Agreement shall be calculated as if the State of Washington were a Settling State under the Global Settlement and shall be made pursuant to the terms of Section IV of the Global Settlement except that, as to the State of Washington, the Payment Date for Payment Year 1 shall be December 1, 2022 and the Payment Date for Payment 3 Year 2 shall be December 1, 2022. For the avoidance of doubt, the sole component of the State of Washington's Annual Payment is the portion of the Net Abatement Amount allocated to the State of Washington under the Global Settlement ("Washington Abatement Amount"). The maximum possible Washington Abatement Amount is $430,249,769.02. B. Use of Payment. The Washington Abatement Amount paid under this Agreement shall be used as provided for in Section V of the Global Settlement. C. Nature of Payment. The State of Washington and its Participating Subdivisions agree that payments made to the State of Washington and its Participating Subdivisions under this Agreement are properly characterized as described in Section V.F of the Global Settlement. V. Plaintiffs' Attorneys' Fees and Costs A. Interaction with Global Settlement. Notwithstanding any contrary provision in the Global Settlement, payments to cover attorneys' fees and costs under this Agreement ("Washington Fees and Costs") shall be made pursuant to this Section V. B. Amounts. The total amount to cover of all Washington Fees and Costs is $87,750,230.98. That total consists of the categories of attorneys' fees and costs set forth in this Section V.B and shall be paid on the schedule set forth in Section V.C. 1. State Outside and Inside Counsel Fees and Costs. Settling Distributors shall pay $76,829,316.21 to cover in-house fees and costs and outside counsel fees and costs to the Washington Attorney General's Office, which shall be used for any lawful purpose in the discharge of the Attorney General's duties at the sole discretion of the Attorney General. The amount shall be paid in increments as specified in Section V.0 (Payment Year 1 — 20%, Payment Year 2 — 20%, Payment Year 3 — 15%, Payment Year 4 — 15%, Payment Year 5 — 15%, Payment Year 6 — 10%, Payment Year 7— 5%.) 2. Fees and Costs for Participating Litigating Subdivisions' Attorneys. Settling Distributors shall pay $10,920,914.70 to Participating Litigating Subdivisions' attorneys for fees and costs into a single account as directed by the Washington Attorney General's Office, which then shall be paid as agreed between the State of Washington and attorneys for Participating Litigating Subdivisions. Participating Litigating Subdivisions' attorneys shall be paid in accordance with the schedule in Section V.0 and V.D.5 of this Agreement. C. Schedule. Washington Fees and Costs shall be paid according to the following schedule: a. Payment Year 1: Twenty percent (20%) of the total Washington Fees and Costs amount ($17,550,046.20), to be paid on or before December 1, 2022. 4 b. Payment Year 2: Twenty percent (20%) of the total Washington Fees and Costs amount ($17,550,046.20), to be paid on or before December 1, 2022. c. Payment Year 3: Fifteen percent (15%) of the total Washington Fees and Costs amount ($13,162,534.65), to be paid on or before July 15, 2023. d. Payment Year 4: Fifteen percent (15%) of the total Washington Fees and Costs amount ($13,162,534.65), to be paid on or before July 15, 2024. e. Payment Year 5: Fifteen percent (15%) of the total Washington Fees and Costs amount ($13,162,534.65), to be paid on or before July 15, 2025. f. Payment Year 6: Ten percent (10%) of the total Washington Fees and Costs amount ($8,775,023.10), to be paid on or before July 15, 2026. g. Payment Year 7: Five percent (5%) of the total Washington Fees and Costs amount ($4,387,511.55), to be paid on or before July 15, 2027. D. Remittance. So that Settling Distributors do not pay the same fees and costs under both the Global Settlement and this Agreement, Washington and its Participating Litigating Subdivisions and their respective counsel shall do as follows: 1. Participating Litigating Subdivisions in Washington and their counsel shall apply to the Attorney Fee Fund and the Litigating Subdivision Cost Fund created pursuant to Exhibit R of the Global Settlement for all fees, costs and expenses for which they may be eligible and shall instruct the Fee Panel and the Cost and Expense Fund Administrator to remit to Settling Distributors the full amount awarded to such Participating Litigating Subdivision, with each Settling Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 2. Counsel for Participating Subdivisions shall instruct the Fee Panel created by the MDL Court pursuant to Exhibit R of the Global Settlement to remit to Settling Distributors the Contingency Fee Amount for their Participating Subdivisions in the State of Washington, with each Settling Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 3. The State of Washington shall instruct the Fee Fund Administrator selected pursuant to Exhibit S of the Global Settlement that the Settling Distributors shall not pay the Fixed Amount for the State of Washington, and the State of Washington will not be eligible to receive funds from the State Outside Counsel Fee Fund under the Global Settlement. 4. The State of Washington shall submit documented costs, as provided for in Exhibit T of the Global Settlement, to the Global Settlement State Cost Fund created pursuant to Exhibit T of the Global Settlement for all costs and expenses for which it may be eligible and shall instruct the State Cost Fund Administrator to remit to Settling Distributors the full amount awarded to the State of Washington, with each Settling 5 Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 5. No Participating Litigating Subdivision shall receive any payment due under this Agreement, including but not limited to the portion of the Washington Abatement Amount allocable to the Participating Subdivision, until it and/or its outside counsel, as applicable, fulfill their obligations under Sections V.D. 1-2. VI. Release A. Scope. As of the Washington Effective Date, Section XI of the Global Settlement is fully binding on, and effective with respect to, all Releasors under this Agreement. Accordingly, as of the Washington Effective Date, the Released Entities are hereby released and forever discharged from all Released Claims of Releasors, including the State of Washington and its Participating Subdivisions. VII. Miscellaneous A. No Admission. The Settling Distributors do not admit liability, fault, or wrongdoing. Neither this Agreement nor the Washington Consent Judgment shall be considered, construed or represented to be (1) an admission, concession or evidence of liability or wrongdoing or (2) a waiver or any limitation of any defense otherwise available to the Settling Distributors. It is the understanding and intent of the Agreement Parties that no portion of the Agreement shall be entered into evidence in any other action against the Settling Distributors, among other reasons, because it is not relevant to such action. For the avoidance of any doubt, nothing herein shall prohibit a Settling Distributor from entering this Agreement into evidence in any litigation or arbitration concerning a Settling Distributor's right to coverage under an insurance contract. B. Tax Cooperation and Reporting. The State of Washington and its Participating Subdivisions will be bound by Section V.F and Section XIV.F of the Global Settlement, except (i) as set forth in the final sentence of this Section VII.B and (ii) that the State of Washington shall be its own Designated State and shall designate its own "appropriate official" within the meaning of Treasury Regulations Section 1.6050X-1(f)(1)(ii)(B) (the "Appropriate Official). The IRS Forms 1098-F to be filed with respect to this Agreement are attached as Exhibit C, Exhibit D, and Exhibit E. The State of Washington and its Participating Subdivisions agree that any return, amended return, or written statement filed or provided pursuant to Section XIV.F.4 of the Global Settlement with respect to this Agreement, and any similar document, shall be prepared and filed in a manner consistent with reporting each Settling Distributor's portion of the aggregate amount of payments paid or incurred by the Settling Distributors hereunder as the "Total amount to be paid" pursuant to this Agreement in Box 1 of IRS Form 1098-F, each Settling Distributor's portion of the amount equal to the aggregate amount of payments paid or incurred by the Settling Distributors hereunder less the Compensatory Restitution Amount as the "Amount to be paid for violation or potential violation" in Box 2 of IRS Form 1098-F and each Settling Distributor's portion of the Compensatory Restitution Amount as "Restitution/remediation amount" in Box 3 of IRS Form 1098-F, as reflected in Exhibit C, Exhibit D, and Exhibit E. 6 C. No Third -Party Beneficiaries. Except as expressly provided in this Agreement, no portion of this Agreement shall provide any rights to, or be enforceable by, any person or entity that is not the State of Washington or a Released Entity. The State of Washington may not assign or otherwise convey any right to enforce any provision of this Agreement. D. Cooperation. Each Agreement Party and each Participating Subdivision agrees to use its best efforts and to cooperate with the other Agreement Parties and Participating Subdivisions to cause this Agreement to become effective, to obtain all necessary approvals, consents and authorizations, if any, and to execute all documents and to take such other action as may be appropriate in connection herewith. Consistent with the foregoing, each Agreement Party and each Participating Subdivision agrees that it will not directly or indirectly assist or encourage any challenge to this Agreement or the Washington Consent Judgment by any other person, and will support the integrity and enforcement of the terms of this Agreement and the Washington Consent Judgment. E. Enforcement. All disputes between Settling Distributors and the State of Washington and/or the Participating Subdivisions in the State of Washington shall be handled as specified in Section VI of the Global Settlement, including the referral of relevant disputes to the National Arbitration Panel. F. No Violations of Applicable Law. Nothing in this Agreement shall be construed to authorize or require any action by Settling Distributors in violation of applicable federal, state, or other laws. G. Modification. This Agreement may be modified by a written agreement of the Agreement Parties. For purposes of modifying this Agreement or the Washington Consent Judgment, Settling Distributors may contact the Washington Attorney General for purposes of coordinating this process. The dates and deadlines in this Agreement may be extended by written agreement of the Agreement Parties, which consent shall not be unreasonably withheld. H. No Waiver. Any failure by any Agreement Party to insist upon the strict performance by any other party of any of the provisions of this Agreement shall not be deemed a waiver of any of the provisions of this Agreement, and such party, notwithstanding such failure, shall have the right thereafter to insist upon the specific performance of any and all of the provisions of this Agreement. I. Entire Agreement. This Agreement, including the Global Settlement (and its exhibits), represents the full and complete terms of the settlement entered into by the Agreement Parties, except as provided herein. In any action undertaken by the Agreement Parties, no prior versions of this Agreement and no prior versions of any of its terms may be introduced for any purpose whatsoever. J. Counterparts. This Agreement may be executed in counterparts, and a facsimile or .pdf signature shall be deemed to be, and shall have the same force and effect as, an original signature. K. Notice. All notices or other communications under this Agreement shall be provided to the following via email and overnight delivery to: 7 Copy to AmerisourceBergen Corporation's attorneys at: Michael T. Reynolds Cravath, Swaine & Moore LLP 825 8th Avenue New York, NY 10019 mreynolds@cravath.com Copy to Cardinal Health, Inc. 's attorneys at: Elaine Golin Wachtell, Lipton, Rosen & Katz 51 West 52nd Street New York, NY 10019 epgolin@wlrk.com Copy to McKesson Corporation's attorneys at: Thomas J. Perrelli Jenner & Block LLP 1099 New York Avenue, NW, Suite 900 Washington, DC 20001-4412 TPerrelli@jenner.com Copy to the State of Washington at: Shane Esquibel Jeffrey Rupert Laura Clinton Washington Attorney General's Office 1125 Washington Street SE PO Box 40100 Olympia, WA 98504-0100 Shane.Esquibel@atg.wa.gov Jeffrey.Rupert@atg.wa.gov Laura.Clinton@atg.wa.gov [Signatures begin on next page.] Authorized and agreed to by: Dated: `'/ `"/�`— ROBERT W. FERGUSON Attorney General, State • 'ngton By: Name: JEF `'Y RUPERT Title: Division Chief Authorized and agreed to by: Dated: May 2, 2022 AMERISOURCEBERGEN CORPORATION „J By: Elizabeth Campbell Executive Vice President and Chief Legal Officer Authorized and agreed to by: Dated: 04/29/2022 CARDINAL HEALTH, INC. By: YU Name: Jessica Mayer Title: Chief Legal and Compliance Officer Authorized and agreed to by: Dated: 5124 LI— MCKESSON CORPORATION By: Name: SC r-A.. L1fA C - Ora 11 Title: Cc'rpvretk Se "r j Exhibit A Primary Subdivisions2 No. Subdivision Name 1. Aberdeen city 2. Adams County 3. Anacortes City 4. Arlington City 5. Asotin County 6. Auburn City* 7. Bainbridge Island City 8. Battle Ground City 9. Bellevue City* 10. Bellingham City* 11. Benton County* 12. Bonney Lake City 13. Bothell City* 14. Bremerton City* 15. Burien City* 16. Camas City 17. Centralia City 18. Chelan County* 19. Cheney City 20. Clallam County* 21. Clark County* 22. Covington City 23. Cowlitz County* 24. Des Moines City* 25. Douglas County* 26. East Wenatchee City 27. Edgewood City 28. Edmonds City* 29. Ellensburg City 30. Enumclaw City 31. Everett City* 32. Federal Way City* 33. Ferndale City 34. Fife City 35. Franklin County* 36. Gig Harbor City 37. Grandview City 38. Grant County* 2 Entities denoted with an asterisk (*) indicate a population of greater than 30,000 for purposes of the definition of Primary Subdivision as it relates to Incentive Payment C. A-1 39. Grays Harbor County* 40. Island County* 41. Issaquah City* 42. Jefferson County* 43. Kelso City 44. Kenmore City 45. Kennewick City* 46. Kent City* 47. King County* 48. Kirkland City* 49. Kitsap County* 50. Kittitas County* 51. Klickitat County 52. Lacey City* 53. Lake Forest Park City 54. Lake Stevens City* 55. Lakewood City* 56. Lewis County* 57. Liberty Lake City 58. Lincoln County 59. Longview City* 60. Lynden City 61. Lynnwood City* 62. Maple Valley City 63. Marysville City* 64. Mason County* 65. Mercer Island City 66. Mill Creek City 67. Monroe City 68. Moses Lake City 69. Mount Vernon City* 70. Mountlake Terrace City 71. Mukilteo City 72. Newcastle City 73. Oak Harbor City 74. Okanogan County* 75. Olympia City* 76. Pacific County 77. Pasco City* 78. Pend Oreille County 79. Pierce County* 80. Port Angeles City 81. Port Orchard City 82. Poulsbo City 83. Pullman City* 84. Puyallup City* A-2 85. Redmond City* 86. Renton City* 87. Richland City* 88. Sammamish City* 89. San Juan County 90. Seatac City 91. Seattle City* 92. Sedro-Woolley City 93. Shelton City 94. Shoreline City* 95. Skagit County* 96. Skamania County 97. Snohomish City 98. Snohomish County* 99. Snoqualmie City 100. Spokane City* 101. Spokane County* 102. Spokane Valley City* 103. Stevens County* 104. Sumner City 105. Sunnyside City 106. Tacoma City* 107. Thurston County* 108. Tukwila City 109. Tumwater City 110. University Place City* 111. Vancouver City* 112. Walla Walla City* 113. Walla Walla County* 114. Washougal City 115. Wenatchee City* 116. West Richland City 117. Whatcom County* 118. Whitman County* 119. Woodinville City 120. Yakima City* 121. Yakima County* A-3 Exhibit B Litigating Subdivisions No. Subdivision Name 1. Anacortes City 2. Bainbridge Island City 3. Burlington City 4. Chelan County 5. Clallam County 6. Clark County 7. Everett City 8. Franklin County 9. Island County 10. Jefferson County 11. Kent City 12. King County 13. Kirkland City 14. Kitsap County 15. Kittitas County 16. La Conner School District 17. Lakewood City 18. Lewis County 19. Lincoln County 20. Mount Vernon City 21. Mount Vernon School District 22. Olympia City 23. Pierce County 24. San Juan County 25. Seattle City 26. Sedro-Woolley City 27. Sedro-Woolley School District 28. Skagit County 29. Snohomish County 30. Spokane City 31. Spokane County 32. Tacoma City 33. Thurston County 34. Vancouver City 35. Walla Walla County 36. Whatcom County 37. Whitman County B-1 Exhibit C ABC IRS Form 1098-F This Exhibit C will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. C-1 Exhibit D Cardinal Health IRS Form 1098-F This Exhibit D will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. D-1 Exhibit E McKesson IRS Form 1098-F This Exhibit E will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. E-1 Exhibit F Subdivision Settlement Participation Form Governmental Entity: State: Authorized Official: Address 1: Address 2: City, State, Zip: Phone: Email: The governmental entity identified above ("Governmental Entity"), in order to obtain and in consideration for the benefits provided to the Governmental Entity pursuant to the Settlement Agreement dated May 2, 2022 ("Distributors Washington Settlement"), and acting through the undersigned authorized official, hereby elects to participate in the Distributors Washington Settlement, release all Released Claims against all Released Entities, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Distributors Washington Settlement, including the Distributor Global Settlement Agreement dated July 21, 2021 ("Global Settlement") attached to the Distributors Washington Settlement as Exhibit H, understands that all terms in this Participation Form have the meanings defined therein, and agrees that by signing this Participation Form, the Governmental Entity elects to participate in the Distributors Washington Settlement and become a Participating Subdivision as provided therein. 2. The Governmental Entity shall, within 14 days of October 1, 2022 and prior to the filing of the Consent Judgment, secure the dismissal with prejudice of any Released Claims that it has filed. 4. The Governmental Entity agrees to the terms of the Distributors Washington Settlement pertaining to Subdivisions as defined therein. 5. By agreeing to the terms of the Distributors Washington Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after December 1, 2022. 6. The Governmental Entity agrees to use any monies it receives through the Distributors Washington Settlement solely for the purposes provided therein. 7. The Governmental Entity submits to the jurisdiction of the Washington Consent Judgment Court for purposes limited to that court's role as provided in, and for resolving disputes to the extent provided in, the Distributors Washington Settlement. The Governmental Entity likewise agrees to arbitrate before the National Arbitration Panel as provided in, and for resolving disputes to the extent otherwise provided in the Distributors Washington Settlement. F-1 8. The Governmental Entity has the right to enforce the Distributors Washington Settlement as provided therein. 9. The Governmental Entity, as a Participating Subdivision, hereby becomes a Releasor for all purposes in the Distributors Washington Settlement, including, but not limited to, all provisions of Section XI of the Global Settlement, and along with all departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, and any person in their official capacity elected or appointed to serve any of the foregoing and any agency, person, or other entity claiming by or through any of the foregoing, and any other entity identified in the definition of Releasor, provides for a release to the fullest extent of its authority. As a Releasor, the Governmental Entity hereby absolutely, unconditionally, and irrevocably covenants not to bring, file, or claim, or to cause, assist or permit to be brought, filed, or claimed, or to otherwise seek to establish liability for any Released Claims against any Released Entity in any forum whatsoever. The releases provided for in the Distributors Washington Settlement are intended by the Agreement Parties to be broad and shall be interpreted so as to give the Released Entities the broadest possible bar against any liability relating in any way to Released Claims and extend to the full extent of the power of the Governmental Entity to release claims. The Distributors Washington Settlement shall be a complete bar to any Released Claim. 10. The Governmental Entity hereby takes on all rights and obligations of a Participating Subdivision as set forth in the Distributors Washington Settlement. 