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2021, 10-26 Formal MeetingAGENDA SPOKANE VALLEY CITY COUNCIL REGULAR MEETING FORMAL FORMAT Tuesday, October 26, 2021 6:00 p.m. Remotely via ZOOM Meeting and In Person at 10210 E Sprague Avenue Council Requests Please Silence Your Cell Phones During Council Meeting NOTE: In response to Governor Inslee's announcement reopening Washington under the "Washington Ready" plan, members of the public may attend Spokane Valley Council meetings in -person at City Hall at the address provided above, or via Zoom at the link below. Members of the public will be allowed to comment in -person or via Zoom as described below. Public comments will only be accepted for those items noted on the agenda as "public comment opportunity." If wishing to make a comment via Zoom, comments must be received by 4:00 pm the day of the meeting. Otherwise, comments will be taken in - person at the meeting in Council Chambers, as noted on the agenda below. NOTICE: On August 20, 2021, Governor Inslee signed proclamation 20-25.15 re -instituting a statewide mask mandate, regardless of vaccination status. Therefore, effective August 23, 2021, all those entering or remaining in City Hall must wear a mask or face covering. Masks are available for the public inside the main entrances to City Hall. [Governor Inslee's expanded emergency order Proclamation 20-25, which adopts Secretary of Health Order 20-03.41 • 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: Pastor Ken Reyes, Spokane Valley Baptist Church PLEDGE OF ALLEGIANCE ROLL CALL APPROVAL OF AGENDA INTRODUCTION OF SPECIAL GUESTS AND PRESENTATIONS: COMMITTEE, BOARD, LIAISON SUMMARY REPORTS MAYOR'S REPORT PROCLAMATIONS: GENERAL PUBLIC COMMENT OPPORTUNITY [1]: 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. 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 in Council Chambers. Whether in person or via zoom, speakers should indicate if they want to speak at General Public Comment Opportunity [1] or [2] and may only speak at one or the other, but not both. Council Agenda October 26, 2021 Page 1 of 2 1. PUBLIC HEARING: 2021 Budget Amendment — Chelsie Taylor [public comment opportunity] 2. First Reading Ordinance 21-017, Amending 2021 Budget — Chelsie Taylor [no public comment] NEW BUSINESS: 3. Consent Agenda: Consists of items considered routine which are approved as a group. Any member of Council may ask that an item be removed from the Consent Agenda to be considered separately. Proposed Motion: I move to approve the Consent Agenda. a. Approval of Claim Vouchers on October 26, 2021, Request for Council Action Form: $3,165,799.26 b. Approval of Payroll for Pay Period Ending October 15, 2021: $403,169.46 c. Approval of Council Meeting Minutes of October 5, 2021 Study Session d. Approval of Council Meeting Minutes of October 12, 2021, Formal Format 4. Second Reading Ordinance 21-016, Property Tax — Chelsie Taylor [public comment opportunity] 5. First Reading Ordinance 21-018 Adopting 2022 Budget — Chelsie Taylor [no public comment] 6. Proposed Resolution 21-008: Tourism Promotion Area (TPA) — Erik Lamb [public comment opportunity] 7. Motion Consideration: City Hall Holiday Closure — Mark Calhoun [public comment opportunity] 8. Motion Consideration: Outside Agency Grant Awards - Chelsie Taylor [public comment opportunity] GENERAL PUBLIC COMMENT OPPORTUNITY [21: 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. 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 in Council Chambers. Whether in person or via zoom, speakers should indicate if they want to speak at General Public Comment Opportunity [1] or [2] and may only speak at one or the other, but not both. ADMINISTRATIVE REPORTS: 9. Community Development Block Grant (CDBG) Potential Projects — Mike Basinger, Chaz Bates 10. Balfour Park Design Update — Bill Helbig, John Bottelli 11. Code Text Amendment 2020-0006, Planned Residential Dev Regs — Jenny Nickerson 12. Advance Agenda — Mayor Wick INFORMATION ONLY (will not be reported or discussed): 13. Department Reports CITY MANAGER COMMENTS EXECUTIVE SESSION: Potential Litigation [RCW 42.30.1106)1 (Proposed Motion: I move Council adjourn into executive session for approximately 15 minutes to discuss potential litigation, and that no action will be taken upon return to open session.) ADJOURNMENT Council Agenda October 26, 2021 Page 2 of 2 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Check all that apply: ❑ consent ❑ old business ❑ information ❑ admin. report Department Director Approval: ❑ new business ® public hearing ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Public Hearing on the proposed 2021 Budget Amendment. GOVERNING LEGISLATION: In order for the City to amend an adopted budget, State law requires the Council to approve an ordinance that appropriates additional funds. PREVIOUS COUNCIL ACTION TAKEN: The Council last took formal action on the 2021 Budget when it was amended on May 18, 2021. On October 12, 2021, an Administrative Report was delivered to Council regarding the need for a budget amendment. BACKGROUND: Since the amendment of the 2021 Budget on May 18, 2021, a number of events have transpired in the normal course of operations that necessitate a second 2021 Budget amendment. They include: #001 - General Fund The total of both recurring and nonrecurring revenues reflects a decrease of $424,200, which is comprised of: • $464,200 decrease in district court passthrough fees in Public Safety revenues. These are fees the City collects on behalf of the State and Spokane County which are paid to those entities after collection. A change in accounting rules in 2020 necessitates accounting for these types of transactions in a Fiduciary Fund. This is the new Passthrough Fees and Taxes Fund #632 that is created with this budget amendment. • $40,000 increase for the remaining balance of a grant from the Department of Commerce to complete the Housing Action Plan. This was started in 2020 and completed in 2021. A decrease of $426,003 in appropriations (expenditures) comprised of: • $12,000 increase rental costs in the City Manager Department to reserve shelter beds for the use of the City. • $485,900 decrease in the Public Safety Department to move the passthrough district court fees to the new Passthrough Fees and Taxes Fund #632 as described above under revenues. • $40,000 increase to complete the Housing Action Plan paid for by a grant from the Department of Commerce. This was started in 2020 and completed in 2021. • $7,897 increase in transfers to the Parks Capital Projects Fund #309 for residual costs related to the CenterPlace west lawn improvements and the CenterPlace roof replacement projects. #104 — Hotel / Motel Tax — Tourism Facilities Fund Increase revenues by $868,660 including: • $187,000 increase reflecting updated estimates of lodging tax revenues. • $21,500 decrease in investment interest due to a decrease in interest rates. • $703,160 increase in transfers in from the Hotel/Motel Tax Fund #105. This increase reflects a Council motion on December 8, 2020, as part of the lodging tax grant process for the 2021 awards. This motion stated that the remainder of lodging tax collections in Fund #105 after 2020 and 2021 award payouts would be transferred to Fund #104 so that the ending fund balance in Fund #105 is approximately $165,000 at the end of 2021. 1 #105 — Hotel / Motel Tax Fund Increase revenues by $398,700 including an increase of $404,000 reflecting updated estimates of lodging tax revenues and a decrease of $5,300 in investment interest due to a decrease in interest rates. Increase expenditures by $676,160 including a decrease of $27,000 to reflect actual awards for 2021 lodging tax grants and an increase of $703,130 in transfers out to the Hotel/Motel Tax — Tourism Facilities Fund #104 (see explanation under Fund #104 above). #106 — Solid Waste Fund Increase transfers out to the Pavement Preservation Fund #311 by $37,776 due to 2020 receipts of the road wear administration fee related to the Waste Management collection contract exceeding previous estimates. #107 — PEG Fund Increase expenditures by $15,000 to replace broadcast equipment in Council Chambers. There are adequate reserves in Fund #107 to cover these costs. #301 — REET 1 Capital Projects Fund Real Estate Excise Tax (REET) revenue is increased by $1,000,000 based on revised revenue projections and investment interest is decreased by $22,000 due to a decrease in interest rates. #302 — REET 2 Capital Projects Fund Real Estate Excise Tax (REET) revenue is increased by $1,000,000 based on revised revenue projections and investment interest is decreased by $19,500 due to a decrease in interest rates. Decrease expenditures by $839,466 due to changes in the expected transfers out to the Railroad Grade Separation Projects Fund #314 to reflect current estimates. See further explanation below under Fund #314. #303 — Street Capital Projects Fund Revenues and expenditures are proposed to increase by $94,000 to reflect current estimates on various sections of the Barker Road corridor. #309 — Park Capital Projects Fund This fund is being amended to reflect current estimates on several projects. Revenues are increased by $322,575 reflecting: • $7,897 increase in transfers in from the General Fund for residual costs related to the improvements to the CenterPlace west lawn and the replacement of the CenterPlace roof. • $314,678 increase in transfers in from the Capital Reserve Fund #312 for the Evergreen to Sullivan section of the Appleway Trail, improvements at Balfour Park, and the water line at Sullivan Park. Expenditures increase by $322,575, including: • An increase of $2,033 for residual costs on the Evergreen to Sullivan segment of the Appleway Trail to close out the project. • An increase of $5,124 for residual costs on the improvements to the CenterPlace west lawn. • An increase of $2,773 for residual costs on the replacement of the CenterPlace roof. • An increase of $367,503 for preliminary engineering costs for phase one of improvements at Balfour Park. • A decrease of $54,858 on the Sullivan Park water line reflecting a changing of the timing on the project. 2 #310 — Civic Facilities Capital Projects Fund Revenues are decreased by $2,300 to reflect a decrease in investment interest earnings. Expenditures are increased by $3,600 in transfers out to the Capital Reserve Fund #312. This amount reflects excess investment earnings that have accumulated in Fund #310. #311 — Pavement Preservation Fund Increase transfers in from the Solid Waste Fund #106 by $37,776 due to 2020 receipts of the road wear administration fee related to the Waste Management collection contract exceeding previous estimates. Decrease expenditures by $885,473 to reflect current estimates and timing on several projects including the Broadway Preservation project from Havana to Fancher and the Evergreen Preservation project. #312 — Capital Reserve Fund Revenues increase by $1,020,500 including: • $3,600 increase in transfers in from the Civic Facilities Capital Projects Fund #310 for excess interest earnings. • $109,400 increase for the proceeds from the sale of the Balfour horse arena. • $1,000,000 increase in grant proceeds from the RCO grant received for the Flora Rd park property. This grant is partially reimbursing Fund #312 for the cost of this purchase. • $92,500 decrease in investment interest due to a decrease in interest rates. Increases expenditures/appropriations of $3,485,635 include: • Increase of $14,000 in transfers to the Street Capital Projects Fund #303 for sections of the Barker Road corridor. • Increases of $314,678 in transfers out to the Parks Capital Projects Fund #309 for the Evergreen to Sullivan section of the Appleway Trail, improvements to Balfour Park, and the water line at Sullivan Park. • Increases of $921,957 in transfers out to the Railroad Grade Separation Projects Fund #314 for the Barker Rd overpass, the Pines Rd underpass, and the Sullivan Rd interchange. • $2,225,000 for the purchase property on Sprague Ave. for potential Precinct use. #314 — Railroad Grade Separation Projects Fund Activity in Fund #314 is estimated to decrease substantially, which may seem counterintuitive due to construction on the Barker Rd overpass beginning in early 2021 and continuing into 2022. The decrease is primarily due to a change in the way the Barker Rd project is being administered. The City has entered into an interlocal agreement with the Washington State Department of Transportation (WSDOT) to perform contract administration for the construction of the project. In that capacity, WSDOT is directly paying the construction contractor and drawing on the City's grants. The City then provides any local match above and beyond the grant proceeds to WSDOT. Revenues decrease by $8,499,328, comprised of: • Decrease of $8,581,819 in grant proceeds to reflect current estimates on the grade separation projects. • Decreases of $839,466 in transfers in from the REET 2 Capital Projects Fund #302 for the Barker Road grade separation project. • Increase of $921,957 in transfers in from the Capital Reserve Fund #312 for the Barker Road grade separation project, the Pines Road grade separation project, and the Sullivan Road interchange. 3 Expenditures decrease by $8,433,688, comprised of: • Decrease of $8,262,533 due to updated estimates for the Barker Road grade separation project. See explanation above. • Decrease of $246,135 due to updated estimates for the Pines Road grade separation project. • Increase of $75,000 for preliminary engineering for the Sullivan Road interchange project. #315 — Transportation Impact Fees Fund This is a new fund that is being created to account for the transportation impact fees implemented by the City beginning in 2021. The fees are restricted by law and therefore must be separately tracked. Revenues increase by $150,000 in estimated transportation impact fee collections for 2021, and expenditures increase by $80,000 in transfers out to the Street Capital Projects Fund #303 for use on eligible capital projects. #316 — Economic Development Capital Projects Fund This is a new fund that is being created to account for capital projects undertaken by the City for economic development purposes. The first project being accounted for in this fund is the new Expo Center building at the Spokane County Fairgrounds. Revenues increase by $10,000 in transfers in from the Capital Reserve Fund #312 for the fairgrounds building, and expenditures increase by $10,000 for preliminary design work for the new Expo Center building. #402 — Stormwater Fund Expenditures increase by $160,000 related to updated estimates and timing on capital projects. #403 — Aquifer Protection Area Fund Revenues decrease by $628,000 consisting of $615,000 in grant proceeds related to updated estimates on construction projects and $13,000 in investment interest. Provide additional appropriations (expenditures) of $580,431 including updated estimates on construction projects such as the Regional Decant Facility canopy, the Appleway Stormwater Improvements project, and various pavement preservation projects with aquifer protection updates. #632 — Passthrough Fees & Taxes Fund This is a new Fiduciary Fund that is required due to a change in accounting rules. The City receives district court fees that are assessed by the State and Spokane County. These fees are required to be paid to the State or County when received. The City also collects sales taxes and leasehold excise taxes on behalf of the State, which are then remitted quarterly. Revenues increase $399,687 in estimated passthrough fees and taxes that will be collected on behalf of the State and County. Expenditures increase by $400,000 in estimated fees and taxes that will be remitted to the State and County from the passthrough collections. The 2021 Budget amendment reflects the changes noted above and will affect 18 funds resulting in total revenue decreases of $4,293,430 and expenditure decreases of $4,719,433. The amendment will also create three new funds — the Transportation Impact Fees Fund #315, the Economic Development Capital Projects Fund #316, and the Passthrough Fees & Taxes Fund #632. 4 Revenue Expenditure Fund Fund Increase Increase No. Name (Decrease) (Decrease) 001 General Fund (424,200) (426,003) 104 HotelMotel Tax - Tourism Facilities Fund 868,660 0 105 HotelMotel Tax Fund 398,700 676,160 106 Solid Waste Fund 0 37,776 107 PEG Fund 0 15,000 301 REET 1 Capital Projects Fund 978,000 0 302 REET 2 Capital Projects Fund 980,500 (839,466) 303 Street Capital Projects Fund 94,000 94,000 309 Parks Capital Projects Fund 322,575 322,575 310 Civic Facilities Capital Projects Fund (2,300) 3,600 311 Pavement Preservation Fund 37,776 (885,473) 312 Capital Reserve Fund 1,020,500 3,485,635 314 Railroad Grade Separation Fund (8,499,328) (8,433,668) 315 Tranportation Impact Fees Fund 150,000 80,000 316 Economic Development Capital Projects Fu 10,000 10,000 402 Stormwater Fund 0 160,000 403 Aquifer Protection Area Fund (628,000) 580,431 632 Passthrough Fees & Taxes Fund 399,687 400,000 (4,293,430) (4,719,433) OPTIONS: Future options are to accept the proposed amendments in whole or in -part. RECOMMENDED ACTION OR MOTION: The purpose of this evening's public hearing is to consider input from the public on the proposed budget amendment and no action is required of Council at this time. Anticipated future action by the Council includes: • October 26, 2021 — First reading of Ordinance #21-017 amending the 2021 Budget. • November 9, 2021 — Second reading of Ordinance #21-017 amending the 2021 Budget. BUDGET/FINANCIAL IMPACTS: This action amends the estimated revenues and appropriations for the 2021 Budget that was adopted on December 8, 2020 and amended on May 18, 2021. There are adequate funds available to pay for these amendments. STAFF CONTACT: Chelsie Taylor, Finance Director ATTACHMENTS: • Fund level line -item detail of revenues and expenditures. • Fund summaries for all funds affected by the proposed budget amendment. 5 P:\Finance\2021 Budget\Budget AmendmentWmendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Amendment No 2 Detail v1 for RCA CITY OF SPOKANE VALLEY, WA 2021 Budget - Amendment #2 Line Item Detail 10/26/2021 Account Description Account Number Description / Justification Initial Budget Amendment Amended Budget #001 - General Fund Recurring Revenues District Court Passthrough 001.016.000.389.30. xx Recurring Expenditures Shelter Space Rental District Court Passthrough - Passthrough amounts moved to Fiduciary Fund #632 Total recurring revenues 001.013.000.565.40.45.00 - Reserve shelter beds for City use 001.016.000.586.30.xx.xx - Passthrough amounts moved to Fiduciary Fund #632 Nonrecurring Revenues Grant Proceeds 001.040.319.334.04.20 Nonrecurring Expenditures Professional Services Transfer out - #309 Transfer out - #309 001.040.334.558.60.41.05 001.090.099.597.30.00.90 Total recurring expenditures - Grant for Housing Action Plan Total nonrecurring revenues - Housing Action Plan study - CenterPlace west lawn improvements - costs moved from prior year due to project timing 001.090.099.597.30.00.90 - CenterPlace roof replacement - costs moved from prior year due to project timing #104 - Hotel/Motel Tax- Tourism Facilities Fund Revenues Hotel/Motel Tax Investment Interest Transfers in - #105 104.000.000.313.31.01 104.000.000.361.11.00 104.000.000.397.10.50 #105 - Hotel/Motel Tax Fund Total nonrecurring expenditures 464,200 (464,200) (464,200) 0 12,000 485,900 (485,900) 49,000 (473,900) 40,000 40,000 0 40,000 14,876 12,227 5,124 2,773 47,897 Total of all General Fund revenues Total of all General Fund expenditures (424,200) (426,003) - Estimated increase in collections - Decrease due to economic conditions - Transfer based on Council action in 2020 Total revenues 213,000 24,000 453,840 187,000 (21,500) 703,160 868,660 0 12,000 0 89,000 40,000 20,000 15,000 400,000 2,500 1,157, 000 Page 1 of 7 P:\Finance\2021 Budget\Budget AmendmentWmendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Amendment No 2 Detail v1 for RCA CITY OF SPOKANE VALLEY, WA 2021 Budget - Amendment #2 Line Item Detail 10/26/2021 Account Description Account Number Description / Justification Initial Budget Amendment Amended Budget Revenues Hotel/Motel Tax Investment Interest Expenditures Tourism Promotion Transfers out - #104 105.105.000.313.31.00 - Estimated increase in collections 105.105.000.361.11.00 - Decrease due to economic conditions Total revenues 105.105.000.557.30.41.00 - Decrease in spending due to COVID-19 105.105.000.597.10.00.40 - Transfer based on Council action in 2020 #106 - Solid Waste Fund Expenditures Transfer out - #311 Total expenditures 106.000.000.597.31.00.10 - 2019 road wear fee in excess of estimates #107 - PEG Fund Expenditures Capital Outlay Total expenditures 107.000.000.594.11.64.02 - Replace broadcast equipment in Council Chambers #301 - REET 1 Capital Projects Fund Revenues REET 1 - Taxes Investment Interest Total expenditures 301.301.000.318.34.00 - Estimated increase in collections 301.301.000.361.11.00 - Decrease due to economic conditions 346,000 6,000 224,400 404,000 750,000 (5,300) 398,700 (27,000) 453,840 703,160 676,160 1,500,000 33,500 15,000 700 197,400 1,157, 000 37,776 1,537,776 37,776 1,000,000 25,000 15,000 1,000,000 (22,000) Total revenues 978,000 48,500 2,000,000 3,000 Page 2 of 7 P:\Finance\2021 Budget\Budget AmendmentWmendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Amendment No 2 Detail v1 for RCA CITY OF SPOKANE VALLEY, WA 2021 Budget - Amendment #2 Line Item Detail 10/26/2021 Account Description Account Number Description / Justification Initial Budget Amendment Amended Budget #302 - REET 2 Capital Projects Fund Revenues REET 2 - Taxes Investment Interest Expenditures Transfer out - #314 302.302.000.318.35.00 - Estimated increase in collections 302.302.000.361.11.00 - Decrease due to economic conditions Total revenues 302.000.000.597.31.00.40 - Updated construction project estimates #303 - Street Capital Projects Fund Revenues Transfer in - #312 Transfer in - #315 Total expenditures 303.000.275.397.31.20 - Barker Rd Widening - River to Euclid 303.000.329.397.31.50 - Barker Rd Imp - City Limits to Appleway Expenditures Barker Rd - River to Euclid 303.000.275.595.xx.xx.xx Barker Rd Imp -City Limits to Appleway 303.000.329.595.xx.xx.xx #309 - Park Capital Projects Fund Revenues Transfer in - #001 Transfer in - #312 309.000. xxx. 397.00.10 309.000. xxx. 397.31.20 1,000,000 1,000,000 2,000,000 25,000 (19,500) 5,500 980,500 1,127,387 (839,466) (839,466) 287,921 0 14,000 14,000 0 80,000 80,000 Total revenues 94,000 - 2021 Construction Costs - 2021 Construction Costs 1,132,320 14,000 1,146,320 0 80,000 80,000 Total expenditures 94,000 - CenterPlace West Lawn, CenterPlace roof - Appleway Trail, Balfour Park Imp, Sullivan Park water line Total revenues 187,103 7,897 195,000 718,008 314,678 1,032,686 322,575 Expenditures Appleway Trail - Evergreen to Sullivan 309.000.268.595.xx.xx.xx - 2021 Construction Costs 0 2,033 2,033 CenterPlace West Lawn Improvements 309.000.304.595.xx.xx.xx - 2021 Construction Costs 14,876 5,124 20,000 CenterPlace Roof Replacement 309.000.305.595.xx.xx.xx - 2021 Construction Costs 12,227 2,773 15,000 Balfour Park - Phase 1 309.000.316.595.xx.xx.xx - 2021 Construction Costs 0 367,503 367,503 Sullivan Park water line 309.000.xxx.595.xx.xx.xx - 2021 Construction Costs 152,858 (54,858) 98,000 Total expenditures 322,575 Page 3 of 7 P:\Finance\2021 Budget\Budget AmendmentWmendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Amendment No 2 Detail v1 for RCA CITY OF SPOKANE VALLEY, WA 2021 Budget - Amendment #2 Line Item Detail 10/26/2021 Account Description Account Number Description / Justification Initial Budget Amendment Amended Budget #310 - Civic Facilities Capital Projects Fund Revenues Investment Interest Expenditures Transfer out - #312 310.310.000.361.11.00 - Decrease due to economic conditions Total revenues 310.000.000.597.31.00.20 - Excess interest income #311 - Pavement Preservation Fund Revenues Transfer in - #106 311.000.000.397.10.60 Expenditures Pavement Preservation Capital Outlay 311.000.xxx.595.xx.xx.xx #312 -Capital Reserve Fund Revenues Transfer in - #310 Proceeds from sale of land Grant Proceeds Investment Interest 312.000.000.397.31.00 312.000.000.395.10.02 312.000.000.334.02.70 312.000.000.361.11.00 Total expenditures - 2020 road wear fee in excess of estimates Total revenues - 2021 Construction Costs Total expenditures - Excess interest income - Sale of Balfour Horse Arena - RCO grant for Flora Rd park property - Decrease due to economic conditions 3,100 0 (2,300) (2,300) 800 3,600 3,600 3,600 1,500,000 37,776 1,537,776 37,776 4,726,350 (885,473) 3,840,877 (885,473) 0 3,600 3,600 0 109,400 109,400 0 1,000,000 1,000,000 100,000 (92,500) 7,500 Total revenues 1,020,500 Page 4 of 7 P:\Finance\2021 Budget\Budget AmendmentWmendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Amendment No 2 Detail v1 for RCA CITY OF SPOKANE VALLEY, WA 2021 Budget - Amendment #2 Line Item Detail 10/26/2021 Account Description Account Number Description / Justification Initial Budget Amendment Amended Budget #312 -Capital Reserve Fund, continued Expenditures Transfer out - #303 Transfer out - #309 Transfer out - #309 Transfer out - #309 Transfer out - #314 Transfer out - #314 Transfer out - #314 Transfer out - #316 Public Safety Land Acquisition 312.000.000.597.30.00.30 312.000.000.597.30.00.90 312.000.000.597.30.00.90 312.000.000.597.30.00.90 312.000.000.597.31.00.40 312.000.000.597.31.00.40 312.000.000.597.31.00.40 312.000.000.597.31.00.60 312.000.000.594.21.61.00 #314 - Railroad Grade Separation Projects Fund Revenues Grant Proceeds Transfer in - #302 Transfer in - #312 Expenditures Barker BNSF Grade Separation Pines Rd Underpass Sullivan Rd Interchange 314.000. xxx. 330.00.00 314.000.143.397.30.10 314.000.223.397.31.20 314.000.143.595. xx. xx.xx 314.000.223.595. xx. xx.xx 314.000.311.59 5. xx . xx . x x #315 -Transportation Impact Fees Fund 1 Revenues Transportation Impact Fees Expenditures Transfer out - #303 - Barker Rd Corridor - Appleway Trail - Evergreen to Sullivan - Balfour Park improvements - Phase 1 - Sullivan Park water line - Pines Rd Underpass - Barker Rd Overpass - Sullivan Rd Interchange - Fairgrounds Building - Sprague Ave. Land Acquisition Total expenditures - Updated construction project estimates - Barker Rd Grade Separation Project - Pines Rd Underpass, Barker Rd Overpass, Sullivan Interchange Total revenues - 2021 Construction Costs - 2021 Construction Costs - 2021 Construction Costs Total expenditures 315.000.000.345.85.01 - Estimate for new transportation impact fees Total revenues 315.000.000.597.30.00.30 - 2021 Construction Costs 0 14,000 14,000 0 2,033 2,033 0 367,503 367,503 152,858 (54,858) 98,000 64,192 562,123 626,315 411,582 284,834 696,416 250,000 75,000 325,000 0 10,000 10,000 0 2,225,000 2,225,000 3,485,635 11,508,819 (8,581,819) 2,927,000 1,127,387 (839,466) 287,921 725,774 921,957 1,647,731 (8,499,328) 9,396,870 (8,262,533) 1,134,337 4,149,450 (246,135) 3,903,315 250,000 75,000 325,000 (8,433,668) 0 150,000 150,000 150,000 0 80,000 80,000 Total expenditures 80,000 Page 5 of 7 P:\Finance\2021 Budget\Budget AmendmentWmendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Amendment No 2 Detail v1 for RCA CITY OF SPOKANE VALLEY, WA 2021 Budget - Amendment #2 Line Item Detail 10/26/2021 Account Description Account Number Description / Justification Initial Budget Amendment Amended Budget #316 - Economic Development Capital Projects Fund Revenues Transfer in - #312 Expenditures Fairgrounds Building 316.000.000.397.31.20 - Fairgrounds Building Total revenues 316.000.xxx.595.xx.xx - 2021 Construction Costs I#402 - Stormwater Fund Expenditures Capital Outlay Total expenditures 402.000.xxx.595.xx.xx.xx - 2021 Construction Costs #403 -Aquifer Protection Area Fund Revenues Grant Proceeds Investment Interest Expenditures Capital Projects Total expenditures 403.000.xxx.374.03.80 - Updated construction project estimates 403.403.000.361.11.00 - Decrease due to economic conditions 0 10,000 10,000 10,000 0 10,000 10,000 500,000 2,122, 045 15,000 10,000 160,000 660,000 160,000 (615,000) (13,000) Total revenues (628,000) 403.000.xxx.595.40.63.00 - 2021 Construction Costs #632 - Passthrough Fees & Taxes Fund Revenues Passthrough Fees & Taxes 2,378,109 1,507,045 2,000 580,431 2,958,540 Total expenditures 580,431 632.000.000.389.30.xx - Fees & taxes collected on behalf of others 0 399,687 399,687 Total revenues 399,687 Expenditures Passthrough Fees & Taxes 632.000.000.589.30.xx.xx - Fees & taxes collected on behalf of others 0 400,000 400,000 Total expenditures 400,000 Page 6 of 7 P:\Finance\2021 Budget\Budget AmendmentWmendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Amendment No 2 Detail v1 for RCA CITY OF SPOKANE VALLEY, WA 2021 Budget - Amendment #2 Line Item Detail 10/26/2021 Account Description Account Number Description / Justification Initial Budget Amendment Amended Budget Totals Across all Funds Total revenues Total expenditures (4,293,430) (4,719,433) Page 7 of 7 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment #001 - GENERAL FUND RECURRING ACTIVITY 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended Revenues Property Tax 12,724,200 0 0 12,724,200 Sales Tax 22,220,000 2,980,000 0 25,200,000 Sales Tax - Public Safety 1,054,800 105,200 0 1,160,000 Sales Tax - Criminal Justice 1,862,400 177,600 0 2,040,000 Gambling Tax and Leasehold Excise Tax 384,000 0 0 384,000 Franchise Fees/Business Registration 1,215,000 0 0 1,215,000 State Shared Revenues 1,760,000 0 0 1,760,000 Fines and Forfeitures/Public Safety 1,010,200 0 (464,200) 546,000 Community and Public Works 1,908,719 0 0 1,908,719 Recreation Program Revenues 643,600 0 0 643,600 Grant Proceeds 0 0 0 0 Miscellaneous Department Revenue 21,000 0 0 21,000 Miscellaneous & Investment Interest 592,500 0 0 592,500 Transfers in - #105 (h/m tax-CP advertising) 30,000 0 0 30,000 Total Recurring Revenues 45,426,419 3,262,800 (464,200) 48,225,019 Expenditures City Council 631,566 7,106 0 638,672 City Manager 1,158,089 5,750 12,000 1,175,839 City Attorney 718,593 0 0 718,593 Public Safety 28,101,615 282,146 (485,900) 27,897,861 Deputy City Manager 284,844 0 0 284,844 Finance / IT 1,500,659 0 0 1,500,659 Human Resources 318,540 0 0 318,540 City Hall Operations and Maintenance 301,093 72,508 0 373,601 Community & Public Works - Engineering 2,098,642 0 0 2,098,642 Community & Public Works - Economic Dev 1,045,762 51,299 0 1,097,061 Community & Public Works - Building & Planning 2,487,066 (72,508) 0 2,414,558 Parks & Rec - Administration 356,467 (1,040) 0 355,427 Parks & Rec - Maintenance 940,003 0 0 940,003 Parks & Rec - Recreation 328,534 0 0 328,534 Parks & Rec - Aquatics 510,053 0 0 510,053 Parks & Rec - Senior Center 35,403 0 0 35,403 Parks & Rec - CenterPlace 972,214 0 0 972,214 General Government 1,297,380 0 0 1,297,380 Transfers out - #204 (2016 LTGO debt service) 401,500 0 0 401,500 Transfers out - #309 (park capital projects) 160,000 0 0 160,000 Transfers out-#311 (pavement preservation) 991,843 0 0 991,843 Transfers out - #501 (CenterPlace kitchen reserve) 36,600 0 0 36,600 Transfers out - #502 (insurance premium) 425,000 0 0 425,000 Total Recurring Expenditures 45,101,466 345,261 (473,900) 44,972,827 Recurring Revenues Over (Under) Recurring Expenditures 324,953 2,917,539 9,700 3,252,192 Page 1 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment #001 - GENERAL FUND - continued NONRECURRING ACTIVITY 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended Revenues Grant Proceeds 25,000 24,000 40,000 89,000 Reimbursement of chamber wall repairs 0 0 0 0 Transfers in - #312 (police vehicle replacements) 0 0 0 0 Total Nonrecurring Revenues 25,000 24,000 40,000 89,000 Expenditures General Government - IT capital replacements 212,800 0 0 212,800 City Manager (office furniture for Housing Sery emplc 0 5,000 0 5,000 City Manager (office furniture for Project Manager err 0 0 0 0 Public Safety (replace HVAC units at Precinct) 0 62,000 0 62,000 Public Safety (replace handguns) 37,500 0 0 37,500 Public Safety (2 radar trailers) 11,400 0 0 11,400 Public Safety (Precinct access control gate) 20,000 0 0 20,000 Public Safety (Precinct fire panel replacement) 10,000 0 0 10,000 Public Safety (DEMS/Tasers/BodyCams) 0 109,608 0 109,608 Public Safety (vehicle for homeless services officer) 0 0 0 0 Public Safety (replace carpet at Precinct) 0 0 0 0 Public Safety (repaint Precinct exterior) 0 0 0 0 Public Safety (tree & debris removal from back lot) 0 0 0 0 Public Safety (police vehicle replacements) 0 0 0 0 Economic Dev (Commerce Housing Action Plan) 0 0 40,000 40,000 Economic Dev (Ecology SMP Update) 25,000 0 0 25,000 Parks & Rec (repaint portico at CenterPlace) 0 0 0 0 Parks & Rec (replace carpet at CenterPlace) 0 0 0 0 Parks & Rec (repair plumbing systems at pools) 0 0 0 0 Windstorm 2021 Cleanup Costs 0 32,000 0 32,000 Financial Software Capital Costs 0 0 0 0 Transfers out-#101 (Street Fund operations) 1,859,600 693,000 0 2,552,600 Transfers out - #122 (replenish reserve) 0 364,440 0 364,440 Transfers out - #309 (CenterPlace west lawn) 0 14,876 5,124 20,000 Transfers out - #309 (CenterPlace roof repairs) 0 12,227 2,773 15,000 Transfers out - #312 ('19 fund bal >50%) 0 11,126, 343 0 11,126, 343 Transfers out - #501 (vehicle for Code Enf Supervisc 0 0 0 0 Total Nonrecurring Expenditures 2,176,300 12,419,494 47,897 14,643,691 Nonrecurring Revenues Over (Under) Nonrecurring Expenditures Excess (Deficit) of Total Revenues Over (Under) Total Expenditures Beginning unrestricted fund balance Ending unrestricted fund balance Fund balance as a percent of recurring expenditures (2,151,300) (12,395,494) (7,897) (14,554,691) (1,826,347) (9,477,955) 1,803 (11,302,499) 42, 516, 032 40, 689, 685 90.22% 42, 516, 032 31,213,533 69.41% Page 2 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment SPECIAL REVENUE FUNDS 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended #104 - HOTEL / MOTEL TAX - TOURISM FACILITIES FUND Revenues Hotel/Motel Tax Investment Interest Transfers in - #105 Total revenues Expenditures Capital Outlay Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance #105 - HOTEL / MOTEL TAX FUND Revenues Hotel/Motel Tax Investment Interest 213,000 24,000 453,840 0 187,000 400,000 0 (21,500) 2,500 0 703,160 1,157, 000 690,840 0 868,660 1,559,500 0 0 0 0 0 0 0 0 690,840 2,986,573 1,559,500 2,986,573 3,677,413 4,546,073 346,000 0 404,000 750,000 6,000 0 (5,300) 700 Total revenues 352,000 0 398,700 750,700 Expenditures Transfers out - #001 30,000 0 0 30,000 Transfers out-#104 453,840 0 703,160 1,157,000 Tourism Promotion 224,400 0 (27,000) 197,400 Total expenditures 708,240 0 676,160 1,384,400 Revenues over (under) expenditures (356,240) (633,700) Beginning fund balance 798,716 798,716 Ending fund balance 442,476 165,016 #106 - SOLID WASTE FUND Revenues Solid Waste Administrative Fee 225,000 0 0 225,000 Solid Waste Road Wear Fee 1,500,000 0 0 1,500,000 Investment Interest 12,000 0 0 12,000 Total revenues 1,737,000 0 0 1,737,000 Expenditures Education/Contract Admin 237,000 0 0 237,000 Transfers out - #311 1,500,000 0 37,776 1,537,776 Total expenditures 1,737,000 0 37,776 1,774,776 Revenues over (under) expenditures 0 (37,776) Beginning fund balance 726,788 726,788 Ending fund balance 726,788 689,012 Page 3 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment SPECIAL REVENUE FUNDS #107 - PEG FUND Revenues Comcast PEG contribution Investment Interest Total revenues Expenditures PEG Reimbursement - CMTV Capital Outlay Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance CAPITAL PROJECTS FUNDS 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended 79,000 0 0 79,000 0 0 0 0 79,000 0 0 79,000 39,500 33,500 0 0 39,500 0 15,000 48,500 73,000 0 15,000 88,000 6,000 (9,000) 181,773 181,773 187,773 172,773 #301 - REET 1 CAPITAL PROJECTS FUND Revenues REET 1 - Taxes 1,000,000 0 1,000,000 2,000,000 Investment Interest 25,000 0 (22,000) 3,000 Total revenues 1,025,000 0 978,000 2,003,000 Expenditures Transfers out - #204 80,775 0 0 80,775 Transfers out - #303 316,620 0 0 316,620 Transfers out - #311 (pavement preservation) 827,278 0 0 827,278 Total expenditures 1,224,673 0 0 1,224,673 Revenues over (under) expenditures (199,673) 778,327 Beginning fund balance 2,048,068 2,048,068 Ending fund balance 1,848,395 2,826,395 #302 - REET 2 CAPITAL PROJECTS FUND Revenues REET 2 - Taxes 1,000,000 0 1,000,000 2,000,000 Investment Interest 25,000 0 (19, 500) 5,500 Total revenues 1,025,000 0 980,500 2,005,500 Expenditures Transfers out - #204 80,775 0 0 80,775 Transfers out - #303 1,662,684 0 0 1,662,684 Transfers out - #311 (pavement preservation) 827,279 0 0 827,279 Transfers out - #314 1,127,387 0 (839,466) 287,921 Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 3,698,125 (2,673,125) 5,165, 924 0 (839,466) 2,858,659 (853,159) 5,165, 924 2,492,799 4,312,765 Page 4 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment CAPITAL PROJECTS FUNDS - continued 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended #303 - STREET CAPITAL PROJECTS FUND Revenues Grant Proceeds 6,843,308 Developer 53,703 Transfers in - #301 316,620 Transfers in - #302 1,662,684 Transfers in - #312 0 Transfers in - #315 0 Total revenues 0 0 6,843,308 0 0 53,703 0 0 316,620 0 0 1,662,684 0 14,000 14,000 0 80,000 80,000 8,876,315 0 94,000 8,970,315 Expenditures 205 Sprague/Barker Intersections Improvement 329,453 0 0 329,453 249 Sullivan/Wellesley Intersection 1,020,522 0 0 1,020,522 267 Mission Ave Sidewalk 11,310 0 0 11,310 275 Barker Rd Widening - River to Euclid 1,132,320 0 14,000 1,146,320 285 Indiana Ave Pres - Evergreen to Sullivan 7,210 0 0 7,210 293 2018 CSS Citywide Reflective Signal BP 74,250 0 0 74,250 294 Citywide Reflective Signal Post Panels 17,875 0 0 17,875 299 Argonne Rd Concrete Pvmt Indiana to Mont 2,392,450 0 0 2,392,450 300 Pines and Mission Intersection Improvement 498,000 0 0 498,000 301 Park and Mission Intersection Improvements 693,000 0 0 693,000 310 Sullivan Rd Overcrossing UP RR Deck Repl 317,625 0 0 317,625 313 Barker Rd/Union Pacific Crossing 1,312,500 0 0 1,312,500 318 Wilbur Sidewalk - Boone to Mission 50,000 0 0 50,000 320 Sullivan Preservation - Sprague to 8th 19,800 0 0 19,800 326 2020 Citywide Retroreflective Post Plates 0 0 0 0 329 Barker Road Imp- City Limits to Appleway 0 0 80,000 80,000 Mission Ave over Evergreen Deck Repair 0 0 0 0 School zone beacons 0 0 0 0 Contingency 1,000,000 0 0 1,000,000 Total expenditures 8,876,315 0 94,000 8,970,315 Revenues over (under) expenditures 0 0 Beginning fund balance 67,402 67,402 Ending fund balance 67,402 67,402 Note: Work performed for pavement preservation projects out of the Street Capital Projects Fund is for items such as sidewalk upgrades that thewere bid with the pavement preservation work. Page 5 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment CAPITAL PROJECTS FUNDS - continued #309 - PARK CAPITAL PROJECTS FUND Revenues Grant Proceeds Transfers in - #001 Transfers in - #312 Total revenues 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended 480,530 44,730 0 525,260 160,000 27,103 7,897 195,000 565,150 152,858 314,678 1,032,686 1,205,680 224,691 322,575 1,752,946 Expenditures 268 Appleway Trail (Evergreen to Sullivan) 0 0 2,033 2,033 304 CenterPlace west lawn improvements - Ph. 2 0 14,876 5,124 20,000 305 CenterPlace roof repairs 0 12,227 2,773 15,000 314 Balfour Park frontage improvements 565,150 0 0 565,150 315 Browns Park improvements 2020 499,805 204,926 0 704,731 316 Balfour Park improvements Phase 1 0 0 367,503 367,503 Install stage fill speakers Great Room 6,346 0 0 6,346 Repair failed pixels Great Room 6,505 0 0 6,505 Reprogram Great Room NV System 12,499 0 0 12,499 Repair/replace siding at Mirabeau restroom 30,000 0 0 30,000 Sullivan Park water line 0 152,858 (54,858) 98,000 Replace pond liner at Mirabeau 0 0 0 0 Spokane Valley River Loop Trail 0 0 0 0 Total expenditures 1,120,305 384,887 322,575 1,827,767 Revenues over (under) expenditures 85,375 (74,821) Beginning fund balance 75,577 75,577 Ending fund balance 160,952 756 #310 - CIVIC FACILITIES CAPITAL PROJECTS FUND Revenues Investment Interest 3,100 0 (2,300) 800 Total revenues 3,100 0 (2,300) 800 Expenditures Miscellaneous 0 0 0 0 Transfers out - #312 0 0 3,600 3,600 Total expenditures 0 0 3,600 3,600 Revenues over (under) expenditures Beginning fund balance Ending fund balance 3,100 842,964 (2,800) 842,964 846,064 840,164 Note: The fund balance in #310 includes $839, 281.10 paid by the Library District for 2.82 acres at the Balfour Park site. If the District does not succeed in getting a voted bond approved by October 2022 then the City may repurchase this land at the original sale price of $839, 285.10. Page 6 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment CAPITAL PROJECTS FUNDS - continued #311 - PAVEMENT PRESERVATION Revenues Transfers in - #001 Transfers in - #106 Transfers in - #301 Transfers in - #302 Grant Proceeds Total revenues Expenditures Pavement preservation Pre -project GeoTech Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance #312 - CAPITAL RESERVE FUND Revenues Transfers in - #001 ('19 fund bal >50%) Transfers in - #310 (excess interest earnings) Proceeds from sale of land Grant Proceeds Investment Interest Total revenues Expenditures Transfers out - #001 Transfers out - #303 Transfers out - #303 Transfers out - #309 Transfers out - #309 Transfers out - #309 Transfers out - #309 Transfers out - #309 Transfers out - #314 Transfers out - #314 Transfers out - #314 Transfers out - #316 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended 991,843 1,500,000 827,278 827,279 0 0 0 0 37,776 0 0 0 0 0 0 991,843 1,537,776 827,278 827,279 0 4,146, 400 0 37,776 4,184,176 4,676,350 50,000 0 (885,473) 3,790,877 0 0 50,000 4,726,350 (579,950) 5,792,145 5,212,195 0 0 0 0 100,000 0 (885,473) 3,840,877 11,126, 343 0 0 0 0 343,299 5,792,145 6,135, 444 0 11,126, 343 3,600 3,600 109,400 109,400 1,000,000 1,000,000 (92,500) 7,500 (police vehicle replacements) (Barker Corridor) (school zone beacons) (Appleway Trail - Sullivan to Ev (Balfour Park frontage improver (Balfour Park Improvements Ph (Sullivan Park water line) (Spokane Valley River Loop Tr (Pines Rd Underpass) (Barker Rd Overpass) (Sullivan Rd Interchange) (Fairgrounds Building) WSDOT Sullivan Park Property Acquisition Flora & Montgomery Trailhead Land Acquisition Ponderosa Park Land Acquisition Sprague Ave Land Acquisition Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 100,000 11,126, 343 1,020,500 12, 246, 843 0 0 0 0 565,150 0 0 0 64,192 411,582 250,000 0 759,600 0 0 0 0 0 0 0 0 0 152,858 0 0 0 0 0 0 300,000 1,600, 000 0 0 14,000 0 2,033 0 367,503 (54,858) 0 562,123 284,834 75,000 10,000 0 0 0 2,225,000 0 14,000 0 2,033 565,150 367,503 98,000 0 626,315 696,416 325,000 10,000 759,600 300,000 1,600,000 2,225,000 2,050,524 2,052,858 3,485,635 7,589,017 (1,950,524) 8,503,764 4,657,826 8,503,764 6,553,240 13,161, 590 Page 7 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment CAPITAL PROJECTS FUNDS - continued 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended #314 - RAILROAD GRADE SEPARATION PROJECTS FUND Revenues Grant Proceeds Developer Contributions Transfers in #302 Transfers in #312 Total revenues 11,508,819 0 1,127, 387 725,774 0 (8,581,819) 2,927,000 0 0 0 0 (839,466) 287,921 0 921,957 1,647,731 13, 361, 980 0 (8,499,328) 4,862,652 Expenditures 143 Barker BNSF Grade Separation 9,396,870 0 (8,262,533) 1,134,337 223 Pines Rd Underpass 4,149,450 0 (246,135) 3,903,315 311 Sullivan Rd Interchange 250,000 0 75,000 325,000 Total expenditures 13,796,320 0 (8,433,668) 5,362,652 Revenues over (under) expenditures (434,340) (500,000) Beginning fund balance 793,526 793,526 Ending fund balance 359,186 293,526 #315 - TRANSPORTATION IMPACT FEES FUND Revenues Transportation Impact Fees 0 0 150,000 150,000 Total revenues 0 0 150,000 150,000 Expenditures Transfers out - #303 Total expenditures 0 0 80,000 80,000 0 0 80,000 80,000 Revenues over (under) expenditures 0 Beginning fund balance 0 Ending fund balance 0 70,000 0 70,000 #316 - ECONOMIC DEVELOPMENT CAPITAL PROJECTS FUND Revenues Transfer in - #312 (fairgrounds building) 0 0 10,000 10,000 Total revenues 0 0 10,000 10,000 Expenditures Fairgrounds Building Total expenditures 0 0 10,000 10,000 0 0 10,000 10,000 Revenues over (under) expenditures 0 Beginning fund balance 0 Ending fund balance 0 0 0 0 Page 8 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment ENTERPRISE FUNDS #402 - STORMWATER FUND RECURRING ACTIVITY Revenues Stormwater Management Fees Investment Interest Miscellaneous 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended 1,900,000 0 0 1,900,000 40,000 0 0 40,000 0 0 0 0 Total Recurring Revenues 1,940,000 0 0 1,940,000 Expenditures Wages / Benefits / Payroll Taxes 538,864 13,830 0 552,694 Supplies 14,750 0 0 14,750 Services & Charges 1,320,643 0 0 1,320,643 Intergovernmental Payments 45,000 0 0 45,000 Vehicle rentals - #501 6,750 0 0 6,750 Total Recurring Expenditures 1,926,007 13,830 0 1,939,837 Recurring Revenues Over (Under) Recurring Expenditures 13,993 (13,830) 0 163 NONRECURRING ACTIVITY Revenues Grant Proceeds 100,000 0 0 100,000 Miscellaneous 0 0 0 0 Total Nonrecurring Revenues 100,000 0 0 100,000 Expenditures Capital - various projects 500,000 0 160,000 660,000 Watershed studies 100,000 0 0 100,000 Stormwater comprehensive plan update 100,000 0 0 100,000 Generator for Maintenance Shop (1/2 cost to #101) 0 0 0 0 Total Nonrecurring Expenditures 700,000 0 160,000 860,000 Nonrecurring Revenues Over (Under) Nonrecurring Expenditures Excess (Deficit) of Total Revenues Over (Under) Total Expenditures Beginning working capital 2,159,796 2,159,796 Ending working capital 1,573,789 1,399,959 (600,000) 0 (160,000) (760,000) (586,007) (13,830) (160,000) (759,837) Page 9 of 10 P:\Finance\2021 Budget\Budget Amendment\Amendment #2\2021 10 26 Public Hearing & 1st Reading\Public Hearing\2021 Budget Summary for Amended Funds No 2 CITY OF SPOKANE VALLEY, WA 2021 Budget Amendment ENTERPRISE FUNDS - continued #403 - AQUIFER PROTECTION AREA Revenues Spokane County Grant Proceeds Investment Interest Total revenues Expenditures Capital - various projects Effectiveness study Total expenditures Revenues over (under) expenditures Beginning working capital Ending working capital FIDUCIARY FUNDS #632 - PASSTHROUGH FEES & TAXES FUND Revenues Fees & taxes collected for other governments 10/26/2021 2021 As Adopted 1st Amendment 2nd Amendment As Amended 460,000 2,122, 045 15,000 0 0 460,000 0 (615,000) 1,507,045 0 (13,000) 2,000 2,597,045 0 (628, 000) 1,969,045 2,378,109 0 580,431 2,958,540 0 0 0 0 2,378,109 0 580,431 2,958,540 218,936 (989,495) 2,120, 365 2,120, 365 2,339,301 1,130, 870 0 0 399,687 399,687 Total revenues 0 Expenditures Fees & taxes remitted to other governments Total expenditures 0 399,687 399,687 0 0 400,000 400,000 0 0 400,000 400,000 Revenues over (under) expenditures 0 Beginning fund balance 313 Ending fund balance 313 (313) 313 0 Page 10 of 10 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Department Director Approval: Check all that apply: ❑ consent ❑ old business ® new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: First reading of proposed Ordinance #21-017 which amends the 2021 Budget. GOVERNING LEGISLATION: In order for the City to amend an adopted budget, State law requires the Council to approve an ordinance that appropriates additional funds. PREVIOUS COUNCIL ACTION TAKEN: The Council last took formal action on the 2021 Budget when it was amended on May 18, 2021. On October 12, 2021, an Administrative Report was delivered to Council regarding the need for a budget amendment. Finally, earlier this evening a public hearing was held on this topic. BACKGROUND: Since the amendment of the 2021 Budget on May 18, 2021, a number of events have transpired in the normal course of operations that necessitate a second 2021 Budget amendment. The proposed amendments include: #001 - General Fund The total of both recurring and nonrecurring revenues reflects a decrease of $424,200, which is comprised of: • $464,200 decrease in district court passthrough fees in Public Safety revenues. These are fees the City collects on behalf of the State and Spokane County which are paid to those entities after collection. A change in accounting rules in 2020 necessitates accounting for these types of transactions in a Fiduciary Fund. This is the new Passthrough Fees and Taxes Fund #632 that is created with this budget amendment. • $40,000 increase for the remaining balance of a grant from the Department of Commerce to complete the Housing Action Plan. This was started in 2020 and completed in 2021. A decrease of $426,003 in appropriations (expenditures) comprised of: • $12,000 increase rental costs in the City Manager Department to reserve shelter beds for the use of the City. • $485,900 decrease in the Public Safety Department to move the passthrough district court fees to the new Passthrough Fees and Taxes Fund #632 as described above under revenues. • $40,000 increase to complete the Housing Action Plan paid for by a grant from the Department of Commerce. This was started in 2020 and completed in 2021. • $7,897 increase in transfers to the Parks Capital Projects Fund #309 for residual costs related to the CenterPlace west lawn improvements and the CenterPlace roof replacement projects. #104 — Hotel / Motel Tax — Tourism Facilities Fund Increase revenues by $868,660 including: • $187,000 increase reflecting updated estimates of lodging tax revenues. • $21,500 decrease in investment interest due to a decrease in interest rates. 