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2025, 03-18 Formal B Meeting Packet AGENDA SPOKANE VALLEY CITY COUNCIL REGULAR MEETING FORMAL B FORMAT Tuesday, March 18, 2025 6:00 p.m. Remotely via ZOOM Meeting and In Person at Spokane Valley City Hall, Council Chambers 10210 E. Sprague Ave. Spokane Valley, WA 99206 Council Requests Please Silence Your Cell Phones During Council Meeting NOTE: Members of the public may attend Spokane Valley Council meetings in-person 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 If making a comment via Zoom, comments must be received by 4:00 pm the day of the meeting. 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 INVOCATION: PLEDGE OF ALLEGIANCE ROLL CALL APPROVAL OF AGENDA SPECIAL GUESTS/PRESENTATIONS: PROCLAMATIONS: National Vietnam Veterans Day GENERAL PUBLIC COMMENT OPPORTUNITY: This is an opportunity for the public to speak on any subject except agenda action items, as public comments will be taken on those items where indicated. Please keep comments to matters within the jurisdiction of the City Government. This is not an opportunity for questions or discussion. Diverse points of view are welcome but please keep remarks civil. Remarks will be limited to three minutes per person. If a person engages in disruptive behavior or makes individual personal attacks regarding before the three-minute mark. To comment via zoom: use the link above for oral or written comments as per those directions. To comment at the meeting in person: speakers may sign in to speak but it is not required. A sign-in sheet will be provided at the meeting. ACTION ITEMS: 1. Ordinance 25-001: Second Read- Sign Code Changes Kelly Konkright 2. Motion Consideration: ILA with SVFD Jenny Nickerson \[public comment opportunity\] 3. Motion Consideration: Potential Grant Opportunity SRTC Funding Adam Jackson \[public comment opportunity\] Council Agenda March 18, 2025 Page 1 of 2 4. Motion Consideration: Potential Grant Opportunity NHS Asset Management - Adam Jackson \[public comment opportunity\] 5. Motion Consideration: Federal Legislative Agenda Update Virginia Clough \[public comment opportunity\] NON-ACTION ITEMS: 6. Admin Report: Short Term Rental Update Lesli Brassfield 7. Admin Report: Public Safety Sales Tax Discussion Erik Lamb, Chelsie Walls INFORMATION ONLY (will not be reported or discussed): 8. Info Only: Wellesley Avenue Preservation Project 9. Expenditures Related to Councilmember Merkel 10. Hearing Examiner 2024 Annual Report GENERAL PUBLIC COMMENT OPPORTUNITY: General public comment rules apply. COUNCIL COMMENTS CITY MANAGER COMMENTS ADJOURNMENT Council Agenda March 18, 2025 Page 2 of 2 Proclamation 2025 City of Spokane Valley, Washington WHEREAS, We join communities throughout Washington State and the nation in observing the anniversary of the end of the Vietnam War and honoring those who served our country; and WHEREAS, to recognize, honor and thank our Vietnam Veterans and their families for their service and sacrifices during the Vietnam War from November 1, 1955 to May 15, 1975; and WHEREAS, March 29 was chosen to be celebrated in perpetuity as March 29, 1973 was the day Military Assistance Command Vietnam was deactivated and combat troops were withdrawn from Vietnam; and WHEREAS, The veterans of the Vietnam War have contributed tremendously to their communities, state and nation in an effort to advance the American ideals and goals for which they fought; and WHEREAS, We embrace our responsibility to continue helping our Vietnam veterans and their families heal from the heavy toll of war; and WHEREAS, The citizens of Spokane Valley must never forget the pain and suffering that lingers today for the men and women who fought with honor and distinction in the name of freedom and democracy for all. NOW, THEREFORE, I, Pam Haley, Mayor of the City of Spokane Valley, on behalf of the Spokane Valley City Council and the citizens of the City of Spokane Valley, do hereby proclaim March 29, 2025 as Vietnam Veterans Recognition Day and I urge citizens to recognize and thank those veterans and their families for their service. th Dated this 18 day of March, 2025. Pam Haley, Mayor CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 Department Director Approval: Check all that apply: consentold businesspublic hearing information admin. report new business AGENDA ITEM TITLE: Second Reading of Ordinance No. 25-001 Amending SVMC 22.110.020 Relating to Signs Within City Rights-of-Way. GOVERNING LEGISLATION: SVMC 22.110 PREVIOUS COUNCIL ACTION TAKEN: August 2013: The last amendment to SVMC 22.110.020, the specific sign code section that is the subject of this administrative report (Ordinance No. 13-010). January 21, 2025: Council received and administrative report to review draft amendments to SVMC 22.110.020. Council provided consensus to advance to a first reading. February 10, 2025: City notifies Washington Department of Commerce of the proposed development code amendment. February 11, 2025: First Reading of Ordinance No. 25-001. Council moved and approved to assume responsibility for holding, and directed City staff to schedule a public hearing. February 14, 2025: Notice of the public hearing on Ordinance No. 25-001 is published in the Spokane Valley News Herald and The Exchange. February 24, 2025: Department of Commerce grants expedited review of proposed amendment and confirms the City has satisfied the RCW 36.70A.106 notice requirement. March 11, 2025: Public hearing held regarding Ordinance No. 25-001. Council provided consensus to advance to a second reading. BACKGROUND: The City’s sign code is SVMC 22.110 (hereinafter “Sign Code”). Over the last decade, the United States Supreme Court has issued decisions that modify how the First Amendment of the United States Constitution is interpreted and applied to the regulation of signs. The City Attorney’s Office is in the process of reviewing all aspects of the Sign Code to identify and recommend code text amendments consistent with current Supreme Court precedent. The first Sign Code regulation identified for revision pertains to signs placed within the City’s rights-of- way. As currently written, the Sign Code prohibits placement of signs in the City’s rights-of-way except “official signs and except bus benches placed pursuant to an agreement with the City.” See SVMC 22.110.020(E). However, municipal-owned unimproved or green spaces (hereafter “green spaces”) along city streets and sidewalks are regarded as traditional public forums for speech, and the City’s practice has been to not take enforcement action against “unofficial signs” (for example, signs supporting political candidates or ballot measures) placed in the green spaces within the City’s rights-of-way to the extent such signs do not impede the public’s use of the rights-of-way or otherwise violate time, place, and manner restrictions identified in the Sign Code and other applicable law. Per the Supreme Court’s holdings in Reed v. Gilbert, 135 S.Ct. 2218 (2015), and Austin v. Reagan National Advertising of Austin, LLC, 142 S.Ct. 1464 (2022), the City’s regulations of non-commercial signs must be content-neutral. Accordingly, if the City is to allow any non-commercial signs (for example, political campaign signs) within the right-of-way green spaces, then it must allow other non-commercial signage to exist within the right-of-way unless the City can establish it has a compelling government interest that can only be served by excluding non-political signs from said spaces while still allowing political signs. Reasonable content-neutral time, place, and manner restrictions may nonetheless be imposed on signs within the rights-of-way. The draft code text amendments were presented for Council’s consideration and feedback on January 21 and February 11, 2025. The City Attorney’s Office also received comments from the Valleyfest organization – a local non-profit organization that coordinates community events within the City. Enclosed with this report is a proposed ordinance amending SVMC 22.110.020. The current draft of the attached ordinance contains (a) changes to prior proposed language where Council provided clear guidance, and (b) changes made to facilitate community events for which the City has issued a special event permit to non- profit organization applicants. The amendments in the attached ordinance allow non-commercial signs to be temporarily placed within the greenspaces along City rights-of-way subject to reasonable time, place and manner restrictions, which restrictions are intended to promote the City’s interest in protecting public safety and the aesthetic integrity of the City’s rights-of-way. A public hearing was held regarding proposed Ordinance No. 25-001 on March 11, 2025. After closing the public hearing, Council provided consensus to bring the ordinance back for a second reading. For Council to proceed with adopting Ordinance No. 25-001, it must first determine – based on the materials presented at the public hearing, including the public’s comments – that (1) the proposed amendment is consistent with the applicable provisions of the Comprehensive Plan, and (2) bears a substantial relation to the public health, safety, welfare, and protection of the environment. See SVMC 17.80.150(F). For purposes of Council’s analysis of whether the proposed amendments are consistent with the Comprehensive Plan, the Comprehensive Plan contains the following provisions that are consistent with the public safety and aesthetic policy interests furthered by the proposed amendments: Land Use Policy LU-PP8. Ensure that neighborhoods are served by safe and convenient motorized and non-motorized transportation routes. Transportation Goal T-G5. Maintain and enhance a comprehensive multimodal transportation system that promotes, supports, and improves the safe, efficient, and reliable movement of people, vehicles, and goods. Transportation Policy T-P9. Provide and maintain quality street, sidewalk, and shared-use path surfaces that provide a safe environment for all users. Transportation Policy T-P18. Invest in infrastructure beautification, including landscaping, art, and walking paths. OPTIONS: Council may (1) adopt Ordinance No. 25-001, (2) reject Ordinance No. 25-001, or (3) take other action as Council deems appropriate. RECOMMENDED ACTION OR MOTION: I move to adopt Ordinance No. 25-001 Amending SVMC 22.110.020 Relating to Signs Within City Rights-of-Way. BUDGET/FINANCIAL IMPACTS: N/A STAFF CONTACT: Kelly E. Konkright, City Attorney ___________________________________________________________________________ ATTACHMENTS: 1. Ordinance 25-001: An Ordinance of the City of Spokane Valley Amending Title 22, Chapter 110, Section 020 of the Spokane Valley Municipal Code Relating to Signs Within City Rights-of-Way 2. PowerPoint presentation CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON ORDINANCE NO. 25 - 001 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY AMENDING TITLE 22, CHAPTER 110, SECTION 020 OF THE SPOKANE VALLEY MUNICIPAL CODE RELATING TO SIGNS WITHIN CITY RIGHTS-OF-WAY WHEREAS, the City Council adopted Chapter 22.110 of the Spokane Valley Municipal Code to define and prohibit public nuisances within the City; and WHEREAS, the City is in the process of reviewing and updating provisions of the Spokane Valley Municipal Code relating to signage within the City’s territorial limits; and WHEREAS, the City Council desires to revise the Spokane Valley Municipal Code to allow placement of non-commercial signs within City rights-of-way subject to reasonable and content-neutral time, place, and manner restrictions, the purpose of which is to protect the City’s interest in public safety and aesthetics of City-owned property, including rights-of-way; and WHEREAS, the City Council finds that reasonable time, place, and manner restrictions on the placement of signage within the City’s rights-of-way are necessary to protect public safety and preserve the aesthetics thereof; and WHEREAS, regulation of the City’s rights-of-way is a valid exercise of the authority granted to the City by the Washington Constitution and Revised Code of Washington; WHEREAS, on March 11, 2025, the City Council held a public hearing for which notice was duly published in accordance with the Spokane Valley Municipal Code; and WHEREAS, the amendment, as set forth below, is consistent with the goals and policies of the City’s Comprehensive Plan and bears a substantial relation to public health, safety, welfare, and protection of the environment; and WHEREAS, the City notified the Washington Department of Commerce (“Commerce”) of the proposed code text amendments and Commerce granted expedited review and confirmed the City satisfied its notice obligations under RCW 36.70A.106; NOW, THEREFORE, the City Council of the City of Spokane Valley, Washington, does ordain as follows: Section1. Findings and Conclusions. The City Council acknowledges that it conducted appropriate investigation and study and held a public hearing on the proposed development code amendments. The City Council hereby makes the following findings and conclusions: A. Growth Management Act Policies – The Washington State Growth Management Act (GMA) provides that each city shall adopt a comprehensive use plan and development regulations that are consistent with and implement the Comprehensive Plan. B. City of Spokane Valley Goals and Policies – The City of Spokane Valley has adopted goals and policies consistent with the GMA and adopted goals and policies, set forth below. a. Land Use Policy LU-PP8. Ensure that neighborhoods are served by safe and convenient motorized and non-motorized transportation routes. b. Transportation Goal T-G5. Maintain and enhance a comprehensive multimodal transportation system that promotes, supports, and improves the safe, efficient, and reliable movement of people, vehicles, and goods. c. Transportation Policy T-P9. Provide and maintain quality street, sidewalk, and shared-use path surfaces that provide a safe environment for all users. d. Transportation Policy T-P18. Invest in