11. In connection with the releases provided for in the Distributors Washington Settlement, each Governmental Entity expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code, which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release, and that if known by him or her would have materially affected his or her settlement with the debtor or released party. A Releasor may hereafter discover facts other than or different from those which it knows, believes, or assumes to be true with respect to the Released Claims, but each Governmental Entity hereby expressly waives and fully, finally, and forever settles, releases and discharges, upon the date the Distributors Washington Settlement becomes effective pursuant to Section II.B of the Distributors Washington Settlement, any and all Released Claims that may exist as of such date but which Releasors do not know or suspect to exist, whether through ignorance, oversight, error, negligence or through no fault whatsoever, and which, if known, would materially affect the Governmental Entities' decision to participate in the Distributors Washington Settlement. F-2 12. Nothing herein is intended to modify in any way the terms of the Distributors Washington Settlement, to which Governmental Entity hereby agrees. To the extent this Participation Form is worded differently from Exhibit F to the Distributors Washington Settlement or interpreted differently from the Distributors Washington Settlement in any respect, the Distributors Washington Settlement controls. I have all necessary power and authorization to execute this Participation Form on behalf of the Governmental Entity. Signature: Name: Title: Date: F-3 Exhibit G Consent Judgment and Stipulation of Dismissal with Prejudice The Honorable Michael Ramsey Scott Trial Date: November 15, 2021 STATE OF WASHINGTON KING COUNTY SUPERIOR COURT STATE OF WASHINGTON, Plaintiff, v. MCKESSON CORPORATION, CARDINAL HEALTH INC., and AMERISOURCEBERGEN DRUG CORPORATION, Defendants. NO. 19-2-06975-9 SEA FINAL CONSENT JUDGMENT AND DISMISSAL WITH PREJUDICE FINAL CONSENT JUDGMENT AND DISMISSAL WITH PREJUDICE The State of Washington ("State") and McKesson Corporation, Cardinal Health, Inc., AmerisourceBergen Drug Corporation and AmerisourceBergen Corporation, together with the subsidiaries thereof (collectively, the "Settling Distributors," and each a "Settling Distributor") (together with the State, the "Parties," and each a "Party") have entered into a consensual resolution of the above -captioned litigation (the "Action") pursuant to a settlement agreement entitled Distributors Washington Settlement Agreement, dated as of May 2, 2022 (the "Washington Agreement"), a copy of which is attached hereto as Exhibit A. The Washington Agreement shall become effective by its terms upon the entry of this Final Consent Judgment (the "Judgment") by the Court without adjudication of any contested issue of fact or law, and without finding or admission of wrongdoing or liability of any kind. By entering into the Washington Agreement, the State of Washington agrees to be bound by all terms and conditions G-1 of the Distributor Settlement Agreement, dated as of July 21, 2021 (as subsequently updated) (the "Global Agreement"), a copy of which is attached hereto as Exhibit B (together with the Washington Agreement, the "Agreements") unless stated otherwise in the Washington Agreement. Unless stated otherwise in the Washington Agreement, the terms of the Washington Agreement are intended to be consistent with the terms of the Global Settlement and shall be construed accordingly. I. RECITALS: 1. Each Party warrants and represents that it engaged in arm's-length negotiations in good faith. In hereby executing the Agreements, the Parties intend to effect a good -faith settlement. 2. The State has determined that the Agreements are in the public interest. 3. The Settling Distributors deny the allegations against them and that they have any liability whatsoever to the State, its Subdivisions, and/or (a) any of the State's or Subdivisions' departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, including its Attorney General, and any person in his or her official capacity whether elected or appointed to serve any of the foregoing and any agency, person, or other entity claiming by or through any of the foregoing, (b) any public entities, public instrumentalities, public educational institutions, unincorporated districts, fire districts, irrigation districts, and other Special Districts, and (c) any person or entity acting in a parens patriae, sovereign, quasi - sovereign, private attorney general, qui tam, taxpayer, or other capacity seeking relief on behalf of or generally applicable to the general public. 4. The Parties recognize that the outcome of the Action is uncertain and a final resolution through the adversarial process likely will require protracted litigation. 5. The Parties agree to the entry of the injunctive relief terms pursuant to Exhibit P of the Global Agreement. 6. Therefore, without any admission of liability or wrongdoing by the Settling Distributors or any other Released Entities (as defined in the Global Agreement), the Parties now mutually consent to the entry of this Judgment and agree to dismissal of the claims with prejudice pursuant G-2 to the terms of the Agreements to avoid the delay, expense, inconvenience, and uncertainty of protracted litigation. NOW THEREFORE, IT IS HEREBY ORDERED, ADJUDGED AND DECREED THAT: In consideration of the mutual promises, terms, and conditions set forth in the Agreements, the adequacy of which is hereby acknowledged by all Parties, it is agreed by and between the Settling Distributors and the State, and adjudicated by the Court, as follows: 1. The foregoing Recitals are incorporated herein and constitute an express term of this Judgment. 2. The Parties have entered into a full and final settlement of all Released Claims of Releasors against the Settling Distributors (including but not limited to the State) and the Released Entities pursuant to the terms and conditions set forth in the Agreements. 3. The "Definitions" set forth in Section I of the Global Agreement are incorporated by reference into this Judgment. The State is a "Settling State" within the meaning of the Global Agreement. Unless otherwise defined herein, capitalized terms in this Judgment shall have the same meaning given to them in the Global Agreement, or, if not defined in the Global Agreement, the same meaning given to them in the Washington Agreement. 4. The Parties agree that the Court has jurisdiction over the subject matter of the Action and over the Parties with respect to the Action and this Judgment. This Judgment shall not be construed or used as a waiver of any jurisdictional defense the Settling Distributors or any other Released Entity may raise in any other proceeding. 5. The Court finds that the Agreements were entered into in good faith. 6. The Court finds that entry of this Judgment is in the public interest and reflects a negotiated settlement agreed to by the Parties. The Action is dismissed with prejudice, subject to a retention of jurisdiction by the Court as provided herein and in the Agreements. G-3 7. By this Judgment, the Agreements are hereby approved by the Court, and the Court hereby adopts their terms as its own determination of this matter and the Parties' respective rights and obligations. 8. The Court shall have authority to resolve disputes identified in Section VI.F.1 of the Global Agreement, governed by the rules and procedures of the Court. 9. The Parties have satisfied the Conditions to Effectiveness of Agreement set forth in Section II.B of the Washington Agreement as follows: a. The Enforcement Committee and the Settling Distributors executed the Enforcement Committee Agreement by June 1, 2022. b. All Litigating Subdivisions in the State of Washington and ninety percent (90%) of Non -Litigating Primary Subdivisions (calculated by population pursuant to the Global Settlement) in the State of Washington became Participating Subdivisions by September 23, 2022. 10. The Parties have satisfied the Condition to Effectiveness of Agreement set forth in Section VIII of the Global Agreement and the Release set forth in Sections XI.A, F, and G of the Global Agreement, as follows: a. The Attorney General of the State exercised the fullest extent of his or her powers to release the Settling Distributors and all other Released Entities from all Released Claims pursuant to the release attached hereto as Exhibit C (the "AG Release"). b. The Settling Distributors have determined that there is sufficient State participation and sufficient resolution of the Claims of the Litigating Subdivisions in the Settling States to proceed with the Agreements. c. The Participation Form for each Initial Participating Subdivision in the State has been delivered to the Settling Distributors. As stated in the Participation Form, and for the avoidance of doubt, nothing in the Participation Form executed by the Participating Subdivisions is intended to modify in any way the terms of the G-4 Agreements to which the Participating Subdivisions agree. As stated in the Participation Form, to the extent the executed version of the Participation Form differs from the Global Agreement in any respect, the Global Agreement controls. d. Pursuant to Section VIII.B of the Global Agreement, each Participating Subdivision in the State is dismissing with prejudice any Released Claims that it has filed against the Settling Distributors and the Released Entities. 11. Release. The Parties acknowledge that the AG Release, which is incorporated by reference herein, is an integral part of this Judgment. Pursuant to the Agreements and the AG Release and without limitation and to the maximum extent of the power of the State's Attorney General, the Settling Distributors and the other Released Entities are, as of the Effective Date, hereby released from any and all Released Claims of (a) the State and its Participating Subdivisions and any of their departments, agencies, divisions, boards, commissions, Subdivisions, districts, instrumentalities of any kind and attorneys, including the State's Attorney General, and any person in his or her official capacity whether elected or appointed to serve any of the foregoing, and any agency, person, or other entity claiming by or through any of the foregoing, (b) any public entities, public instrumentalities, public educational institutions, unincorporated districts, fire districts, irrigation districts, and other Special Districts in the State, and (c) any person or entity acting in a parens patriae, sovereign, quasi -sovereign, private attorney general, qui tam, taxpayer, or other capacity seeking relief on behalf of or generally applicable to the general public with respect to the State or any Subdivision in the State, whether or not any of them participate in the Agreements. Pursuant to the Agreements and the AG Release and to the maximum extent of the State' s power, the Settling Distributors and the other Released Entities are, as of the Effective Date, hereby released from any and all Released Claims of (1) the State, (2) all past and present executive departments, state agencies, divisions, boards, commissions and instrumentalities with the regulatory authority to enforce state and federal controlled substances acts, and (3) any of the State' s past and present executive departments, agencies, divisions, boards, commissions and instrumentalities that have the authority to bring Claims related to Covered Conduct seeking G-5 money (including abatement and/or remediation) or revocation of a pharmaceutical distribution license. For the purposes of clause (3) above, executive departments, agencies, divisions, boards, commissions, and instrumentalities are those that are under the executive authority or direct control of the State' s Governor. Further, the provisions set forth in Section XI of the Global Agreement are incorporated by reference into this Judgment as if fully set forth herein. The Parties acknowledge, and the Court finds, that those provisions are an integral part of the Agreements and this Judgment, and shall govern the rights and obligations of all participants in the settlement. Any modification of those rights and obligations may be made based only on a writing signed by all affected parties and approved by the Court. 12. Release of Unknown Claims. The State expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code, which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release that, if known by him or her, would have materially affected his or her settlement with the debtor or released party. 13. The State may hereafter discover facts other than or different from those which it knows, believes, or assumes to be true with respect to the Released Claims, but the State expressly waived and fully, finally, and forever settled, released and discharged, through the Agreements and AG Release, any and all Released Claims that may exist as of the Effective Date but which the State does not know or suspect to exist, whether through ignorance, oversight, error, negligence or through no fault whatsoever, and which, if known, would have materially affected the State' s decision to enter into the Agreements. 14. Costs and Fees. The Parties will bear their own costs and attorneys' fees except as otherwise provided in the Agreements. G-6 15. No Admission of Liability. The Settling Distributors are consenting to this Judgment solely for the purpose of effectuating the Agreements, and nothing contained herein may be taken as or construed to be an admission or concession of any violation of law, rule, or regulation, or of any other matter of fact or law, or of any liability or wrongdoing, all of which the Settling Distributors expressly deny. None of the Settling Distributors or any other Released Entity admits that it caused or contributed to any public nuisance, and none of the Settling Distributors or any other Released Entity admits any wrongdoing that was or could have been alleged by the State, its Participating Subdivisions, or any other person or entity. No part of this Judgment shall constitute evidence of any liability, fault, or wrongdoing by the Settling Distributors or any other Released Entity. The Parties acknowledge that payments made under the Agreements are not a fine, penalty, or payment in lieu thereof and are properly characterized as described in Section V.F of the Global Agreement. 16. No Waiver. This Judgment is entered based on the Agreements without adjudication of any contested issue of fact or law or finding of liability of any kind. This Judgment shall not be construed or used as a waiver of any Settling Distributor's right, or any other Released Entity's right, to defend itself from, or make any arguments in, any other regulatory, governmental, private individual, or class claims or suits relating to the subject matter or terms of this Judgment. Notwithstanding the foregoing, the State may enforce the terms of this Judgment as expressly provided in the Agreements. 17. No Private Right of Action. This Judgment is not intended for use by any third party for any purpose, including submission to any court for any purpose, except pursuant to Section VI.A of the Global Agreement. Except as expressly provided in the Agreements, no portion of the Agreements or this Judgment shall provide any rights to, or be enforceable by, any person or entity that is not a Settling State or Released Entity. The State shall allow Participating Subdivisions in the State to notify it of any perceived violations of the Agreements or this Judgment. No Settling State, including the State of Washington, may assign or otherwise convey any right to enforce any provision of the Agreements. G-7 18. Admissibility. It is the intent of the Parties that this Judgment not be admissible in other cases against the Settling Distributors or binding on the Settling Distributors in any respect other than in connection with the enforcement of this Judgment or the Agreements. For the avoidance of doubt, nothing herein shall prohibit a Settling Distributor from entering this Judgment or the Agreements into evidence in any litigation or arbitration concerning (1) a Settling Distributor's right to coverage under an insurance contract or (2) the enforcement of the releases provided for by the Agreements and this Judgment. 19. Preservation of Privilege. Nothing contained in the Agreements or this Judgment, and no act required to be performed pursuant to the Agreements or this Judgment, is intended to constitute, cause, or effect any waiver (in whole or in part) of any attorney -client privilege, work product protection, or common interest/joint defense privilege, and each Party agrees that it shall not make or cause to be made in any forum any assertion to the contrary. 20. Mutual Interpretation. The Parties agree and stipulate that the Agreements were negotiated on an arm's-length basis between parties of equal bargaining power and was drafted jointly by counsel for each Party. Accordingly, the Agreements are incorporated herein by reference and shall be mutually interpreted and not construed in favor of or against any Party, except as expressly provided for in the Agreements. 21. Retention of Jurisdiction. The Court shall retain jurisdiction of the Parties for the limited purpose of the resolution of disputes identified in Section VI.F.1 of the Global Agreement. The Court shall have jurisdiction over Participating Subdivisions in the State for the limited purposes identified in the Agreements. 22. Successors and Assigns. This Judgment is binding on each of the Settling Distributor' s successors and assigns. 23. Modification. This Judgment shall not be modified (by the Court, by any other court, or by any other means) without the consent of the State and the Settling Distributors, or as provided for in Section XIV.0 of the Global Agreement. G-8 So ORDERED this day of 2022. THE HONORABLE JUDGE MICHAEL. R. SCOTT APPROVED, AGREED TO AND PRESENTED BY: ROBERT W. FERGUSON Attorney General s/ MARTHA RODRIGUEZ LOPEZ, WSBA No. 35466 ANDREW R.W. HUGHES, WSBA No. 49515 NATHAN K. BAYS, WSBA No. 43025 BRIANH. ROWE, WSBANo. 56817 SPENCER W. COATES, WSBANo. 49683 KELSEYE. ENDRES, WSBANo. 39409 LAURA K. CLINTON, WSBA No. 29846 JONATHAN J. GUSS, WSBANo. 57663 SUSAN E. LLORENS, WSBA No. 38049 LIAE. PERNELL, WSBANo. 50208 MOTLEY RICE LLC s/ LINDA SINGER, pro hac vice ELIZABETH SMITH, pro hac vice DAVID I. ACKERMAN, pro hac vice JAMES LEDLIE, pro hac vice DON MIGLIORI, pro hac vice REBECCA FONSECA, pro hac vice MICHAEL J. QUIRK, pro hac vice ANNIE KOUBA, pro hac vice MICHAEL J. PENDELL, pro hac vice CHRISTOPHER MORIARTY, pro hac vice LISA M. SALTZBURG, pro hac vice NATALIA DEYNEKA, pro hac vice MICHAEL E. ELSNER, pro hac vice ANDREW P. ARNOLD, pro hac vice MIMI LIU, pro hac vice STOEL RIVES LLP s/ VANESSA SORIANO POWER, WSBA No. 30777 JENNA M. POLIGO, WSBA No. 54466 RACHEL C. LEE, WSBA No. 48245 S. JULIA LITTELL, WSBA No. 54106 PER RAMFJORD, pro hac vice CHRIS C. RIFER, pro hac vice WILLIAMS & CONNOLLY LLP s/ LORYN HELFMANN, pro hac vice A. JOSHUAPODOLL, pro hac vice SUZANNE SALGADO, pro hac vice NEELUM J. WADHWANI, pro hac vice PAUL E. BOEHM, pro hac vice ELEANOR J.G. WASSERMAN, pro hac vice DAVID J. PARK, pro hac vice JOSHUAD. TULLY, pro hac vice STEVEN PYSER, pro hac vice ENU A. MAINIGI, pro hac vice JENNIFER G. WICHT, pro hac vice JOSEPH S. BUSHUR, pro hac vice COLLEEN MCNAMARA, pro hac vice MATTHEW P. MOONEY, pro hac vice ASHLEY W. HARDIN, pro hac vice J. ANDREW KEYES, pro hac vice EMILY R. PISTILLI, pro hac vice BRAD MASTERS, pro hac vice G-9 ANN RITTER, pro hac vice WILLIAM F. HAWKINS, pro hac vice SARA AGUINGUA, pro hac vice DAVID BURNETT, pro hac vice Attorneys for Defendant Cardinal Health Inc. VINCENT GREENE, pro hac vice Attorneys for Plaintiff State of Washington GORDON TILDEN THOMAS & CORDELL LLP s/ FRANKLIN D. CORDELL, WSBA No. 26392 JEFFREY M. THOMAS, WSBANo. 21175 KASEY HUEBNER, WSBA No. 32890 COVINGTON & BURLING CHISTOPHER EPPICH, pro hac vice ANDREW STANNER, pro hac vice KEVIN KELLY, pro hac vice AMBER CHARLES, pro hac vice MEGHAN MONAGHAN, pro hac vice ISAAC CHAPUT, pro hac vice DANIEL EAGLES, pro hac vice MEGAN MCLAUGHLIN, pro hac vice DEVON L. MOBLEY-RITTER, pro hac vice MEGAN RODGERS, pro hac vice SONYA D. WINNER, pro hac vice CLAYTON L. BAILEY, pro hac vice JAMES A. GOOLD, pro hac vice EMILY KVESELIS, pro hac vice PAUL W. SCHMIDT, pro hac vice ALEXANDER SETZEPFANDT, pro hac vice CHRISTIAN J. PISTILLI, pro hac vice LAUREN DORRIS, pro hac vice NICHOLAS GRIEPSMA, pro hac vice ALISON DICIURCIO, pro hac vice SARA J. DENNIS, pro hac vice PHYLLIS A. JONES, pro hac vice DALE A. RICE, pro hac vice Attorneys for Defendant McKesson Corp. LANE POWELL PC s/ JOHN S. DEVLIN III, WSBANo. 23988 PILAR FRENCH, WSBANo. 33300 REED SMITH LLP G-10 ROBERT A. NICHOLAS, pro hac vice KIM M. WATTERSON, pro hac vice STEVEN BORANIAN, pro hac vice ELIZABETH BRANDON, pro hac vice Attorneys for Defendant AmerisourceBergen Drug Corporation and AmerisourceBergen Corporation G-11 DECLARATION OF SERVICE I declare that I caused a copy of the foregoing document to be electronically served using the Court's Electronic Filing System, which will serve a copy of this document upon all counsel of record. CARDINAL Vanessa S. Power, Atty vanessa.power@stoel.com Jenna Poligo, Atty jenna.poligo@stoel.com Per A. Ramfjord, Atty per.ramfjord@stoel.com Rachel C. Lee, Atty rachel.lee@stoel.com Christopher C. Rifer, Atty christopher.rifer@stoel.com Loryn Helfmann, Atty lhelfmann@wc.com A. Joshua Podoll, Atty apodoll@wc.com Suzanne Salgado, Atty ssalgado@wc.com Neelum J. Wadhwani, Atty nwadhwani@wc.com Paul E. Boehm, Atty pboehm@wc.com Eleanor J. G. Wasserman, Atty ewasserman@wc.com David J. Park, Atty dpark@wc.com Joshua D. Tully, Atty @lly@wccom Steven Pyser, Atty spyser@wccom Enu A. Mainigi, Atty emainigi@wc.com Jennifer G. Wicht, Atty jwicht@wc.com Joseph S. Bushur, Atty jbushur@wc.com Colleen McNamara, Atty cmcnamara@wc.com Ashley W. Hardin, Atty ahardin@wc.com J. Andrew Keyes, Atty akeyes@wc.com Emily R. Pistilli, Atty epistilli@wc.com William F. Hawkins, Atty whawkins@wc.com Stoel Docketing docketclerk@stoel.com Leslie Lomax, Legal Assistant leslie.lomax@stoel.com WA Action cardinalwashingtonaction@wc.com MCKESSON Franklin D. Cordell fcordell@gordontilden.com Jeffrey M. Thomas jthomas@gordontilden.com Kasey Huebner khuebner@gordontilden.com Christopher Eppich, Atty ceppich@cov.com Andrew Stanner, Atty astanner@cov.com Kevin Kelly, Atty kkelly@cov.com Amber Charles, Atty acharles@cov.com Meghan Monaghan, Atty mmonaghan@cov.com Isaac Chaput, Atty ichaput@cov.com Daniel Eagles, Atty deagles@cov.com Megan McLaughlin, Atty mmclaughlin@cov.com Devon L. Mobley -Ritter, Atty dmobleyritter@cov.com Megan Rodgers, Atty mrodgers@cov.com Sonya D. Winner, Atty swinner@cov.com Clayton L. Bailey, Atty cbailey@cov.com G-12 James A. Goold, Atty jgoold@cov.com Emily Kveselis, Atty ekveselis@cov.com Paul W. Schmidt, Atty pschmidt@cov.com Alexander Setzepfandt, Atty asetzepfandt@cov.com Christian J. Pistilli, Atty cpistilli@cov.com Lauren Dorris, Atty ldorris@cov.com Nicholas Griepsma, Atty ngriepsma@cov.com Alison DiCiurcio, Atty adiciurcio@cov.com Sara J. Dennis, Atty sdennis@cov.com Phyllis A. Jones, Atty pajones@cov.com Dale A. Rice, Atty drice@cov.com Nicole Antoine, Atty nantoine@cov.com Timothy Hester, Atty thester@cov.com Gregory L. Halperin, Atty ghalperin@cov.com Stephen Petkis, Atty spetkis@cov.com Alice Phillips Atty aphillips@cov.com Ellen Evans, Legal Assistant eevans@gordontilden.com Jacqueline Lucien Legal Assistant jlucien@gordontilden.com Courtney Caryl Garth, Paralegal ccaryl@gordontilden.com Electronic Mailing Inbox mckessonwa@cov.com AMERISOURCEBERGEN Pilar French, Atty frenchp@lanepowell.com John S. Devlin III, Atty devlinj@lanepowell.com Katie Bass, Atty bassk@lanepowell.com Elizabeth Brandon, Atty ebrandon@reedsmith.com Sarah Johansen, Atty sjohansen@reedsmith.com Rachel B. Weil, Atty rweil@reedsmith.com Steven Boranian, Atty sboranian@reedsmith.com Adam D. Brownrout, Atty abrownrout@reedsmith.com Nicole S. Soussan, Atty nsoussan@reedsmith.com Brian T. Himmel, Atty bhimmel@reedsmith.com Shannon E. McClure, Atty smcclure@reedsmith.com Michael J. Salimbene, Atty msalimbene@reedsmith.com Robert A. Nicholas, Atty rnicholas@reedsmith.com Thomas H. Suddath, Jr., Atty tsuddath@reedsmith.com Thomas J. McGarrigle, Atty tmcgarrigle@reedsmith.com Courtland C. Chillingworth, Atty cchillingworth@reedsmith.com Christina M. Vitale, Atty