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2022, 10-25 Regular Formal MINUTES City of Spokane Valley City Council Regular Formal Meeting Tuesday, October 25, 2022 Mayor Haley called the meeting to order at 6 p.m.The meeting was held in person by Council and staff in Council Chambers, and also remotely via Zoom meeting. Attendance: Councilmembers Staff Pam Haley, Mayor John Holman, City Manager Rod Higgins,Deputy Mayor Erik Lamb,Deputy City Manager Tim Hattenburg, Councilmember Cary Driskell, City Attorney Laura Padden, Councilmember Tony Beattie, Sr. Deputy City Attorney Brandi Peetz, Councilmember Chelsie Taylor, Finance Director Ben Wick, Councilmember Bill Helbig, Community&Public Works Dir. Arne Woodard, Councilmember [via zoom] John Bottelli, Parks, Rec&Facilities Director Gloria Mantz, City Engineer Chad Phillips, Storrnwater Engineer Mike Basinger, Economic Development Dir. Dan Domrese, Accounting Manager Sarah Fall,Accountant/Budget Analyst Kendall May,Recreation Coordinator Eric Robison,Housing& Homeless Coordinator Christine Bainbridge, City Clerk INVOCATION: Pastor Manuel Denning of Fountain Ministries gave the invocation. PLEDGE OF ALLEGIANCE Members of Girl Scout Troop 2218 led the Pledge of Allegiance. ROLL CALL City Clerk Bainbridge called the roll; all Councilmembers were present. APPROVAL OF AMENDED AGENDA It was moved by Deputy Mayor Higgins, seconded and unanimously agreed to approve the amended agenda. Mayor Haley explained that the agenda is amended as the members from Retail Strategies were unable to attend tonight's meeting due to adverse weather conditions in Dallas,Texas. INTRODUCTION OF SPECIAL GUESTS AND PRESENTATIONS n/a COMMITTEE,BOARD,LIAISON SUMMARY REPORTS Councilmember Peetz: no report. Councilmember Padden: no report. Councilmember Wick: reported that he attended the Visit Spokane's meeting and that they had sent an e- mail to all our hoteliers pending the end-of-year changes with our TPA(Tourism Promotion Area); said he feels there were some miscommunications so there will be future meetings to hopefully correct come of those; said the Board is trying to figure out how to get more members engaged as they also struggle with quorum issues at the Board meetings;he noted their Executive Director Meg Winchester will be ending her position at the end of this year; said he attended the Airport's groundbreaking for their expansion and suggested inviting someone from the airport to give Council an update; said he was re-appointed to the FMSIB (Freight Mobility Strategic Investment Board)and chairs the Project Prioritization Committee and the Board and committee continues working through a list of projects. Council Meeting Minutes,Formal: 10-25-2022 Page 1 of 7 Approved by Council: 11-08-2022 Councilmember Woodard: reported that he met with the Growth Management Steering Committee of Elected Officials; said they conducted a public hearing on their planning policies, and that the hearing has been left open until November 9 to enable further public comments;said there was some editing suggestions so by the 9'h meeting the Committee might be able to approve a document that will hopefully then be approved by the Board of County Commissioners; said they are holding over until next year the issue with the Sovereign Indians Nation; said there is also some pending legislation about affordable housing so there could be an amendment in December. Councilmember Hattenburg: said he attended the APTA(American Public Transit Association)Conference in Seattle on behalf of the Spokane Transit Association(STA); said they met with officials from the Federal Transit Administration and they were impressed with STA being under budget, and they were aware of future projects such as the I-90 Spokane Valley Corridor and were extremely supportive of STA's future plans; said the lobbyist let them know she represents nine other transit agencies and STA is recognized by the FTA as one of the most responsible patrons of public money and of timely completion of projects; he added that with all the transit systems going electric,the problem is the power grid cannot handle that and they are hoping the solution will be the hydrogen fuel cells technology as some kind of backup system will be necessary; said that at last week's STA Board meeting they approved phase 1 of the strategic plan "Connect 2035"which is a 12-year plan that will start next year; concerning STA ridership,he stated that for example, on Friday October 7 there were 25,000 rides in our system, and that the second most used route is the Sprague to Spokane Valley run. Deputy Mayor Higgins: said prior to COVID the Inland Northwest Partners met quarterly; said it encompasses a region of about 100 miles and