infrastructure beautification, including landscaping, art, and walking paths. C. Conclusions a. The amendments to SVMC 22.110.020 are consistent with the Comprehensive Plan policies and goals to maintain and enhance a multimodal transportation system that promotes supports, and improves the safe movement of people and vehicles, ensure that neighborhoods are served by safe motorized and non-motorized transportation routes, and invest in infrastructure beautification. b. The amendments to SVMC 22.110.020 bear substantial relation to public health, safety and welfare, and protection of the environment. c. The proposed City initiated code text amendment to SVMC 22.110.020 is consistent with the City’s adopted Comprehensive Plan and the approval criteria in SVMC 17.80.150(F). c. The amendment to SVMC 22.110.020 is consistent with RCW 36.70A (GMA) which stipulates that the Comprehensive Plan and development regulations be subject to continuing and evaluation by the City. Section 2. Amending SVMC 22.110.020. SVMC 22.110.020, titled “Prohibited Signs” is hereby amended as follows: SVMC 22.110.020 Prohibited signs. The following signs are prohibited: A. Signs which by coloring, shape, wording or location resemble or conflict with traffic control signs or devices; B. Signs that create a safety hazard for pedestrian or vehicular traffic; C. Flashing signs; D. Portable signs; except A-frame signs and reader boards specifically allowed pursuant to SVMC 22.110.050(A) and (E); E. Signs located within the public right-of-way, except official signs and except bus benches placed pursuant to an agreement with the City;Signs located within any public right-of-way, except for the following: 1. Official traffic signs and official government signs serving a legitimate public interest, such as those notifying the public of laws and/or traffic hazards, government services, or the location of public facilities; 2. Signs that either (a) identify the location of and parking for a community event organized and operated by a 26 U.S.C. 501(c)(3) non-profit corporation when the signs are located next to the event/parking location and the event is open to the general public and attendees may enter free of charge, or (b) are not an attempt or effort to gain business, PROVIDED the sign(s): i. Are located solely within green spaces or unimproved portions of a right-of-way that abut that portion of the right-of-way used for vehicular, bicycle, and/or pedestrian traffic. ii.Are not attached to or located within any part of a traffic control device. Traffic control devices include but are not limited to (i) traffic signs (such as speed limit signs, stop signs, yield signs, one-way signs, etc.),(ii) traffic signals; (iii) traffic islands or medians which separate lanes of traffic, and (iv) any part of a roundabout. iii. Are no more than 48 inches wide and placed such that the distance between the top of the sign and the ground directly underneath the sign is no more than 60 inches. iv. Are not permanently affixed to the land or any structure on the land, and do not alter any structure or improvement within the right-of-way. v. Do not completely or partially impede any vehicle, bicycle, pedestrian or other mode of travel on any improved or unimproved roadway, walkway, or bicycle lane. vi. Are not located within 20 feet of any traffic control device. vii. Are not located within any clearview triangle as that term is defined in SVMC 22.70.030. viii. Are not located on or within any stormwater facility, including but not limited to swales. ix. Are not located on any portion of a right-of-way that abuts City-owned facilities and/or property, including but not limited to City Hall, CenterPlace, the Spokane Valley Police Department Precinct, and City parks except in accordance with the terms of a validly issued special event permit. x. Unless a validly issued special event permit provides otherwise, are (1) removed from the right-of-way within the sooner of either 14 calendar days after the event, if any, to which the sign pertains, or 240 days after initial placement, and (2) not again placed within any right-of-way until after 120 consecutive days have expired after removal. xi. Are smooth and free of nails, tacks and wires. xii. Contain the owner’s name and either a current phone number, email or physical mailing address at which the owner regularly receives phone calls, email, or first-class mail from the United States Postal Service. This information does not need to be conspicuously placed on the front of the sign, but must be located on the sign in large enough print that it can be identified after reasonably inspection. F. Signs attached to or placed on a vehicle or trailer parked on public or private property; provided, that this provision shall not be construed as prohibiting the identification of a business or its product on a vehicle operating during the normal course of business; G. Signs obstructing visibility within any clearview triangle as established in Chapter 22.70SVMC; H. Billboards except when permitted as provided in SVMC 22.110.130; I. Off-premises signs, except off-premises directional signs allowed pursuant to SVMC 22.110.040(D); J. Temporary signs unless specifically allowed pursuant to SVMC 22.110.050 or subsection E of this section; K. Abandoned signs and sign structures. Section 3. Remainder of SVMC 22.110 Unchanged. The remaining provisions of SVMC 22.110 are unchanged by this amendment. Section 4. Severability. If any section, sentence, clause or phrase of this Ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause or phrase of this Ordinance. Section 5. Effective Date. This Ordinance shall be in full force and effect five (5) days after the date of publication of this Ordinance or a summary thereof in the official newspaper of the City. PASSED by the City Council this day of , 2025. Mayor, Pam Haley ATTEST: Marci Patterson, City Clerk Approved As To Form: Kelly Konkright, City Attorney Date of Publication: Effective Date: CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: Fire Department Amended Interlocal Agreement update GOVERNING LEGISLATION: RCW 39.34 (Interlocal Cooperation Act) PREVIOUS COUNCIL ACTION TAKEN: Adoption of the original interlocal agreement between City of Spokane Valley and Spokane Valley Fire Department on July 19, 2006; adoption of amended interlocal agreement on July 25, 2008; adoption of amended interlocal agreement on February 29, 2012. Administrative Report on Amended Interlocal Agreement on February 4, 2025, consensus given to bring back amended Interlocal Agreement for Motion Consideration. BACKGROUND: As outlined in the original and in the current interlocal agreement, Spokane Valley Fire Department provides various services to the City of Spokane Valley including building permit and land use permit application reviews, inspections of new and existing buildings, and enforcement of the International Fire Code as adopted pursuant to Chapter 24.40 SVMC. Historically, all permit applications, including fire-safety system permit applications for work such as fire sprinkler system modifications and annual ‘operational permits’, were submitted through the City of Spokane Valley Permit Center, routed to Spokane Valley Fire Department for review, and returned to the Spokane Valley Permit Center for issuance and payment processing. Evolving technology in electronic permit processing software now allows the Spokane Valley Fire Department to collect permit fee payments directly from the customer for fire-safety permit applications and other services. Building permits and land-use permits shall continue to be submitted directly to the City of Spokane Valley Permit Center and routed (electronically) to Spokane Valley Fire Department for review. The proposed draft interlocal agreement maintains the same primary services that have been in place since 2006 and contains updated language to (1) clarify the fees that each party is responsible for collecting, (2) clarify the process for collecting and distributing those fees as may be appropriate to the other party, and (3) providing minor updates to the agreement such as grammar, formatting, and updates to things such as addresses or titles. Similar updates to interlocal agreements have been recently executed by other municipalities within the Spokane Valley Fire Department service area, including the City of Millwood and the City of Liberty Lake. OPTIONS: 1). Authorize the City Manager to execute the amended Interlocal Agreement for Fire Services in Spokane Valley; or 2). Take other action as appropriate. RECOMMENDED ACTION OR MOTION: Move to authorize the City Manager to execute the amended Interlocal Agreement for Fire Services in the City of Spokane Valley as presented. BUDGET/FINANCIAL IMPACTS:In accordance with the current interlocal agreement, the City collects review fees on behalf of Spokane Valley Fire Department and retains a $35.00 processing fee. The processing fee assisted to offset the administrative and staff costs associated with the intake, processing, and issuance of permit materials on behalf of Spokane Valley Fire Department. The proposed draft interlocal agreement maintains the $35.00 processing fee to offset the cost of a permit tracking software single-user license utilized by Spokane Valley Fire Department to electronically communicate permit information with City staff. The annual cost for a single user license is $743.39. In 2024, the City collected permit fees on behalf of Spokane Valley Fire Department for 515 permits. STAFF CONTACT: Jenny Nickerson, Building Official ATTACHMENTS: Amended Interlocal Agreement for Fire Services in the City of Spokane Valley INTERLOCAL AGREEMENT FOR FIRE SERVICES IN THE CITY OF SPOKANE VALLEY THIS AGREEMENT, made and entered into by and between Spokane Valley Fire Department, a special purpose district organized and operating under the laws of the State of Washington, having offices for the transaction of business at 10319 East Sprague Avenue2120 N Wilbur Rd., Spokane Valley, Washington 99206, hereinafter referred to as the “Department” and the City of Spokane Valley, a municipal corporation of the State of Washington, having offices for the transaction of business at the Redwood Plaza, 11707 East Sprague Avenue, Suite 10610210 E Sprague Ave., Spokane Valley, Washington 99206, hereinafter referred to as “City,” jointly hereinafter referred to as the “Parties.” The Department and the City agree as follows. SECTION NO. 1: RECITALS AND FINDINGS A. Cities and special purpose districts may contract with each other to perform certain functions which each may legally perform under chapter 39.34 RCW (Interlocal Cooperation Act). B. The City has been annexed into the special purpose district served by the Department and the Department provides most emergency fire protection, emergency medical, and nonemergency medical services in the City. C. The City has adopted land use regulations, a series of safety codes for building construction, maintenance, and the use of structures and their occupancies, including the International Building Code (IBC) and the International Fire Code (IFC). D. The City has code enforcement authority pursuant to RCW 19.27.050 and fire investigation authority under RCW 43.44.050. E. The Department has a Fire Prevention Division that is staffed by trained and certified personnel that regularly conduct fire code safety inspections and conduct fire investigations to determine the origin and cause of fires within the City pursuant to RCW 52.12.031(7) and RCW 43.44.050. F. Both the City and the Department have a need for the Services of the other and the City and the Department have the ability to provide these Services. Formatted: Not Highlight G. Any applicable fees for services identified within this Agreement have been separately and independently calculated by each Party and exist and are collected Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 1 of 14 regardless of this Agreement. Nothing in this Agreement shall be construed as approval, agreement, or support for the amount or assessment of such fees by the other Party. Each Party hereby certifies that it has independent statutory authority for any fees it has identified, developed, imposed, and collects as costs for any services that it provides, and nothing in this Agreement shall be construed as a grant of authorization by one Party for the other Party to develop, impose, and collect such fees outside of any statutory authority. GH. The duty of the Department to provide emergency services within the special purpose district or under the provisions of this Agreement is a duty owed to the public generally, and by entering into this Agreement, the Department does not incur a special duty to the City, the property owners, residents or occupants of the City. IH. This Agreement is entered into for the benefit of the Parties to this Agreement only and shall confer no benefits, direct or implied, on any third persons. JI. This Agreement is intended to modify and replace the prior Interlocal Agreement for Fire Services in the City of Spokane Valley entered into by the Parties on th the 25th of July, 200829 of February, 2012. . SECTION NO. 2: DEFINITIONS A. Agreement: “Agreement” means this Interlocal Agreement between the City and the Department regarding fire code compliance-related services. B. City: “City” means the City of Spokane Valley. C. Compensation: “Compensation” means the amount of money which the City will collect and pay the Department will be paid through fees charged to third parties for providing Services at the rates identified in the Department’s currently adopted fee schedule, which may be updated from time to time by the Department and provided to the City. D. Department: “Department” means Spokane Valley Fire Department. E. Services: “Services” means all of those responsibilities set forth in Section 5, Parties Responsibility. F. Uncontrollable Circumstances: “Uncontrollable Circumstances” means the following events: riots, wars, civil disturbances, insurrections, acts of terrorism, external