cvitale@reedsmith.com Brian T. Kiolbasa, Atty kiolbasab@lanepowell.com Abigail M. Pierce, Atty abigail.pierce@reedsmith.com Joseph Mahady, Atty jmahady@reedsmith.com Jeffrey R. Melton, Atty jmelton@reedsmith.com Anne E. Rollins, Atty arollins@reedsmith.com Eric J. Buhr, Atty ebuhr@reedsmith.com Brent R. Gary, Atty bgary@reedsmith.com Kim M. Watterson, Atty KWatterson@reedsmith.com Jeffrey M. Weimer, Atty JWeimer@reedsmith.com E-Mailbox Docketing-SEA@lanepowell.com E-Mailbox Docketing-PDX@lanepowell.com E-Mailbox ABDCWA@LanePowell.com G-13 DATED day of 2022, at Seattle, Washington. s/ ANDREW R.W. HUGHES, WSBA No. 49515 G-14 Exhibit H Distributor Global Settlement Agreement [See attachment.] CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 19, 2022 Department Director Approval: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: 2022 Recreation Program Update GOVERNING LEGISLATION: N/A PREVIOUS COUNCIL ACTION TAKEN: BACKGROUND: Spokane Valley Parks and Recreation prides itself on its diverse set of programs and events throughout the year. In particular, the summer season boasts programs and events to create affordable activities for youth and adults. After two years of modified programs due to the Covid-19 pandemic, the recreation department is back up and running with its well established programs and a few new programs and/or events. Summer seasonal staff are hired and trained to plan and lead these programs and/or events. The recreation division also works closely with sponsors and partnerships to make these programs successful. Summer 2022 is off to a great start with programs filled to capacity and events prepared to take place throughout the season. Staff will provide Council with an update on 2022 recreation program offerings and participation. OPTIONS: Discussion RECOMMENDED ACTION OR MOTION: Discussion BUDGET/FINANCIAL IMPACTS: Recreation programs are designed to cover expenses through revenues collected. STAFF CONTACT: Kendall May, Recreation Coordinator ATTACHMENTS: PowerPoint Presentation Spokatae Valley Recreatim Siis5ka 2 Recreatiovx Prograwis & Evevlts • Adult Dance Lessons • Summer er Park & Meal Program • Park Program Kick-off Events • Storytivte in the Park • Summer Day Camp • Healthy Kids Day • Outdoor Yoga • Game On! Event • Outdoor Movies in the Park • Paws in the Pool • Outdoor Volleyball at Browns Park Field Usage — Spokane Indians Youth l3aseball City of Spokane Valley Parks & Recreation Guide 2022 Summer Day Camp registration begins April 4th! Register online at www.spokanevalley.org/recreation or call 509-720-5200 Spokane .0jNallc. Adult Davxce Lessovls • All year round • Taught by experienced long -tiwte instructor Melissa Finke — Spokane Dance Class • Current Sessions: • Beginner Swing • Intermediate Swing • West Coast Swing • Wedding Prep — one-time occasional classes Swiwier Park & Meal Program CITY OF SPOKANE VALLEY PARKS AND RECREATION FREE MONDAY - THURSDAY JUNE 20 - AUGUST 11 FREE meals East Vale] FREE on -site activities provided by Spokane Valley Parks & Recreation provided from 9:O0am- 12:O0pm Spokane 1Valley Edgecliff Park Valley Mission Park errace View Park 800 5 Park Rd 11123 E Mission 13525 E 24th Ave No Breakfast Breakfast: 9:00 - 9:30 AM Breakfast: 9:15 - 9:45 AM Lunch: 11:00-11:30AM Lunch: 11:15-11:45AM Lunch: 11:30AM-12:OOPM For more info: ;09-720-5200 pokanevalley.org/recreation Swiwier Park & Meal Prograwi Pavtvters14ips Li Sal) SCLD Park Prograw. Kick -Off Evevtts • Tuesday — Wednesday — Thursday the first two weeks of the program • SCUD provides performer • First week: Zaniac • Second Week: Eric Herman and the Puppy Dogs • ets the word out about the wteal program and the park program early • Free entertainment Storjtiwie in. the park • SCLD provides staff to lead 30 minutes of stories, songs and fingerplays to explore the concept of literacy and STEAM (scievlce) technology, engineering, art and wrath) • Located at all 3 park program locations twice during the summer season. • Free activity SCLD Sw'wier lajCawp • June 20 — August 26 (10 weeks) • Ages 6 — 11 • 7 trained staff • Weekly themes • Weekly registration • Field trips to exciting locations & local parks • Scholarships available Spokane Valley Summer Vag Camp • Week P1 • Let the Games Begin • June 20 - June 24 Monday MORNING .m 40 is.Bus Design Team FLAGS Tuesday MORNING e�ampeya�sanr leaves @10 aro T. UaEey MssionPar* wednesday MORNING e�:IR M auz leave$@IQ am Thursday MORNING ®raoeye.1sam m we R0.FJ RRCE5 Friday MORNING I...,,..,..repo Col a te.-<, , _, Scavenger• _ J Hunt in ca a i.iEE @ARIL LUNCH LUNCH LUNCH LUNCH LUNCH EOPSICLE BUILDING COMPETITION' 14.4 Vapea Mission Dark Rcr�ati�ro;opIlnPLacE Attitude Trampoline park pReturn to C•nt•rPlace ®3;30 B((�LUI DODGEBALL < HP�vIOEQI ;m lq, MBVIE.nEBCILE9 PICKUP@ CENTERPLACE ��jj Ca'-rEgIACE CPuiEMCLACC PICKUP [0 CENrER PtacP PICKUP L@ EENTERP E • BHA -last and lunch provided Monday- Ihursday. B ring Ionian] home on friday jwrzy • Please remember le ALWAYS bring: 2 healthy snacks, ,towel, water bottle and oanndroe shoes. • Early drop eft lane earlier than 7:15am.tatepick-up is noIaterthen 5:15pm. • Parks&Recreation front office number15091720-5200.0ayCampphonenumber-(509)481-1508 Su'viwier Day Camp Couvlselor-Ivx-Traivlivlg Program • Ages 13 -16 • Cro through application, interview, and traivting • Shadow for z+ weeks of Suwtwter Day Cawtp or the Park Program • Fills the gap between aging out of camp and becoming a camp counselor Hea(thfd Ki'cis Day with YMCA • Friday, June 17, by YMCA • Parks and Recreation had a booth designed by the 2022 Recreation Interns • Created information about the importance of Parks and Recreation in relation to health benefits Outdoor Yoga ivy the Park —NEW! • Tuesdays — July 12 — August q • Mirabeau Point Park 8 — gam • Optional activities after class ZZ Featuring Energy Medicine Yoga NEW 6.,0(061_�o�. Gentle - All Levels Optional activities following the class Register online at spokanevalley.org/outdooryoga or call 509-720-5200 awe Ova! Evevxt • Friday, July 1, on CenterPlace West Lawn Plaza • Celebrating July being Parks and Recreation Month • Build -A -Park Activity • Spokane Valley Parks Mix and Match • Outdoor Movie — The Lorax • Free Event Z2. Did you know July is Parks and Recreation Month? Join us to celebrate! Game On! & Outdoor Movie: The Lorax Walk through the Spokane Valley Farmers Market in the CenterPlace parking lot, grab a snack and come join us for some fun, free activities to celebrate July being parks and recreation month! This fun night will end with an outdoor movie; make sure to bring a lawn chair or blanket! Friday, July lst followed by an outdoor movie on the CenterPlace West Lawn Plaz agE Outdoor Movies ivy the Park • Saturday, July 23 • Friday, August 5 — • Free activities and movie begins • Move sponsors: — Luca Sing 2 crafts before TDSFIBER.COM WSECU Spokane Valley Outdoor Movies FREE! LUCA playing Saturday, July 23rd @ Mirabeau Point Park Thanks for our movie sponsor: SING 2 playing Friday, August 5th at Mirabeau Point Park Thanks to our movie sponsor: Movies begin at sunset. Free crafts and activities will be available before the movie begins! Paws ivy the Pool • SutAday, August 28 • $5 per dog admission • Small and large dog sessions • Vet from PetVet available beforehand to check vaccines and help as needed Outdoor Volleyball at l3rowvts Park • Managed by Evergreen Regional Volleyball Association. • Tournaments, Events and Leagues throughout the Suwtwter season • Kokua Volleyball Club usage ZS I rr. ,, BROWNS PARK SAND S VOLLEYBALL FACILITY SUMMER 2022 3101 S Pines Road, Spokane Valley, WA99216 Sand volleyball Leagues and Tournaments are Jointly offered by Spokane Valley Parks and Recreation .od the Evergreen Region Volleyball Association (EWVA). ERVA is a Region of USA Volleyball, whose primary function is to lead, serve, and develop the sport of volleyball for all ages, genders, and abilities through high quality education and competition. providing a lifetimeof opportunities for all to partidpate in a safe and positive environment. As the programming organization for Browns Park, ERVA Installs and maintains the pro -quality equipment. schedules and hosts events, and promotes the parkas a community gathering place. A USA volleyball membership is required for all players vsishing to participate in ERVA outdoor volleyball events. For the most updated calendar of events or to register for an event, please visit their website: Interested in renting the courts For your neat workplace, church, or serial event? Far more rare 'matins visit TOURNAMENTS &EVENTS Events will take place nearly every weekend from allay through September and include ankle range of opportunities for allege groups and skim I levels. While some events are bested by ERVA and ethers are managed by outside rndveluats er nrgsndatrens, ALL volleyball activities are coordinated through ERVA. Individual event information, Inducting registration instructions and entry tees, will be listed on the corresponding event's page on the ERVA online calendar. For more Information or to register, vl ear the evert on their calendar! LEAGUES ERVA hosts various leagues throughout the season for bath juniors and Adults in a variety of forma b.. The leagues Pinup quickly, so register early! WVArunlor Beach League Lk!hsJudo' leach Leag.ie 1elccare Urns anti girls o' al ab:l ,es to paltlepa:e n a Vince-veekl: euhtfro mire, ,rrr hoar,- game and hulld d.e.Ir VII oil- f 412414 Doubles League b U1E-U13 Doubles League Learn more here .i .andirague MA Adult Beads League This is the premier adult beach vorleyball league is t Ise area, offering mukiple divisions and excellent cormeetltlon. all at a fantastic facility. Men's fR Women, Doubles League.L -Wear n,rnbers allow Coed Doubles League: EivitI =r,-. rl -t-r 1:=r=;l nvr •Lower:C rrr ht:. Fr- I.1 d, lanind : r ini r, r:,rr ,r: e on the MIT Learn more here: h-rosllrsww-evercrez-negren. argfaduttsandleagues 1-6 Field Usage • Spokane Indians Youth Baseball • SoccerTots • Skyhawks CITY OF SPOKANE VALLEY Spokane .Valley YOUTH SPORTS Skyhawks SKIL-BASED PROGRAMS SUMMER 2022 MINI HAWK` CAMP (SOCCER. BASEBALL & BASKETBALL) FLAG FOOTBALL CAMP iff 'pavan-i,oap,m, 4-7 4-7 5145 re�aev�ewvar Sias irn�w\ew PaM turl r Sr<s 151e3 . Ao.n. . r, »,on Park Te.rrce,ew ,r 512, reira�v�.faik CHEF RLEADING CAMP v nr+ TENNIS CAMP a, Cr. rroi v,a no uit y4ia. Oa prn fUL SPACE IS LIMITED! ut REGISTERTODAYB Spokane Indians Youth Baseball and SCttbaJ1 has exciting playercoach and umpire opportunities coming this summer to your local parks_ Visit SIl'$.org for More details. Prograw avid Evevxt Preparatiovx • Evevtt Planning/Prep • Program and Evevtt Promotion • Program Registration • Sponsorship Outreach • Scholarships Fall & Wivtter Preview • Adult Dance continues • Valleyfest • Breakfast with Santa • Winter Day Camp And more! Memorandum To: Spokane Mayor Nadine Woodward Council President, Breean Beggs Councilmembers: Jonathan Bingle Lori Kinnear Karen Stratton Betsy Wilkerson Zack Zappone County Commission Chair Mary Kuney Commissioners: Al French Josh Kerns From: Zeke Smith, President, Empire Health Foundation Katy Bruya, Chief HR Officer, Washington Trust Bank, Hello for Good representative Fawn Schott, President & CEO, Volunteers of America On behalf of all work session participants Date: June 27, 2022 Re: Recommendations for immediate priority homeless services funding Spokane Valley Mayor Pam Haley Councilmembers: Tim Hattenburg Rod Higgins Laura Padden Brandi Peetz Ben Wick Arne Woodard I. Introduction We share an urgency to reduce homelessness in our region. People are dying on our streets. The imminent summer heat increases the likelihood of more deaths. We agree we must do whatever it takes to support people off the streets, out of camps, into safe, stable places to live. We believe we can do it well and fast. We have a responsibility to do just that. We know we can be successful when everybody involved comes together around what works. In this spirit of collaboration, we offer these recommendations for using existing American Rescue Plan Act (ARPA) and new Department of Commerce-WSDOT Rights of Way resources to address homelessness in our communities. We are not telling you how to do your job. We offer our collective, professional advice on taking action to use these once -in -a -generation resources to make the consequential, visible impacts on homelessness our entire region wants and deserves. There are currently 523 people living at Camp Hope, and the population continues to grow. They are telling us through their actions they want something better, more sustainable, and safer than staying on the streets. Our recommendations are delivered with urgency for these 1 523 people and our best expertise about what's needed to meet their multiple needs so as many as possible can move to stable housing. II. How we got here These spending recommendations result from three months of collaboration with Spokane experts that know first-hand what's working and what's not. Crossing function, sector and jurisdiction — housing and health providers, representatives of Hello for Good, local government experts and private philanthropy — we believe these ARPA and State dollars present a unique chance to improve our systems to address homelessness quickly and effectively. Our recommendations are a product of doing this the Spokane way: people sharing facts, generating ideas, using their professional expertise, and engaging in honest dialogue about what's necessary for tangible change. Throughout this effort we talked. We listened to one another. We didn't argue. We didn't compete. We didn't protect turf. We used a respectful process to get to consensus about using these once -in -a -generation funds most effectively. This type of earnest collaboration is necessary to make the kind of change we all want to see. III. Recommendations Recommendations focus on the fundamentals our homeless neighbors need to transition to safe housing. They are designed to strengthen and stabilize our existing collection of services. They are built on three essential criteria: ■ Alleviating immediate danger. ■ Fulfilling measurable outcomes. ■ Ensuring people — unhoused and housed — can see and experience the change and improvement. We insist that spending address multiple needs and strengthen our continuum of services. We also recognize these one-time funds are best used for one-time or catalytic investments and minimize the effect of creating a funding cliff in the future. The cities' and county's ARPA and the Dept. Of Commerce's Rights of Way funding represent a unique opportunity to make a demonstrable difference. This moment and the urgency represent a mandate for action. We take two central lessons from others' success: San Diego's intentional, consistent integration of homeless resources and expertise from service providers, local government and business; and Houston's ability to move 25,000 off the street and into homes: "Housing people is a slow, extremely complicated, incremental process that requires all hands on deck, all the time. Everyone has to come together around the table." We set a table of seasoned, committed housing and health providers, business people, and government experts. We offer these spending recommendations to you, the region's elected representatives, in the spirit of building an even bigger table to make this work possible. 2 We are recommending an integrated comprehensive approach to using these two funding sources: ■ Prioritizing the current needs of people on the street and living in Camp Hope by meeting them where they are. ■ Investing in a continuum of safety, mental health, addiction, and housing services. ■ Fueling both transitional and permanent housing. ■ Arming outreach, case management and service professionals with timely, accurate data to connect people to the services and housing they need. The following table contains recommendations for spending $65 million of the more than $208 million local governments in Spokane County have available in ARPA funding. Additional detail is contained in section V of this document (page 5). ARPA SPENDING RECOMMENDATIONS Category of Urgent Need Estimated Cost Mitigation $ 4,500,000 Outreach & Direct Services $ 12,900,000 Behavioral Health $ 7,000,000 Permanent units $ 35,790,000 Improved Data System $ 4,400,000 TOTAL ARPA $ 64,590,000 For the Department of Commerce-WSDOT rights of way initiative funding — projected to be $24.8 million in Spokane — the table below represents consensus recommendations to address the needs of the 523 people living in tents at Camp Hope: WASHINGTON DEPARTMENTS OF COMMERCE AND TRANSPORTATION Property Lease & Site Prep $ 3,000,000 Purchase & assembly of pallet homes $ 4,500,000 Property management and operations $ 3,000,000 Health services - behavioral & primary care $ 6,000,000 Case management $ 3,000,000 Outreach $ 1,200,000 Day services & immediate needs $ 3,000,000 Total ROW Initiative $ 23,700,000 3 IV. Fueling lasting change This unique infusion of funds will be wasted if it also doesn't improve how we do business going forward. We believe Spokane can create a new way of working together that ensures lasting impact in how this community addresses the needs of our homeless neighbors and the vitality of our region. We suggest doing that requires: ■ Ensuring mutual accountability for results with a multi -sector independent body providing insight, planning, and guidance on ongoing implementation to create a true system of care for the homeless community in Spokane County. ■ Exploring a coordinated inter -governmental mechanism to implement common homelessness strategy and shared funds across Spokane County. ■ Investing in communication to keep residents informed and share visible progress. ■ Ensuring alignment of these one-time funds with long-term investments to address homelessness in the region — starting with revisiting the required Continuum of Care 5- year plan and the Hello for Good report. ■ Additional collaborative discussions and planning to systematically address: o Behavioral health workforce and access challenges; o Investments in Black, Indigenous, and community of color -led services, supports, and organizations given the disproportionate impact homelessness has on these communities; o Public safety and law enforcement approaches in the homeless community; and, o Long-term transitional and permanent housing policy and development. 4 V. Detailed ARPA spending recommendations DETAIL OF ALL ARPA SPENDING RECOMMENDATIONS CATEGORIES & ELEMENTS COSTS ASSUMPTIONS Outreach and direct services to stabilize people and fuel faster placements into housing Add skilled outreach and case management workers $ 9,000,000 Cost to add 30 front-line workers for 3 years Recruitment, training, cross -agency coordination $ 250,000 Landlord mitigation fund $ 3,000,000 Ready to rent program $ 500,000 Tablets and other field tools $ 150,000 Subtotal outreach and direct services $ 12,900,000 Accurate, timely, accountable, and useful data Assess current conditions; run a procurement $ 150,000 Acquire new homeless data system (+improve CMIS) $ 2,500,000 Based on comparables from other jurisdictions Implementation, training, contract amendments $ 250,000 Add 2 new city admin employees $ 750,000 Annual maintenance $ 750,000 Subtotal Data Systems Investments $ 4,400,000 Mental Health and Substance Use Disorder Treatment Services Maximize use of existing facilities & add new capacity $ 7,000,000 Behavioral health experts to advise on elements Subtotal Behavioral Health $ 7,000,000 Development of Permanent Units Capital investments for stalled developments $ 35,790,000 Gap $ for 386 units w/in the existing 1000-u pipeline Subtotal Permanent Units $ 35,790,000 Mitigate impacts of street homelessness Stainless steel toilets $ 3,000,000 Cost of 5 stainless steel toilet systems Land lease $ 100,000 Garbage cans & regular pick up $ 150,000 Drinking fountains and water refill stations $ 250,000 Safe parking $ 1,000,000 Security, program admin, staffing contract Subtotal Mitigation $ 4,500,000 ARPA TOTAL RECOMMENDED INVESTMENTS $ 64,590,000 5 List of individuals who participated in the discussions and development of these recommendations Name Organization Chrystal Alderman Frontier Behavorial Health Arrielle Anderson Spokane Housing Authority Barry Barfield Spokane Homeless Coalition Shannon Boniface Catholic Charities Eastern Washington Dale Briese Continuum of Care Board, Lived Experience Katy Bruya Hello for Good, Washington Trust Bank Hallie Burchinal Compassionate Addiction Treatment Bridgette Cannon Volunteers of America Jenn Cerecedes Housing and Human Services Division, City of Spokane Tim Crowley Housing & Community Development Division, Spokane County Brian Davenport Eastern Washington University Eric Finch Housing and Human Services Division, City of Spokane Julie Garcia Jewels Helping Hands Breianna Gorder Consistent Care Julius Hendrickson Spokane County United Way Tom Hormel Housing and Community Development Advisory Committee Adriane Leithauser Community, Housing & Human Services Board Robert Lippman Spokane Homeless Coalition Mary Logan Spokane Municipal Court, City of Spokane Bob Lutz State Board of Health Kim McCollim HUD Jamie McIntyre Spokane City Fire Department Jonathan Mallahan Catholic Charities Eastern Washington Melissa Morrison Better Health Together Chris Patterson Hello for Good Bob Peeler SNAP Daniel Ramos Housing and Human Services Division, City of Spokane Jeri Rathbun Community, Housing & Human Services Board Aaron Riley SNAP Eric Robison Housing & Homeless Coordinator, Spokane Valley David Sackman Catholic Charities Eastern Washington Fawn Schott Volunteers of America Alex Scott WA State Department of Commerce Ben Small Innovia, Launch NW Morgan Smith Spokane County United Way Gage Spicer Volunteers of America Ben Stuckart Continuum of Care Board, SLIHC Jeff Thomas Frontier Behavioral Health Meagan Vincello Community, Housing & Human Services, City of Spokane 6 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 19, 2022 Check all that apply: ❑ consent ❑ old business ❑ information ® admin. report AGENDA ITEM TITLE: Fire Department Report GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: Department Director Approval: ❑ new business ❑ public hearing ❑ pending legislation ❑ executive session BACKGROUND: Fire Chief Soto will give a report on his department's monthly activities. OPTIONS: Discussion/information RECOMMENDED ACTION OR MOTION: Discussion/information BUDGET/FINANCIAL IMPACTS: n/a STAFF CONTACT: ATTACHMENTS: PowerPoint, along with additional explanatory information (GCB) i, inp Jtkal7 Conservation Are Station Dishman Hills Conservation Area - Glenrose Unit Station Station Spokane Valley Station Antoine Peak Conservation Area Sta:ian 85 Station-4 Station 3 Saliese Uplands Conservation Area N€WMAN LAKE Liberty 1 Lake Liberty Lake Regional Park Spokane Valley FD Incident & Response Numbers for June and YTD - 2022 Incidents Explorer 2022 Year -to -Date Incidents Fire Suppression 8_66% Wildland Fire 0.12% 1 Haz Mat 0.91% EMS 83.84% Hazard Class % ► Top Nature Types Total Incidents 100 50 63585747434141 11.1 1 2$ 0 CC -CALL 32-UNKNOWN CANCELLED Incident Nature 11 Top Nature Types pr'r�r imck Beacon Hill ranservarion ,area _ PASADENA POkane Rive amen h Lira, Are ashram Hills Conservation Area - Gienrose Unit 0 Station .10 RAN Ur Spokane County, WA State Parks GIS, Esri, HERE, Garmin, SafeGraph, ',eoTechnoloclies, Inc, METI/NASA, USES, B St; 1.1Or, 11) All Incident Locations HazardClass EMS Fire Suppression Tech Rescue Haz Mat Other Wildland Fire Rescue Task Force Other Number of features 133 100 ► Map Data Table 1,640 Total Incidents by Month Total Inciden 1 2k 1k 0 339 Jan Mar May Jul Month Incidents by Month Total Incidents by Jurisdiction v 20 - ° City City City Spok Spoka H of of of ane ne Libert Millw Spoka Count y Lake ood ne y Valle Insid ► Incidents by Jurisdiction ► Incidents for Spokane Valley —June 2022 Responses Explorer *A response is counted when an apparatus activates the responding button and an en route time is recorded tecn rescue 4.38% Fire Suppression 1 1.08% Wildland Fire 0.13% 1 Haz Mat 1.39% EMS 82.1 5% Hazard Class % ► Average Travel Time (Seconds) 1 400 600 200 800 0 k 282.9 Average Travel Time ► 1,507 Beacon Hill Conservatran Arc PASADENA PARK kane River Station a n Hr atural Are Dishman Hills Conservation Area - Gtenrrese Unit CHESTER gdfail 84 4 2 �5 TR€NTWat3D 5 5 Indiana A 3 Responses ServiceAreaResponse Yes No N/A <all other values Number of features >81 60 40 20 �2 Spokane County, WA State Parks GIS, Esri, HERE, Garmin, SafeGraph, GeoTechnologies, Inc, METI/NASi\, USGS, Total Responses by Month 0 Q- 2k C 10 315 Jan Apr Jul Month 1 Responses by Month % On Scene Responses Occurred Within No 42.93% • Yes 57.07% Total Res ■ 0 f0 ei 0 H 1 Responses for Spokane Valley —June 2022 Top 5 Responses for June 2022 1. 