Loading...
HomeMy WebLinkAbout25-027.01 Community Attributes Inc. - 2026 Periodic Comp UpdateCONTRACT AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF SPOKANE VALLEY AND COMMUNITY ATTRIBUTES INC. Spokane Valley Contract No. 25-027.01 For good and valuable consideration, the legal sufficiency of which is hereby acknowledged, City and the Consultant mutually agree as follows: 1. ose: This Amendment is for the Contract to complete the 2026 Comprehensive Plan Periodic Update by and between the Parties, executed by the Parties on February 28, 2025, and which terminates on June 30, 2026. Said contract is referred to as the "Original Contract" and its terms are hereby incorporated by reference. 2. Original Contract Provisions: The Parties agree to continue to abide by those terms and conditions of the Original Contract and any amendments thereto which are not specifically modified by this Amendment. 3. Amendment Provisions: The Original Contract is subject to the following amended provisions, which are attached hereto as Appendix "A". All such amended provisions are hereby incorporated by reference herein and shall control over any conflicting provisions of the Original Contract, including any previous amendments thereto. 4. Compensation Amendment HistorX: This is Amendment #1 of the Original Contract. The history of amendments to the compensation on the Original Contract and all amendments is as follows: Date Compensation Original Contract Amount February 28, 2025 $1,025,000.00 Amendment 41 to be executed $74,450.00 Total Amended Compensation $1,099,450.00 The parties have executed this Amendment to the Original Contract this Y day of June 2026. CITY OF SPOKANE VALLEY: JA Hohman City Manager APPROVED AS TO FORM: • COMMUNITY ATTRIBUTES INC: By: Chris Mefford Its: President & CEO APPENDIX "A" 1. Paragraph 2 (Term of Contract) of the Original Contract is hereby amended to change the term of performance to December 31, 2026. Paragraph 2 of the Original Contract is amended to read as follows: Term of Contract. This Agreement shall be in full force and effect upon execution and shall remain in effect until completion of all contractual requirements have been met as determined by City. Consultant shall complete its work by December 31, 2026, unless the time for performance is extended in writing by the Parties. Either Party may terminate this Agreement for material breach after providing the other Party with at least 10 days' prior notice and an opportunity to cure the breach. City may, in addition, terminate this Agreement for any reason by 45 days' written notice to Consultant. In the event of termination without breach, City shall pay Consultant for all work previously authorized and satisfactorily performed prior to the termination date. Remedies for material breach herein shall not be construed as limiting the City's authority to seek any other remedy provided under this Agreement or by law. 2. Paragraph 3 (Compensation) of the Original Contract is hereby amended to change the total compensation paid from 1025 000, to $1,099,450. The City agrees to pay up to $1,099,450 as full compensation for everything furnished and done under this contract, in accordance with the provisions outlined in the scope of work, as presently amended. 3. The Scope of Work, Exhibit A, of the Original Contract, is hereby amended to include Task 9 & Task 10, which are attached hereto and incorporated herein by this reference. CAI remains ultimately responsible under the original contract and any amendments thereto for the completion of all tasks, and the choice to divide work among its subcontractors remains in their discretion. Any delineation of work between CAI and DOWL described in the Scope of Work and various tasks is simply illustrative and to provide a working plan moving forward. 2 119 Pine Street, Suite 400 1 Seattle, WA 98101 206 523 6683 1 communityattributes.com ................... TASK 9. SUPPLEMENTAL CODE UPDATES Under the original contract with the City of Spokane Valley dated February 25, 2025, CAI was scoped to assist the City of Spokane Valley updating its code to meet state requirements under the following tasks: • Task 8.1: Development Regulations Audit • Task 8.2: Review key update requirements with decision makers • Task 8.3: Draft Development Regulations and Critical Areas Ordinance. • Task 8.4: Obtain Planning Commission and City Council Input on Draft Development Regulations • Task 8.5: Adoption The audit in Task 8.1 was based on the Washington Department of Commerce's Development Regulations periodic update checklist published at the time. Since