fires and floods, volcanic eruptions, lightning or earthquakes at or near where the Services are performed and/or that directly affect providing of such Services. SECTION NO. 3: PURPOSE Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 2 of 14 The purpose of this Agreement is to reduce to writing the Parties’ understanding as to the terms and conditions under which the City and the Department will provide Services to each other. It is the intent of the Parties that Services to be provided will be consistent with the City’s Council/Manager form of government provided for in chapter 35A.13 RCW. SECTION NO. 4: DURATION/WITHDRAWAL A. This Agreement shall commence on the date the last signature is affixed hereto, and run through December 31, 2012until terminated by either party as provided below. B. At the conclusion of the initial term (December 31, 2012), this Agreement st shall automatically be renewed from year to year thereafter effective January 1 to st. December 31 All renewals shall be subject to all terms and conditions set forth herein or as This agreement may be modified and amended pursuant to Section 13 below. C. Any Party may withdraw at any time from this Agreement for any reason whatsoever upon a minimum of 180 days written notice as provided for in Section 8 to the other Party. SECTION NO. 5: PARTIES RESPONSIBILITIES: A. The Department will administer the International Fire Code, as currently adopted or subsequently amended, for the City by maintaining a Fire Prevention Division, performing plan reviews, plat reviews for commercial and residential development, and by conducting inspections and investigations, when and as required by the International Fire Code, as well as when requested by the City. B. A. The Department agrees to designate a fire code official to implement, administer, and to work with the City to enforce the provisions of this code as provided for in the International Fire Code Section 103104. C. B. Inspections of existing occupancies shall be conducted as follows: 1. Inspections shall be performed under Section 104 108 and Section 105 109 of the IFC. 2. Inspections in accordance with Section 104108 and 105109 shall be conducted on an annual basis except Group H (hazardous) occupancies, which may be inspected semi-annually. In all cases the inspections are to be conducted in a regularly scheduled manner. 3. The Department shall serve written notice of a violation of the IFC to the property and/or business as is appropriate. Re-inspection of failed inspections Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 3 of 14 will be conducted not more than 30 calendar days after the initial inspection. The 30 day limit may be exceeded if so doing does not endanger persons occupying or accessing the occupancy and the fire inspector sets and comments in writing a date certain for re-inspection. 4. If compliance is not achieved after the first re-inspection, a second written notice shall be served unless there is an immediate hazard to public safety. 5. If after the second re-inspection non-compliance still exists, the Department shall confer with the Building Official and jointly prepare the enforcement action. The City shall be responsible for costs of code enforcement actions. The Building Official shall issue stop work orders as deemed appropriate. 6. At the time of the first inspection, Fire Prevention Division Inspectors shall determine if a valid permit has been issued to occupancies requiring a permit, pursuant to IFC Section 105. If a valid permit has not been issued, the Department inspector will take appropriate action to inform the occupant of the local requirements. 7. Notwithstanding the foregoing, immediate enforcement and or other actions may be undertaken by the City in lieu of warnings or re-inspections if to do so is necessary to comply with applicable law or for other circumstances determined by the City. D. C. Formatted: Indent: Left: 1", No bullets or numbering 1. The City is responsible for providing fire investigations pursuant to RCW 43.44.050. The Department has authority to conduct fire investigations on behalf of the City pursuant to RCW 52.12.031(8). Accordingly, the Department shall conduct Ffire Iinvestigations for fires occurring in the City. All such fire investigations shall be performed in conformance with the IFC and other City, state and federal requirements within the City. All investigations involving arson or mischievous burning shall be reported to the appropriate law enforcement agency for enforcement. Formatted: Indent: Left: 1", No bullets or numbering 2. Any Department fees and costs for investigations shall solely be the responsibility of the Department, and the City shall not be responsible for collecting any such fiees. The Department certifies that it has independent statutory authority to develop, impose, and collect any fees or costs for such investigations. Formatted: Indent: Left: 1", No bullets or numbering D. E. D. A copy of plans submitted to the City for a building permit or a plat approval for commercial or residential development building construction and alteration Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 4 of 14 shall be submitted by the City to the Department for review. The Department shall be responsible for determining: 1. Fire hydrant locations. 2. Connections for locations of standpipes and sprinkler systems. 3. Key box locations and approvals. 4. Fire flow availability in all areas where the water provider does not have sufficient information. 5. Road access requirements to property and buildings for fire fighting purposes, including designated fire lanes. The City shall be responsible for implementing the Department’s determinations through the City’s permitting process. F. E. The City shall submit to the Department, and the Department shall review and comment on, all Department shall further assist the City in the review of plans for aAutomatic Ffire sSuppression sSystems, and Ffire Aalarm and Ddetection sSystems, and other fire protection system plans. G. F. The City and the Department shall both conduct final inspections of new buildings other than single family dwellings or private garages. H. G. The Department shall review applications and perform field inspections of public fireworks displays to einsure compliance with applicable State and City requirements. I. H. The City shall assist the Department as necessary in implementing and enforcing the Department’s determinations under this Section No. 5, as the City deems appropriate.. J. I. The Department shall refrain from performing any of the services specified in this paragraph Section 5 upon written request by the City. SECTION NO 6: COST OF SERVICES AND PAYMENTS The City shall pay the Department shall be paid for the costs for Services provided by the Department under this Agreement as set forth inthrough fees charged to third parties underin accordance with the Department’s currently adopted fee schedule. The Department shall be responsible for billing and collection of all annual inspection, operational permit, fire investigation and other related fees for the Services provided to commercial properties not owned by the City under this Agreement. Commercial Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 5 of 14 properties owned by the City shall not be subject to fees for inspections, permits, or investigations. The Department is responsible for billing and collecting any Department fees that are not directly related to a building permit application or land use permit application submitted to the City by a third party. Nothing herein shall be construed as authorization from the City to identify, develop, impose, and collect such fees beyond any independent statutory authority granted to the Department. The City is responsible for billing and collecting the City’s application and review fees. The City shall be is also responsible for billing and collectingon of , on behalf of the Department, those application fees and review fees of the Department that are related to building permit applications and land use permit applications submitted by third parties to the City. The City shall collect use the Department’s currently adopted fee schedule for billing and collecting those building and land-use permit-related fees that the City charges to and collects from third parties on behalf of the Departmentand retain a $35 processing fee in addition to the fees listed in the currently adopted fee schedule. Fees collected by the City on behalf of the Department shall be forwarded by the City on a quarterly basis to the Department. To the extent the City bills third parties for the Department’s fees, the City shall be entitled to charge, collect and retain a $35.00 processing fee (“Processing Fee”) in addition to the fees listed in the currently adopted fee schedule. The Processing Fee is collected on the City’s behalf and shall therefore not be included in the collected fees that are forwarded to the Department. Fees collected by the City on behalf of the Department shall be forwarded by the City on a quarterly basis to the Department. Either Party may dispute any claimed moneys owed. In the event the Parties cannot mutually resolve any dispute over moneys owed within 30 calendar days from the time a written claim is made, unless otherwise agreed by the Parties, the matter shall be resolved pursuant to the Dispute Resolution provisions set forth in Section No. 16. The selection of arbitrators as provided for in Section No.16 shall commence within 30 calendar days of the running of the 30 calendar day time frame. The Parties recognize that it is not always possible for either Party to discover errors in payment. The Parties further recognize that there must be some finality to addressing such errors. Accordingly, the Parties agree that both Parties are foreclosed from challenging any errors in payment unless the challenge is made in writing to the other party within 30 calendar days of the last invoice of the calendar year. Errors raised within this time frame that are not mutually resolved shall be subject to the Dispute Resolution provisions set forth in Section No. 16. SECTION NO. 7: RELATED RESPONSIBILITIES IN CONJUNCTION WITH PROVIDING SERVICES A Department representative shall make reasonable efforts to attend staff or Council meetings as requested by the City Manager. Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 6 of 14 A Department representative shall make reasonable efforts to meet upon request by the City Manager or his/her designee to discuss any Service provided under the terms of this Agreement. SECTION NO. 8: NOTICE All notices or other communications given hereunder shall be deemed given on: (1) the day such notices or other communications are received when sent by personal delivery; or (2ii) the third day following the day on which the same have been mailed by first class delivery, postage prepaid addressed to the Department or the City at the address set forth below for such Party, or at such other address as either Party shall from time to time designate by notice in writing to the other Party: DEPARTMENT: Spokane Valley Fire Department Fire Chief or his/her authorized representative 10319 East Sprague Avenue2120 N. Wilbur Rd. Spokane Valley, WA 99206 CITY: City of Spokane Valley City Manager or his/her authorized representative 11707 East Sprague Avenue, Suite 10610210 E Sprague Ave. Spokane Valley, Washington 99206 SECTION NO. 9: ASSIGNMENT No Party may assign in whole or part its interest in this Agreement without the written approval of the other Party. SECTION NO. 10: DEPARTMENT/CITY EMPLOYEES The Department shall appoint, hire, assign, retain and discipline all employees performing Department Services under this Agreement according to applicable collective bargaining agreements and applicable state and federal laws. The City shall appoint, hire, assign, retain and discipline all employees performing City Services under this Agreement according to applicable collective bargaining agreements and applicable state and federal laws. SECTION NO. 11: LIABILITY A. The Department shall indemnify and hold harmless the City and its officers, agents, and employees, from any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever, by any reason of or arising out of any Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 7 of 14 negligent act or omission of the Department, its officers, agents and employees, relating to or arising out of performing Services pursuant to this Agreement. In the event that any suit based upon such claim, action, loss, or damages is brought against the City, the Department shall defend the same at its sole cost and expense; provided that the City reserves the right to participate in said suit if any principle of governmental or public law is involved; and if final judgment in said suit be rendered against the City, and its officers, agents, and employees, or jointly against the City and the Department and their respective officers, agents, and employees, the Department shall satisfy the same. B. The City shall indemnify and hold harmless the Department and its officers, agents, and employees, from any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever, by any reason of or arising out of any negligent act or omission of the City, its officers, agents and employees, relating to or arising out of performing Services pursuant to this Agreement. In the event that any suit based upon such claim, action, loss, or damages is brought against the Department, the City shall defend the same at its sole cost and expense; provided that the Department reserves the right to participate in said suit if any principle of governmental or public law is involved; and if final judgment in said suit be rendered against the Department, and its officers, agents, and employees, or jointly against the Department and the City and their respective officers, agents, and employees, the City shall satisfy the same. C. If the comparative negligence of the Parties and their officers and employees is a cause of such damage or injury, the liability, loss, cost, or expense shall be shared between the Parties in proportion to their relative degree of negligence and the right of indemnity shall apply to such proportion. D. Where an officer or employee of a Party is acting under the direction and control of the other Party, the Party directing and controlling the officer or employee in the activity and/or omission giving rise to liability shall accept all liability for the other Party’s officer or employee’s negligence. E. Each Party’s duty to indemnify shall survive the termination or expiration of the Agreement. F. The foregoing indemnity is specifically intended to constitute a waiver of each Party’s immunity under Washington’s Industrial Insurance Act, chapter 51 RCW, respecting the other party only, and only to the extent necessary to provide the indemnified Party with a full and complete indemnity of claims made by the indemnitor’s employees. The Parties acknowledge that these provisions were specifically negotiated and agreed upon by them. G. The Department and the City agree to either self insure or purchase policies of insurance covering the matters contained in this Agreement with coverages of not less than $3,000,000 per occurrence with $3,000,000 aggregate limits including professional liability and auto liability coverages. Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 8 of 14 SECTION NO. 12: RELATIONSHIP OF THE PARTIES The Parties intend that an independent contractor relationship will be created by this Agreement. The Department shall be an independent contractor and not the agent or employee of the City., Thethat the City is interested only in the results to be achieved by the Department’s work under this Agreement, and thattherefore the right to control the particular manner, method and means in which the services are performed is solely within the discretion of the Department. Any and all employees who provide Services to the City under this Agreement shall be deemed employees solely of the Department. The Department shall be solely responsible for the conduct and actions of all employees under this Agreement and any liability that may attach thereto. Likewise, no agent, employee, servant or representative of the City shall be deemed to be an employee, agent, servant or representative of the Department for any purpose. It is understood that the Department shall from time to time upon identification of a life safety violation of code or a parking violation impairing access to fire hydrants or routes of ingress or egress to emergency scenes or restricted fire zones, need to immediately issue citations for these violations. It is further understood that the Fire Department, under the authority of the Spokane County Sheriff’s Office may, if necessary, take such actions under the sole authority of the Spokane County Sheriff’s Office and/or the Department and pursuant to a separate agreement with the Spokane County Sheriff’s Office. Any costs or liability that may result from these actions shall be the responsibility of either the Fire Department or Sheriff’s Office respectively. SECTION NO. 13: MODIFICATION This Agreement may be modified in writing by mutual written agreement of the Parties. Proposals for modification shall be submitted to the other party at least 60 days before the end of the calendar year. SECTION NO. 14: PROPERTY AND EQUIPMENT The ownership of all property and equipment utilized in conjunction with providing the Services shall remain with the original owner, unless otherwise specifically and mutually agreed to by the Parties to this Agreement. For the purpose of this section, the terminology "owner" means that Party which paid the full purchase price for the property or equipment. SECTION NO. 15: ALL WRITINGS CONTAINED HEREIN/BINDING EFFECT This Agreement contains terms and conditions agreed upon by the Parties. The Parties agree that there are no other understandings, oral or otherwise, regarding the subject matter of this Agreement. No changes or additions to this Agreement shall be valid or Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 9 of 14 binding upon the Parties unless such change or addition is in writing, executed by the Parties. This Agreement shall be binding upon the Parties hereto, their successors and assigns. SECTION NO. 16: DISPUTE RESOLUTION Any dispute between the Parties which cannot be resolved between the Parties shall be subject to arbitration. Except as provided for to the contrary herein, such dispute shall first be reduced to writing and considered by the Department and the City Manager. If the Department and the City Manager cannot resolve the dispute it will be submitted to arbitration. The provisions of chapter 7.04A RCW shall be applicable to any arbitration proceeding. The Department and the City shall have the right to designate one person each to act as an arbitrator. The two selected arbitrators shall then jointly select a third arbitrator. The decision of the arbitration panel shall be binding on the Parties and shall be subject to judicial review as provided for in chapter 7.04A RCW. The costs of the arbitration panel shall be equally split between the Parties. Each Party shall be responsible for its own costs in preparing and presenting its case. SECTION NO. 17: VENUE STIPULATION This Agreement has been and shall be construed as having been made and delivered within the State of Washington and it is mutually understood and agreed by each party that this Agreement shall be governed by the laws of the State of Washington both as to interpretation and performance. Any action at law, suit in equity or judicial proceeding for the enforcement of this Agreement, or any provision hereto, shall be instituted only in courts of competent jurisdiction within Spokane County, Washington. SECTION NO. 18: SEVERABILITY The Parties agree that if any parts, terms or provisions of this Agreement are held by the courts to be illegal, the validity of the remaining portions or provisions shall not be affected and the rights and obligations of the Parties shall not be affected in regard to the remainder of the Agreement. If it should appear that any part, term or provision of this Agreement is in conflict with any statutory provision of the State of Washington, then the part, term or provision thereof that may be in conflict shall be deemed inoperative and null and void insofar as it may be in conflict therewith and this Agreement shall be deemed to modify to conform to such statutory provision. SECTION NO. 19: RECORDS Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 10 of 14 All public records prepared, owned, used or retained by the Department in conjunction with providing Services under the terms of this Agreement shall be deemed City property and shall be made available to the City upon request by the City Manager subject to the attorney-client and attorney work product privileges set forth in statute, court rule or case law. The Department will timely notify the City of any public disclosure request under chapter 42.56 RCW for copies or viewing of such records as well as the Department’s response thereto. SECTION NO. 20: HEADINGS The section headings appearing in this Agreement have been inserted solely for the purpose of convenience and ready reference. In no way do they purport to, and shall not be deemed to define, limit or extend the scope or intent of the sections to which they pertain. SECTION NO. 21: UNCONTROLLABLE CIRCUMSTANCES/IMPOSSIBILITY A delay or interruption in or failure of performance of all or any part of this Agreement resulting from Uncontrollable Circumstances shall be deemed not a default under this Agreement. A delay or interruption in or failure of performance of all or any part of this Agreement resulting from any change in or new law, order, rule or regulation of any nature which renders providing of Services in accordance with the terms of this Agreement legally impossible, and any other circumstances beyond the control of the Department which render legally impossible the performance by the Department of its obligations under this Agreement, shall be deemed not a default under this Agreement. SECTION NO. 22: FILING This Agreement shall be filed by the Department with such offices or agencies as required by chapter 39.34 RCW. SECTION NO. 23: EXECUTION AND APPROVAL The Parties warrant that the officers executing below have been duly authorized to act for and on behalf of the Party for purposes of confirming this Agreement. SECTION NO. 24: INITIATIVES The Parties recognize that revenue reducing initiative(s) passed by the voters of Washington may substantially reduce local operating revenue for the City, Department or both Parties. The Parties agree that it is necessary to have flexibility to reduce the contracted amount(s) in this Agreement in response to budget constraints resulting from the passage of revenue reducing initiative(s). If such an event occurs, the Parties agree to negotiate in good faith to achieve a mutually agreeable resolution in a timely fashion. Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 11 of 14 SECTION NO. 25: COMPLIANCE WITH LAWS The Parties shall observe all federal, state and local laws, ordinances and regulations, to the extent that they may be applicable to the terms of this Agreement. SECTION NO. 26: DISCLAIMER Except as otherwise provided, this Agreement shall not be construed in any manner that would limit either Party’s authority or power under law. Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 12 of 14 IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed on date and year opposite their respective signatures. City of Spokane Valley Date: John Hohman, City Manager Spokane Valley Fire Department Date: Frank Soto, Fire Chief Date: Patrick Burch, Fire Commissioner Date: Mike Kester, Fire Commissioner Date: Brian Asmus, Fire Commissioner Date: Rick Freier, Fire Commissioner Date: John Guarisco, Fire Commissioner DATED: SPOKANE VALLEY FIRE DEPARTMENT ATTEST: Monte Nesbitt, Board Chair Mike Thompson Fire Chief/ Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 13 of 14 District Secretary DATED: CITY OF SPOKANE VALLEY ATTEST: Mike Jackson, City Manager Christine Bainbridge, City Clerk APPROVED AS TO FORM ONLY: Kelly Konkright, City Attorney Office of the City Attorney Interlocal Agreement for Fire Services, Spokane Valley Fire Department Page 14 of 14 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 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 from Spokane Regional Transportation Council GOVERNING LEGISLATION: RCW 35.77.010: Six-Year Transportation Improvement Program PREVIOUS COUNCIL ACTION TAKEN: The City has regularly applied to Spokane Regional Transportation Council (SRTC) for funding a variety of transportation projects. Often these have aligned with City transportation priorities identified in long-term planning documents such as the -Year Transportation Improvement Program or one of many transportation studies. BACKGROUND: SRTC announced its call for projects for years 2027-2029. The call makes available $35.7 million for participating local governments within the SRTC region. The program requires a minimum 13.5% non-federal match for all awarded funds but projects can score higher if non-federal match exceeds the 13.5% minimum. Applications are due April 4, 2025. Awards are announced July 10, 2025. Table 1 below describes the funding programs available. Table 1. Available Funds Summary Available Fund Type Fund Description & Definition Funds Surface Transportation Block Grant (STBG): The most flexible of FHWA programs. Eligible projects include roadway and bridge construction, STBG $24,500,000 pedestrian and bicycle projects, transit capital projects, planning studies, traffic flow improvements, safety improvements. STBG-Set Aside (STBG-SA): Projects include on- and off-road pedestrian and STBG-Set $ 2,100,000 bicycle facilities, infrastructure projects for improving non-driver access to Aside public transportation, and safe routes to school projects. Congestion Mitigation and Air Quality (CMAQ): Projects to reduce congestion and improve air quality in the region. Examples include transit improvements, CMAQ $ 4,900,000 travel demand management strategies, traffic flow improvements, and pedestrian and bicycle facilities. Carbon Reduction Program (CRP): Funds for projects designed to reduce CRP $ 4,200,000 transportation emissions, specifically carbon dioxide emissions from on-road highway sources. Total $35,700,000 Of the $35.7 million available, approximately $14.7 million will be removed from the STBG funded amount of $24.5 SRTC Board allocations: $2.8 million for the Spokane Regional Transportation Management Center operations and maintenance costs $1.5 million for SRTC planning projects $800,000 for a regional I-90 study $1.35 million designated for small town projects $8.2 million set aside specific for preservation projects (City is eligible for these funds) Considering the available funds in Table 1, staff evaluated the various program criteria and propose projects in Table 2 (attached at end of RCA) to be submitted for funding. Page 1 of 11 OPTIONS: Proceed with the staff recommendation and motion as written, 2) take other appropriate action. RECOMMENDED ACTION OR MOTION: Move to authorize the City Manager, or designee, to apply to the SRTC grant for those projects identified in ranked order as shown in Table 2. BUDGET/FINANCIAL IMPACTS: It is not likely that the City will receive awards for all the project applications. Project delivery for any awarded projects will be scheduled over three to four years (2026-2029) and relies on the coordinated management of funding constraints from Staff has coordinated with the Finance Department regarding the projected fund balance of Real Estate Excise Tax (REET) revenues in the coming years 2026-2029. At this time, it appears sufficient REET funds will be available should the City receive a portion of the requested grant funds. The following considerations are acknowledged: - If the City is highly successful during this grant cycle and exceeds anticipated award amounts, reduced REET balances may be realized in latter years. This may result in the . - Policy decisions regarding the allocation of REET funds towards Fund #311 may affect the availability of city match. - When awarded grant funding, staff evaluate the specific awards to confirm local match is sufficient to meet the grant requirements prior to acceptance of grant funds. STAFF CONTACT: Adam Jackson, Engineering Manager ATTACHMENTS: Table 2. Recommended SRTC Applications (Years 2027-2029) Project Overview Forms Page 2 of 11 Notes Min. match 2025 TIB Request Stormwater Funds CDS, WA LDA, BUILD Safe Routes to School, Unsecured: TIB, FMSIB, Max points for overmatchMax points for overmatchMax points for overmatch ------- 3) - 6 2 - (1 $ $ $ $ $ $ $ Unsecured $ 35,555,000$ 35,555,000 ------ 5 (Secured) $ $ $ $ $ $ $ 800,000 Other Funds $ 7,665,000$ 8,465,000 4 Match New City $ 780,000$ 284,750$ 469,000$ 101,250$ 800,000 $ 2,500,000$ 1,172,500$ 1,000,000$ 7,107,500 3 (4+5) $ 284,750$ 469,000$ 101,250 $8,445,000$2,500,000$1,172,500$1,600,000$1,000,000 Total Match $15,572,500 2 SRTC Request $ 565,250$ 931,000$ 648,750 $ 5,000,000$ 2,000,000$ 2,327,500$ 1,500,000$ 1,500,000 $14,472,500 2029) - 1 (2+3+6) Total Cost $ 850,000$ 750,000 $ 4,500,000$ 3,500,000$ 1,400,000$ 3,100,000$ 2,500,000 $ 49,000,000$ 65,600,000 SASA -- AllAll Fund Pres.Pres. STBG STBGSTBG CMAQ/CRP (CN) . /Appleway ITS Totals Project Valleyway Barker/4th Interchange Sullivan/Trent Appleway Trail (Pines to SR27) Reconstruction Roundabout (CN) Argonne Concrete (Sullivan to Barker) 11 32nd Ave Pres Arterial Crossings at Sprague Preservation Sprague (Farr to Dishman Mica) (University to Bowdish) of 3 12345612 Pres Pres Main Main Main Main Main Main Rank Table 2. Recommended SRTC Applications (Years 2027 Page 11 of 4 Sullivan/Trent Interchange Project Page 11 of 5 Page Ave. Roundabout th 4 - 11 of 6 Page Project Location 11 of 7 Sprague/Appleway ITS (Sullivan to Barker)Page (Dishman Mica to Farr) 11 of 8 Appleway Trail Page 11 of 9 Page 11 of 10 32nd Avenue Preservation (Pines Rd to SR 27)Page ) Bowdish Rd Rd to University Avenue Preservation ( 11 of 11 Sprague Page CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 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 NHS Asset Management Program GOVERNING LEGISLATION: RCW 35.77.010: Six-Year Transportation Improvement Program PREVIOUS COUNCIL ACTION TAKEN: March 14, 2023 Preservation call for projects. Partial awards were subsequently granted to N. Sullivan (River-Kiernan) and E. Sprague (Bowdish-McDonald) projects. September 12, 2023 City council authorized the City Manager to apply for NHS Asset thth Management Program funds for the South Sullivan Road project, between 8 and 24 Avenues, the Sprague Ave. preservation project, between Bowdish and McDonald Roads, and the North Sullivan Road preservation project, between the Spokane River and Kiernan Ave. Awards were subsequently granted to the S. Sullivan and Sprague projects. BACKGROUND: Washington State Department of Transportation (WSDOT) has made available $100 million of National Highway Performance Program federal funds for preserving roadways that are part of the National Highway System (NHS). For Spokane Valley, eligible street segments consist primarily of Principal Arterial and select Minor Arterial streets. The level of investment to preserve and maintain their roadway system, thereby focusing on cost- effectiveness, emphasizing pavement rehabilitation over reconstruction. The maximum funding award per project application is $10 million. Agencies can submit up to three applications. Awards are 100% program-funded and require no local match. If agencies it lowers the requested funds from the program. Applications are due April 11, 2025. Awards are announced summer 2025. Construction must be authorized by August 31, 2027. Table 1 identifies the recommended projects for submittal. These projects have recently been submitted to other funding programs. Table 1: Recommended Projects 1 2 3 4 5 Other Total Cost NHS Total Match New City Project Funds Notes (2+3) Request (4+5) Match (Secured) North Sullivan Pres. $1.5M SRTC, (River to Kiernan) $ 4,500,000 $2,500,000 $2,000,000 $ - $2,000,000 402 Funds 32nd Ave Pres. $350k SRTS, (Pines to SR27) $ 3,100,000 $2,300,000 $ 800,000 $ - $ 800,000 402 Funds Broadway Avenue (Havana to Fancher) $ 4,500,000 $3,500,000 $1,000,000 $ 1,000,000 $ - Totals $12,100,000 $8,300,000 $3,800,000 $ 1,000,000 $2,800,000 OPTIONS:Proceed with the staff recommendation and motion as written, 2) take other appropriate action. RECOMMENDED ACTION OR MOTION: Move to authorize the City Manager, or designee, to apply for NHS grants for the projects identified in Table 1. BUDGET/FINANCIAL IMPACTS: The NHS funds are available at 100% and do not require a minimum local match. For this program, the purpose of a local match would be to lower the requested NHS funding amount to make Spokane Valley projects as competitive as possible. nd - For the N. Sullivan (River-Kiernan) and E. 32 Ave. (Pines to SR 27) projects, there would be no additional local match beyond the previously secured grant funds, local match, and stormwater contributions. This request replaces City funds that would otherwise be required to deliver the project. - For the Broadway Avenue project, staff recommend $1M match to reduce the funding request and increase competitiveness. Staff has coordinated with the Finance Department regarding the projected fund balance of Real Estate Excise Tax (REET) revenues in the coming years 2026-2029. At this time, it appears sufficient REET funds will be available should the City receive the requested NHS grant funds. The following considerations are acknowledged: - If the City is highly successful during the SRTC 2025 grant cycle and exceeds anticipated award amounts, reduced REET balances may be realized in latter years. years. - Policy decisions regarding the allocation of REET funds towards Fund #311 may affect the availability of city match. - When awarded grant funding, staff evaluate the specific awards to confirm local match is sufficient to meet the grant requirements prior to acceptance of grant funds. STAFF CONTACT: Adam Jackson, Engineering Manager ___________________________________________________________________________ ATTACHMENTS: None CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 Department Director Approval: Check all that apply: consent old business new business public hearing informationadmin. reportpending legislationexecutive session AGENDA ITEM TITLE:Motion and Consideration of Amended 2025Federal Legislative Agenda GOVERNING LEGISLATION: N/A PREVIOUS COUNCIL ACTION TAKEN: The 2025 Federal Legislative Agenda was adopted on October 22, 2024. BACKGROUND: The federal legislative agenda (federal agenda) addresses the city’s capital project requests and policy priorities for 2025, providing structure for our engagement. Staff discussed the 2025 federal agenda with council on October 15, 2024. Council adopted the federal agenda on October 22, 2024. Staff noted at the time that an update would be needed in the first quarter of 2025, due the pending status of the FY 2025 Congressionally Directed Spending (CDS) requests and the city’s lodging tax allocation. At the time of preparing this document, the 2025 CDS requests are still pending so this legislative agenda reflects that. The proposed amendments include minor formatting changes and: Capital Projects Economic development item updated to add fieldhouse component. o Proposed - Expanding economic development efforts with construction of a 46-acre cross country course and fieldhouse to generate tourism, promote job growth and improve quality of life. o Current - Support economic development by expanding the tourism sector, creating and retaining jobs, generating tax revenue and improving quality of life for our community. Transportation project cost updates changed total investment amount in National Highway System from $156 million to $163 million. Budget Information Project costs were updated and FY ’26 CDS information added. Title for Cross Course amended to add fieldhouse, pending lodging tax award removed and cost of the property acquisition ($2 million) was added to the total. Pending $1 million state award added to Barker/I-90 Interchange project because it had not been submitted yet when the agenda was adopted in October. Policy Priorities - no changes were made. OPTIONS: Approve the 2025 Federal Legislative Agenda as amended or take other action deemed appropriate. RECOMMENDED ACTION OR MOTION: Move to approve the 2025 Federal Legislative Agenda as amended. BUDGET/FINANCIAL IMPACTS: N/A STAFF CONTACT: Virginia Clough, Legislative Policy Coordinator ATTACHMENTS: Adopted 2025 Federal Legislative Agenda (10-22-24) and Amended Page 1 (3-18-25) ADOPTED10-22-24 POLICY PRIORITIES Public Health and Safety Supportforfunding and grant programs that assist with law enforcement personnel, safety and equipment needs including continuation of the COPS Program (Community Oriented Policing Program) and the Byrne JAG (Justice Assistance Grant) program for critical law as well as increased public defense and prosecution requirements. Encourage the federal government to establish funding assistance to aid in the planning and construction of jails and facilities for behavioral health, detention and law enforcement. Uphold laws and regulations that provide local governments with the ability to regulate its public spaces, including, but not limited to, open use of controlled substances, overnight camping, etc. Support for federal programs and funding to increase drug enforcement and treatment programs as well as passing legislation that addresses the growing epidemic of substance abuse such as: o Reauthorization of the SUPPORT Act. o Passage of the HALT Fentanyl Act. Evaluate the methodology for state-level allocations and local redistributions to ensure fairness and equity for each community such as the national opioid settlement. Ensure safety transport of hazardous materials via train through passage of the Railway Safety Act. Enact measures requiring railroads to maintain their properties to deter trespassers, encampments, and associated negative impacts upon adjacent businesses and neighborhoods and requiring prompt clean up after public health and safety incidents. Strengthen the U.S. border to inhibit the movement of drugs, weapons, contraband and people while prioritizing the health and welfare of U.S. citizens. Transportation and Infrastructure Encourage Congress to continue federal participation in locally directed projects, given the . Continued partnership with Washington State’s Congressional representatives and the U.S. Department of Transportation to ensure that coordination between federal agencies does not Eliminate Encourage the U.S. Dept. of Transportation to work with states to establish Disadvantaged Business Enterprise (DBE) goals on a regional rather than statewide basis as more remote agencies must bear the cost of travel for contracted services from larger metropolitan areas. The City encourages members of Congress to visit our region to see is driving these critical infrastructure projects and the city’s wise stewardship of federally awarded funds. ADOPTED 10-22-24 POLICY PRIORITIES CONTINUED Housing and Homelessness Continue programs and policies to respond to and address homelessness such as Continuum of Care Program, Homeless Assistance Grants, etc. additional measures besides point-in-time counts to aid local municipalities as homeless youth are often not included in those counts. Promote construction and through Low-Income Housing Program, HOME Investment Partnership Program, etc. Support for federal incentives to increase and diversify housing options for an array of income levels, including very low-income and workforce housing. Support for HUD to adequately fund its Housing Choice Voucher Program to create stability and certainty for Public Housing Authorities to continue assisting families and individuals in should run short. Economic Development and Workforce of Spokane Valley and across the region. Simplify the small business loan process at the federal level to streamline assistance. Oppose the American Broadband Deployment Act of 2023, which preempts local authority to regulate utilities. Value of Hydropower Spokane Valley and the Inland Northwest Region depend on hydropower for clean, reliable, important source of renewable energy. Ensure in conversations at the federal level, including but not limited to, growers and producers, public utilities, ports, local government and river users. SUPPORT FOR LOCAL AND REGIONAL INITIATIVES Support of local industries’ federal grant applications such as Kaiser Aluminum’s CHIPS and Science Act submittal highly-engineered aluminum plate, a critical component in the U.S. semiconductor supply chain. ADOPTED 10-22-24 3136 Gfefsbm Mfhjtmbujwf!Bhfoeb – Tqplbof!Wbmmfz! dsptt!dpvousz!dpvstf!boe!gjfmeipvtf!up!hfofsbuf!upvsjtn-!qspnpuf!kpc!hspxui! boe!jnqspwf!rvbmjuz!pg!mjgf/ Dbqjubm!Qspkfdut –Jowftujoh!%274!njmmjpo!joup!uif!Obujpobm!Ijhixbz!Tztufn!up!qspnpuf!VTEPU! qspkfdu!qsjpsjujft-!tvqqpsu!npwfnfou!pg!hppet!boe!tfswjdft!boe!bddftt!up! dpnnfsdf!boe!fnqmpznfou/ Tvmmjwbo0Usfou! Joufsdibohf Dsptt Dpvstf Bshpoof!Csjehf! bu!J.:1 Cbslfs0J.:1 Joufsdibohf Tpvui!Cbslfs Dpssjeps Bshpoof!Csjehf!Tvmmjwbo0Usfou!Tpvui!CbslfsCbslfs0J.:1Dsptt!Dpvstf bu!J.:1JoufsdibohfDpssjepsJoufsdibohfxjui!Gjfmeipvtf Gvoejoh!TfdvsfeGvoejoh!TfdvsfeGvoejoh!TfdvsfeQfoejoh!DET!BxbseGvoejoh!Tfdvsfe %2/6!njmmjpo%21!njmmjpo%26!njmmjpo%4!njmmjpo%:!njmmjpo Gvoejoh!Hbq Qfoejoh!DET!BxbseGvoejoh!HbqGvoejoh!HbqQfoejoh!Tubuf!Bxbse %3!njmmjpo%55!njmmjpo%37!njmmjpo%2!njmmjpo%4/6!njmmjpo Upubm!%65!njmmjpoUpubm!%52!njmmjpoUpubm!%23/6!njmmjpo Gvoejoh!HbqGvoejoh!Hbq %37/6!njmmjpo%48!njmmjpo GZ!’37!DET!SfrvftuGZ!’37!DET!SfrvftuGZ!’37!DET!Sfrvftu %4/6!njmmjpo!gps!gjfmeipvtf Upubm!%39!njmmjpo%6!njmmjpo%4!njmmjpoUpubm!