1 • $703,160 increase in transfers in from the Hotel/Motel Tax Fund #105. This increase reflects a Council motion on December 8, 2020, as part of the lodging tax grant process for the 2021 awards. This motion stated that the remainder of lodging tax collections in Fund #105 after 2020 and 2021 award payouts would be transferred to Fund #104 so that the ending fund balance in Fund #105 is approximately $165,000 at the end of 2021. #105 — Hotel / Motel Tax Fund Increase revenues by $398,700 including an increase of $404,000 reflecting updated estimates of lodging tax revenues and a decrease of $5,300 in investment interest due to a decrease in interest rates. Increase expenditures by $676,160 including a decrease of $27,000 to reflect actual awards for 2021 lodging tax grants and an increase of $703,130 in transfers out to the Hotel/Motel Tax — Tourism Facilities Fund #104 (see explanation under Fund #104 above). #106 — Solid Waste Fund Increase transfers out to the Pavement Preservation Fund #311 by $37,776 due to 2020 receipts of the road wear administration fee related to the Waste Management collection contract exceeding previous estimates. #107 — PEG Fund Increase expenditures by $15,000 to replace broadcast equipment in Council Chambers. There are adequate reserves in Fund #107 to cover these costs. #301 — REET 1 Capital Projects Fund Real Estate Excise Tax (REET) revenue is increased by $1,000,000 based on revised revenue projections and investment interest is decreased by $22,000 due to a decrease in interest rates. #302 — REET 2 Capital Projects Fund Real Estate Excise Tax (REET) revenue is increased by $1,000,000 based on revised revenue projections and investment interest is decreased by $19,500 due to a decrease in interest rates. Decrease expenditures by $839,466 due to changes in the expected transfers out to the Railroad Grade Separation Projects Fund #314 to reflect current estimates. See further explanation below under Fund #314. #303 — Street Capital Projects Fund Revenues and expenditures are proposed to increase by $94,000 to reflect current estimates on various sections of the Barker Road corridor. #309 — Park Capital Projects Fund This fund is being amended to reflect current estimates on several projects. Revenues are increased by $322,575 reflecting: • $7,897 increase in transfers in from the General Fund for residual costs related to the improvements to the CenterPlace west lawn and the replacement of the CenterPlace roof. • $314,678 increase in transfers in from the Capital Reserve Fund #312 for the Evergreen to Sullivan section of the Appleway Trail, improvements at Balfour Park, and the water line at Sullivan Park. Expenditures increase by $322,575, including: • An increase of $2,033 for residual costs on the Evergreen to Sullivan segment of the Appleway Trail to close out the project. 2 • An increase of $5,124 for residual costs on the improvements to the CenterPlace west lawn. • An increase of $2,773 for residual costs on the replacement of the CenterPlace roof. • An increase of $367,503 for preliminary engineering costs for phase one of improvements at Balfour Park. • A decrease of $54,858 on the Sullivan Park water line reflecting a changing of the timing on the project. #310 — Civic Facilities Capital Projects Fund Revenues are decreased by $2,300 to reflect a decrease in investment interest earnings. Expenditures are increased by $3,600 in transfers out to the Capital Reserve Fund #312. This amount reflects excess investment earnings that have accumulated in Fund #310. #311 — Pavement Preservation Fund Increase transfers in from the Solid Waste Fund #106 by $37,776 due to 2020 receipts of the road wear administration fee related to the Waste Management collection contract exceeding previous estimates. Decrease expenditures by $885,473 to reflect current estimates and timing on several projects including the Broadway Preservation project from Havana to Fancher and the Evergreen Preservation project. #312 — Capital Reserve Fund Revenues increase by $1,020,500 including: • $3,600 increase in transfers in from the Civic Facilities Capital Projects Fund #310 for excess interest earnings. • $109,400 increase for the proceeds from the sale of the Balfour horse arena. • $1,000,000 increase in grant proceeds from the RCO grant received for the Flora Rd park property. This grant is partially reimbursing Fund #312 for the cost of this purchase. • $92,500 decrease in investment interest due to a decrease in interest rates. Increases expenditures/appropriations of $3,485,635 include: • Increase of $14,000 in transfers to the Street Capital Projects Fund #303 for sections of the Barker Road corridor. • Increases of $314,678 in transfers out to the Parks Capital Projects Fund #309 for the Evergreen to Sullivan section of the Appleway Trail, improvements to Balfour Park, and the water line at Sullivan Park. • Increases of $921,957 in transfers out to the Railroad Grade Separation Projects Fund #314 for the Barker Rd overpass, the Pines Rd underpass, and the Sullivan Rd interchange. • $2,225,000 for the purchase property on Sprague Ave. for potential Precinct use. #314 — Railroad Grade Separation Projects Fund Activity in Fund #314 is estimated to decrease substantially, which may seem counterintuitive due to construction on the Barker Rd overpass beginning in early 2021 and continuing into 2022. The decrease is primarily due to a change in the way the Barker Rd project is being administered. The City has entered into an interlocal agreement with the Washington State Department of Transportation (WSDOT) to perform contract administration for the construction of the project. In that capacity, WSDOT is directly paying the construction contractor and drawing on the City's grants. The City then provides any local match above and beyond the grant proceeds to WSDOT. 3 Revenues decrease by $8,499,328, comprised of: • Decrease of $8,581,819 in grant proceeds to reflect current estimates on the grade separation projects. • Decreases of $839,466 in transfers in from the REET 2 Capital Projects Fund #302 for the Barker Road grade separation project. • Increase of $921,957 in transfers in from the Capital Reserve Fund #312 for the Barker Road grade separation project, the Pines Road grade separation project, and the Sullivan Road interchange. Expenditures decrease by $8,433,688, comprised of: • Decrease of $8,262,533 due to updated estimates for the Barker Road grade separation project. See explanation above. • Decrease of $246,135 due to updated estimates for the Pines Road grade separation project. • Increase of $75,000 for preliminary engineering for the Sullivan Road interchange project. #315 — Transportation Impact Fees Fund This is a new fund that is being created to account for the transportation impact fees implemented by the City beginning in 2021. The fees are restricted by law and therefore must be separately tracked. Revenues increase by $150,000 in estimated transportation impact fee collections for 2021, and expenditures increase by $80,000 in transfers out to the Street Capital Projects Fund #303 for use on eligible capital projects. #316 — Economic Development Capital Proiects Fund This is a new fund that is being created to account for capital projects undertaken by the City for economic development purposes. The first project being accounted for in this fund is the new Expo Center building at the Spokane County Fairgrounds. Revenues increase by $10,000 in transfers in from the Capital Reserve Fund #312 for the fairgrounds building, and expenditures increase by $10,000 for preliminary design work for the new Expo Center building. #402 — Stormwater Fund Expenditures increase by $160,000 related to updated estimates and timing on capital projects. #403 — Aquifer Protection Area Fund Revenues decrease by $628,000 consisting of $615,000 in grant proceeds related to updated estimates on construction projects and $13,000 in investment interest. Provide additional appropriations (expenditures) of $580,431 including updated estimates on construction projects such as the Regional Decant Facility canopy, the Appleway Stormwater Improvements project, and various pavement preservation projects with aquifer protection updates. #632 — Passthrough Fees & Taxes Fund This is a new Fiduciary Fund that is required due to a change in accounting rules. The City receives district court fees that are assessed by the State and Spokane County. These fees are required to be paid to the State or County when received. The City also collects sales taxes and leasehold excise taxes on behalf of the State, which are then remitted quarterly. 4 Revenues increase $399,687 in estimated passthrough fees and taxes that will be collected on behalf of the State and County. Expenditures increase by $400,000 in estimated fees and taxes that will be remitted to the State and County from the passthrough collections. The 2021 Budget amendment reflects the changes noted above and will affect 18 funds resulting in total revenue decreases of $4,293,430 and expenditure decreases of $4,719,433. The amendment will also create three new funds — the Transportation Impact Fees Fund #315, the Economic Development Capital Projects Fund #316, and the Passthrough Fees & Taxes Fund #632. Revenue Expenditure Fund Fund Increase Increase No. Name (Decrease) (Decrease) 001 General Fund (424,200) (426,003) 104 HotelMotel Tax - Tourism Facilities Fund 868,660 0 105 HotelMotel Tax Fund 398,700 676,160 106 Solid Waste Fund 0 37,776 107 PEG Fund 0 15,000 301 REET 1 Capital Projects Fund 978,000 0 302 REET 2 Capital Projects Fund 980,500 (839,466) 303 Street Capital Projects Fund 94,000 94,000 309 Parks Capital Projects Fund 322,575 322,575 310 Civic Facilities Capital Projects Fund (2,300) 3,600 311 Pavement Preservation Fund 37,776 (885,473) 312 Capital Reserve Fund 1,020,500 3,485,635 314 Railroad Grade Separation Fund (8,499,328) (8,433,668) 315 Tranportation Impact Fees Fund 150,000 80,000 316 Economic Development Capital Projects Fu 10,000 10,000 402 Stormwater Fund 0 160,000 403 Aquifer Protection Area Fund (628,000) 580,431 632 Passthrough Fees & Taxes Fund 399,687 400,000 (4,293,430) (4,719,433) OPTIONS: Options are to accept the proposed amendments in whole or in -part. RECOMMENDED ACTION OR MOTION: Move to advance Ordinance #21-017 amending the 2021 Budget to a second reading. BUDGET/FINANCIAL IMPACTS: This action amends the estimated revenues and appropriations for the 2021 Budget that was adopted on December 8, 2020, and amended on May 18, 2021. There are adequate funds available to pay for these amendments. STAFF CONTACT: Chelsie Taylor, Finance Director ATTACHMENTS: • Draft Ordinance #21-017 5 DRAFT CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON ORDINANCE NO. 21-017 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, AMENDING ORDINANCE 20-023, WHICH ADOPTED A BUDGET FOR THE PERIOD JANUARY 1, 2021 THROUGH DECEMBER 31, 2021, AS SUBSEQUENTLY AMENDED BY ORDINANCE 21-006; AND OTHER MATTERS RELATED THERETO. WHEREAS, the City Council approved Ordinance 20-023 on December 8, 2020, which adopted the 2021 annual budget; and WHEREAS, the City Council approved Ordinance 21-006 on May 18, 2021, which amended the 2021 annual budget, and WHEREAS, subsequent to the December 8, 2020 adoption and May 18, 2021 amendment of the 2021 annual budget, it has become necessary to make changes by adding new revenue, appropriations, amendments, and transferring funds in order to properly perform City functions, services and activities; and WHEREAS, it is necessary to create Fund 315 Transportation Impact Fees Fund, which will be used to account for collections and expenditures of transportation impact fees imposed pursuant to RCW 82.02.050-82.02.110 and chapter 22.100 SVMC. All fees collected must be applied to transportation system improvements identified in the corresponding studies; and WHEREAS, it is necessary to create Fund 316 Economic Development Capital Projects Fund, which will be used to account for economic development projects undertaken by the City that are capital in nature; and WHEREAS, it is necessary to create Fund 632 Passthrough Fees and Taxes Fund, which will be used to account for fee and taxes that the City collects on behalf of the State and Spokane County. These passthrough fees and taxes are required to be accounted for in a separate fund due to a change in accounting rules; and WHEREAS, the budget changes set forth in this Ordinance could not have been reasonably anticipated or known when the 2021 annual budget was passed by the City Council; and WHEREAS, the City Council has determined that the best interests of the City are served by amending the 2021 budget to reflect unanticipated revenue, expenditures, transfers, and appropriating the same as set forth herein. NOW THEREFORE, the City Council of the City of Spokane Valley, Washington do ordain as follows: Section 1. Amended Revenues and Appropriations. Ordinance No. 20-023 adopted a budget for the twelve months beginning January 1, 2021 and ending December 31, 2021, and Ordinance 21-006 amended the budget for the same period. Each item, revenue, appropriation, and fund contained in Section 1 of Ordinance 20-023, as subsequently amended by Ordinance 21-006, is hereby further amended as set forth in Attachment A to this Ordinance, which is incorporated herein. Section 2. Creating Fund 315. There is hereby created Fund 315 Transportation Impact Fees Fund which will be used to account for collections and expenditures transportation impact fees within the City. Ordinance 21-017 amending the 2021 budget Page 1 of 3 Section 3. Creating Fund 316. There is hereby created Fund 316 Economic Development Capital Projects Fund which will be used to account for economic development projects undertaken by the City that are capital in nature. Section 4. Creating Fund 632. There is hereby created Fund 632 Passthrough Fees and Taxes Fund which will be used to account for fees and taxes that are collected on behalf of and paid to other governmental entities. Section 5. 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 6. Effective Date. This Ordinance shall be in full force and effect five days after publication of this Ordinance or a summary thereof in the official newspaper of the City as provided by law. Passed by the City Council of the City of Spokane Valley this day of November 2021. ATTEST: Ben Wick, Mayor Christine Bainbridge, City Clerk Approved as to form: Office of the City Attorney Date of Publication: Effective Date: Ordinance 21-017 amending the 2021 budget Page 2 of 3 ATTACHMENT A Sources Use s Fund No. Annual Appropriation Funds Beginning Fund Balance Revenues Total Sources Appropriations Estimated Ending Fund Balance Adopted via Ord. 20-023 Amended via Onl. 21-006 Amended via Onl. 21-017 Total Revenues Adopted via Onl. 20-023 Amended via Onl. 21-006 Amended via Onl. 21-017 Total Appropriations 001 General 42,445,511 45,451,419 3,286,800 (424,200) 48,314,019 90,759,530 47,277,766 12,764,755 (426,003) 59,616,518 31,143,012 101 Street O&M 759,299 5,567,200 0 0 5,567,200 6,326,499 5,567,200 0 0 5,567,200 759,299 103 Paths & Trails 21,516 8,900 0 0 8,900 30,416 0 0 0 0 30,416 104 Hotel/Motel Tax - Tourism Facilities 2,986,573 690,840 0 868,660 1,559,500 4,546,073 0 0 0 0 4,546,073 105 Hotel/Motel Tax 798,716 352,000 0 398,700 750,700 1,549,416 708,240 0 676,160 1,384,400 165,016 106 Solid Waste 726,788 1,737,000 0 0 1,737,000 2,463,788 1,737,000 0 37,776 1,774,776 689,012 107 PEG 181,773 79,000 0 0 79,000 260,773 73,000 0 15,000 88,000 172,773 108 Affordable & Supportive Housing Sal 152,033 193,000 0 0 193,000 345,033 0 0 0 0 345,033 120 CenterPlace Operating Reserve 300,000 0 0 0 0 300,000 0 0 0 0 300,000 121 Service Level Stabilization 5,500,000 0 0 0 0 5,500,000 0 0 0 0 5,500,000 122 Winter Weather Reserve 160,043 1,900 364,440 0 366,340 526,383 500,000 0 0 500,000 26,383 204 Debt Service LTGO 03 0 1,043,850 0 0 1,043,850 1,043,850 1,043,850 0 0 1,043,850 0 301 Capital Projects 2,048,068 1,025,000 0 978,000 2,003,000 4,051,068 1,224,673 0 0 1,224,673 2,826,395 302 Special Capital Projects 5,165,924 1,025,000 0 980,500 2,005,500 7,171,424 3,698,125 0 (839,466) 2,858,659 4,312,765 303 Street Capital Projects 67,402 8,876,315 0 94,000 8,970,315 9,037,717 8,876,315 0 94,000 8,970,315 67,402 309 Parks Capital Projects 75,577 1,205,680 224,691 322,575 1,752,946 1,828,523 1,120,305 384,887 322,575 1,827,767 756 310 Civic Facilities Capital Projects 842,964 3,100 0 (2,300) 800 843,764 0 0 3,600 3,600 840,164 311 Pavement Preservation 5,792,145 4,146,400 0 37,776 4,184,176 9,976,321 4,726,350 0 (885,473) 3,840,877 6,135,444 312 Capital Reserve 8,503,764 100,000 11,126,343 1,020,500 12,246,843 20,750,607 2,050,524 2,052,858 3,485,635 7,589,017 13,161,590 314 Railroad Grade Separation Projects 793,526 13,361,980 0 (8,499,328) 4,862,652 5,656,178 13,796,320 0 (8,433,668) 5,362,652 293,526 315 Transportation Impact Fees 0 0 0 150,000 150,000 150,000 0 0 80,000 80,000 70,000 316 0 0 0 10,000 10,000 10,000 0 0 10,000 10,000 0 Economic Development Capital Proje, 77,321,622 84,868,584 15,002,274 (4,065,117) 95,805,741 173,127,363 92,399,668 15,202,500 (5,859,864) 101,742,304 71,385,059 Sources Uses Revenues Appropriations Estimated Beginning Ending Fund Working Adopted via Amended via Amended via Total Total Adopted via Amended via Amended via Total Working No. Working Capital Funds Capital Ord. 20-023 Ord. 21-006 Ord. 21-017 Revenues Sources Onl. 20-023 Onl. 21-006 Onl. 21-017 Appropriations Capital 402 Stormwater Management 2,159,796 2,040,000 0 0 2,040,000 4,199,796 2,626,007 13,830 160,000 2,799,837 1,399,959 403 Aquifer Protection Area 2,120,365 2,597,045 0 (628,000) 1,969,045 4,089,410 2,378,109 0 580,431 2,958,540 1,130,870 501 Equipment Rental & Replacement 1,387,962 155,400 0 0 155,400 1,543,362 140,000 0 0 140,000 1,403,362 502 Risk Management 340,484 425,000 0 0 425,000 765,484 425,000 0 0 425,000 340,484 632 PassthroughFees & Taxes 313 0 0 399,687 399,687 400,000 0 0 400,000 400,000 0 6,008,920 5,217,445 0 (228,313) 4,989,132 10,998,052 5,569,116 13,830 1,140,431 6,723,377 4,274,675 Total of all Funds 83,330,542 90,086,029 15,002,274 (4,293,430) 100,794,873 184,125,415 97,968,784 15,216,330 (4,719,433) 108,465,681 75,659,734 Ordinance 21-017 amending the 2021 budget Page 3 of 3 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Department Director Approval: i1 Check all that apply: ® consent ❑ old business ❑ new business ❑ public hearing AGENDA ITEM TITLE: Approval of the Following Vouchers: VOUCHER LIST 10/05/2021 10/06/2021 1 0/ 12/2021 10/13/2021 10/14/2021 10/14/2021 VOUCHER NUMBERS 54836-54868 54869-54882 54883-54907 54908-54927 54928-54949 9207-9215 (Park refunds) GRAND TOTAL: TOTAL AMOUNT 231,096.17 2,655,883.09 88,424.09 107,911.67 81,107.74 1,376.50 $3,165,799.26 Explanation of Fund Numbers found on Voucher Lists #001 - General Fund 001.011.000.511. City Council 001.013.000.513. City Manager 001.013.015.515. Legal 001.016.000. Public Safety 001.018.013.513. Deputy City Manager 001.018.0I4.514. Finance 001.018.016.518. Human Resources 001.040.041. Engineering 001.040.042. Economic Development 001.040.043. Building 001.076.000.576. Parks & Rec—Administration 001.076.300.576. Parks & Rec-Maintenance 001.076.301.571. Parks & Rec-Recreation 001.076.302.576. Parks & Rec- Aquatics 001.076.304.575. Parks & Rec- Senior Center 001.076.305.571. Parks & Rec-CenterPlace 001.090.000.511. General Gov't- Council related 001.090.000.514. General Gov't -Finance related 001.090.000.517. General Gov't -Employee supply 001.090.000.518. General Gov't- Centralized Serv. 001.090.000.519. General Gov't -Other Services 001.090.000.540. General Gov't -Transportation 001.090.000.550. General Gov't -Natural & Eco. 001.090.000.560. General Gov't -Social Services 001.090.000.594 General Gov't -Capital Outlay 001.090.000.595. General Gov't -Pavement Preser. Other Funds: 101 — Street Fund 103 — Paths & Trails 105 — Hotel/MoteI Tax 106 — Solid Waste 107 -- PEG Fund 108 — Affordable & Supplemental Housing Sales Tax 120 — CenterPlace Operating Reserve 12I — Service Level Stabilization Reserve 122 — Winter Weather Reserve 204 — Debi Service 301 — REET 1 Capital Projects 302 — REET 2 Capital Projects 303 — Street Capital Projects 309 — Parks Capital Grants 310 Civic Bldg. Capital Projects 311 — Pavement Preservation 312 — Capital Reserve 314 — Railroad Grade Separation Projects 402 — Stormwater Management 403 — Aquifer Protection Area 501 — Equipment Rental & Replacement 502 — Risk Management 632 — Passthrough Fees & Taxes RECOMMENDED ACTION OR MOTION: Move to approve attached list of claim vouchers. [Approved as part of the Consent Agenda, or may be removed and discussed separately.] STAFF CONTACT: Chelsie Taylor, Finance Director ATTACHMENTS: Voucher Lists yob list Voucher List Page: 1 10/05/2021 3:25:09PM Spokane Valley Bank code : apbank Voucher Date Vendor Invoice Fund/Dept Description/Account Amount 54836 10/5/2021 007136 AMAZON CAPITAL SERVICES INC 1TGN-X6VM-J1PC 001.090.000.518 SMALL TOOLS/MINOR EQUIPMENT 46.08 1XTJ-1QQL-NL1J 001,033,000.518 JANITORIAL SUPPLIES: CITY HALL 44.92 1Y1N-Y1XX-46RV 001,018,014.514 OFFICE SUPPLIES: FINANCE 39.19 Total : 130.19 54837 10/5/2021 007808 AMENTO GROUP INC 082145 001.000.322.518 PROFESSIONAL SERVICES: CITY HALL 3,847.95 Total : 3,847.95 54838 10/5/2021 007718 APPLETREE 000022-624-111 001.076.305.575 ANSWERING SERVICE FOR CENTERP 41.49 Total: 41.49 54839 10/5/2021 002635 AVIDEX INDUSTRIES LLC 074607 309.000.337.575 AV UPDATES: CENTERPLACE 7,082.86 075099 309.000.337.594 AV UPDATE: CENTERPLACE 29,868.00 Total : 36,950.86 54840 10/5/2021 000918 BLUE RIBBON LINEN SUPPLY iNC 0280496 001,076,305.575 LINEN SERVICE AND SUPPLY AT CENT 69.80 0286133 001.076.305.575 LINEN SERVICE AND SUPPLY AT CENT 69.80 0293716 001.076.305.575 LINEN SERVICE AND SUPPLY AT CENT 69.81 0295629 001.076.305.575 LINEN SERVICE AND SUPPLY AT CENT 59.81 S0269494 001.076.305.575 LINEN SERVICE AND SUPPLY AT CENT 259.33 S0274439 001.076.305.575 LINEN SERVICE AND SUPPLY AT CENT 45.08 S0274441 001.076.305.575 LINEN SERVICE AND SUPPLY AT CENT 58.65 S0274491 001.076.305.575 LINEN SERVICE AND SUPPLY AT CENT 146.09 Total: 788.37 54841 10/5/2021 000815 BNSF RAILROAD CO 90225892 314.000.143.595 CIP 0143: PROGRESS BILL #4 29,666.46 Total : 29,666.46 54842 10/5/2021 000322 CENTURYLINK 8355 9-14-2021 001.076.000.576 2021 PHONE SVCS: ACCT 509 Z14-002• 544.60 Total : 544.60 54843 10/5/2021 004735 CITIES DIGITAL INC 52484 001.090.000.518 LASERFICHE SUPPORT RENEWAL 15,060.87 Total : 15,060.87 54844 10/5/2021 000429 COFFMAN ENGINEERS 21083485 303.000.332.595 0332- NE INDUSTRIAL AREA -SEWER E 17,760.00 Page: 1 vchlist Voucher List Page: 2 10/05/2021 3:25:09PM Spokane Valley Banc code : apbank Voucher Date Vendor Invoice 54844 10/5/2021 000429 000429 COFFMAN ENGINEERS (Continued) Fund/Dept Description/Account Amount Total : 17,760.00 54845 10/5/2021 001888 COMCAST 4466 9I26-10/25/2021 001.090.000.518 INTERNET & PHONE: CITY HALL 344.68 Total : 344.68 54846 10/5/2021 000326 CONSOLIDATED IRRIGATION #19 September 2021 402.402.000.531 UTILITIES: CPW SEPTEMBER 2021 627.00 September2021 001.076.305.575 UTILITIES: SEPTEMBER 2021 PARKS & 1,576.57 Total : 2,203.57 54847 10/5/2021 000742 DCI ENGINEERS 165961 303.000.318.595 0318- WILBUR SIDEWALK BOONE TO II 773.88 Total : 773.88 54848 10/5/2021 000246 EAST SPOKANE WATER DIST #1 September 2021 402.402.000.531 WATER CHARGES FOR SEPTEMBER 2 4,757.45 Total : 4,757.45 54849 10/5/2021 007871 EMPIRE SPRAY SERVICE INC GH091401 001.016.016.521 FALL BROADLEF SPRAY: PRECINCT 81.68 Total: 81.68 54850 10/5/2021 001939 EXTREME SCIENCE 07222021-1 001.076.301.571 SUMMER DAY CAMP GUEST SPEAKER 150.00 Total : 150.00 54851 10/5/2021 003261 FEHR & PEERS 148459 303.000.300.595 0300-ENGINEERING SERVICES 6,998.75 Total : 6,998.75 54852 10/5/2021 007950 GOVQA LLC INV741 001.013.000.513 SOFTWARE LICENSING & MAINTENAN 12,523.50 Total : 12,523.50 54853 10/5/2021 005205 GSC MEALS ON WHEELS 2021 #1 FINAL 001.090.000.560 2021 SOCIAL SVCS/ECON DEV GRANT 15,722.00 Total : 15,722.00 54854 10/5/2021 000002 H & H BUSINESS SYSTEMS INC. AR209660 001.018.014.514 COPIER COSTS: IT 17.76 AR209661 001.040.043.558 COPIER COSTS: PERMIT CTR 91.26 Total : 109.02 54855 10/5/2021 006729 JAKT FOUNDATION 2021 #2 FINAL 105.000.000.557 2021 SCC SERV/ECO DEV GRANT REII 9,828.80 Total: 9,828.80 54856 10/5/2021 004632 LEVEL 3 COMMUNICATIONS 242932749 001.090.000.518 TELECOM SERVICES 1,004.64 Page: 2 vchlist Voucher List Page: 3 10/05/202.1 3:25:09PM Spokane Valley Bank code : apbank Voucher Date Vendor Invoice 54856 10/5/2021 004632 004632 LEVEL 3 COMMUNICATIONS (Continued) Fund/Dept Description/Account Amount Total : 1,004.64 54857 10/5/2021 006351 PROFESSIONAL CRANE INSPECTIONS 210242 001.016.016.521 PRECINCT LIFT SERVICE CALL 362.09 Total : 362.09 54858 10/5/2021 002592 PURE FILTRATION PRODUCTS 69734 001.033.000.518 SUPPLIES: CITY HALL 279.92 69911 001.016.016.521 SUPPLIES: PRECINCT 79.26 Total : 359.18 54859 10/5/2021 007730 ROYAL BUSINESS SYSTEMS IN154407 001.040.043.558 SEPTEMBER 2021 COPIER COSTS 534.72 Total : 534.72 54860 10/5/2021 000230 SPOKANE CO AUDITORS OFFICE AUGUST 2021 001.040.043.558 RECORDING FEES 2,504.50 Total : 2,504.50 54861 10/5/2021 000404 SPOKANE VALLEY HERITAGE MUSEUM 2021 #2 001.090.000.560 2021 SOC SERIECO DEV REIMBURSE+ 552.00 Total : 552.00 54862 10/5/2021 000093 SPOKESMAN -REVIEW, THE 4519 303.000.313.595 ADVERTISING ACCT 102969 1,314.68 Total: 1,314.68 54863 10/5/2021 000419 SUMMIT LAW GROUP PLLC 129167 001.018.016.518 PROFESSIONAL SERVICES 167.50 Total : 167.50 54864 10/5/2021 007159 THE HOME DEPOT PRO 640557617 001.033.000.518 JANITORIAL SUPPLIES: CITY HALL 450.60 Total : 450.60 54865 10/5/2021 008067 TK LANDSCAPE & LAWN SVCS LLC 2422 001.033.000.518 LAWN SERVICE: PRECINCT/CITY HALL 1,911.20 Total: 1,911.20 54866 10/5/2021 000087 VERIZON WIRELESS 9888731488 001.076.302.576 SEPTEMBER 2021 CELL PHONE/DEVIC 2,596.29 Total : 2,596.29 54867 10/5/2021 000066 WCP SOLUTIONS 12433907 001.076.305.575 JANITORIAL SUPPLIES: CENTERPLACI 121.97 Total: 121.97 54868 10/5/2021 000487 YMCA OF THE INLAND NW AUGUST 2021 001.076.302.576 OPERATING EXPENSES/MGMT FEE AL 50,932.58 Total : 60,932.68 Page: 3 vchlist Voucher List Page: 4 10105/2021 3:25:09PM Spokane Valley Bank code: apbank Voucher Date Vendor Invoice Fund/Dept Description/Account Amount 33 Vouchers for bank code : apbank Bank total : 231,096.17 33 Vouchers in this report I, the undersigned, do certify under penalty of perjury, that the materials have been furnished, the services rendered, or the labor performed as described herein and that the claim is just, due and an unpaid obligation against the City of Spokane Valley, and that I am authorized to authenticate and certify said claim. Finance Director Date Council member reviewed: Mayor Date Council Member Date Total vouchers : 231,096.17 Page: 4 vchlist 10/06/2021 11:47:13AM Voucher List Spokane Valley Page: 1 Bank code : apbank Voucher Date Vendor Invoice Fund/Dept 54869 10/6/2021 008440 BART, JAMES HPR-2021-0729 54870 54871 54872 10/6/2021 008441 10/6/2021 006516 10/6/2021 008053 CHARLES, SALLI HPR-2021-0733 CITY OF SPOKANE VALLEY, PERMIT CENTER CIP 328 SEPA FEES CITY OF SPOKANE VALLEY, Pt I I Y CASH REI AUG & SEPT 2021 54873 10/6/2021 000409 DEPT OF REVENUE 54874 10/6/2021 008442 DERGUNOV, SERHIY 54875 10/612021 000313 INLAND ASPHALT COMPANY INC. 54876 10/6/2021 000252 LOWE'S BUSINESS ACCOUNT 54877 10/6/2021 007633 PALMER CONSTRUCTION 54878 10/6/2021 007047 RITTER, GLENN 54879 10/6/2021 008066 SELLAND CONSTRUCTION INC 54880 10/6/2021 007625 T LARIVIERE INC L0017311178 HPR-2021-0739 PAYAPP 1 PAYAPP 2 SEPTEMBER 2021 BLD-2021-2820 EXPENSES PAY APP 2 PAY APP 3 FINAL Description/Account Amount 001.040.043.321 PERMIT REFUND: HPR-2021-0729 Total : 001.040.043.321 PERMIT REFUND: HPR-2021-0733 Total : 309.000.328.534 CIP 0328: SEPAAPPLICATION FEE Total : 001.013.015.515 PETTY CASH: 25484, -85, -86 309.223.40.00 CIP 0305 RETAINAGE 001.040.043.321 PERMIT REFUND: HPR-2021-0739 311.000.325.595 303.000.292.595 Total : Total : Total: 0325- LOCAL ACCESS STREETS; SOUL 21-096 SCHEDULEA Total: 001.076.305.575 SUPPLIES: CENTERPLACE, MAINTENP Total: 001.040.043.322 PERMIT REFUND: BLD-2021-2820 Total: 001.040.041.543 EXPENSE REIMBURSEMENT 309.000.314.594 0314- BALFOUR PARK FRONTAGE IMP Total: 309.000.315.594 0315 BROWNS PARK 2020 1MPROVEMI Total: Total: 100.00 100.00 100.00 100.00 350.00 350.00 8.10 8.10 14,230.29 14,230.29 100.00 100.00 1,433,913.79 753,445.29 2,187,359.08 1,082.75 1,082.75 341.75 341.75 22.80 22.80 274,427.96 274,427.96 15,067.35 15,067.35 Page: vchlist 10/06/2021 11:47:13AM Voucher List Page: 2 Spokane Valley Bank code: apbank Voucher Date Vendor Invoice Fund/Dept DescriptionlAccount Amount 54881 10/6/2021 008141 TML CONSTRUCTION INC PAY APP 2 403.000.308.531 0308 REGINAL DECANT FACILITY CANC 162,597.25 Total : 162,597.25 54882 10/6/2021 002651 WOODARD, ARNE EXPENSES 001.011.000.511 EXPENSE REIMBURSEMENT APRIL-AL 95.76 Total : 95.76 14 Vouchers for bank code : apbank Bank total : 2,655,883.09 14 Vouchers in this report I, the undersigned, do certify under penalty of perjury, that the materials have been furnished, the services rendered, or the labor performed as described herein and that the claim is just, due and an unpaid obligation against the City of Spokane Valley, and that I am authorized to authenticate and certify said claim. Finance Director Date Council member reviewed: Mayor Date Council Member Date Total vouchers : 2,655,883.09 Page: vchlist 10/12/2021 3:33:11 PM Voucher List Spokane Valley Page: 1 Bank code: apbank Voucher Date Vendor Invoice Fund/Dept 54883 10/12/2021 007136 AMAZON CAPITAL SERVICES INC 54884 10/12/2021 003337 ARROW CONSTRUCTION SUPPLY INC 54885 10/12/2021 000918 BLUE RIBBON LINEN SUPPLY INC 54886 10/12/2021 003122 CALHOUN, MARK 54887 10/12/2021 007114 CARDINAL INFRASTRUCTURE LLC 54888 10/12/2021 000571 CODE PUBLISHING COMPANY 54889 10/12/2021 005355 COMMERCIAL PUBLISHING INC 54890 10/12/2021 000508 CONOCOPHILLIPS FLEET 54891 10/12/2021 001770 CONSOLIDATED SUPPLY CO 11 W3-JQ7V-6C3T 164T-QRLT-ARTY 1JJ1-K6FL-TQ4R 1 KHJ-7XVM-9MC7 1 R36-N3WR-HGJ3 312821 316964 0297501 S0274533 October 2021 2062 71056 79399 74704228 S010505655.001 S010508104.001 54892 10/12/2021 001880 CROWN WEST REALTY LLC OCTOBER 2021 001.040.042.558 001.040.043.558 001.076.305.575 001.040.041.543 001.040.043.558 101.042.000.542 101.042.000.542 001.076.305.575 001.076.305.575 001.013.000.513 001.011.000.511 001.013.000.513 001.143.70.00 001.040.043.558 001.076.305.575 001.076.305.575 101.042.000.543 PROFESSIONAL SERVICES ELECTRONIC CODE UPDATE ADVERTISING: CENTERPLACE Description/Account Amount OFFICE SUPPLIES: ECON DEV OFFICE SUPPLIES: PERMIT CTR OFFICE SUPPLIES: CENTERPLACE SUPPLIES: CPW ENGINEERING & STR OFFICE SUPPLIES: PERMIT CTR COLD MIX (PATCH EZ STREET) SAFETY EQUIPMENT: STREET Total : Total : LINEN SERVICE & SUPPLY AT CENTER LINEN SERVICE AND SUPPLY AT CENT Total : MONTHLY AUTO ALLOWANCE FOR 10/ Total : Total: Total : Total : SEPTEMBER 2021 FLEET FUEL BILL Total : REPAIR & MAINTENANCE SUPPLIES: C REPAIR & MAINTENANCE SUPPLIES: C Total : 22.30 358.50 32.68 31.32 41.58 486.38 1,203.82 39.67 1,243.49 69.81 132.32 202.13 400.00 400.00 4,875.00 4,875.00 171.18 171.18 1,100.00 1,100.00 2,018.09 2,018.09 108.66 1.90 110.56 COMMON AREA CHARGES MAINTENAI 244.64 Total : 244.64 Page: '7 vchlist 10/1212021 3:33:11 PM Voucher List Spokane Valley Page: 2 Bank code: apbank Voucher Date Vendor Invoice Fund/Dept 54893 10/12/2021 003255 DAY WIRELESS SYSTEMS 54894 10/12/2021 002604 DELL FINANCIAL SERVICES LLC 54895 10/12/2021 002604 DELL FINANCIAL SERVICES LLC 54896 10/12/2021 007396 ENGINEERINGJREMEDIATION 54897 10/12/2021 007740 EVERGREEN STATE TOWING LLC 54898 10/12/2021 003274 EXCHANGE PUBLISHING LLC Description/Account Amount INV692900 101.042.000.543 TOWER RENT 216.57 Total: 216.57 81028172 81028173 81028174 81028175 81028176 81028177 81028178 81028179 81028180 81028181 81028182 81028004 81028005 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 001.090.000.548 RETAINAGE RELEASE 309.223.40.00 COMPUTER LEASE: 001-8922117-007 COMPUTER LEASE:001-8922117-008 COMPUTER LEASE: 001-8922117-009 COMPUTER LEASE: 001-8922117-010 COMPUTER LEASE: 001-8922117-011 COMPUTER LEASE: 001-8922117-012 COMPUTER LEASE: 001-8922117-013 COMPUTER LEASE: 001-8922117-014 COMPUTER LEASE: 001-8922117-015 COMPUTER LEASE: 0018922117-016 COMPUTER LEASE: 001-8922117-017 Total: COMPUTER LEASE: 001-8922117-018 COMPUTER LEASE: 001-8922117-019 Total : CIP 0296 RETAINAGE RELEASE Total: 60341 001.040.041.558 TOWING SERVICE: FORD ESCAPE 4-01 Total : 616247 616248 616249 616251 616252 616975 616976 616977 616979 616980 001.011.000.511 001.040.043.558 001.013.000.513 001.040.043.558 001.013.000.513 001.011.000.511 001.013.000.513 106.000.000.537 001.040.043.558 001.040.043.558 ADVERTISING: LTAC 2022 LEGAL PUBLICATION LEGAL PUBLICATION LEGAL PUBLICATION LEGAL PUBLICATION ADVERTISING: LTAC 2022 LEGAL PUBLICATION ADVERTISING: SOLID WASTE RATE LEGAL PUBLICATION LEGAL PUBLICATION Total : 139.58 658.51 368.09 187.76 806.78 266.18 986.55 142.27 176.38 409.18 487.31 4,628.59 651.56 52.66 704.22 45,145.04 45,145.04 190.75 190.75 33.75 79.50 78.75 85.32 26.86 33.75 78.75 26.07 82.16 79.00 603.91 Page: ""a vchlist 10/1212021 3:33:11PM Voucher List Spokane Valley Page: 3 Bank code : apbank Voucher Date Vendor Invoice Fund/Dept 54899 10/12/2021 005474 FREIGHTLINER NORTHWEST 54900 10/12/2021 000692 GUS JOHNSON FORD 54901 10/12/2021 001635 ISS FACILITY EVENT SERVICES 54902 10/12/2021 007881 LIVELYS FIRE EXTINGUISHER SERV 54903 10/12/2021 004621 OREILLY AUTOMOTIVE STORES INC 54904 10/12/2021 004130 PACIFICA LAW GROUP LLP 54905 10/1212021 005968 PRECISE MRM LLC 54906 10/12/2021 000090 SPOKANE CO INFO SYSTEMS 54907 10/12/2021 007739 SWANA 25 Vouchers for bank code : apbank 25 Vouchers in this report P C 0 01525953:01 101.042.00 0.542 563072 563801 1562639 0334 0335 2862-124800 2862-126199 2862-126395 2862-126440 2862-128534 2862-128559 2862-128805 69869 200-1032523 50320790 2022-1685848 001,040,043.558 001.040.043.558 001.076.305.575 001.033.000.518 501.000.000.548 001.040.043.558 001.040.043.558 001.076.000.576 001.040.043.558 001.040.043.558 001.040.043.558 001,040,043.558 001.090.331.514 101.042.000.542 001.076.000.576 106.143.70.00 Description/Account Amount VEHICLE REPAIR & MAINTENANCE SU 78.08 Total: 78.08 VEHICLE REPAIR & MAINT. SUPPLIES - VEHICLE REPAIR & MAINT. SUPPLIES Total : SEPTEMBER 2021 MONTHLY CLEANIN Total : FIRE EXTINGUISHER SERVICE: CITY F FIRE EXTINGUISHER INSPECTION - FL Total : VEHICLE REPAIR VEHICLE REPAIR VEHICLE REPAIR VEHICLE REPAIR VEHICLE REPAIR VEHICLE REPAIR VEHICLE REPAIR & MAINTENANCE SU & MAINTENANCE SU & MAINTENANCE SU & MAINTENANCE SU & MAINTENANCE SU & MAINTENANCE SU & MAINTENANCE SU Total : PROFESSIONAL SERVICES RE: CLFRF Total : DATA PLAN Total : COUNTY IT SUPPORT: AUGUST 2021 Total : MEMBERSHIP RENEWAL: HENRYALLE Total: Bank total : 375.80 62.44 438.24 8,085.09 8,085.09 57.72 96.92 154.64 80.41 103.40 -16.34 43.52 4.35 47.02 59.86 322.22 2,866.50 2,866.50 272.50 272.50 13,508,27 13,508.27 358.00 358.00 88,424.09 Total vouchers : 88,424.09 Page: vchlist Voucher List Page: 1 10/13/2021 3:23:54PM Spokane Valley Bank code : apbank Voucher Date Vendor Invoice Fund/Dept Description/Account Amount 54908 10/13/2021 000197 ACRANET 18384 001.018.016.518 EMPLOYEE BACKGROUND CHECKS 181.50 Total: 181.50 54909 10/13/2021 007136 AMAZON CAPITAL SERVICES INC 133P-DWRY-1P4H 101.042.000.542 SMALL TOOLS/MINOR EQUIPMENT 34.79 Total : 34.79 54910 10/13/2021 004046 AMERICAN ONSITE SERVICES 432340 001.076.300.576 PORTABLE RESTROOM AT CENTERPL 85.00 Total : 85.00 54911 10/13/2021 000918 BLUE RIBBON LINEN SUPPLY INC 0299382 001.076.305.575 LINEN SERVICE & SUPPLY AT CENTER 69.81 Late fee 10-1-2021 001.076.305.575 LATE FEE 10-1-2021 VENDOR STATEMI 4.90 S0276463 001.076.305.575 LINEN SERVICE &SUPPLY AT CENTER 442.08 Total : 516.79 54912 10/13/2021 001770 CONSOLIDATED SUPPLY CO S010510521.001 001.076.305.575 REPAIR & MAINTENANCE SUPPLIES: C 9.24 Total : 9.24 54913 10/13/2021 000734 DEPT OF TRANSPORTATION RE-313-ATB10914057 101.042.000.542 REIMBURSE TRAFFIC SVCS 9,690.39 RE-313-ATB10914065 101.042.000.542 REIMBURSE ROADWAY MAINTENANCI 28,460.43 Total : 38,150.82 54914 10/13/2021 007673 DIBBLE ENGINEERS INC 31965 001.000.322.518 CITY HALL STRUCTURAL REVIEW 630.00 Total : 630.00 54915 10/13/2021 000795 EARTHWORKS RECYCLING INC. 367340 001.076.305.575 RECYCLING COLLECTION AT CENTER 47.50 Total : 47.50 54916 10/13/2021 001447 FREE PRESS PUBLISHING INC 52238 001.011.000.511 ADVERTISING: LTX GRANT PROPOSAL 180.95 52250 001.040.043.558 LEGAL PUBLICATION 93.50 52253 001.013.000.513 LEGAL PUBLICATION 108.50 52274 001.040.043.558 LEGAL PUBLICATION 169.60 52279 001.040.043.558 LEGAL PUBLICATION 94.35 52282 001.040.043.558 LEGAL PUBLICATION 94.35 Total : 741.25 54917 10/13/2021 001253 GORDON THOMAS HONEYWELL Sept 2021 1042 001.011.000.511 GOVERNMENTAL AFFAIRS SERVICES 5,225.00 Page: vchlist Voucher List Page: 2 10/13/2021 3:23:54PM Spokane Valley Bank code : apbank Voucher Date Vendor Invoice Fund/Dept Description/Account Amount 54917 10/13/2021 001253 001253 GORDON THOMAS HONEYWELL (Continued) Total : 5,225.00 54918 10/13/2021 000070 INLAND POWER & LIGHT CO September 2021 101.042.000.542 UTILITIES: PARKS AND CPW SEPTEME 488.57 Total : 488.57 54919 10/13/2021 000388 IRVIN WATER DIST. #6 September 2021 001.076.300.576 UTILITIES: PARKS AND CPW SEPTEME 4,681.33 Total : 4,681.33 54920 10/13/2021 000012 JOURNAL OF BUSINESS 328375 001.040.042.558 ADVERTISING FOR ECONOMIC DEVEL 1,810.00 Total : 1,810.00 54921 10/13/2021 000864 JUB ENGINEERS INC. 0146483 101.042.000.542 ON -CALL TRAFFIC ENGINEERING SVC 21,108.23 Total: 21,108.23 54922 10/13/2021 000132 MODERN ELECTRIC WATER CO 20342113 101.042.000.542 UTILITIES SEPTEMBER 2021 CPW 12,936.99 20342117 001.076.302.576 UTILITIES: SEPTEMBER 2021 PARKS 4,090.46 Total : 17,027.45 54923 10/13/2021 002948 NA DEGERSTROM PAY APP 2 303.000.310.595 0310 SULLIVAN RD OVERCROSSING D 10,287.48 Total : 10,287.48 54924 10/13/2021 000662 NAT'L BARRICADE & SIGN CO 209127 101.042.000.542 42" YELLOW TYPE 5 MAKER W/ YELLO 1,279.58 Total : 1,279.58 54925 10/13/2021 004850 NAVIA BENEFIT SOLUTIONS, HRA PLAN 10381565 001.018.016.518 FLEX SPENDING ADMINISTRATION 392.00 Total : 392.00 54926 10/13/2021 000652 OFFICE DEPOT INC. 196053942001 001.040.041.543 SMALL TOOLS & MINOR EQUIPMENT: 1 174.23 196054088001 001.040.041.543 OFFICE SUPPLIES: ENGINEERING/DE) 59.07 202132986001 001.018.016.518 OFFICE SUPPLIES: HR 48.22 202931089001 001.076.000.576 OFFICE SUPPLIES: PARKS 35.69 202931262001 001.076.000.576 OFFICE SUPPLIES: PARKS 65.10 202931266001 001.076.000.576 OFFICE SUPPLIES: CENTERPLACE 239.87 Total: 623.18 54927 10/13/2021 000167 VERA WATER & POWER SEPTEMBER 2021 101.042.000.542 UTILITIES: SEPTEMBER 2021 4,591.96 Total : 4,591.96 Page: vchlist Voucher List Page: 3 1011312021 3:23:54PM Spokane Valley Bank code : apbank Voucher Date Vendor Invoice Fund/Dept Description/Account Amount 20 Vouchers for bank code : apbank Bank total: 107,911.67 20 Vouchers in this report I, the undersigned, do certify under penalty of perjury, that the materials have been fumished, the services rendered, or the labor performed as described herein and that the claim is just, due and an unpaid obligation against the City of Spokane Valley, and that I am authorized to authenticate and certify said claim. Finance Director Date Council member reviewed: Mayor Date Council Member Date Total vouchers : 107,911.67 Page: vchlist Voucher List Page: 1 10I1412021 8:17:51AIVI Spokane Valley Bank code: apbank Voucher Date Vendor Invoice FundlDept Description/Account Amount 54928 10/14/2021 003274 EXCHANGE PUBLISHING LLC 616978 101.000.000.542 ADVERTISING: ON -CALL ROAD GRADE 33.18 617881 001.013.000.513 LEGAL PUBLICATION 78.75 617883 101.000.000.542 ADVERTISING: ON -CALL ROAD GRADE 31.50 617884 001.040.043.558 LEGAL PUBLICATION 75.00 617886 001.013.000.513 LEGAL PUBLICATION 25.28 617887 001.040.043.558 LEGAL PUBLICATION 82.95 617888 001.040.043.558 LEGAL PUBLICATION 80.58 Total : 407.24 54929 10/14/2021 003261 FEHR & PEERS 148447 001.040.041.543 PROFESSIONAL SERVICES 1,161.20 Total : 1,161.20 54930 10/14/2021 001447 FREE PRESS PUBLISHING INC 52276 101.000.000.542 ADVERTISING: ON -CALL ROAD GRADE 67.20 Total : 67.20 54931 10/14/2021 001006 OMWBE 30313964 001.090.000.518 FUND 453 SVUV0006747-00 300.00 Total : 300.00 54932 10/14/2021 007133 PRUNTY, CAITLIN EXPENSES 001.013.015.515 EXPENSE REIMBURSEMENT 33.60 Total: 33.60 54933 10/14/2021 000675 RAMAX PRINTING &AWARDS INC 33875 001.018.016.518 ENGRAVED TUMBLER 54.45 Total : 54.45 54934 10/14/2021 000709 SENSKE LAWN & TREE CARE INC. 11058207 001.076.300.576 895 CONTRACT MAINTENANCE 64,898.17 11058259 101.042.000.542 CONTRACT 895 MAINTENANCE 531.43 Total : 65,429.60 54935 10/14/2021 003264 SHI INTERNATIONAL CORP B14100748 001.040.042.558 ADOBE CREATIVE CLOUD FOR MATT 736.06 B14124540 001.013.000.513 MICROSOFT VISIO SUBSCRIPTION 99.71 Total : 835.77 54936 10/14/2021 008062 SPITZER, HUGH September 2021 001.013.015,515 PROFESSIONAL SERVICES 980.00 Total : 980.00 54937 10/14/2021 000001 SPOKANE CO TREASURER 40101840 001.013.015.515 UTILITY TAX LEGAL SHARED COSTS 280.93 Page: Vchlist 10/14/2021 8:17:51 AM Voucher List Spokane Valley Page: 2 Bank code Voucher apbank Date Vendor Invoice FundWDept 54937 10/14/2021 000001 000001 SPOKANE CO TREASURER 54938 10/14/2021 000093 SPOKESMAN -REVIEW, THE 54939 10/14/2021 008346 STALKER RADAR 54940 10/14/2021 000065 STAPLES ADVANTAGE 54941 10/14/2021 007120 TSHIMAKAIN CREEK LABORATORY 54942 10/14/2021 002597 TWISTED PAIR ENTERPRISES LLC 54943 10/14/2021 000780 UNION PACIFIC RR CO 54944 10/14/2021 001444 UNITED LABORATORIES 54945 10/14/2021 006646 US LINEN & UNIFORM INC 54946 10/14/2021 006178 WALTER E NELSON CO (Continued) 4762 391122 3489244578 3489244581 3489244583 3489244585 3489244586 3489244587 3489244592 2127008 9302021 90110411 INV329046 2797803 2801678 2805624 2809541 2813438 451789 451893 001.013.000.513 001.016.000.594 001.013.000.513 001.013.000.513 001.013.000.513 001.013.000.513 001.013.000.513 001.090.000.518 001.090.000.518 001.076.300.576 001.011.000.511 303.000.310.595 001.076.305.575 101.042.000.543 101.042.000.543 101,042,000.543 101.042.000.543 101.042.000.543 001.018.014.514 001.040.041.543 Description/Account Amount ADVERTISING ACCT 103356 Total : 280.93 Total : STALKER II STATIONARY RADAR (SDR Total : OFFICE SUPPLIES: EXEC/ADMIN OFFICE SUPPLIES: EXEC/COUNCIL OFFICE SUPPLIES: EXEC/ADMIN OFFICE SUPPLIES: EXEC/ADMIN OFFICE SUPPLIES: EXEC/ADMIN KITCHEN SUPPLIES KITCHEN SUPPLIES Total: ENVIRONMENTAL TESTING AT PARKS Total : BROADCASTING COUNCIL MTGS Total : CIP 0310: FLAGGING SUPPLIES FOR CENTERPLACE Total: Total: SUPPLIES: MAINTENANCE SHOP SUPPLIES: MAINTENANCE SHOP SUPPLIES: MAINTENANCE SHOP SUPPLIES: MAINTENANCE SHOP SUPPLIES: MAINTENANCE SHOP Total : 504.00 504.00 3,671.24 3,671.24 43.97 75.05 52.16 -3.29 3.29 56.60 39.08 266.86 25.00 25.00 1,208.00 1,208.00 560.09 560.09 396.55 396.55 31.60 19.49 26.11 18.49 26.11 121.80 OFFICE SUPPLIES: FINANCE 88.65 OFFICE SUPPLIES: ENGINEERING/DE\ 215.57 Page: vchlist 10/14/2021 8:17:51AM Voucher List Spokane Valley Page: 3 Bank code : apbank Voucher Date Vendor Invoice FundlDept 54946 10/14/2021 006178 WALTER E NELSON CO 54947 10/14/2021 004754 WAPRO 54948 10/14/2021 002363 WESTERN STATES EQUIPMENT CO 54949 10/14/2021 008079 YORK, JOY 22 Vouchers for bank code : apbank 22 Vouchers in this report (Continued) 452011 452119 3113 IN001774910 5 001.018.014.514 001.040.041.543 001.013.000.513 101.042.000.542 101.042.000.542 Description/Account Amount OFFICE SUPPLIES; FINANCE OFFICE SUPPLIES: ENGINEERING/DE\ Total : REGISTRATION: VIRTUAL CONFERENC Total : VEHICLE REPAIR & MALNT. SUPPLIES: Total : PMP MEETINGS Total: Bank total : Total vouchers : 124.80 43.72 472.74 65.00 65.00 215,47 216.47 4,050.00 4,050.00 81,107.74 81,107.74 Page: �3, vchlist 10/1412021 9:26:03AM Voucher List Spokane Valley Page: 1 Bank code : pk-ref Voucher Date Vendor Invoice Fund/Dept 9207 10/14/2021 008443 BROWN, DEBBIE 9208 10114/2021 008444 GRAHAM CONSTRUCTION MGMT INC 9209 10114/2021 006728 GREATER SPOKANE VALLEY ROTARY 9210 10/14/2021 008445 HELMAN, CATHY 9211 10/14/2021 008446 MCKASKILL, CHELSEA 9212 10/14/2021 008447 OLSON, DANIEL 9213 10/14/2021 008448 SANFORD, PATRICIA 9214 10/14/2021 002525 SPOKANE YOUTH SPORTS ASSOCIATI 9215 10/14/2021 008449 WALTERS, CHRISSY 9 Vouchers for bank code : pk-ref 9 Vouchers in this report PARK REFUND PARK REFUND PARK REFUND PARK REFUND PARK REFUND PARK REFUND PARK REFUND PARK REFUND PARK REFUND 001.237.10.99 001.237.10.99 001.237.10.99 001.237.10.99 001.237.10.99 001.237.10.99 001.237.10.99 001.237.10.99 001.237.10.99 Description/Account Amount DEPOSIT REFUND: FIRESIDE LOUNGE 149.50 Total : 149.50 DEPOSIT REFUND: ROOM 205 DEPOSIT REFUND: DEPOSIT REFUND: DEPOSIT REFUND: DEPOSIT REFUND: DEPOSIT REFUND: DEPOSIT REFUND: DEPOSIT REFUND: Total : MIRABEAU MEADC Total : SULLIVAN PARK Total : GREAT ROOM Total: MIRABEAU MEADC Total: VALLEY MISSION Total: MIRABEAU MEADC Total : MIRABEAU MEADC Total : Bank total : 52.00 52.00 75.00 75.00 75.00 75.00 500.00 500.00 300.00 300.00 75.00 75.00 75.00 75.00 75.00 75.00 1,376.50 Total vouchers : 1,376.50 Page: 1h /5 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Department Director Approval: Item: Check all that apply: ® consent ❑ old business ❑ new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation AGENDA ITEM TITLE: Payroll for Pay Period Ending October 15, 2021 GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: BACKGROUND: BUDGET/FINANCIAL IMPACTS: Employees Total Gross: S 339.314.43 S338.314.43 Benefits: S 64.855.03 S 64.855.03 Total payroll S 403,169.46 6403,169.46 RECOMMENDED ACTION OR MOTION: Move to Approve above payroll. [Approved as part of the Consent Agenda, or may be removed and discussed separately.] STAFF CONTACT: Raba Nimri DRAFT MINUTES City of Spokane Valley City Council Study Session Meeting Tuesday, October 5, 2021 Mayor Wick called the meeting to order at 6:00 p.m. The meeting was held in person in Council Chambers, and also remotely via Zoom meeting. Attendance: Councilmembers Ben Wick, Mayor Brandi Peetz, Deputy Mayor Tim Hattenburg Councilmember Rod Higgins, Councilmember Linda Thompson, Councilmember Absent: Pam Haley, Councilmember Arne Woodard, Councilmember Staff Mark Calhoun, City Manager John Hohman, Deputy City Manager Cary Driskell, City Attorney Erik Lamb, Deputy City Attorney Chelsie Taylor, Finance Director John Bottelli, Parks, Rec & Facilities Director Jenny Nickerson, Building Official John Whitehead, Human Resources Manager Christine Bainbridge, City Clerk ROLL CALL: City Clerk Bainbridge called the roll; all Councilmembers were present except Councilmembers Haley and Woodard. It was moved by Councilmember Higgins, seconded and unanimously agreed to excuse Councilmembers Haley and Woodard from tonight's meeting. APPROVAL OF AGENDA: It was moved by Councilmember Higgins to amend the agenda, in light of two absent Councilmembers, to defer #6 to next week. There was no second and the motion did not progress. It was moved by Deputy Mayor Peetz and seconded to approve the agenda. Vote by acclamation: in favor: Mayor Wick, Deputy Mayor Peetz, and Councilmembers Thompson and Hattenburg. Opposed: Councilmember Higgins. Motion carried. ACTION ITEM: 1. Mayoral Appointment, Lodging Tax Advisory Committee — Mayor Wick It was moved by Deputy Mayor Peetz and seconded to confirm the Mayoral appointment to the Lodging Tax Advisory Committee, of Amanda Alcamo, representing a member authorized to collect the tax, with a term beginning immediately upon appointment and expiring December 31, 2021. Mayor Wick said that there were two applicants and both were great candidates, and this will be the first time we have had a representative from Oxford Suites. There were no public comments. Vote by acclamation: in favor: unanimous. Opposed: none. Motion carried. NON -ACTION ITEMS: 2. STA' s (Spokane Transit Authority) Sprague Line High Performance Transit — Karl Otterstrom Via Zoom, STA Director of Planning and Development Mr. Otterstrom, spoke about STA's thirty-year plan to achieve all -day, two-way reliable and frequent service; explained about how the Sprague High Performance Transit (HPT) line currently operates as STA Route 90; he went over their project goals and benefits; mentioned other project opportunities; gave a brief timeline of the work done to -date from 2017; mentioned some previous improvements; talked about their current project budget; their public outreach; proposed bus stop revisions and improvements including twelve HPT stations; and noted their project schedule with phase 1 construction starting in 2023 with a projected completion date of 2024. 