includes towns and other entities, said membership is available for about $50.00 and the organization is sponsored by Avista; said one of the individuals who attended this meeting, a laborer economist with the Idaho Department of Labor, spoke of future demographics, specifically about China's demographics which show their population is reversing; said he also chaired the Lodging Tax Advisory Committee meeting last Thursday which will be a topic of a future Council meeting. MAYOR'S REPORT: Mayor Haley said she also attended the APTA Conference in Seattle and added that STA has one of the lowest costs per ride of any transit agency; said she travelled to Houston with representatives of Spokane, Spokane County, and some stakeholders to review Houston's homeless policy as they have had good success in getting homeless people housed; said one of the things she learned was housing the homeless is very expensive; that Houston used all their ARPA (American Rescue Plan Act) funds, and because they used up all their housing, others in their community now can't find housing; said some things they did that might work for us is they changed the Continuum of Care makeup so it is not all representatives from nonprofits, and includes business people and hospital board members so instead of people on the board competing over available funds,they can focus on looking for solutions;said they don't have shelters but instead have transitional spaces, and there aren't many of those, but they allow animals in and allow couples to stay together,which is how they managed to get the encampments dissolved. PROCLAMATION: n/a GENERAL PUBLIC COMMENT OPPORTUNITY Ill: After Mayor Haley explained the process, she invited general public comment. No comments were offered. 1.PUBLIC HEARING: 2022 Budget Amendment—Chelsie Taylor Mayor Haley opened the public hearing at 6:20 p.m. Finance Director Taylor explained the purpose of the budget amendment as stated in her Request for Council Action form,adding that changes since the October 11 administrative report to Council are shown in blue text. Mayor Haley invited public comment. No comments were offered and Mayor Haley closed the public hearing at 6:29 p.m. Council Meeting Minutes,Formal: 10-25-2022 Page 2 of 7 Approved by Council: 11-08-2022 2. First Reading Ordinance 22-022 Amending 2022 Budget-Chelsie Taylor After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Higgins and seconded to advance Ordinance 22-022, amending the 2022 budget, to a second reading. Vote by acclamation: in favor: unanimous; opposed: none. Motion carried. NEW BUSINESS: 3. Consent Agenda: Consists of items considered routine which are approved as a group. Any member of Council may ask that an item be removed from the Consent Agenda to be considered separately. Proposed Motion:I move to approve the Consent Agenda. a.Approval of Claim Vouchers on October 25,2022,Request for Council Action Form: $811,574.14 b.Approval of Payroll for Pay Period ending October 15,2022: $451,761.81 c.Approval of Council Meeting Minutes of October 4,2022, Study Session d.Approval of Council Meeting Minutes of October 11,2022,Formal Meeting e. Approval of Resolution 22-019 Setting 2022-0003 Street Vacation Public Hearing It was moved by Deputy Mayor Higgins, seconded and unanimously agreed to approve the Consent Agenda. 4. Second Reading Property Tax Ordinance 22-021 —Chelsie Taylor After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Higgins, seconded and unanimously agreed to approve Ordinance 22-021 levying regular property taxes for 2023. Director Taylor stated that the proposed ordinance does not include the 1% property tax allowed by state law. Vote by acclamation: in favor: Mayor Haley, Deputy Mayor Higgins, and Councilmembers Peetz, Padden, Hattenburg and Wick. Opposed: Councilmember Woodard. Motion carried. 5. First Reading Ordinance 22-023 Adopting 2023 Budget—Chelsie Taylor After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Higgins and seconded to advance Ordinance 22-023 adopting the 2023 Budget, to a second reading. Finance Director Taylor gave a brief overview of the proposed 2023 budget, including primary sources of revenues. Vote by acclamation: in favor: unanimous; opposed: none. Motion carried. 