116 — 17 Falls 2. 88 — 32 Unknown 3. 63 — 25 Psych 4. 58 — 26 Sick 5. 47 — 6 Breathing Problem Other 1.65% Tech Rescue 4.82% Fire Suppression 8.66% Wildland Fire 0.12% Haz Mat 0.91 % EMS 83.84% Incidents Explorer 2022 Year -to -Date Incidents Suppression 7.64% null 0.02% Wildland Fire 0.21% 1 Haz Mat 0.8% Rescue Task Force 0.01 % EMS 84.07% Hazard Class % ► Top Nature Types Total Incidents 1 600 46743 400 200 0 19 525 1I96190 1 11. CC -CALL 32-UNKNOWN CANCELLED Incident Nature Beacon Hitt ;nnservaton n, IRAN M6►uENw PARK LlisnnrarHills Censervatlon Area - Glenrose Unit All Incident Locations HazardClass EMS Fire Suppression Tech Rescue Haz Mat Other Wildland Fire Rescue Task Force Other Number of features 782 600 Uns -Spokane County, WA State ParkG1S,4Esri, HERE, Garmin, SafeGraph, GeoTechnologies, Inc, METI/NASA, USGS, B Top Nature Types ► Map Data Table 9,651 Total Incidents by Month otal Inciden 2k 1k 0 339 Jan Mar May Jul Month Incidents by Month Total Incidents by Jurisdiction c 194 Tto,, City City Spry of of kan Libe Spok e rty ane Cou Lake Va l l my Incidents by Jurisdiction Year -to -Date Responses — 2022 I ecn Rescue 5.97% Fire Suppression 10.51% Wildland Fire0.19% 41 Responses Explorer *A response is counted when an apparatus activates the responding button and an en route time is recorded Responses ServiceAreaResponse Yes No N/A calf other va9ues> Haz Mat 1 .0b% Rescue Task Force 0.04% PF� EMS 81 .42% U I Hazard Class % Average Turnout Time (Seconds) 400 600 200 800 0 76.6 1k Average Turnout Time 9,083 AN t x=ace Hdh 3onservation Area fs_ Sta [ion ishman Hi aturaJ Am Dishman Hills Conservalfon Area - Glenrose unit PASAL ENA PARK nPO ,3e River. fi reset n .410 Total Responses by Month 0 0- 2k k ce 10 iiinn 81 a' 3 315 Jan Apr Jul Month Responses by Month ► flCl� •okaneJley Fi 1�29 g3 StaW I Tg Number of features > 487 350 250 100 �2 % On Scene Responses Occurred Within No 37.39% • Yes 62.61% Year -to -Date Incidents — 2022 Top 5 Responses for Year -to -Date 2022 1. 838 — 17 Falls 2. 469 — 32 Unknown 3. 391— 26 Sick 4. 375 — 25 Psych 5. 319 — 6 Breathing Problem Other 1.99% Tech Rescue Fire 5.26% Suppression 7.64% null 0.02% Wildland Fire 0.21 % Haz Mat 0.8% Rescue Task Force 0.01 % EMS 84.07% Significant Events • Battle of Badges at Grocery Outlet raising money and awareness for local hunger in our community. o SVFD Team 1 $4,624.74 o SVFD Team 2 $3,681.30 o SPD only 1 Team $2,195.00 • Water rescue calls are increasing due to the nature of the time of year. We can't stress enough the need for our community to wear life jackets. The river is unpredictable, and the currents and temperatures can be dangerous. It may be warm outside, but the river is fed from the ground and aquafer keeping it cold. Hypothermia is a real threat. • Motorcycle collisions with serious injury are happening weekly. • !AFC Heart Safe Community Award Winner Significant Incidents: • 3 Structure fires — garage, commercial, and house o June 8 — crews responded to a late -night house fire in the 13400 block of E 22nd Avenue. The fire was in the basement of the home but started in the upstairs kitchen where plastic cooking wear had been placed in the dishwasher for cleaning. The plastic wear melted from the heat and through the bottom of the dishwasher into the basement. The home was safely evacuated of all occupants however because of the damage and smoke, the home was inhabitable. Red Cross provided temporary housing. o June 9 — detached garage fire started by a BBQ. The report came in as exploding propane tanks and spray cans near the 7200 block of E Carlisle. Crews arrived to find a fully involved 10x20 detached garage fire. Crews quickly put out the fire but the structure and contents were a total loss. o June 28 — Crews responded to a commercial fire in the early morning around 1 a.m. near the 6500 block of E Sprague Avenue. A fire was started outside of a business. Crews were able to extinguish the fire and damage to the structure was minimal. The fire was started by a transient in the area, however, the intent of the fire is unknown but is not suspected as arson. • Motorcycle Collision — June 3, 2022, 5:20 p.m. Spokane Valley Fire Department and Spokane Valley Deputies and Traffic Unit Investigators responded to the scene of a fatal motorcycle crash in the 12900 block of E. Mansfield Avenue in Spokane Valley. A caller stated a male motorcycle rider appeared unconscious and not breathing. Unfortunately, the adult male rider was pronounced deceased at the scene. Spokane Valley Traffic Unit Technicians were called to the scene, as were SIRT Volunteers to assist with traffic control. Initial Information from witnesses indicates the motorcycle was traveling east on Mansfield at a high rate of speed and passed a car traveling in the same direction. It continued east and struck a Dodge truck, driven by an adult male, that was turning onto Mansfield. The driver of the truck was not injured and is cooperating with Investigators. • Vehicle vs Motorcycle Collision - June 7, 2022, 2:30 p.m. Spokane Valley Fire Department and Spokane Valley Traffic Unit Investigators responded to the scene of a vehicle vs. motorcycle collision on N. Mullan Road at E Valleyway in Spokane Valley. The injured rider was transported to the hospital for treatment and further evaluation. Deputies arrived and began the investigation as Spokane Valley Fire personnel provided medical treatment to the injured rider, who was transported to the hospital for additional care/evaluation. His injuries did not appear to be life -threatening. The driver of the van remained at the scene and was not injured. • Water Rescue - On June 11, 2022, at approximately 4:40 pm., Spokane County Sheriff's Deputies, Spokane Valley Deputies, and Spokane Valley Fire Department crews responded to the report of a possible drowning in the Spokane River near Boulder Beach. Callers reported a 20-year-old male was in the river, appeared to be having difficulties, and was being swept down the river by the strong current. Deputies and fire personnel arrived at the location and quickly requested additional resources to assist in the search and rescue operation, but unfortunately, he was not located. • Child locked in vehicle - June 20, 18:54, near E Broadway Avenue and N Eagle street SVFD crews were called to help assist with a child locked inside a vehicle. This time of year, with warming temperatures this is always of concern as time matters. Crews arrived to find a 1.5- year-old child inside a vehicle parked in a driveway. The child was not in distress. Valley Engine 3 (VE3) Firefighters were able to quickly gain access and remove the child from the car. The child was evaluated and did not appear harmed or at risk of heat related effects. About SVFD The Spokane Valley Fire Department (SVFD) serves a population of 136,000+ over 75-square miles, including the cities of Spokane Valley, Liberty Lake and Millwood, as well as surrounding unincorporated areas. In 2021, our cross -trained Firefighter/EMTs and Firefighter/Paramedics responded to more than 22,400 emergency calls. Established in 1940, SVFD is committed to pursuing excellence and is distinguished as an accredited agency by the Commission on Fire Accreditation International (CFAI), and by SVFD's Class 2 fire insurance rating from the Washington Survey and Rating Bureau. Connect with SVFD at: spokanevallevfire.com. For department news, safety information, and timely updates, find us on Facebook, Twitter, Instagram, Linkedln, and YouTube. Additional Explanatory Information of SVFD PPT Slides: 1. Slide 2 — These are the total INCIDENTS that we were dispatched to by SREC in the City of Spokane Valley for the reporting month. a. The Blue circles indicate EMS calls (the rest of the colors are explained in the legend). b. The numbers located in the circles are the amount of times we were dispatched to the same address/location (the higher the number the more calls). c. The reddish, yellowish, and blueish coloration in the background is the heat map. The areas with yellow are the busiest areas we are dispatched to. 2. Slide 3 — These are the total RESPONSES to 911 calls in the City of Spokane Valley for the reporting month. a. The Green colored circles indicate responses to calls within the primary unit's response area. b. The Salmon colored circles indicate responses to calls outside of the primary unit's response area (occurs for any call requiring additional units from other SVFD Fire Station's, i.e. Fires, Water Rescues, or when there is more than one EMS call occurring in a Fire Station's first run area, etc.). c. The numbers located in the circles are the amount of times we responded to the same address/location (the higher the number the more calls). d. The Light Brownish background color indicates the City of Spokane Valley response area. 3. Slide 5 — These are the total INCIDENTS to 911 calls in the City of Spokane Valley YEAR-TO-DATE. a. The Blue circles indicate EMS calls (the rest of the colors are explained in the legend). b. The numbers located in the circles are the amount of times we were dispatched to the same address/location (the higher the number the more calls). c. The reddish, yellowish, and blueish coloration in the background is the heat map. The areas with yellow are the busiest areas we are dispatched to. 4. Slide 6 — These are the total RESPONSES to 911 calls in the City of Spokane Valley YEAR-TO- DATE. a. The Green colored circles indicate responses to calls within the primary unit's response area. b. The Salmon colored circles indicate responses to calls outside of the primary unit's response area (occurs for any call requiring additional units from other SVFD Fire Station's, i.e. Fires, Water Rescues, or when there is more than one EMS call occurring in a Fire Station's first run area, etc.). c. The numbers located in the circles are the amount of times we responded to the same address/location (the higher the number the more calls). d. The Light Brownish background color indicates the City of Spokane Valley response area 5. Slide 8 Significant Events • Battle of Badges at Grocery Outlet raising money and awareness for local hunger in our community. o SVFD Team 1 $4,624.74 o SVFD Team 2 $3,681.30 o SPD only 1 Team $2,195.00 • Water rescue calls are increasing due to the nature of the time of year. We can't stress enough the need for our community to wear life jackets. The river is unpredictable, and the currents and temperatures can be dangerous. It may be warm outside, but the river is fed from the ground and aquafer keeping it cold. Hypothermia is a real threat. • Motorcycle collisions with serious injury are happening weekly. • !AFC Heart Safe Community Award Winner Significant Incidents: • 3 Structure fires — garage, commercial, and house o June 8 — crews responded to a late -night house fire in the 13400 block of E 22nd Avenue. The fire was in the basement of the home but started in the upstairs kitchen where plastic cooking wear had been placed in the dishwasher for cleaning. The plastic wear melted from the heat and through the bottom of the dishwasher into the basement. The home was safely evacuated of all occupants however because of the damage and smoke, the home was inhabitable. Red Cross provided temporary housing. o June 9 — detached garage fire started by a BBQ. The report came in as exploding propane tanks and spray cans near the 7200 block of E Carlisle. Crews arrived to find a fully involved 10x20 detached garage fire. Crews quickly put out the fire but the structure and contents were a total loss. o June 28 — Crews responded to a commercial fire in the early morning around 1 a.m. near the 6500 block of E Sprague Avenue. A fire was started outside of a business. Crews were able to extinguish the fire and damage to the structure was minimal. The fire was started by a transient in the area, however, the intent of the fire is unknown but is not suspected as arson. 6. Slide 9 • Motorcycle Collision —June 3, 2022, 5:20 p.m. Spokane Valley Fire Department and Spokane Valley Deputies and Traffic Unit Investigators responded to the scene of a fatal motorcycle crash in the 12900 block of E. Mansfield Avenue in Spokane Valley. A caller stated a male motorcycle rider appeared unconscious and not breathing. Unfortunately, the adult male rider was pronounced deceased at the scene. Spokane Valley Traffic Unit Technicians were called to the scene, as were SIRT Volunteers to assist with traffic control. Initial Information from witnesses indicates the motorcycle was traveling east on Mansfield at a high rate of speed and passed a car traveling in the same direction. It continued east and struck a Dodge truck, driven by an adult male, that was turning onto Mansfield. The driver of the truck was not injured and is cooperating with Investigators. • Vehicle vs Motorcycle Collision - June 7, 2022, 2:30 p.m. Spokane Valley Fire Department and Spokane Valley Traffic Unit Investigators responded to the scene of a vehicle vs. motorcycle collision on N. Mullan Road at E Valleyway in Spokane Valley. The injured rider was transported to the hospital for treatment and further evaluation. Deputies arrived and began the investigation as Spokane Valley Fire personnel provided medical treatment to the injured rider, who was transported to the hospital for additional care/evaluation. His injuries did not appear to be life -threatening. The driver of the van remained at the scene and was not injured. • Water Rescue - On June 11, 2022, at approximately 4:40 pm., Spokane County Sheriff's Deputies, Spokane Valley Deputies, and Spokane Valley Fire Department crews responded to the report of a possible drowning in the Spokane River near Boulder Beach. Callers reported a 20-year-old male was in the river, appeared to be having difficulties, and was being swept down the river by the strong current. Deputies and fire personnel arrived at the location and quickly requested additional resources to assist in the search and rescue operation, but unfortunately, he was not located. • Child locked in vehicle - June 20, 18:54, near E Broadway Avenue and N Eagle street SVFD crews were called to help assist with a child locked inside a vehicle. This time of year, with warming temperatures this is always of concern as time matters. Crews arrived to find a 1.5-year-old child inside a vehicle parked in a driveway. The child was not in distress. Valley Engine 3 (VE3) Firefighters were able to quickly gain access and remove the child from the car. The child was evaluated and did not appear harmed or at risk of heat related effects. About SVFD The Spokane Valley Fire Department (SVFD) serves a population of 136,000+ over 75-square miles, including the cities of Spokane Valley, Liberty Lake and Millwood, as well as surrounding unincorporated areas. In 2021, our cross - trained Firefighter/EMTs and Firefighter/Paramedics responded to more than 22,400 emergency calls. Established in 1940, SVFD is committed to pursuing excellence and is distinguished as an accredited agency by the Commission on Fire Accreditation International (CFAI), and by SVFD's Class 2 fire insurance rating from the Washington Survey and Rating Bureau. Connect with SVFD at: spokanevalleyfire.com. For department news, safety information, and timely updates, find us on Facebook, Twitter, Instagram, Linkedln, and YouTube. CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 19, 2022 Department Director Approval: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Council Goals and Priorities for Lodging Tax Advisory Committee (LTAC) . GOVERNING LEGISLATION: State Law RCW 82.08 and 67.28; Spokane Valley Municipal Code 3.20 PREVIOUS COUNCIL ACTION TAKEN: No action on the 2022 process leading to 2023 awards has been taken thus far. Council goals and priorities for using lodging tax revenues to benefit tourism in Spokane Valley were last reviewed by Council on August 10, 2021. BACKGROUND: The Tax Rate: Pursuant to SVMC 3.20.010, the City has imposed and levied a total tax of 3.3 percent on the furnishing of lodging that occurs with Spokane Valley. The total tax is made of two portions and each portion may be used for different purposes. "2% Portion": The amounts from the first 2% are referred to as the "2% Portion" and may be used for any and all of the four purposes allowed by State law (identified below). All financial activity for the 2% portion is recorded in City's Hotel/Motel Tax Fund #105. Historically, all awards have come from the 2% portion. This tax is taken as a credit against the 6.5% state sales tax, so that the total tax a patron pays in retail sales tax and the hotel/motel tax combined is equal to the retail sales tax in the jurisdiction — which for Spokane Valley is 8.9%. The estimated revenues for the initial 2% lodging tax in the 2022 Budget is currently $600,000. This revenue stream was significantly impacted by the effects of the COVID-19 pandemic and related economic shutdowns. However, collections appear to have recovered as the economy reopened. "1.3% Portion": The amounts in Fund #104 from the additional 1.3% are referred to as the "1.3% Portion" and have specifically been limited by City Council to be used "solely for capital expenditures for acquiring, constructing, making improvements to or other related capital expenditures for large sporting venues, or venues for tourism -related facilities, which facilities generate overnight guests at lodging facilities...." See SVMC 3.20.020(B). All financial activity for the 1.3% portion is recorded in City's Hotel/Motel Tax — Tourism Facilities Fund #104. This tax is in addition to the existing 8.9% sales tax imposed in Spokane Valley, and when combined with a 2.0% lodging tax imposed by the Spokane Public Facilities District, it causes the total lodging tax rate in Spokane Valley to equal 12.0%. The current estimate for this tax in the 2022 Budget is $400,000. As discussed above with the 2% tax, staff believes this revenue stream has recovered from the impacts of the COVID-19 pandemic. Page 1 of 5 The combined sales and lodging tax rates are shown in the table below: Sales tax State of Washington City of Spokane Valley Spokane County Criminal Justice Spokane PFD Public Safety Juvenile Jail Mental Health Law Enforcement Communications Spokane Transit Authority Total sales tax Tax Components Retail I Hotel 6.50% 4.50% 0.85% 0.85% 0.15% 0.15% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10% 0.80% 0.60% 8.90% 6.70% Lodging tax City of Spokane Valley (initial 2.0% tax) 0.00% 2.00% City of Spokane Valley (additional 1.3% tax) 0.00% 1.30% Spokane PFD 0.00% 2.00% Total lodging tax 0.00% 5.30% Total tax 8.90% 12.00% Lodging Tax Advisory Committee (LTAC) The organizations to which the tax proceeds are distributed are ultimately determined by the City Council which receives a recommendation from the LTAC. The LTAC is comprised of five members who are appointed by the City Council, and by State law the Committee membership must include: • At least two representatives of businesses that are required to collect the tax, • At least two people who are involved in activities that are authorized to be funded by the tax, and • One elected city official who serves as chairperson of the LTAC. The LTAC makes its recommendations based upon a combination of written application materials and a presentation that is made to them by each applicant. State Rules Governing Use of the Initial 2% Lodging Tax Washington law allows the City to impose lodging taxes and to use the revenues for the following purposes: • Tourism marketing. • The marketing and operations of special events and festivals. • The operations and capital expenditures of tourism -related facilities owned or operated by a municipality or public facility district. • The operations (but not capital expenditures) of tourism -related facilities owned or operated by non-profit organizations. Washington law also establishes application and reporting procedures for cities with a population of greater than 5,000. Applicants must submit their applications to the Lodging Tax Page 2 of 5 Advisory Committee (LTAC) including in that application estimates of how money awarded to them will result in increases in the number of people traveling for business or pleasure on a trip in the following categories: • Away from their place of residence or business and staying overnight in paid accommodations; • To a place 50 miles or more one way from their place of residence or business for the day or staying overnight; or • From another country or state outside their place of residence or their business. Through 2012, the City Council could, at its option, supersede the recommendation of the LTAC and award lodging tax funds to applicants in the amount the Council collectively determined was appropriate based upon their own goals and priorities for promoting conventions, festivals, special events, and tourist travel, regardless of the LTAC recommendation. However, legislative amendments in 2013 (which remain in effect today) altered this authority and the options for City Council action have been viewed as primarily being limited to either (1) approving some or all of the listed recipients and amounts recommended by the LTAC or (2) not approving any recipients and having the LTAC revise its recommendation for further City Council action. However, under RCW 67.28.1817, a municipality may propose "a change in the use of revenue received under [RCW 67.28]," but must submit the proposal to the LTAC for review and comment. Then, the LTAC must be given at least 45 days to review and provide comments prior to final action by the municipality. This allows the City Council to conduct its own review of the materials submitted, including the minutes and recommended amounts by the LTAC, to come up with its own proposed distribution of the revenue for any of the applicants, which may be the same or different from the LTAC recommendation. If it is different, the City must give the LTAC 45 days to review and provide comments on the proposed revised distribution before taking final action. The Council used this process in 2017 for the 2018 awards to ensure transparency and the public confidence due to questions from the public that arose during the LTAC review and recommendation process. This process was again used for a change to the 2020 award allocations due to shortfalls in revenue caused by the COVID-19 pandemic's effects on the economy. Council Goals and Priorities for Use of the Initial 2% Lodging Tax In August 2013 Council for the first time adopted goals and priorities that it encouraged the LTAC to consider when making award recommendations. Based upon subsequent discussions between Council and Staff in the years of 2014 through 2021, these have evolved as follows: 1. Council desires to direct awards toward funding new and innovative projects, activities, events or festivals that will distinguish Spokane Valley as a tourism destination and result in increases to Spokane Valley tourism. As part of this goal, Council will use lodging taxes for the purposes allowed in State law, which include: a. Tourism marketing b. The marketing and operations of special events and festivals c. The operation and capital expenditures of tourism related facilities owned or operated by a municipality or public facility district d. The operation (but not capital expenditures) of tourism related facilities owned or operated by non-profit organizations. 