3. Tourism Promotion Area (TPA) Update — Cary Driskell City Attorney Driskell gave some background on the City's participation in the TPA Interlocal, and some of the changes that have occurred to the interlocal over the past years; he mentioned the termination option Council Meeting Minutes, Study Session: 10-05-2021 Page 1 of 4 Approved by Council: DRAFT provision contained in the interlocal and of options for tonight; said he and Mayor Wick spoke with some of the hoteliers within our City and that nearly all those contacted would either be supportive or potentially interested in our City creating its own TPA. Mr. Driskell further explained that if Council is interested in creating its own TPA, there are several necessary steps to take, the first of which would be to pass a resolution terminating our participation in the existing County TPA; and that Council always has the option of not taking any further action and keeping things as they are currently. Mayor Wick added that in their discussions with the hoteliers, we were clear we were not trying to undercut the hotels in Spokane; and said that many of those he and Mr. Driskell spoke with were not familiar with the TPA. Mr. Driskell added that several hoteliers suggested using the funds to help create our own identity and as a way to attract people to the hotels. Discussion included mention by Mr. Driskell that if we were to form our own TPA, an advantage would be that we could enter into agreements with such entities such as the Sports Commission and Visit Spokane, in order to have them identify what they would do with any funding we might disburse, and said that such a contract would also provide some identifiable goals. Mayor Wick noted that not all groups are aware there are two separate funds: the TPA dollars and the LTAC (Lodging Tax) dollars. Mr. Calhoun stated that if we were to start our own TPA, he envisions it would be handled much the same way we do with the LTAC funds, with separate applications for each source. Council ultimately decided to have staff bring back the options, the process, and a resolution, for Council's consideration at an upcoming meeting. 4. Code Enforcement Program Follow-up, Topic 1: Parking & Vehicle Storage — Jenny Nickerson Building Official Nickerson went through the PowerPoint presentation explaining some of the concerns about vehicles parking or being stored in the City's right-of-way and other areas such as on a front lawn; she mentioned our off-street parking regulations concerning the number of vehicles per unit; went over the nuisance regulations contained in our Code; gave some examples of enhanced regulations contained in 22.50 SVMC, as well as examples of enhanced enforcement to consider. Mr. Driskell said the question for Council is, what does Council want in residential neighborhoods. Mr. Driskell also noted that he and Traffic Engineer Clark will be back at a future Council meeting to discuss rights -of -way. Lengthy discussion ensued including how to further define junk vehicles as well as the definition of junk vehicles per state law; parking in multi -family areas with sometimes more than one family living in one apartment; that some apartments charge more to use the covered parking areas; how best to address the complaints such as people parking their RV in front of a neighbor's yard or home; how to address the aesthetic or visual issue; motor homes on private property and how to confirm whether people are living in the motor home; complaints about people parking in front of and blocking mailboxes; the idea of basing the number of vehicles on lot size; and how to help residential neighborhoods keep their character. There was some consensus to keep the number of RVs to one per property; and that Council would like staff to bring back draft regulations that address that idea as well. 5. City Manager Presentation 2022 Preliminary Budget — Mark Calhoun As part of the ongoing budget development process, and in keeping with state law, Mr. Calhoun presented the 2022 Preliminary Budget. Mr. Calhoun said tonight he will focus more on concepts and less on numbers; he stated that to ensure continued financial stability, it is imperative that we achieve two key goals within our General Fund: recurring annual revenues must be greater than recurring annual expenditures; and that the ending General Fund fund balance must be at least 50% of recurring expenditures. Mr. Calhoun noted that we are able to do this year after year, even with a stressed economy as in the past one and a half years; and said this is a reflection of the team approach our City has used between Council and staff in the budget development process and in our approach to long-term fiscal sustainability. Mr. Calhoun went over the 2022 Council Goals; he noted our fiscal policies stated in the budget, adopted by and adhered to by Council and staff are integral in maintaining the current and long-term fiscal health of our City; and adhering to these policies is a major factor in our City maintaining the very good bond rating from Moody's Investors Services, of Aa2. He discussed financial management and objectives; and said our commitment to policies Council Meeting Minutes, Study Session: 10-05-2021 Page 2 of 4 Approved by Council: DRAFT enables us to better meet our priority service needs of public safety, pavement preservation, transportation and infrastructure, and economic development. Mr. Calhoun went over the program budget highlights and staffing levels, followed by discussion on those priority services. Regarding challenges, Mr. Calhoun noted declining revenues in the Street O&M Fund 101, balancing the cost of pavement preservation against other transportation and infrastructure needs, railroad grade separation projects, and continuing to address the Covid-19 pandemic. Mr. Calhoun delved further into service priorities including the street O&M fund 101 with the continuing challenge to determine how to fully finance that fund; he mentioned the Street Sustainability Committee and of their upcoming November 9 presentation to Council; and he noted the several railroad grade separation projects. In conclusion, Mr. Calhoun said we have a balanced General Fund budget with strong reserves; that the budget continues to be in excellent financial condition, and he again stressed that maintaining a fund balance/reserves of at least 50% of recurring expenditures is necessary to meet cash flow needs. In closing, Mr. Calhoun said we are a unique city and as such our situation is almost indescribable to other communities to show what we have accomplished and are able to accomplish year after year; said we have been successful for so long we take it for granted; he encouraged Council not to take it for granted as it could be fleeting and with a couple of bad decisions, it would be gone; said we really want to hold the course as we have done these past 19 years. Mayor Wick asked Mr. Calhoun if he feels the 2022 budget is holding that course, and Mr. Calhoun replied he does absolutely; that we are in good shape. Mayor Wick said he appreciates all Mr. Calhoun's efforts and the whole team on coming up with this budget. ACTION ITEM: 6. Motion Consideration City Manager Recruitment — John Whitehead Human Resources Manager Whitehead went over the background concerning the announcement of Mr. Calhoun's upcoming retirement, and as shown on the Request for Council Action form, gave some options for Council's consideration. After Mr. Whitehead then went through his PowerPoint presentation which provided information about a traditional recruitment process, he suggested Council establish a recruitment committee consisting of some members of Council, and some staff; and that he can return next week to go over the job description and compensation, which would be included on recruitment bulletins. Mr. Whitehead said using a third party recruiter would also take longer and the cost would be between $35,000 or $40,000; or this could be done internally with HR working with the Council; he also included a possible timeline with an appointment ultimately occurring in March. Councilmember Hattenburg said he favors a hybrid approach with having staff and HR involved and not hiring someone to do the job; said he wants a national search, but also wants a third party working with HR. Councilmember Thompson said she favors a third party recruitment service with HR Manager support, and have a committee of Councilmembers and maybe adding in staff, but being flexible. In response to Councilmember Higgin's question about the cost of doing a hybrid approach, Mr. Whitehead said in his experience, they have one price tag and if you ask them to do more, they would raise that price, but if we do something instead of them, they would lower the price; and during an outreach, we could ask about what we could do and therefore save some money. Ideas such as having some interviews via zoom were also suggested. Deputy City Mayor Peetz said she likes the hybrid model and of the idea of using zoom when possible. Councilmember Thompson said we have some really big shoes to fill and therefore feels it is important to keep costs moderate, but that we need to invest money to get the right leader; said our City is well run with thanks to Mr. Calhoun's leadership, the directors and the staff; said we are having to replace someone who has done an exemplary job for our city. Mayor Wick said he spoke with Councilmember Haley prior to tonight's meeting, and she is in favor of trying to do a recruitment as well; said he would like to start the process, but not identify the committee until we come back next week to see who those contacts might be. Councilmember Higgins said he still feels there is no need to run into this without having all councilmembers here as they have experience in Council Meeting Minutes, Study Session: 10-05-2021 Page 3 of 4 Approved by Council: DRAFT this topic; said he feels Mr. Whitehead has done this before and this isn't too much different from what has occurred in the past, and he is confident Mr. Whitehead will do the necessary work; but added that he still protests that not all Councilmembers are present tonight. Councilmember Thompson agreed is it important to wait to set the committee until all Councilmembers are in attendance. Mr. Driskell said he feels we have some Council consensus, with reservation from one, to use a hybrid approach, although we are not exactly sure what that would look like, but staff will work toward that and come back at the next meeting when we will have some options for council within that framework. NON -ACTION ITEMS: 7. Advance Agenda — Mayor Wick Councilmember Thompson said she would like a report on some of the safety issues that have come up from citizens, about lighting in some areas in particular the new four-way stop area at Mission and Park; and about signals for sections of the Appleway Trail; said she was notified that a woman was hit by a car last spring; said some of the intersections across the Trail have signals and some don't and said she wondered if there have been other incidents. There was consensus to add this to the Advance Agenda. 8. Depaitinent Monthly Reports The Finance Department and the Police Department Reports were for information only and were not reported or discussed. 9. Council Check -in Mayor Wick There were no additional comments. 10. City Manager Comments — Mark Calhoun Mr. Calhoun noted and read a letter he received from the Washington State Association of Municipal Attorneys, recognizing the contributions of Deputy City Attorney Erik Lamb, and that he was given the honor of being selected with a 2021 Outstanding Service Award. It was moved by Deputy Mayor Peetz, seconded and unanimously agreed to adjourn. The meeting adjourned at 8:40 p.m. ATTEST: Ben Wick, Mayor Christine Bainbridge, City Clerk Council Meeting Minutes, Study Session: 10-05-2021 Page 4 of 4 Approved by Council: Draft MINUTES City of Spokane Valley City Council Regular Formal Meeting Tuesday, October 12, 2021 Mayor Wick called the meeting to order at 6:00 p.m. The meeting was held in City Hall with Council, staff and some members of the public participating in person; and some members of the public participating remotely via Zoom meeting. Attendance: Councilmembers Ben Wick, Mayor Brandi Peetz, Deputy Mayor Pam Haley, Councilmember Tim Hattenburg Councilmember [left meeting 7:19 pm] Rod Higgins, Councilmember Linda Thompson, Councilmember Arne Woodard, Councilmember Staff Mark Calhoun, City Manager John Hohman, Deputy City Manager Cary Driskell, City Attorney Chelsie Taylor, Finance Director Chaz Bates, Senior Planner Erik Lamb, Sr. Deputy City Attorney John Bottelli, Parks, Rec & Facilities Director Jenny Nickerson, Building Official John Whitehead, Human Resources Manager Christine Bainbridge, City Clerk INVOCATION: Pastor Mathew Larson of Advent Lutheran Church gave the invocation. PLEDGE OF ALLEGIANCE Council, staff and the audience stood for the Pledge of Allegiance. ROLL CALL City Clerk Bainbridge called the roll; all Councilmembers were present. APPROVAL OF AGENDA It was moved by Deputy Mayor Peetz and seconded to approve the agenda. Vote by acclamation: in favor: Mayor Wick, Deputy Mayor Peetz, and Councilmembers Hattenburg, Haley, Higgins, and Thompson. Opposed: Councilmember Woodard. Motion passed. INTRODUCTION OF SPECIAL GUESTS AND PRESENTATIONS: n/a COMMITTEE, BOARD, LIAISON SUMMARY REPORTS Councilmember Woodard: no report. Councilmember Hattenburg: talked about the STA (Spokane Transit Authority) meeting where they mentioned a delay in building bus shelters due to shortage of materials, but said the STA remains $11 million under budget; attended a Board of Health meeting where there was an unanimous vote to appoint Dr. Velazquez as the permanent health officer; said he attended the educator air lift and got to fly in a helicopter and meet members of the National Guard. Councilmember Thompson: said she also attended the educator lift and mentioned many of the benefits to being in the National Guard; attended the Law Enforcement Annual Awards and said it was excellent to see so many of our officers up for awards. Councilmember Higgins: reported that he attended former Councilmember Sam Wood's memorial service which he said was very well attended; went to the Clean Air Board meeting and said that the sale of their former building is now complete; mentioned that the Department of Ecology gave them a $305,000 grant to continue the program for replacement of wood stoves; and said he attended the Spokane Valley Arts Council auction, which he said was also very well attended. Councilmember Haley: stated that she attended the STA Planning and Development meeting where they mentioned that the Central City line will be delayed about a year; stated that she also attended the National Guard event and that she too was surprised at the many benefits available for people in the Guard, and that Council Meeting Minutes, Formal: 10-12-2021 Page 1 of 5 Approved by Council: Draft they will even cover tuition for a trade school; said she also attended the annual Sheriff's Awards and was very proud of our Police Officers who received many awards. Deputy Mayor Peetz: said she virtually attended the HUB all-star breakfast; went to the Government Action committee where they talked about the upcoming legislative agenda and of their need to receive our agenda; said she is chair of the Visit Spokane nominations committee and they conducted nine interviews, three of which were moved forward. MAYOR'S REPORT Mayor Wick said he received many compliments about our new health officer; went to the Arts Auction; attended the Law Enforcement awards and was impressed with the amazing stories; said that SRTC (Spokane Regional Transit Council) is working on their budget and they now have a board of 21 members, said they welcomed the tribal members; mentioned FMSIB's budget series of meetings, and of investing into future benefits and of what percentage should go into which category; and that he also attended the Educator Lift with the National Guard. PROCLAMATIONS: Proclamations: (1)Safe Infant Sleep Awareness Month; (2) Domestic Violence Awareness Month Mayor Wick read the Safe Infant Sleep Awareness Month proclamation, which was accepted with thanks from Ms. Katie Brown of that organization; and then read the Domestic Violence Awareness Month proclamation. GENERAL PUBLIC COMMENT OPPORTUNITY I11: Mayor Wick invited public comments. The following comments were given via zoom: Ms. Pam Marlow, Spokane Valley: said she is concerned about the increase in crime in connection with a nuisance property in her neighborhood; said they paid for street lightening and have a neighborhood watch, but are not sure of what else can be done. It was noted someone from the City will contact her after tonight's meeting. Ms. Barb Howard, Spokane Valley: mentioned frustrations with our court system and of a `revolving door' policy where the officers arrest people and the courts let them out; mentioned the Spokane County Regional Emergency where she called them to do a welfare check on a man sleeping in a truck, but that the man ended up in the hospital; adding that when she called she was asked why she thought the man needed a welfare check. 1. PUBLIC HEARING: #2 Hearing: 2022 Budget — Chelsie Taylor Mayor Wick opened the public hearing at 6:31 p.m. Finance Director Taylor went over the budget summary including number of FTEs (full time equivalent) employees; mentioned the addition of a police officer position to serve as part of a multi -disciplinary team working on homeless issues; briefly discussed the general fund revenues and expenditures; mentioned other funds such as real estate excise tax and motor vehicle fuel tax; mentioned declining revenues in the Street O&M Fund 101 as well as impacts due to Covid-19; and noted upcoming Council budget discussions including the adoption of the 2022 budget scheduled for November 9, 2021. Mayor Wick invited public comment; no comments were offered and Mayor Wick closed the public hearing at 6:41 p.m. NEW BUSINESS: 2. Consent Agenda: Consists of items considered routine which are approved as a group. Any member of Council may ask that an item be removed from the Consent Agenda to be considered separately. Proposed Motion: I move to approve the Consent Agenda. a. Approval of Claim Vouchers on October 12, 2021, Request for Council Action Form: $411,461.32 b. Approval of Payroll for Pay Period Ending September 30, 2021: $566,697.10 c. Approval of Council Meeting Minutes of September 28, 2021, Formal Format It was moved by Deputy Mayor Peetz, seconded and unanimously agreed to approve the Consent Agenda. Council Meeting Minutes, Formal: 10-12-2021 Page 2 of 5 Approved by Council: Draft 3. Motion Consideration: City Manager Recruitment — John Whitehead Prior to a motion, there was Council/staff discussion about the process to recruit a new city manager, including an objection from Councilmember Woodard about discussing this now since our current City Manager will be on the job until December 31, and that we have a Deputy City Manager who can run things until a decision is made, said he feels it would be better to put this issue on an agenda for a meeting in late December, and that he is opposed to the process. The timeline was discussed including mention of trying to work around the holidays at the end of the year; mention of the importance of the committee and to have Mr. Calhoun's inclusion; and to hire a city manager who understands Spokane Valley; there was also discussion about the salary and the job description, where it was determined to have job description edits from individual Councilmembers as well as from Mr. Calhoun, given to Mr. Whitehead by next Wednesday. It was moved by Deputy Mayor Peetz and seconded to (1) utilize an external firm to lead the recruitment process to fill the City Manager position, and (2) appoint a small committee comprised of Mayor Wick, Deputy Mayor Peetz, Councilmember Haley, and city staff Mark Calhoun, Chelsie Taylor, someone from the City Legal office and Mr. Whitehead, to analyze options from qualifying recruitment firms and to make day-to-day procedural decisions relating to the recruitment for expediency purposes; and (3) authorize the committee to choose the firm it believes is most qualified to fulfill the needs of the city in this recruitment; and (4) directly authorize John Whitehead, Human Resources Manager, to finalize and execute a services agreement with the recruitment firm chosen by the committee, and (5) instruct staff to use the advertised salary range of $14,558.51 to $17, 793.73. Mayor Wick invited public comment; no comments were offered. Vote by acclamation: in favor: Mayor Wick, Deputy Mayor Peetz, and Councilmembers Thompson, Haley, and Hattenburg. Opposed: Councilmembers Woodard and Higgins. Motion passed. [It was noted Councilmember Higgins did not vote; which according to the Governance Manual, an abstention is a nay vote.] 4. Second Reading Ordinance 21-014 Adopting 2021 Comprehensive Plan Amendments — Chaz Bates After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Peetz and seconded to adopt ordinance 21-014, comprehensive plan amendments as proposed. After Mr. Bates gave a brief presentation, it was noted there would be no public comments as a public hearing had been held previously. Vote by acclamation: in favor: unanimous. Opposed: none. Motion carried. 5. Second Reading Ordinance 21-015 Adopting 2021 Comprehensive Plan Zoning Map Amendments- Chaz Bates After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Peetz and seconded to adopt ordinance 21-015, official zoning amendments as proposed. Vote by acclamation: in favor: unanimous. Opposed: none. Motion carried. 6. First Reading Ordinance 21-016 Property Tax - Chelsie Taylor After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Peetz and seconded to advance ordinance 21-016, levying regular property taxes for 2022, to a second reading. Finance Director Taylor gave a brief overview of the ordinance required by law, and that as we have done in several years past, this does not include the increase allowed by state law. There were no public comments. Vote by acclamation: in favor: unanimous. Opposed: none. Motion carried. 7. Mayoral Appointment: Deputy Mayor to Spokane Regional Law & Justice Council — Mayor Wick It was moved by Councilmember Hattenburg and seconded to confirm the Mayor's recommended appointment of Deputy Mayor Peetz to the Spokane Regional Law and Justice Council for a two-year term beginning October 13, 2021 through October 12, 2023. Mayor Wick gave a brief explanation of this committee and its reorganization, and that this position will represent all cities, and Mr. Driskell noted that we will trade off with the City of Spokane every two years. Mayor Wick invited public comment. Mr. John Harding, Spokane Valley: said he would like more information about the purpose of this committee, to maybe get a mission statement or where this concept started. It was noted staff will follow-up with Mr. Council Meeting Minutes, Formal: 10-12-2021 Page 3 of 5 Approved by Council: Draft Harding. There were no other public comments. Vote by acclamation: in favor: unanimous. Opposed: none. Motion carried. Councilmember Hattenburg asked to be and was excused, and he left the meeting at 7:19 p.m. GENERAL PUBLIC COMMENT OPPORTUNITY 121: Mayor Wick invited public comment. Mr. John Harding, Spokane Valley: expressed his concern about the dramatic input the Covid-19 mandate will have on all public safety services; said the hospitals will be in dire straits and we will lose police and firefighters; and expressed that there needs to be some truth telling about this issue and its impact. At 7:23 p.m., Mayor Wick called for a five-minute recess; the meeting was reconvened at 7:30 p.m. ADMINISTRATIVE REPORTS: 8. Draft 2022 State Legislative Agenda — Cary Driskell, John Hohman City Attorney Driskell briefly went through the draft, proposed items included on the City's 2022 State Legislative Agenda, and mentioned that this item will come before Council for a motion at the November 9 meeting. There were no suggested changes. 9. Spokane Valley Arts Council, Sculpture Discussion — John Bottelli Parks, Recreation and Facilities Director Bottelli said that he previously met with members of the Arts Council to discuss this process; said they have a project in mind and have therefore been invited to discuss this with Council to give Council an opportunity to ask questions. Mr. Bottelli then introduced Spokane Valley Arts Council President Mr. Marc McIntosh, and his daughter Ms. Liz McIntosh, also on the board. Mr. McIntosh and his daughter spoke about the sculpture of the Owl Woman, and showed a miniature of that piece; mentioned costs associated with this piece, and of a funding commitment of $7,000 from another entity toward this sculpture; said the final piece will be about seven feet tall; and explained that the Owl Woman is a guide to those just before or after they pass, to bring them to their resting place; said it is a very spiritual piece; said there were three different pieces for the Arts Council to choose from, and this won; that although this piece could be seen as a 'dark piece' it was noted that people don't have to know the story or history to appreciate the beauty of the piece. Councilmember Woodard said that he likes the piece and feels there are several places where it would go well, including CenterPlace or even the veterans memorial. Ms. McIntosh mentioned they expect the sculpture to be completed in 2022. It was also noted that this piece is included in the Arts Council proposed grant through the City's Outside Agency process. Mr. Calhoun noted that historically, the placement has been at the expense of Spokane Valley. 10. Code Enforcement Program Follow-up Topic 2: Camping on Private Property - Jenny Nickerson After Building Official Nickerson went through her PowerPoint presentation, there was lengthy discussion with Council and staff concerning how to enforce regulations once made; what if any restrictions does Council want concerning camping on private property; that proving that someone is living in an RV could be challenged as some might say they are using it as office space; before going to enforcement, regulations have to be in place and the question was asked of Council, what is Council comfortable with, or what is and is not acceptable. The idea of having a permit for an RV was also brought up but Councilmember Woodard said he feels a permit is not needed for storing an RV; however perhaps we should limit owners to one RV that one could live in; that others could be screened behind a fence or in a garage; or maybe take amount of acreage into consideration. Councilmember Woodard also mentioned that a lot of enforcement would have to be done after hours as most issues don't occur between normal work hours; and the idea of having times to correspond with the noise ordinance was also mentioned. Ms. Nickerson said it is clear staff needs to clearly what is or is not allowed. Councilmember Higgins suggested staff bring back a draft in order to have something to work from. Mr. Driskell agreed that we get a lot of complaints and what we currently have, doesn't work as regulations must be enforceable; adding that duration is also something to consider. Mr. Driskell said staff will work on a draft code and include options for Council to consider; Council concurred. Council Meeting Minutes, Formal: 10-12-2021 Page 4 of 5 Approved by Council: Draft 11. 2021 Budget Amendment — Chelsie Taylor Finance Director Taylor went over the items which will be included in the 2021 budget amendment, all as noted on her Request for Council Action form. 12. Advance Agenda — Mayor Wick There were no suggested changes to the Advance Agenda. CITY MANAGER COMMENTS Mr. Calhoun had no additional comments. It was moved by Councilmember Woodard, seconded and unanimously agreed to adjourn. The meeting adjourned at 8:40 p.m. ATTEST: Ben Wick, Mayor Christine Bainbridge, City Clerk Council Meeting Minutes, Formal: 10-12-2021 Page 5 of 5 Approved by Council: CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Department Director Approval: Check all that apply: ❑ consent ❑ old business ® new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Second reading of Ordinance #21-016 levying 2022 regular property taxes and authorizing Spokane County to collect the tax on behalf of Spokane Valley. GOVERNING LEGISLATION: State law. PREVIOUS COUNCIL ACTION TAKEN: Through the 2022 Budget development process there have been several discussions regarding the 2022 property tax levy, including: • An administrative report on August 24tn • A public hearing that was held on September 14tn • An administrative report on September 21st • The first reading of Ordinance #21-016 on October 12tn BACKGROUND: 2022 Levy and Estimated Rate per $1,000 of Assessed Value • State law requires that the City pass an ordinance that establishes a property tax levy, and per our 2022 Budget calendar we are scheduled to adopt this legislation on October 26, 2021. • State law limits the increase in the property tax levy to the lesser of the increase in the Implicit Price Deflator (IPD), which is the specific measure of inflation used by the State for property tax increases, or 1%. The IPD rate for the 2022 tax year was issued on September 25, 2021, and it is 3.86%, meaning that the City's allowed increase is limited to 1% for 2022. • Our proposed 2022 property tax levy does not include the increase allowed by State law. • The levy will include property taxes on new construction. • With the passage of this ordinance, we estimate the City will collect between $13,161,654 (based upon the most recent Spokane County estimate) and $13,199,920 (based upon the City estimate). These estimates are computed as follows: City Estimate Spokane County Update as of 9/17/2021 Difference 2021 Actual Levy 12,724,920 12,724,920 0 + 0% Increase 0 0 0 2022 Levy after increase 12,724,920 12,724,920 0 + Estimated new construction 475,000 436,734 38,266 Total estimated 2022 Levy 13,199,920 13,161,654 38,266 • The $38,266 difference between the two revenue figures is a result of the differences in the estimated new construction. • Because Spokane County figures are still preliminary and don't include administrative refunds and other adjustments, I recommend we stay with the City of Spokane Valley estimate. • This levy is based upon a September 17th update to the preliminary estimate of assessed property values provided to the City by the Spokane County Assessor of $12,971,758,193. 1 • Total property tax revenue of $13,199,920 on preliminary assessed values of $12,971,758,193 will produce a levy of approximately $1.017589 per $1,000 of assessed value in 2022 ($13,199,920 / ($12,971,758,193/1,000) = $1.017589). • The 2022 estimated levy rate of $1.017589 per $1,000 is $0.083843 less than the 2021 levy rate of $1.101432. • It is important to note that this estimate is based upon the Assessor's latest preliminary projections of assessed value as of September 17, 2021. A change in any of the elements including assessed value, new construction estimate and/or a change in the amount of our proposed levy will change the levy rate per $1,000. Banked Capacity Banked capacity is the difference between what the City could levy (the Highest Lawful Levy) and what it actually does. In any case, the City of Spokane Valley's maximum levy rate is $1.60 per $1,000 of assessed value. Any amount levied that is less than Highest Lawful Levy represents "banked capacity." Included in the analysis below is history of Spokane Valley levies including seven years of actual figures (2015 through 2021) and a preliminary estimate for 2022: Levy Year A B C D E F G H Taxable Value Highest Lawful Levy Actual Levy Refund Total Levy (= C + D) Levy Rate per $1,000 (= E/(A/1000)) Maximum Levy Rate per $1,000 Banked Levy Rate per $1,000 (=I/(A/1 000)) Banked Capacity (=B-C) $13,723,483 $0 $13,199,920 $12,724,920 $12,399,226 $12,182,436 $11,804,402 $11,646,122 $11,489,518 $11,279,152 $1.017589 $1.101432 $1.215568 $1.302741 $1.367181 $1.433459 $1.482848 $1.525452 $1.60 $1.60 $1.60 $1.60 $1.60 $1.60 $1.60 $1.60 $0.582411 $0.498568 $0.384432 $0.297259 $0.075321 $0.072937 $0.063368 $0.068957 Note: Figures reflected for the 2021 levy are preliminary and subject to change. The taxable value is the prelminary estimate provided by the Spokane County Assessor as of September 17, 2021. We have estimated the highest lawful levy and banked capacity based on prior year. $523, 563 $878,432 $763,691 $766, 488 $650,326 $592,574 $490,992 $509,868 • Generally speaking, there is a direct relationship between the Taxable Value listed in column A, and the Banked Capacity in columns H and I. In other words, as the Taxable Value increases the Banked Capacity also increases. This did not hold true for 2016 due to the Implicit Price Deflator (IPD) being less than 1 %, which held the Highest Lawful Levy to a lower dollar value. • Alternatively, there is an inverse relationship between the directions of the Taxable Value in column A and the Levy Rate per $1,000 in column F. In other words, as the Taxable Value increases (as is the case in 2022) the Levy Rate per $1,000 decreases. Essentially what occurs in this case is that even though the Levy Rate per $1,000 may decrease, the actual amount paid by a property owner may not change significantly because the value of the property has increased. By the same token, as the economy declines and Taxable Values decrease, the Levy Rate per $1,000 will likely increase. • In the years the City does not levy the increase in property tax revenue that is allowed by State law (the lesser of the increase in the IPD or 1%), that potential increase is "banked" for potential future use. • The banked capacity can be accessed by the City through the annual property tax levy ordinance adopted by the Council. However, the City may only take the banked capacity up to a level where the levy rate per $1,000 of assessed value does not exceed $1.60. • Accessing the banked capacity does not mean we can go back in time and collect the property taxes we've left behind. It simply means we can reset the base upon which the calculation is made. OPTIONS: Passage of this ordinance is required by law in order to levy 2022 property taxes. The Council could modify the ordinance to establish a different levy amount. 2021 assessment for 2022 $12,971,758,193 2020 assessment for 2021 $11,553,065,482 $13,587,607 2019 assessment for 2020 $10,200,357,539 $13,146,196 2018 assessment for 2019 $9,351,389,045 $12,817,947 2017 assessment for 2018 $8,634,114,798 $12,446,426 2016 assessment for 2017 $8,124,487,663 $12,172,839 2015 assessment for 2016 $7,748,275,097 $11,968,036 2014 assessment for 2015 $7,393,971,582 $11,740,674 $13,199,920 $12,709,175 $15,745 $12,382,505 $16,721 $12,051,459 $130,977 $11,796,100 $8,302 $11,580,265 $65,857 $11,477,044 $12,474 $11,230,806 $48,346 2 RECOMMENDED ACTION OR MOTION: Move to approve Ordinance #21-016 levying regular property taxes for 2022. BUDGET/FINANCIAL IMPACTS: This ordinance levies property taxes for the City's 2022 Budget where we anticipate property tax revenues to be approximately $13,199,900 or 25.17% of total General Fund recurring revenues of $54,432,700. STAFF CONTACT: Chelsie Taylor, Finance Director ATTACHMENTS: Ordinance No. 21-016 Levying 2022 Regular Property Taxes 3 DRAFT CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON ORDINANCE NO. 21-016 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, LEVYING THE REGULAR PROPERTY TAXES FOR THE CITY OF SPOKANE VALLEY, WASHINGTON FOR THE YEAR COMMENCING JANUARY 1, 2022, TO PROVIDE REVENUE FOR CITY SERVICES AS SET FORTH IN THE CITY BUDGET, AND OTHER MATTERS RELATING THERETO. WHEREAS, the City Council of the City of Spokane Valley has met and considered its budget for the calendar year 2022; and WHEREAS, the City's actual levy amount from the previous year was $12,724,920; and WHEREAS, the population of the City is more than 10,000. NOW, THEREFORE, the City Council of the City of Spokane Valley, do ordain as follows: Section 1. Property Tax Levy - An increase in the regular property tax levy is hereby authorized for the levy to be collected in the 2022 tax year. The dollar amount of the increase over the actual levy amount from the previous year shall be $0.00 which is a percentage increase of 0.0% from the previous year. This increase is exclusive of additional revenue resulting from new construction, improvements to property, newly constructed wind turbines, any increase in the value of state assessed property, any annexations that have occurred, and refunds made. Section 2. Transmittal of Budget. A complete copy of the budget as adopted, together with a copy of this Ordinance, shall be transmitted by the City Clerk to the Division of Municipal Corporations in the Office of the State Auditor, and to the Association of Washington Cities. Section 3. Severability. If any section, sentence, clause or phrase of this Ordinance shall be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause, or phase of this Ordinance. Section 4. Effective Date. This Ordinance shall be in full force and effect five 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 October, 2021. Ben Wick, Mayor ATTEST: Christine Bainbridge, City Clerk Approved As To Form: Date of Publication: Office of the City Attorney Effective Date: Ordinance 21-016 Levying 2022 Property Taxes Page 1 of 1 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Department Director Approval: Check all that apply: ❑ consent ❑ old business ® new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: First Reading of Proposed Ordinance #21-018 Adopting the 2022 Budget. GOVERNING LEGISLATION: State budget law. PREVIOUS COUNCIL ACTION TAKEN: To date the Council has heard presentations on the 2022 Budget on five previous occasions including two public hearings. Thus far no formal Council action has been taken. BACKGROUND: This marks the seventh occasion where the Council will discuss the 2022 Budget and by the time the Council is scheduled to adopt the 2022 Budget on November 9, 2021, Council will have had an opportunity to discuss it on eight separate occasions, including three public hearings to gather input from citizens: • June 15 Council Budget Workshop • August 24 • September 14 • October 5 • October 12 • October 26 • November 9 • November 9 Admin report: Estimated 2022 revenues and expenditures Public hearing #1 on 2022 revenues and expenditures City Manager's presentation of preliminary 2022 Budget Public hearing #2 on 2022 Budget First reading on ordinance adopting the 2022 Budget Public hearing #3 on 2022 Budget Second reading on ordinance adopting the 2022 Budget 2022 Budget Overview: • The 2022 Budget currently includes appropriations of $107,856,818 including $32,082,233 in capital expenditures, comprised in -part of: o $2,650,000 in Fund #001 General Fund. o $9,971,150 in Fund #303 Street Capital Projects. o $4,728,520 in Fund #309 Park Capital Projects. o $7,202,000 in Fund #311 Pavement Preservation including $1,001,800 financed by the General Fund. o $2,775,263 in Fund #314 Railroad Grade Separation Projects. o $750,000 in Fund #316 Economic Development Capital Projects. o $3,323,800 in Stormwater Management Fund #402 and Aquifer Protection Area Fund #403 projects. • To partially offset the $32,082,233 in capital costs we anticipate $11,813,312 in grant revenues which results in 36.82% of capital expenditures being covered with State and Federal money. • Budgets will be adopted across 27 separate funds. Three new funds, the Transportation Impact Fee Fund #315, the Economic Development Capital Projects Fund #316, and the Passthrough Fees & Taxes Fund #632, will be created with a future 2021 Budget Amendment. 1 • The full-time equivalent employee (FTE) count will increase in 2022 by five to 101.25 from 96.25. These increases include (1) a Project Manager position in the City Manager Department; (2) an Engineering Tech II split 0.2 to Engineering and 0.8 to capital projects; (3) a CAD Manager split 0.5 to Engineering and 0.5 to capital projects; (4) a Code Enforcement Supervisor in the Building Department, and (5) an Assistant Engineer in Development Engineering. • Although it does not affect the City's FTE count, there is also an additional officer position being added to the Law Enforcement contract to assist in homeless services. Pertaining Specifically to the General Fund: • The 2022 recurring revenue estimate of $52,432,700 is $4,207,681 or 8.73% greater than the 2021 proposed amended budget of $48,225,019. • The 2022 recurring expenditure proposal of $48,415,982 is $3,443,155 or 7.66% greater than the 2021 proposed amended appropriation of $44,972,827. • Budgeted recurring revenues currently exceed recurring expenditures by $4,016,718 or 7.66% of recurring revenues. • Nonrecurring revenues include a $1,400,000 transfer in from the Capital Reserve Fund #312 for the replacement of police vehicles. • Nonrecurring expenditures total $5,632,119 and include: o $136,000 for Information Technology expenditures including: ■ $15,000 to replace outdated copiers ■ $55,000 to replace the card access systems at CenterPlace and the Maintenance Shop ■ $50,000 to upgrade the City's backup solution ■ $16,000 for software upgrades o $5,000 for furniture for the new Project Manager position o $1,562,000 for various Public Safety items including: ■ $24,000 for two radar trailers ■ $55,000 for a vehicle for the new Homeless Services Officer ■ $25,000 to replace carpeting at the Precinct ■ $50,000 to repaint the exterior of the Precinct ■ $8,000 for tree and debris removal from the back lot at the Precinct ■ $1,400,000 for the replacement of police vehicles o $12,000 to repaint the portico at CenterPlace o $26,700 to replace carpeting at CenterPlace o $30,000 to repair the plumbing systems at the pools o $1,000,000 for Financial Software capital costs o $2,820,419 transfer out to the Street O&M Fund #101 to cover the deficit in recurring expenditures exceeding recurring revenues in that fund o $40,000 transfer out to the Equipment Rental & Replacement Fund #501 for an additional vehicle for the Code Enforcement Supervisor position • The total of 2022 recurring and nonrecurring expenditures exceeds total revenues by $215,401. • The projected ending fund balance for the General Fund at the end of 2022 is currently $30,927,611 or 63.88% of recurring expenditures. 