6. Motion Consideration: Outside Agency Grant Awards—Dan Domrese It was moved by Deputy Mayor Higgins and seconded to award the 2023 Outside Agency funding as follows: Elevations Children's Therapy: $11,041 Greater Spokane County Meals on Wheels: $21,185 Inland Chess Academy: $1,457 JAKT:$10,714 Jr. Achievement of Wa: $4,143 My Tur71 Theatre: $4,286 Spokane Valley Arts Council: $17,326 Spokane Valley Heritage Museum: $16,469 Spokane Valley HUB: $4,286 Spokane Valley Partners: $46,155 Spokane Valley Summer Theatre: $10,326 Teen & Kid Closet $10,000 Transitions: $8,571 and Widows Might: $16,041 Mr. Domrese went over the background of our City providing partial funding for local economic development and social service agencies;that the 2023 budget is $244,000 minus$43,000 committed for a direct contract with Greater Spokane, Inc., and minus $19,000 committed for a direct contract with the Greater Spokane Valley Chamber of Commerce; said the remaining amount for allocation purposes is Council Meeting Minutes,Formal: 10-25-2022 Page 3 of 7 Approved by Council: 11-08-2022 • $182,000. Mr. Domrese also went over the process used to allocate funds based on number of Council votes, all as shown on the Request for Council Action form. Mr. Domrese noted that NAOMI previously formally withdrew their application. Councilmember Wick asked about the City's upcoming 201' anniversary and if Valleyfest is going to be part of that celebration. Mr. Hohman replied that in the previous budget amendment, there is a separate allocation for an event coordinator and that we are working through that process; said the thought is that Valleyfest would be part of that and we have coordinated with Valleyfest staff in that regard. Councilm ember Wick said he was thinking that would come out of this money, and he voiced the idea of not allocating that$19,400 to other agencies and use those funds for Valleyfest. Mr.Holman said we have a contract with Valleyfest that addresses in-kind use of the facility for Valleyfest and its events. Mayor Haley said she is not interested in re-allocating her recommendations. Councilmember Woodard said he also doesn't want to re-allocate what he already did but would like a future discussion about how to help people/organizations move into self-sufficiency. In response to Councilmember Hattenburg's question about the remaining balance of$19,572 and if it were changed,Finance Director Taylor said it would reduce the other amounts. Councilmember Hattenburg said he feels Valleyfest is unique and is disappointed no funds were allocated to the event. Mayor Haley stated that Valleyfest receives approximately$30,000 for in-kind services for such things as rent, security, and garbage, and that what they have asked for is almost half of the total amount to be allocated; said there are many needs and very few dollars. Councilmember Peetz voiced her disappointment that there weren't four votes for Valleyfest and said she likes Councilmember Wick's proposal. Councilmember Woodard said that Council is not saying they can't have their festival, and that he imagines there are a lot of charitable events that wish they could get that kind of in-kind donation as well. Mayor Haley invited public comments. Mr. Al Merkel, Spokane Valley: said about 28,000 people went through that festival and he can't believe some of the comments he heard tonight; said he wasn't aware of the demand for CenterPlace for that weekend, Ms. Peggy Doering, Spokane Valley: said she is the executive director of Valleyfest and is very disappointed and heart-sick over the decision after 20 years of receiving support form Spokane Valley,to see four zeroes in the columns [on the spreadsheet];said she agrees with having economic development but doesn't think economic development and social services should be put together;and she read her statement. Ms.Diana Wilhite, Spokane Valley: said this is a great venue for families to get together at no cost and she would like to see this as a legacy for the City of Spokane Valley; said she appreciates the in-kind donation and that the festival is very important; that they have to raise $200,000 in order to put on this event; said Council's lack of support doesn't bode well with sponsors, and she hopes Council will reconsider this in the future. City Clerk Bainbridge stated she received an e-mail from Phillip Hannawalk expressing his being perplexed about the decision not to support Valleyfest;an e-mail from Jay Moynahan expressing disappointment with the financial support to Valleyfest; and a third e-mail from Vicki Porter also expressing that she is against not funding Valleyfest. There were no further public comments. Mayor Haley said it is not just the facility, but the in-kind which includes a lot of services such as the police and SCOPE. Vote by acclamation for the allocations as noted.' in favor:Mayor Haley, Deputy Mayor Higgins, and Councilmembers Woodard, and Padden. Opposed: Councihnembers Wick, Hattenburg and Peetz. Motion carried. 