2. Council will emphasize the utilization of funds for capital expenditures to develop tourism destination facilities or venues within the City of Spokane Valley as a means of drawing additional visitors to the City (recognizing that this option is limited to facilities owned by a municipality or public facility district). Council would like to move in the direction of allocating a majority of lodging taxes toward this purpose. Page 3 of 5 3. Council recognizes that lodging nights are an important measure of a successful event or marketing program and will place higher consideration on events or programs with a demonstrable history of increasing overnight stays. Council may also take into consideration to a lesser degree the economic impact of all major components of our tourism -based economy including shopping, dining and overnight visits. 4. Council will take into consideration revenues derived from lodging sources within Spokane Valley received by applicants from other municipal entities and agencies such as the Spokane County Tourism Promotion Authority and Spokane Public Facilities District. 5. An award to any particular applicant cannot be greater than the dollar amount requested in that applicant's application. 2022 Timeline Leading to 2023 Awards of the 2.0% Portion Lodging Tax The calendar we plan to follow in 2022 for 2023 lodging tax awards is as follows: Tues 7/19/2022 Admin Report - Review Council goals and priorities for use of lodging tax proceeds. Tues 8/16/2022 Motion seeking Council approval of goals and priorities for the use of lodging tax proceeds. Fri 8/26/2022 City runs notice in newspaper, places on web site, and sends letters to 2022 award recipients and others agencies that may have expressed interest. Fri 9/30/2022 Grant proposals are due to City by 4pm (no late submittals will be accepted). Fri 10/7/2022 Applications sent to Lodging Tax Advisory Committee for review. Thurs 10/20/2022 8:30 am Applicant presentations to Committee. Tues 11/8/2022 Formal Council Meeting Admin Report: LTAC Recommendations to City Council Tues 12/13/2022 Formal Council Meeting City Council Motion Consideration: Award Lodging Tax for 2023 RCW 67.28.1817 requires that the City wait for a period of at least 45 days after the LTAC meeting before action can be taken by the City Council. 12/13/2022 Council Action 10/20/2022 LTAC meeting 54 days Change to Applicant Requirements The City has historically limited applicants for lodging tax awards to non-profit organizations. There is no limitation in State law that requires recipients of lodging tax awards to be non -profits for tourism promotion purposes, and the limitation appears to have been a policy decision by the City. However, allowing only non -profits to apply for tourism promotion awards unnecessarily limits the type and scope of projects that impact tourism in the City. This being the case, the 2023 application and award process will be opened up to for -profit organizations as well as non- profit organizations for tourism promotion projects. Page 4 of 5 OPTIONS: Discussion of Council goals and priorities for lodging taxes to be communicated to the LTAC and applicants. RECOMMENDED ACTION OR MOTION: This is a discussion item only but staff is: 1. Seeking consensus from the Council on the goals and priorities the LTAC should consider when evaluating applications; this is scheduled to come before Council as a motion consideration at the August 16 Council meeting; and 2. Communicating to Council that the 2023 Budget is again being developed to set aside $30,000 of lodging tax revenues to enhance CenterPlace advertising expenses resulting in an increase in that marketing budget from $30,000 to $60,000. The Council is able to make this decision independent of any input from the LTAC because this represents a historical use by the City. If the City desired the use of any additional lodging tax proceeds, it would be required to utilize the same application process noted above that is required of all other agencies seeking funding. BUDGET/FINANCIAL IMPACTS: In 2022 the 2% portion of the lodging tax is currently budgeted at $600,000 and the 1 . 3 % portion at $400,000. Lodging tax collections appear to have recovered to pre -pandemic levels. We will be watching revenue collections closely as the year progresses; however, staff expects 2023 budgeted amounts to be at or exceed the 2022 budgeted amounts. STAFF CONTACT: Chelsie Taylor, Finance Director ATTACHMENTS: • Lodging Tax Award History — 2003 through 2022 Page 5 of 5 P:\Finance\2023 Budget\Budget Worksheets\Lodging Tax\Lodging Tax Award History 03-22 CITY OF SPOKANE VALLEY, WA Lodging Tax Application / Award History For the years 2003 through 2022 AGENCIES 2003 2004 2005 2006 Application I Award Application I Award Application I Award Application I Award Armed Forces & Aerospace Museum 3,327 0 2,531 0 0 0 0 0 Burke Marketing 0 0 0 0 0 0 0 0 CenterPlace - marketing 0 0 0 40,000 0 0 0 40,000 CenterPlace - marketing to regional meeting planners 0 0 0 0 0 0 0 0 Chamber of Commerce 0 0 0 0 15,440 0 15,440 5,000 City of Spokane Valley - Directed Marketing 0 0 0 0 0 0 0 0 City of Spokane Valley - Tourism Study 0 0 0 0 0 0 0 0 City of Spokane Valley - Volleyball courts 0 0 0 0 0 0 0 0 Evergreen Regional Volleyball Court Expansion 0 0 0 0 0 0 0 0 Fair & Expo Marketing 58,376 17,500 35,000 25,000 21,000 18,000 0 0 Fairgrounds 0 0 21,000 15,000 0 0 0 0 Family Guide 0 0 0 0 0 0 0 0 Friends of Centennial Trail 23,480 0 2,000 2,000 0 0 9,000 0 Historic Flight Foundation 0 0 0 0 0 0 0 0 HUB Sports Center 0 0 0 0 0 0 0 0 Inland Dance Association 0 0 0 0 0 0 2,535 0 Inland NW Sr. Wellness Conference 12,500 0 0 0 0 0 0 0 JAKT - Brews, Beats, & Eats 0 0 0 0 0 0 0 0 JAKT - Craft Beer Event 0 0 0 0 0 0 0 0 JAKT - Crave NW 0 0 0 0 0 0 0 0 JAKT - Farmers Market 0 0 0 0 0 0 0 0 JAKT - Spokane Valley Events 0 0 0 0 0 0 0 0 JAKT - Oktoberfest 0 0 0 0 0 0 0 0 Latah Creek Wine Cellars 20,000 0 0 0 0 0 0 0 Liberty Lake Rotary Club 0 0 0 0 0 0 0 0 Northwest Winterfest 0 0 0 0 0 0 0 0 Plantes Ferry Park 0 0 71,842 20,000 0 0 23,876 0 Six Bridges Arts Association 0 0 0 0 0 0 0 0 Splash -Down Family Waterpark 230,000 0 0 0 0 0 0 0 Spo Con 0 0 0 0 0 0 0 0 Spokane Arts Commission 15,000 0 0 0 0 0 0 0 Spokane County Fair & Expo Center 0 0 0 0 0 0 0 0 Spokane County Fair & Expo Center - Winter Glow Spe 0 0 0 0 0 0 0 0 Spokane County Parks, Recreation, & Golf 0 0 0 0 0 0 0 0 Spokane Horse Breeders of Inland NW 5,830 0 0 0 0 0 0 0 Spokane Polo Club 30,100 0 0 0 0 0 0 0 Spokane Regional Sports Commission 120,000 52,200 150,000 100,000 100,000 75,000 100,000 84,000 Spokane River Forum 0 0 0 0 0 0 0 0 Spokane Symphony 20,000 0 20,000 0 0 0 0 0 Spokane Valley Heritage Museum 40,000 1,000 0 0 22,100 10,000 49,104 5,000 Spokane Valley Soccer Club 0 0 0 0 0 0 0 0 Spokane Valley Summer Theatre 0 0 0 0 0 0 0 0 Spokane Winery Association 3,285 0 8,250 2,000 0 0 0 0 Sports USA Sports Complex 103,000 0 0 0 0 0 0 0 SV Junior Soccer Association 96,642 24,800 71,842 0 0 0 4,000 4,000 U.S. Figure Skating 0 0 0 0 0 0 0 0 Valleyfest 19,724 2,800 49,700 0 27,200 15,000 25,900 15,000 Valleyfest - Cycle Celebration 0 0 0 0 0 0 0 0 Valleyfest (additional for Spring 07 (for float) 0 0 0 0 0 0 0 0 Visit Spokane (Spokane Visitor Convention Bur au) 200,000 83,700 250,000 150,000 200,000 136,000 200,000 165,000 WebMaker 39,000 0 0 0 0 0 0 0 YMCA 50,000 18,000 12,000 6,000 12,000 6,000 17,000 7,000 YMCA Skateboard Park 0 18,000 0 0 0 0 0 0 Transfer out to Fund #104 0 0 0 0 0 0 0 0 Total 1,090,264 218,000 694,165 360,000 397,740 260,000 446,855 325,000 Page 1 of 5 P:\Finance\2023 Budget\Budget Worksheets\Lodging Tax\Lodging Tax Award History 03-22 CITY OF SPOKANE VALLEY, WA Lodging Tax Application / Award History For the years 2003 through 2022 AGENCIES 2007 2008 2009 2010 07 Apply 07 Award Sprg 07 Appll Sprg 07 Awai Application I Award Application I Award Application I Award Armed Forces & Aerospace Museum 0 0 0 0 0 0 0 0 0 0 Burke Marketing 0 0 147,500 0 0 0 0 0 0 0 CenterPlace - marketing 0 40,000 0 0 90,000 90,000 0 90,000 0 37,500 CenterPlace - marketing to regional meeting planners 0 0 0 0 0 0 0 0 0 0 Chamber of Commerce 50,000 50,000 50,000 50,000 155,000 0 0 0 0 0 City of Spokane Valley - Directed Marketing 0 0 0 0 0 0 0 0 0 0 City of Spokane Valley - Tourism Study 0 0 0 0 0 0 0 0 0 0 City of Spokane Valley - Volleyball courts 0 0 0 0 0 0 0 0 0 0 Evergreen Regional Volleyball Court Expansion 0 0 0 0 0 0 0 0 0 0 Fair & Expo Marketing 20,000 20,000 0 0 30,000 30,000 30,000 18,250 0 0 Fairgrounds 0 0 0 0 0 0 0 0 0 0 Family Guide 0 0 0 0 0 0 0 0 0 0 Friends of Centennial Trail 0 0 0 0 0 0 0 0 0 0 Historic Flight Foundation 0 0 0 0 0 0 0 0 0 0 HUB Sports Center 0 0 0 0 0 0 0 0 0 0 Inland Dance Association 0 0 2,535 0 0 0 0 0 0 0 Inland NW Sr. Wellness Conference 0 0 0 0 0 0 0 0 0 0 JAKT - Brews, Beats, & Eats 0 0 0 0 0 0 0 0 0 0 JAKT - Craft Beer Event 0 0 0 0 0 0 0 0 0 0 JAKT - Crave NW 0 0 0 0 0 0 0 0 0 0 JAKT - Farmers Market 0 0 0 0 0 0 0 0 0 0 JAKT - Spokane Valley Events 0 0 0 0 0 0 0 0 0 0 JAKT - Oktoberfest 0 0 0 0 0 0 0 0 0 0 Latah Creek Wine Cellars 0 0 0 0 0 0 0 0 0 0 Liberty Lake Rotary Club 0 0 0 0 0 0 0 0 0 0 Northwest Winterfest 0 0 0 0 0 0 0 0 0 0 Plantes Ferry Park 30,000 0 0 0 0 0 0 0 0 0 Six Bridges Arts Association 15,000 12,500 0 0 0 0 0 0 0 0 Splash -Down Family Waterpark 0 0 0 0 0 0 0 0 0 0 Spo Con 0 0 0 0 0 0 0 0 0 0 Spokane Arts Commission 0 0 0 0 0 0 0 0 0 0 Spokane County Fair & Expo Center 0 0 0 0 0 0 0 0 0 0 Spokane County Fair & Expo Center - Winter Glow Spe 0 0 0 0 0 0 0 0 0 0 Spokane County Parks, Recreation, & Golf 0 0 0 0 0 0 0 0 0 0 Spokane Horse Breeders of Inland NW 0 0 0 0 0 0 0 0 0 0 Spokane Polo Club 0 0 0 0 0 0 0 0 0 0 Spokane Regional Sports Commission 100,000 100,000 0 0 175,000 145,000 190,000 115,000 150,000 120,000 Spokane River Forum 0 0 0 0 0 0 0 0 0 0 Spokane Symphony 0 0 0 0 0 0 0 0 0 0 Spokane Valley Heritage Museum 27,450 10,000 0 0 0 0 30,260 3,250 11,600 5,000 Spokane Valley Soccer Club 0 0 0 0 0 0 0 0 0 0 Spokane Valley Summer Theatre 0 0 0 0 0 0 0 0 0 0 Spokane Winery Association 0 0 7,500 7,500 8,300 8,300 9,000 0 0 0 Sports USA Sports Complex 0 0 0 0 0 0 0 0 0 0 SV Junior Soccer Association 0 0 17,000 30,300 0 0 0 0 0 0 U.S. Figure Skating 0 0 0 0 0 15,000 0 15,000 0 0 Valleyfest 30,000 25,000 5,000 5,000 40,000 30,000 50,000 27,500 50,000 30,000 Valleyfest - Cycle Celebration 0 0 0 0 0 0 0 0 0 0 Valleyfest (additional for Spring 07 (for float) 0 0 6,000 0 0 0 0 0 0 0 Visit Spokane (Spokane Visitor Convention Bur au) 175,000 175,000 78,000 78,000 325,000 306,000 336,000 236,000 275,000 195,000 WebMaker 0 0 0 0 0 0 0 0 0 0 YMCA 0 0 0 0 0 0 0 0 0 0 YMCA Skateboard Park 0 0 0 0 0 0 0 0 0 0 Transfer out to Fund #104 0 0 0 0 0 0 0 0 0 0 Total 447,450 432,500 313,535 170,800 823,300 624,300 645,260 505,000 486,600 387,500 Page 2 of 5 P:\Finance\2023 Budget\Budget Worksheets\Lodging Tax\Lodging Tax Award History 03-22 CITY OF SPOKANE VALLEY, WA Lodging Tax Application / Award History For the years 2003 through 2022 AGENCIES 2011 2012 2013 2014 Application I Award Rnd 1 App I Rnd 1 Awrd I Rnd 2 App I Rnd 2 Awrd Application I Award Application I Award Armed Forces & Aerospace Museum 0 0 0 0 0 0 0 0 0 0 Burke Marketing 0 0 0 0 0 0 0 0 0 0 CenterPlace - marketing 0 0 0 30,000 0 0 0 30,000 0 30,000 CenterPlace - marketing to regional meeting planners 0 0 0 0 0 0 0 0 0 0 Chamber of Commerce 0 0 0 0 0 0 0 0 0 0 City of Spokane Valley - Directed Marketing 0 0 0 0 0 0 0 55,000 0 0 City of Spokane Valley - Tourism Study 0 0 0 0 0 0 0 0 0 0 City of Spokane Valley - Volleyball courts 0 0 0 0 0 0 0 0 0 0 Evergreen Regional Volleyball Court Expansion 0 0 0 0 0 0 0 0 7,500 7,300 Fair & Expo Marketing 0 0 0 0 0 0 0 0 0 0 Fairgrounds 0 0 0 0 0 0 0 0 0 0 Family Guide 0 0 0 0 0 0 0 0 0 0 Friends of Centennial Trail 0 0 0 0 0 0 0 0 6,600 0 Historic Flight Foundation 0 0 0 0 0 0 0 0 0 0 HUB Sports Center 40,000 40,000 50,000 42,600 0 0 50,000 21,100 40,000 36,000 Inland Dance Association 0 0 0 0 0 0 0 0 0 0 Inland NW Sr. Wellness Conference 0 0 0 0 0 0 0 0 0 0 JAKT - Brews, Beats, & Eats 0 0 0 0 0 0 0 0 0 0 JAKT - Craft Beer Event 0 0 0 0 0 0 0 0 0 0 JAKT - Crave NW 0 0 0 0 0 0 0 0 0 0 JAKT - Farmers Market 0 0 0 0 0 0 0 0 0 0 JAKT - Spokane Valley Events 0 0 0 0 0 0 0 0 0 0 JAKT - Oktoberfest 0 0 0 0 0 0 0 0 0 0 Latah Creek Wine Cellars 0 0 0 0 0 0 0 0 0 0 Liberty Lake Rotary Club 0 0 0 0 5,000 0 0 0 5,000 0 Northwest Winterfest 0 0 0 0 0 0 0 0 0 0 Plantes Ferry Park 0 0 0 0 0 0 0 0 0 0 Six Bridges Arts Association 0 0 0 0 0 0 0 0 0 0 Splash -Down Family Waterpark 0 0 0 0 0 0 0 0 0 0 Spo Con 0 0 70,131 0 0 0 0 0 0 0 Spokane Arts Commission 0 0 0 0 50,000 0 0 0 0 0 Spokane County Fair & Expo Center 0 0 0 0 30,000 25,900 30,000 27,800 50,000 39,800 Spokane County Fair & Expo Center - Winter Glow Spe 0 0 0 0 0 0 0 0 0 0 Spokane County Parks, Recreation, & Golf 0 0 0 0 0 0 0 0 0 0 Spokane Horse Breeders of Inland NW 0 0 0 0 0 0 0 0 0 0 Spokane Polo Club 0 0 0 0 0 0 0 0 0 0 Spokane Regional Sports Commission 165,000 165,000 200,000 185,000 0 0 200,000 150,200 200,000 183,800 Spokane River Forum 0 0 0 0 0 0 0 0 0 0 Spokane Symphony 0 0 0 0 0 0 0 0 0 0 Spokane Valley Heritage Museum 5,000 5,000 5,000 3,900 5,000 1,100 12,000 6,400 20,000 13,100 Spokane Valley Soccer Club 0 0 0 0 25,000 0 0 0 0 0 Spokane Valley Summer Theatre 0 0 0 0 0 0 0 0 0 0 Spokane Winery Association 0 0 0 0 0 0 0 0 0 0 Sports USA Sports Complex 0 0 0 0 0 0 0 0 0 0 SV Junior Soccer Association 0 0 0 0 0 0 0 0 0 0 U.S. Figure Skating 0 0 0 0 0 0 0 0 0 0 Valleyfest 50,000 36,000 50,000 0 50,000 30,000 50,000 35,200 50,000 20,000 Valleyfest - Cycle Celebration 0 0 0 0 0 0 0 0 0 0 Valleyfest (additional for Spring 07 (for float) 0 0 0 0 0 0 0 0 0 0 Visit Spokane (Spokane Visitor Convention Bur au) 250,000 250,000 0 0 275,000 251,720 350,000 184,800 280,000 247,000 WebMaker 0 0 0 0 0 0 0 0 0 0 YMCA 0 0 0 0 0 0 0 0 0 0 YMCA Skateboard Park 0 0 0 0 0 0 0 0 0 0 Transfer out to Fund #104 0 0 0 0 0 0 0 0 0 0 Total 510,000 496,000 375,131 261,500 440,000 308,720 692,000 510,500 659,100 577,000 Page 3 of 5 P:\Finance\2023 Budget\Budget Worksheets\Lodging Tax\Lodging Tax Award History 03-22 CITY OF SPOKANE VALLEY, WA Lodging Tax Application / Award History For the years 2003 through 2022 AGENCIES 2015 2016 2017 2018 2019 Application I Award Application I Award Application I Award Application I Award Application I Award Armed Forces & Aerospace Museum 0 0 0 0 0 0 0 0 0 0 Burke Marketing 0 0 0 0 0 0 0 0 0 0 CenterPlace - marketing 0 30,000 0 30,000 0 30,000 0 30,000 0 30,000 CenterPlace - marketing to regional meeting planners 30,000 17,000 0 0 0 0 0 0 0 0 Chamber of Commerce 0 0 0 0 0 0 0 0 0 0 City of Spokane Valley - Directed Marketing 0 0 0 0 0 0 0 0 0 0 City of Spokane Valley - Tourism Study 0 0 86,750 80,000 0 0 0 0 0 0 City of Spokane Valley - Volleyball courts 120,000 68,000 160,000 60,650 233,508 0 238,000 0 0 0 Evergreen Regional Volleyball Court Expansion 0 0 0 0 0 0 0 0 0 0 Fair & Expo Marketing 0 0 0 0 0 0 0 0 0 0 Fairgrounds 0 0 0 0 0 0 0 0 0 0 Family Guide 0 0 0 0 35,000 0 0 0 0 0 Friends of Centennial Trail 0 0 0 0 0 0 0 0 0 0 Historic Flight Foundation 0 0 0 0 0 0 0 0 0 0 HUB Sports Center 40,000 40,000 40,000 40,000 40,000 40,000 54,000 48,400 55,100 52,000 Inland Dance Association 0 0 0 0 0 0 0 0 0 0 Inland NW Sr. Wellness Conference 0 0 0 0 0 0 0 0 0 0 JAKT - Brews, Beats, & Eats 0 0 0 0 0 0 0 0 0 0 JAKT - Craft Beer Event 0 0 0 0 0 0 0 0 0 0 JAKT - Crave NW 0 0 0 0 0 0 50,000 30,000 60,000 21,500 JAKT - Farmers Market 0 0 0 0 0 0 0 0 15,000 7,000 JAKT - Spokane Valley Events 0 0 0 0 0 0 0 0 0 0 JAKT - Oktoberfest 0 0 0 0 0 0 20,000 10,000 20,000 5,000 Latah Creek Wine Cellars 0 0 0 0 0 0 0 0 0 0 Liberty Lake Rotary Club 0 0 0 0 0 0 0 0 0 0 Northwest Winterfest 0 0 0 0 0 0 0 0 0 0 Plantes Ferry Park 0 0 0 0 0 0 0 0 0 0 Six Bridges Arts Association 0 0 0 0 0 0 0 0 0 0 Splash -Down Family Waterpark 0 0 0 0 0 0 0 0 0 0 Spo Con 0 0 0 0 0 0 0 0 0 0 Spokane Arts Commission 0 0 0 0 0 0 0 0 0 0 Spokane County Fair & Expo Center 44,000 44,000 100,000 45,000 60,000 47,000 60,000 50,000 60,000 55,000 Spokane County Fair & Expo Center - Winter Glow Spe 0 0 0 0 20,000 2,170 0 0 0 0 Spokane County Parks, Recreation, & Golf 0 0 0 0 0 0 0 0 75,000 35,000 Spokane Horse Breeders of Inland NW 0 0 0 0 0 0 0 0 0 0 Spokane Polo Club 0 0 0 0 0 0 0 0 0 0 Spokane Regional Sports Commission 200,000 120,000 200,000 121,600 200,000 115,600 200,000 80,000 200,000 0 Spokane River Forum 1,000 1,000 0 0 0 0 0 0 0 0 Spokane Symphony 0 0 0 0 0 0 0 0 0 0 Spokane Valley Heritage Museum 28,209 18,400 35,800 17,200 27,500 9,500 25,000 13,000 28,500 5,500 Spokane Valley Soccer Club 0 0 0 0 0 0 0 0 0 0 Spokane Valley Summer Theatre 0 0 0 0 0 0 0 0 0 0 Spokane Winery Association 0 0 0 0 0 0 0 0 0 0 Sports USA Sports Complex 0 0 0 0 0 0 0 0 0 0 SV Junior Soccer Association 0 0 0 0 0 0 0 0 0 0 U.S. Figure Skating 0 0 0 0 0 0 0 0 0 0 Valleyfest 64,000 31,600 60,000 28,900 150,000 31,600 150,000 18,600 150,000 12,000 Valleyfest - Cycle Celebration 0 0 10,000 3,000 25,000 5,000 25,000 2,000 25,000 1,000 Valleyfest (additional for Spring 07 (for float) 0 0 0 0 0 0 0 0 0 0 Visit Spokane (Spokane Visitor Convention Bur au) 328,430 230,000 253,777 163,650 282,830 103,130 282,830 70,000 200,000 48,000 WebMaker 0 0 0 0 0 0 0 0 0 0 YMCA 0 0 0 0 0 0 0 0 0 0 YMCA Skateboard Park 0 0 0 0 0 0 0 0 0 0 Transfer out to Fund #104 0 0 0 0 0 250,000 0 250,000 0 275,000 Total 855,639 600,000 946,327 590,000 1,073,838 634,000 1,104,830 602,000 888,600 547,000 Page 4 of 5 P:\Finance\2023 Budget\Budget Worksheets\Lodging Tax\Lodging Tax Award History 03-22 CITY OF SPOKANE VALLEY, WA Lodging Tax Application / Award History For the years 2003 through 2022 3/22/2022 AGENCIES 2020 2021 2022 Totall Application I Award Application I Award Application I Award Application Award Armed Forces & Aerospace Museum 0 0 0 0 0 0 5,858 0 Burke Marketing 0 0 0 0 0 0 147,500 0 CenterPlace - marketing 0 30,000 0 30,000 0 0 90,000 637,500 CenterPlace - marketing to regional meeting planners 0 0 0 0 0 0 30,000 17,000 Chamber of Commerce 0 0 0 0 0 0 285,880 105,000 City of Spokane Valley - Directed Marketing 0 0 0 0 0 0 0 55,000 City of Spokane Valley - Tourism Study 0 0 0 0 0 0 86,750 80,000 City of Spokane Valley - Volleyball courts 0 0 0 0 0 0 751,508 128,650 Evergreen Regional Volleyball Court Expansion 0 0 0 0 0 0 7,500 7,300 Fair & Expo Marketing 0 0 0 0 0 0 194,376 128,750 Fairgrounds 0 0 0 0 0 0 21,000 15,000 Family Guide 0 0 0 0 0 0 35,000 0 Friends of Centennial Trail 0 0 0 0 0 0 41,080 2,000 Historic Flight Foundation 0 0 15,000 15,000 0 0 15,000 15,000 HUB Sports Center 55,100 55,020 45,000 45,000 55,000 55,000 564,200 515,120 Inland Dance Association 0 0 0 0 0 0 5,070 0 Inland NW Sr. Wellness Conference 0 0 0 0 0 0 12,500 0 JAKT - Brews, Beats, & Eats 0 0 20,000 2,600 15,000 6,500 35,000 9,100 JAKT - Craft Beer Event 0 0 0 0 15,000 6,000 15,000 6,000 JAKT - Crave NW 38,000 18,600 25,000 15,200 50,000 30,000 223,000 115,300 JAKT - Farmers Market 18,000 8,000 20,000 7,200 25,000 17,000 78,000 39,200 JAKT - Spokane Valley Events 0 0 0 0 400,000 0 400,000 0 JAKT - Oktoberfest 20,000 8,400 0 0 0 0 60,000 23,400 Latah Creek Wine Cellars 0 0 0 0 0 0 20,000 0 Liberty Lake Rotary Club 0 0 0 0 0 0 10,000 0 Northwest Winterfest 50,000 48,000 50,000 49,000 45,000 45,000 145,000 142,000 Plantes Ferry Park 0 0 0 0 0 0 125,718 20,000 Six Bridges Arts Association 0 0 0 0 0 0 15,000 12,500 Splash -Down Family Waterpark 0 0 0 0 0 0 230,000 0 Spo Con 0 0 0 0 0 0 70,131 0 Spokane Arts Commission 0 0 0 0 0 0 65,000 0 Spokane County Fair & Expo Center 75,000 66,000 50,000 49,000 75,000 64,000 634,000 513,500 Spokane County Fair & Expo Center - Winter Glow Spe 0 0 0 0 0 0 20,000 2,170 Spokane County Parks, Recreation, & Golf 0 0 0 0 0 0 75,000 35,000 Spokane Horse Breeders of Inland NW 0 0 0 0 0 0 5,830 0 Spokane Polo Club 0 0 0 0 0 0 30,100 0 Spokane Regiena4 Sports Commission 50,000 45,000 55,000 0 0 0 2,955,000 1,957,400 Spokane River Forum 0 0 0 0 0 0 1,000 1,000 Spokane Symphony 0 0 0 0 0 0 40,000 0 Spokane Valley Heritage Museum 0 0 0 0 40,000 27,000 412,523 154,350 Spokane Valley Soccer Club 0 0 0 0 0 0 25,000 0 Spokane Valley Summer Theatre 0 0 0 0 20,000 20,000 # 20,000 20,000 Spokane Winery Association 0 0 0 0 0 0 36,335 17,800 Sports USA Sports Complex 0 0 0 0 0 0 103,000 0 SV Junior Soccer Association 0 0 0 0 0 0 189,484 59,100 U.S. Figure Skating 0 0 0 0 0 0 0 30,000 Valleyfest 150,000 18,600 18,000 12,600 30,000 24,000 1,319,524 449,400 Valleyfest - Cycle Celebration 25,000 1,380 5,000 1,800 5,000 3,500 120,000 17,680 Valleyfest (additional for Spring 07 (for float) 0 0 0 0 0 0 6,000 0 Visit Spokane (Spokane Visitor Convention Bur au) 50,000 50,000 0 0 0 0 4,591,867 3,123,000 WebMaker 0 0 0 0 0 0 39,000 0 YMCA 0 0 0 0 0 0 91,000 37,000 YMCA Skateboard Park 0 0 0 0 0 0 0 18,000 Transfer out to Fund #104 0 450,000 0 480,840 0 273,000 0 1,978,840 Total 531,100 799,000 303,000 708,240 775,000 571,000 14,499,734 10,488,060 Page 5 of 5 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 19, 2022 Department Director Approval: El Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Administrative report - Ordinance 22-010 relating specifically to restrictions on camping on private property. GOVERNING LEGISLATION: Chapters 7.05, 19.60, 19.65, and 19.160 SVMC PREVIOUS COUNCIL ACTION TAKEN: 2003 - 2018: Adoption of chapter and amendments to 7.05 SVMC relating to nuisances. 