2 Other Funds: 2022 Budget appropriations (expenditures) in the other funds total $53,808,717 as follows: Fund Number Fund Name 2022 Appropriation 101 Street Fund 103 Paths and Trails Fund 104 Hotel / Motel Tax - Tourism Facilities Fund 105 Hotel / Motel Tax Fund 106 Solid Waste Fund 107 PEG Fund 108 Affordable & Supportive Housing Sales Tax Fund 120 CenterPlace Operating Reserve Fund 121 Service Level Stabilization Reserve Fund 122 Winter Weather Reserve Fund 204 Debt Service Fund 301 REET 1 Capital Projects Fund 302 REET 2 Capital Projects Fund 303 Street Capital Projects Fund 309 Parks Capital Projects Fund 310 Civic Facilities Capital Projects Fund 311 Pavement Preservation Fund 312 Capital Reserve Fund 314 Railroad Grade Separation Projects Fund 315 Transportation Impact Fee Fund 316 Economic Development Capital Projects Fund 402 Stormwater Management Fund 403 Aquifer Protection Area Fund 501 Equipment Rental and Replacement Fund 502 Risk Management Fund 632 Passthrough Fees & Taxes Fund 6,039,619 0 0 601,000 1,832,000 73,000 0 0 0 500,000 1,064,800 1,357,780 2,109, 649 9,971,150 4,728,520 0 7,252,000 7,723,710 2,775,263 150,000 750,000 2,443,926 3,063,800 522,500 450,000 400,000 53, 808, 717 Primary sources of revenues in these other funds include: • Motor Vehicle Fuel Tax revenue that is collected by the State and remitted primarily to the Street Fund is anticipated to be $1,904,000. • Telephone Tax revenues remitted to the City that supports Street Fund operations and maintenance are anticipated to be $932,000. • Real Estate Excise Tax (REET) revenues that are in large part used to match grant financed street projects are anticipated to total $3,000,000. • Hotel / Motel Tax revenues that are dedicated to the promotion of visitors and tourism are anticipated to be $1,000,000 ($600,000 in the Hotel/Motel Tax Fund #105 and $400,000 in the Hotel/Motel Tax — Tourism Facilities Fund #104). • Stormwater Management Fees that are estimated at $1,910,000. • Aquifer Protection Area Fees are estimated at $460,000. • Grant Revenues offsetting capital project costs are estimated at $11,813,312 o Fund #303 — Street Capital Projects - $6,956,322 o Fund #309 — Parks Capital Projects - $126,100 o Fund #311 — Pavement Preservation - $1,029,000 o Fund #314 — RR Grade Separation Projects - $1,560,290 o Fund #403 — Aquifer Protection Area Fund - $1,881,600 3 The City's 2022 Budget is adopted at a fund level as follows: Estimated Estimated Beginning Ending Fund Fund Total Fund Annual Appropriation Funds No. Balance Revenues Sources Appropriations Balance General Fund 001 Street Fund 101 Paths & Trails Fund 103 Hotel/Motel Tax - Tourism Facilities Fund 104 Hotel/Motel Tax Fund 105 Solid Waste 106 PEG Fund 107 Affordable & Supportive Housing Sales Tax Fur 108 CenterPlace Operating Reserve Fund 120 Service Level Stabilization Fund 121 Winter Weather Reserve Fund 122 LTGO Bond Debt Service Fund 204 REET 1 Capital Projects Fund 301 REET 2 Capital Projects Fund 302 Street Capital Projects 303 Park Capital Projects Fund 309 Civic Facilities Capital Projects Fund 310 Pavement Preservation Fund 311 Capital Reserve Fund 312 Railroad Grade Separation Projects Fund 314 Transportation Impact Fees Fund 315 Economic Development Capital Projects Fund 316 31,213,533 53,832,700 85,046,233 54,048,101 30,998,132 759,299 5,874,119 6,633,418 6,039,619 593,799 30,416 8,100 38,516 0 38,516 4,546,073 402,500 4,948,573 0 4,948,573 165,016 601,000 766,016 601,000 165,016 689,012 1,832,000 2,521,012 1,832,000 689,012 172,773 79,000 251,773 73,000 178,773 345,033 193,000 538,033 0 538,033 300,000 0 300,000 0 300,000 5,500,000 0 5,500,000 0 5,500,000 526,383 800 527,183 500,000 27,183 0 1,064,800 1,064,800 1,064,800 0 2,826,395 1,502,000 4,328,395 1,357,780 2,970,615 4,312,765 1,505,000 5,817,765 2,109,649 3,708,116 67,402 9,971,150 10,038,552 9,971,150 67,402 756 4,808,520 4,809,276 4,728,520 80,756 840,164 1,300 841,464 0 841,464 6,135,444 5,460,600 11,596,044 7,252,000 4,344,044 13,161,590 10,000 13,171,590 7,723,710 5,447,880 293,526 2,695,172 2,988,698 2,775,263 213,435 70,000 200,000 270,000 150,000 120,000 0 750,000 750,000 750,000 0 71,955,580 90,791,761 162,747,341 100,976,592 61,770,749 Estimated Estimated Beginning Ending Fund Working Total Working Working Capital Funds No. Capital Revenues Sources Appropriations Capital Stormwater Management Fund 402 1,399,959 1,912,000 3,311,959 2,443,926 868,033 Aquifer Protection Area Fund 403 1,130,870 2,343,500 3,474,370 3,063,800 410,570 Equipment Rental & Replacement Fund 501 1,403,362 230,000 1,633,362 522,500 1,110,862 Risk Management Fund 502 340,484 450,000 790,484 450,000 340,484 Passthrough Fees & Taxes 632 0 400,000 400,000 400,000 0 Total of all Funds 4,274,675 76,230,255 5,335,500 96,127,261 9,610,175 172,357,516 6,880,226 107,856,818 2,729,949 64,500,698 OPTIONS: State law requires the City to adopt a budget prior to December 31. Council may adopt the budget as presented or alter it as they deem necessary. RECOMMENDED ACTION OR MOTION: Move to advance Ordinance #21-018 adopting the 2022 Budget to a second reading. BUDGET/FINANCIAL IMPACTS: Adoption of Ordinance #21-018 concludes the 2022 Budget development process and establishes the final budget including estimated revenues and appropriations. STAFF CONTACT: Chelsie Taylor, Finance Director ATTACHM ENTS: • Draft Ordinance #21-018 • 2022 Budget Book 4 Draft CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON ORDINANCE NO. 21-018 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, ADOPTING A BUDGET FOR THE PERIOD JANUARY 1, 2022 THROUGH DECEMBER 31, 2022; APPROPRIATING FUNDS; ESTABLISHING SALARY SCHEDULES FOR ESTABLISHED POSITIONS; AND OTHER MATTERS RELATING THERETO. WHEREAS, State law requires the City Manager to prepare a preliminary budget for the City of Spokane Valley at least 60 days before the beginning of the City fiscal year beginning January 1, 2022 and ending December 31, 2022; and WHEREAS, the City Manager, in consultation with the Finance Director and department heads, has prepared and placed on file with the City Clerk a preliminary budget, together with an estimate of the amount of money necessary to meet the expenses of the City including payment of outstanding obligations; and WHEREAS, notice was posted and published for public hearings held on September 14, October 12, and November 9, 2021. The City Council met and invited public comment in the City Council Chambers during each public hearing; and WHEREAS, proper notice was given and the preliminary budget was filed with the City Clerk October 5, 2021; and WHEREAS, the City Council desires to adopt the 2022 budget, including all allowances, and an appropriation for each fund; and WHEREAS, the City of Spokane Valley property tax levy in 2021 for collection in 2022, will be $13,199,900, which represents a 0% increase in the 2022 levy. This levy is exclusive of additional revenue resulting from new construction, improvements to property, any increase in the value of State assessed property, any annexations that have occurred, and refunds made. NOW, THEREFORE, the City Council of the City of Spokane Valley do ordain as follows: Section 1. Adoption of 2022 Budget. The budget for the City of Spokane Valley for the year 2022 is adopted at the fund level. The final budget for 2022 is attached hereto, and by this reference is incorporated herein pursuant to RCW 35A.33.075. For summary purposes, the total estimated appropriations for each separate fund, plus the aggregate total for all such funds, is set forth as follows: Ordinance 21-018 Adopting 2022 Budget Page 1 of 3 Draft Estimated Estimated Beginning Ending Fund Fund Total Fund Annual Appropriation Funds No. Balance Revenues Sources Appropriations Balance General Fund 001 Street Fund 101 Paths & Trails Fund 103 Hotel/Motel Tax - Tourism Facilities Fund 104 Hotel/Motel Tax Fund 105 Solid Waste 106 PEG Fund 107 Affordable & Supportive Housing Sales Tax Fur 108 CenterPlace Operating Reserve Fund 120 Service Level Stabilization Fund 121 Winter Weather Reserve Fund 122 LTGO Bond Debt Service Fund 204 REET 1 Capital Projects Fund 301 REET 2 Capital Projects Fund 302 Street Capital Projects 303 Park Capital Projects Fund 309 Civic Facilities Capital Projects Fund 310 Pavement Preservation Fund 311 Capital Reserve Fund 312 Railroad Grade Separation Projects Fund 314 Transportation Impact Fees Fund 315 Economic Development Capital Projects Fund 316 31,213,533 53,832,700 85,046,233 54,048,101 30,998,132 759,299 5,874,119 6,633,418 6,039,619 593,799 30,416 8,100 38,516 0 38,516 4,546,073 402,500 4,948,573 0 4,948,573 165,016 601,000 766,016 601,000 165,016 689,012 1,832,000 2,521,012 1,832,000 689,012 172,773 79,000 251,773 73,000 178,773 345,033 193,000 538,033 0 538,033 300,000 0 300,000 0 300,000 5,500,000 0 5,500,000 0 5,500,000 526,383 800 527,183 500,000 27,183 0 1,064,800 1,064,800 1,064,800 0 2,826,395 1,502,000 4,328,395 1,357,780 2,970,615 4,312,765 1,505,000 5,817,765 2,109,649 3,708,116 67,402 9,971,150 10,038,552 9,971,150 67,402 756 4,808,520 4,809,276 4,728,520 80,756 840,164 1,300 841,464 0 841,464 6,135,444 5,460,600 11,596,044 7,252,000 4,344,044 13,161,590 10,000 13,171,590 7,723,710 5,447,880 293,526 2,695,172 2,988,698 2,775,263 213,435 70,000 200,000 270,000 150,000 120,000 0 750,000 750,000 750,000 0 71,955,580 90,791,761 162,747,341 100,976,592 61,770,749 Estimated Estimated Beginning Ending Fund Working Total Working Working Capital Funds No. Capital Revenues Sources Appropriations Capital Stormwater Management Fund 402 1,399,959 1,912,000 3,311,959 2,443,926 868,033 Aquifer Protection Area Fund 403 1,130,870 2,343,500 3,474,370 3,063,800 410,570 Equipment Rental & Replacement Fund 501 1,403,362 230,000 1,633,362 522,500 1,110,862 Risk Management Fund 502 340,484 450,000 790,484 450,000 340,484 Passthrough Fees & Taxes 632 0 400,000 400,000 400,000 0 Total of all Funds 4,274,675 76,230,255 5,335,500 96,127,261 9,610,175 172,357,516 6,880,226 107,856,818 2,729,949 64,500,698 The total balance of all funds appropriated for 2022 is $107,856,818. Section 2. Transmittal of Budget. A complete copy of the budget as adopted, together with a copy of this Ordinance, shall be transmitted by the City Clerk to the Division of Municipal Corporations in the Office of the State Auditor and to the Association of Washington Cities. Section 3. Severability. If any section, sentence, clause or phrase of this Ordinance shall be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause or phrase of this Ordinance. Section 4. Effective Date. This Ordinance shall be in full force and effect five days after the date of publication of this Ordinance or a summary thereof in the official newspaper of the City. Ordinance 21-018 Adopting 2022 Budget Page 2 of 3 Draft PASSED by the City Council this day of November, 2021. ATTEST: Ben Wick, Mayor Christine Bainbridge, City Clerk Approved As To Form: Office of the City Attorney Date of Publication: Effective Date: Ordinance 21-018 Adopting 2022 Budget Page 3 of 3 1 1 1 1 Spokane .000Valley City of Spokane Valley, WA 2022 Preliminary Budget As of October 26, 2021 4ui,�yl� This page left intentionally blank. Spokane Val ley City Manager's Budget Message 2022 Annual Budget Dear Citizens, Mayor and City Council of Spokane Valley: What a difference a year makes. When I penned this message in the fall of 2019, I noted that we existed in the longest economic expansion in United States history, and at that point observed that with each passing day we were closer to the next economic downturn. When I wrote this message in the fall of 2020, I noted that we existed in a global recession brought on by the COVID- 19 pandemic and that we were uncertain of the depth and breadth of the impact of this event on City revenues and the programs they support. The ensuing year has been fraught with uncertainty and now in the fall of 2021 it's clear the recession has ended, and the U.S. and local economy are growing at a brisk pace. With that said however, anecdotally we understand that the economic recovery has been disproportionate and has favored larger businesses but left many smaller businesses behind. This uneven economic recovery is an issue Council and Staff must constantly be cognizant of as we consider economic policy decisions in the future. Because the City has a long history of making prudent financial decisions dating back to our 2003 incorporation, because we have engaged in consistently responsible budgeting including realistic revenue projections and controlled spending, because we have restrained the growth of City programs and related spending, and because we have adhered to the key Fiscal Policies noted in following pages, we believe we are delivering a 2022 Budget that will comfortably allow the City to continue to deliver status quo levels of service throughout all of next year while at the same time financing another aggressive capital improvement program. Budget Development Goals We recognize that to ensure continued financial stability, it is imperative that we achieve two key goals within our General Fund: 1. Recurring annual revenues must be greater than or equal to recurring annual expenditures, and 2. The ending General Fund fund balance must be sufficient enough to meet cash flow needs which is no less than 50% of recurring expenditures and represents roughly six months of General Fund operations. Even in light of the financial uncertainty we've faced over the past 2 years I am pleased to report that each of these goals have again been achieved in the 2022 General Fund Budget. Beyond recurring operating activity, and due to our exceptionally strong financial position, we have been afforded the opportunity to use the portion of the General Fund fund balance that exceeds 50% of recurring expenditures for capital construction projects that are important to the City Council and Community. Following this policy of transferring the fund balance in excess of 1 50%, since 2013, City Councils have made the decision to transfer $38.9 million of excess General Fund reserves to partially finance a variety of projects including: • each phase of the Appleway Trail, • Sullivan Road West Bridge Replacement, • Appleway Avenue Landscaping, • construction of a new City Hall, • the Barker/BNSF Grade Separation Project, • completed a new section of Garland Avenue stretching from Flora Road to Barker Road, • acquired 17.7 acres of land in the Ponderosa area for future park development, • acquired 45 acres of land located east of Flora Road and north of the Spokane River for future park development, and • acquired an additional 3.16 acres adjacent to the police precinct for potential future expansion. The City has also set aside a portion of this money for future projects including: • the Pines/BNSF Grade Separation Project, • Barker Corridor Projects, • development of Balfour Park, and • a new exhibit hall at the Spokane County Fairgrounds. 2 Fiscal Policies Fiscal Health is at the Core of Providing a Good Public Service The Fiscal Policies adopted by the City Council are important for the long-range fiscal strength of Spokane Valley. These policies set a framework that the City will follow to responsibly manage resources and if necessary, the circumstances under which we will utilize reserves to sustain operations during economic downturns. Financial Management The City will strive to: 1. Maintain basic service levels with minimal resources to achieve success. 2. Minimize personnel costs and overhead by continuing to contract for services when it makes financial and operational sense to do so. 3. Continue the six -year Business Plan process. 4. Leverage City funds with grant opportunities. 5. Minimize City debt with a pay as you go philosophy. o The State of Washington sets the maximum level of allowable debt for cities based on assessed value of property. The City of Spokane Valley carries an exceptionally low debt burden and currently utilizes only 1.08% of its total debt capacity, and more importantly, only 5.39% of non -voted bond capacity. 6. Strive to prioritize spending in the annual budget process and minimize the mid -year addition of projects and appropriations. Financial Objectives The City's financial objectives are: 1. Adopt a General Fund Budget with recurring revenues equal to, or greater than recurring expenditures. 2. Maintain a minimum General Fund Ending Fund Balance of at least 50% of the recurring expenditure budget. This is adequate to meet cash flow needs and is the equivalent of six months of general fund operations. 3. If necessary, utilize a portion of the Service Level Stabilization Reserve Fund #121 ($5.5 million) to maintain ending fund balance minimum. 4. Commitment to the strategy that the Service Level Stabilization Reserve Fund #121 will not be reduced below $3.3 million (60% of $5.5 million) without City Council approval. If Council should deem this necessary, the City will then first replenish Fund #121 to at least $3.3 million before any annual General Fund transfers are made to Capital Reserve Fund #312. 5. Maintain the 2022 property tax assessment the same as 2021 with the exception of new construction. As in the previous 12-years, the City will forego the 1% annual increase to property tax allowable by RCW 84.52.050. We anticipate this will result in a levy of $12,724,900 plus estimated new construction of $475,000 for a total levy of $13,199,900. The allowable potential increase will be banked for future use as provided by law. 6. Grow our economy so the existing tax base can support basic programs. Commitment — By committing to these policies and the checks and balances they afford, the City will ensure financial sustainability well into the future. 3 2022 Budget Highlights City Priorities The City's chief budget priorities are: • Public Safety • Pavement Preservation • Transportation and Infrastructure (including railroad grade separations and park related projects), and • Economic Development Ensuring that we've committed adequate resources to these activities accounts for much of the effort that Council and Staff collectively dedicate to the annual development of our Business Plan and Operating and Capital budgets. Moderate Growth in Recurring General Fund Expenditures Investing in the essential core services identified by the Council and Community is the foundation of the programs and related expenditures we include in this budget. Similar to the trend experienced in most jurisdictions, we find that the cost of providing these services often increases at a faster rate than the moderate growth we see in the underlying tax revenues that support these core services. With that said however, City staff and Council collectively strive to meet the challenge of continuing to provide historic levels of service and we will again meet this challenge in 2022. The revenue and expenditure figures included in the 2022 Budget are each considerably higher than in previous years and this is a reflection of the impact of dropping into and climbing out of a recession between 2020 and 2022. Increases at the point of budget adoption over the past 9-years have been: 2022 compared to 2021 2021 compared to 2020 2020 compared to 2019 2019 compared to 2018 2018 compared to 2017 2017 compared to 2016 2016 compared to 2015 2015 compared to 2014 2014 compared to 2013 Recurring Revenues Expenditures 8.73% 2.20% 6.12% 5.56% 3.73% 4.38% 3.08% 2.72% 4.39% 7.66% 5.14% 3.00% 1.90% 1.81% 0.87% 2.79% 3.90% 4.28% Public Safety Costs Over the years Council has consistently committed to the maintenance and at times enhancement of public safety service levels and this is again reflected in the 2022 Budget where public safety costs including law enforcement, courts, prosecution, public defense and jail related services represent the City's primary operating expenditure and total $29,804,434 which is a 6.83% increase over the 2021 Budget. Noteworthy about the public safety budget are the following observations: • It represents 61.6% of the 2022 General Fund recurring expenditure budget ($29,804,434 / $48,415,982). • It is equivalent to 226% of anticipated 2022 property tax collections ($29,804,434 / $13,199,900). In other words, if property taxes were to double they alone would not be 4 sufficient to cover Spokane Valley's public safety commitment. • The 2022 Budget includes an additional Police Officer whose time would be dedicated to the purpose of responding to homelessness issues within our community. Staffing Levels The full-time equivalent employee (FTE) count will increase by 5.00 from 96.25 in 2021 to 101.25 in 2022. This includes: • a 1.0 FTE Project Manager position allocated 100% to the City Manager's office that will allow the City to address emerging issues more proactively. • a 1.0 FTE Code Enforcement Supervisor position allocated 100% to Code Enforcement that will help us to respond to complex code enforcement issues in a more timely manner. • a 1.0 FTE Assistant Engineer position allocated 100% to Development Engineering that will allow us to better respond to record setting private development which in turn improves the City's underlying economic foundation. • a 1.0 FTE CAD Manager position allocated 50% to Engineering and 50% to Capital Projects that is necessary in order to maintain our infrastructure addition and improvement programs. • a 1.0 FTE Engineering Tech 2 position allocated 20% to Engineering and 80% to Capital Projects that is necessary in order to maintain our infrastructure addition and improvement programs. The FTE count allocated among City funds is as follows: General Fund #001 Street O&M Fund #101 Street Capital Projects Fund #303 Stormwater Fund #402 2021 2022 Adopted Budget Staff Reallocation Additions Amended Budget Additions Total 76.28 7.47 7.60 3.90 (0.23) 0.00 0.00 0.23 1.00 0.00 0.00 0.00 77.05 7.47 7.60 4.13 3.70 0.00 1.30 0.00 80.75 7.47 8.90 4.13 95.25 0.00 1.00 96.25 5.00 101.25 The personnel costs for the 80.75 FTEs charged to the General Fund represent just 21.8% of recurring expenditures. Taking into consideration that we contract for police services and are served by Fire and Water districts as well as a Library District, for a city of our size we operate substantially below the normal employee count and consequently at a significantly reduced payroll cost relative to many cities across the country. Spokane Valley staff levels average about one employee for every 1,017 citizens (= population of 102,976 per the U.S Census Bureau / 101.25 FTEs) while comparably sized cities in the State of Washington have a much higher ratio of employees to citizens. Since incorporation, the City has taken a conservative approach to adding new staff and continues to have the lowest per capita employee count of any Washington city with a population of 50,000 or greater. By all comparisons, the City of Spokane Valley continues to be a lean, productive City government. Pavement Preservation Some may question paving roads that "don't look so bad" but the truth is the best time to repave is before a road deteriorates to the point that full reconstruction is necessary. Full reconstruction costs substantially more than pavement preservation treatments such as crack sealing or grinding 5 and repaving and this is why the City has committed critical financial resources to the preservation of our transportation infrastructure. We're proud of our fine road system and will endeavor to continue to maintain it in the best manner possible with available financial resources. Beginning in 2012, the City initiated a program of expending general fund, special revenue fund and capital project fund revenues and reserves for the purpose of financing our street preservation efforts. In 2022, our community will again see an aggressive program of caring for roadways including the potential of surface treatment programs that would be new to Spokane Valley. For 2022, we project total revenues in Pavement Preservation Fund #311 of $5,460,600 that combined with $1,791,400 of fund reserves will be applied against $7,252,000 in projected expenditures. Sources of revenue in 2022 are anticipated to include $1,600,000 from the Street Wear fee that was adopted by Council in 2018, $1,029,000 in grant proceeds and $2,831,600 in transfers from other City funds consisting of: • $1,001,800 from the General Fund • $ 914,900 from REET 1 Capital Projects Fund #301 • $ 914,900 from REET 2 Capital Projects Fund #302 While Pavement Preservation is one of our critical service and budget priorities, we find that sustaining adequate levels is a constant challenge and I address this in the portion of this budget message titled "Challenges". Transportation and Infrastructure The 2022 Budget includes $32,082,233 of capital expenditures that we anticipate will be in -part offset with $11,813,312 in grant revenues which results in 36.8% of capital projects being financed with State and Federal dollars. The capital expenditures we'll incur in 2022 partially include: • $2,620,000 from the General Fund: o $1.0 million for the replacement of financial management software. o $166,000 for Information Technology equipment acquisitions. o $5,000 for office equipment. o $24,000 for the acquisition of 2 radar trailers for Police. o $1.46 million for the replacement of Police vehicles. • $85,500 for equipment including a generator in Street Fund #101. • $33,500 for broadcast equipment from PEG Fund #107. • $9.97 million in Street Capital Projects Fund #303. • $4.73 million in Park Capital Projects Fund #309. • $7.20 million in Pavement Preservation Fund #311. • $2.78 million in Railroad Grade Separation Projects Fund #314. • $750,000 towards the design of a Fairground Exhibit Center in Fund #316. • $3.37 million in Stormwater Fund #402 and Aquifer Protection Area Fund #403. • $512,500 from Equipment Rental and Replacement Fund #501 that includes o $47,500 for the replacement of a shared vehicle. o $95,000 for the replacement of 2 vehicles in Engineering. o $40,000 for the addition of a vehicle for Code Enforcement. o $80,000 for the addition of a dumb bed truck for our Street operation o $250,000 for the replacement of an existing snowplow. 6 Challenges Beyond the annual challenge of balancing the General Fund budget, the City of Spokane Valley has several on -going financial challenges. 1. Declining revenues in Street O&M Fund #101 that will impact our future ability to deliver historic service levels This Fund depends upon a combination of gas and telephone tax receipts. • Gas Tax - Because this tax is a fixed amount per gallon, and because each generation of newer vehicles get better gas mileage, we have found that from year to year, this revenue source has hovered somewhere between flat or slightly declining. Added to this decline in revenues is the COVID-19 pandemic event which has led to a significant reduction in gas tax revenues because of a change in driving habits where many people chose to work from home and otherwise avoid public settings to which they would have had to drive. The reduction in gas tax revenues over the past 5-years is as follows: O 2018 - $2,196,915 O 2019 - $2,150,823 O 2020 - $1,869,711 O 2021 - $1,930,600 (budgeted) O 2022 - $2,026,200 (budgeted) • Telephone Utility Tax — This 6% tax generated $3,050,000 in the first year of collections which occurred in 2009. In the ensuing 10-years running from 2010 to 2019, as people made the shift from utilizing both land lines and cell phones to just cell phones, this revenue source declined by nearly 50% to just $1,563,981. This decay in revenues was further exacerbated in 2020 and continued into 2021 with the advent and fallout of the COVID-19 pandemic event where people were looking to cut costs and consequently cut many of the remaining land lines at an increased rate. At this point we're projecting 2022 telephone utility tax revenues of just $932,000 which is greater than 70% less than 2009 collections. • Because of the stagnant gas tax revenues and ongoing decline in telephone utility tax revenues, 2022 will be the sixth consecutive year of budgeted recurring expenditures exceeding recurring revenues. O We have been able to continue to deliver historic levels of service over this period by doing the following: ■ 2017 — a $328,000 operating deficit was resolved by drawing down fund reserves. ■ 2018 — a $415,000 operating deficit was resolved by drawing down fund reserves. ■ 2019 — a $907,000 operating deficit was resolved through a transfer from Capital Reserve Fund #312. This is a noteworthy departure from the historic intended use of these monies which has been for one-time capital projects. ■ 2020 — a $1,365,000 operating deficit was resolved through a transfer from Capital Project Fund #312. ■ 2021 — an anticipated operating deficit of $2,552,600 will be resolved through a direct transfer from the General Fund #001. 2022 — an anticipated operating deficit of $2,820,419 will be resolved through a direct transfer from the General Fund #001. • In the next section which addresses Pavement Preservation there is a discussion on the efforts of a Council appointed Street Sustainability Committee that addresses City's Pavement Management Program including an evaluation of current revenues and potential future funding sources for maintaining city streets at a recommended level of service and fully funding Street O&M Fund #101 as well as Street Capital Projects Fund #303 and Pavement Preservation Fund #311. 2. Balancing the cost of pavement preservation against other transportation and infrastructure needs • Pavement preservation has historically been financed from a combination of sources including: o General Fund dollars, o Street O&M Fund dollars, o Civic Facility Replacement Fund #123 (Fund #123) reserves that were dedicated towards this purpose until their depletion in 2016. o Real estate excise tax (REET) revenues, o Grant revenues, and o Beginning in 2018, the addition of a street wear fee that was negotiated by the City as part of an updated solid waste collection contract that recognized the damage that heavily laden garbage trucks do to our road system. o Following is a table that reflects pavement preservation related revenues over the 12- year period 2011 through 2022: Fund 001 101 106 123 301/302 310 Street Civic Fac. Civic Fac. General Street O&M Wear Fee Replace. REET 1&2 Capital Grants Actual 2011 584,681 0 0 0 0 500,000 0 1,084,681 2012 2,045,203 0 0 0 0 0 0 2,045,203 2013 855,857 282,000 0 616,284 300,000 0 35,945 2,090,086 2014 888,823 282,000 0 616,284 368,944 0 2,042,665 4,198, 716 2015 920,000 206,618 0 616,284 502,098 0 835,224 3,080,224 2016 943,800 67,342 0 559,808 730,572 0 1,654,698 3,956,220 2017 953,200 67,342 0 0 1,320,958 0 89,208 2,430,708 2018 962,700 67,342 1,000,000 0 1,370,658 0 1,422,404 4,823,104 2019 972,300 0 1,608,028 0 1,468,600 0 2,398,330 6,447,258 2020 982,023 0 1,513,532 0 1,545,277 0 98,281 4,139,113 Total Budget 2021 991,843 0 1,537,776 0 1,654,557 0 0 4,184,176 2022 1,001,800 0 1,600,000 0 1,829,800 0 0 4,431,600 12,102,230 972,644 7,259,336 2,408,660 11,091,464 500,000 8,576,755 42,911,089 • The City used Civic Facility Replacement Fund #123 reserves over the 4-year period 2013 through 2016 in order to give the City time to determine how best to finance the pavement preservation plan in 2017 and beyond. • In the years leading up to 2020 we existed in a fairly robust economy and beginning in 2017, following the depletion of Fund #123 reserves, we began applying a portion of our strong Real Estate Excise Tax (REET) collections towards pavement preservation. During this time frame we recognized that when the economy inevitably waned in the future, so too would REET revenues, and a consequence of over reliance on that source of money could in the future limit the City's ability to provide the necessary match needed for State and Federal grants that are applied to other street construction and reconstruction projects. 8 • For a number of years Spokane Valley struggled to develop a pavement management plan that clearly delineated the pavement condition index (PCI) that should be maintained throughout our road system and define the amount of money we should dedicate annually to achieve that plan. • The results of one of our most recent studies was communicated to Council on April 2, 2019 and this answered several questions including how pavement management resources should be allocated between the local access, collector and arterial portions of our street network. This study also showed that the pavement condition index (PCI) of City streets is currently holding fairly steady at a rating of 76 (out of 100) which is considered to be in the "Good" category. • Council has historically committed to continuing to evaluate our pavement management program and has asked Staff to research a variety of pavement treatments beyond our historic use of crack sealing and grind and overlays. • In the Spring of 2021 Council appointed a Street Sustainability Committee (SSC) comprised of 23 community leaders representing a broad range of stakeholders including small and large businesses, freight, schools, social services, transportation and utilities. The SSC is using a variety of public outreach methods to gather feedback from the community including public meetings, surveys, and a combination of social, print and digital media. Staff is also providing the SSC with a wide range of information pertaining to pavement management and related financing options including information that the City currently provides annual funding of approximately $8 million while the estimated annual need fora fully funded program is a total of $16 million including Street O&M Fund #101, Street Capital Projects Fund #303 and Pavement Preservation Fund #311. The work of the SSC will continue through the autumn of 2021 and at the conclusion of this process the SSC will develop a recommendation for Council consideration that: 1. Evaluates citizens' interest and support for maintaining city streets and suggesting pavement condition goals. 2. Identifies preferences for maintaining city streets, types of treatments used, and long- term levels of service. 3. Investigates current revenues and potential future funding sources for maintaining city streets at the recommended level of service and fully funding Street O&M Fund #101, Street Capital Projects Fund #303 and Pavement Preservation Fund #311. • Based upon the work of the SSC, Council will work with Staff on developing next steps which could lead to adoption of a fully funded Pavement Management Plan. 3. Railroad Grade Separation Projects (overpasses and underpasses) Bridging the Valley is a proposal to separate vehicle traffic from train traffic in the 42 mile corridor between Spokane and Athol, ID. The separation of railroad and roadway grades in this corridor is intended to promote future economic growth, traffic movement, traffic safety, aquifer protection in the event of an oil spill, and train whistle noise abatement. The underlying study outlined the need for a grade separation at four locations in Spokane Valley. • Barker and Trent Road Overpass (fully funded at $24.7 million), • Pines and Trent Underpass (estimated cost of $29.0 million with $9.7 million of this secured thus far), • Sullivan Road Overpass improvements, (estimated cost of $26.6 million) • Park Road Overpass Because grade separation projects are exceptionally expensive endeavors and largely beyond our ability to finance solely through existing sources of internal revenue, the City has 9 pursued grant funding from both the Federal and State Governments over the past several years and will continue to do so into the future. Barker/Trent Grade Separation Project We reached the point of being fully funded for this project in early 2018. Design was completed in 2020 and we have acquired all necessary right-of-way with the exception of one parcel upon which we received notification of a Cert 3 acceptance. Construction funds were obligated in late 2020 and the project was also put out to bid. Construction on the project began in the spring of 2021 and is anticipated to conclude in the fall of 2022. Revenue sources are comprised of the following: Barker Grade Separation Project Financing Secured City of Spokane Valley General Fund reserves Real Estate Excise Tax (REET) Total from Spokane Valley Federal Earmark 2017 - WA Legislature appropriation 2018 - National Highway Freight Program 2018 - TIGER 9 FMSIB (20% of total) (assume $19.0 million) $ 1,421,000 2,209,000 $ 3,630,000 719,921 1,500,000 6,000,000 9,020,149 3,800,000 $ 24, 670, 070 Pines / Trent Grade Separation Project Progress to date includes: • We anticipate the project cost will be $29.0 million and thus far we have secured $9.7 million including $4.7 million set aside by the City. Additionally, there exists an inactive Freight Mobility Strategic Investment Board (FMSIB) grant in the amount of $3.36 million. It is currently unclear whether these funds will be made available to Spokane Valley in the future. Following is a detailed list of sources secured: 10 Pines Grade Separation Project (Estimated cost of $29 million) Financing Secured City of Spokane Valley 2016 General Fund Property acquisition $ 500,000 2017 General Fund dedication 1,200,000 2017 General Fund allocation of fund balance > 50% 721,000 2018 General Fund allocation of fund balance > 50% 764,000 2019 General Fund allocation of fund balance > 50% 1,500,000 Total from Spokane Valley 2018 - SRTC for ROW (FHWA) 2019 - CRISI 2 for Design 2020 - SRTC (FHWA) 4,685,000 1,890,000 1,246,500 1,905,000 $ 9,726,500 • In late 2016 the City acquired property valued at approximately $500,000 that was applied to the acquisition of property that will in -part satisfy the right-of-way needs for this project. • On July 11, 2017 Council approved a Phase 1 contract with an engineering firm valued at $124,000 with a scope of services that called for evaluating two potential sites, each of which included a roundabout and signalized intersection alternative. • Staff presented subsequent reports to Council that provided design progress updates on October 17, 2017, December 13, 2018 and June 4, 2019. • A total of five public outreach meetings were held between October 2017 and May 2019 to seek input on the design alternatives. • Input was sought from a variety of stakeholders including BNSF, the Spokane Valley Police Department, Spokane Valley Fire Department, East Valley School District, the Fourth District Legislative Delegation and freight industry representatives. • On June 18, 2019 Council approved a design alternative that moves the intersection to the east of the current location with a roundabout as intersection control. • In early June 2019 the City was awarded a Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant through the Federal Rail Administration (FRA) in the amount of $1,246,500. The related contract for the CRISI grant was completed in March 2020 and the proceeds are being applied towards the engineering design phase. • In May 2020 Council approved the contract to complete the engineering design phase of the project which we anticipate will be completed in the latter part of 2021. • In early 2020 the City was awarded an additional $1,905,000 towards right-of-way acquisition through the Spokane Regional Transportation Council (SRTC). • In July 2020 the City began acquiring right-of-way through the acquisition of three parcels. • Future property acquisitions will be necessary during the right-of-way phase of the project but this cannot be determined until the final phase of the design is well underway. We anticipate right-of-way activities will continue into 2022. • With the engineering design phase completed by the end of 2021 and right-of-way acquisition phase completed in 2022 we anticipate the project will be "shovel ready" by December 2022. 11 • For the construction phase of the project the City has applied for a variety of both state and federal grants including the TIGER, FASTLANE, CRISI, BUILD and INFRA programs as well as Congressionally Directed Spending Requests (previously known as earmarks). • We will continue to apply for grant programs as they become available. We are hopeful that having a 100% design will make us more competitive as we will then have a "shovel ready" project. 4. Continuing to Address the COVID-19 Pandemic The COVID-19 Pandemic Event has created untold hardship across the planet, the United States and right here in Spokane Valley. It has created budget and service challenges and to date we've done a good job of responding. Helping us in this effort was the $4.35 million CARES Act funds we received in 2020 and much needed additional assistance has come in the form of $16 million of ARPA funds. Our challenge here is to identify how we can utilize this money to obtain maximum lasting benefit for our community. Economic Development To the best of our ability we focus on business retention and expansion of existing businesses and recruitment of new businesses. Examples of economic development efforts include: Comprehensive Plan — In the latter part of 2016 the City updated its Comprehensive Plan and included an economic development element. Contained within this element is a summary of the local economy; an assessment of strengths and weaknesses; and policies, programs and projects to foster economic growth. The plan also included implementation strategies to improve retail, enhance tourism, and grow businesses in the City. Among other things, the plan also streamlined land uses by consolidating many zones and reducing many development requirements. Additionally the plan was also designed to provide flexibility in an effort to encourage market driven growth. Retail Recruitment — In 2017 the City expanded into the area of Retail Recruitment by contracting with a firm specializing in this type of service. The services we are seeking in this effort include a review of the retail recruitment strategy; conducting a market and retail gap analysis; development of a recruitment plan; identification of a strategic retail prospect list; and recruitment of retail on behalf of the City. We have again included money in the 2022 Budget to continue this effort. Planned Action Ordinance (PAO) — In the latter part of 2016 the City received a $114,200 grant from the Department of Commerce that with an additional investment of $55,000 from the City, resulted in a streamlined environmental permitting process in the northeast industrial area of our community. This study completed the environmental permitting requirements for the northeast industrial area which led to the development of a Planned Action Ordinance (PAO) adopted by Council March 12, 2019. The PAO saves industrial developers a minimum of 6 weeks permitting time while providing a predictable path to ensure that adequate infrastructure is in place to serve the expected developments and as a result of the PAO properties can now be marketed as truly "shovel ready". Since adoption of the PAO, 317 acres have been or will be developed in the northeast industrial area out of a total available 459 acres leaving just 142 acres available. Northeast Industrial Area — In addition to the adoption of the Planned Action Ordinance the City has engaged in a number of capital projects in our Northeast Industrial Area that resulted in the 12 expansion and improvement of our infrastructure and have the dual benefit of improving our road system and making the area more attractive for future economic development. These include: • In 2019 we rebuilt Barker Road from Euclid Avenue to the southern limits of the Barker Grade Separation project including the extension of sewer service by Spokane County. • In partnership with Centennial Properties, in 2020 we completed a project that began in 2019 that resulted in the construction of a new one -mile section of Garland Avenue that stretches from Flora to Barker. This new stretch of road made 150 additional acres of industrial property accessible to development. • The City began a construction project in 2020 that was nearly completed in 2021 that rebuilt Barker Road from Euclid Avenue running south to the Spokane River. Portions of the project that remain consist of a shared use path for pedestrian and bicycle traffic that will be constructed in 2022 and the portion of the road crossing the Union Pacific rail line. The Budget for 2022 Strong but Guarded Recognizing that fiscal health is at the core of providing good public services, one of the most important tests of fiscal management is the ability of a municipal enterprise to maintain basic services during an economic downturn. The creation and ongoing maintenance of financial reserves since incorporation has served the intended purpose of providing Spokane Valley the means to sustain critical public services during turbulent economic conditions including those experienced during the Great Recession that began in 2008 and the COVID-19 induced global recession we continue to experience. The 2022 Budget again reflects a prudent and guarded continuation of service delivery capabilities. As I write this message we continue to exist in turbulent times brought on by the COVID-19 Pandemic. While we remain uncertain of the depth and breadth of the impact this event will have on City revenues and the programs they support, we will in the future, as we have in the past, "continue to remain vigilant in our observance of local, state and national events and economic trends that may impact our own community and work towards capitalizing on our strengths, minimizing our weaknesses, and being ever watchful towards both threats and opportunities." Balanced Budget Means exactly what it says — recurring General Fund operating expenses and the programs they support have been balanced with known or reasonably predictable recurring revenues with no increase in property tax or in sales tax rates for the City. The budget is designed to maintain the healthy, positive fund balance at year-end which provide for the City's cash flow needs without costly borrowing. In pursuit of fiscal responsibility, special attention is given to limiting the growth in new programs and financial commitments. This approach allows available resources to be put toward sustaining services consistent with the City Council's priorities for 2022 and beyond. Acknowledgments I would like to acknowledge the Community, City Council and Staff for a long history of financially responsible spending and sensible fiscal planning. By saving and conserving the taxpayers' money and by adopting and adhering to prudent long-term fiscal policies, the City will in 2022 continue to provide levels of service on par with those we've provided in past years. 13 The City Council continues to set a path to ensure the long-term financial sustainability of the City. The management staff and employees have worked together to develop the Business Plan and 2022 Budget recommendations to achieve the Council's ongoing goal of sustainability. I hope the Citizens of Spokane Valley are proud of the programs and strong financial condition of their City. We invite your examination and questions regarding the 2022 Budget. Respectfully, Mark Calhoun City Manager 14 Spokane jUallcy FINANCE DEPARTMENT Chelsie Taylor, Finance Director 10210 E Sprague Avenue ♦ Spokane Valley WA 99206 Phone: (509) 720-5000 ♦ Fax: (509) 720-5075 ♦ www.spokanevalley.org TO: City Manager and Members of the City Council FROM: Chelsie Taylor, Finance Director SUBJECT: About the 2022 Budget and Budget Development Process The budget includes the financial planning and legal authority to obligate public funds. Additionally, the budget provides significant policy direction by the City Council to the staff and community. As a result, the City Council, staff and public are involved in establishing the budget for the City of Spokane Valley. The budget serves four functions: 1. It is a Policy Document The budget functions as a policy document in that the decisions made within the budget will reflect the general principles or plans that guide the actions taken for the future. As a policy document, the budget makes specific attempts to link desired goals and policy direction to the actual day-to- day activities of the City staff. 