7.Motion Consideration: Solid Waste Management Plan Consultant Agreement-Bill Helbig It was moved by Deputy Mayor Higgins and seconded to authorize the City Manager to finalize and execute the Professional Services Agreement with Great West Engineering in an amount not to exceed$269,600 for the Solid Waste and Hazardous Waste Management Plans Update project. Mr. Helbig explained that state law requires us to have a coordinated, comprehensive solid waste management plan to provide guidance for the solid waste system in the City; and to also have a local hazardous waste plan based on Council Meeting Minutes, Fonnal: 10-25-2022 Page 4 of 7 Approved by Council: 11-08-2022 state guidelines. Mr. Helbig stated that for the necessary updates, the City issued a Request for Qualifications;that two consultants submitted their statement of qualifications and Great West Engineering was selected as the most qualified firm to complete the updates. Mr. Helbig spoke of the Scope of Work and Fee Schedule, and that the adoption process will take approximately two years. Mayor Haley invited public comment; no comments were offered. Vote by acclamation: in favor: unanimous; opposed: none. Motion carried 8,Motion Consideration: Plantes Ferry,Letter of Support—Mike Basinger,Erik Lamb It was moved by Deputy Mayor Higgins and seconded to approve submitting a letter of support and approval to proceed with hiring a consultant to begin the master planning study process. Deputy City Manager Lamb went over the background of the request for a letter of support; said in submitting a letter of support, it includes immediately hiring a planning firm to begin the master plan for Plante's Ferry Park Sports complex; said the plan would cost approximately $100,000 and the City fully expects Spokane County to pay half that cost; said part of the study would be to explore future opportunities for a partnership to operate and maintain the park;that it would include review of the budget as well as further discussions with Council over aspects to be included in any partnership arrangement. He noted that this represents a unique opportunity to start funding some of those improvements at the Park. Mr. Lamb said that Spokane County has released a Request for Proposals and the deadline to receive those is October 28, 2022. Councilmember Padden said a decision should be based on as much knowledge as we can gather; that we know the park has been lagging in maintenance and we don't know the full extent of the needs; and she asked if staff received the full budget. Mr.Lamb said although staff received several documents we did not get the full budget and need to look at maintenance and future needs. There was also a question of whether we would have a contract with the County. Mr. Lamb said the deadline is this Friday for submitting responses to the RFP; said there is no contract for paying half the cost but the discussion has been that we would pay up to half. Councilmember Padden said she would feel better if there was a signed contract for that amount; that we don't have many details;that $3-4 million doesn't go very far these days; this would be new money and that we are facing growing expenses from multiple facets. Councilmember Wick said he supports sending the letter of support. Mr. Hohman said we have parallel tourism studies with the Johnson consulting firm looking at several projects; that it would be nice to have an effort underway and when complete could wrap it all into the overall study; said we need to get clarification from the County on funding and will also need to clarify some dates; that we don't have those details but will report back when we know more. Councilmember Wick said he feels this is what is best for the park. Mayor Haley invited public comments; no comments were offered. Vote by acclamation: in favor: Mayor Haley, Deputy Mayor Higgins and Councilmembers Peetz, Hattenburg, Wick, and Woodard. Opposed: Councilmember Padden. Motion carried. GENERAL PUBLIC COMMENT OPPORTUNITY 121: Mayor Haley invited public comments. Ms. Barb Howard, Spokane Valley [via zoom]: mentioned there are no posted speed limits on Pines when going to Indiana; said she knows it is probably 25, but there is nothing posted. Mr. John Harding, Spokane Valley: spoke about the privilege to vote and of making sure ballots are legally recorded,tallied, and safe from being hacked. ADMINISTRATIVE REPORT: 9. Stormwater Utility Rates—GIoria Mantz City Engineer Mantz introduced Mr. Dawson Matthews from Osborn Consulting, Ms. Aimee Navickis- Brash from Evergreen StormH2O, and Mr. Tage Aaker from the FSC Group. Ms. Mantz explained about the stormwater utility funding,that it is an Enterprise fund and therefore by law must be self-sufficient; said the fee was instated in 2006 and is currently $21 per single family unit or 3,160 sq. ft. of impervious area; that the funds must be spent on projects that protect the aquifer; she stated there has not been a fee