2019: SVMC 7.05.045 was added as a new section to address chronic criminal nuisance properties. June 1, 2021: code enforcement program overview. June 29, 2021: administrative report on code enforcement amendments - policy discussion on Council preferences. October 5, 2021: administrative report on code enforcement program follow-up — Topic # 1 Parking. October 12, 2021: administrative report on code enforcement program follow-up — Topic #2 Camping. May 3, 2022: administrative report on parking and related nuisances on private property. June 14, 2022: first reading of Ordinance 22-010. June 28, 2022: second ordinance reading of Ordinance 22-010 resulted in Council requesting additional discussion and opportunity for public feedback. BACKGROUND: At the June 28, 2022 meeting, which was originally scheduled as an ordinance second reading, Council requested additional discussion relating to proposed new SVMC 7.05.040(N), which would restrict camping on private property. Council received several public comments expressing concern for the proposed camping restrictions, and requested some additional time to consider the proposal, and allow the public additional time to comment. Based on previous discussions, Council indicated that camping in an RV on private property should be allowed for up to 30 days under a temporary use permit (TUP) issued by the City pursuant to existing SVMC 19.65.130(J). Any such RV camping not under a TUP would be prohibited and subject to code enforcement by the City. Adopting this will allow the City to finally police the existing restrictions regarding camping in a RV, because we will know when the use starts and when it is required to end. The next issue relates to camping on private property in a tent, teepee, or other similar membrane structure. The prior proposal was to prohibit this activity on private property except that there would be allowed up to four periods of up to 48 hours each (for example a weekend) in a calendar year. The revised proposal before you for the first time this evening would be to remove the four periods of up to 48 hours each, and replace it with a blanket exemption for intermittent short term tent camping by minors where the property is owned or occupied by the minor's parent or legal guardian. This would allow for occasional backyard campouts by kids, balancing the interests of those who own or use a property with the interests of their neighbors. These proposed changes are intended to meet the twin Council goals of resolving long-term problems for the City, and of being enforceable in a way that meets Council policy directives for protecting the life, health, and safety of our residents and businesses. Staff believes these will be effective tools and request that Council adopt the proposed changes as drafted. There is an additional Code change staff believes is necessary to make the other proposed changes work. SVMC 19.160.040 regulates issuance of temporary use permits. The existing provisions do not address temporary uses relating to use of an RV at a residence for visiting the occupant, such as a relative parking an RV in the driveway for several weeks. Staff is proposing a new subsection SVMC 19.160.040(D) for a TUP of up to 30 days for such activity, and includes several conditions for issuance, such as the use being entirely on the private property, the use can't materially interfere with surrounding properties, and that the City can require sanitary facilities if the conditions warrant it. Lastly, a Councilmember asked if there is a fee associated with TUPs if applied to RV use. Staff checked on this, and the fee for a typical TUP is $520. Staff is proposing that instead of that amount, a charge of one hour for issuance of the permit would be appropriate, which is the Building Official's estimate of the time required for this type of permit. The cost under that scenario would be $63 under the current Fee Schedule, which would go up over time with all other permits based on the current cost of living. Staff recommend requiring a TUP for RV use during emergency situations (such as a pandemic), but not require a fee under those limited circumstances. Staff is looking for consensus from Council on this issue. OPTIONS: (1) Put proposed Ordinance No. 22-010 as drafted on a future agenda for a second reading; or (2) take other action as appropriate. RECOMMENDED ACTION OR MOTION: Consensus to place Ordinance 22-010 as currently drafted adopting amendments related to junk vehicle, vehicle parking/storage, and camping nuisances on a future agenda for a second reading. BUDGET/FINANCIAL IMPACTS: Not applicable. STAFF CONTACT: Erik Lamb, Deputy City Manager; Bill Helbig, Community & Public Works Director; Jenny Nickerson, Building Official; Cary Driskell, City Attorney. ATTACHMENTS: (1) PowerPoint; (2) Draft Ordinance 22-010 Examples of camping that would be prohibited on private property Erik Lamb, Deputy City Manager; Bill Helbig, Community and Public Works Director; Cary Driskell, City Attorney July 19, 2022 City of Spokane Valley - Office of the City Attorney i RV camping — 12402 East Valleyway City of Spokane Valley - Office of the City Attorney 2 RV camping — 12402 East Valleyway City of Spokane Valley - Office of the City Attorney 3 RV camping — 5008 East 2nd Avenue City of Spokane Valley - Office of the City Attorney 4 RV camping — 4216 North Best Road City of Spokane Valley - Office of the City Attorney 5 RV camping — 4216 North Best Road City of Spokane Valley - Office of the City Attorney 6 RV camping — 4216 North Best Road City of Spokane Valley - Office of the City Attorney 7 RV camping — 2418 South Calvin Lane Apr 1, '20'22 at "I0:16:[? t 1 City of Spokane Valley - Office of the City Attorney 8 RV camping — 2418 South Calvin Lane 1Gi nD, D21 ti 1D:57:33Av1 City of Spokane Valley - Office of the City Attorney 9 RV camping — 2418 South Calvin Lane City of Spokane Valley - Office of the City Attorney 10 RV camping — 912 North Burns Road City of Spokane Valley - Office of the City Attorney n RV camping — 912 North Burns Road City of Spokane Valley - Office of the City Attorney 12 RV and tent camping — 5003 East 2nd Avenue City of Spokane Valley - Office of the City Attorney RV camping 11002 East Boone Avenue City of Spokane Valley - Office of the City Attorney 14 RV camping 605 North Marguerite Road City of Spokane Valley - Office of the City Attorney 15 RV camping 605 North Marguerite Road City of Spokane Valley - Office of the City Attorney Tent camping— DNR 100-acre wood City of Spokane Valley - Office of the City Attorney 17 RV and tent camping — 4908 East First Ave. City of Spokane Valley - Office of the City Attorney 18 RV and tent camping — 4908 East First Ave. City of Spokane Valley - Office of the City Attorney 19 Camp Hope City of Spokane Valley - Office of the City Attorney 20 DRAFT CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON ORDINANCE NO. 22-010 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, AMENDING CHAPTER 7.05 OF THE SPOKANE VALLEY MUNICIPAL CODE RELATING TO NUISANCES AND OTHER UPDATES, AMENDING CHAPTER 19.65 OF THE SPOKANE VALLEY MUNICIPAL CODE REGARDING RECREATIONAL VEHICLE USE, AMENDING CHAPTER 19.160 OF THE SPOKANE VALLEY MUNICIPAL CODE, AND OTHER MATTERS RELATING THERETO. WHEREAS, pursuant to RCW 35A.11.020 and RCW 35.22.280(30), the City of Spokane Valley (City) is authorized to "declare what shall be a nuisance, and to abate the same, and to impose fines upon parties who may create, continue, or suffer nuisances to exist"; and WHEREAS, the City previously adopted chapter 7.05 of the Spokane Valley Municipal Code (SVMC) in order to maintain a safe and healthy environment by regulating nuisance conditions that contribute to injury, illness, devaluation of property, and the incidence of crime; and WHEREAS, pursuant to chapter 7.48 RCW, the City is authorized to obtain an order for a warrant of abatement of public nuisances that may exist within the City; and WHEREAS, the City Council has identified certain other conditions, including but not limited to storage of unlicensed and junk vehicles on private property, camping on private property, improper vehicle parking and storage on private property, and recreational vehicle use on private property, which contribute to injury, illness, devaluation of property, and the incidence of crime and it desires to regulate such conditions as nuisances; and WHEREAS, the City Council desires to amend the applicable nuisance provisions in the SVMC to provide necessary updates for the public health, safety, and welfare. NOW THEREFORE, the City Council of the City of Spokane Valley, Spokane County, Washington, ordains as follows: Section 1. Purpose. The City Council hereby finds it appropriate to amend the Spokane Valley Municipal Code provisions related to nuisances and to update other appropriate Code provisions related to nuisances and nuisance abatement procedures. Section 2. Amendment. The following sections of chapter 7.05 SVMC are hereby amended as follows. Any section of chapter 7.05 SVMC not identified herein shall remain unchanged. 7.05.010 Purpose and intent. The purpose and intent of Chapter 7.05 SVMC is to create and maintain a safe and healthy environment for the citizens of the City by identifying and eliminating the conditions that contribute to injury, illness, devaluation of property, and the incidence of crime through the existence of nuisance conditions on public and private property. 7.05.020 Definitions. In addition to any definitions contained in Appendix A, the following words shall, for the purposes of Chapters 7.05 and 17.100 SVMC, be defined as: Ordinance 22-010 Regarding Nuisances Page 1 of 11 DRAFT "Days" are counted as business days when five or fewer days are allowed to perform an act required by Chapter 7.05 SVMC. "Days" are considered calendar days when more than five days are allowed to perform an act required by Chapter 7.05 SVMC. "Days" are counted by excluding the first day, and including the last day, unless the last day is a holiday, Saturday, or Sunday, pursuant to RCW 1.12.040, as now adopted or hereafter amended. "Determination of compliance" means a written determination by the city manager or designee that the violation(s) stated in the warning, voluntary compliance agreement, notice and order, stop work order, or other applicable order have been sufficiently abated so as to comply with the SVMC. "Graffiti" means an unauthorized marking, symbol, inscription, word, figure, design, or other inscribed material that has been placed upon any property through the use of paint, ink, dye, or any other substance capable of marking property. "Impound" means to take and hold a vehicle in legal custody pursuant to law. "Inoperable" means incapable of being operated legally on a public highway, including, but not limited to, not having a valid, current registration plate or a current certificate of registration. "Junk vehicle" means a vehicle meeting at least three of the following criteria: 1. Is three years old or older; 2. Is extensively damaged, such damage including but not limited to any of the following: a broken window or windshield, or missing wheels, tires, motor, or transmission; 3. Is apparently inoperable; 4. Has an approximate fair market value equal only to the approximate value of the scrap in it. "Nuisance" means a person's unreasonable or unlawful use of real or personal property, or unreasonable, indecent, or unlawful personal conduct or omission of conduct which materially interferes with, obstructs, or jeopardizes the health, safety, prosperity, quiet enjoyment of property, or welfare of others, offends common decency or public morality, or obstructs or interferes with the free use of public ways, places, or bodies of water. "Ongoing criminal activity related to the premises" means that (1) criminal activity is or has been occurring at the premises; or (2) criminal activity is or has been occurring near the premises and such activity has a reasonable and proximate connection to the premises, whether by owners, occupants, or persons visiting such owners or occupants. Examples of conduct or actions that constitute criminal activity occurring at or near the premises of the subject property include, but are not limited to, the following: 1. Service of a search warrant by law enforcement personnel; or 2. Arrest of one or more individuals by law enforcement personnel during any 24-hour period; or 3. Commission of a misdemeanor, gross misdemeanor, or felony at or near the premises and where there is a reasonable and proximate connection between the crime or criminal and the premises, including those visiting the owner or occupants of the premises; or 4. Visits by law enforcement personnel which occur based upon a reasonable belief by law enforcement that a crime is occurring or has occurred, but which do not result in any of the actions Ordinance 22-010 Regarding Nuisances Page 2 of 11 DRAFT identified in subsections (1) through (3) of this definition; provided, that visits alone may not form the sole basis for determining a premises to be a chronic nuisance premises. For purposes of this definition, service of warrants, arrests, or commission of misdemeanor or felony domestic violence shall not be considered criminal activity. "Person" means any public or private individual, sole proprietorship, association, partnership, corporation, or legal entity, whether for -profit or not -for -profit, and the agents and assigns thereof. "Person(s) responsible for a junk vehicle nuisance violation" means any one or more of the following: 1. The land owncrlandowner where the junk vehicle is located as shown on the last equalized assessment roll; or 2. The last registered owner of the vehicle, unless the owner in the transfer of ownership of the vehicle has complied with state law; or 3. The legal owner of the vehicle. "Person(s) responsible for a nuisance violation" means the person or persons who caused the violation, if that can be determined, and/or the owner, lessor, tenant, or other person(s) entitled to control, use, and/or occupancy of the property and the abutting public rights -of -way. "Unlicensed vehicle" means a vehicle that is not displaying a valid license plate and/or current registration tabs, or which has a license plate but registration that has an expired registration of more than 45 days. "Vehicle," for the purposes of SVMC 7.05.040(N}, includes every device capable of being moved upon a public highway and in, upon, or by which any persons or property is or may be transported or drawn upon a public highway, including bicycles. The term does not include devices other than bicycles moved by human or animal power or used exclusively upon stationary rails or tracks, pursuant to RCW 46.04.670. "Vessel" for purposes of SVMC 7.05.040 shall have the same meaning as set forth in RCW 79A.60.010. 7.05.030 Compliance, authority and administration. In order to discourage public nuisances and otherwise promote compliance with Chapter 7.05 SVMC, the city manager or designee may, in response to field observations, determine that violations of Chapter 7.05 SVMC have occurred or are occurring, and may utilize any of the compliance provisions set forth in Chapter 17.100 SVMC. 7.05.040 Nuisances prohibited. No person, firm, or entity shall erect, contrive, cause, continue, maintain, or permit to exist any public nuisance within the City including on the property of any person, firm, or entity or upon any public rights -of -way abutting a person, firm, or entity's property. Prohibited public nuisances include, but are not limited to: A. Vegetation. 1. Any vegetation, or parts thereof, which hang lower than eight feet above any public walkway or sidewalk; or hang lower than 14 feet above any public street; or which are growing in such a manner as to obstruct or impair the free and full use of any public walkway, sidewalk, or street; or violate City clearview triangle regulations. The City shall be responsible for maintaining all vegetation placed by the City adjacent to a public walkway, sidewalk, or street. Ordinance 22-010 Regarding Nuisances Page 3 of 11 DRAFT 2. Any growth of noxious weeds or toxic vegetation shall be subject to Chapter 16-750 WAC as currently adopted and hereafter amended. B. Buildings, Structures, Fences. Buildings or portions thereof which are deemed dangerous or unfit pursuant to the SVMC (including all building and property maintenance codes and regulations as currently adopted and hereafter amended). C. Sidewalks. 1. Any protrusion, awning, or overhang that inhibits or obstructs use of a public walkway or sidewalk. 2. Any object, construction, or damage that inhibits or obstructs the surface use of a public walkway or sidewalk. 3. Accumulations of dirt or debris not removed from a public sidewalk. D. Accumulations of Materials, Garbage, Recyclables, Furniture, Machinery. 1. Building and Construction Materials. Any accumulation, stack, or pile of building or construction materials, including but not limited to metal, wood, wire, electrical, or plumbing materials, not associated with a current, in -progress project and not in a lawful storage structure or container. This provision does not apply to a designated contractor's yard. 2. Garbage, Recyclables, Compost, and Infestations. a. Garbage or recyclables not properly stored in a receptacle with a tight -fitting lid. b. Any accumulation of broken or neglected items, litter, salvage materials, or junk not in an approved enclosed structure. c. Creating or maintaining any accumulation of matter, including but not limited to foodstuffs or dead vegetation (excluding properly maintained residential compost piles). 3. Furniture, Appliances, Furnishings, and Equipment. a. Any broken or discarded household furniture, furnishings, equipment, or appliance not in an approved enclosed structure. b. Any enclosure which may entrap a human or an animal, including accessible refrigeration appliances that have not had the doors secured or removed. 4. Machinery and Equipment. Any broken or inoperable accumulation of, or part of, machinery or equipment not in an approved enclosed structure. SVMC 7.05.040(D)(4) shall include such machinery and equipment as boats, jet -skis, snowmobiles, aircraft, golf carts, and the like, but shall not include junk vehicles, which are regulated pursuant to SVMC 7.05.040(IsFP). E. Fire Hazards. Any stack or accumulation of newspapers, dead vegetation (excluding properly maintained compost piles), overgrown vegetation, cardboard, or any other paper, cloth, or wood products left in a manner that poses a substantial risk of combustion or the spread of fire, as determined by the fire marshal. F. Toxic or Caustic Substances. Improper storage or keeping of any toxic, flammable, or caustic substances or materials. Ordinance 22-010 Regarding Nuisances Page 4 of 11 DRAFT G. Smoke, Soot, or Odors. Allowing the escape or emission of any harmful smoke, soot, fumes, gases, or odors which are offensive or harmful to a reasonable person. H. Bodies of Water. 1. All stagnant, pooled water in which mosquitoes, flies, or other insects may multiply, excluding any City -approved structure related to storm drainage systems. 2. The polluting of any waterway, well, or body of water which is not subject to the jurisdiction of another federal, state, county, special purpose district or city agency. I. Holes. Any excavated or naturally occurring uncovered holes which are not marked, guarded, or otherwise secured, and which constitute a concealed danger. J. Attractive Nuisances. Any accessible nuisance which is attractive to children including, but not limited to, unattended machinery or equipment, unsecured abandoned or vacant buildings, open and unattended vehicle trunks, or other unguarded conditions or situations that could injure or trap a child. K. Noise. 1. Any noise or sound that, originating within a residential zone, intrudes into the property of another person that exceeds the maximum permissible noise levels pursuant to Chapter 173-60 WAC, as currently adopted and hereafter amended. Such noise or sound may include, but is not limited to, noise or sound created by use of a radio, television set, musical instrument, sound amplifier, or other device capable of producing or reproducing noise or sound; or in connection with the starting, operation, repair, rebuilding, or testing of any vehicle, off -highway machinery or equipment, or internal combustion engine. 