%51!njmmjpo GZ!’37!DET!SfrvftuGZ!’37!DET!Sfrvftu Opof!jg!’36!DET!bxbsefeOpof!jg!’36!DET!bxbsefe DET!>!Dpohsfttjpobmmz!Ejsfdufe!Tqfoejoh POLICY PRIORITIES Public Health and Safety Supportforfunding and grant programs that assist with law enforcement personnel, safety and equipment needs including continuation of the COPS Program (Community Oriented Policing Program) and the Byrne JAG (Justice Assistance Grant) program for critical law as well as increased public defense and prosecution requirements. Encourage the federal government to establish funding assistance to aid in the planning and construction of jails and facilities for behavioral health, detention and law enforcement. Uphold laws and regulations that provide local governments with the ability to regulate its public spaces, including, but not limited to, open use of controlled substances, overnight camping, etc. Support for federal programs and funding to increase drug enforcement and treatment programs as well as passing legislation that addresses the growing epidemic of substance abuse such as: o Reauthorization of the SUPPORT Act. o Passage of the HALT Fentanyl Act. Evaluate the methodology for state-level allocations and local redistributions to ensure fairness and equity for each community such as the national opioid settlement. Ensure safety transport of hazardous materials via train through passage of the Railway Safety Act. Enact measures requiring railroads to maintain their properties to deter trespassers, encampments, and associated negative impacts upon adjacent businesses and neighborhoods and requiring prompt clean up after public health and safety incidents. Strengthen the U.S. border to inhibit the movement of drugs, weapons, contraband and people while prioritizing the health and welfare of U.S. citizens. Transportation and Infrastructure Encourage Congress to continue federal participation in locally directed projects, given the . Continued partnership with Washington State’s Congressional representatives and the U.S. Department of Transportation to ensure that coordination between federal agencies does not Eliminate Encourage the U.S. Dept. of Transportation to work with states to establish Disadvantaged Business Enterprise (DBE) goals on a regional rather than statewide basis as more remote agencies must bear the cost of travel for contracted services from larger metropolitan areas. The City encourages members of Congress to visit our region to see is driving these critical infrastructure projects and the city’s wise stewardship of federally awarded funds. POLICY PRIORITIES CONTINUED Housing and Homelessness Continue programs and policies to respond to and address homelessness such as Continuum of Care Program, Homeless Assistance Grants, etc. additional measures besides point-in-time counts to aid local municipalities as homeless youth are often not included in those counts. Promote construction and through Low-Income Housing Program, HOME Investment Partnership Program, etc. Support for federal incentives to increase and diversify housing options for an array of income levels, including very low-income and workforce housing. Support for HUD to adequately fund its Housing Choice Voucher Program to create stability and certainty for Public Housing Authorities to continue assisting families and individuals in should run short. Economic Development and Workforce of Spokane Valley and across the region. Simplify the small business loan process at the federal level to streamline assistance. Oppose the American Broadband Deployment Act of 2023, which preempts local authority to regulate utilities. Value of Hydropower Spokane Valley and the Inland Northwest Region depend on hydropower for clean, reliable, important source of renewable energy. Ensure in conversations at the federal level, including but not limited to, growers and producers, public utilities, ports, local government and river users. SUPPORT FOR LOCAL AND REGIONAL INITIATIVES Support of local industries’ federal grant applications such as Kaiser Aluminum’s CHIPS and Science Act submittal highly-engineered aluminum plate, a critical component in the U.S. semiconductor supply chain. CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: Short-term rental owners and operators presentation GOVERNING LEGISLATION: RCW 35.101.010, SVMC 3.20.010 PREVIOUS COUNCIL ACTION TAKEN: None BACKGROUND: At the request of a representative from the Washington Hospitality Association and a local hotelier, City staff met briefly with representatives from Granicus in late spring 2024 regarding -term rentals in Spokane Valley that may be subject to either existing or potential city rental housing regulations. Staff prepared a written brief that summarized the information provided by Granicus and included it as an information-only item in the July 23, 2024, packet. On September 3, 2024, staff provided a presentation to the Council that highlighted the current number and type of short- term rentals in Spokane Valley; current city regulations and fee revenue; and factors that may adopted ordinances and code. That PowerPoint presentation is included in the packet for reference. At the conclusion of the September 3, 2024 presentation, council members indicated an interest in hearing directly from interested parties regarding their concerns with short-term rentals. On March 11, 2025, staff brought forward a presentation from the Washington Hospitality Association and a local hotelier where they shared concerns and comments regarding the impact of short-term rentals on local hotels. On March 18, 2025, staff will bring forward three short-term rental owners/operators to provide information, share their perspectives and address questions. OPTIONS: Information only. RECOMMENDED ACTION OR MOTION: Information only. BUDGET/FINANCIAL IMPACTS: Further staff analysis and research would be required to identify costs or revenue projections associated with the implementation of short-term rental regulations. STAFF CONTACT: Lesli Brassfield, Tourism and Marketing Manager ATTACHMENTS: None CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: Public Safety Sales Tax Discussion GOVERNING LEGISLATION: RCW 84.14.450 PREVIOUS COUNCIL ACTION TAKEN: No specific action taken on the Public Safety Sales Tax; however, relevant discussions include: November 22, 2022 – Renewed the Interlocal Agreement for Law Enforcement Services as provided by the Spokane County Sheriff’s Office (“Sheriff”) to the City of Spokane Valley, contract number 17-104. April 18, 2023 – Administrative Report from Matrix. November 6, 2023 – Staff presented the Police Calls for Service and Staffing Evaluation completed by Matrix. January 30, 2024 – Staff presented an update on implementation of the Matrix recommendations. February 6, 2024 – Spokane Valley Police Chief Ellis provided an administrative report on the Spokane County Sheriff’s Office new recruitment and retention plan. February 13, 2024 – City Council ranked public safety as its top priority for 2024. February 27, 2024 – City Council voted to approve hiring of ten new commissioned officers, one civilian analyst, and the shared lieutenant for the Office of Professional Standards in the 2025 budget year. November 19, 2024 – The 2025 Budget was adopted, including funding for the Phase I implementation of the new police related positions. January 7, 2025 – City Council authorized the specific positions for the additional positions. March 4, 2025 – City Council held a winter budget workshop at which Phase II implementation of additional officers was discussed as well as various available funding options. BACKGROUND: At the March 4, 2025 Winter Workshop, Council discussed various items related to the upcoming development of the 2026 Budget. Two crucial cost items discussed at the Workshop were related to Public Safety Costs, specifically related to law enforcement services. The first was related to cost increases for current service levels in part due to Spokane County finalizing negotiations with the deputies collective bargaining agreement (CBA). Preliminary estimates show that this agreement could increase costs to the City by $4.7 million over the next three years (2025 through 2027). Even without the consideration of the increases due to the CBA, the City has seen law enforcement contract costs increase at about 5.2% annually on average and has seen an average increase of 10.9% since 2021. Other non-public safety department costs have needed to be cut in order to accommodate these increases within recurring revenue levels. The second law enforcement related item discussed was related to potential implementation of Phase II of hiring additional officers as outlined in the Matrix staffing study. The Public Safety Committee has been discussing Phase II and presented its identified Phase II recommendation th on March 4. Importantly, these positions would be recommended for the next phase, if recurring funding were identified. After review and discussion, the Public Safety Committee, at the recommendation of Chief Ellis and staff, recommend the following for Phase II: • Four Patrol Deputies • One School Resource Officer • One shared Sexual Assault Detective • One Behavioral Health Deputy (which would be part of a co-deploy team with a behavioral health specialist) These positions allow the City to address areas of concern indicated through the community outreach while also providing fiscal responsibility through the use of shared costs with partners (for the school resource officer) and grants (for the Behavioral Health co-deploy team). Central Valley, West Valley, and East Valley School Districts have agreements with Spokane County to pay a portion of the costs for school resource officers and therefore the City will pay only a portion of the total costs for such officers. The Behavioral Health Deputy will be funded through a grant from the State. Finally, the Sexual Assault Detective is a shared position and the City only pays for the share of costs associated with work within Spokane Valley. Historically, the shared portion is approximately 50%. Preliminary estimated costs for all seven positions are $1,038,503 in recurring costs and an additional $390,000 in one-time costs. Cost estimates also include offsets for cost recovery for the amounts paid by the School Districts for the School Resource Officer based on 2023 actual revenues received and grant payments for the Behavioral Health Unit Deputy. At this time, the City does not have the additional $1,038,503 in recurring revenue to pay for the Phase II officers. th At the March 4Winter Workshop, Council also discussed various possible options for new recurring revenue generation for the City. One such revenue option was the Public Safety Sales Tax as authorized by RCW 82.14.450. With voter approval, the City could implement a 0.1% sales tax for criminal justice purposes. A ballot measure for the Public Safety Sales Tax can only be submitted at primary or general elections (August or November). Motor vehicle sales and the first 36 months of motor vehicle leases are exempt from this portion of the sales tax. If passed, the City must share 15% of the revenues collected with Spokane County. Staff estimate that this sales tax would generate about $2.6 million in annual revenue to the City. th Staff’s understanding of Council discussion and direction at the March 4 Winter Workshop was that Council wanted additional information on both Phase II implementation of police staffing increases and the Public Safety Sales Tax with the option of getting the measure on the ballot for the primary election on August 5, 2025. Election Process and Dates In order to put a Public Safety Sales Tax measure on the ballot, Council would need to adopt an election ordinance. The ordinance must include background and reasoning on the need for the additional funding as well as the proposed ballot proposition. The adopted ordinance must be submitted to Spokane County prior to the election filing deadline which is May 2, 2025 for the August 5, 2025 primary election, or August 5, 2025 for the November general election. In addition to the ordinance, Council must also appoint members to the pro and con committees prior to the filing deadline. The committees can contain up to three members each, and they are responsible for preparing the pro/con statements and rebuttal statements for the voter pamphlet. Also by the filing deadline, the City must prepare and submit an explanatory statement providing the purpose of the proposition, the financial impact, and other information about the measure in common and neutral language. Attached to this report are the draft ordinance and explanatory statement for a potential Public Safety Sales Tax ballot measure. Sales tax increases are effective at the next January 1, April 1, or July 1 following the election approving the increase; however, any change cannot be effective sooner than 75 days after the Department of Revenue receives notice of a favorable election (typically after the election is certified). This would mean that a Public Safety Sales Tax would be effective January 1, 2026 if approved at the August 5, 2025 primary election or April 1, 2026, if approved during the November 2025 general election. Governance Manual Considerations In addition to deadlines and restrictions for the potential ballot measure, the Council’s Governance Manual also has requirements to impose any new City tax. Pursuant to chapter 1, Section (C)(22) of the Governance Manual, prior to increasing or imposing a new tax, the City Council must hold a public hearing after providing proper notice. Notice includes publishing the notice of public hearing once a week for two consecutive weeks in the official newspaper of the City. Also, the Governance Manual states that approval of increasing or imposing new taxes requires an affirmative vote of a majority plus one of the whole Council. Next Steps If Council would like to pursue submitting a Public Safety Sales Tax measure on the August 5, 2025 primary election, the following would be the next steps: stth Advertisement