that time, the State of Washington passed new legislation in the form of Senate Bills (SBs), and two House Bills (HB): • SB 1096: Administrative lot splitting for single-family and middle housing required, provided no more than one newly created lot is created, compliance with minimum lot size required; other conditions are met including mitigating for displacement. • SB 5184: Imposes limitations on the number of parking spaces for small residences and commercial spaces, affordable housing, senior housing, childcare centers, ground -level in mixed - use, and buildings undergoing change from non-residential to residential. • SB 5509: Requires that childcare centers be allowed in all zones except industrial. • SB 5559: Requires that unit lot subdivision plat sheets contain certain notes, requires administrative process for review, noticing of properties within 250 feet, and clear and objective standards. • SB 5611: Cleans up timelines for permit processing deadlines from SB 5290. Agencies can't frontload extension requests. May not deny a permit for needed housing within a UGA or impose conditions that affect project viability. Shifts consequences of delay to local government. Multifamily development is commercial development for purposes of binding site plan. • SB 6026: Jurisdictions may not prohibit residential uses in areas zoned for commercial or mixed - use development with certain exceptions and may not require multistory residential buildings in commercial or mixed -use zones to have ground -floor commercial space. • HB 2266: Significantly limits local zoning and permitting discretion for shelters, transitional, emergency, and permanent supportive (STEP) housing. Must be treated the same as other residential and lodging uses. • HB 2418: Clarifies completeness determinations and requires a single permit point of contact. The City of Spokane Valley has requested assistance in updating its code for compliance with this legislation assuming the same adoption schedule as the periodic update, by December 31, 2026. CAI, together with its subcontractor DOWL will complete the following tasks to address the new state legislation described above: Task 9.1 Review key update requirements with decision -makers: DOWL will review relevant portions of the new legislation above with the City's Planning Commission and City Council along with the previously scoped code updates prior to undertaking the additional code updates. DOWL anticipates additional time and slides would be necessary to summarize the legislation in a Draft and Final PowerPoint presentation for one Planning Commission (Workshops #1 - attendance already scoped) and one City Council workshop (Workshop #2 - new meeting). CAI will assist with coordination and logistics for additional meetings. Task 9.2 Draft Development Regulations: DOWL anticipates additional time to update the City's draft code provided in January 2026 for compliance with new legislation contained in SBs 1096, 5184, 5509, CAI I DOWL MARCH 31,2026 PAGE A-1 CITY OF SPOKANE VALLEY COMP PLAN SUBCONTRACT 5559, 5611, 6026, HB 2266, and HB 2418. DOWL, working with CAI, will update the Titles 17-22 in two drafts based upon one round of City review. DOWL will also facilitate up to one additional TAC meeting with City staff to review the revised development regulations to discuss the new legislation. Task 9.3 Obtain Planning Commission and City Council Input on Draft Development Regulations: Under the original scope of work, DOWL was to obtain input from the Planning Commission and Council in a joint meeting on the draft development regulations (Workshop #3 - attendance already scoped). Based on the City's direction, they would prefer separate meetings before each body (two meetings total) rather than one joint meeting. DOWL is, therefore scoping to attend, present, and answer questions at one additional meeting (Workshop #4). DOWL will prepare additional slides describing the new legislation for the PowerPoint presentation. Task 9.4 Adoption: Under the original scope of work, DOWL is scoped to contribute to one public hearing each with the Planning Commission and City Council for adoption concurrent with the overall periodic update adoption. DOWL anticipates additional time to prepare for these adoption meetings associated with the new legislation. Assumption(s) • The PowerPoint presentation for the Council and Planning Commission workshops #1 and #2 will include up to ten additional slides to describe the new legislation and will contain the same content for both meetings. • The PowerPoint presentation for Workshops #3 (Planning