2. The following shall be exempt from the provisions of SVMC 7.05.040(K)(1): a. Normal use of public rights -of -way; b. Sounds created by motor vehicles when regulated by Chapter 173-62 WAC; c. Sounds originating from aircraft in flight and sounds that originate at airports which are directly related to flight operations; d. Sounds created by surface carriers engaged in commerce or passenger travel by railroad; e. Sounds created by warning devices not operating continuously for more than five minutes, or bells, chimes, or carillons; f. Sounds created by safety and protective devices where noise suppression would defeat the intent of the device or is not economically feasible; g. Sounds created by emergency equipment and work necessary in the interest of law enforcement or for health, safety or welfare of the community; h. Sounds originating from officially sanctioned parades and other public events; i. Sounds created by watercraft, except to the extent that they are regulated by other City or state regulations; Ordinance 22-010 Regarding Nuisances Page 5 of 11 DRAFT j. Sounds created by motor vehicles licensed or unlicensed when operated off public highways, except when such sounds are made in or adjacent to residential property where human beings reside or sleep; k. Sounds originating from existing natural gas transmission and distribution facilities; 1. Sounds created in conjunction with public work projects or public work maintenance operations executed at the cost of the federal government, state or municipality; m. Sounds created in conjunction with the collection of solid waste; n. Sounds created in conjunction with military operations or training; o. Sounds originating from organized activities occurring in public parks, playgrounds, gymnasiums, swimming pools, schools, and other public facilities and public recreational facilities during hours of operation; p. Sounds originating from agricultural activities. 3. The following shall be exempt from provisions of SVMC 7.05.040(K)(1) between the hours of 7:00 a.m. and 10:00 p.m.: a. Sounds originating from residential property relating to temporary projects for the repair or maintenance of homes, grounds, and appurtenances; b. Sounds created by the discharge of firearms on authorized shooting ranges; c. Sounds created by blasting; d. Sounds created by aircraft engine testing and maintenance not related to flight operations; provided, that aircraft testing and maintenance shall be conducted at remote sites whenever possible; e. Sounds created by the installation or repair of essential utility services. 4. The following shall be exempt from the provisions of SVMC 7.05.040(K)(1) between the hours of 7:00 a.m. and 10:00 p.m., or when conducted beyond 1,000 feet of any residence where human beings reside and sleep at any hour: a. Sounds originating from temporary construction sites as a result of construction activity; b. Sounds originating from the quarrying, blasting and mining of minerals or materials, including, but not limited to, sand, gravel, rock and clay, as well as the primary reduction and processing of minerals or materials for concrete batching, asphalt mixing and rock crushers; c. Sounds originating from uses on properties which have been specifically conditioned to meet certain noise standards by an appropriate City hearing body. L. Dust. Any disturbance of any land area, or permitting the same, without taking affirmative measures to suppress and minimize the blowing and scattering of dust, which unreasonably interferes with the peace, comfort, or repose of a reasonable person. This provision does not include permitted agricultural activities. M. Yard Sales. The holding or permitting of either: Ordinance 22-010 Regarding Nuisances Page 6 of 11 DRAFT 1. A yard sale on the same lot for (a) more than seven consecutive days; (b) more than two consecutive weekends; or 2. More than three separate yard sale events in one calendar year. The prohibition under this Section SVMC 7.05.040(M) shall only apply to dwellings, including but not limited to single family, multifamily, and duplex dwellings. N. Camping on Private Property. Camping on private property, including the use of tents and similar membrane structures, sheds and similar rigid structures, trailers, vehicles, and recreational vehicles, and similar items for the purposes of sleeping, eating, cooking, sanitation, or other activities consistent with dwelling on private property. When determining whether an RV or trailer is being used for camping, the City may consider use of a power cord, use of a water or sewer hose, use of any awnings, use of retractable stairs, whether any sliders or other extensions are out, or other similar facts typically present when such vehicles are used for their intended purpose. SVMC 7.05.040(N) does not apply to: 1. Legally established campgrounds and RV parks. 2. Temporary use of recreational vehicle with a valid City of Spokane Valley Temporary Use Permit pursuant to SVMC 19.65.130 and SVMC 19.160.040. 3. Periodic short-term use of a tent for recreational camping purposes by minor children when a parent or legal guardian is the primary resident of a legally established habitable dwelling on the parcel. O. Improper Vehicle/Vessel Parking and Storage. This section shall not apply to legally established parking lots, outdoor storage areas, self -storage facilities, and similar permitted uses pursuant to chapters 19.60 and 22.50 SVMC, nor where a Temporary Use Permit has been issued pursuant to chapter 19.160 SVMC. This section does not apply to junk vehicles or unlicensed vehicles, which are subject to SVMC 7.05.040(P). 1. Vehicle/vessel storage and parking areas are permitted on a parcel in a single-family residential zone as an accessory use to a legally established dwelling. 2. Except as provided in subsections 7.05.040(0)(3-4), parking or storing more than five total operable vehicles on a parcel with a single-family dwelling is prohibited. A property owner or a tenant may park or store more than five operable vehicles when they provide sufficient proof of more than five licensed drivers currently residing at the property. 3. Parking or storage of more than one recreational vehicle on a single-family residentially zoned property is prohibited, which is not included in the maximum of five allowable operable vehicles pursuant to SVMC 7.05.040(N)(2). 4. Parking or storage of more than one vessel on a licensed trailer on a single-family residentially zoned property is prohibited, which is not included in the maximum of five allowable operable vehicles pursuant to SVMC 7.05.040(N)(2). PN. Junk Vehicles and Unlicensed Vehicles. All junk vehicles and unlicensed vehicles, or parts thereof, placed, stored, or permitted to be located on private property within the City limits. SVMC 7.05.040(PN) does not apply to: 1. Any vehicle or part thereof that is completely enclosed within a lawful structure so that it is not visible from the street or other public or private property; Ordinance 22-010 Regarding Nuisances Page 7 of 11 DRAFT 2. Any vehicle or part thereof that is stored or parked in a lawful manner on private property in connection with the business of a licensed dismantler or licensed vehicle dealer, and the private property is fenced pursuant to RCW 46.80.130; 3. A junk vehicle does not include a vehicle which is in the process of being repaired, as evidenced by the good faith efforts of the vehicle owner. This exception shall include having up to one "parts" vehicle, from which parts are being salvaged concurrent with the repair process for the vehicle being excepted from compliance in this section. Good faith efforts of repair may include producing invoices showing work or parts purchased for repair or renovation within 30 days prior to issuance of the notice of violation, or a declaration under penalty of perjury that the vehicle is in the process of being repaired and has been worked on within 30 days prior to issuance of the notice of violation. This exception allows up to 60 days for good faith repair. Upon good cause shown, the city manager or designee shall have the discretion to grant one additional 60 day exception period pursuant to SVMC 7.05.040(N). Under no circumstance shall any good faith efforts of repair extend for more - than 120 days, after which time this exception shall no longer apply. This exception shall apply to one vehicle and one parts vehicle per parcel of land per calendar year; 43. There shall be allowed as exceptions to SVMC 7.05.040(NE) up to twoone total junk vehicle or unlicensed vehicles in R-1, R-2, and R 3, and R-4 zones, so long as they aroit is completely sight - screened by maintained landscaping, a maintained landscaped berm, or fencing, as allowed pursuant to any currently adopted SVMC landscaping, berm, or fencing requirements pursuant to chapter 22.70 SVMC. QQ. Graffiti. Any graffiti on public or private property. i R. Development Code Violations. Any violation pursuant to SVMC Titles 19, 20, 21, 22, 23, 24, and/or 25. Section 3. Amending SVMC 19.65.130. SVMC 19.65.130, Supplemental Use Regulations, is hereby amended as follows: 19.65.130 Residential. A. Accessory Structures. 1. The combined building footprint of all accessory permanent structures in residential zoning districts shall be: a. Up to 1,000 square feet for parcels up to 10,000 square feet in size; or b. Up to 10 percent of the lot size for parcels greater than 10,000 square feet in size. 2. Cargo shipping containers and similar enclosures are not a permitted accessory structure in any residential zoning district. B. Dwelling, Accessory Units. Accessory dwelling units shall comply with the provisions of Chapter 19.40 SVMC, Alternative Residential Development Options. C. Dwelling, Caretaker's Residence. A caretaker's residence is limited to custodial, maintenance, management, or security of a commercial property and is only allowed accessory to another permitted use on site. D. Dwelling, Cottages. Cottages shall comply with the provisions of Chapter 19.40 SVMC, Alternative Residential Development Options. Ordinance 22-010 Regarding Nuisances Page 8 of 11 DRAFT E. Dwelling, Duplex. Duplex dwelling units shall comply with the provisions of Chapter 19.40 SVMC, Alternative Residential Development Options. F. Dwelling, Industrial Accessory Dwelling Units. Industrial accessory dwelling units shall comply with the provisions of Chapter 19.40 SVMC, Alternative Residential Development Options. G. Dwelling, Townhouse. Townhouse dwelling units shall comply with the provisions of Chapter 19.40 SVMC, Alternative Residential Development Options. H. Manufactured Homes on Individual Lots. Manufactured homes on individual lots shall comply with the provisions of Chapter 19.40 SVMC, Alternative Residential Development Options. I. Manufactured Home Park. Manufactured home parks shall comply with the provisions of Chapter 19.40 SVMC, Alternative Residential Development Options. J. Recreational Vehicles. 1. Recreational vehicles shall not be used as permanent or temporary dwelling units in any residential zone, except as permitted pursuant to Chapter 19.40 SVMC; 2. A recreational vehicle shall not be parked within a required front yard setback for more than 15 consecutive days and not more than 30 days cumulative in any 12 consecutive months; and 3. Upon issuance of a Temporary Use Permit pursuant to chapter 19.160 SVMC, gQuests may park and/or occupy a recreational vehicle on private property while visiting the occupants of a dwelling unit located on the same lot for not more than 30 days in one consecutive 12-month period. 4. Upon issuance of a Temporary Use Permit pursuant to SVMC 19.160.040, applicants may utilize a recreational vehicle as temporary living quarters over the duration of construction activities related to a residence or otherwise legally permitted use of right, provided the applicant has an active building permit on file with the City of Spokane Valley. 5. The City Manager or designee may temporarily allow the use of a recreational vehicle as a temporary dwelling unit on private property for quarantine or similar purposes during emergency events. Section 4. Amending SVMC 19.160.040. SVMC 19.160.040, Decision Criteria, relating to temporary use permits is hereby amended as follows: A. Interim Uses. The department may issue a TUP to allow an owner, developer, contractor, tenant, lessee, or other occupant to conduct an otherwise permitted use on their property at the same time they are improving the property to the required City standards pursuant to the following conditions: 1. The TUP may be issued for a period up to six months and may be extended for an additional three months if the applicant has acted in good faith towards compliance of the original permit. 2. The depaitinent may issue the permit only if the proposed use is consistent with the following findings of fact: a. The request is reasonable and there is no other practical alternative; Ordinance 22-010 Regarding Nuisances Page 9 of 11 DRAFT b. Adverse impacts associated with the temporary use are appropriately mitigated and such temporary use will not cause a hazard to the occupants or to neighboring properties; c. A hardship is involved that cannot otherwise be reasonably resolved; and d. A performance surety in the amount of any required improvements shall be posted guaranteeing the completion of the project. B. Seasonal Uses and Short -Term Recreational and Economic Development Uses. The department may issue a TUP to allow sales of seasonal goods in any nonresidential zone for a period not to exceed six months in any 12-month period. The use may not meet the standards normally associated with a permanent use if the department finds that the temporary use is consistent with the following: 1. The use shall be consistent with the permitted uses in the zone; 2. The use shall be an appropriate use of the property pending the permanent long-term use; 3. The use shall not result in significant traffic, parking, drainage, fire protection, or other adverse impacts that cannot be appropriately mitigated; 4. The use shall provide a sanitary facility if the department determines it is necessary to do so; and 5. Failure to comply with the conditions of the permit shall result in suspension or revocation of the TUP. C. Temporary Uses Associated with Construction Permits. The department may issue a TUP for activities associated with construction projects including, but not limited to, equipment storage yards, job shacks, materials storage yards, or living quarters which are not otherwise permitted outright by City ordinances or regulations. The depaitinent may issue a TUP if it finds the proposal is consistent with the following: 1. The use shall not pose a hazard or be a detriment to the surrounding area; 2. The use shall not result in significant traffic, parking, drainage, fire protection, or other adverse impacts; 3. The temporary use shall be reviewed every six months to determine if the temporary use is still valid; if not, the department shall terminate the TUP; and 4. The temporary use shall be vacated upon completion of the associated construction project or pursuant to SVMC 19.160.040(C)(3). D. Temporary Uses Associated with Residential Visitation. The department may issue a TUP for activities associated with guests parking and/or occupying a recreational vehicle on private property while visiting the occupants of a dwelling unit located on the same lot for not more than 30 days in one consecutive 12- month period. The department may issue a TUP if it finds the proposal is consistent with the following: 1. The use shall not pose a hazard or be a detriment to the surrounding area; Ordinance 22-010 Regarding Nuisances Page 10 of 11 DRAFT 2. The use shall be contained entirely on the lot where the dwelling unit is located and shall not be on public right-of-way; and 3. The use shall provide a sanitary facility if the depai tment determines it is necessary to do so. Section 5. Other Sections Unchanged. All other provisions of chapter 7.05 SVMC and chapter 19.65 SVMC not specifically referenced hereto shall remain in full force and effect. Section 6. Severability. If any section, sentence, clause or phrase of this Ordinance shall 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 in this Ordinance. Section 7. Effective Date. This Ordinance shall be in full force and effect five days after publication of this Ordinance or a summary thereof in the official newspaper of the City of Spokane Valley as provided by law. Passed by the City Council this day of July, 2022. ATTEST: City of Spokane Valley Pam Haley, Mayor Christine Bainbridge, City Clerk Approved as to Form: Office of the City Attorney Date of Publication: Effective Date: Ordinance 22-010 Regarding Nuisances Page 11 of 11 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 19, 2022 Department Director Approval: ❑ Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Department of Commerce/Washington State Department of Transportation Funding for Camp Hope - Update GOVERNING LEGISLATION: NA PREVIOUS COUNCIL ACTION TAKEN: Administrative Report on June 28, 2022; Administrative Report on proposal for use of first 30% tranche on July 12, 2022 BACKGROUND: The Department of Commerce has put out an RFP (request for proposal) to address "Camp Hope," a large homeless camp located on WSDOT property at 2nd Avenue and Ray Street in the City of Spokane . The amount of $24.3 million has been set aside from several sources to be used specifically for the purpose of re -locating and housing individuals from this camp. The camp currently houses over 600 individuals. According to the RFP: "The Department is offering priority counties the opportunity to submit a unified (one per county) multijurisdictional proposal (including the county and cities in which the priority sites have been identified) to use the initial offer funding." If a multijurisdictional proposal is not submitted, or if the proposal is deemed insufficient, the Department of Commerce has indicated they will next entertain proposals from area service providers. The proposal, and signed partner Memorandums of Understanding (MOU) are due July 21 st The RFP states that no more than 50% of the units may be temporary (e.g., shelters and transitional housing). Additionally, a majority of proposed beds should be available no later than August 2022. Representatives from the Department of Commerce have indicated they are willing to allow up to one year for the proposed permanent housing solutions to become fully available. A regional group consisting of staff and elected officials from the City of Spokane, Spokane County, City of Spokane Valley, and Spokane Housing Authority has been meeting to develop a regional proposal. The City of Spokane has taken the lead status on developing the proposal and on July 12, 2022, City Council gave consensus to support the proposal for use of the initial 30% of the funding towards assessment, purchase of a motel in the City of Spokane, purchase and installation of 30 two -person pods in Spokane's Trent shelter site, and operational costs for transportation services. The first 30% would provide approximately 100-110 permanent supportive housing units, with an additional 60 shelter units through the pods at the Trent shelter. The City of Spokane, in collaboration with the regional group, has been developing a proposal for use of the remaining 70% of Commerce funds to address Camp Hope and is now seeking input and buy -in from Spokane County, the City of Spokane Valley, and the Spokane Housing Authority (SHA). Due to the short time period, the proposal was still being developed at the time of this RCA and will be provided to City Council Tuesday, July 19, for consideration. As outlined in previous RCAs, staff are aware that people from Spokane Valley are living in Camp Hope and if Camp Hope is broken up, they will likely return to Spokane Valley. Consequently, it is important for City Council to carefully consider the proposals being presented to allow the City to address and direct those coming to Spokane Valley to the appropriate shelter or housing that is ultimately funded from the Commerce grant. Staff have looked at whether Commerce funds could be utilized to purchase and stand up a Spokane Valley shelter. Any shelter would be subject to the City's adopted code which would allow a maximum of 20 shelter beds. However, due to the very short timeline, staff do not believe that a site could be identified and appropriate due diligence conducted in a manner which would meet Council's expectations. Thus, at this time, staff are not recommending use of the funds towards a Spokane Valley shelter. Staff continue to work on a draft action plan on homelessness and will bring that forward as soon as it is completed. OPTIONS: Discussion. RECOMMENDED ACTION OR MOTION: Discussion. BUDGET/FINANCIAL IMPACTS: None at this time. STAFF CONTACT: John Hohman, City Manager; Erik Lamb, Deputy City Manager; Eric Robison, Housing and Homeless Coordinator ATTACHMENTS: Commerce Rights of Way RFP City of Spokane Proposal for use of initial 30% tranche City of Spokane Valley Letter of support of initial 30% tranche Spokane County Letter of support of initial 30% tranche AMA Washington State v4b Commerce RIGHTS OF WAY INITIATIVE Rights of Way Initiative Process and Requirements Goal Quickly move people out of prioritized state rights of way and into better living situations. Process The state has identified five priority counties in which it will focus initial initiative efforts, and will create a list of priority rights of way in each county. The state's goal is to address as many prioritized rights of way as possible with available resources. Initial process and use of funds In the interest of promptly beginning the process of moving people to safer living situations, while providing more time for additional planning and feedback to build on the work to date, Commerce and state agencies may enter into MOUs and associated contracts and spend up to 30% of the funds for outreach and shelter or housing prior to the next stage of planning and stakeholder feedback. Conditions for the initial funding include: 1. The funded organizations must have a recent history of housing or providing outreach to people experiencing homelessness in alignment with these guidelines. 2. The county and city associated with the housing or shelter and outreach do not raise concerns that would dissuade the Department from proceeding with prompt procurement of the housing or shelter and outreach. 3. Housing or shelter and outreach must comply with the habitability, access and other requirements described below. Process for longer term use of funds The Department is offering priority counties the opportunity to submit a unified (one per county) multijurisdictional proposal (including the county and cities in which priority sites have been identified) to use the initial offer of funding. Proposals should: 1. Aim to quickly set -aside existing or create as many beds as possible given available funding to house or shelter people living in state rights of way, with the goal of having the majority of proposed beds available no later than August 2022. 2. Offer housing or shelter that is: RIGHTS OF WAY INITIATIVE PROCESS AND REQUIREMENTS 1 V3.0 a. Safer than living in a right of way; b. A meaningful improvement over living in a right of way; and c. Better addresses an individual's assessed needs. 