increase since 2006 although we have experienced significant cost inflation and population growth since then; and Council Meeting Minutes,Formal: l 0-25-2022 Page 5 of 7 Approved by Council: 11-08-2022 that we must also comply with new regulatory requirements; that the minimum required level of service would increase the Stormwater Utility Rate by $24 a year to $45 a year; and that the Pro-Active level of service would increase the Stonnwater Utility Rate by$37 a year to $58 a year. The consultants went over the project overview and objectives as shown on the slides; the level of service goals including existing services, minimum required, and what is called the Pro-Active, which is the minimum plus additional efforts that could improve water quality and replace aging infrastructure. The Consultants also went over the gap analysis, operating budget, permit requirements, fee history, rate calculation, and comparison between the minimum required and the proactive fee. Ms. Mantz said that a public meeting was held October 20, 2022, and that approximately 50 people participated in the public survey. Ms.Mantz said the question for Council to consider is what level of service is Council comfortable with: the minimum or the pro-active. In response to a question from Councilmember Woodard about the consequences of not meeting the permitting requirements, Ms. Mantz said we could be fined by the Department of Ecology and open the City to potential third party lawsuits. Councilmember Woodard said he feels it is important to stay ahead of the regulations and there is a need to look at this more than just doing the minimum to get by. Councilmember Wick said he would like to learn a little more, agrees something needs to be done, but isn't sure he's up to the minimum amount as going from $21 to $45 is a big jump and said perhaps we should consider a multi-year phase to give people some assurance; maybe $12 this year to get us up to where our CPI was, and $12 next year to people time to plan; said that one of the categories is the anticipated requirements for the 2024 permit; said we won't hit those requirements until 2024 anyway; and asked if that would be amenable. City Manager Hallman said he doesn't think it is sitting where it needs to be to protect our program; that from his perspective, listening to this presentation and reviewing the documentation,the minimum level is what we should be doing already, and if we don't do that we are risking noncompliance with our permits; said that is what he is hearing from that consultant group; said he thinks that approach of just going for the CPI that we probably should have taking all these years doesn't get us in compliance with the program and there is risk associated with that; and from his standpoint said he would not recommend that Council go there. City Engineer Mantz agreed that although those performance requirements won't go in effect until 2024, it is already November 2022 so we are one year away from when those requirements are going to be in place, so we don't have much time before we will have to be in compliance. Deputy Mayor Higgins reminded everyone that we are dealing with our drinking water; said he doesn't think it is time to minimize our expenses and that he thinks it is a wise to be ahead; said he has dealt with many boards who get caught in this kind of situation where they haven't raised fees and all of a sudden a large fee is needed and it will hurt, but we are dealing with our water. Mayor Haley agreed adding that the aquifer is our single source of water, and if we mess that up, it will be messed up forever; said she would be happy to go with the pro- active. Councilmembers Peetz and Padden preferred going with the minimum; Councilmember Wick preferred going Iower then the minimum; and there was Council majority consensus with Mayor Haley, Deputy Mayor Higgins, and Councilmembers Hattenburg and Woodard agreeing to go with the pro-active. City Engineer Mantz said this will come before Council November 8 for a motion consideration. As he had noted earlier, Councilmember Woodard left the meeting after this agenda item. 10. Retail Strategies Annual Update Susan Nielsen [This item was previously removed.] 