Commission) and #4 (City Council) will contain the same content. • All Council and Planning Commission workshops and hearings will be no longer than 2 hours in duration and DOWL's attendance will be remote. • DOWL's code amendments to address the new legislation are limited to Titles 19-21 of the City's code. • The TAC meeting with City staff will be up to one hour long and attended by the DOWL Senior Planner and Land Use Planner. Attendance will be remote. • DOWL's edits to the draft code in Task 9.3 will meet minimum State requirements. If the City requests changes that go beyond what is required by the State, a contract amendment may be necessary. Task 8 Deliverables (Amended): • Up to 10 additional presentation slides for the Council and Planning Commission for Workshops #1 and #2. • Two amended drafts of development regulations (Titles 19-21) to address new legislation. • Up to 10 additional presentation slides for the Council and Planning Commission Workshops #3 and #4. CAI I COSV APRIL 23, 2026 PAGE A-2 CITY OF SPOKANE VALLEY COMP PLAN AMENDMENT BUDGET The following represents an allocation of budget by task for each subtask identified in the contract scope of work. TASK Approx. Hours Fees TASK 8 CODE UPDATE (AMENDED TASK) 9.1 Review key update requirements with decision -makers 22 $5,400 9.2 Draft Development Regulations and Critical Areas Ordinance 128 $29,450 9.3 Obtain PC and CC Input on Draft Development Regulations 17 $4,100 9.4 Adoption 6 $1,500 Task Subtotal 173 $40,450 CAI I COSY APRIL 23, 2026 PAGE A-3 CITY OF SPOKANE VALLEY COMP PLAN =CAI ......_......... 119 Pine Street, Suite 400 1 Seattle, WA 98101 206 523 6683 1 communityattributes.com TASK 10. ADEQUATE PROVISIONS ANALYSIS AND CODE WRITING Task 10. Multifamily Tax Exemption and Incentive Zoning Program Analysis and Design Goal: Conduct research, analysis, and planning to meet statutory requirements for adequate provisions enabling housing affordability at all AM levels. 10.1. Zoning Assessment. CAI will review zoning recommendations to identify opportunities for application of Multifamily Tax Exemption (MFTE) and bonus development capacity through incentive zoning. This assessment will align MFTE programs with zoning designations under consideration. It will also determine which regulations (such as building height or density limits) can be modified to increase development capacity per development project. CAI will facilitate one (1) virtual meeting with the Client to review draft findings. Task 10.1 will conclude once City staff provide formal direction to proceed with Task 10.2 based on findings from the assessment. 10.2. Pro Forma Feasibility Analysis. CAI will build an Excel -based spreadsheet pro forma model to demonstrate the financial feasibility of two (2) development prototypes, with prototype details to be developed with the Client input. CAI will provide research and analysis to inform model assumptions and will design the model to allow adjustments to key variables, such as building height, affordable housing unit set -aside, and affordable housing unit affordability level. Output metrics will demonstrate feasibility sensitivity based on MFTE or incentive zoning options (Q. CAI will deliver the working model to City staff and will collaborate with staff to identify appropriate MFTE and IZ program parameters. 10.3. Recommendations and Code Language Memorandum. CAI will draft a brief technical memorandum to summarize recommendations and will include model code language suitable for integration into the City of Spokane Valley's Municipal Code. It is anticipated that staff will accept, modify, or reject that model code language and will edit the Municipal Code for adoption. 10.4. Meeting Support and Presentation. CAI will attend (virtually) one (1) Planning Commission or City Council meeting in support of staff. CAI will provide slides for inclusion in a staff presentation, summarizing the technical analysis and key findings. It is anticipated that staff will provide ongoing support for meetings related to the adoption process, beyond CAI's participation. <�AI AMENDMENT BUDGET 119 Pine Street, Suite 400 1 Seattle, WA 98101 206 523 6683 1 communityattributes.com The following represents an allocation of budget by task for each subtask identified in the contract scope of work. TASK Approx. Hours Fees TASK 10 ADEQUATE PROVISIONS ANALYSIS AND CODE WRITING 10.1 Zoning Assessment 12 $2,400 10.2 Pro Forma Feasibility Analysis 170 $26,000 10.3 Recommendations and Code Language Memorandum 20 $3,600 10.4 Meeting Support and Presentation 10 $2,000 Task Subtotal 212 $ 34,000 E