2. It is an Operational Guide The budget of the City reflects its operation. Activities of each City function and organization have been planned, debated, formalized, and described in the following sections. This process will help to maintain an understanding of the various operations of the City and how they relate to each other and to the attainment of the policy issues and goals of the City Council. 3. It is a Link with the General Public The budget provides a unique opportunity to allow and encourage public review of City operations. The budget describes the activities of the City, the reason or cause for those activities, future implications, and the direct relationship to the citizenry. 4. It is a Legally Required Financial Planning Tool The budget is a financial planning tool, which has been its most traditional use. In this light, preparing and adopting a budget is a State law requirement of all cities as stated in Title 35A of the Revised Code of Washington (RCW). The budget must be adopted as a balanced budget and must be in place prior to the beginning of the City's fiscal year. The budget is the legal authority to expend public monies and controls those expenditures by limiting the amount of the appropriation at the fund level. The revenues of the City are estimated, along with available cash carry -forward, to indicate funds available. The budget considers unforeseen contingencies and provides for the need for periodic adjustments. 2022 BUDGET DEVELOPMENT PROCESS Historically the City has utilized a budgeting approach that assumed for most functions of government that the current year's budget was indicative of the base required for the following year. However, with the volatility that was seen in the economy with the Great Recession and again with the COVID-19 pandemic, the City moved to a Budget development process that consciously reviews service levels in each department and determines the appropriate level of funding that meets Council goals relative to available resources. 15 In mid -April 2021 the Finance Department notified City Departments that their 2022 revenue and expenditure estimates were due by mid -May. Through the summer, the City Manager's office and Finance Department worked to prepare budget worksheets that were communicated to the City Council at a Budget workshop held June 15, 2021. Following the workshop, the Finance Department continued work on the budget including refinements of revenue and expenditure estimates and through September, the Finance Department and City Manager reviewed updated budget projections. By the time the 2022 Budget is scheduled to be adopted on November 9, 2021, the Council will have had an opportunity to discuss it on eight separate occasions, including three public hearings to gather input from citizens: June 15 August 17 August 24 October 5 October 12 October 26 November 9 November 9 Council budget workshop Admin report: Estimated 2022 revenues and expenditures Public hearing #1 on 2022 revenues and expenditures City Manager's presentation of preliminary 2022 Budget Public hearing #2 on 2022 Budget First reading on ordinance adopting the 2022 Budget Public hearing #3 on the 2022 Budget Second reading on ordinance adopting the 2022 Budget Once adopted, the final operating budget is published, distributed, and made available to the public. After the budget is adopted, the City enters a budget implementation and monitoring stage. Throughout the year, expenditures are monitored by the Finance Department and department directors to ensure that actual expenditures are in compliance with the approved budget. The Finance Department provides the City Manager and City Council with monthly reports to keep them abreast of the City's financial condition and individual department compliance with approved appropriation levels. Any budget amendments made during the year are adopted by City Council ordinance following a public hearing. The City Manager is authorized to transfer budgeted amounts within a fund; however, any revisions that alter the total expenditures of a fund, or that affect the number of authorized employee positions, salary ranges or other conditions of employment must be approved by the City Council. When the City Council determines that it is in the best interest of the City to increase or decrease the appropriation for a particular fund, it may do so by ordinance adopted by Council after holding one public hearing. BUDGET PRINCIPLES • Department directors have primary responsibility for formulating budget proposals in line with City Council and City Manager priority direction, and for implementing them once they are approved. • The Finance Department is responsible for coordinating the overall preparation and administration of the City's budget. This function is fulfilled in compliance with applicable State of Washington statutes governing local government budgeting practices. 16 • The Finance Department assists department staff in identifying budget problems, formulating solutions and alternatives, and implementing any necessary corrective actions. • Interfund charges will be based on recovery of costs associated with providing those services. • Budget amendments requiring City Council approval will occur through the ordinance process at the fund level prior to fiscal year end. • The City's budget presentation will be directed at displaying the City's services plan in a Council/constituent friendly format. • No long-term debt will be incurred without identification of a revenue source to repay the debt. Long term debt will be incurred for capital purposes only. • The City will strive to maintain equipment replacement funds in an amount necessary to replace the equipment at the end of its useful life. Life cycle assumptions and required contributions will be reviewed annually as part of the budget process. New operations in difficult economic times may make it difficult to fund this principle in some years. • The City will pursue an ending general fund balance at a level of no less than 50% of recurring expenditures. This figure is based upon an evaluation of both cash flow and operating needs. BASIS OF ACCOUNTING AND BUDGETING Accounting Accounting records for the City are maintained in accordance with methods prescribed by the State Auditor under the authority of the Revised Code of Washington (RCW), Chapter 43.09.20, and in compliance with generally accepted accounting principles as set forth by the Governmental Accounting Standards Board. Basis of Presentation - Fund Accounting The accounts of the City of Spokane Valley are organized on the basis of funds, each of which is considered a separate accounting entity. Each fund is accounted for with a separate set of double -entry accounts that comprise its assets, liabilities, fund equity, revenues and expenditures or expenses, as appropriate. The City's resources are allocated to and accounted for in individual funds depending on their intended purpose. The following are the fund types used by the City of Spokane Valley: Governmental Fund Types Governmental funds are used to account for activities typically associated with state and local government operations. All governmental fund types are accounted for on a spending or "financial flows" measurement focus, which means that typically only current assets and current liabilities are included on related balance sheets. The operating statements of governmental funds measure changes in financial position, rather than net income. They present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. 17 There are four governmental fund types used by the City of Spokane Valley: 1 General Fund This fund is the primary fund of the City of Spokane Valley. It accounts for all financial resources except those required or elected to be accounted for in another fund. 2. Special Revenue Funds These funds account for revenues that are legally restricted or designated to finance particular activities of the City of Spokane Valley. Special Revenue funds include: • #101 — Street Fund • #103 — Paths & Trails Fund • #104 — Hotel / Motel Tax — Tourism Facilities Fund • #105 — Hotel / Motel Tax Fund • #106 — Solid Waste Fund • #107 — PEG Fund • #108 — Affordable & Supportive Housing Sales Tax Fund • #120 — CenterPlace Operating Reserve Fund • #121 — Service Level Stabilization Reserve Fund • #122 — Winter Weather Reserve Fund 3. Debt Service Funds These funds account for financial resources which are designated for the retirement of debt. Debt Service Funds are comprised of the #204 — LTGO Debt Service Fund. 4. Capital Proiect Funds These funds account for financial resources, which are designated for the acquisition or construction of general government capital projects. Capital Project Funds include: • #301 — REET 1 Capital Projects Fund • #302 — REET 2 Capital Projects Fund • #303 — Streets Capital Projects Fund • #309 — Parks Capital Projects Fund • #310 — Civic Facilities Capital Projects Fund • #311 — Pavement Preservation Fund • #312 — Capital Reserve Fund • #314 — Railroad Grade Separation Projects Fund • #315 — Transportation Impact Fees Fund • #316 — Economic Development Capital Projects Fund Proprietary Fund Types A second type of fund classification is the proprietary funds that are used to account for activities similar to those found in the private sector where the intent of the governing body is to finance the full cost of providing services based on the commercial model which uses a flow of economic resources approach. Under this approach, the operating statements for the proprietary funds focus on a measurement of net income (revenues and expenses) and both current and non -current assets and liabilities are reported on related balance sheets. Their reported fund equity (total net position) is segregated into restricted, unrestricted, and invested in capital assets classifications. 18 As described below, there are two generic fund types in this category: 1. Enterprise Funds These funds account for operations that provide goods or services to the general public and are supported primarily by user charges. This type of fund includes: • #402 — Stormwater Management Fund • #403 — Aquifer Protection Area Fund 2. Internal Service Funds These funds account for operations that provide goods or services to other departments or funds of the City. This type of fund includes: • #501 — Equipment Rental and Replacement Fund • #502 — Risk Management Fund Fiduciary Fund Types A third type of fund classification is the fiduciary funds that are used to account for activities conducted for the benefit of those outside City. Fiduciary funds have the same measurement focus and basis of accounting as proprietary funds. Under this approach, the operating statements for the fiduciary funds focus on a measurement of net income (revenues and expenses) and both current and non -current assets and liabilities are reported on related balance sheets. Net position is always classified as restricted. The City uses one fund type in this category: 1. Custodial Funds These funds account for the fees and taxes collected by the City on behalf of other governments, such as Washington State and Spokane County. Custodial Funds are comprised of #632 — Passthrough Fees and Taxes Fund. Basis of Accounting Basis of accounting refers to when revenues and expenditures are recognized, recorded in the accounting system and ultimately reported in the financial statements. • Modified Accrual Basis of Accounting is used for all governmental funds. Modified accrual recognizes revenues when they become both measurable and available to finance expenditures of the current period. • Accrual Basis of Accounting is used for enterprise, internal service, and fiduciary funds. Under this system revenues and expenses are recognized in the period incurred rather than when cash is either received or disbursed. Budgets and Budgetary Accounting Annual appropriation budgets are adopted for all funds with Governmental Funds utilizing a modified cash basis of accounting for budget purposes and Proprietary and Fiduciary Funds utilizing a working capital approach. Budgets are adopted at the fund level that constitutes the legal authority for expenditures, and annual appropriations for all funds lapse at the end of the fiscal period. 19 EXPLANATION OF MAJOR REVENUE SOURCES General Fund #001 • Property Tax Property taxes play an essential role in the finances of the municipal budget. State law limits the City to a $3.60 levy per $1,000 assessed valuation, deducting from there the levy of up to $1.50 by the Spokane County Fire Districts #1 and #8, along with deducting up to $0.50 for the Library District, which leaves the City with the authority to levy up to $1.60 for its own purposes. The levy amount must be established by ordinance by November 30th prior to the levy year. • Retail Sales and Use Tax The sales tax rate for retail sales transacted within the boundaries of the City of Spokane Valley is 8.9%. The tax that is paid by a purchaser at the point of sale is remitted by the vendor to the Washington Department of Revenue who then remits the taxes back to the various agencies that have imposed the tax. The allocation of the 8.9% tax rate to the agencies is as follows: State of Washington City of Spokane Valley Spokane County Criminal Justice Spokane Public Facilities District Public Safety Juvenile Jail Mental Health Law Enforcement Communications Spokane Transit Authority 6.50% 0.85% 0.15% 0.10% 0.10% * 0.10% * 0.10% * 0.10% * 0.10% * 0.80% * 8.90% * Indicates voter approved sales taxes. 2.30% local tax • Criminal Justice Sales Tax Local Sales Tax for Criminal Justice funding is to be used solely for criminal justice purposes, such as the City's law enforcement contract. This tax is authorized at 1/10 of 1% of retail sales transacted in the County. Of the total amount collected, the State distributes 10% of the receipts to Spokane County, with the remainder allocated on a per capita basis to the County and cities within the County. • Public Safety Sales Tax Beginning in 2005, an additional 0.1% voter approved increase in sales tax was devoted to public safety purposes. This 0.1% was approved by the voters again in August 2009. Of the total amount collected, the State distributes 60% of the receipts to Spokane County, with the remainder allocated on a per capita basis to the cities within the County. 20 • Gambling Tax Gambling tax revenues must be spent primarily on law enforcement purposes pertaining to gambling. Funds remaining after necessary expenditures for such enforcement purposes may be used for any general government purpose. Gambling taxes are to be paid quarterly to the City, no later than the last day of January, April, July and October. The City imposes a tax on the following forms of gambling at the following rates: Bingo (5% gross, less prizes); Raffles (5% gross, less prizes); Punchboards and Pull tabs (5% gross, less prizes); Amusement Games (2% gross, less prizes); Card playing (6% gross). • Leasehold Excise Tax Taxes on property owned by state or local governments and leased to private parties (City's share). • Franchise Fees Cable TV is the only franchise fee levied in the City at a rate of 5% of gross revenues. This is a fee levied on private utilities for the right to use city streets, alleys, and other public properties. • State -Shared Revenues State -shared revenues are received from liquor sales, marijuana revenues, and motor vehicle excise taxes. These taxes are collected by the State of Washington and shared with local governments based on population. State -shared revenues are distributed on either a monthly or quarterly basis, although not all quarterly revenues are distributed in the same month of the quarter. The 2021 population figure used in the 2021 Budget is 98,600 as reported by the Office of Financial Management (OFM) for Washington State on April 1, 2021. However, the 2020 Census was released subsequent to the April 1, 2021 population estimate, and the Census figure has the population at 102,976. OFM may update the population to match the Census at a future date. This figure is important when determining distribution of State shared revenues on a per capita basis. • Fines and Forfeitures / Public Safety Fines and penalties are collected as a result of Municipal Court rulings, false alarm fees, and other miscellaneous rule infractions. All court fines and penalties are shared with the State, with the City, on average, retaining less than 50% of the amount collected. • Community Development Community Development revenues are largely composed of fees for building permits, plan reviews, and right-of-way permits. • Recreation Program Fees The Parks and Recreation Department charges fees for selected recreation programs. These fees offset direct costs related to providing the program. 21 • CenterPlace Fees The Parks and Recreation Department charges fees for use of CenterPlace. Uses include regional meetings, weddings, receptions, and banquets. Rental rooms include classrooms, the great room and dining rooms. • Investment Interest The City earns investment interest on sales tax money held by the State of Washington prior to the distribution of the taxes to the City, as well as on City initiated investments. Street Fund #101 • Motor Vehicle Fuel Excise Tax (gas tax) The State of Washington collects a $0.494 per gallon motor vehicle fuel tax at the pump. Of this amount, the State remits a portion of the tax back to cities on a per capita basis. For 2022 the Municipal Research and Services Center estimates the distribution back to cities will be $19.31 per person. Based upon a City of Spokane Valley population of 98,600 (per the Washington State Office of Financial Management on April 1, 2021) we anticipate the City will collect $1,903,966 in 2022. RCW 47.30.050 specifies that 0.42% of this tax must be expended for paths and trails activities and based upon the 2022 revenue estimate, this compute to $8,000. The balance of $1,896,000 will be credited to Fund #101 for street maintenance and operations. • Telephone Utility Tax The City of Spokane Valley levied a 6% telephone utility tax via Ordinance #08-014 with collections beginning in 2009. Telephone companies providing this service pay the tax to the City monthly. Telephone tax has been estimated at $932 thousand for 2022. Paths & Trails Fund #103 Cities are required to spend 0.42% of the motor vehicle fuel tax receipts on paths and trails (please see the explanation for Street Fund #101) which we anticipate will be $8,000 in 2022. Because the amount collected in any given year is relatively small, it is typical to accumulate State distributions for several years until adequate dollars are available for a project. Hotel / Motel Tax — Tourism Facilities Fund #104 The City imposes a 1.3% tax under RCW 67.28.181 on all charges made for the furnishing of lodging at hotels, motels, and similar establishments (including bed and breakfasts and RV parks) for a continuous period of less than one month. The revenues generated by this tax may only be used for capital expenditures for acquiring, constructing, making improvements to or other related capital expenditures for large sporting venues, or venues for tourism -related facilities. The hospitality industry, including hotels, was one of the industries affected the most by the COVID- 19 pandemic due to reduced travel from the State's stay home order. This being the case, the City experienced significant reductions in hotel/motel tax collections in 2020. These revenues began to recover mid-2021 but are still below pre -pandemic levels. This tax is estimated to generate $400,000 in 2022. 22 Hotel / Motel Tax Fund #105 The City imposes a 2% tax under RCW 67.28.180 on all charges made for the furnishing of lodging at hotels, motels, and similar establishments (including bed and breakfasts and RV parks) for a continuous period of less than one month. The tax is taken as a credit against the 6.5% state sales tax, so that the total tax that a patron pays in retail sales tax and hotel/motel tax combined is equal to the retail sales tax in the jurisdiction. The revenues generated by this tax may be used solely for paying for tourism promotion and for the acquisition and/or operation of tourism -related facilities. The impacts of the COVID-19 pandemic described under Fund #104 above also apply to these revenues. This tax is estimated to generate $600,000 in 2022. Solid Waste Fund #106 Under the City's contract for solid waste transfer, transport and disposal services with Sunshine Recyclers, Inc., Sunshine pays an annual contract administrative fee of $125,000 to the City. Also, under the City's contract for solid waste collection services with Waste Management of Washington, Inc., Waste Management pays an administrative fee of 12.5% of gross receipts. This fee shall be used by the City for costs related to solid waste services, including costs for contract administration, solid waste planning and management, and for a portion of the City's street preservation and maintenance programs. Of the amounts collected under the fee, no more than 1% of gross receipts may be used for contract administration. PEG Fund #107 Under the City's cable franchise, the franchise grantee remits to the City in a capital contribution in support of Public Education Government (PEG) capital requirements an amount equal to $0.35 per subscriber per month to be paid to the City on a quarterly basis for the life of the franchise. Capital contributions collected under this agreement are allocated to PEG capital uses exclusively. PEG capital uses include, in part, the set-up of equipment in the City Council Chambers that allows Spokane Valley to broadcast Council meetings both live and through subsequent reviews via digital recordings available on the City's website. Affordable and Supportive Housing Sales Tax Fund #108 In the year 2020, the Council authorized the City to collect the affordable and supportive sales tax, which is a rebate of the State sales tax to cities and counties. The amount received by the City is up to .0146% of the taxable retail sales within the City capped at the 2019 fiscal year taxable retail sales. The department of Revenue has estimated this capped distribution to be $193,000 for the City. The City will receive these revenues for 20 years, and the revenues may only be used to support affordable housing within the City or for rental assistance as outlined in RCW 82.14.540. LTGO Debt Service Fund #204 This fund is used to account for the accumulation of resources for, and the payment of limited tax general obligation (LTGO) bonds also referred to as councilmanic or non -voted bonds. When LTGO bonds are issued the City irrevocably pledges the full faith, credit and resources necessary to make timely payments of principal and interest, within constitutional and statutory limitations pertaining to non -voted general obligations. In 2003 the City issued $9,430,000 in limited tax general obligation (LTGO) bonds the proceeds of which were used to finance both the construction of CenterPlace and road and street improvements surrounding the facility. In 2014 the City refunded the LTGO bonds in order to take advantage of lower interest rates which resulted in a reduction in subsequent annual bond repayment (much like refinancing a home mortgage). At the completion of the bond refunding there remained $7,035,000 of LTGO bonds. Of this total: 23 • $5,650,000 remained on the original debt used towards the construction of CenterPlace. These bonds will be paid off in annual installments over the 20-year period ending December 1, 2033. Annual debt service payments on these bonds are provided by the Spokane Public Facilities District. At January 1, 2022, the outstanding balance on this portion of the bond issue will be $3,780,000. • $1,385,000 remained on the original debt used towards the road and street improvements. These bonds will be paid off in annual installments over the 10-year period ending December 1, 2023. Annual debt service payments on these bonds are provided by equal distributions from the 1st and 2nd quarter percent real estate excise tax. At January 1, 2022, the outstanding balance on this portion of the bond issue will be $305,000. In 2016 the City issued $7,275,000 in LTGO bonds, the proceeds of which were used to finance the construction of a new City Hall along with $6.3 million of City cash that has been set aside for this purpose. These bonds will be paid off in annual installments over the 30-year period ending December 1, 2045. Annual debt service payments on these bonds are provided by transfers in from the General Fund. At January 1, 2022, the outstanding balance on the bond issue will be $6,400,000. REET 1 Capital Projects Fund #301 Under Washington State Law, RCW 82.46.010, the City is allowed to impose an excise tax on each sale of real property at the rate of one -quarter of one percent of the selling price. The revenue generated is used for financing capital projects as specified in the capital facilities plan under the Growth Management Act. REET 2 Capital Projects Fund #302 Under Washington State Law, RCW 82.46.010, the City is allowed to impose an additional excise tax on each sale of real property at the rate of one -quarter of one percent of the selling price. The revenue generated is used for financing public works capital projects as specified in the capital facilities plan under the Growth Management Act. Stormwater Management Fund #402 A stormwater fee is imposed upon every developed parcel within the City, which is an annual charge of $21 for each single-family unit and $21 per 3,160 square feet of impervious surface for all other properties. These charges are uniform for the same class of customers and service facilities. These fees are estimated to generate $1,910,000 in 2022. Aquifer Protection Area (APA) Fund #403 These are voter approved fees, the proceeds of which are applied to aquifer protection related capital construction projects. Fees are collected by Spokane County and remitted to the City twice each year. These fees are estimated to generate $460,000 in 2022. Fees include: • An annual fee of $15 per household for the withdrawal of water from properties within the APA. • An annual fee of $15 per household for on -site sewage disposal by properties within the APA. • For commercial properties an annual fee ranging from $15 to $960 depending upon water meter size. 24 Interfund Transfers Many funds receive a portion of their revenues from other funds in the form of an interfund transfer. These transfers typically represent payments for either services rendered by one fund for another or a concentration of revenues for a specific project or purpose. The following interfund transfers are planned for 2022: In. 001 101 204 303 309 311 314 316 501 502 Total Out Out: 001 101 105 106 301 302 312 315 Total In 0 0 30,000 0 0 0 1,400,000 0 1,430,000 2,820,419 0 0 0 0 0 0 0 2,820,419 401,400 0 0 0 81,100 81,100 0 0 563,600 0 0 0 0 361,780 1,113,649 225,000 150,000 1,850,429 160,000 0 0 0 0 0 4,522,420 0 4,682,420 1,001,800 0 0 1,600,000 914,900 914,900 0 0 4,431,600 0 0 0 0 0 0 826,290 0 826,290 0 0 0 0 0 0 750,000 0 750,000 40,000 80,000 0 0 0 0 0 0 120,000 450,000 0 0 0 0 0 0 0 450,000 17,924,758 Total in 4,873,619 80,000 30,000 1,600,000 1,357,780 2,109, 649 7,723,710 150,000 17, 924, 758 Total out 0 #001 - General Fund is budgeted to transfer out $4,873,619 including: • $2,820,419 to Fund #101 - Street Fund as coverage of the estimated deficit in recurring activity for the 2022 Budget. • $401,400 to Fund #204 - LTGO Debt Service Fund for bond payments on the 2016 LTGO Bonds for the City Hall construction. • $160,000 to Fund #309 - Park Capital Projects Fund for park related projects. • $1.001,800 to Fund #311 - Pavement Preservation Fund for pavement preservation projects. • $40,000 to Fund #501 - Equipment Rental and Replacement Fund to fund the purchase of a new vehicle for the new Code Enforcement Supervisor position. • $450,000 to Fund #502 - Risk Management Fund for the 2022 property and liability insurance premium. #101 - Street O&M Fund is budgeted to transfer $80,000 to Fund #501 - Equipment Rental and Replacement Fund to fund the purchase of a new dump bed truck for the street's maintenance activities. #105 - Hotel / Motel Tax Fund is budgeted to transfer $30,000 to Fund #001 - General Fund for the purpose of financing advertising at CenterPlace. #106 - Solid Waste Fund is budgeted to transfer $1,600,000 to the Pavement Preservation Fund #311 for the purpose of funding pavement preservation projects on local access streets. #301 - REET 1 Capital Proiects Fund is budgeted to transfer out $1,357,780 including: • $81,100 to Fund #204 - LTGO Debt Service Fund to pay a portion of the annual payment on the 2014 LTGO bonds. • $361,780 to Fund #303 - Street Capital Projects Fund that will be applied towards grant matches for street construction projects. • $914,900 to Fund #311 - Pavement Preservation Fund for pavement preservation projects. 25 #302 — REET 2 Capital Proiects Fund is budgeted to transfer out $2,109,649 including: • $81,100 to Fund #204 — LTGO Debt Service Fund to pay a portion of the annual payment on the 2014 LTGO bonds. • $1,113,649 to Fund #303 — Street Capital Projects Fund that will be applied towards grant matches for street construction projects. • $914,900 to Fund #311 — Pavement Preservation Fund for pavement preservation projects. #312 — Capital Reserve Fund is budgeted to transfer out $7,723,710 including: • $1,400,000 to Fund #001 — General Fund for the replacement of police vehicles. • $225,000 to Fund #303 — Street Capital Projects Fund to install school zone beacons throughout the City. • $4,522,420 to Fund #309 — Parks Capital Projects Fund that will be applied towards the water line at Sullivan Park, Balfour Park construction, and the preliminary design on the Spokane Valley River Loop Trail. • $826,290 to Fund #314 — Railroad Grade Separation Projects Fund that will be applied to grade separation projects at Barker, Pines, and Sullivan Roads. • $750,000 to Fund #316 — Economic Development Capital Projects Fund that will be applied to the preliminary design of a new building at the Fairgrounds. #315 — Transportation Impact Fees Fund is budgeted to transfer $150,000 to the Fund #303 — Capital Projects Fund that will be applied toward street construction projects. SIGNIFICANT ASSUMPTIONS IN THE 2022 BUDGET Budget Summary for All Funds • Based upon funding levels anticipated in the 2022 budget, City staff will strive to maintain adequate levels of service. • Appropriations for all City Funds will total $108 million including $32.1 million in capital expenditures, comprised in -part of: o $2.6 million in Fund #001 — General Fund. o $10 million in Fund #303 — Street Capital Projects. o $4.7 million in Fund #309 — Park Capital Projects. o $7.2 million in Fund #311 — Pavement Preservation projects. o $2.8 million in Fund #314 — Railroad Grade Separation Projects. o $315 thousand in Fund #402 — Stormwater Management projects. o $3 million in Fund #403 — Aquifer Protection Area projects. o $513 thousand in Fund #501 — Equipment Rental and Replacement vehicles. • To partially offset the $32.1 million in capital costs, we anticipate $11.8 million in grant revenues which results in 36.82% of capital expenditures being covered with State and Federal money. • Budgets will be adopted across 27 separate funds. • The full-time equivalent employee (FTE) count will increase in 2022 by 5 to 101.25 from 95.25. These increases include a Project Manager position in the City Manager Department, an Engineering Tech II split 0.2 to Engineering and 0.8 to capital projects, a CAD Manager split 0.5 to Engineering and 0.5 to capital projects, a Code Enforcement Supervisor in the Building Department, and an Assistant Engineer in Development Engineering. • The 2022 Budget reflects the eighth consecutive year the City will set aside City monies in an amount equivalent to 6% of General Fund recurring expenditures for pavement preservation in Fund #311 — Pavement Preservation. This 6% equals $2,831,600. • Positions and salary ranges are based on the City's compensation and classification plan. • Payroll tax and benefit amounts are based on staff benefit plans. 26 • Contract costs for public safety, park maintenance, aquatics and street maintenance are based on estimates by City staff. • The City sets money aside in Fund #501 — Equipment Rental and Replacement for the eventual replacement of its vehicles as well as a reserve to replace equipment in the kitchen at CenterPlace. 2022 General Fund Revenues • Total recurring 2022 revenues are estimated at $52,432,700 as compared to $48,225,019 in 2021, which is an increase of $4,207,681 or 8.73%. • The two largest sources of revenue continue to be Sales Tax and Property Tax which are collectively estimated to account for 84.76% of 2022 General Fund recurring revenues. • The 2022 general sales tax estimate (excluding criminal justice and public safety sales taxes) is currently estimated at $27.7 million which reflects an increase of $2.5 million or 10.0% over the 2021 estimate. • The Property Tax levy does not include the potential annual increase allowed by Initiative #747 which was approved by the voters in November 2001 and the subsequent action by the State Legislature in November 2007. o The 2022 levy is estimated at $13,199,900. o The levy assumes we start with the 2021 levy of $12,724,920, forgo the potential annual increase allowed by State law, and finally add taxes related to new construction which we estimate to be $475,000. • Franchise fees and business registrations are primarily based on projected receipts in 2021. • State shared revenues are based upon a combination of historical collections including 2021 collections through July, and per capita distribution figures reported by the Municipal Research and Services Center. • Fines and forfeitures are estimated by Spokane Valley and based on historical collections. • Building permit and land use fees are estimated by Spokane Valley and based on historic collections. 2022 General Fund Expenditures • Total 2021 recurring expenditures are budgeted at $48,415,982 as compared to $44,972,827 in 2021. This is an increase of $3,443,155 or 7.66%. • The City commitment of 6% of recurring General Fund expenditures to pavement preservation equals $2,831,600 and is computed by multiplying total recurring expenditures prior to adding the pavement preservation element ($2,831,600 / $47,414,182 = 6%). The $2,831,600 that is transferred to Pavement Preservation Fund #311 is comprised of the following: o $1,001,800 from General Fund #001 o $914,900 from REET 1 Capital Projects Fund #301 o $914,900 from REET 2 Capital Projects Fund #302 • 2022 Nonrecurring expenditures total $5,632,119 and include: o $136,000 for Information Technology expenditures including: • $15,000 to replace outdated copiers • $55,000 to replace the card access systems at CenterPlace and the Maintenance Shop • $50,000 to upgrade the City's backup solution • $16,000 for software upgrades o $5,000 for furniture for the new Project Manager position o $1,562,000 for various Public Safety items including: • $24,000 for two radar trailers • $55,000 for a vehicle for the new Homeless Services Officer 27 ■ $25,000 to replace carpeting at the Precinct ■ $50,000 to repaint the exterior of the Precinct ■ $8,000 for tree and debris removal from the back lot at the Precinct ■ $1,400,000 for the replacement of police vehicles o $12,000 to repaint the portico at CenterPlace o $26,700 to replace carpeting at CenterPlace o $30,000 to repair the plumbing systems at the pools o $1,000,000 for Financial Software capital costs o $2,820,419 transfer out to the Street O&M Fund #101 to cover the deficit in recurring expenditures exceeding recurring revenues in that fund o $40,000 transfer out to the Equipment Rental & Replacement Fund #501 for an additional vehicle for the Code Enforcement Supervisor position General Fund Revenues Over (Under) Expenditures and Fund Balance • 2022 recurring revenues are anticipated to exceed recurring expenditures by $4,016,718. • Total 2022 expenditures are anticipated to exceed total revenues by $215,401. • The total unrestricted General Fund ending fund balance is anticipated to be $30,998,132 at the end of 2022 which is 64.02% of total recurring expenditures of $48,415,982. Our goal is to maintain an ending fund balance of at least 50.0%. Highlights of Other Funds Revenues • Motor vehicle fuel tax (MVFT) revenue that is collected by the State and remitted to the City is estimated to be $1,904,000 according to per capita estimates provided by the Municipal Research and Services Center. Of this amount, $1,896,000 will be credited to the Street O&M Fund #101 and 0.42% or $8,000 to the Paths and Trails Fund #103. • Telephone taxes that are remitted to the City and support Street Fund operations and maintenance are anticipated at $932,000. • Real estate excise tax (REET) revenue is computed by the City and is primarily used to match grant funded street projects as well as pay a portion of the annual payment on the 2014 general obligation bonds. In 2022 we estimate these revenues to be $1,500,000 per each '/4% for a total of $3,000,000. • Hotel/Motel tax revenues are computed by the City and are dedicated to the promotion of visitors and tourism. In 2022 we estimate the tax will generate $1,000,000, which includes $600,000 in Fund #105 Hotel / Motel Tax Fund from the 2% tax and $400,000 in Fund #104 Hotel / Motel Tax — Tourism Facilities Fund from the 1.3% tax that was effective as of July 1, 2015. • The City began receiving the affordable and supportive housing sales tax in 2020, and will receive these revenues as rebate of the State's sales taxes for 20 years. The amount received by the City is capped at 0.0146% of the taxable retail sales within the City for fiscal year 2019, and the revenues may only be used to support affordable housing or rental assistance within the City as outlined in RCW 82.14.540. These revenues are estimated at $193,000 in 2022 in the Affordable & Supportive Housing Sales Tax Fund #108. • The Stormwater Management Fee is based on an equivalent residential unit (ERU) that is equal to 3,160 square feet of impervious surface that is billed at a rate of $21 per single family residence and $21 per ERU for commercial properties (an ERU for a commercial property is computed as total square feet of impervious surface divided by 3,160). In 2022 we estimate this fee will generate $1,910,000. • The Aquifer Protection Area Fund is expected to generate $460,000 in fees that are collected on the City's behalf by Spokane County and remitted in two installments during the year. 28 • Grant revenues that will be applied to a variety of construction projects are estimated at $11,813,312 in 2022. By fund we anticipate grant revenues as follows: o Fund #303 — Street Capital Projects - $6,956,322 o Fund #309 — Parks Capital Projects - $126,100 o Fund #311 — Pavement Preservation - $1,029,000 o Fund #314 — Railroad Grade Separation Projects Fund - $1,560,290 o Fund #403 — Aquifer Protection Area Fund - $1,881,600 Expenditures • Fund #101 — Street Fund appropriations include: o $5,874,119 for maintenance of City streets, including $890,502 in snow operations and $909,000 in intergovernmental payments for services. • Fund #106 — Solid Waste Fund appropriations include: o a $1,600,000 transfer out to the Pavement Preservation Fund #311 for street preservation activities • Fund #301 — REET 1 Capital Projects Fund includes a $1,357,780 appropriation to cover: o a $81,100 transfer to LTGO Bond Debt Service Fund #204 to pay one-half of the City's annual repayment of the 2014 LTGO Bonds. o a $361,780 transfer to Street Capital Projects Fund #303 to partially offset the cost of street construction / reconstruction projects. o a $914,900 transfer to Pavement Preservation Fund #311 for pavement preservation projects. • Fund #302 — REET 2 Capital Projects Fund includes a $2,109,649 appropriation to cover: o a $81,100 transfer to LTGO Bond Debt Service Fund #204 to pay one-half of the City's annual repayment of the 2014 LTGO Bonds. o a $1,113,649 transfer to Street Capital Projects Fund #303 to partially offset the cost of street construction / reconstruction projects. o a $914,900 transfer to Pavement Preservation Fund #311 for pavement preservation projects • Fund #303 — Street Capital Projects Fund includes an appropriation of $9,971,150 for a variety of street construction projects. • Fund #309 — Parks Capital Projects includes a $4,728,520 appropriation to cover a variety of City park improvements that will be financed through a combination of a $160,000 transfer from the General Fund #001, a $4,522,420 transfer in from the Capital Reserve Fund #312, and $126,100 in grant proceeds. • Fund #311 — Pavement Preservation includes $7,202,000 of pavement preservation projects that will be financed through transfers from other City funds as outlined above under the heading of General Fund Recurring Expenditures. • Fund #312 — Capital Reserve includes $1,400,000 in transfers to Fund #001 — General Fund for the replacement of police vehicles, $225,000 in transfers to Fund #303 — Street Capital Projects to install school zone beacons, $4,522,420 in transfers to Fund #309 — Parks Capital Projects that will be applied toward Balfour Park construction, the water line at Sullivan Park, and design of the Spokane Valley River Loop Trail as well as $826,290 in transfers to Fund 29 #314 — Grade Separation Projects for Barker, Pines, and Sullivan. It also includes $750,000 in transfers to Fund #316 — Economic Development Capital Projects for the design of a new building at the Fairgrounds. • Fund #314 — Railroad Grade Separation Proiects includes appropriations in the amount of $2,775,263 towards the Barker Road Grade Separation project, the Pines Road Grade Separation project, and the Sullivan Road Interchange project. • Fund #402 — Stormwater Fund includes $565,000 for nonrecurring expenditures including in part: o $315,000 for various capital projects o $100,000 for the studies related to the City's Stormwater permit and the watershed o $100,000 for an update to the Stormwater Comprehensive Plan • Fund #403 — Aquifer Protection Area Fund includes a $3,008,800 appropriation to various capital projects. 