11. Community Development Block Grant(CDBG)2023 Project(s) Submittal—Eric Robison Mr. Robinson went over the process and criteria of projects to receive CDBG funding; and summarized that the 4a Avenue, Catherine Johnson Court would be staffs first recommendation, followed by the Progress Road project; he noted that Catholic Housing Ventures is also applying to complete the Catherine Johnson Court project;that the approximate cost for this project is $341,500; with the approximate cost of the Progress Road sitting at $500,000; he also noted that the public hearing on the project selections is November 8. There was discussion about the two projects and that the Catherine Johnson Court project is Council Meeting Minutes,Formal: 10-25-2022 Page 6 of 7 Approved by Council: 11-08-2022 staff s first priority as it fills a gap in front of an apartment complex, and that it would be beneficial to have that partnership with Catholic Housing Ventures.There was ultimate agreement to bring forth both projects, with the Catherine Jolmson being the highest priority of the two projects. 12. Grant Opportunity: "No Child Left Inside"--Kendall May,John Bottelli Ms. May explained that there is a Washington State Recreation & Conservation office grant opportunity titled "No Child Left Inside" that provides funding for outdoor education and recreation experiences for underserved youth; said the maximum amount is $25,000; that there is no match required, and the grant would be used for such things as fees for field trips,seasonal staff wages, supplies, and one-time purchases that would assist the program to be sustainable in the future. She noted the deadline to apply for the grant is November 1, 2022. There was Council consensus that staff apply for the grant. 13. Advance Agenda—Mayor Haley Councilmember Wick said he would like to hear a presentation from the Airport on their expansion, and there was Council consensus to add that to the advance agenda. 14, Department Monthly Reports The Department Monthly Reports were for information only and were not reported or discussed. CITY MANAGER COMMENTS Mr. Hohman said that the Sprague Avenue pilot program ended early as staff were able to gather the necessary data,and that an administrative report is scheduled soon.Mr.Hohman suggested Council adjourn into an executive session for about 10 minutes to discuss pending litigation. It was moved by Deputy Mayor Higgins, seconded and unanimously agreed to adjourn into executive session for approximately ten minutes to discuss pending litigation and that no action will be taken upon return to open session.Council adjourned into executive session at 8:32 p.m. At approximately 8:42 p.m. Mayor Haley declared Council out of executive session,at which time it was moved by Deputy Mayor Higgins,seconded and unanimously agreed to adjourn. (?%•-- "j> ATTES : Pam Haley,Mayor "/--4-4. 13- 4. ; ristine Bainbridge, City Clerk Council Meeting Minutes,Formal: 10-25-2022 Page 7 of 7 Approved by Council: 11-08-2022 Mayor Pam Haley, City Council members, City Manager On behalf of the Valleyfest Board of directors, we should be coming here tonight to express a key word —Appreciation. Instead, as we look at the vote, we see instead Disapproval. Disapproval, dissatisfaction — key words that we see in the zero vote of several council members. Council members and staff have received our letter signed by all Valleyfest Board members. So, I won't try to reread the letter during my three minutes. I did try, but the letter took almost seven minutes to read. It contains information on Valleyfest, outlining the primary goals of providing a free enriching and joyful experience for the thousands • of families within Spokane Valley and the region. It also points out that Valleyfest, the city's premier festival, provides an economic impact of over $2 million dollars each year. We are grateful for the in-kind contribution which the city provides our non-profit organization, but 1 must candidly state that on a personal level it is a major disappointment to see four members of this council opt to ignore and fail to support their own community festival. What impact does this vote have on Valleyfest for 2023? Help me understand how we can continue to bring over 30,000 citizens and visitors to Valleyfest. These are families who contribute to the city's economic goals. Citizens and visitors are made aware of Valleyfest by going to website, social media, newspaper, radio, tv and other media. As for sponsors, Valleyfest may lost several because of the perceived lack of support by the city council. We can't help but wonder what this will mean to the volunteers, the sponsors and to the thousands of citizens who came to Valleyfest as children and now attend with children of their own. Will they feel supported by the leadership of this council? Will the importance and value of their volunteer commitment diminish? What event will replace Valleyfest? If the City of Spokane Valley, as represented by the city council, no longer feels it should support Valleyfest, the big question before us is this: Should Valleyfest continue as the premier Spokane Valley festival or does this lack of support indicate that the festival is no longer considered a worthwhile event within the