of notice for the public hearing would go out for March 21 and March 28. stst Public hearing and 1 reading of the draft ordinance would be scheduled for April 1. ndthth 2 reading of the ordinance would be scheduled for April 8 or 15. Applications for the pro/con committee members would be advertised as soon as possible. Appointments to the committees would be recommended by the Mayor and confirmed by Council according to the City’s standard practice. nd Documents would be submitted to the County by the May 2 filing deadline. OPTIONS: Consensus to proceed with advertising for the public hearing on April 1, 2025, and the pro/con committee members, or other discussion by Council. RECOMMENDED ACTION OR MOTION: Consensus to proceed with advertising for the public hearing on April 1, 2025, and the pro/con committee members. BUDGET/FINANCIAL IMPACTS: This potential revenue is part of discussions related to the 2026 Budget development. The City is currently experiencing structural imbalances in the growth of revenues as compared to the growth of expenditures in the General Fund and Street Fund. For example, the 2025 Budget, General Fund recurring expenditures increased by 6.02%, but recurring revenues only increased by 3.80%. The General Fund is also seeing average increases of 5.2% in Public Safety costs, without consideration of the need for additional officers. Also, there is no current recurring revenues available to provide for additional officers to meet City law enforcement needs into the future, with Phase II implementation costing an estimated $1,038,503 in recurring costs. The implementation of a Public Safety Sales Tax would provide an estimated $2.6 million in additional recurring annual revenue in the General Fund which would allow for implementation of Phase II additional officers in 2026 as well as helping to provide for rising costs in recurring Public Safety operations. STAFF CONTACT: Erik Lamb, Deputy City Manager; Chelsie Walls, Finance Director; Kelly Konkright, City Attorney ATTACHMENTS: Draft Ordinance Draft Explanatory Statement CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON ORDINANCE NO. ______ AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SPOKANE VALLEY, WASHINGTON, PROVIDING FORTHE SUBMISSION TO THE QUALIFIED ELECTORS OF THE CITY AT THE AUGUST 5, 2025ELECTION OF A PROPOSITION AUTHORIZING AN INCREASE TO THE SALES AND USE TAX IN SPOKANE VALLEY OF ONE-TENTH OF ONE PERCENT (0.1%) ON THE SELLING PRICE OR VALUE OF AN ARTICLE TO FUND PUBLIC SAFETY AS PERMITTED IN RCW 82.14.450; SETTING FORTH THE TEXT OF THE BALLOT PROPOSITION; DIRECTING PROPER CITY OFFICIALS TO TAKE NECESSARY ACTIONS; AND PROVIDING FOR OTHER MATTERS RELATED THERETO. WHEREAS, the City Council of the City of Spokane Valley, Washington (the “City”), has adopted six budget priorities for 2025, including (1) increase public safety response and service levels; (2) prioritize infrastructure maintenance and preservation and advance strategic capital projects through grant awards; (3) continue economic development efforts to maximize business growth and develop tourism destinations; (4) maintain a strong financial position; (5) use strategic partnerships to reduce and prevent homelessness in Spokane Valley; and (6) expand homeownership opportunities within the region; and WHEREAS, the City Council has reaffirmed public safety and service levels as its top priority; and WHEREAS, the City has maintained conservative fiscal policies to minimize taxes on City residents. As part of these policies, the City Council funds recurring annual expenses with recurring revenue in order to avoid budget shortfalls, which would result in cutting service levels or programs. The City also contracts for services when prudent to minimize personnel costs and overhead. As a result, the City’s General Fund revenue is just 61% of the annual and per-capital revenue of like sized cities in the State of Washington (the “State”); and WHEREAS, one key area where contracted services has been both fiscally and operationally effective is through contracted law enforcement services with the Spokane County Sheriff’s Office (the “Sheriff’s Office”). The City began contracting for law enforcement services through the Sheriff’s Office in 2003 when the City was incorporated. Contracting for law enforcement services with the Sherriff’s Office has provided exceptional police service at lower costs as compared to in-house police services by like-sized cities in the State. However, costs for police account for 54% of the City’s 2025 General Fund budget, and all public safety costs (including police, prosecution, public defense, court, jail, and animal control services) account for 64% of the City’s 2025 General Fund budget; and WHEREAS, the City has historically managed services by finding efficiencies and stretching existing resources to provide the maximum level of service possible. For instance, while staffing models have changed over time to meet demands, until recently, the City has only added 5 dedicated police officers between 2007 and 2023; and WHEREAS, the City’s population has grown from 87,894 to 108,800 between 2007 and 2024, an approximately 22% increase, and the City saw an increase in calls for service of 17% between 2017 and 2023. Police staffing levels have not kept pace with this growth; and WHEREAS, as part of its ongoing management of police services and in response to the growth in calls for service, in 2023 the City engaged Matrix Consulting Group Ltd. to conduct an extensive review of the City’s police needs, operations, and staffing levels (the “Study”); and WHEREAS, as of 2022, the City had 91 dedicated police officers and 37 shared police positions under its contract with the Sherriff’s Office. The Study reviewed the actual need to meet the calls for service and recommended that the City hirean additional combined 31 commissioned and non-commissioned positions to meet public safety needs; and WHEREAS, in 2024, the City Council authorized 12 additional police related positions, at a total estimated cost of $2,325,032. In order to avoid increasing taxes, these new positions were funded from existing resources in 2024 and have been incorporated into the 2025 budget through the combination of reprioritizing funding and making cuts to non-police City programs; and WHEREAS, in addition to the identified and desired additional police related positions, the City has experienced rapid growth in costs for law enforcement services in the last several years. Since 2021, costs for law enforcement services have grown an average of 10.9% (including the additional police related positions). These costs are a result of legislative changes impacting police services and liability and challenges that exist in theState and within the region regarding recruiting, hiring, and retaining officers; and WHEREAS, as a result of adding the additional 12 police related positions and accounting for the annual anticipated cost increases, the City’s total 2025 public safety budget increased 14%; and WHEREAS, to avoid increasing taxes to pay for the additional 12 police relatedpositions and anticipated cost increases, the City Council cut non-police services and City programs by approximately 5%; and WHEREAS, nearly all of the2025 budgetcuts will not be available in the 2026 budget or future years because they resulted in removal of complete programs, such as funding to outside agencies and general fund subsidies of street maintenance operations; and WHEREAS, the City Council has identified a desire to hire additional police officers, but has determined that there are not sufficient existing recurring revenues to do so; and WHEREAS, the City also estimates that costs for all law enforcement services will continue to increase annually. Currently, the City understands that costs will increase at least approximately $4.7 million over the next three years due to recently approved collective bargaining agreements; and WHEREAS, the City has maintained a history of fiscal conservatism. The City’s two primary revenue sources are property taxes and sales taxes. Together, they account for more than 80% of the City’s General Fund revenue. The City Council has not taken statutorily authorized 2 annual 1% increases in property taxes since 2009 and the only growth in property taxes has occurred from new development; and WHEREAS, the City only receives 8% of the total property taxes paid by property taxpayers within the City. The remaining 92% is distributed among the State, Spokane County, and voter approved levies to fire districts, school districts, and other governmental entities. For instance, on a median home with a value of $439,000, the City receives $346 out of the total $4,581 of property tax paid by the homeowner; and WHEREAS, as a result, City property tax revenue growth has not kept pace with inflation since 2009 nor has it kept pace with cost increases in law enforcement; and WHEREAS, the City currently levies a sales and use tax of 0.85% for general revenue purposes. The aggregate sales and use tax levy within the City is currently 8.9%, also distributed among the State, Spokane County, and other overlapping jurisdictions; and WHEREAS, sales tax revenues are highly dependent on the economy and on consumer spending; and WHEREAS, while sales tax revenues can be volatile, within the City sales tax revenues have been flat or slightly declining over the last two years, and have also not kept pace with the increase in cost of public safety; and WHEREAS, according to a study conducted by Retail Strategies in 2023, approximately 48% of all sales taxes collected in the City are paid by non-City resident consumers; and WHEREAS, RCW 82.14.450 allows the City to levy an 1/10 of 1% (0.1%) sales tax for public safety purposes, subject to voter approval; and WHEREAS, given the need for additional police officers as identified in the Study, the anticipated increases in law enforcement costs, and limited resources, the City Council believes that it is necessary to let voters decide whether to raise sales taxes by 1/10 of 1% (0.1%) to pay for additional law enforcement officers and increasing law enforcement costs; and WHEREAS, if approved by the voters, the 1/10 of 1% (0.1%) sales tax is expected to raise approximately $2.6 million annually; and WHEREAS, pursuant to chapter 1, Section (C)(22) of the City of Spokane Valley Governance Manual (the “Governance Manual”), prior to increasing or imposing a new tax, the City Council must hold a public hearing after providing proper notice; and WHEREAS, the City Council held a public hearing on the proposed sales tax for public safety on April 1, 2025, at which time public testimony was heard; and WHEREAS, pursuant to the Governance Manual, adoption of this ordinance requires an affirmative vote of a majority plus one of the whole City Council; 3 NOW, THEREFORE, the City Council of theCity of Spokane Valley, Spokane County, Washington, do ordain as follows: Section 1. Public Safety Sales and Use Tax. The City Council hereby finds that the best interests of the residents of the City and the general public require the City to pay costs associated with providing and/or contracting for public safety services, including but not limited to costs associated with:providing public safety services to meet increased demand and calls for service; adding new policeofficers; paying public safety operations, maintenance and capital; providing for law enforcement staffing and retention; and providing other City operations and services authorized by RCW 82.14.450 (the “PublicSafety Services”). The City Council reserves the right, in accordance with its budget process, to determine the levels of service to be provided as permitted under applicable State law and within the available revenues collected from this increase. If revenues are sufficient, the Council reserves the right to use such additional funds to contract for, or pay personnel and related costs for recruiting, hiring, training, equipping and employing additional personnel in other capacities authorized by RCW82.14.450. The cost of all compensation, benefits, training, support services, equipment, vehicles, infrastructure, facilities, real property, and/or administrative expenses and other costs incurred and/or contracted for in connection with Public Safety Servicesshall be deemed a part of the costs. The City Council may alter, make substitutions to, and amend such components as it determines are in the best interests of the City and consistent with the general descriptions provided herein. The tax shall be in addition to any other taxes authorized by law and shall be collected from those persons who are taxable by the State under chapter82.14 RCW upon the occurrence of any taxable event within the City. Section 2. Calling of Election. It is hereby found that the best interests of the citizens of the City require the submission to the qualified electors of the City for approval or rejection at the election to be held on August 5, 2025 of a proposition authorizing an additional sales and use tax of 1/10th of 1% (0.1%) on the selling price in the case of a sales tax or the value of the article used in the case of a use tax pursuant RCW 82.14.450. Spokane County Elections, as ex-officio supervisor of elections in the City, is hereby requested to submit to the qualified electors of the City the proposition set forth below. Upon approval of the voters of the proposition hereinafter set forth, the City may use proceeds of such sales and use taxto pay the costs of Public Safety Services as more particularly described in this ordinance. 