30 CITY OF SPOKANE VALLEY, WA 2022 Budget Summary Estimated Estimated Beginning Ending Fund Fund Total Fund Annual Appropriation Funds No. Balance Revenues Sources Appropriations Balance General Fund 001 Street Fund 101 Paths & Trails Fund 103 Hotel/Motel Tax - Tourism Facilities Fund 104 Hotel/Motel Tax Fund 105 Solid Waste 106 PEG Fund 107 Affordable & Supportive Housing Sales Tax Func 108 CenterPlace Operating Reserve Fund 120 Service Level Stabilization Fund 121 Winter Weather Reserve Fund 122 LTGO Bond Debt Service Fund 204 REET 1 Capital Projects Fund 301 REET 2 Capital Projects Fund 302 Street Capital Projects 303 Park Capital Projects Fund 309 Civic Facilities Capital Projects Fund 310 Pavement Preservation Fund 311 Capital Reserve Fund 312 Railroad Grade Separation Projects Fund 314 Transportation Impact Fees Fund 315 Economic Development Capital Projects Fund 316 31,143,012 759,299 30,416 4,546,073 165,016 689,012 172,773 345,033 300,000 5,500,000 526,383 0 2,826,395 4,312,765 67,402 756 840,164 6,135,444 13,161,590 293,526 70,000 0 53,832,700 5,874,119 8,100 402,500 601,000 1,832,000 79,000 193,000 0 0 800 1,064,800 1,502,000 1,505,000 9,971,150 4,808,520 1,300 5,460,600 10,000 2,695,172 200,000 750,000 84,975,712 6,633,418 38,516 4,948,573 766,016 2,521,012 251,773 538,033 300,000 5,500,000 527,183 1,064,800 4,328,395 5,817,765 10,038,552 4,809,276 841,464 11,596,044 13,171,590 2,988,698 270,000 750,000 54,048,101 6,039,619 0 0 601,000 1,832,000 73,000 0 0 0 500,000 1,064,800 1,357,780 2,109,649 9,971,150 4,728,520 0 7,252,000 7,723,710 2,775,263 150,000 750,000 30,927,611 593,799 38,516 4,948,573 165,016 689,012 178,773 538,033 300,000 5,500,000 27,183 0 2,970,615 3,708,116 67,402 80,756 841,464 4,344,044 5,447,880 213,435 120,000 0 71, 885, 059 90, 791, 761 162,676,820 100, 976, 592 61, 700, 228 Estimated Estimated Beginning Ending Fund Working Total Working Working Capital Funds No. Capital Revenues Sources Appropriations Capital Stormwater Management Fund Aquifer Protection Area Fund Equipment Rental & Replacement Fund Risk Management Fund Passthrough Fees & Taxes Total of all Funds 402 1,399,959 1,912,000 3,311,959 403 1,130,870 2,343,500 3,474,370 501 1,403,362 230,000 1,633,362 502 340,484 450,000 790,484 632 0 400,000 400,000 2,443,926 3,063,800 522,500 450,000 400,000 868,033 410,570 1,110,862 340,484 0 4,274,675 5,335,500 9,610,175 6,880,226 2,729,949 76,159,734 96,127,261 172,286,995 107,856,818 64,430,177 31 CITY OF SPOKANE VALLEY, WA 2022 Budget #001 - GENERAL FUND 'RECURRING ACTIVITY Revenues Property Tax Sales Tax Sales Tax - Public Safety Sales Tax - Criminal Justice Gambling Tax and Leasehold Excise Tax Franchise Fees/Business Registration State Shared Revenues Fines and Forfeitures/Public Safety Community and Public Works Recreation Program Revenues Grant Proceeds Miscellaneous Department Revenue Miscellaneous & Investment Interest Transfers in - #105 (h/m tax-CP advertising) 2021 As As Adopted Amendment Amended 12,724,200 22,220,000 1,054,800 1,862,400 384,000 1,215,000 1,760,000 1,010,200 1,908,719 643,600 0 21,000 592,500 30,000 0 2,980,000 105,200 177,600 0 0 0 (464,200) 0 0 0 0 0 0 12,724,200 25,200,000 1,160,000 2,040,000 384,000 1,215,000 1,760,000 546,000 1,908,719 643,600 0 21,000 592,500 30,000 2022 Budget 13,199,900 27,720,000 1,276,000 2,244,000 365,000 1,215,000 1,995,500 529,200 2,636,200 652,400 260,000 21,000 288,500 30,000 10/26/2021 Difference Between 2021 and 2022 OA 475,700 2,520,000 116,000 204,000 (19,000) 0 235,500 (16,800) 727,481 8,800 260,000 0 (304,000) 0 3.74 10.00% 10.00% 10.00% (4.95%) 0.00% 13.38% (3.08%) 38.11% 1.37 0.00% 0.00% (51.31 % ) 0.00% Total Recurring Revenues 45,426,419 2,798,600 48,225,019 52,432,700 4,207,681 8.73% Expenditures City Council 631,566 7,106 638,672 645,170 6,498 1.02% City Manager 1,158,089 17,750 1,175,839 1,466,305 290,466 24.70% City Attorney 718,593 0 718,593 747,890 29,297 4.08% Public Safety 28,101,615 (203,754) 27,897,861 29,804,434 1,906,573 6.83% Deputy City Manager 284,844 0 284,844 295,477 10,633 3.73% Finance / IT 1,500,659 0 1,500,659 1,571,443 70,784 4.72% Human Resources 318,540 0 318,540 330,321 11,781 3.70% City Hall Operations and Maintenance 301,093 72,508 373,601 400,020 26,419 7.07% Community & Public Works - Engineering 2,098,642 0 2,098,642 2,440,282 341,640 16.28% Community& Public Works- Economic Dev 1,045,762 51,299 1,097,061 1,188,268 91,207 8.31% Community & Public Works - Building & Planning 2,487,066 (72,508) 2,414,558 2,631,423 216,865 8.98% Parks & Rec - Administration 356,467 (1,040) 355,427 351,018 (4,409) (1.24 % ) Parks & Rec - Maintenance 940,003 0 940,003 950,455 10,452 1.11 Parks & Rec - Recreation 328,534 0 328,534 330,687 2,153 0.66% Parks & Rec - Aquatics 510,053 0 510,053 538,700 28,647 5.62% Parks & Rec - Senior Center 35,403 0 35,403 36,801 1,398 3.95% Parks & Rec - CenterPlace 972,214 0 972,214 970,375 (1,839) (0.19 % ) General Government 1,297,380 0 1,297,380 1,703,713 406,333 31.32% Transfers out - #204 (2016 LTGO debt service) 401,500 0 401,500 401,400 (100) (0.02 % ) Transfers out - #309 (park capital projects) 160,000 0 160,000 160,000 0 0.00% Transfers out - #311 (pavement preservation) 991,843 0 991,843 1,001,800 9,957 1.00% Transfers out - #501 (CenterPlace kitchen reserve) 36,600 0 36,600 0 (36,600) (100.00 % ) Transfers out - #502 (insurance premium) 425,000 0 425,000 450,000 25,000 5.88% Total Recurring Expenditures 45,101,466 (128,639) 44,972,827 48,415,982 3,443,155 7.66% Recurring Revenues Over (Under) Recurring Expenditures 324,953 2,927,239 3,252,192 4,016,718 32 CITY OF SPOKANE VALLEY, WA 2022 Budget #001 - GENERAL FUND - continued (NONRECURRING ACTIVITY Revenues Grant Proceeds Reimbursement of chamber wall repairs Transfers in - #312 (police vehicle replacements) 2021 As As Adopted Amendment Amended 2022 Budget 10/26/2021 Difference Between 2021 and 2022 OA 25,000 64,000 89,000 0 (89,000) (100.00%) 0 0 0 0 0 0.00% 0 0 0 1,400,000 1,400,000 0.00% Total Nonrecurring Revenues 25,000 64,000 89,000 1,400,000 1,311,000 1473.03% Expenditures General Government - IT capital replacements 212,800 0 212,800 136,000 (76,800) (36.09 % ) City Manager (office fumiture for Housing Sery employee, 0 5,000 5,000 0 (5,000) (100.00%) City Manager (office fumiture for Project Manager employ 0 0 0 5,000 5,000 0.00% Public Safety (replace HVAC units at Precinct) 0 62,000 62,000 0 (62,000) (100.00%) Public Safety (replace handguns) 37,500 0 37,500 0 (37,500) (100.00%) Public Safety (2 radar trailer) 11,400 0 11,400 24,000 12,600 110.53% Public Safety (Precinct access control gate) 20,000 0 20,000 0 (20,000) (100.00%) Public Safety (Precinct fire panel replacement) 10,000 0 10,000 0 (10,000) (100.00%) Public Safety (DEMSiTasersBodyCams) 0 109,608 109,608 0 (109,608) (100.00%) Public Safety (vehicle for homeless services officer) 0 0 0 55,000 55,000 0.00% Public Safety (replace carpet at Precinct) 0 0 0 25,000 25,000 0.00% Public Safety (repaint Precinct exterior) 0 0 0 50,000 50,000 0.00% Public Safety (tree & debris removal from back lot) 0 0 0 8,000 8,000 0.00% Public Safety (police vehicle replacements) 0 0 0 1,400,000 1,400,000 0.00% Economic Dev (Commerce Housing Action Plan) 0 40,000 40,000 0 (40,000) (100.00%) Economic Dev (Ecology SMP Update) 25,000 0 25,000 0 (25,000) (100.00%) Parks & Rec (repaint portico at CenterPlace) 0 0 0 12,000 12,000 0.00% Parks & Rec (replace carpet at CenterPlace) 0 0 0 26,700 26,700 0.00% Parks & Rec (repair plumbing systems at pools) 0 0 0 30,000 30,000 0.00% Windstorm 2021 Cleanup Costs 0 32,000 32,000 0 (32,000) (100.00%) Financial Software Capital Costs 0 0 0 1,000,000 1,000,000 0.00% Transfers out - #101 (Street Fund operations) 1,859,600 693,000 2,552,600 2,820,419 267,819 10.49% Transfers out - #122 (replenish reserve) 0 364,440 364,440 0 (364,440) (100.00%) Transfers out - #309 (CenterPlace west lawn) 0 20,000 20,000 0 (20,000) (100.00%) Transfers out - #309 (CenterPlace roof repairs) 0 15,000 15,000 0 (15,000) (100.00%) Transfers out - #312 ('19 fund bal >50%) 0 11,126,343 11,126,343 0 (11,126,343) (100.00%) Transfers out - #501 (vehicle for Code Enf. Supervisor) 0 0 0 40,000 40,000 0.00% Total Nonrecurring Expenditures 2,176,300 12,467,391 14,643,691 5,632,119 (9,011,572) (61.54%) Nonrecurring Revenues Over (Under) Nonrecurring Expenditures Excess (Deficit) of Total Revenues Over (Under) Total Expenditures Beginning unrestricted fund balance Ending unrestricted fund balance Fund balance as a percent of recurring expenditures General Fund Summary Total revenues Total expenditures Excess (Deficit) of Total Revenues Over (Under) Total Expenditures Beginning unrestricted fund balance Ending unrestricted fund balance (2,151,300) (12,403,391) (14,554,691) (4,232,119) (1,826,347) (9,476,152) (11,302,499) (215,401) 42,445,511 42,445,511 31,143,012 40,619,164 31,143,012 30,927,611 90.06% 69.25% 63.88% 45,451,419 2,862,600 48,314,019 53,832,700 47,277,766 12,338,752 59,616,518 54,048,101 (1,826,347) (9,476,152) (11,302,499) (215,401) 42, 445, 511 42, 445, 511 31,143, 012 40,619,164 31,143,012 30,927,611 33 CITY OF SPOKANE VALLEY, WA 2022 Budget (SPECIAL REVENUE FUNDS #101 - STREET FUND 'RECURRING ACTIVITY Revenues Utility Tax Motor Vehicle Fuel (Gas) Tax Multimodal Transportation Revenue Right -of -Way Maintenance Fee Investment Interest Miscellaneous 2021 As As Adopted Amendment Amended 2022 Budget 10/26/2021 Difference Between 2021 and 2022 OA 1,431,000 (431,000) 1,000,000 932,000 (68,000) (6.80%) 2,062,000 (262,000) 1,800,000 1,896,000 96,000 5.33% 130,600 0 130,600 130,200 (400) (0.31 % ) 70,000 0 70,000 85,000 15,000 21.43% 4,000 0 4,000 500 (3,500) (87.50%) 10,000 0 10,000 10,000 0 0.00% Total Recurring Revenues 3,707,600 (693,000) 3,014,600 3,053,700 39,100 1.30% Expenditures Wages / Benefits / Payroll Taxes 1,127,920 0 1,127,920 1,128,523 603 0.05% Supplies 156,050 0 156,050 176,700 20,650 13.23% Services & Charges 2,525,828 0 2,525,828 2,698,644 172,816 6.84% Snow Operations 751,652 0 751,652 890,502 138,850 18.47% Intergovernmental Payments 935,000 0 935,000 909,000 (26,000) (2.78%) Vehicle rentals - #501 (non -plow vehicle rental) 10,250 0 10,250 10,250 0 0.00% Vehicle rentals - #501 (plow replace.) 60,500 0 60,500 60,500 0 0.00% Total Recurring Expenditures 5,567,200 0 5,567,200 5,874,119 306,919 5.51% Recurring Revenues Over (Under) Recurring Expenditures (1,859,600) (693,000) (2,552,600) (2,820,419) NONRECURRING ACTIVITY Revenues Transfers in - #001 1,859,600 693,000 2,552,600 2,820,419 267,819 10.49% Total Nonrecurring Revenues 1,859,600 693,000 2,552,600 2,820,419 267,819 10.49% Expenditures Streetlight Replacement Program 0 0 0 35,500 35,500 0.00% Generator for Maintenance Shop (1/2 cost to #402) 0 0 0 50,000 50,000 0.00% Transfers out - #501 0 0 0 80,000 80,000 0.00% Total Nonrecurring Expenditures 0 0 0 165,500 165,500 0.00% Nonrecurring Revenues Over (Under) Nonrecurring Expenditures Excess (Deficit) of Total Revenues Over (Under) Total Expenditures 0 0 0 (165,500) Beginning fund balance 759,299 759,299 759,299 Ending fund balance 759,299 759,299 593,799 Street Fund Summary Total revenues Total expenditures Excess (Deficit) of Total Revenues Over (Under) Total Expenditures Beginning unrestricted fund balance Ending unrestricted fund balance 1,859,600 693,000 2,552,600 2,654,919 5,567,200 5,567,200 5,567,200 5,874,119 5,567,200 6,039,619 0 759,299 759,299 0 0 (165,500) 759,299 759,299 759,299 593,799 34 CITY OF SPOKANE VALLEY, WA 2022 Budget (SPECIAL REVENUE FUNDS - continued #103 - PATHS & TRAILS FUND Revenues Motor Vehicle Fuel (Gas) Tax Investment Interest Total revenues Expenditures Transfers out - #309 Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 2021 As As Adopted Amendment Amended 2022 Budget 8,700 0 8,700 8,000 10/26/2021 Difference Between 2021 and 2022 OA (700) (8.05%) 200 0 200 100 (100) (50.00%) 8,900 0 8,900 8,100 (800) (8.99%) 0 0 0 0 0 0.00% 0 0 0 8,900 21,516 30,416 8,900 21,516 30,416 0 8,100 30,416 38,516 0 0.00 #104 - HOTEL / MOTEL TAX - TOURISM FACILITIES FUND Revenues Hotel/Motel Tax 213,000 187,000 400,000 400,000 0 0.00% Investment Interest 24,000 (21,500) 2,500 2,500 0 0.00% Transfers in - #105 453,840 703,160 1,157,000 0 (1,157,000) (100.00%) Total revenues 690,840 868,660 1,559,500 402,500 (1,157,000) (74.19%) Expenditures Capital Outlay 0 0 0 0 0 0.00% Total expenditures 0 0 0 0 0 0.00% Revenues over (under) expenditures 690,840 1,559,500 402,500 Beginning fund balance 2,986,573 2,986,573 4,546,073 Ending fund balance 3,677,413 4,546,073 4,948,573 #105 - HOTEL / MOTEL TAX FUND Revenues Hotel/Motel Tax 346,000 404,000 750,000 600,000 (150,000) (20.00%) Investment Interest 6,000 (5,300) 700 1,000 300 42.86% Total revenues 352,000 398,700 750,700 601,000 (149,700) (19.94%) Expenditures Transfers out - #001 30,000 0 30,000 30,000 0 0.00% Transfers out - #104 453,840 703,160 1,157,000 0 (1,157,000) (100.00%) Tourism Promotion 224,400 (27,000) 197,400 571,000 373,600 189.26% Total expenditures 708,240 676,160 1,384,400 601,000 (783,400) (56.59%) Revenues over (under) expenditures (356,240) (633,700) 0 Beginning fund balance 798,716 798,716 165,016 Ending fund balance 442,476 165,016 165,016 #106 - SOLID WASTE FUND Revenues Solid Waste Administrative Fee 225,000 0 225,000 225,000 0 0.00% Solid Waste Road Wear Fee 1,500,000 0 1,500,000 1,600,000 100,000 6.67% Investment Interest 12,000 0 12,000 7,000 (5,000) (41.67%) Total revenues 1,737,000 0 1,737,000 1,832,000 95,000 5.47% Expenditures Education & Contract Administration 237,000 0 237,000 232,000 232,000 97.89% Transfers out - #311 1,500,000 37,776 1,537,776 1,600,000 1,600,000 104.05% Total expenditures 1,737,000 37,776 1,774,776 1,832,000 1,832,000 103.22% Revenues over (under) expenditures 0 (37,776) 0 Beginning fund balance 726,788 726,788 689,012 Ending fund balance 726,788 689,012 689,012 35 CITY OF SPOKANE VALLEY, WA 2022 Budget (SPECIAL REVENUE FUNDS - continued #107 - PEG FUND Revenues Comcast PEG Contribution Total revenues Expenditures PEG Reimbursement - CMTV Capital Outlay 2021 As As Adopted Amendment Amended 79,000 2022 Budget 0 79,000 79,000 10/26/2021 Difference Between 2021 and 2022 OA 0 0.00% 79,000 0 79,000 79,000 0 0.00% 39,500 0 39,500 39,500 0 0.00% 33,500 15,000 48,500 33,500 (15,000) (30.93%) Total expenditures 73,000 15,000 88,000 73,000 (15,000) (17.05%) Revenues over (under) expenditures 6,000 (9,000) 6,000 Beginning fund balance 181,773 181,773 172,773 Ending fund balance 187,773 172,773 178,773 #108 - AFFORDABLE & SUPPORTIVE HOUSING SALES TAX Revenues Affordable & Supportive Housing Sales Tax 193,000 0 193,000 193,000 0 0.00% Miscellaneous 0 0 0 0 0 0.00% Total revenues 193,000 0 193,000 193,000 0 0.00% Expenditures Operations 0 0 0 0 0 0.00% Total expenditures 0 0 0 0 0 0.00% Revenues over (under) expenditures 193,000 193,000 193,000 Beginning fund balance 152,033 152,033 345,033 Ending fund balance 345,033 345,033 538,033 #120 - CENTER PLACE OPERATING RESERVE FUND Revenues Investment Interest 0 0 0 0 0 0.00% Miscellaneous 0 0 0 0 0 0.00% Total revenues 0 0 0 0 0 0.00% Expenditures Operations 0 0 0 0 0 0.00% Total expenditures 0 0 0 0 0 0.00% Revenues over (under) expenditures 0 0 0 Beginning fund balance 300,000 300,000 300,000 Ending fund balance 300,000 300,000 300,000 #121 - SERVICE LEVEL STABILIZATION RESERVE FUND Revenues Investment Interest 0 0 0 0 0 0.00% Miscellaneous 0 0 0 0 0 0.00% Total revenues 0 0 0 0 0 0.00% Expenditures Operations 0 0 0 0 0 0.00% Total expenditures 0 0 0 0 0 0.00% Revenues over (under) expenditures 0 0 0 Beginning fund balance 5,500,000 5,500,000 5,500,000 Ending fund balance 5,500,000 5,500,000 5,500,000 #122 - WINTER WEATHER RESERVE FUND Revenues Investment Interest 1,900 0 1,900 800 (1,100) (57.89%) Transfers in - #001 0 364,440 364,440 0 (364,440) (100.00 % ) Subtotal revenues Expenditures Street maintenance expenditures Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 1,900 364,440 366,340 800 (365,540) (99.78%) 500,000 0 500,000 500,000 0 0.00% 500,000 0 500,000 500,000 0 0.00% (498,100) 160,043 (338,057) (133,660) (499,200) 160,043 526,383 26,383 27,183 36 CITY OF SPOKANE VALLEY, WA 2022 Budget IDEBT SERVICE FUNDS #204 - LTGO BOND DEBT SERVICE FUND Revenues Spokane Public Facilities District Transfers in - #001 Transfers in - #301 Transfers in - #302 Total revenues 2021 As As Adopted Amendment Amended 2022 Budget 10/26/2021 Difference Between 2021 and 2022 OA 480,800 0 480,800 501,200 20,400 401,500 0 401,500 401,400 (100) 80,775 0 80,775 81,100 325 80,775 0 80,775 81,100 325 4.24% (0.02%) 0.40% 0.40% 1,043,850 0 1,043,850 1,064,800 20,950 2.01% Expenditures Debt Service Payments - CenterPlace 480,800 0 480,800 501,200 20,400 4.24% Debt Service Payments - Roads 161,550 0 161,550 162,200 650 0.40% 2016 LTGO Bond Principal & Interest 401,500 0 401,500 401,400 (100) (0.02%) Total expenditures 1,043,850 0 1,043,850 1,064,800 20,950 2.01% Revenues over (under) expenditures 0 0 0 Beginning fund balance 0 0 0 Ending fund balance 0 0 0 37 CITY OF SPOKANE VALLEY, WA 2022 Budget (CAPITAL PROJECTS FUNDS #301 - REET 1 CAPITAL PROJECTS FUND Revenues REET 1 - Taxes Investment Interest Total revenues 2021 As As Adopted Amendment Amended 2022 Budget 10/26/2021 Difference Between 2021 and 2022 OA 1,000,000 1,000,000 2,000,000 1,500,000 (500,000) 25,000 (22,000) 3,000 (25.00 % ) 2,000 (1,000) (33.33%) 1,025,000 978,000 2,003,000 1,502,000 (501,000) (25.01%) Expenditures Transfers out - #204 80,775 0 80,775 81,100 325 0.40 Transfers out - #303 316,620 0 316,620 361,780 45,160 14.26 Transfers out - #311 (pavement preservation) 827,278 0 827,278 914,900 87,622 10.59 Total expenditures 1,224,673 0 1,224,673 1,357,780 133,107 10.87% Revenues over (under) expenditures (199,673) 778,327 144,220 Beginning fund balance 2,048,068 2,048,068 2,826,395 Ending fund balance 1,848,395 2,826,395 2,970,615 #302 - REET 2 CAPITAL PROJECTS FUND Revenues REET 2 - Taxes Investment Interest Total revenues 1,000,000 1,000,000 2,000,000 1,500,000 25,000 (19,500) 5,500 5,000 (500,000) (25.00%) (500) (9.09 % ) 1,025,000 980,500 2,005,500 1,505,000 (500,500) (24.96%) Expenditures Transfers out - #204 80,775 0 80,775 81,100 325 0.40% Transfers out-#303 1,662,684 0 1,662,684 1,113,649 (549,035) (33.02%) Transfers out - #311 (pavement preservation) 827,279 0 827,279 914,900 87,621 10.59% Transfers out - #314 1,127,387 (839,466) 287,921 0 (287,921) (100.00%) Total expenditures 3,698,125 (839,466) 2,858,659 2,109,649 (749,010) (26.20%) Revenues over (under) expenditures (2,673,125) (853,159) (604,649) Beginning fund balance 5,165,924 5,165,924 4,312,765 Ending fund balance 2,492,799 4,312,765 3,708,116 (CAPITAL PROJECTS FUNDS -continued #303 - STREET CAPITAL PROJECTS FUND Revenues Grant Proceeds 6,843,308 0 6,843,308 6,956,322 113,014 1.65% Developer 53,703 0 53,703 1,164,399 1,110,696 2068.22% Transfers in - #301 316,620 0 316,620 361,780 45,160 14.26% Transfers in-#302 1,662,684 0 1,662,684 1,113,649 (549,035) (33.02%) Transfers in - #312 0 14,000 14,000 225,000 211,000 1507.14% Transfers in - #315 0 80,000 80,000 150,000 70,000 87.50% Total revenues 8,876,315 94,000 8,970,315 9,971,150 1,000,835 11.16% Expenditures 205 Sprague/Barker Intersections Improvement 329,453 0 329,453 1,871,500 1,542,047 468.06% 249 Sullivan/WellesleyIntersection 1,020,522 0 1,020,522 1,903,176 882,654 86.49% 267 Mission Ave Sidewalk 11,310 0 11,310 0 (11,310) (100.00%) 275 Barker Rd Widening - River to Euclid 1,132,320 14,000 1,146,320 0 (1,146,320) (100.00%) 285 Indiana Ave Pres - Evergreen to Sullivan 7,210 0 7,210 0 (7,210) (100.00%) 293 2018 CSS Citywide Reflective Signal BP 74,250 0 74,250 8,250 (66,000) (88.89%) 294 Citywide Reflective Signal Post Panels 17,875 0 17,875 3,575 (14,300) (80.00%) 299 Argonne Rd Concrete Pvmt Indiana to Mont 2,392,450 0 2,392,450 130,017 (2,262,433) (94.57%) 300 Pines and Mission Intersection Improvement 498,000 0 498,000 1,746,643 1,248,643 250.73% 301 Park and Mission Intersection Improvements 693,000 0 693,000 0 (693,000) (100.00%) 310 Sullivan Rd Overcrossing UP RR Deck Repl 317,625 0 317,625 0 (317,625) (100.00%) 313 Barker Rd/Union Pacific Crossing 1,312,500 0 1,312,500 1,444,000 131,500 10.02% 318 Wilbur Sidewalk - Boone to Mission 50,000 0 50,000 572,909 522,909 1045.82% 320 Sullivan Preservation - Sprague to 8th 19,800 0 19,800 412,000 392,200 1980.81% 326 2020 Citywide Reetroreflective Post Plates 0 0 0 142,880 142,880 0.00% 329 Barker Road Imp- City Limits to Appleway 0 80,000 80,000 250,000 170,000 212.50% Mission Ave over Evergreen Deck Repair 0 0 0 261,200 261,200 0.00% School zone beacons 0 0 0 225,000 225,000 0.00% Contingency 1,000,000 0 1,000,000 1,000,000 0 0.00% Total expenditures 8,876,315 94,000 8,970,315 9,971,150 1,000,835 11.16% Revenues over (under) expenditures 0 0 0 Beginning fund balance 67,402 67,402 67,402 Ending fund balance 67,402 67,402 67,402 Note: Work performed for pavement preservation projects out of the Street Capital Projects Fund is for items such as sidewalk upgrades that were bid with the pavement preservation work. 38 CITY OF SPOKANE VALLEY, WA 2022 Budget 'CAPITAL PROJECTS FUNDS -continued #309 - PARK CAPITAL PROJECTS FUND Revenues Grant Proceeds Transfers in - #001 Transfers in - #312 Total revenues 2021 As As Adopted Amendment Amended 480,530 160,000 565,150 44,730 35,000 467,536 525,260 195,000 1,032,686 2022 Budget 126,100 160,000 4,522,420 10/26/2021 Difference Between 2021 and 2022 OA (399,160) (35,000) 3,489,734 (75.99 % ) (17.95 % ) 337.93% 1,205,680 547,266 1,752,946 4,808,520 3,055,574 174.31% Expenditures 268 Appleway Trail (Evergreen to Sullivan) 0 2,033 2,033 0 (2,033) (100.00%) 304 CenterPlace west lawn improvements - Ph. 2 0 20,000 20,000 0 (20,000) (100.00%) 305 CenterPlace roof repairs 0 15,000 15,000 0 (15,000) (100.00%) 314 Balfour Park frontage improvements 565,150 0 565,150 0 (565,150) (100.00%) 315 Browns Park improvements 2020 499,805 204,926 704,731 0 (704,731) (100.00%) 316 Balfour Park improvements - Ph 1 0 367,503 367,503 3,507,520 3,140,017 854.42% Install stage fill speakers Great Room 6,346 0 6,346 0 (6,346) (100.00%) Repair failed pixels Great Room 6,505 0 6,505 0 (6,505) (100.00%) Reprogram Great Room AN System 12,499 0 12,499 0 (12,499) (100.00%) Repair/replace siding at Mirabeau restroom 30,000 0 30,000 0 (30,000) (100.00%) Sullivan Park water line 0 98,000 98,000 441,000 343,000 350.00% Replace pond liner at Mirabeau 0 0 0 80,000 80,000 0.00% Spokane Valley River Loop Trail 0 0 0 700,000 700,000 0.00% Total expenditures 1,120,305 707,462 1,827,767 4,728,520 2,900,753 158.70% Revenues over (under) expenditures Beginning fund balance Ending fund balance 85,375 75,577 160,952 (74,821) 75,577 80,000 756 756 80,756 #310 - CIVIC FACILITIES CAPITAL PROJECTS FUND Revenues Investment Interest 3,100 (2,300) 800 1,300 500 62.50% Total revenues 3,100 (2,300) 800 1,300 500 62.50% Expenditures Transfers out - #312 0 3,600 3,600 0 (3,600) (100.00%) Total expenditures 0 3,600 3,600 0 (3,600) (100.00%) Revenues over (under) expenditures 3,100 (2,800) 1,300 Beginning fund balance 842,964 842,964 840,164 Ending fund balance 846,064 840,164 841,464 Note: The fund balance in #310 includes $839, 285.10 paid by the Library District for 2.82 acres at the Balfour Park site. If the District does not succeed in getting a voted bond approved by October 2022 then the City may repurchase this land at the original sale price of $839, 285.10. #311 - PAVEMENT PRESERVATION Revenues Transfers in - #001 991,843 0 991,843 1,001,800 9,957 1.00% Transfers in - #106 1,500,000 37,776 1,537,776 1,600,000 62,224 4.05% Transfers in - #301 827,278 0 827,278 914,900 87,622 10.59% Transfers in - #302 827,279 0 827,279 914,900 87,621 10.59% Grant Proceeds 0 0 0 1,029,000 1,029,000 0.00% Total revenues 4,146,400 37,776 4,184,176 5,460,600 1,276,424 30.51% Expenditures Pavement preservation 4,676,350 (885,473) 3,790,877 7,202,000 3,411,123 89.98% Pre -project GeoTech 50,000 0 50,000 50,000 0 0.00% Total expenditures 4,726,350 (885,473) 3,840,877 7,252,000 3,411,123 88.81 Revenues over (under) expenditures Beginning fund balance Ending fund balance (579,950) 5,792,145 5,212,195 343,299 (1,791,400) 5,792,145 6,135,444 6,135,444 4,344,044 39 CITY OF SPOKANE VALLEY, WA 2022 Budget CAPITAL PROJECTS FUNDS -continued #312 - CAPITAL RESERVE FUND Revenues Transfers in - #001 ('19 fund bal >50%) Transfers in - #310 Proceeds from sale of land Grant Proceeds Investment Interest Total revenues 2021 As As Adopted Amendment Amended 2022 Budget 10/26/2021 Difference Between 2021 and 2022 OA 0 11,126,343 11,126,343 0 (11,126,343) (100.00%) 0 3,600 3,600 0 (3,600) (100.00%) 0 109,400 109,400 0 (109,400) (100.00%) 0 1,000,000 1,000,000 0 (1,000,000) (100.00%) 100,000 (92,500) 7,500 10,000 2,500 33.33% 100,000 12,146,843 12,246,843 10,000 (12,236,843) (99.92%) Expenditures Transfers out - #001 (police vehicle replacements) 0 0 0 1,400,000 1,400,000 0.00% Transfers out - #303 (Barker Road Corridor) 0 14,000 14,000 0 (14,000) (100.00%) Transfers out - #303 (school zone beacons) 0 0 0 225,000 225,000 0.00% Transfers out - #309 (Appleway Trail - Evergreen-Sullivai 0 2,033 2,033 0 (2,033) (100.00%) Transfers out - #309 (Balfour Park frontage improvement 565,150 0 565,150 0 (565,150) (100.00%) Transfers out - #309 (Balfour Park improvements ph) 367,503 367,503 3,507,520 3,140,017 854.42% Transfers out - #309 (Sullivan Park water line) 0 98,000 98,000 314,900 216,900 221.33 Transfers out - #309 (Spokane Valley River Loop Trail) 0 0 0 700,000 700,000 0.00% Transfers out - #314 (Pines Rd Underpass) 64,192 562,123 626,315 0 (626,315) (100.00%) Transfers out - #314 (Barker Rd Overpass) 411,582 284,834 696,416 724,905 28,489 4.09% Transfers out - #314 (Sullivan Rd Interchange) 250,000 75,000 325,000 101,385 (223,615) (68.80%) Transfers out - #316 (Fairgrounds Building) 0 10,000 10,000 750,000 740,000 7400.00% WSDOT Sullivan Park Property Acquisition 759,600 0 759,600 0 (759,600) (100.00%) Flora & Montgomery Trailhead Land Acquisition 0 300,000 300,000 0 (300,000) (100.00%) Ponderosa ParkLand Land Acquisition 0 1,600,000 1,600,000 0 (1,600,000) (100.00%) Sprague Ave Land Acquisition 0 2,225,000 2,225,000 0 (2,225,000) (100.00%) Total expenditures 2,050,524 5,538,493 7,589,017 7,723,710 134,693 1.77% Revenues over (under) expenditures Beginning fund balance Ending fund balance (1,950,524) 8,503,764 6,553,240 4,657,826 (7,713,710) 8,503,764 13,161,590 13,161,590 5,447,880 #314 - RAILROAD GRADE SEPARATION PROJECTS FUND Revenues Grant Proceeds 11,508,819 (8,581,819) 2,927,000 1,560,290 (1,366,710) (46.69%) Developer Contributions 0 0 0 308,592 308,592 0.00% Transfers in - #302 1,127,387 (839,466) 287,921 0 (287,921) (100.00%) Transfers in - #312 725,774 921,957 1,647,731 826,290 (821,441) (49.85 % ) Total revenues Expenditures 143 Barker BNSF Grade Separation 223 Pines Rd Underpass 311 Sullivan Rd Interchange Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 13,361,980 (8,499,328) 4,862,652 2,695,172 (2,167,480) (44.57%) 9,396,870 (8,262,533) 1,134,337 4,149,450 (246,135) 3,903,315 250,000 75,000 325,000 1,307,293 1,366,585 101,385 172,956 (2,536,730) (223,615) 15.25% (64.99 % ) (68.80%) 13,796,320 (8,433,668) 5,362,652 2,775,263 (2,587,389) (48.25%) (434,340) 793,526 359,186 (500,000) 793,526 (80,091) 293,526 293,526 213,435 #315 - TRANSPORTATION IMPACT FEES FUND Revenues Transportation Impact Fees 0 150,000 150,000 200,000 50,000 33.33% Total revenues Expenditures Transfers out - #303 0 150,000 150,000 200,000 50,000 33.33% 0 80,000 80,000 150,000 70,000 87.50% Total expenditures 0 80,000 80,000 150,000 70,000 87.50% Revenues over (under) expenditures 0 70,000 50,000 Beginning fund balance 0 0 70,000 Ending fund balance 0 70,000 120,000 #316 - ECONOMIC DEVELOPMENT CAPITAL PROJECTS FUND Revenues Transfers in - #312 (fairgrounds building) 0 10,000 10,000 750,000 740,000 7400.00% Total revenues 0 10,000 10,000 750,000 740,000 7400.00% Expenditures Fairgrounds Building 0 10,000 10,000 750,000 740,000 7400.00% Total expenditures 0 10,000 10,000 750,000 740,000 7400.00% Revenues over (under) expenditures 0 0 0 Beginning fund balance 0 0 0 Ending fund balance 0 0 0 40 CITY OF SPOKANE VALLEY, WA 2022 Budget 'ENTERPRISE FUNDS #402 - STORMWATER FUND 'RECURRING ACTIVITY Revenues Stormwater Management Fees Investment Interest 2021 As As Adopted Amendment Amended 2022 Budget 10/26/2021 Difference Between 2021 and 2022 OA 1,900,000 0 1,900,000 1,910,000 10,000 0.53 40,000 0 40,000 2,000 (38,000) (95.00%) Total Recurring Revenues 1,940,000 0 1,940,000 1,912,000 (28,000) (1.44%) Expenditures Wages / Benefits / Payroll Taxes 538,864 13,830 552,694 560,631 7,937 1.44% Supplies 14,750 0 14,750 18,150 3,400 23.05% Services & Charges 1,320,643 0 1,320,643 1,248,395 (72,248) (5.47 % ) Intergovernmental Payments 45,000 0 45,000 45,000 0 0.00% Vehicle rentals - #501 6,750 0 6,750 6,750 0 0.00% Total Recurring Expenditures 1,926,007 13,830 1,939,837 1,878,926 (60,911) (3.14%) Recurring Revenues Over (Under) Recurring Expenditures 13,993 (13,830) 163 33,074 'NONRECURRING ACTIVITY Revenues Grant Proceeds 100,000 0 100,000 0 (100,000) (100.00%) Total Nonrecurring Revenues 100,000 0 100,000 0 (100,000) (100.00 % ) Expenditures Capital - various projects 500,000 160,000 660,000 315,000 (345,000) (52.27 % ) Watershed studies 100,000 0 100,000 100,000 0 0.00% Stormwater Comprehensive Plan Update 100,000 0 100,000 100,000 0 0.00% Generator for Maintenance Shop (1/2 cost to #101) 0 0 0 50,000 Total Nonrecurring Expenditures 700,000 160,000 860,000 565,000 (295,000) (34.30%) Nonrecurring Revenues Over (Under) Nonrecurring Expenditures (600,000) (160,000) (760,000) (565,000) Excess (Deficit) of Total Revenues Over (Under) Total Expenditures (586,007) (173,830) (759,837) (531,926) Beginning working capital 2,159,796 2,159,796 1,399,959 Ending working capital 1,573,789 1,399,959 868,033 Stormwater Fund Summary Total revenues 2,040,000 0 2,040,000 1,912,000 Total expenditures 2,626,007 173,830 2,799,837 2,443,926 Excess (Deficit) of Total Revenues Over (Under) Total Expenditures (586,007) (173,830) (759,837) (531,926) Beginning unrestricted fund balance 2,159, 796 2,159, 796 1,399, 959 Ending unrestricted fund balance 1,573,789 1,399,959 868,033 #403 - AQUIFER PROTECTION AREA Revenues Spokane County 460,000 0 460,000 460,000 0 0.00% Grant Proceeds 2,122,045 (615,000) 1,507,045 1,881,600 374,555 24.85% Investment Interest 15,000 (13,000) 2,000 1,900 (100) (5.00%) Total revenues 2,597,045 (628,000) 1,969,045 2,343,500 374,455 19.02% Expenditures Capital - various projects 2,378,109 580,431 2,958,540 3,008,800 50,260 1.70% Effectiveness study 0 0 0 55,000 55,000 0.00% Total expenditures 2,378,109 580,431 2,958,540 3,063,800 105,260 3.56% Revenues over (under) expenditures Beginning working capital Ending working capital 218,936 2,120, 365 2,339,301 (989,495) (720,300) 2,120,365 1,130,870 1,130,870 410,570 41 CITY OF SPOKANE VALLEY, WA 2022 Budget (INTERNAL SERVICE FUNDS #501 - ER&R FUND Revenues Vehicle rentals - #001 Vehicle rentals - #101 Vehicle rentals - #101 (plow replace.) Vehicle rentals - #402 Transfer in - #001 (CenterPlace kitchen reserve) Transfer in - #001 (Code Enforcement Vehicle) Transfer in - #101 (Additional dump bed truck) nvestment Interest Total revenues 2021 As As Adopted Amendment Amended 2022 Budget 10/26/2021 Difference Between 2021 and 2022 OA 31,300 0 31,300 31,300 0 10,250 0 10,250 10,250 0 60,500 0 60,500 60,500 0 6,750 0 6,750 6,750 0 36,600 0 36,600 0 (36,600) 0 0 0 40,000 40,000 0 0 0 80,000 80,000 10,000 0 10,000 1,200 (8,800) 0.00% 0.00% 0.00% 0.00% (100.00%) 0.00% 0.00% (88.00 % ) 155,400 0 155,400 230,000 74,600 48.01% Expenditures Small tools & minor equipment 10,000 0 10,000 10,000 0 0.00% Vehicle purchase 130,000 0 130,000 262,500 132,500 101.92% Snow plow purchase 0 0 0 250,000 250,000 0.00% Loader purchase 0 0 0 0 0 0.00% Total expenditures 140,000 0 140,000 522,500 382,500 273.21% Revenues over (under) expenditures 15,400 15,400 (292,500) Beginning working capital 1,387,962 1,387,962 1,403,362 Ending working capital 1,403,362 1,403,362 1,110,862 #502 - RISK MANAGEMENT FUND Revenues Transfers in - #001 425,000 0 425,000 450,000 25,000 5.88% Total revenues 425,000 0 425,000 450,000 25,000 5.88% Expenditures Auto & Property Insurance 425,000 0 425,000 450,000 25,000 5.88% Total expenditures 425,000 0 425,000 450,000 25,000 5.88% Revenues over (under) expenditures 0 0 0 Beginning fund balance 340,484 340,484 340,484 Ending fund balance 340,484 340,484 340,484 #632 - PASSTHROUGH FEES & TAXES FUND Revenues Fees & taxes collected for other governments 0 399,687 399,687 400,000 313 0.08% Total revenues 0 399,687 399,687 400,000 313 0.08% Expenditures Fees & taxes remitted to other governments 0 400,000 400,000 400,000 0 0.00% Total expenditures 0 400,000 400,000 400,000 0 0.00% Revenues over (under) expenditures 0 Beginning fund balance 313 Ending fund balance 313 TOTAL OF ALL FUNDS (313) 313 0 0 0 0 Total of Revenues for all Funds 90,086,029 10,708,844 100,794,873 96,127,261 Total of Expenditures for all Funds 97,968,784 10,496,897 108,465,681 107,856,818 Total grant revenues (included in total revenues) 21,079,702 (8,088,089) 12,991,613 11,813,312 Total Capital expenditures (included in total expenditures) 32,524,699 (3,450,640) 29,074,059 32,082,233 42 CITY OF SPOKANE VALLEY, WA 2022 Budget Revenues by Fund General Fund Property Tax Sales Tax Sales Tax - Public Safety Sales Tax - Criminal Justice Gambling and Leasehold Excise Tax Franchise Fees/Business Registration State Shared Revenues Service Revenues Fines and Forfeitures Recreation Program Fees Miscellaneous, Investment Int., Transfers Total General Fund 13,199,900 27,720,000 1,276,000 2,244,000 365,000 1,215,000 1,995,500 2,636,200 527,700 652,400 2,001,000 $ 53,832,700 Other Funds 101 Street Fund $ 5,874,119 103 Paths & Trails Fund 8,100 104 Hotel/Motel Tax Tourism Facilities Fund 402,500 105 Hotel/Motel Tax Fund 601,000 106 Solid Waste Fund 1,832,000 107 PEG Fund 79,000 108 Affordable & Supportive Housing Sales Tax 193,000 122 Winter Weather Reserve Fund 800 204 LTGO Bond Debt Service Fund 1,064,800 301 REET 1 Capital Projects Fund 1,502,000 302 REET 2 Capital Projects Fund 1,505,000 303 Street Capital Projects Fund 9,971,150 309 Parks Capital Projects Fund 4,808,520 310 Civic Facilities Capital Projects Fund 1,300 311 Pavement Preservation Fund 5,460,600 312 Capital Reserve Fund 10,000 314 Railroad Grade Separation Projects Fund 2,695,172 315 Transportation Impact Fees Fund 200,000 316 Economic Development Capital Projects Fund 750,000 402 Stormwater Management Fund 1,912,000 403 Aquifer Protection Area Fund 2,343,500 501 Equipment Rental & Replacement Fund 230,000 502 Risk Management Fund 450,000 632 Passthrough Fees & Taxes Fund 400,000 Total Other Funds 42,294,561 Total All Funds $ 96,127,261 43 CITY OF SPOKANE VALLEY, WA 2022 General Fund Revenues $53,832,700 Recreation Program Fees 1% Fines & Forfeitures 1% Service Revenues 5% State Shared Revenues 4% Franchise Fees/Business Registrations 2% Gambling Tax 1% Public Safety Sales Tax 2% Criminal Justice Sales Tax 4% Miscellaneous 4% atititt Property Tax 25% Other Special Revenue Funds 3% Street Fund 6% CITY OF SPOKANE VALLEY, WA 2022 City Wide Revenues $ 96,127,261 Debt Service Fund 1% Hill Hull Hill r ; Hill HillI IGeneral Fund 57% Capital Projects Funds 27% Stormwater Management Fund 2% APA Fund 3% Internal Service Funds 1% 45 Property Tax Property Tax Property Tax - Delinquent Sales Taxes Sales Tax Sales Tax - Public Safety Sales Tax - Criminal Justice CITY OF SPOKANE VALLEY, WA 2022 Budget - General Fund Detail Revenues by Type 2018 Actual 2019 Actual 2020 Actual 2021 Amended Budget 2022 Proposed Budget 11, 511,773 11, 977,663 11, 958,296 12, 724,200 13,199,900 197,138 187,462 127,001 0 0 11,708,911 22,642,855 1,074,037 1,906,001 12,165,125 12,085,298 24,204,763 1,149,040 2,028,789 25,238,481 1,163,313 2,049,075 12, 724,200 13,199,900 25,200,000 1,160,000 2,040,000 27,720,000 1,276,000 2,244,000 25,622,893 27,382,592 28,450,869 28,400,000 31,240,000 Gambling and Leasehold Excise Tax Amusement Games 13,456 14,401 3,906 13,000 13,000 Card Games 284,720 326,721 210,466 285,000 280,000 Bingo & Raffles 1,278 2,101 421 1,000 1,000 Punch Boards & Pull Tabs 64,303 76,573 63,676 67,000 64,000 Leasehold Excise Tax 5,469 8,029 6,608 7,000 7,000 Leasehold Excise Tax (State) 11,140 13,790 0 11,000 0 Licenses & Permits General Business Licenses Franchise Fees 380,366 117,917 1,092,287 1,210,204 441,615 285,077 115,235 114,652 1,100,597 1,126,185 1,215,832 1,240,837 384,000 365,000 115,000 115,000 1,100,000 1,100,000 1,215,000 1,215,000 State Shared Revenues City Assistance State Revenue 27,311 112,334 109,309 0 0 Streamline Mitigation of Sales Tax 333,140 2,004 0 0 0 Payment in Lieu of Taxes - DNR 0 3,630 7,347 4,000 4,000 CJ - High Crime 268,009 263,038 275,589 0 100,000 MVET Criminal Justice - Population 27,780 29,063 30,723 32,000 34,500 CJ Contracted Services 171,356 179,012 188,640 165,000 170,000 CJ Special Programs 100,300 104,438 109,811 114,000 122,000 Marijuana Enforcement 0 0 0 0 0 Marijuana Excise Tax Distribution 259,242 187,547 184,812 109,000 147,000 DUI - Cities 14,004 13,038 14,712 14,000 14,000 Liquor Board Excise Tax 487,739 533,694 637,464 552,000 636,000 Liquor Board Profits 786,251 781,018 776,368 770,000 768,000 2,475,132 2,208,816 2,334,776 1,760,000 1,995,500 Service Revenues Accessory Dwelling 420 588 924 353 500 Building & Planning Fees 77,010 263,991 245,449 158,390 189,200 Planning Fees 751,859 909,688 918,230 547,702 661,000 Building Permits 1,414,420 1,508,693 1,705,159 905,216 1,376,000 Code Enforcement 15,050 10,734 18,339 6,440 11,000 Demolition Permits 4,074 4,553 4,147 2,732 4,000 Entertainment License 0 7,087 1,575 4,252 4,000 Grading Permits 22,619 26,286 26,366 15,772 16,000 Home Profession Fee 3,192 2,520 2,688 1,512 3,000 Mechanical Permits 146,519 147,879 158,269 88,727 129,000 Misc. Permits & Fees 18,492 23,968 33,558 13,128 22,000 Plumbing Permits 79,097 74,808 100,957 44,885 73,000 Right of Way Permits 204,963 197,026 164,560 118,216 145,000 Street Vacation Permits 0 4,095 2,730 1,300 2,000 Temporary Use Permit Fees 157 157 471 94 500 2,737,872 3,182,073 3,383,422 1,908,719 2,636,200 46 Fines and Forfeitures Public Safety False Alarm Services Public Safety Grants Fines & Forfeits - Traffic Other Criminal- Non Traffic Fines CITY OF SPOKANE VALLEY, WA 2022 Budget - General Fund Detail Revenues by Type 2018 Actual 27,134 0 414,647 536,505 978,286 2019 Actual 64,845 0 428,191 459,460 2020 Actual 56,785 0 341,939 3,620 952,496 402,344 2021 Amended Budget 75,000 50,000 389,300 31,700 2022 Proposed Budget 60,000 50,000 389,200 28,500 546,000 527,700 Recreation Program Charges Activity Fees (To use a recreational facility) 459,368 526,026 130,049 460,600 469,400 Program Fees (To participate in a program) 205,289 205,914 18,140 183,000 183,000 664,657 731,940 148,189 643,600 652,400 Miscellaneous AWC Health & Wellness 949 0 0 1,000 1,000 Investment Interest 690,528 916,684 254,636 500,000 200,000 Sales Tax Interest 34,772 46,720 32,590 35,000 30,000 Interest on Gambling Tax 70 138 355 300 300 Interest on Liens & Judgments 0 187 0 1,000 1,000 Police Precinct Rent 38,244 39,178 39,888 39,000 40,000 Police Precinct Maintenance 14,694 14,717 14,523 15,000 15,000 Judgments and Settlements 0 1,686 0 0 0 Miscellaneous Revenue & Grant Proceeds 20,776 28,458 59,562 110,000 281,000 COVID-19 Stimulus Funding 0 0 4,352,400 0 0 Copy Charges 766 1,520 856 0 1,500 SCRAPS pass -through 1,137 1,172 1,189 1,200 1,200 801,936 1,050,460 4,755,999 702,500 571,000 Transfers Transfers in - #101 (street admin) 39,700 0 0 0 0 Transfers in - #105 (h/m tax-CP advertising) 26,037 30,000 11,390 30,000 30,000 Transfers in - #106 (solid waste repayment) 40,425 40,422 0 0 0 Transfers in - #312 (police vehicle replacements 0 0 0 0 1,400,000 Transfers in - #402 (storm admin) 13,400 0 0 0 0 Transfers in - #501 0 0 0 0 0 119,562 70,422 11,390 30,000 1,430,000 Total General Fund Revenue 46,699,819 49,401,371 53,098,201 48,314,019 53,832,700 47 101 - Street Fund Utilities tax Motor Vehicle Fuel (Gas) Tax Multimodal Transportation Revenue Right -of -Way Maintenance Fee Investment Interest Other Miscellaneous Revenues & Grants Nonrecurring Transfer in - #001 Nonrecurring Transfer in - #122 Nonrecurring Transfer in - #312 CITY OF SPOKANE VALLEY, WA 2022 Budget - Other Funds Detail Revenues by Type 2018 Actual 2019 Actual 2020 Actual 2021 Amended Budget 2022 Proposed Budget 1,854,641 1,563,981 1,388,026 1,000,000 932,000 2,063,390 2,018,186 1,737,864 1,800,000 1,896,000 133,525 132,637 131,847 130,600 130,200 94,571 84,704 93,033 70,000 85,000 17,504 4,022 829 4,000 500 97,958 23,911 55,441 10,000 10,000 0 0 0 2,552,600 2,820,419 0 620,000 364,439 0 0 0 907,544 1,364,706 0 0 4,261 ,589 5,354,985 5,136,185 5,567,200 5,874,119 103 - Paths & Trails Fund Motor Vehicle Fuel (Gas) Tax 8,703 8,512 7,330 8,700 8,000 Investment interest 390 186 71 200 100 9,093 8,698 7,401 8,900 8,100 104 - Hotel/Motel Tax - Tourism Facilities Fund Hotel/Motel Tax 415,295 454,283 283,720 400,000 400,000 Transfers in - #105 250,000 275,000 0 1,157,000 0 Investment interest 24,183 43,589 11,908 2,500 2,500 105 - Hotel/Motel Tax Fund Hotel/Motel Tax Investment Interest 689,478 772,872 295,628 1,559,500 402,500 646,975 743,852 443,244 750,000 600,000 7,058 8,459 2,705 700 1,000 654,033 752,311 445,949 750,700 601,000 106 - Solid Waste Solid Waste Administrative fee 182,900 252,396 219,943 225,000 225,000 Solid Waste Road Wear fee 1,108,028 1,513,532 1,537,776 1,500,000 1,600,000 Grant Proceeds 0 0 0 0 0 Investment Interest 12,486 24,752 7,804 12,000 7,000 1,303,414 1,790,680 1,765,523 1,737,000 1,832,000 107 - PEG Fund Comcast PEG contribution 81,322 79,498 76,541 79,000 79,000 Investment Interest 971 2,096 596 0 0 82,293 81,594 77,138 79,000 79,000 108 - Affordable & Supportive Housing Sales Tax Affordable & Supportive Sales Tax Investment Interest 0 0 0 0 151,950 193,000 193,000 0 83 0 0 0 152,033 193,000 193,000 122 - Winter Weather Reserve Fund FEMA Grant Proceeds 0 10,366 0 0 0 Investment Interest 5,354 9,899 1,147 1,900 800 Transfer in - #001 490,000 120,000 500,000 364,440 0 495,354 140,265 501,147 366,340 800 204 - Debt Service - LTGO 03 Fund Facilities District Revenue 414,050 432,150 459,500 480,800 501,200 Transfers in - #001 399,350 401,250 401,450 401,500 401,400 Transfers in -#301 82,000 82,475 80,375 80,775 81,100 Transfers in -#302 82,000 82,475 80,375 80,775 81,100 977,400 998,350 1,021,700 1,043,850 1,064,800 48 301 - REET 1 Capital Protects Fund REET 1 - 1st Quarter Percent Investment Interest 302 - REET 2 Capital Protects Fund REET 2 - 2nd Quarter Percent Investment Interest CITY OF SPOKANE VALLEY, WA 2022 Budget - Other Funds Detail Revenues by Type 2018 Actual 1,968,317 47,045 2,015,362 1,968,317 61,879 2,030,196 2019 Actual 2020 Actual 1,695,344 1,754,320 61,383 14,742 1,756,727 1,769,062 1,695,344 1,754,320 80,784 22,425 1,776,128 1,776,745 2021 Amended Budget 2022 Proposed Budget 2,000,000 1,500,000 3,000 2,000 2,003,000 1,502,000 2,000,000 1,500,000 5,500 5,000 2,005,500 1,505,000 303 - Street Capital Protects Fund Grant Proceeds 6,566,816 2,783,332 2,813,485 6,843,308 6,956,322 Developer Contributions 29,144 228,953 540,325 53,703 1,164,399 Investment Interest 0 586 0 0 0 Transfers in - #301 901,287 517,107 330,295 316,620 361,780 Transfers in -#302 1,031,071 (192,297) 149,678 1,662,684 1,113,649 Transfers in - #312 (547,287) 1,999,130 916,837 14,000 225,000 Transfers in - #315 0 0 0 80,000 150,000 7,981,031 5,336,811 4,750,619 8,970,315 9,971,150 309 - Parks Capital Projects Fund Grant Proceeds 1,605,948 1,114,049 1,334,842 525,260 126,100 Investment Interest 183 83 0 0 0 Transfers in -#001 583,206 1,334,369 2,941,166 195,000 160,000 Transfers in - #103 50,000 0 0 0 0 Transfers in - #312 289,661 262,599 131,985 1,032,686 4,522,420 2,528,998 310 - Civic Facilities Capital Protects Fund Investment Interest 14,049 2,711,100 4,407,993 1,752,946 4,808,520 16,700 3,679 800 1,300 14,049 16,700 3,679 800 1,300 311 - Pavement Preservation Fund Grants 1,422,404 3,665,905 98,281 0 1,029,000 Investment Interest 54,724 49,593 10,960 0 0 Transfers in -#001 962,700 972,300 982,023 991,843 1,001,800 Transfers in - #101 67,342 0 0 0 0 Transfers in - #106 1,000,000 1,608,028 1,513,532 1,537,776 1,600,000 Transfers in - #301 685,329 734,300 772,639 827,278 914,900 Transfers in - #302 685,329 734,300 772,638 827,279 914,900 4,877,828 7,764,426 4,150,073 4,184,176 5,460,600 312 - Capital Reserve Fund Sale of Land 405,056 0 0 109,400 0 Grant Proceeds 0 0 0 1,000,000 0 Investment Interest 126,565 225,908 58,187 7,500 10,000 Transfers in -#001 3,795,429 7,109,300 0 11,126,343 0 Transfers in - #309 0 0 200,000 0 0 Transfers in - #310 0 18,452 16,700 3,600 0 Transfers in - #313 0 88,589 0 0 0 313 -City Hall Construction Fund Investment Interest 2016 LTGO Bond Issue Proceeds/Premium 4,327,050 7,442,249 274,887 12,246,843 10,000 1,416 953 0 0 0 0 0 0 0 0 1,416 953 0 0 0 314 - Railroad Grade Separation Projects Fund Grant Proceeds 571,136 1,447,398 3,394,512 2,927,000 1,560,290 Investment Interest 16,591 15,883 412 0 0 Developer Contribution 0 0 0 0 308,592 Transfers in - #301 0 104,918 1,335,879 0 0 Transfers in - #302 (8,147) 0 0 287,921 0 Transfers in - #312 0 0 198,701 1,647,731 826,290 315 - Transportation Impact Fees Fund Transportation Impact Fees 579,580 1,568,199 4,929,503 4,862,652 2,695,172 0 0 0 150,000 200,000 0 0 0 150,000 200,000 316 - Economic Development Capital Protects Fund Transfer in - #312 (fairgrounds building) 0 0 0 10,000 750,000 0 0 0 10,000 750,000 49 402 - Stormwater Management Fund Stormwater Management Fee Grant Proceeds - Nonrecurring Investment Interest 403 - Aquifer Protection Area Fund Spokane County Grant Proceeds Investment Interest CITY OF SPOKANE VALLEY, WA 2022 Budget - Other Funds Detail Revenues by Type 2018 Actual 2019 Actual 2020 Actual 2021 Amended Budget 1,920,509 1,936,362 1,910,349 1,900,000 128,695 58,746 304 100,000 40,465 48,642 10,726 40,000 2,089,669 462,980 597,733 28,620 2,043,750 1,921,379 469,429 101,715 37,329 426,234 60,996 9,135 2022 Proposed Budget 1,910,000 0 2,000 2,040,000 1,912,000 460,000 1,507,045 2,000 460,000 1,881,600 1,900 1,089,333 608,473 496,365 1,969,045 2,343,500 501 - Equipment Rental & Replacement Fund Vehicle rentals-#001 30,000 30,000 28,000 31,300 31,300 Vehicle rentals-#101 21,250 21,250 14,500 10,250 10,250 Vehicle rentals - #101 (plow replace.) 