City of Spokane Valley? What does it mean to you, the Spokane Valley City Council? We would appreciate any clarity you can provide to us on this. A4.1.iieyfe"st) Mayor Pam Haley, City Council members and Staff, In 1990, Valleyfest was established for the cultural benefit and enjoyment of all Spokane Valley residents and visitors to the region. The goals of Valleyfest are to not only provide a FREE enriching experience for the region's families but to connect people to CenterPlace, the beauty of Mirabeau Point Park and the City of Spokane Valley. A primary goal of Valleyfest is to spur economic revitalization and development by hosting businesses to market their products to tens of thousands of potential customers. The benefit of this was illustrated by an Eastern Washington University marketing survey showing that Valleyfest, in 2013, had an economic impact of$1.9 million dollars in Spokane Valley. That economic impact today is undoubtedly well over $2 million each year. So, it was a surprise to see that the agencies selected to receive the City of Spokane Valley Outside Agency Grants for 2023 did not include Valleyfest. It is a major disappointment to see that four members of this current city council opted to ignore and not support their own community festival. Since Spokane Valley's incorporation in 2003, Valleyfest, a nonprofit 501C (3), has served as the premier signature event for the City. The Board of Directors and Executive Director have worked with City of Spokane Valley staff and city council members during these years to create an annual community-driven, safe, celebratory festival giving thousands of citizens and visitors lasting memories of Spokane Valley. It goes without saying that Valleyfest gratefully recognizes the in-kind support provided to our non-profit organization that has been formalized with the City of Spokane Valley councils. But we have to ask ourselves, the City Council members and City Management staff--what does this lack of support mean to the hundreds of volunteers and dozens of sponsors who are asking why the Council is not supporting their community festival with this critical funding, which is traditionally used to market the festival and the city? What impact, we ask, does this vote have on Valleyfest for 2023? Please help us understand how we achieve the goal of bringing 30,000 plus people to Valleyfest who, in turn, contribute to the city's hie P.O.Box 368 I Spokane Valley,WA 99037 I 509.922.3299 Valleyfest.or,. I info@valleyfest.org I 501 3(C)non-profit organization .1 '14 1 ',• r I� "I i., �� '1 l 1 ;r1. .• II,. A it r , rr'�' `, G +4f'�".a j� ,, . $ •\11 I, NE ..1 2 economic goals. As stated earlier, surveys conducted for Valleyfest have shown that the event has an economic impact of almost $2 million every year. Past councils and city managers have encouraged and supported this event that gives a positive brand identity to the City of Spokane Valley. In fact, most of the current city council members have participated and volunteered at Valleyfest events. This negative vote severely impacts Valleyfest's ability to market to the region in order to achieve the economic goals that were explained in the grant process. The loss of these monies impacts the marketing and sponsorship funding, which impacts the production of Valleyfest. How, you ask, does it impact sponsorship? In short, sponsorship levels are based on perceived value received from marketing/promotions with media, website, signage, print and TV. Our sponsors are very well aware of the City of Spokane Valley's financial investment in the festival. In some cases, sponsors only participate because of the City of Spokane Valley/City Council support. Potentially, Valleyfest may lose a number of sponsors just because of the perceived lack of support by the city council. Another reason marketing funds are so critical to an event is to simply invite our residents and visitors to the festival. Within the area as well as outside the region, Valleyfest is recognized as a Spokane Valley event. Sprague Avenue, CenterPlace Regional Event Center, Mirabeau Point Park, Spokane Valley Mall, Pinecroft Business Park as well as the Spokane River and Plantes Ferry are all used in some fashion in flyers, posters, newspaper, radio and television advertising. The Spokane Valley logo is used in virtually all promotions including the van which carries our new Valleyfest float. We were all excited to have Valleyfest back in the community after two years of being cancelled by COVID. Volunteers from banks, churches, service clubs and other residents have already been meeting to start planning the next parade, car show, STEAM, 5K/10K run and the Multicultural events to make 2023 bigger and better. Sponsors and vendors are excited to again be back to promote their organizations, their businesses, their services. The Valleyfest Board and our Executive Director were saddened by the negative funding vote, but the perceived lack of support going forward was also deeply disappointing to all of us on a personal level. 