4 The City Clerk is hereby authorized and directed to certify a proposition to Spokane County Elections, as ex-officio supervisor of elections in Spokane County, Washington, in substantially the following form: CITY OF SPOKANE VALLEY PROPOSITION NO. ___ PUBLIC SAFETY SALES AND USE TAX The City Council of the City of Spokane Valley passed Ordinance No. _______ concerning funding for public safety services. If approved, this proposition would increase the sales and use tax rate by 1/10th of 1% (0.1%) to provide funding for public safety services to meet increased demand and calls for service; adding new police officers; paying public safety operations, maintenance and capital; providing for law enforcement staffing and retention; and providing other City operations and services as permitted under RCW 82.14.450. Should this proposition be approved? YES _____ NO ______ For purposes of receiving notice of the exact language of the ballot proposition required by RCW 29A.36.080, the City Council hereby designates: (a) the City Clerk and (b) Bond Counsel to the City, as the individuals to whom such notice should be provided. Bond Counseland City Clerk are each authorized individually to approve changes to the ballot title, if any, deemed necessary by the Spokane County Auditor. The City Clerk is authorized to make necessary clerical corrections to this ordinance including, but not limited to, the correction of scrivener’s or clerical errors, references, numbering, section/subsection numbers, and any reference thereto. The proper City officials are authorized to perform such duties as are necessary or required by law to submit the question of whether the 0.1% sales tax shall be levied, as provided in this ordinance, to the electors at the August 5, 2025 election. Section 3. Local Voters’ Pamphlet Authorized. The preparation and distribution of a local voters’ pamphlet providing information on the foregoing ballot measure is hereby authorized. The pamphlet shall include an explanatory statement and arguments advocating approval and disapproval of the ballot measure, if any. In accordance with RCW 29A.32.280, the arguments advocating approval and rejection of the ballot measure shall be prepared by committees appointed by the City Council. Each committee shall be composed of not more than three persons; however, a committee may seek the advice of any person or persons. Section 4. Ratification. Any act consistent with the authority and prior to the effective date of this ordinance is hereby ratified and confirmed. 5 Section 5. Effective Date. This ordinance shall take effect and be in force five days after the date of publication of this ordinance or a summary thereof in the official newspaper of the City. Passed by a majority plus one vote of the City Council of Spokane Valley this ____ day of ___________, 2025. _________________________________ Pam Haley, Mayor ATTEST: _________________________________ Marci Patterson, City Clerk Approved as to Form: _________________________________ Pacifica Law Group LLP, Bond Counsel Date of Publication: Effective Date: 6 DRAFT 3/9/2025 \[NOTE – LIMITED TO 175 WORDS\] Explanatory Statement: City of SpokaneValley, Washington Public Safety Sales Tax The City of Spokane Valley provides public safety and related services to its residents and businesses through a contract with the Spokane County Sherriff’s Office. The City has identified a need for additional dedicated police officers to keep up with the rising population within the City and increasing calls for service. In order to pay for public safety expenses, including additional police officers and increasing law enforcement costs generally, the City Council has approved a Public Safety Sales Tax ballot measure. If approved by voters, the City would impose a 0.1% sales tax on retail sales within the City that would be paid by all retail sales consumers, including non-residents. New sales tax revenue would pay costs associated with: providing public safety services; adding new police officers; paying public safety operations, maintenance and capital; providing for law enforcement staffing and retention; and providing other public safety operations and services authorized by RCW 82.14.450. If this measure is approved, the additional 0.1% sales tax would generate approximately $2.6 million in 2026. CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 Department Director Approval: Check all that apply: consent old business new business public hearing informationadmin. Reportpending legislationexecutive session AGENDA ITEM TITLE: Wellesley Avenue Preservation Project #353 GOVERNING LEGISLATION: RCW 35.77.010, Perpetual Advanced Six-Year plans for coordinated transportation program expenditures. PREVIOUS COUNCIL ACTION TAKEN: 6/18/2024-Council passed Resolution 24-011 adopting the 2025-2030 TIP, which included this project 2/18/2025-Administrative Report on the 2025 Capital Improvement Projects, which included this project. BACKGROUND: Wellesley Avenue is classified as a Minor Arterial roadway and is part of the City’s Bicycle and Pedestrian Master Plan. The road preservation project resurfaces Wellesley Avenue from Tolford Road to Isenhart Road. The majority of Wellesley Avenue, within the project limits, fall within the “Poor” rating scale of the Pavement Condition Index (PCI). PCI is a ranking assessment (using a scale of 0 is the worst and 100 is the best) on the overall health of paved street. PCI takes into account several types of road distresses. The project will also include stormwater improvements; provides new pedestrian crossings with refuge islands; upgrading ramps to meet ADA compliance; and new lane markings (channelization). In February 2025, the City hosted two open houses and an online survey to collect community input on two channelization options for the project. Both options included providing new bike lanes in both directions as proposed on the City’s Bicycle and Pedestrian Master Plan. Due to the addition of bike lanes, both options eliminated either part or all the on- street parking. Option A included a center turn lane but does not allow any on-street parking. The center turn lanes were proposed to: support the safe turning of vehicles, including vehicles and buses accessing East Valley High School (EVHS), provide a buffer between opposing lanes of traffic and provide room for a median refuge island which shortens the pedestrian crossing distances. Option B included on-street parking on the south side of the street, but no center turn lane which was not acceptable to EVHS and would continue to result in stopped traffic behind left turners. Approximately 20 people attended the two open houses, four individuals called or emailed their input and 64 people responded to the survey. 53% of respondents favored Option A, 35% Option B and 12% selected neither option. However, comments from the respondents provided significant input to trigger design of a new option (Option C), which was ultimately selected for the project. The most significant changes realized from the community input include new center-turn “pockets” rather than a full center-turn lane and eliminating the addition of formal bike lanes. Option C provides left turn pockets at the higher utilized turning locations 1) East Valley High School entrance (near Tolford Road) and 2) Moore Road. Beyond the turn pocket locations, the remaining channelization on Wellesley Avenue will have a center lane line that would allow cyclists to share the roadway with the traveling public while also allowing the majority of the desired on-street parking to remain. The project will be advertised for bids and constructed in 2025. The bid documents will include Option C’s channelization. OPTIONS: N/A RECOMMENDED ACTION OR MOTION: N/A BUDGET/FINANCIAL IMPACTS: The project is funded from City Funds 311. STAFF CONTACT: Robert Blegen, PE, Public Works Director Robert Lochmiller, PE, Engineering Manager Kristen Armstrong, PE, Senior Engineer ___________________________________________________________________________ ATTACHMENTS: Options Exhibit CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: March 18, 2025 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: Expenditures Related to Councilmember Al Merkel GOVERNING LEGISLATION: N/A PREVIOUS COUNCIL ACTION TAKEN: N/A BACKGROUND: In January 2024, Albert Merkel began a four-year tenure as a Spokane Valley City Councilmember (CM) in Position 3. Since this time, several of CM Merkel’s actions have exposed the City to legal and financial risk. Two independent investigations found that CM Merkel has displayed a pattern of intimidation and having hostile interactions with the city’s workforce, as well as disregarded the Council's Governance Manual and Washington state laws, despite receiving extensive training on these matters. The City has received multiple requests for information about the total amount of money spent on addressing these issues, as shown in the attachment. As of March 11, 2025, due to CM Merkel’s actions, the City has incurred the following significant costs totaling $289,082.43. The total costs will increase as fees are billed to the City. A. Actions taken to protect city employees - Cost to date: $103,081.00 Fees for an independent attorney to investigate a hostile work environment complaint filed a city employee against him. Costs to implement methods to minimize disruptions to city operations and limit his interactions with staff. Legal fees to mitigate the risk of further discrimination and retaliation against city staff for having complained of and/or participated in the workplace investigation into CM Merkel’s actions. B. Actions taken to protect the City from legal risk - Cost to date: $164,083.55 Fees for an independent attorney to investigate a complaint that CM Merkel violated the Council’s Governance Manual Social Media Guidelines, including alleged violations of the Public Records Act (“PRA”). Legal fees to mitigate the city’s legal and financial risk resulting from the investigator’s findings related to CM Merkel’s likely violations of the PRA. Attorney fees to investigate citizens’ claims that CM Merkel (a) falsely accused a citizen of illegal activity and abused his Councilmember authority to obtain preferential treatment from law enforcement, and (b) violated citizens’ First Amendment free speech rights by removing their social media posts from CM Merkel’s social media discussing city business and/or blocking them from his social media. Invoices from the hearing examiner and investigator for CM Merkel’s appeal of the investigator’s findings that his social media use violates the Council’s Social Media Guidelines and the PRA have been received and processed. As of Dec. 31, 2024 the total expenditure for the appeal were $78,085.05. The hearing examiner held the appeal hearing on Oct. 24, 2024 and the city was required to compensate the hearing examiner and independent investigators for their time spent on CM Merkel’s appeal. C. Investigation of CM Merkel’s unfounded complaint against Councilmember Higgins and Mayor Haley - $4,189.05 D. Nonproductive uses of staff time - Cost to date $17,728.83 (only estimated on the public records requests) Staff time responding to 67 public records requests related to CM Merkel’s behavior. In 2024 and 2025 to date, these requests represent 12.8% of all public record requests received by the City. Funds spent to protect the City and staff from CM Merkel’s risk-inducing behavior are no longer available to support Council priorities, such as public safety. Moreover, this report does not quantify the impact on city services of having to re-direct the city’s limited staff resources to address the complaints against CM Merkel and the risks to which his actions expose the City. These costs and redirecting of staff resources could have been avoided if CM Merkel interacted appropriately with staff and his fellow Councilmembers, followed the training provided and adhered to the Council’s Governance Manual, municipal code and state law. OPTIONS: N/A RECOMMENDED ACTION OR MOTION: Information only BUDGET/FINANCIAL IMPACTS: For calendar year 2024 and 2025 to date, the City has spent $289,082.43 to address the actions of CM Merkel. The 2024 budget was amended. The 2025 budget will need to be amended to cover the ongoing expenditures. STAFF CONTACT: John Hohman, City Manager ATTACHMENTS: Expenditures as of 3/11/2025 related to Councilmember Al Merkel CITY OF SPOKANE VALLEY Expenditures Related to Councilmember Al Merkel (as of 3/11/2025) VendorInvoice DateAmount Subtotal A. Costs for Actions Taken to Protect City Employees Summit Law Group01/17/24$ 112.50 03/19/24$ 553.00 04/17/24$ 5,767.00 05/17/24$ 4,386.50 06/18/24$ 13,578.66 07/19/24$ 1,066.50 08/15/24$ 474.00 09/19/24$ 1,004.00 Ogletree Deakins04/11/24$ 17,284.93 05/08/24$ 10,180.16 06/11/24$ 1,125.00 Garco Construction$ 40,858.75 Focal Forensics2/4/2024$ 6,690.00$ 103,081.00 B. Costs Taken to Proect the City from Legal Risk Rebecca Dean08/01/24$ 4,725.00 09/01/24$ 12,825.00 09/27/24$ 817.50 11/01/24$ 11,700.90 12/01/24$ 1,014.00 Lukins & Annis PS06/07/24$ 2,981.00 08/06/24$ 1,061.50 09/05/24$ 4,455.50 09/05/24$ 3,243.00 10/18/24$ 5,621.00 11/15/24$ 110.00 11/21/24$ 2,110.50 12/10/24$ 31.50 01/09/25$ 2,130.50 01/21/25$ 18,446.50 02/11/25$ 4,160.00 02/11/25$ 6,604.00 Kottkamp, Yedinak & Esworthy09/28/24$ 440.00 10/29/24$ 3,630.65 10/29/24$ 754.00 11/26/24$ 1,560.00 12/31/24$ 1,860.00 Ogden Murphy Wallace09/12/24$ 1,067.00 10/10/24$ 6,402.00 11/11/24$ 8,681.50 12/12/24$ 20,467.00 01/09/25$ 10,664.00 Twisted Pair 11/08/24$ 887.50 Expenditures Related to Councilmember Al Merkel as of 03.11.2025, Page 1 of 2 Evans, Craven & Lackie, PS11/24/24$ 21,336.00 12/20/24$ 3,009.00 Crumb Court Reporting12/19/24$ 1,287.50$ 164,083.55 C. Fees and Costs Investigation of unfounded complaints that CM Higgins and Mayor Haley Rebecca Dean06/01/24$ 1,162.50 07/01/24$ 3,026.55$ 4,189.05 D. Costs related to Nonproductive use of staff time Staff time to fulfill Public Records 453.56 staff$ 17,728.83 requests related to CM Merkel hours A$ 103,081.00 B$ 164,083.55 C$ 4,189.05 D$ 17,728.83 TOTAL$ 289,082.43 Expenditures Related to Councilmember Al Merkel as of 3.11.2025, Page 2 of 2 revised Decision conditions Approved with Description Page 1 of 1 Other Jurisdictions Preliminary Plat Application by South Sands LLC to subdivide 6.77 acres into 41 residential lots on property in the R-3 zone. Valley Spokane Jurisdiction File Number SUB-2024-001 7/11/2024 Hearing Date