77,929 77,929 48,500 60,500 60,500 Vehicle rentals - #402 12,750 12,750 14,000 6,750 6,750 Transfers in - #001 (CenterPlace kitchen reserve) 36,600 36,600 0 36,600 0 Transfers in - #001 (Additional Vehicle) 0 0 64,072 0 40,000 Transfers in - #101 (Additional dump bed truck) 0 0 0 0 80,000 Investment Interest 19,874 26,715 6,074 10,000 1,200 502 - Risk Management Fund Transfers in - #001 198,403 205,244 175,146 155,400 230,000 370,000 390,000 410,000 Investment Interest 2,135 372,135 425,000 450,000 2,124 248 0 0 392,124 410,248 425,000 450,000 632 - Passthrough Fees & Taxes Fund Fees & Taxes collected for other governments 0 0 372,072 399,687 400,000 Total of "Other Fund" Revenues General Fund Revenues Total Revenues 0 36,577,704 46,699,819 83,277,523 0 372,072 399,687 400,000 41,522,639 34,840,476 49,401,371 53,098,200 90,924,010 87,938,676 52,480,854 42,294,561 48,314,019 53,832,700 100,794,873 96,127,261 50 CITY OF SPOKANE VALLEY, WA 2022 Budget Expenditures by Fund and Department General Fund Council $ 645,170 City Manager 1,471,305 City Attorney 747,890 Public Safety 31,366,434 Operations & Administrative Deputy City Manager 295,477 Finance 1,571,443 Human Resources 330,321 City Hall Operations and Maintenance 400,020 Community & Public Works Engineering 2,440,282 Economic Development 1,188,268 Building and Planning 2,631,423 Parks & Recreation Administration 351,018 Maintenance 950,455 Recreation 330,687 Aquatics 568,700 Senior Center 36,801 CenterPlace 1,009,075 General Government 7,713,332 Total General Fund $ 54,048,101 Other Funds 101 Street Fund 105 Hotel/Motel Tax Fund 106 Solid Waste Fund 107 PEG Fund 122 Winter Weather Reserve Fund 204 LTGO Bond Debt Service Fund 301 REET 1 Capital Projects Fund 302 REET 2 Capital Projects Fund 303 Street Capital Projects Fund 309 Parks Capital Projects Fund 311 Pavement Preservation Fund 312 Capital Reserve Fund 314 Railroad Grade Separation Projects 315 Transportation Impact Fees Fund 316 Economic Development Capital Projects Fund 402 Stormwater Management Fund 403 Aquifer Protection Area 501 Equipment Rental & Replacement (ER&R) 502 Risk Management Fund 632 Passthrough Fees & Taxes Fund 6,039,619 601,000 1,832,000 73,000 500,000 1,064,800 1,357,780 2,109, 649 9,971,150 4,728,520 7,252,000 7,723,710 2,775,263 150,000 750,000 2,443, 926 3,063,800 522,500 450,000 400,000 Total Other Funds $ 53,808,717 Total All Funds $ 107,856,818 51 Community & Public Works 12% City Hall Operations 1% Operations & Administrative 4% Council & Executive 5% CITY OF SPOKANE VALLEY, WA 2022 General Fund Expenditures $54,048,101 Public Safety 58% General Government 14% Parks & Recreation 6% 52 CITY OF SPOKANE VALLEY, WA 2022 City Wide Expenditures $ 107,856,818 Capital Projects Funds 34% Tourism Promotion 1% Street Fund 6% hhh Parks & Recreation 3% Community & Public Works 6% Council / Executive/ Ops & Admin 5% General Government 7% Risk Management 0% Debt Service 1% Public Safety 29% Stormwater & APA Funds 5% Other Activities 3% 53 City Council City Manager City Attorney Public Safety Wages, Benefits & Payroll Taxes CITY OF SPOKANE VALLEY, WA 2022 Budget General Fund Expenditures by Department and Type Supplies Services & Charges Intergovernmental Interfund $ 314,570 $ 5,500 $ 325,100 $ 0 $ 1,260,905 6,800 198,600 0 655,734 3,505 88,651 0 23,126 42,100 396,300 29,425,908 Capital Expenditures Total 0 $ 0 $ 645,170 0 5,000 1,471,305 0 0 747,890 0 1,479,000 31,366,434 Operations & Administrative Deputy City Manager 254,877 600 40,000 0 0 0 295,477 Finance 1,539,543 3,400 28,500 0 0 0 1,571,443 Human Resources 302,561 1,200 26,560 0 0 0 330,321 City Hall Operations and Maintenance 205,520 27,000 167,500 0 0 0 400,020 Community & Public Works Engineering 2,144,619 30,500 265,163 0 0 0 2,440,282 Economic Development 767,023 3,200 418,045 0 0 0 1,188,268 Building and Planning 2,250,373 39,050 342,000 0 0 0 2,631,423 Parks & Recreation Administration 290,768 3,500 56,750 0 0 0 351,018 Maintenance 0 2,500 947,955 0 0 0 950,455 Recreation 239,707 12,400 78,580 0 0 0 330,687 Aquatics 0 2,000 566,700 0 0 0 568,700 Senior Center 29,976 1,600 5,225 0 0 0 36,801 CenterPlace 553,141 83,774 372,160 0 0 0 1,009,075 General Government 0 159,413 1,254,000 260,300 4,873,619 1,166,000 7,713,332 Total $ 10,832,443 $ 428,042 $ 5,577,789 $ 29,686,208 $ 4,873,619 $ 2,650,000 $ 54,048,101 54 City Council Wages, Payroll Taxes & Benefits Supplies Services & Charges Total CITY OF SPOKANE VALLEY, WA 2022 Budget General Fund Department Changes from 2021 to 2022 2021 Adopted Budget 2021 Amended Budget 301,266 5,500 324,800 308,372 5,500 324,800 631,566 2022 Budget 314,570 5,500 325,100 638,672 645,170 Difference Between 2021 and 2022 Increase Decrease) $ 6,198 2.01% 0 0.00% 300 0.09% 6,498 1.02% City Manager Wages, Payroll Taxes & Benefits 1,087,699 1,087,699 1,260,905 173,206 15.92% Supplies 6,800 6,800 6,800 0 0.00% Services & Charges 63,590 81,340 198,600 117,260 144.16% Total 1,158,089 1,175,839 1,466,305 290,466 24.70% City Attorney Wages, Payroll Taxes & Benefits 627,353 627,353 655,734 28,381 4.52% Supplies 4,185 4,185 3,505 (680) (16.25%) Services & Charges 87,055 87,055 88,651 1,596 1.83% Total 718,593 718,593 747,890 29,297 4.08% Public Safety Non -Departmental (Fines & Forfeits) 485,900 0 0 0 0.00% Wages/Payroll Taxes/Benefits 19,000 19,000 23,126 4,126 21.72% Supplies 52,000 52,000 42,100 (9,900) (19.04%) Other Services and Charges 277,715 277,715 313,300 35,585 12.81% Intergovernmental Services 27,267,000 27,549,146 29,425,908 1,876,762 6.81% Total 28,101,615 27,897,861 29,804,434 1,906,573 6.83% Deputy City Manager Wages, Payroll Taxes & Benefits 243,944 243,944 254,877 10,933 4.48% Supplies 700 700 600 (100) (14.29%) Services & Charges 40,200 40,200 40,000 (200) (0.50%) Total 284,844 284,844 295,477 10,633 3.73% Finance/IT Wages, Payroll Taxes & Benefits 1,476,684 1,476,684 1,539,543 62,859 4.26% Supplies 3,000 3,000 3,400 400 13.33% Services & Charges 20,975 20,975 28,500 7,525 35.88% Total 1,500,659 1,500,659 1,571,443 70,784 4.72% Human Resources Wages, Payroll Taxes & Benefits 293,505 293,505 302,561 9,056 3.09% Supplies 1,000 1,000 1,200 200 20.00% Services & Charges 24,035 24,035 26,560 2,525 10.51% Total 318,540 318,540 330,321 11,781 3.70% City Hall Operations & Maintenance Wages, Payroll Taxes & Benefits 106,593 179,101 205,520 26,419 14.75% Supplies 27,000 27,000 27,000 0 0.00% Services & Charges 167,500 167,500 167,500 0 0.00% Total 301,093 373,601 400,020 26,419 7.07% Community & Public Works - Engineering Wages, Payroll Taxes & Benefits 1,855,308 1,855,308 2,144,619 289,311 15.59% Supplies 30,500 30,500 30,500 0 0.00% Services & Charges 212,834 212,834 265,163 52,329 24.59% Total 2,098,642 2,098,642 2,440,282 341,640 16.28% Community & Public Works - Economic Dev Wages, Payroll Taxes & Benefits 639,017 685,316 767,023 81,707 11.92% Supplies 3,000 3,200 3,200 0 0.00% Services & Charges 403,745 408,545 418,045 9,500 2.33% Total 1,045,762 1,097,061 1,188,268 91,207 8.31% Continued to next page 55 CITY OF SPOKANE VALLEY, WA 2022 Budget General Fund Department Changes from 2021 to 2022 (Continued from previous page) Community & Public Works - Building & Planning Wages, Payroll Taxes & Benefits 2,134,016 2,061,508 2,250,373 188,865 9.16% Supplies 35,050 35,050 39,050 4,000 11.41% Services & Charges 318,000 318,000 342,000 24,000 7.55% Total 2,487,066 2,414,558 2,631,423 216,865 8.98% Parks & Rec- Admin Wages, Payroll Taxes & Benefits 292,667 292,667 290,768 (1,899) (0.65%) Supplies 5,000 5,000 3,500 (1,500) (30.00%) Services & Charges 58,800 57,760 56,750 (1,010) (1.75%) Total 356,467 355,427 351,018 (4,409) (1.24%) Parks & Rec- Maintenance Supplies 3,500 3,500 2,500 (1,000) (28.57%) Services & Charges 936,503 936,503 947,955 11,452 1.22% Total 940,003 940,003 950,455 10,452 1.11% Parks & Rec- Recreation Wages, Payroll Taxes & Benefits 230,484 230,484 239,707 9,223 4.00% Supplies 9,150 9,150 12,400 3,250 35.52% Services & Charges 88,900 88,900 78,580 (10,320) (11.61%) Total 328,534 328,534 330,687 2,153 0.66% Parks & Rec- Aquatics Supplies 2,000 2,000 2,000 0 0.00% Services & Charges 508,053 508,053 536,700 28,647 5.64% Total 510,053 510,053 538,700 28,647 5.62% Parks & Rec- Senior Center Wages, Payroll Taxes & Benefits 28,303 28,303 29,976 1,673 5.91% Supplies 1,600 1,600 1,600 0 0.00% Services & Charges 5,500 5,500 5,225 (275) (5.00%) Total 35,403 35,403 36,801 1,398 3.95% Parks & Rec- CenterPlace Wages, Payroll Taxes & Benefits 542,938 542,938 553,141 10,203 1.88% Supplies 85,537 85,537 83,774 (1,763) (2.06%) Services & Charges 343,739 343,739 333,460 (10,279) (2.99%) Total 972,214 972,214 970,375 (1,839) (0.19%) General Government Supplies 81,400 81,400 159,413 78,013 95.84% Services & Charges 813,050 813,050 1,254,000 440,950 54.23% Intergovernmental Services 372,930 372,930 260,300 (112,630) (30.20%) Capital outlays 30,000 30,000 30,000 0 0.00% Total 1,297,380 1,297,380 1,703,713 406,333 31.32% Transfers out-#204 401,500 401,500 401,400 (100) (0.02%) Transfers out - #309 160,000 160,000 160,000 Transfers out - #311 Pavement Preservation 991,843 991,843 1,001,800 Transfers out - #501 36,600 36,600 0 Transfers out - #502 425,000 425,000 450,000 Total recurring expenditures 45,101,466 44,972,827 48,415,982 0 0.00% 9,957 1.00% (36,600) (100.00%) 25,000 5.88% 3,443,155 7.66% Continued to next page 56 CITY OF SPOKANE VALLEY, WA 2022 Budget General Fund Department Changes from 2021 to 2022 (Continued from previous page) Summary by Category Wages, Payroll Taxes & Benefits 9,878,777 9,932,182 10,832,443 900,261 9.06% Supplies 356,922 357,122 428,042 70,920 19.86% Services & Charges 4,694,994 4,716,504 5,426,089 709,585 15.04% Transfers out-#204 401,500 401,500 401,400 (100) (0.02%) Transfers out - #309 160,000 160,000 160,000 0 0.00% Transfers out-#311 991,843 991,843 1,001,800 9,957 1.00% Transfers out - #501 36,600 36,600 0 (36,600) (100.00%) Transfers out - #502 425,000 425,000 450,000 25,000 5.88% Non -Departmental (fines & forfeits) 485,900 0 0 0 0.00% Intergovernmental Svc (public safety) 27,267,000 27,549,146 29,425,908 1,876,762 6.81% Intergovernmental Svc 372,930 372,930 260,300 (112,630) (30.20%) Capital outlay 30,000 30,000 30,000 0 0.00% 45,101,466 44,972,827 48,415,982 3,443,155 7.66% 57 Fund: 001 Dept: 011 General Fund Legislative Branch Spokane Valley 2022 Budget This department accounts for the cost of providing effective elected representation of the citizenry in the governing body. The Council makes policy decisions for the City and is accountable to Spokane Valley citizens by making decisions regarding how resources are allocated, the appropriate levels of service, and establishing goals and policies for the organization. Accomplishments for 2021 • Updated and adopted a 2022 State Legislative Agenda. • Updated and adopted a Federal Legislative Agenda. • Worked with State and Federal Legislators and Lobbyists on behalf of City interests including virtual lobbying efforts. • Acquired 17.7 acres of land in the Ponderosa portion of the City for future park development at a cost of $1.6 million. • Acquired 45 acres of land in the northeast portion of the City for future park development at a cost of $2.1 million. • Applied for and received an RCO grant in the amount of $1 million that partially reimbursed the $2.1 million acquisition fee. • Authorized Staff to complete frontage improvements including roads, curb and gutter and utilities surrounding Balfour Park and the site of the future Spokane County Library District library structure. • Authorized Staff to continue to collaborate with the Spokane County Library District to design a new library and renovate and expand Balfour Park. The City's portion of the project will be limited to the park but bidding the two projects together should yield a much more favorable construction price than if each entity were to bid separately. • Worked with a developer to reallign a portion of Garland Avenue so they could complete a 1.3 million square foot distribution facility that is anticipated to employ 4,000 workers. Cost of the reallignment was born by the developer. • Adopted a balanced 2022 Budget that met our goals of 1) having recurring revenues exceed recurring expenditures, and 2) maintained an ending fund balance of at least 50% of recurring expenditures. • Authorized Staff to create a Street Sustainabilty Committee whose mission was to develop a pavement management plan for the City. • Began the process of researching and discussing how to best utilize $16 million of American Rescue Plan Act (ARPA) to address the economic and social impacts of the COVID-19 pandemic. Goals for 2022 1) Work with state and federal legislators towards advancing the concepts outlined in the Bridging the Valley study including obtaining financial assistance for the Pines, Sullivan, and Park Grade Separation Projects. 2)Actively pursue a plan to sustain the City's Pavement Management Program, to include sustained financing in Street Fund #101 and Pavement Preservation Fund #311. 3) Pursue state and federal financial assistance to address transportation concerns along the entire Barker Corridor. 4) Sustain and expand where possible, economic development efforts including the retention and expansion of existing businesses and recruitment of new businesses. Too, actively partner with local, state and national partners to support the economic and community recovery from the impact of the COVID-19 pandemic. 5) Continue to foster relationships with federal, state, county and local legislators. 6) Pursue financing for Balfour Park and Appleway Trail amenities, and continue the acquisition of park land. 7) Pursue financing for design and construction of connections between the Appleway Trail, Balfour Park, Dishman Hills, the Centennial Trail and Spokane Valley Riverloop Trail, creating where possible, a continuous loop for users. 8) Maximize the law enforcement contract to address staffing levels by enhancing recruiting efforts, minimizing out -of -service days, increasing retention, and taking steps to make the officer positions and the Spokane Valley Police Department increasingly appealing as a career path for those seeking to pursue a law enforcement career in Spokane Valley. 9) Increase community interactions, share information, and obtain feedback on current and future projects and priorities. 10) Prioritize involvement in public safety, in particular discussions regarding major policy considerations from the 2021 State Legislative Session, the jail and the criminal justice system, in order to maintain an understanding of options to keep our costs under control. (continued on next page) 58 Fund: 001 Dept: 011 General Fund Legislative Branch Spokane Valley 2022 Budget (continued from prior page) Personnel - FTE Equivalents Mayor Council Total FTEs Budget Summary 2018 Actual 1.0 6.0 7.0 2019 Actual 1.0 6.0 7.0 2020 Actual 1.0 6.0 7.0 2021 Budget 1.0 6.0 7.0 2022 Budget 1.0 6.0 7.0 Budget Detail Wages, Payroll Taxes & Benefits $ 198,884 $ 262,268 $ 274,379 $ 301,266 $ 314,570 Supplies 6,923 5,489 1,716 5,500 $ 5,500 Services & Charges 197,306 295,366 252,247 324,800 $ 325,100 Total Legislative Branch $ 403,113 $ 563,123 $ 622,187 $ 631,566 $ 645,170 59 Fund: 001 Dept: 013 General Fund Executive Branch Spokane Valley 2022 Budget 013 - City Manager Division This department is accountable to the City Council for the operational results of the organization, effective support of elected officials in achieving their goals, fulfillment of the statutory requirements of the City Manager, implementation of City Council policies, and provision of a communication linkage between citizens, the City Council, City departments, and other government agencies. Accomplishments for 2021 • Worked to support City Council's 2021 Goals as referenced in the Legislative Branch Budget. • Worked with all City departments to update the 2021 Business Plan that is a precursor to the development of the 2022 Budget which is accomplished by linking community priorities, financial projections and City Council Goals. • Prepared a 2022 City Budget with status quo levels of service. • Worked with Council and Staff to prepare a 2021 State Legislative Agenda. • Worked with Council and Staff to update our Federal Legislative Agenda. • Worked with State and Federal Legislators and Lobbyists on behalf of City interests including virtual lobbying in Olympia and Washington D.C. • Worked with Council and Staff in the set-up of a Street Sustainability Committee that was charged with assisting the City to develop a sustainable Pavement Management Program including Stree O&M Fund #101 and Pavement Preservation Fund #311. Goals for 2022 • Focus staff efforts on the City's budget priorities that are composed of public safety, pavement preservation, transportation and infrastructure and economic development. • Work to support City Council's 2022 Goals as referenced under the Legislative Branch Budget. • Present Council with a balanced 2023 Budget that includes General Fund recurring revenues exceeding recurring expenditures and an ending fund balance that is at least 50% of recurring expenditures. • Work with Federal and State Legislators and Lobbyists on behalf of the interests of our City. • Prepare the 2023 State and Federal Legislative Agendas for Council consideration. Budget Summary Personnel - FTE Equivalents City Manager City Clerk Deputy City Clerk Administrative Analyst Senior Administrative Analyst Administrative Assistant (CC) Project Manager Executive Assistant (CM) Housing & Homeless Services Coordinator Total FTEs 2018 Actual 1.0 1.0 1.0 1.0 1.0 1.0 0.0 1.0 0.0 7.0 2019 Actual 1.0 1.0 1.0 1.0 1.0 0.5 0.0 1.0 0.0 6.5 2020 Actual 1.0 1.0 1.0 1.0 1.0 0.5 0.0 1.0 1.0 7.5 2021 Budget 1.0 1.0 1.0 1.0 1.0 0.5 0.0 1.0 1.0 7.5 2022 Budget 1.0 1.0 1.0 1.0 1.0 0.5 1.0 1.0 1.0 8.5 Budget Detail Wages, Payroll Taxes & Benefits $ 783,650 $ 830,903 $ 856,945 $ 1,087,699 $ 1,260,905 Supplies 3,470 3,750 3,026 6,800 6,800 Services & Charges 48,380 53,604 22,352 63,590 198,600 Nonrecurring expenditures 7,341 0 0 5,000 5,000 Total City Manager Division $ 842,841 $ 888,257 $ 882,323 $ 1,163,089 $ 1,471,305 60 Fund: 001 Dept: 013 General Fund Executive Branch Spokane Valley 2022 Budget 015 - City Attorney Division Accomplishments for 2021 • Provided substantial assistance to Council and staff regarding response to COVID-19 pandemic, including ARPA/ CLFR funding. • Assisted with various litigation cases against the City. • Provided significant assistance to Council and other staff regarding affordable housing and homelessness issues, including issues related to funding affordable housing, available funding resources, adoption of the City's Housing Action Plan, land use issues related to affordable housing and homeless shelters including assistance with interim regulations related to transitional housing and emergency shelters, regional collaboration, and enforcement options. • Assisted in drafting amendments to chapter 7.50 relating to public camping in response to changes in state law. • Provided legal support to Code Enforcement for prosecuting and abating nuisance cases. • Assisted staff and Council in drafting legislative agenda for state and federal lobbying efforts, primarily aimed at securing additional funding for the Pines GSP, Sullivan Corridor, Spokane River North Loop Trail, and Fairgrounds projects. • Provided support to senior staff regarding pursuit of City Hall Council Chambers curved wall construction defect issues. • Assisted staff in property acquisition issues associated with capital projects. • Assisted staff on numerous issues relating to the Barker GSP, the Pines GSP, Barker Corridor, and Sullivan/ Wellesley projects. • Conducted various trainings for Council, Planning Commission, the Lodging Tax Advisory Committee, and staff. • Assisted with 2021 lodging tax revenue distributions, including revisions resulting from COVID. • Assisted Council with analyzing future Tourism Promotion Area options. • Represented City in negotiating and drafting new SRTC interlocal agreement. • Assisted in finalizing the Flora park, Ponderosa park, and other strategic property acquisitions. • Significant involvement in a number of land use and permitting issues, including conducting administrative hearings, appeals, and litigation before the Hearing Examiner and in Superior Court. • Acted as City liaison with regional entities on a broad range of criminal justice and mental health issues, including a restructuring of the Spokane Regional Law and Justice Council. • Responded to numerous public record issues, including review of records. • Drafted updated Hearing Examiner rules of procedure for conducting hearings and appeals. • Assisted with development and adoption of City's recycling contamination reduction and outreach plan. • Provided support to City Council and staff for adoption of the City's required periodic update to its Shoreline Master Program. • Assisted with 2021 Street Sustainability Committee. • Assisted with development and adoption of transportation impact fees for North Pines and Mirabeau Meadows areas. • Assisted with responding to proposed City of Spokane utility tax that would directly impact City of Spokane Valley Goals for 2022 • To have a fully -operational City Attorney's office. - Review processes. - Monitor workload and workload changes. - Track response times. - Identify deficient areas. • To assist other departments in analyzing and mapping existing processes to determine compliance with the law and whether higher levels of customer service can be achieved. - Maintain and update all form contracts used by all departments. - Attend internal planning meetings to identify and resolve potential issues. - Review and revise administrative policies and procedures as appropriate. • Provide legal support to other departments and to the City Council to develop and adopt necessary development regulations to implement the Comprehensive Plan. • Negotiate and draft utility franchise agreements on an as -needed basis with utility providers. - Finalize and begin negotiations to establish and update franchise agreements. • Assist Economic Development to identify options for economic development. - Assist with development of functional economic development tools. • Assist other departments in identifying and purchasing properties having long-term strategic benefit for the City. (continued on next page) 61 Fund: 001 Dept: 013 General Fund Executive Branch Spokane Valley 2022 Budget (continued from prior page) Personnel - FTE Equivalents City Attorney Deputy City Attorney Attorney Administrative Assistant - Legal Total FTEs 015 - City A torney Division Budget Summary 2018 Actual 1.0 1.0 0.5 1.0 3.5 2019 Actual 1.0 1.0 0.5 1.0 3.5 2020 Actual 1.0 1.0 1.0 1.0 4.0 2021 Budget 1.0 1.0 1.0 1.0 4.0 2022 Budget 1.0 1.0 1.0 1.0 4.0 Interns 2.0 2.0 2.0 2.0 2.0 Budget Detail Wages, Payroll Taxes & Benefits $ 472,873 $ 510,618 $ 593,161 $ 627,353 $ 655,734 Supplies 1,340 1,220 1,573 4,185 3,505 Services & Charges 49,896 53,911 41,973 87,055 88,651 Nonrecurring expenditures 5,919 0 0 0 0 Total City Attorney Division $ 530,028 $ 565,749 $ 636,707 $ 718,593 $ 747,890 62 Fund: 001 Dept: 016 General Fund Public Safety Spokane Valley 2022 Budget The Public Safety department budget provides funds for the protection of persons and property in the city. The City contracts with Spokane County for law enforcement, district court, prosecutor services, public defender services, probation services, jail and animal control services. See following page for detail information on each budgeted section. Recurring Expenditures: Judicial System - The Spokane County District Court is contracted to provide municipal court services. The contract provides for the services of judge and court commissioner with related support staff. Budgeted amount also includes jury management fees. Law Enforcement - The Spokane County Sheriffs Office is responsible for maintaining law and order and providing police services to the community under the direction of the Police Chief. The office provides for the preservation of life, protection of property, and reduction of crime. Jail System - Spokane County provides jail and probation services for persons sentenced by any City of Spokane Valley Municipal Court Judge for violating laws of the city or state. Animal Control - Spokane County will provide animal control services to include licensing, care and treatment of lost or stray animals, and response to potentially dangerous animal confrontations. Non -Departmental Grant expenditures $ 2,337,800 25,392,127 1,714,507 330,000 30,000 Total Recurring Expenditures 29,804,434 Nonrecurring Expenditures: Building repair and office furniture Law Enforcement vehicle Radar trailers Total Nonrecurring Expenditures Total Recurring and Nonrecurring Expenditures 83,000 1,455,000 24,000 1,562,000 $ 31,366,434 63 Recurring: Judicial System: District Court Contract Public Defender Contract Prosecutor Contract Pretrial Services Contract City of Spokane Valley 2022 Budget 016 - Public Safety 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 836,995 $ 888,965 $ 766,207 $ 925,000 $ 1,033,823 788,302 745,088 656,464 750,000 811,915 457,949 424,896 354,499 450,000 350,000 105,793 109,783 111,666 120,000 142,062 Subtotal Judicial System 2,189,039 2,168,732 1,888,836 2,245,000 2,337,800 Law Enforcement System: Sheriff Contract 20,177,258 20,272,826 21,706,440 23,354,146 24,958,601 Emergency Management 92,296 89,425 90,324 100,000 85,000 Wages, Payroll Taxes & Benefits 9,802 16,164 22,077 19,000 23,126 Operating Supplies 2,346 72 16,112 0 1,600 Clothing & Uniform 358 636 0 0 500 Repair & Maintenance Supplies 2,730 11,208 8,534 12,000 10,000 Professional Services 3,373 3,773 0 4,000 0 Cell Phone 278 469 0 0 0 Registration 0 70 0 0 0 Electricity/Gas 16,505 16,579 19,164 18,000 20,000 Water 1,806 1,762 1,683 2,000 2,000 Sewer 1,348 1,079 777 2,000 1,000 Waste Disposal 585 0 38 0 0 Janitorial Services 32,325 28,631 35,366 30,000 36,500 Law Enf. Bldg Repair & Maint 26,235 16,706 46,237 20,000 52,000 Taxes and Assessments 715 715 795 715 800 Equipment Rental 0 767 0 1,000 0 Miscellaneous Service 0 0 0 200,000 200,000 False Alarm Bank Fees 404 809 744 0 1,000 Subtotal Law Enforcement! Systen 20,368,364 20,461,691 21,948,291 23,762,861 25,392,127 Jail System: Jail Contract 1,249,948 1,493,325 1,282,843 1,500,000 1,714,507 Subtotal Jail System 1,249,948 1,493,325 1,282,843 1,500,000 1,714,507 Other: Fines & Forfeitures State Remittance 495,683 441,880 0 0 0 Animal Control Contract 299,139 306,509 313,046 350,000 330,000 Non -Capital Equipment for JAG Grant 0 0 30,309 40,000 30,000 Subtotal Other 794,822 748,389 343,356 390,000 360,000 Subtotal Recurring 24,602,173 24,872,137 25,463,325 27,897,861 29,804,434 Nonrecurring: Police Ahletic League Grant 0 4,069 1,263 0 0 Building Repair and Maintenance 0 0 0 92,000 58,000 Carpet and Workstation Replacement 0 59,272 0 0 25,000 Replace handguns and speed trailer 0 0 0 48,900 24,000 Law Enforcement Vehicles 0 0 0 0 1,455,000 Full Facility Generator 0 141,690 86,109 0 0 Capital outlay - DEMS/Tasers/BodyCams 0 0 0 109,608 0 Capital outlay - CAD / RMS 22,372 0 0 0 0 Subtotal Nonrecurring 22,372 205,031 87,372 250,508 1,562,000 Total Public Safety $ 24,624,545 $ 25,077,168 $ 25,550,697 $ 28,148,369 $ 31,366,434 64 $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 District Court Contract, $1,033,823 $- Public Defender Contract, 811,915 City of Spokane Valley 2022 Budgeted Contract Expenditures Prosecutor Contract, 350,000 Sheriff Contract, 24,958,601 Law Enf. Jail Bldg Emergency Contract, Maintenance Management 1,714,507 Contract, Contract, 52,000 85,000 Animal Control Contract, 330,000 65 Fund: 001 Dept: 018 General Fund Operation & Administrative Services Spokane Valley 2022 Budget The Operations & Administrative Services Department is composed of three divisions, the Deputy City Manager Division, the Finance Division, and the Human Resources Division. 013 - Deputy City Manager Division The Deputy City Manager (DCM) supervises the Community and Public Works Department, assists the City Manager in organizing and directing the other operations of the City, and assumes the duties of City Manager in his/her absence. Accomplishments for 2021 • Initiated construction of the Barker Grade Separation Project. • Conducted Council discussions on localized and city wide traffic impact fees for new development. • Completed preliminary design of the Pines Grade Separation Project. • Continued to seek funding for the Pines Grade Separation Project through State and Federal grant programs. • Completed repairs to several City Hall systems. Goals for 2022 • Support the 2020 Goals of the Legislative and Executive Branch. • Work with the City Manager and Staff to develop the 2023 Budget and Business Plan. • Complete construction of the Barker Grade Separation Project. • Continue to seek funding of the Pines Grade Separation Project. • Complete the design for the Pines Grade Separtion Project. • Continue to oversee the repairs to City Hall. • Expand the implementation of traffic impact fees within the City. • Identify annexation areas to allow continued growth. Budget Summary Personnel - FTE Equivalents Deputy City Manager Office Assistant I Office Assistant 11 Total FTEs 2018 Actual 1.0 1.0 1.0 3.0 2019 Actual 1.0 0.0 0.0 1.0 2020 Actual 1.0 0.0 0.0 1.0 2021 Budget 1.0 0.0 0.0 1.0 2022 Budget 1.0 0.0 0.0 1.0 Budget Detail Wages, Payroll Taxes & Benefits $ 354,918 $ 222,070 $ 231,245 $ 243,944 $ 254,877 Supplies 425 0 0 700 600 Services & Charges 83,335 37,162 37,933 40,200 40,000 Nonrecurring Software Purchase (Q-Alert) 13,195 0 0 - 0 Total Deputy City Manager Division $ 451,873 $ 259,232 $ 269,178 $ 284,844 $ 295,477 66 Fund: 001 Dept: 018 General Fund Operation & Administrative Services Spokane Valley 2022 Budget 014 - Finance Division The Finance Division provides financial management services for all City departments. Programs include accounting and financial reporting, payroll, accounts payable, purchasing, budgeting and financial planning, treasury, information technology and investments. The division is also responsible for generating and analyzing financial data related to the City's operations. The department prepares Finance Activity Reports for review by the City Manager and City Council as well as the Comprehensive Annual Financial Report (CAFR) that is subject to an annual audit by the Washington State Auditor's Office. Accomplishments for 2021 • Coordinated and administered consulting services to determine new financial software to replace the Eden Financial System which has reached end of life. • Completed the 2020 Comprehensive Annual Financial Report by the deadline of May 30, 2021, and received a "clean audit opinion." • Maintained a consistent level of service in payroll, accounts payable, budget development, periodic and annual financial report preparation and information technology services. • Worked with Finance staff to cross -train position responsibilities and knowledge base where possible. The Finance department will implement further cross training procedures among department personnel to provide adequate coverage if or when unforeseeable circumstances arise. • Implemented Office 365 for all City computers. • Continued with the ongoing process of refining the replacement program for IT resources. • Implemented Laserfische Workflow for City contract approval and invoice approval processes. • Worked with the City Attorneys Office to research the American Rescue Plan Act (ARPA) and the Coronavirus Local Recovery Funds (CLFR) under that Act. Began the process of leading Council through the allocation of the City's $16 million in CLFR funds. • Worked with Community and Public Works to provide educational materials for the Street Sustainability Committee. Also, participated in meetings for the Street Sustainability Committee, including presenting on funding history and potential options for the Pavement Management Program. Goals for 2022 • Begin the implementation of new Financial System Software. • Maintain a consistent level of service in payroll, accounts payable, budget development, periodic and annual financial report preparation and information technology services. • Continue to provide adequate training opportunities to allow staff members to remain current with changes in pronouncements by the Governmental Accounting Standards Board (GASB), changes in the Eden financial management system, and changes in the electronic technology that allows all City employees to be more efficient and effective. • Complete the 2021 Annual Financial Report by May 30, 2022 and receive a "clean audit opinion" from the Washington State Auditor's Office. • Continue with the ongoing process of refining the replacement program for IT hardware resources and update the existing inventory of all related equipment currently deployed. Continue to assess the City's cybersecurity risks and propose mitigating measures. Continue to implement Laserfiche Workflow for additional City processes when applicable. (continued on next page) 67 Fund: 001 Dept: 018 General Fund Operation & Administrative Services Spokane Valley 2022 Budget (continued from prior page) Personnel - FTE Equivalents Finance Director Accounting Manager Accountant/Budget Analyst Accounting Technician IT Manager IT Specialist GIS/Database Administrator Help Desk Technician Total FTEs 014 - Finance Division Budget Summary 2018 Actual 1.00 1.00 3.75 2.00 0.00 3.00 1.00 0.00 11.75 2019 Actual 1.00 1.00 3.75 2.00 0.00 3.00 1.00 0.00 11.75 2020 Actual 1.00 1.00 3.75 2.00 1.00 2.00 1.00 0.00 11.75 2021 Budget 1.00 1.00 3.75 2.00 1.00 2.00 1.00 0.00 11.75 2022 Budget 1.00 1.00 3.75 2.00 1.00 2.00 1.00 0.00 11.75 Budget Detail Wages, Payroll Taxes & Benefits $ 1,269,966 $ 1,275,580 $ 1,300,812 $ 1,476,684 $ 1,539,543 Supplies 3,350 2,798 3,089 3,000 3,400 Services&Charges 20,667 18,113 18,131 20,975 28,500 Total Finance Division $ 1,293,983 $ 1,296,491 $ 1,322,032 $ 1,500,659 $ 1,571,443 68 Fund: 001 Dept: 018 General Fund Operation & Administrative Services Spokane Valley 2022 Budget 016 - Human Resources Division Human Resources (HR) is administered through the City Manager. The HR operation provides services in compensation, benefits, training and organizational development, staffing, employee relations, and communications. The Human Resources Office also provides Risk Management services as well as Website and Mobile App design and maintenance Accomplishments for 2021 • Successfully bargain a successor Collective Bargaining Agreement with Local 270v. • Supported departments in the Cities return from COVID-19 precautions. • Increased timely completion of annual employee reviews. • Examined employee benefit options to target employee needs and reduce employment expenses. • Provided Anti -Harassment and Equal Employment Opportunity training to employees and Supervisors. Goals for 2022 • Implement personnel changes related to 2021 Collective Bargaining. • Attain the AWC WellCity Award for 2022. • Reassess City property valuation for Washington Cities Insurance Authority coverage. • Provide Anti-Discrimation training for employees of the City. • Explore opportunities to reduce employee turnover and decrease the time to fill vacancies. Budget Summary Personnel - FTE Equivalents Human Resource Manager Human Resource Technician Total FTEs 2018 Actual 1.0 1.0 2.0 2019 Actual 1.0 1.0 2.0 2020 Actual 1.0 1.0 2.0 2021 Budget 1.0 1.0 2.0 2021 Budget 1.0 1.0 2.0 Budget Detail Wages, Payroll Taxes & Benefits $ 251,995 $ 268,140 $ 278,542 $ 293,505 $ 302,561 Supplies 1,227 1,888 1,482 1,000 1,200 Services & Charges 21,949 23,302 20,950 24,035 26,560 Total Human Resources Division $ 275,171 $ 293,330 $ 300,975 $ 318,540 $ 330,321 69 Fund: 001 Dept: 033 General Fund City Hall Operations and Maintenance Spokane Valley 2022 Budget The Parks, Recreation & Facilities Director provides management and oversight of the City's facilities. This department is responsible for the overall operations and maintenance of the City Hall facility, the City's Valley Precinct facility, CenterPlace and the Street Maintenance Shop. The Facilities Department is resposible for, among other things, grounds maintenance, jaitorial services, lighting, and maintenance of the HVAC and other building systems. Accomplishments for 2021 • Continued options for cost savings related to contract services: landscape maintenance, etc. • Monitored maintenance tracking system in order to prioritize work. • Continued to coordinate maintenance activities with SVPD Precinct staff. • Continued to coordinate maintenance activities with Street Maintenance Shop staff. • Coordinated emergency preparedness drills with affected staff and coordinating agencies. Goals for 2022 • Continue options for cost savings related to contract services: landscape maintenance, etc. • Continue to monitor maintenance tracking system in order to prioritize work. • Continue to coordinate maintenace activities with City Hall staff. • Continue to coordinate maintenance activities with SVPD Precinct staff. • Continue to coordinate maintenance activities with Street Maintenance Shop staff. • Continue to coordinate maintenance activites with CenterPlace staff. • Coordinate emergency preparedness drills with affected staff and coordinating agencies. • Continue to coordinate City Hall repairs Personnel - FTE Equivalents Maintenance Worker - Facilities Total FTEs Budget Summary 2018 Actual 1.0 1.0 2019 Actual 1.0 1.0 2020 Actual 1.0 1.0 2021 Budget 2.0 2.0 2022 Budget 2.0 2.0 Budget Detail Wages, Payroll Taxes & Benefits $ 74,264 $ 86,534 $ 102,136 $ 179,101 $ 205,520 Supplies 27,757 32,920 27,611 27,000 27,000 Services & Charges 163,323 156,699 183,508 167,500 167,500 Nonrecurring expenditures 0 174,807 295,923 0 0 Total Administrative Division $ 265,344 $ 450,960 $ 609,178 $ 373,601 $ 400,020 70 Fund: 001 Dept: 040 General Fund Community & Public Works Spokane Valley 2022 Budget The Community and Public Works Department is a new department as a result of the City's reorganization effective April 1, 2017. This Department is a consolidation of the previous Public Works and Community and Economic Development Departments. It is comprised of three divisions: the Engineering Division, the Economic Development Division, and the Building and Planning Division. 041 -Engineering Division The Engineering Division combines Development Engineering from the previous Community & Economic Development Department with the engineering service provided by the previous Public Works Department. The Engineering Division includes the following functions: Capital Improvement Program (CIP) plans, designs, and constructs new facilities and maintains, preserves, and reconstructs existing facilities owned by the City of Spokane Valley. Development Engineering (DE) ensures that land actions and commercial building permits comply with the adopted codes for private infrastructure development through plan review and construction inspection. Traffic Management and Operations provides traffic engineering for safe and efficient multi -faceted transportation systems throughout the City (included in the Street Fund #101). Utilities oversees the City's surface and Stormwater Utility, manages the City's contracts for solid waste collection and disposal, and coordinates other utility issues on behalf of the City as assigned (included in the Stormwater Management Fund #402). Street Maintenance provides responsive maintenance and repairs for 461 center line miles of City streets. The City of Spokane Valley operates ten City -owned snow plows which are responsible for the clearing of the priority 1 and 2 roads along with selected hillsides (included in the Street Fund #101). Accomplishments for 2021 • Implemented approved capital projects. • Administered the construction phase of the Barker Road Grade Separation Project. • Advanced the preliminary engineering and right-of-way phase of the Pines Road Grade Separation Project. • Continued pursuing opportunities to fund the completion of the Pines Road Grade Separation Project. • Administered and manage state and federal funds received for capital projects. • Assisted in the preparation of grant applications for capital projects. • Continued to coordinate regional transportation issues with Spokane Regional Transportation Council, adjoining municipalities, and the Washington State Department of Transportation. • Developed City Code to implement Transportation Impact Fees for the South Barker Road Corridor. • Maintained development engineering plan review times of less than two weeks. Goals for 2022 • Implement approved capital projects. • Administer the construction phase of the Barker Road Grade Separation Project. • Advance the preliminary engineering and right-of-way phase of the Pines Road Grade Separation Project. • Continue pursuing opportunities to fund the completion of the Pines Road Grade Separation Project. • Administer and manage state and federal funds received for capital projects. • Assist in the preparation of grant applications for capital projects. • Continue to coordinate regional transportation issues with SRTC, WSDOT, and other agencies. • Begin the process of developing a city-wide, comprehensive Asset Management Program. • Begin a review of the City's adopted Street Standards, providing updates where necessary. (continued on next page) 71 Fund: 001 Dept: 040 General Fund Community & Public Works Spokane Valley 2022 Budget (continued from prior page) Personnel - FTE Equivalents Administrative Assistant Assistant Engineer City Engineer CAD Manager Engineer Engineering Manager Engineering Tech I Engineering Tech 11 Main/Construction Inspector Planning Grants Engineer Senior Dev Engineer Senior Engineer-Proj Mgmt. Water Resource Sr. Engineer Total FTEs 041 - Engineering Division Budget Summary 2018 Actual 2.0 0.0 1.0 0.0 1.0 1.0 1.0 0.5 2.0 0.0 1.0 1.5 1.0 12.0 2019 Actual 2.0 0.45 1.0 0.0 0.5 1.0 1.5 0.75 2.0 0.375 1.0 1.7 1.0 13.275 2020 Actual 2.0 0.20 1.0 0.0 1.0 1.0 1.5 0.75 2.0 0.375 1.0 1.7 1.0 13.525 2021 Budget 2.0 0.70 1.0 0.0 1.0 1.0 1.5 0.75 2.0 0.375 1.0 1.7 1.0 14.025 2022 Budget 2.0 2.20 1.0 0.5 0.5 1.0 1.5 0.95 2.0 0.375 1.0 1.7 1.0 15.725 Budget Detail Wages, Payroll Taxes & Benefits $ 1,234,170 $ 1,472,750 $ 1,381,989 $ 1,855,308 $ 2,144,619 Supplies 22,772 30,616 18,187 30,500 30,500 Services & Charges 149,142 200,147 207,293 212,834 265,163 Total Engineering Division $ 1,406,084 $ 1,703,513 $ 1,607,469 $ 2,098,642 $ 2,440,282 * These positions are budgeted partially to the Engineering Division in the General Fund with the balance budgeted as a part of Capital Projects Funds, the Street Fund #101, and the Stormwater Fund #402. 72 Fund: 001 Dept: 040 General Fund Community & Public Works Spokane Valley 2022 Budget 042 - Economic Development Division The Economic Development Division oversees the Comprehensive Plan, the Six -Year Transportation Improvement Plan (TIP), Community Development Block Grants and Public Relations. The Division works to build relationships with businesses, the community, and economic development partners to pursue economic development strategies ensuring long-term fiscal strength of the City. Accomplishments for 2021 • Implemented the retail recruitment strategy. • Collaborated with the private sector to facilitate the successful development of Mirabeau Point. • Continued industry recruitment, retention and expansion. • Developed marketing campaigns to promote business recruitment, retention and expansion. • Collaborated with economic development partners and related service providers. • Identified infrastructure improvements needed to foster economic development. • Used CDBG funds to support economic vitality in low and moderate income areas. • Seek grants to support economic development initiatives. • Coordinated the development and adopt the Housing Action Plan. • Facilitated the development and adopt the Shoreline Master Program update. • Reviewed and process city and privately initiated amendments to the Comprehensive Plan. • Developed homelessness goals and policies to provide direction to City leaders. • Continued to analyze impacts of COVID-19 on city businesses and provide guidance to improve local economy. • Worked with partners to enhance existing events, including state of the city, and bring new events to Spokane Valley. • Developed marketing campaigns to promote city events in 2021 to enhance tourism. • Enhanced the Economic Development website content to attract skilled labor, with an emphasis on remote workers. • Enhanced the use of video as a communications tool and strategy on city websites and in social media. • Developed strategies to enhance business connections to Appleway Trail, as identified in 2020 CERB study. • Utilized new and existing social media platforms to increase citizen pride and the public's awareness of city services. • Produced semi-annual newsletter informing citizens of current projects, services and events. • Continued to develop a PIO group of city, county and emergency services that meets periodically. • Increased media contacts and establish and retain media relationships for greater sharing of city services. • Partnered with Parks and Recreation to publicize programs, events and related construction projects. • Created and uploaded new messages quarterly for the phone system about city services, programs and events. • Continued evaluating city website to determine potential improvements to design, navigation and content. • Gathered updated high resolution photos of City Council, CenterPlace, area parks and scenic sites. Goals for 2022 • Develop marketing campaigns to promote 2022 city events that encourage citizen participation and enhance tourism. • Develop targeted marketing campaigns to promote opportunities for business recruitment and expansion in the city. • Enhance the use of video as a communications tool and strategy on city -sponsored websites and social media. • Research and utilize new and existing social media platforms to increase citizen engagement and public awareness. • Continue producing the semi-annual newsletter informing citizens of current projects, services and events. • Continue meetings with PIO groups in city, county, and emergency services. • Increase media contacts and establish and retain media relationships for greater sharing of city services. • Partner with Parks & Recreation Department to publicize programs and events to audiences. • Create and upload quarterly on -hold messages to the phone system about city services, programs and events. • Evaluate web content, graphics and collateral to determine user experience and improvement options. • Evaluate the City's communications assets and their effectiveness. • Partner with Spokane Valley Chamber of Commerce to develop and co -market workshops and State of the City event. • Utilize relationships with partners and related service providers to develop innovative econmic development programs. • Partner with Visit Spokane to develop targeted marketing campaigns to highlight city assets and generate tourism. • Identify and research strategies for a "placemaking" initiative, such as utility box wraps. • Implement effective communications to increase awareness of public works and capital improvement projects. • Implement the retail recruitment strategy. • Collaborate with the private sector to facilitate the successful development of Mirabeau Point. • Seek grants to support economic development initiatives. • Review and process city and privately initiated amendments to the Comprehensive Plan. • Identify and develop implementation strategies from the Housing Action Plan. • Partner with Parks and Recreation to identify grant proposals from the Recreation and Consevation Office. • Collaborate with regional partners in long range planning efforts including updates to CWPP. • Partner with Greater Spokane Incorporated to attract, assist and retain businesses. (continued on next page) 73 Fund: 001 Dept: 040 General Fund Community & Public Works Spokane Valley 2022 Budget (continued from prior page) Personnel - FTE Equivalents Economic Development Manager Economic Development Specialist Planning Grants Engineer Public Information Officer Senior Transportation Planner GIS Analyst Administrative Assistant Total FTEs Interns 042 - Economic Development Division Budget Summary 2018 Actual 1.0 2.0 0.4 1.0 1.0 0.0 1.0 6.4 2019 Actual 1.0 2.0 0.0 1.0 1.0 0.0 1.0 6.0 2020 Actual 2021 Budget 1.0 1.0 2.0 1.0 0.0 0.0 1.0 1.0 1.0 1.0 0.0 0.0 1.0 1.0 6.0 5.0 2022 Budget 1.0 1.0 0.0 1.0 1.0 0.77 * 1.0 5.77 1.0 1.0 1.0 1.0 1.0 Budget Detail Wages, Payroll Taxes & Benefits $ 655,942 $ 582,027 $ 609,137 $ 685,316 $ 767,023 Supplies 3,008 1,954 12 3,200 3,200 Services & Charges 294,699 333,157 350,716 408,545 418,045 Nonrecurring Expenditures 23,000 25,000 104,915 65,000 0 Total Engineering Division $ 976,649 $ 942,138 $ 1,064,780 $ 1,162,061 $ 1,188,268 * This position is budgeted partially to the Economic Development Division in the General Fund with the balance budgeted as a part of the Stormwater Fund #402. 74 Fund: 001 Dept: 040 General Fund Community & Public Works Spokane Valley 2022 Budget 043 - Building and Planning Division The Building and Planning Division is responsible for implementing and enforcing the State Building Code as required by state law. The purpose of the International Codes, as adopted by the State of Washington and City of Spokane Valley, is to promote the health, safety, and welfare of the occupants or users of the building and structures and the general public by requiring minimum performance standard for structural strength, exit systems, stability sanitation, light, ventilation, energy conservation, and fire safety to ensure the City's comply with various codes. The Planning program's current primary responsibilities include processing revisions to the City's Municipal Code, reviewing land use applications to ensure compliance with adopted development regulations, with the State Environmental Policy Act (SEPA)(RCW 43.21 C), and with the state subdivision law (RWC 58.17). Accomplishments for 2021 • Maintained swift permit application review timelines. • Enhanced relationships with our outside agencies by facilitating project coordination. • Completed website enhancements for better customer service. • Implemented 2018 building codes as per Washington State adoption; updated SVMC Title 24 accordingly. • Coordinated with the Office of the City Attorney on code enforcement cases. • Improved accuracy of permit statistics reporting. • Continued to improve processes for online permit submittals. Goals for 2022 • Strategize process for scanning commercial address files. • Explore options for enhacement or replacement of permit system software applications. • Further expand online permitting options and streamlined permitting options for common project types. • Continue to improve Code Enforcement program and public outreach/education. • Encourage multi -disciplined staff through cross -training. • Partner with regional permitting agencies towards creation of local/in-house training program for code professionals. • Continue knowledge -building mini -training program (weekly peer -to -peer training presentations by staff). • Maintain relationships with outside agencies and build on new strategies found successful during pandemic. Budget Summary Personnel - FTE Equivalents Administrative Assistant Assistant Building Official Building Inspector II Building Official Code Enforcement Officer Code Enforcement Supervisor Development Service Coordinator Engineering Tech Office Assistant I Office Assistant II Permit Facilitator Permit Specialist/Facilitator Associate Planner Planner Plans Examiner Senior Planner Senior Plans Examiner Total FTEs 2018 Actual 1.0 1.0 3.0 1.0 1.0 0.0 1.0 1.0 3.0 1.0 1.0 1.0 0.0 3.0 1.0 1.0 0.0 19.0 2019 Actual 1.0 1.0 3.0 1.0 1.0 0.0 1.0 1.0 3.0 1.0 1.0 1.0 0.0 3.0 1.0 1.0 0.0 19.0 2020 Actual 1.0 1.0 3.0 1.0 2.0 0.0 1.0 1.0 3.0 1.0 0.0 2.0 0.0 3.0 1.0 1.0 0.0 21.0 2021 Budget 0.0 1.0 3.0 1.0 2.0 0.0 1.0 1.0 3.0 1.0 0.0 2.0 2.0 3.0 1.0 1.0 0.0 22.0 2022 Budget 1.0 1.0 3.0 1.0 2.0 1.0 1.0 1.0 2.0 1.0 0.0 2.0 2.0 1.0 1.0 1.0 0.0 21.0 Budget Detail Wages, Payroll Taxes & Benefits $ 1,614,264 $ 1,860,223 $ 1,950,262 $ 2,061,508 $ 2,250,373 Supplies 25,114 17,305 19,271 35,050 39,050 Services & Charges 228,090 299,929 314,903 318,000 342,000 Intergovernmental Payments 38,718 0 0 0 0 Nonrecurring expenditures 0 0 0 0 0 Total Building Division $ 1,906,186 $ 2,177,457 $ 2,284,436 $ 2,414,558 $ 2,631,423 75 Fund: 001 Dept: 076 General Fund Parks & Recreation Spokane Valley 2022 Budget The Parks and Recreation Department is composed of six divisions including Administration, Maintenance, Recreation, Aquatics, Senior Center, and CenterPlace. The overall goal of the department is to provide quality recreation programs and acquisition, renovation, development, operation and maintenance of parks and maintenance of parks and recreation facilities. 