3 We can't help but wonder what this will mean to the volunteers, the sponsors and to the thousands of citizens who came to Valleyfest as children and now attend with children of their own. Will they feel supported by the leadership of this council? Will the importance and value of their volunteer commitment diminish? What event will replace Valleyfest? If the City of Spokane Valley, as represented by the city council, no longer feels it should support Valleyfest, the big question before us is this: Should Valleyfest continue as the premier Spokane Valley festival or does this lack of support indicate that the festival is no longer considered a worthwhile event within the City of Spokane Valley? What does it mean to you, the Spokane Valley City Council? We would appreciate any clarity you can provide to us on this. Valleyfest Board of Directors 10/25/2022 Rick Wilhite—President Wilhite Enterprises Steve Florance - Vice President Inland Northwest Insurance Gail Bongiovanni —Secretary Inland Northwest Dance Association. Rory Henneberg - Treasurer Umpqua Bank Peggy Doering Valleyfest Executive Director Marcia Asmussen Stephanie Hughes Tim Lane Judy Lippman Katrina Nebel Evette Wilie Shirene Young Chris Bainbridge From: Phillip Hannawalt <phillip@upconsultingwa.com> Sent: Tuesday, October 25, 2022 3:51 PM To: City Council Subject: 2023 Valleyfest Funding Decision [EXTERNAL] This email originated outside the City of Spokane Valley.Always use caution when opening attachments or clicking links. Hello, I am lucky enough to be a part of the regular volunteers for the Valleyfest parade. I actually fell into the role of leading volunteers from Sun City Church by chance about five years ago. At first, I wasn't sure how long I would be able to commit to the parade team, but it only took a few meetings to see how much every one of the volunteers loves Spokane Valley and its community, and that is what has had me committed since. I love the Valley. I grew up here in the 80's and 90's. I had a great childhood.Sprague and University was the center of it all. We would ride our bikes to the mall to get tapes from the music store, cards at the card shop, and play games at Bumpers. I only live a mile or so away from there now. My wife and I have three kids and it has been a bummer for the last 13 years to see how forgotten the Valley became and what is for them compared to what it was for us. But,that has been changing over the years and we are excited to see Spokane Valley coming back to life and our leadership guiding the way. City Hall looks great; the library will tool So I have to say I am perplexed about the decision not to support the Valleyfest Organization with funding that will ensure businesses' visibility in the community. Spokane Valley markets itself as a great place to bring your business. I hope you will reconsider. Let's support our businesses and our community. Phillip K. Hannawalt, BS, CDMS 2818 North Sullivan Road,Suite 100 Spokane Valley,WA 99216 Telephone: (509) 720-3199 Get Directions Fax: Email: phillip@upconsultingwa.com i Chris Bainbridge From: Jay Moynahan <profjay@comcast.net> Sent: Tuesday, October 25, 2022 4:05 PM To: City Council Subject: Funding for ValleyFest [EXTERNAL] This email originated outside the City of Spokane Valley.Always use caution when opening attachments or clicking links. Dear City Council: I am very disappointed with the financial support that the City Council is giving to ValleyFest. Please reconsider your support and provide more funding for this outstanding organization. Sincerely, Jay Moynahan 1 Chris Bainbridge From: vicki porter <vporterlmp@hotmail.com> Sent: Tuesday, October 25, 2022 4:13 PM To: Chris Bainbridge Cc: al@alforval.com Subject: comment on outside grants LEXTERNAL] This email originated outside the City of Spokane Valley.Always use caution when opening attachments or clicking links. I want my voice to be heard on the subject of defunding Valleyfest. I am totally against this defunding. Valleyfest is the one thing that brings the community and beyond, young and old, together in a wonderful environment with the added bonus of making money forthe City of Spokane Valley and business owners, local and beyond. Whatever made the council even consider this move goes against what a community is all about! Come on council members, if you defund Valleyfest you defund the City of Spokane and its residents!!! Vicki Porter 1