3. Provide shelter or housing options that accommodate single people, couples, families, and pets. 4. Include the provision of outreach to assess the needs of people living in identified rights of way and make good -faith offers of shelter or housing to them. 5. Include providing services that actively help people living on rights -of -way move to permanent housing situations. 6. Describe how people moved into shelter or housing will be supported by staff who have successfully operated housing aligned with the Housing Accessibility requirements described below. 7. Describe how costs are aligned with market rates and similar efforts in the area, and include details on the number of beds or units funded, the expected number of people housed in those beds or units, operating costs per bed or unit, and services costs per bed or unit. 8. Detail the number of staff, staff costs, and other costs associated with outreach and services. 9. Ensure no more than 50% of units dedicated to people living in rights of way are intended in the long term to be temporary living situations (e.g., shelters and transitional housing). Collection of feedback regarding county and statewide efforts As part of the proposal development process, applicants must actively engage and collect feedback from local homeless and affordable housing providers, homeless outreach providers, and homeless and affordable housing advocates regarding: a. The proposed use of funding in the county b. Types of housing and habitability standards governing the funded shelter and housing c. The roles, policies, and procedures governing outreach and law enforcement engagements with people at prioritized sites d. Changes the state should make regarding the overall state initiative e. Other issues of concern identified by participants Feedback provided must be summarized and submitted as part of the proposal, and copies of written feedback must be forwarded to the Department. If local governments from the five priority jurisdictions associated with priority sites are not able to assemble a viable proposal by July 21, 2022, or if before then it is clear a viable proposal is not forthcoming, Commerce may choose to pursue direct contracts with individual local governments, a subset of local governments RIGHTS OF WAY INITIATIVE PROCESS AND REQUIREMENTS 2 V3.0 working together, or non-profit organizations with experience engaging and housing people experiencing homelessness. Funding will be guided by memorandums of understanding signed by state agencies, local governments, and non-profit organizations who are parties to each regional plan. The MOUs will define the specific responsibilities of each signatory, including the provision of outreach, housing, funding, law enforcement if needed, and a plan to maintain prioritized sites after people have moved. State funding will be awarded to one or more organizations in each county in alignment with the signed MOUs. Funding allocations may be adjusted to favor local governments or non-profit organizations who are able to quickly implement outreach and housing at scale to move people out of rights of ways starting immediately, with a focus on the majority of funded beds being available in the summer of 2022. Available Funding (estimates) Types of funding available: Flexible Proviso Funds - Proviso funding intended to be ongoing for services, operations, outreach, acquisition, capital improvements, and other flexible uses (ongoing multi -year awards available). Home Security Funds — Funds from a dedicated recording fee for services, rapid re -housing (i.e., temporary rent assistance), housing acquisition, hotel vouchers, and project -based vouchers. County governments have right of first refusal. One-time funding, but awards can be stretched over up to three years. Rapid Capital Acquisition Funds - One-time capital funds for enhanced emergency shelters, permanent supportive housing, transitional housing, permanent housing, or shelter; and renovation costs associated with the previous allowable uses. Acquired facilities must be used for at least 40 years as low income housing. Estimated funding available to each county is determined using a formula that includes base funding ($15 million per county), and distributes the balance of funding ($129 million) proportional to the number of people experiencing homelessness in each county as per the July 2021 Snapshot of Homelessness in Washington State. King Pierce Snohomish Spokane $46,927,584 $30,255,489 $22,910,681 $24,304,192 Thurston $19,602,054 TOTAL $144,000,000 RIGHTS OF WAY INITIATIVE PROCESS AND REQUIREMENTS 3 V3,0 The amounts and types of funding provided to each county will be adjusted to best match rapid implementation of this initiative. Allowable Housing Types and Related Costs Acquisition, renovation, leasing, operating, maintenance, tenant leasing, and associated services costs for: • • Apartments and houses Permanent supportive housing, homeless shelters, and transitional housing Hotels and motels Dormitories Temporary shelter sites including tiny homes, tents, authorized encampments, or similar living situations. This designation requires use approval, as required by the local jurisdiction. This could be conditional or temporary use permits, or a zoning letter stating approval. Funding can be used for outreach, assessment, transportation, and other costs associated with moving people into set -aside housing. Funded units/beds and outreach can be used to assist people experiencing homelessness who are not living on prioritized rights of way if the Department determines the beds are no longer needed to transition people who live on state rights of way. The State is committed to finding and implementing an appropriate balance between the need to hold funded units for people living on rights of way and ensuring that bed utilization is maximized to bring people inside who are living unsheltered on non -state land. Housing Safety and Habitability Requirements All funded living situations must protect occupants from the elements and not pose a threat to health or safety. Accommodations must be made for people who use wheelchairs or mobility devices, as needed, and reasonable accommodations must be made for other disabilities. All funded living situations must provide: • Access to hygiene facilities, including toilets, handwashing and garbage containers, all of which are serviced frequently Access to storage for the belongings Cleaning services to support hygienic living situations Access to habitable temperatures RIGHTS OF WAY INITIATIVE PROCESS AND REQUIREMENTS 4 V3.0 • Reasonable proximity to the right of way from which the person was moved, and reasonable access to transportation to local services Funded living situations should also provide: • Access to personal hygiene products • Access to food and beverages and food that is in accordance with the participant's religious and cultural beliefs and personal practices Access to laundry facilities Access to electricity Housing Accessibility • • • • Housing and shelter beds funded by this initiative must have realistic and clear expectations. Rules and policies must be narrowly focused on maintaining a safe environment for participants and the community and avoiding exits to homelessness. Housing and shelters must have flexible intake processes and require minimal documentation. At a minimum, people must not be screened out based on the following criteria: Having little or no income Having poor credit or financial history Having poor or lack of rental history or evictions Having involvement with criminal justice system Having active or a history of alcohol and/or substance use Having been impacted or affected by crime The type or extent of disability -related services or supports that are needed Lacking identification or proof of U.S. Residency Status Other behaviors that are perceived as indicating a lack of "housing readiness," including resistance to receiving services • If a program serves households with children, the age of a minor child cannot be used as a basis for denying any household's admission to the program Housing can be oriented to moving people to more permanent housing, but housing may not have strict stay limits. Participants must not be exited to homelessness solely due to the number of days residing in housing. Participants must not be terminated from the program for the following reasons: RIGHTS OF WAY INITIATIVE PROCESS AND REQUIREMENTS 5 V3.0 • Failure to participate in supportive services or treatment programs Failure to make progress on a housing stability plan Alcohol and/or substance use in and of itself is not considered a reason for termination If a participant is terminated from the housing due to violating rules focused on maintaining a safe environment, there must be a process in place for the participant to re -enroll in the housing at a later date when the behavior has resolved. Housing and shelter must comply with local, state, and federal nondiscrimination requirements, including not discriminating based on religion, gender identity, or sexual orientation. Reporting Funding recipients are required to report to the Department every 60 days: 1. Number of people on the rights of way engaged by the recipient 2. Age, gender, race, and ethnicity of people engaged 3. Type and duration of engagement with individuals living on rights of way 4. Types of housing or shelter options that were offered 5. The number of individuals who accepted offered housing or shelter 6. The types of assistance provided to move individuals into offered housing 7. Services and benefits in which an individual was successfully enrolled 8. Housing outcomes of individuals who were placed into housing six months and one year after placement 9. Number of people arrested or fined in association with a prioritized site Commerce will publish a report on the race and ethnicity of those engaged and housed, comparing it to other subgroups to identify disparities. Contacting the Department of Commerce Proposals in responses to this solicitation should be sent to Tedd Kelleher, tedd.kelleher@commerce.wa.gov. Questions and comments can be asked via email or by calling Tedd Kelleher at (360) 725-2930. RIGHTS OF WAY INITIATIVE PROCESS AND REQUIREMENTS 6 V3.0 COMMUNITY, HOUSING, AND HUMAN SERVICES DEPARTMENT 808 W. SPOKANE FALLS BLVD. SPOKANE, WASHINGTON 99201 509.625.6325 FAX 509.625.6315 July 11, 2022 RE: Department of Commerce Right of Way (ROW) Funding, 30% tranche TO: Mr. Tedd Kelleher Senior Managing Director Housing Assistance Unit, Community Services and Housing Division Washington State Department of Commerce Dear Mr Kelleher, We have activated a mufti -jurisdiction and agency response that includes Spokane County, City of Spokane, City of Spokane Valley, the Spokane Housing Authority as the lead agencies to develop a regional proposal for State Commerce. This proposal includes a robust partnership of service providers to assist in getting actions done in the short and longer term. In coordination with other agencies, we would declare a homelessness emergency as a companion to the housing emergency declaration by Spokane Mayor Nadine Woodward already in place and would expand that to other jurisdictions as they determine. 30% of the allocated $24,000,000 is $7,200,000 that is recommended as below. Initial 30% ($7,200,000) Action Steps Bed Spaces Cost Estimates and Date Propose a mufti -agency coordinated response to provide onsite Required $500,000 (est.) assessments and case management at the WADOT site to include precursor August a multi -discipline and integrated medical care approach to this to identify vulnerable population that develops the best housing, supportive best housing, or shelter solution based on an individual's needs. This housing assessment plan includes follow-up for a year after transition to ensure ongoing needs are met and individuals have the support needed not to return to street homelessness. Agreements are in progress with: solution • The United Way • Spokane Neighborhood Action Partners (SNAP) • Providence • Compassionate Addiction Treatment (CAT) • CHAS Street Medicine • Revive • Jewels Helping Hands Commit to purchase and rehab a motel on Sunset Highway to create 88 affordable housing units for 100-110 people within 90 days of funding. This property was to be a Permanent Supportive Housing (PSH) acquisition and can accelerate the occupation and defer the improvements to convert to PSH incrementally over the next 2-3 years by sets of rooms. (CCEW) 100-110 $6,000,000 (est.) Rapid capital acquisition August Provision for approximately 30 2-person living pods as transitional space in the new -large capacity Trent shelter to help people on the journey back to permanent housing. Expand shelter infrastructure for more permanent restroom, shower, laundry, and ADA accessibility for sustained use (Trent Shelter, Guardians/TSA) 60 transitional 2-person pods $600,000 (est.) September Establish transportation partnership with STA and shelter operators for 3x day loop to include WADOT site, shelters and service providers. First year cost. Cyclical transit $120,000 30% FUNDING $7,220,000 reean Beggs, City Council President Membe r, y Dist. 3 one it Council 011-1.01, Lori Kinnear, City Council Member, Dist. 2 a1044/2e. Nadine Woodward, Mayor, City of Spokane Spokane .000 Valley July 13, 2022 10210 E Sprague Avenue ♦ Spokane Valley WA 99206 Phone: (509) 720-5000 ♦ Fax: (509) 720-5075 ♦ www.spokanevalley.org Email: cityhall@spokanevalley.org spokanevalley.org Mr. Tedd Kelleher Senior Managing Director Housing Assistance Unit, Community Services and Housing Division Washington State Department of Commerce RE: Department of Commerce Right of Way (ROW) Funding, 30% tranche Dear Mr. Kelleher, On behalf of the City of Spokane Valley City Council, please accept this letter of support for the initial 30% request of ROW funding as outlined in the document provided by the City of Spokane on July 11, 2022 and signed by Mayor Woodward, Council President Beggs, Councilmember Kinnear, and Councilmember Zappone. Spokane Valley has been a strategic partner and stakeholder with the City of Spokane, Spokane County, and the Spokane Housing Authority to develop a regional proposal for the State Commerce ROW funding. The City of Spokane Valley acknowledges that the City of Spokane will serve as the fiscal agent for any fiends awarded for ROW purposes outlined in the initial 30% request on behalf of the regional stakeholders. To date, the above -mentioned entities have been working collaboratively seeking solutions for those who find themselves inhabiting ROW locations throughout the region. This issue is one of the most significant challenges facing the region and the City of Spokane Valley is committed to participate in current and upcoming conversations on potential solutions that will hopefully bring better outcomes for both individuals and the region as a whole. Sincerely, c)Pet- 013 Mayor Pam Haley Encl: City of Spokane funding plan for 30% tranche letter. Spokane County OFFICE OF COUNTY COMMISSIONERS Josh Kerns, l S1 District I Mary L. Kuncy, 2" d District I Al French, 31.4 District July 12, 2022 Mr. Tedd Kelleher Senior Managing Director Housing Assistance Unit, Community Services and Housing Division Washington State Department of Commerce Re: Department of Commerce Right of Way (ROW) Funding, 30% tranche Dear Mr. Kelleher, Please accept this letter of support for the initial 30% request of ROW funding as outlined in the document provided by the City of Spokane on July 11, 2022 and signed by Mayor Woodward, Council President Beggs, Council Member Kinnear, and Council Member Zappone. Spokane County has been a strategic partner and stakeholder with the City of Spokane, City of Spokane Valley, and the Spokane Housing Authority to develop a regional proposal for the State Commerce ROW funding. Spokane County acknowledges that the City of Spokane will serve as the fiscal agent for all funds awarded for ROW purposes in Spokane County. To date, the above -mentioned entities have been working collaboratively seeking solutions for those who find themselves inhabiting ROW locations. We are striving to bring better outcomes for both individuals and the community as a whole. Sincerely, Mary hair Al French, V e Chair . sh Kerns, Commissioner Enclosure: City of Spokane funding plan for 30% tranche letter (1) 1116 WEST 13ROADWAY AVENUE, SPOKANE, WA 99260-0100 (509)477-2265 DRAFT ADVANCE AGENDA as of July 14, 2022; 9:30 a.m. Please note this is a work in progress; items are tentative To: Council & Staff From: City Clerk, by direction of City Manager Re: Draft Schedule for Upcoming Council Meetings July 26, 2022, Formal Meeting, 6:00 p.m. [due Tue July 19] Proclamation: National Night Out 1. Consent Agenda (claims, payroll, minutes) (5 minutes) 2. Second Reading Ordinance 22-010 Nuisance, Code Enforcement — Cary Driskell, Erik Lamb, Bill Helbig (15 min) 3. Motion Consideration: Potential Grant Opportunity, Transportation Improvement Board — Adam Jackson (5 minutes) 4. Admin Report: Midilome Neighborhood Swales — Gloria Mantz 5. Admin Report: Law Enforcement Contract — Erik Lamb, Morgan Koudelka 6. Admin Report: Advance Agenda — Mayor Haley 7. Info Only: Department Monthly Reports (10 minutes) (20 minutes) (5 minutes) [*estimated meeting: 60 mins] Auj'ust 2, 2022, Study Session, 6:00 p.m. — meeting cancelled (National Night Out) August 9, 2022, Formal Meeting, 6:00 p.m. 1. Consent Agenda (claims, payroll, minutes) 2. Mercer International Inc. — Susan Nielsen 3. Admin Report: Pavement Management Funding Discussion — Bill Helbig Adam Jackson 4. Admin Report: Advance Agenda — Mayor Haley [due Tue Aug 2] (5 minutes) (10 minutes) (20 minutes) (5 minutes) [*estimated meeting: 40 mins] August 16, 2022, Study Session, 6:00 p.m. ACTION ITEMS: 1. Motion Consideration: Council Goals & Priorities for Use of Lodging Tax — Chelsie Taylor NON -ACTION ITEMS: 2. Homeless Program Update — Eric Robison et al 3. TPA Update — Mike Basinger 4. Council 2023 Budget Goals — John Hohman Chelsie Taylor 5. Advance Agenda — Mayor Haley [due Tue Aug 2] (15 minutes) (30 minutes) (15 minutes) (15 minutes) (5 minutes) [*estimated meeting: 80 mins] August 23, 2022, Formal Meeting, 6:00 p.m. 1. Consent Agenda (claims, payroll, minutes) 2. First Reading Ordinance Re TPA — Mike Basinger 3. Admin Report: 2023 Budget, Estimated Revenues & Expenditures — Chelsie Taylor 4. Admin Report: Advance Agenda — Mayor Haley 5. Info Only: Department Monthly Reports August 30, 2022, Study Session, 6:00 p.m. 1. Advance Agenda — Mayor Haley Sept 6, 2022, Study Session, 6:00 p.m. 1. Advance Agenda — Mayor Haley [due Tue Aug 16] (5 minutes) (20 minutes) (15 minutes) (5 minutes) [*estimated meeting: 45 mins] Sept 13, 2022, Formal Meeting, 6:00 p.m. 1. PUBLIC HEARING #1: 2023 Budget: 2023 Revenues, Includes Property Taxes 2. Consent Agenda (claims, payroll, minutes; motion to set Budget Hearing for 10/11) 3. Second Reading Ordinance Re TPA — Mike Basinger 4. Admin Report: Advance Agenda — Mayor Haley Sept 20, 2022, Study Session, 6:00 p.m. 1. Outside Agency presentations (5 minutes each) — Dan Domrese 2. Proposed Ordinance Adopting 2023 Property Taxes — Chelsie Taylor 3. Advance Agenda — Mayor Haley [due Tue Aug 23] (5 minutes) [due Tue Aug 30] (5 minutes) [due Tue Sept 6] (10 minutes) (5 minutes) (10 minutes) (5 minutes) [*estimated meeting: 30 mins] [due Tue Sept 13] (-110 minutes) (10 minutes) (5 minutes) [*estimated meeting: 125 mins] Draft Advance Agenda 7/14/2022 1:47:32 PM Page 1 of 2 Sept 27, 2022, Study Session, 6:00 p.m. 1. Advance Agenda — Mayor Haley October 4, 2022, Study Session, 6:00 p.m. 1. City Manager Presentation of 2023 Preliminary Budget — John Hohman 2. Advance Agenda — Mayor Haley Oct 11, 2022, Formal Meeting, 6:00 p.m. 1. PUBLIC HEARING #2: 2023 Budget: Preliminary Budget 2. First Reading Property Tax Ordinance — Chelsie Taylor 3. Consent Agenda (claims, payroll, minutes) 4. Admin Report: 2022 Budget Amendment — Chelsie Taylor 5. Admin Report: Advance Agenda — Mayor Haley Oct 18, 2022, Study Session, 6:00 p.m. 1. Advance Agenda — Mayor Haley Oct 25, 2022, Formal Meeting, 6:00 p.m. 1. PUBLIC HEARING: 2022 Budget Amendment — Chelsie Taylor 2. First Reading Ordinance Amending 2022 Budget — Chelsie Taylor 3. Consent Agenda (claims, payroll, minutes) 4. Second Reading Property Tax Ordinance — Chelsie Taylor 5. First Reading Ordinance Adopting 2023 Budget — Chelsie Taylor 6. Motion Consideration: Outside Agency Grant Awards — Dan Domrese 7. Admin Report: Advance Agenda — Mayor Haley 8. Info Only: Department Monthly Reports Nov 1, 2022, Study Session, 6:00 p.m. 1. Advance Agenda — Mayor Haley Nov 8, 2022, Formal Meeting, 6:00 p.m. 1. PUBLIC HEARING #3: 2023 Budget — Chelsie Taylor 2. Consent Agenda (claims, payroll, minutes) 3. Second Reading Ordinance Amending 2022 Budget — Chelsie Taylor 4. Second Reading Ordinance Adopting 2023 Budget — Chelsie Taylor 5. Admin Report: LTAC Recommendations to Council — Chelsie Taylor 6. Admin Report: Advance Agenda — Mayor Haley 7. Info Only: Department Monthly Reports Nov 15, 2022, Study Session, 6:00 p.m. 1. Advance Agenda — Mayor Haley Nov 22, 2022, Formal Meeting, 6:00 p.m. 1. Consent Agenda (claims, payroll, minutes) 2. Admin Report: 2023 Fee Resolution — Chelsie Taylor 2. Admin Report: Advance Agenda — Mayor Haley 3. Info Only: Department Monthly Reports Nov 29, 2022 — meeting cancelled — Thanksgiving holiday *time for public or council comments not included OTHER PENDING AND/OR UPCOMING ISSUES/MEETINGS: Appleway Trail Amenities Basement space Castle Park CDBG Interlocal Consolidated Homeless Grant Continuum of Care (info item) Core Beliefs Resolution Gang Activity Gov. Auth. Emergencies (info) Mirabeau Park Forestry Mgmt. Neighborhood Restoration NLC Summit Nov 16-19 Park Lighting PFD Presentation Prosecutor Services Residency [due Tue Sept 20] (5 minutes) [due Tue Sept 27] (25 minutes) (5 minutes) [due Tue Oct 4] (10 minutes) (10 minutes) (5 minutes) (10 minutes) (5 minutes) [due Tue Oct 11] (5 minutes) [due Tue Oct 18] (5 minutes) (10 minutes) (5 minutes) (10 minutes) (10 minutes) (10 minutes) (5 minutes) [*estimated meeting: 55 mins] [due Tue Oct 25] (5 minutes) [due Tue Nov 1] (5 minutes) (5 minutes) (10 minutes) (10 minutes) (15 minutes) (5 minutes) [*estimated meeting: 50 mins] [due Tue Nov 8] (5 minutes) [due Tue Nov 15] (5 minutes) (10 minutes) (5 minutes) [*estimated meeting: 55 mins] SCRAPS Update St. Illumination (owners, cost, location) St. O&M Pavement Preservation Vehicle Wgt Infrastructure Impact Water Districts & Green Space Way Finding Sign Draft Advance Agenda 7/14/2022 1:47:32 PM Page 2 of 2