000 - Parks Administration Division The Administration Division provides direction and leadership for the Parks and Recreation Department in implementing the goals and objectives of the City Council and facilitates the general upkeep of parks and public areas of the City. Accomplishments for 2021 • Completed construction of play equipment, restroom and shelter at Browns Park. • Initiated talks with DNR on the partnership for the 100 acre natural area adjacent to Mirabeau Park. • Completed three land acquisitions. • Prepared 2022 budget requests to address maintenance needs and repairs at the Valley Pools. • Refinished siding on Mirabeau Meadows restroom. • Made progress towards becoming a Tree City USA (application due after first full year under ordinance). Goals for 2022 • Complete Phase 1 construction (Park Infrastructure) at Balfour Park. • Establish partnership with DNR for the 100 acre natrual area adjacent to Mirabeau Park. • Apply for RCO WWRP Local Parks Development Grant for Phase 2 Balfour Park. • Advance Spokane Valley River Loop Trail concept. • Develop Public Access to 45-acre Flora Road Park Property. • Commence development of 6-year Parks Capital Improvement Program. • Complete needed repairs at Spokane Valley Pools. Personnel - FTE Equivalents Parks & Recreation Director Administrative Assistant Total FTEs Budget Summary 2018 Actual 1.0 1.0 2.0 2019 Actual 1.0 1.0 2.0 2020 Actual 1.0 1.0 2.0 2021 Budget 1.0 1.0 2.0 2022 Budget 1.0 1.0 2.0 Budget Detail Wages, Payroll Taxes & Benefits $ 249,140 $ 266,534 $ 273,466 $ 292,667 $ 290,768 Supplies 2,626 2,778 2,400 5,000 3,500 Services & Charges 36,520 56,899 50,672 57,760 56,750 Total Parks Administration Division $ 288,286 $ 326,211 $ 326,538 $ 355,427 $ 351,018 76 Fund: 001 Dept: 076 General Fund Parks & Recreation Spokane Valley 2022 Budget 300 - Maintenance Division The Parks Maintenance Division is responsible for the contracted maintenance and upkeep of our parks and public areas including the Centennial Trail. Budget Detail Supplies Services & Charges Nonrecurring expenditures Total Maintenance Division Budget Summary 2018 Actual $ 414 886,122 0 2019 Actual $ 381 935,374 0 $ 886,536 $ 935,755 2020 Actual $ 8,171 899,732 0 $ 907,903 2021 Budget 2022 Budget $ 3,500 $ 2,500 936,503 947,955 32000 0 $ 972,003 $ 950,455 301 - Recreation Division The Recreation Division coordinates and facilitates the delivery of recreation programs and service throughout the City and the City's Park system. Accomplishments for 2021 • Fostered relationships with Community partners. • Enhanced To -Go Summer Meal Programs. • Offered Drive -In movie experiences for the community. • Offered an outdoor Summer Day Camp program at Terrace View Park. • Provided a Virtual Arbor Day Celebration. `Several prior year goals were unable to be completed due to COVID-19. Goals for 2022 • Expand summer camp for teens. • Provide walking program for community members. • Continue to offer free summer meal program at 3 parks. • Offer community celebration at Terrace View Park. • Continue to foster relationships with community partners. • Plan and execute Arbor Day Celebration on the West Lawn Plaza. • Expand outdoor movie events, including Movie on the West Lawn Plaza. • Program a Valley Mission Dog Park Event. Personnel - FTE Equivalents Recreation Coordinator Recreation Coordinator Budget Detail Wages, Payroll Taxes & Benefits Supplies Services & Charges Total Recreation Division Budget Summary 2018 Actual 1.0 0.0 1.0 $ 128,784 3,968 65,745 $ 198,497 2019 Actual 1.0 0.0 1.0 $ 152,492 6,368 68,726 $ 227,586 2020 Actual 1.0 0.6 1.6 $ 139,368 6,069 21,792 $ 167,228 2021 Budget 1.0 0.6 1.6 $ 230,484 9,150 88,900 $ 328,534 2022 Budget 1.0 0.6 1.6 $ 239,707 12,400 78,580 $ 330,687 77 Fund: 001 Dept: 076 General Fund Parks & Recreation Spokane Valley 2022 Budget 302 -Aquatics Division The City of Spokane Valley owns three pools: Park Road Pool, Terrace View Pool, and Valley Mission Pool. Services include open swim, swim lessons, swim team and facility rentals. In addition, the City leases a portion of Valley Mission Park to Splashdown Inc. for a water park. The City currently is contracting with the YMCA for all aquatic activities within the City. The YMCA provides the lifeguards and maintains the pools during the season. Accomplishments for 2021 • Maintained summer swimming programs.* • Maintained Paws in the Pool Program. • Created a New partnership with Pool World for swim lesson scholarships. • Continued to partner with Make A Splash to offer free water safety clinics at all pools. *Several prior year goals were unable to be completed due to COVID-19. Goals for 2022 • Maintain full summer swimming programming. • Expand Paws in the Pool Program. • Continue to foster community partnerships and sponsorships. • Continue to partner with Make A Splash to offer free swim sessions at all pools. • Continue to partner with Make a Splash to offer free water safety clinics at all pools. • Offer life guard training courses at the pools. Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget Budget Detail Supplies $ 240 $ 37 $ $ 2,000 $ 2,000 Services & Charges 471,427 515,370 117,023 508,053 536,700 0 0 0 0 30,000 Total Aquatics Division $ 471,667 $ 515,407 $ 117,023 $ 510,053 $ 568,700 78 Fund: 001 Dept: 076 General Fund Parks & Recreation Spokane Valley 2022 Budget 304 - Senior Center Division The City of Spokane Valley Parks and Recreation Department assumed operational control of the Valley Senior Center in 2003. Accomplishments for 2021 • Continued to enhance the resource and referral information at the reception desk to better handle calls. • Collaborated with the Board re -open the Senior Center under Covid-19 guidelines. • Enhanced the relationship between the Recreation Specialist and the Board. • Continued to work with Parks & Recreation Director and Recreation Coordinator on new programs for seniors. Goals for 2022 • Continue to work with the Senior Center Board and Recreation Staff to create new programs for seniors. • Improve resources to assist with the Senior Center website and newsletter. • Enhance existing Senior Center programs. • Foster relationships with Communtiy partners. Personnel - FTE Equivalents Senior Center Specialist Total FTEs Budget Summary 2018 Actual 1.0 1.0 2019 Actual 1.0 1.0 2020 Actual 0.4 0.4 2021 Budget 0.4 0.4 2022 Budget 0.4 0.4 Budget Detail Wages, Payroll Taxes & Benefits $ 90,998 $ 17,716 $ 27,369 $ 28,303 $ 29,976 Supplies 212 0 843 1,600 1,600 Services & Charges 870 781 477 5,500 5,225 Total Senior Center Division $ 92,080 $ 18,497 $ 28,689 $ 35,403 $ 36,801 79 Fund: 001 Dept: 076 General Fund Parks & Recreation Spokane Valley 2022 Budget 305 - CenterPlace Division Construction of Mirabeau Point CenterPlace began in late 2003 and was completed mid -year 2005. The project represented the culmination of eight years of planning and fundraising by Mirabeau Point Inc. and the joint involvement of the City and Spokane County. The approximately 54,000 square foot facility houses the City of Spokane Valley Senior Center, a great room/banquet facility, numerous meeting rooms, multi -purpose rooms and a high tech lecture hall. The facility combines with Mirabeau Meadows Parks and Mirabeau Springs to form a regional focal point for Northeastern Washington and Northern Idaho. Accomplishments for 2021 • Created a new WordPress marketing website to include new West Lawn improvements. • Continued to improve Farmers Market event at CenterPlace. • Hosted several new events to CenterPlace and the West Lawn. • Hosted four "First Friday" food truck nights on the West Lawn plaza in conjunction with the Farmers Market • Added new stage fill speakers and reprogrammed the audio system in the Great Room. • Repaired failed pixels in the Great Room Video Wall. • Replaced carpet in the Sennior Center Entrance and refinished exterior decks and pergola Goals for 2022 • Replace carpet in Senior Center card room, Executive conference room and classroom 205 • Paint Senior Center exterior portico • Security camera upgrades • Implement West Lawn Plaza marketing plan • Utilize new Wordpress CenterPlace website to enhance programming Budget Summary Personnel - FTE Equivalents Customer Relations/Facilities Coordinator Administrative Assistant Office Assistant I Maintenance Worker Total FTEs 2018 Actual 1.0 1.0 1.0 2.0 5.0 2019 Actual 1.0 1.0 1.0 2.0 5.0 2020 Actual 1.0 1.0 1.0 2.0 5.0 2021 Budget 1.0 1.0 1.0 2.0 5.0 2022 Budget 1.0 1.0 1.0 2.0 5.0 Budget Detail Wages, Payroll Taxes & Benefits $ 440,345 $ 466,281 $ 412,779 $ 542,938 $ 553,141 Supplies 74,498 98,232 56,302 85,537 83,774 Services & Charges 303,321 321,020 237,671 343,739 333,460 Nonrecurring Expenditures 8,255 0 17,086 0 38,700 Total CenterPlace Division $ 826,419 $ 885,533 $ 723,838 $ 972,214 $ 1,009,075 80 Fund: 001 Dept: 090 General Fund General Government Spokane Valley 2022 Budget The General Government Department accounts for those activities that are not specific to the functions of any particular General Fund Department or operation. Expenditures recorded here are composed of City Hall bond payments; information technology equipment and services; capital costs that benefit more than one department; support of agencies external to the City that provide social service programs and economic development services; and transfers to other City funds for property/casualty insurance premiums (Fund #502), park capital projects (Fund #309) and the pavement preservation program (Fund #311). Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget Supplies Employee Recognition -Operating Supplies $ 2,975 $ 3.156 $ 2,281 $ 3.500 $ 3,500 Office & Operating Supplies 432 0 599 0 0 Vehicle Maintenance Supplies 0 0 2,196 0 1,000 Small Tools & Minor Equipment 2,907 1.746 2,977 7,000 6,000 Security Hardware 0 0 0 0 2,000 Network Hardware - Non Capital 0 0 0 0 51,213 Computer Hardware - Non Capital 24,674 36,414 13,972 31,000 15,500 Computer Software - Non Capital 8,417 2,979 1,519 30,200 30,800 Server Hardware 0 0 0 0 5,000 Security Software Licensing 0 0 0 0 33,000 Network Software Licensing 0 0 0 0 1,700 Server Software Licensing 0 0 0 0 6,000 Office & Operating Supplies 4,242 4,309 3,648 9,700 3,700 43,646 48,604 27,192 81,400 159,413 Other Services & Charges Professional Services - Misc. Studies 173,310 72,359 97,892 218,000 243,000 Accounting & Auditing 86,302 92,353 105,162 97,000 108,000 Postage 367 2,974 17 2,500 1,000 Telephone Service 12,319 12,801 13,927 13,000 28,700 Cell Phones 2,297 1,561 1,480 2,000 2,000 Internet Service 8,639 8,793 9,006 9,600 10,200 Taxes and Assessments 781 0 0 1,000 1,000 Electricity 1,462 0 0 0 0 Sewer 949 91 0 0 0 Facility Repairs & Maintenance 8,508 0 0 0 0 Professional Services 1,400 762 0 1,500 1,500 Equip Repair & Maint-Hardware Support 26,572 27,859 17,154 24,850 0 IT Support 30,312 37,474 15,517 18,000 15,500 Equip Repair & Maint-Hardware Support 0 0 0 0 4,600 Software Licenses & Maintenance 86,169 122,478 134,072 124,550 516,350 Security Infrastructure Maintenance 0 0 0 0 1,000 Network Infrastructure Maintenance 0 0 0 0 14,550 Merchant Charges (Bankcard Fees) 226 300 532 500 500 Network Infrastructure Access 4,714 5,184 5,155 6,000 6,000 Equipment Rental 4,264 4,267 4,169 4,300 4,200 Intel -fund Vehicle Lease 500 500 500 500 500 Printing & Binding 646 623 0 650 500 Miscellaneous Services 5,816 7,859 2,171 7,000 5,000 General Operating Leases: Computer 53,894 67,179 67,452 70,000 70,000 Economic Development -Site Selector 10,897 0 8,195 0 0 Outside Agencies- Social Svc & Econ. Dev. 148,632 174,664 168,331 182,000 182,000 Professional Services - Economic Dev. 1,176 765 0 1,000 1,000 Alcohol Treatment: Liquor Excise Tax 9,594 10,477 15,597 10,500 15,600 Alcohol Treatment: Liquor Profits 15,725 15,620 19,409 16,000 19,500 Homelessness Response Service - Park 0 0 420 0 0 $ 695,471 $ 666,943 $ 686,158 $ 810,450 $ 1,252,200 (continued to next page) 81 Fund: 001 Dept: 090 General Fund General Government Spokane Valley 2022 Budget (continued from previous page) Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget Intergovernmental Services Election Costs $ 0 $ 75,433 $ 0 $ 110,000 $ 0 Voter Registration 92,000 94,787 100,871 100,000 100,000 Taxes and assessments 0 12,020 12,020 12,100 12,100 Spokane County Air Pollution Authority 134,493 137,219 140,411 150,830 148,200 226,493 319,459 253,302 372,930 260,300 Capital Outlays Computer Hardware - Capital 125,799 0 40,516 30,000 30,000 125,799 0 40,516 30,000 30,000 Debt Service: Principal Interest and Other Debt Service Costs 600 600 0 600 600 Interfund Payments for Service Transfer out - #204 (City Hall bond payment) 399,350 401,250 401,450 401,500 401,400 Transfer out - #309 (park capital projects) 160,000 160,000 160,000 160,000 160,000 Transfer out - #311 (pavement preservation) 962,700 972,300 982,023 991,843 1,001,800 Transfer out - #501 (CenterPlace kitchen reserve) 36,600 36,600 36,600 36,600 0 Transfer out - #502 (risk management) 370,000 390,000 410,000 425,000 450,000 1,928,650 1,960,150 1,990,073 2,014,943 2,013,200 Miscellaneous SCRAPS pass through 1,137 1,172 1,189 1,200 1,200 Leasehold Excise Tax Pass -Through 544 530 0 800 0 1,681 1,702 1,189 2,000 1,200 Subtotal Recurring Expenditures $ 3,022,340 $ 2,997,458 $ 2,998,430 $ 3,312,323 $ 3,716,913 Nonrecurring/Nonrecurring Capital IT capital replacement 0 0 15,075 10,000 15,000 Heavy Duty Mach. & Equip.- City Hall Generator 0 158,007 13,590 0 0 Computer Hardware - Capital 23,877 106,517 71,177 159,000 105,000 Computer Software - Capital 0 0 16,335 43,800 1,016,000 COVID-19 related expenditures 0 0 4,255,977 0 0 Transfer out - #101 0 0 0 2,552,600 2,820,419 Transfer out - #122 (Replenish Winter Weather Resei 490,000 120,000 500,000 364,440 0 Transfer out -#309(Park Capital) 423,206 1,174,368 2,781,165 35,000 0 Transfer out - #312 (capital reserve fund) 3,795,429 7,109,300 0 11,126,343 0 Transfer out - #501 (new code enf vehicle) 0 0 27,472 0 40,000 4,732,512 8,668,192 7,680,791 14,291,183 3,996,419 Total Governmental Division $ 7,754,852 $ 11,665,650 $ 10,679,221 $ 17,603,506 $ 7,713,332 82 Fund: 101 Street Fund Spokane Valley 2022 Budget The Street Fund was established to account for the activities associated with the provision of efficient and safe movement of both motorized and non -motorized vehicles, as well as pedestrians within the limits of the City, and coordinate convenient interconnect to the regional transportation system. Maintenance work includes snow and ice control, street pavement repairs, traffic signals and signs, landscaping and vegetation control, and many other street maintenance and repair activities. Accomplishments for 2021 • Implemented new contracts with private contractors for street maintenance services. • Continued on -going roadway and bridge maintenance and repairs. • Finalized traffic signal timings along the Argonne corridor. • Continued evaluations of traffic signal timings for the Pines and Sullivan corridors. • Implemented Transportation Impact Fees for the South Barker Corridor, Mirabeau, and N. Pines Transportation Subareas. • Began implementation of the 6-year Bridge Maintenance Program, prioritizing bridges requiring significant upgrades. • Continued work on a comprehensive Pavement Preservation Program, including funding source identification. • Collaborated with WSDOT and Spokane County on traffic signal evaluation and monitoring. Goals for 2022 • Continue on -going roadway and bridge maintenance and repairs. • Finalize evaluations of traffic signal timings for the Pines and Sullivan corridors. • Finalize a comprehensive Pavement Preservation Program, including funding source identification. • Work with other departments in developing a city-wide, comprehensive Asset Management Program, which will include transportation operations facilities. Personnel - FTE Equivalents Assistant Engineer Construction Inspector Engineering Tech II Maintenance/Construction Inspector Mechanic Planning Grants Engineer Public Works Superintendent Senior Engineer - Traffic Stomrwater Foreman Streets Foreman Traffic Engineer Traffic Engineering Manager Total FTEs Budget Summary 2018 Actual 1.0 0.0 0.0 2.35 0.00 0.375 1.0 1.0 0.0 0.0 0.0 0.0 5.725 2019 Actual 0.3 1.5 0.3 2.35 0.00 0.375 1.0 1.0 0.0 0.0 1.0 0.0 7.725 2020 Actual 0.00 1.50 0.25 2.35 0.00 0.375 1.0 1.0 0.0 0.0 1.0 0.0 7.475 2021 Budget 0.0 1.50 0.25 2.35 0.00 0.375 1.0 1.0 0.0 0.0 1.0 0.0 7.475 2022 Budget 0.0 1.50 * 0.25 * 0.50 * 0.75 * 0.375 * 1.0 0.0 0.1 * 1.0 1.0 1.0 7.475 (continued to next page) • These positions are budgeted partially to the Street Fund with the balance budgeted as a part of the General Fund, Capital Projects Funds, and the Stormwater Fund #402. 83 Fund: 101 Street Fund Spokane Valley 2022 Budget (continued from previous page) Revenues Utility Tax Motor Vehicle Fuel Tax Multimodal Transportation Revenue Right -of -Way Maintenance Fee Investment Interest Miscellaneous Insurance proceeds Budget Summary 2018 Actual $ 1,758,370 2,063,390 133,525 94,571 17,503 22,265 11,711 2019 Actual $ 1,563,981 2,018,186 132,637 84,704 4,022 8,063 15,848 2020 Actual $ 1,388,026 1,737,864 131,847 93,033 823 55,441 0 Total revenues 4,101,335 3,827,441 3,407,034 Nonrecurring Revenues Utility Tax Recovery 160,254 0 0 0 0 Transfers in -#001 0 0 0 2,552,600 2,820,419 Transfers in - #122 0 620,000 364,439 0 0 Transfers in -#312 0 907,544 1,364,706 0 0 Total Nonrecurring Revenues 160,254 1,527,544 1,729,145 2,552,600 2,820,419 2021 Budget $ 1,000,000 1,800,000 130,600 70,000 4,000 10,000 0 3,014,600 2022 Budget $ 932,000 1,896,000 130,200 85,000 500 10,000 0 3,053,700 Expenditures Wages, Payroll Taxes & Benefits 774,688 943,237 954,269 1,127,920 1,128,523 Supplies 94,918 100,504 128,210 156,050 176,700 Services & Charges 2,014,797 2,508,323 1,998,067 2,448,828 2,698,644 Snow Operation 580,166 1,034,064 939,416 751,652 890,502 Intergovernmental Payments 824,175 724,162 753,654 935,000 909,000 Transfers out - #001 39,700 0 0 0 0 Transfers out - #311 (pavement preservation) 67,342 0 0 0 0 Interfund Vehicle Lease -#501 (non -plow) 21,250 99,179 14,500 10,250 10,250 Interfund Vehicle Lease -#501 (plow replace) 77,929 0 48,500 60,500 60,500 Nonrecurring Expenditures Streetlight Replacement Program 0 0 0 0 35,500 Construction 21,216 0 0 0 0 Traffic control improvements 17,252 80,596 74,710 0 0 Capital Equipment 0 10,115 6,178 77,000 0 Transfer out - #501 (plow replacement) 0 0 0 0 80,000 Traffic Control Devices- Repair & Maint 10,478 83,512 15,647 0 0 Generator for Maintenance Shop (1/2 cost to #4 0 0 0 0 50,000 Total Nonrecurring expenditures 4,543,911 5,583,692 4,933,151 5,567,200 6,039,619 Revenues over (under) expenditures (282,322) (228,707) 203,028 0 (165,500) Beginning fund balance 1,067,300 784,978 556,271 759,299 759,299 Ending fund balance $ 784,978 $ 556,271 $ 759,299 $ 759,299 $ 593,799 84 Fund: 103 Paths & Trails Fund Spokane Valley 2022 Budget The State of Washington collects a $0.494 per gallon motor vehicle fuel tax at the pump. Of this amount, the State remits a portion of the tax back to cities on a per capita basis. For 2020 the Municipal Research and Services Center estimates the distribution back to cities will be $20.63 per person. Based upon a City of Spokane Valley population of 98,600 (per the Washington State Office of Financial Management on April 1, 2021) we anticipate the City will collect $1,904,000 in 2022. RCW 47.030.050 specifies that 0.42% of this tax must be expended for the construction of paths and trails and based upon the 2022 revenue estimate this computes to $8,000. The balance or $1,896,000 will be credited to Fund #101 for Street maintenance and operations. The portion of the motor vehicle tax allocated to the Paths and Trails Fund is by State Law restricted for the construction and/or improvement of paths and trails within the City. Because the cost of such projects is typically much greater than the funds generated in a single year, we typically leave the fund balance untouched until an adequate fund balance is available. The City transferred $50,000 in 2014 and $9,300 in 2016 and $50,000 in 2018 to Parks Capital Projects Fund #309 to be applied towards the Appleway Trail projects. Budget Summary Revenues Motor Vehicle Fuel (Gas) Tax Investment Interest Total revenues Expenditures Capital Outlay Transfers out- #309 Total expenditures 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 8,703 $ 8,512 $ 7,330 $ 8,700 $ 8,000 390 186 71 200 100 9,092 8,698 7,400 8,900 8,100 0 0 0 0 0 50,000 0 0 0 0 50,000 0 0 0 0 Revenues over (under) expenditures (40,908) 8,698 7,400 8,900 8,100 Beginning fund balance 46,325 5,417 14,115 21,516 30,416 Ending fund balance $ 5,417 $ 14,115 $ 21,516 $ 30,416 $ 38,516 85 Fund: 104 Hotel/Motel Tax - Tourism Facilities Fund Spokane Valley 2022 Budget The Hotel/Motel Tax - Tourism Facilities Fund accounts for the receipt and expenditure of a special excise tax of 1.3% on the sale or charge made for the furnishing of lodging under RCW 82.08. These funds will be used solely for capital expenditures for acquiring, constructing, making improvements to or other related capital expenditures for large sporting venues, or venues for tourism -related facilities, which facilities generate overnight guests at lodging facilities subject to the taxes imposed. Revenues Hotel/Motel Tax Investment Interest Transfers in - #105 Total revenues Expenditures Capital Outlay Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance Budget Summary 2018 Actual 2019 Actual 2020 Actual $ 415,295 $ 454,283 $ 24,182 43,590 250,000 275,000 2021 Budget 283,720 $ 400,000 11,908 2,500 O 1,157,000 689,477 772,873 295,628 1,559,500 O 0 O 0 O 0 O 0 689,477 772,873 295,628 1,559,500 1,228,595 1,918,072 2022 Budget $ 400,000 2,500 0 402,500 0 0 402,500 2,690,945 2,986,573 4,546,073 $ 1,918,072 $ 2,690,945 $ 2,986,573 $ 4,546,073 $ 4,948,573 Fund: 105 Hotel/Motel Tax Fund Spokane Valley 2022 Budget The Hotel/Motel Fund accounts for the receipt and expenditure of a special excise tax of 2% on the sale or charge made for the furnishing of lodging under RCW 82.08. These funds will be used solely for the purpose of paying all or any part of the cost of tourism promotion, acquisition or operation of tourism -related facilities, and marketing of special events and festivals designed to attract tourists. Budget Summary Revenues Hotel/Motel Tax Investment Interest Total revenues Expenditures Tourism Promotion Transfers out- #001 Transfers out- #104 Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 2018 Actual $ 646,975 7,058 654,033 2019 Actual $ 743,852 8,459 752,311 2020 Actual $ 443,244 2,705 445,949 2021 Budget $ 750,000 700 750,700 321,934 207,000 154,082 197,400 26,037 30,000 11,390 30,000 250,000 275,000 0 1,157,000 597,971 512,000 165,472 1,384,400 2022 Budget $ 600,000 1,000 601,000 571,000 30,000 0 601,000 56,062 240,311 280,477 (633,700) 0 221,866 277,928 518,239 798,716 165,016 $ 277,928 $ 518,239 $ 798,716 $ 165,016 $ 165,016 86 Fund: 106 Solid Waste Fund Spokane Valley 2022 Budget In 2003, the City of Spokane Valley entered into an interlocal agreement with the City of Spokane and Spokane County to join the existing Spokane Regional Solid Waste Management System for a period of eight years. In 2011, that agreement was extended through November 16, 2014. Committed to ensuring Spokane Valley citizens are provided with solid waste services that are affordable, sustainable, and environmentally responsible, in June 2014 the City of Spokane Valley opted to contract for solid waste transfer, transport and disposal services with Sunshine Recyclers, Inc. Services provided under the contract were effective November 17, 2014, and continue for a period of ten years with options for two three-year extensions. Terms of the contract require Sunshine to pay the City an annual administrative fee of $125,000 that will be used by the City to offset contract administrative costs and solid waste management within the city, including solid waste public educational efforts. The contract also provides that a road maintenance fee will be paid by Sunshine at the rate of $1 per ton for each ton in excess of 45,500 tons in a single contract year. Payments will be made to the City by March 31 of the year following the calendar year being measured. In June 2017, the City entered a contract with Waste Management for the collection of garbage, recyclables, and compostables for the period of April 1, 2018 through March 31, 2028 with the option of two additional two-year extensions. Terms of the contract require Waste Management to pay the City a one-time fee of $47,500 upon contract execution to reimburse the City for the costs of procuring the contract. Waste Management is also required to pay the City an monthly administrative fee of 12.5% of gross receipts, which is estimated to be approximately $1,600,000 in 2022. During the years of 2013 and 2014, the General Fund #001 funded various studies and fees related to the solid waste program and transferred $60,000 to the Solid Waste Fund #106 for the purpose of providing information materials and marketing necessary to inform residents and businesses of the change in solid waste transfer, transport and disposal. The total amount paid out of the General Fund for these expenditures was $202,121. Beginning in 2015 the Solid Waste Fund will reimburse the General Fund for these costs over a 5-year period, which equated to an annual payment of $40,425 in the years 2015 through 2018, and a final payment of $40,422 in 2019. Budget Summary Revenues Administrative fees Solid Waste Road Wear Fee Investment interest Total revenues 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 182,900 $ 252,396 $ 219,943 $ 225,000 $ 225,000 1,108,028 1,513,532 1,537,776 1,500,000 1,600,000 12,487 24,752 7,804 12,000 7,000 1,303,415 1,790,680 1,765,523 1,737,000 1,832,000 Expenditures Education & Contract Administration 22,313 33,407 65,385 237,000 232,000 Transfers out - #001 40,425 40,422 0 0 0 Transfers out - #311 1,000,000 1,608,028 1,513,532 1,537,776 1,600,000 Total expenditures 1,062,738 1,681,857 1,578,917 1,774,776 1,832,000 Revenues over (under) expenditures 240,677 108,823 186,606 (37,776) 0 Beginning fund balance 190,682 431,359 540,182 726,788 689,012 Ending fund balance $ 431,359 $ 540,182 $ 726,788 $ 689,012 $ 689,012 87 Fund: 107 PEG Fund Spokane Valley 2022 Budget Under the City's cable franchise, the franchise grantee remits to the City as a capital contribution in support of Public Education Government (PEG) capital requirements an amount equal to $0.35 per subscriber per month to be paid to the City on a quarterly basis for the life of the franchise. Capital contributions collected under this agreement are allocated to PEG capital uses exclusively. PEG capital uses include in part the set up of equipment in the City Council Chambers that allows Spokane Valley to broadcast Council meetings both live and through subsequent reviews via digital recordings available on the City's website. Revenues Comcast PEG contribution Investment interest Total revenues Expenditures PEG Reimbursement - CMTV New City Hall Council Chambers Capital Outlay Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 81,322 $ 79,498 $ 76,541 $ 79,000 $ 79,000 971 2,097 596 0 0 82,293 81,595 77,138 79,000 79,000 38,955 37,256 22,288 39,500 39,500 0 0 0 0 0 13,344 915 1,331 48,500 33,500 52,299 38,171 23,619 88,000 73,000 29,994 43,424 53,518 (9,000) 6,000 54,837 84,831 128,255 181,773 172,773 $ 84,831 $ 128,255 $ 181,773 $ 172,773 $ 178,773 Fund: 108 Affordable & Supportive Housing Sales Tax Spokane Valley 2022 Budget In the year 2020, the Council authorized the City to collect the affordable and supportive sales tax, which is a rebate of the State sales tax to cities and counties. The amount received by the City is up to 0.0146% of the taxable retail sales within the City capped at the 2019 fiscal year taxable retail sales. The Department of Revenue has estimated this capped distribution to be $193,000 for the City. The City will receive these revenues for 20 years, and the revenues may only be used to support affordable housing within the City or for rental assistance as outlined in RCW 82.14.540. Budget Summary 2018 Actual Revenues Affordable & Supportive Housing Sales Tax $ Investment Interest Total revenues 2019 Actual 0 $ 0 0 2020 Actual 2021 Budget 2022 Budget 0 $ 151,950 $ 193,000 $ 193,000 0 83 0 0 0 152,033 193,000 193,000 Expenditures Professional Services 0 0 0 0 0 Total expenditures 0 0 0 0 0 Revenues over (under) expenditures 0 0 152,033 193,000 193,000 Beginning fund balance 0 0 0 152,033 345,033 Ending fund balance $ 0 $ 0 $ 152,033 $ 345,033 $ 538,033 88 Fund: 120 CenterPlace Operating Reserve Fund Spokane Valley 2022 Budget The CenterPlace Operating Reserve Fund was established as a result of a covenant related to the issuance of limited tax general obligation bonds initially issued in 2003 and refunded in 2014. The bonds were issued for the purpose of constructing the CenterPlace facility. As a part of the bond issuance the City agreed to establish a $300,000 operating reserve account that could be used to make debt service payments on the bonds and/or pay for operating expenses of CenterPlace. If at any time the City were to draw on these reserves it would have to prepare and follow a plan for reinstatement of those funds drawn. This reserve is required to be in place for the life of the bonds which run through December 1, 2033. Revenues Investment Interest Transfers in Total revenues Expenditures Operations Total expenditures Budget Summary 2018 Actual $ 2019 Actual 0 $ 0 0 2020 Actual 0 $ 0 0 2021 Budget 0 $ 0 0 2022 Budget 0 $ 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Revenues over (under) expenditures 0 0 0 0 0 Beginning fund balance 300,000 300,000 300,000 300,000 300,000 Ending fund balance $ 300,000 $ 300,000 $ 300,000 $ 300,000 $ 300,000 89 Fund: 121 Service Level Stabilization Reserve Fund Spokane Valley 2022 Budget The City has committed to maintaining an ending fund balance in the General Fund of at least 50% of recurring expenditures which is equivalent to 6-months of operations. The Service Level Stabilization Reserve Fund serves as an emergency source of temporary financing to the General Fund in the event a downturn in the local economy resulted in a reduction of revenues that would otherwise compromise either the General Fund's minimum 50% reserve balance or historical levels of service. If an event such as a downturn in the economy resulted in the General Fund reserves dropping below 50% of recurring expenditures, then the Service Level Stabilization Reserve Fund could be drawn against to maintain the fund balance minimum. The Service Level Stabilization Reserve Fund will not be reduced to less than 60% of the current $5.5 million balance, or $3.3 million, without Council approval. If Coucil should deem this necessary, the City will then first replenish Fund #121 to at least $3.3 million before any annual General Fund transfers are made to the Capital Reserve Fund #312.During 2018, this reserve balance was capped at $5.5 million and any additional interest earned was accumulated in the General Fund. This represents a Fiscal Policy of the City that is also stated in the City Manager's 2022 Budget Message located near the front of this budget document. Revenues Investment Interest Transfers in Total revenues Expenditures Operations Total expenditures Budget Summary 2018 Actual 0 0 0 2019 Actual 2020 Actual 0 $ 0 0 2021 Budget 0 $ 0 0 0 0 0 O 0 0 0 O 0 0 0 2022 Budget 0 0 0 0 0 Revenues over (under) expenditures 0 0 0 0 0 Beginning fund balance 5,500,000 5,500,000 5,500,000 5,500,000 5,500,000 Ending fund balance $ 5,500,000 $ 5,500,000 $ 5,500,000 $ 5,500,000 $ 5,500,000 Fund: 122 Winter Weather Reserve Fund Spokane Valley 2022 Budget The Winter Weather Reserve Fund was established through Ordinance No. 05-018 to provide an emergency reserve for use during unusually harsh winters and storms where the Street Fund #101 budget and fund balance are inadequate to accommodate the amount of related street maintenance, including but not limited to snow plowing, sanding, and deicing, that may be necessary. In the event the City draws against this fund in any given winter, we will strive to replenish the balance back to approximately $500,000 through subsequent years' transfers. Due to the uncertainty of when this fund might be drawn upon we actually budget the same $500,000 in both 2020 and 2021 even though we recognize there exists only $500,000 to address this issue if it should arise. Revenues Investment Interest Transfers in - #001 FEMA Grant Proceeds Total revenues Expenditures Transfer out -#101 Street Maintenance Expenditures Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance Budget Summary 2018 Actual 2019 Actual $ 5,353 $ 9,899 490,000 120,000 O 10,367 2020 Actual 2021 Budget 2022 Budget $ 1,147 $ 1,900 $ 800 500,000 364,440 0 0 0 0 495,353 140,266 501,147 366,340 800 O 620,000 364,439 0 0 O 0 0 500,000 500,000 O 620,000 364,439 500,000 500,000 495,353 (479,734) 136,708 (133,660) (499,200) 7,716 503,069 23,335 160,043 526,383 $ 503,069 $ 23,335 $ 160,043 $ 26,383 $ 27,183 90 Fund: 204 Limited Tax General Obligation (LTGO) Bond - Debt Service Fund Spokane Valley 2022 Budget This fund is used to account for the accumulation of resources for, and the payment of limited tax general obligation (LTGO) bonds also referred to as councilmanic or non -voted bonds. When LTGO bonds are issued the City irrevocably pledges the full faith, credit and resources necessary to make timely payments of principal and interest, within constitutional and statutory limitations pertaining to non -voted general obligations. In 2003 the City issued $9,430,000 in LTGO bonds, the proceeds of which were used to finance both the construction of CenterPlace and road and street improvements surrounding the facility. In 2014 the City refunded the LTGO bonds in order to take advantage of lower interest rates which resulted in a reduction in subsequent annual bond payments (much like refinancing a home mortgage). At the completion of the bond refunding there remained $7,035,000 of LTGO bonds. Of this total: • $5,650,000 remained on the original debt used towards the construction of CenterPlace. These bonds will be paid off in annual installments over the 20-year period ending December 1, 2033. Annual debt service payments on these bonds are provided by the Spokane Public Facilities District. At January 1, 2022, the outstanding balance on this portion of the bond issue will be $3,780,000. • $1,385,000 remained on the original debt used towards the road and street improvements. These bonds will be paid off in annual installments over the 10-year period ending December 1, 2023. Annual debt service payments on these bonds are provided by equal distributions from the 1st and 2nd quarter percent real estate excise tax (Funds #301 and #302). At January 1, 2022, the outstanding balance on this portion of the bond issue will be $305,000. In 2016 the City issued $7,275,000 in LTGO bonds, the proceeds of which will be used to finance the construction of a new City Hall building along with $6.3 million of City cash that has been set aside for this purpose. These bonds will be paid off in annual installments over the 30-year period ending December 1, 2045. Annual debt service payments on these bonds are provided by transfers in from the General Fund. At January 1, 2022, the outstanding balance on the bond issue will be $6,400,000. Revenues Spokane Public Facilities District Transfers in - #001 Transfers in - #301 Transfers in - #302 Total revenues Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 414,050 $ 432,150 $ 459,500 $ 480,800 $ 501,200 399,350 401,250 401,450 401,500 401,400 82,000 82,475 80,375 80,775 81,100 82,000 82,475 80,375 80,775 81,100 977,400 998,350 1,021,700 1,043,850 1,064,800 Expenditures Debt Service Payment - CenterPlace 414,050 432,150 459,500 480,800 501,200 Debt Service Payment - Roads 164,000 164,950 160,750 161,550 162,200 Debt Service Payments - City Hall/LTGO'16 399,350 401,250 401,450 401,500 401,400 Total expenditures 977,400 998,350 1,021,700 1,043,850 1,064,800 Revenues over (under) expenditures 0 0 0 0 0 Beginning fund balance 0 0 0 0 0 Ending fund balance 0 0 0 0 0 91 Fund: 301 REET 1 Capital Projects Fund Spokane Valley 2022 Budget This fund is used to account for the collection and expenditures of the first one -quarter of one -percent real estate excise tax (REET 1) that is authorized through RCW 82.46. This quarter percent must be expended for purposes identified in the capital facilities plan element of our comprehensive plan. RCW 82.46.010(6), defines "capital projects" as: those public works projects of a local government for planning, acquisition, construction, reconstruction, repair, replacement, rehabilitation, or improvement of streets; roads; highways; sidewalks; street and road lighting systems; traffic signals; bridges; domestic water systems; storm and sanitary sewer systems; parks; recreational facilities; law enforcement facilities; fire protection facilities; trails; libraries; administrative and judicial facilities. Revenues recorded in this fund are typically used as a matching funds for street related construction projects that are accounted for in Street Capital Projects Fund #303, Pavement Preservation Fund #311, and to pay for a portion of the annual bond payment on the City's 2014 LTGO bonds that are accounted for in the LTGO Debt Service Fund #204. Revenues REET 1 - Taxes Investment Interest Total revenues Expenditures Transfers out - #204 Transfers out - #303 Transfers out - #311 (pavement preservation) Transfers out - #314 (Barker Grade Separation) Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance Budget Summary 2018 Actual $ 1,968,317 47,046 2,015,363 82,000 901,287 685,329 (8,147) 2019 Actual $ 1,695,344 61,382 1,756,726 2020 Actual $ 1,754,320 14,742 1,769,062 2021 Budget $ 2,000,000 3,000 2,003,000 2022 Budget $ 1,500,000 2,000 1,502,000 82,475 80,375 80,775 81,100 517,107 330,295 316,620 361,780 734,300 772,639 827,278 914,900 104,918 1,335,879 0 0 1,660,469 1,438,800 2,519,188 1,224,673 1,357,780 354,894 317,926 (750,126) 778,327 144,220 2,125,374 2,480,268 2,798,194 2,048,068 2,826,395 $ 2,480,268 $ 2,798,194 $ 2,048,068 $ 2,826,395 $ 2,970,615 92 Fund: 302 REET 2 Capital Projects Fund Spokane Valley 2022 Budget This fund is used to account for the collection and expenditures of the second one -quarter of one -percent real estate excise tax (REET 2) that is authorized through RCW 82.46. This quarter percent may only be levied by cities that are planning under the Growth Management Act and may only be expended for purposes identified in the capital facilities plan element of their comprehensive plan. RCW 82.46.035(5) defines "capital projects" as: public works projects of a local government for planning, acquisition, construction, reconstruction, repair, replacement, rehabilitation, or improvement of streets, roads, highways, sidewalks, street and road lighting systems, traffic signals, bridges, domestic water systems, storm and sanitary sewer systems, and planning, construction, reconstruction, repair, rehabilitation, or improvement of parks. Noteworthy here is that acquisition of land for parks is not a permitted use of REET 2 receipts, although it is a permitted use for street, water and sewer projects. Revenues recorded in this fund are typically used as a matching funds for street related construction projects that are accounted for in Street Capital Projects Fund #303, Pavement Preservation Fund #311, and to pay for a portion of the annual bond payment on the City's 2014 LTGO bonds that are accounted for in the LTGO Debt Service Fund #204. Revenues REET 2 - Taxes Investment Interest Total revenues Expenditures Transfers out - #204 Transfers out - #303 Transfers out - #311 (pavement preservation) Transfers out - #314 Revenues over (under) expenditures Beginning fund balance Ending fund balance Budget Summary 2018 Actual $ 1,968,317 61,879 2,030,196 82,000 1,031,071 685,329 0 2019 Actual $ 1,695,344 80,784 1,776,128 82,475 (192,297) 734,300 0 1,798,400 624,478 2020 Actual $ 1,754,320 22,425 1,776,745 2021 Budget $ 2,000,000 5,500 2,005,500 2022 Budget $ 1,500,000 5,000 1,505,000 80,375 80,775 81,100 149,678 1,662,684 1,113,649 772,638 827,279 914,900 0 287,921 0 1,002,691 2,858,659 2,109,649 231,796 1,151,650 774,054 (853,159) (604,649) 3,008,424 3,240,220 4,391,870 5,165,924 4,312,765 $ 3,240,220 $ 4,391,870 $ 5,165,924 $ 4,312,765 $ 3,708,116 93 Fund: 303 Street Capital Projects Fund Spokane Valley 2022 Budget The Street Capital Projects Fund accounts for monies used to finance street construction and reconstruction projects adopted in the City's 6-year Transportation Improvement Plan (TIP). Revenues to finance the projects comes from a combination of State and Federal Grants, which typically cover upwards of 80% of projects costs, with the City match portion coming from transfers from the REET 1 Capital Projects Fund #301, REET 2 Capital Projects Fund #302, and sometimes Stormwater Management Fund #402. Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget Revenues Grant Proceeds $ 6,562,793 $ 2,783,332 $ 2,813,485 $ 6,843,308 $ 6,956,322 Developer Contribution 33,032 228,953 540,325 53,703 1,164,399 Miscellaneous 136 586 0 0 0 Transfers in-#301 901,287 517,107 330,295 316,620 361,780 Transfers in-#302 1,031,071 (192,297) 149,678 1,662,684 1,113,649 Transfers in - #312 - Euclid Ave - Flora to Barker (1,251,465) 5,111 0 0 0 Transfers in - #312 - 8th & Carnahan Intersection 241,466 (155) 0 0 0 Transfers in - #312 - Barker Corridor 428,774 1,718,874 320,254 14,000 0 Transfers in - #312 - Garland Ave 33,938 203,814 596,582 0 0 Transfers in - #312 - Crosswalk on Indiana 0 71,486 0 0 0 Transfers in -#312 - School Beacons 0 0 0 0 225,000 Transfers in -#315 0 0 0 80,000 150,000 Total revenues 7,981,032 5,336,811 4,750,619 8,970,315 9,971,150 Expenditures 000 Construction -Street Lighting 0 71,486 0 0 0 069 Park Rd Reconstruction (Repay grant) 0 285,164 0 0 0 123 Mission Ave -Flora to Barker 3,081,873 30,696 0 0 0 141 Sullivan & Euclid PCC 14,722 0 0 0 0 142 Broadway @ Argonne/Mullan 1,956,617 14,544 0 0 0 155 Sullivan Rd W Bridge Replacement 898 0 0 0 0 166 Pines Rd (SR27) & Grace Ave. Intersect study 567,749 1,444 0 0 0 201 ITS Infill Project Phase 1 411,320 1,397 0 0 0 205 Sprague/Barker Intersection Improvement 0 24,770 121,294 329,453 1,871,500 222 Citywide Reflective Signal Backplates 15,548 0 0 0 0 (continued to next page) 94 Fund: 303 Street Capital Projects Fund Spokane Valley 2022 Budget Expenditures, continued 247 8th & Carnahan Intersection Improvements 249 Sullivan/Wellesley Intersection 250 9th Ave. Sidewalk 251 Euclid Ave. - Flora to Barker 258 32nd Ave Sidewalk - SR27 to Evergreen 259 N. Sullivan Corridor ITS Projects (PE start 201 263 Citywide Signal Backplates 264 8th Ave Sidewalk 265 Wellesley Sidewalk Project 267 Mission Ave Sidewalk 273 Barker/I-90 Interchange 275 Barker Rd Widening - River to Euclid 276 Barker Rd Widening - Euclid to Garland 278 Wilbur Rd Sidewalk - Boone to Broadway 279 Knox Ave Sidewalk - Hutchinson to Sargent 281 Highland Estates Connector 285 Indiana Ave Pres - Evergreen to Sullivan 287 University Pres - Dishman-Mica to 16th 291 Adams Sidewalk Infill 292 Mullan preservation : Broadway -Mission 293 2018 CSS Citywide Reflective Signal BP 294 Citywide Reflective Signal Post Panels 295 Garland Avenue Extension 299 Argonne Rd Concrete Pvmt Indiana to Mont 300 Pines & Mission Intersection Improvement 301 Park & Mission Intersection Improvement 302 Ella Sidewalk - Broadway to Alki 303 S. Conklin Sidewalk 310 Sullivan Rd Overcrossing UP RR Deck Repl 313 Barker Rd/Union Pacific Crossing 318 Wilbur Sidewalk - Boone to Mission 320 Sullivan Preservation - Sprague to 8th 321 Argonne Corridor Improvement- North of Knox 326 2020 Citywide Retroreflective Post Plates 329 Barker Rd Imp -City Limits to Appleway Mission Ave over Evergreen Deck Repair School zone beacons Contingency Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 2018 Actual 428,774 90,162 0 293,956 428,840 58,713 96,218 355,465 26,314 34,453 0 29,144 33,938 16,631 11,687 27,661 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 7,980,683 2019 Actual (155) 93,804 0 5,111 0 27,581 0 0 542,277 279,348 331,345 50,942 2,210,790 400,578 339,689 17,396 0 80,908 22,666 3,667 6,849 3,661 407,628 33,512 11,993 508 21,901 14,950 0 0 0 0 0 0 0 0 0 0 2020 Actual 0 102,051 0 0 0 740,384 0 0 0 1,434 77,865 1,193,099 36,176 0 0 0 235,135 0 279,947 4,822 114,526 64,703 1,067,612 78,931 57,617 45,780 325,308 110,388 16,241 52,030 24,023 187 1,067 0 0 0 0 0 5,336,450 4,750,619 2021 Budget 0 1,020,522 0 0 0 0 0 0 0 11,310 0 1,146,320 0 0 0 0 7,210 0 0 0 74,250 17,875 0 2,392,450 498,000 693,000 0 0 317,625 1,312,500 50,000 19,800 0 0 80,000 0 0 1,000,000 2022 Budget 0 1,903,176 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 8,250 3,575 0 130,017 1,746,643 0 0 0 0 1,444,000 572,909 412,000 0 142,880 250,000 261,200 225,000 1,000,000 8,970,315 9,971,150 349 361 0 0 0 66,692 67,041 67,041 67,402 67,402 67,402 67,402 67,402 67,402 67,402 95 Fund: 309 Park Capital Projects Fund Spokane Valley 2022 Budget The Park Capital Projects Fund was created to account for park related capital improvements. The source of financing typically consists of an annual transfer from the General Fund #001; however, in some years the City will utilize money set aside for capital projects in other funds. This has occurred with transfers in from the Paths and Trails Fund #103 and the Capital Reserve Fund #312, which have been applied towards various sections of the Appleway Trail project and frontage improvements at Balfour Park. Revenues Grant Proceeds Transfers in - #001 (General Fund) Transfers in - #103 (Paths & Trails) Transfers in - #312 (Capital Reserve) Investment Interest Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 1,605,948 $ 1,114,049 $ 1,334,842 $ 525,260 $ 126,100 583,206 1,334,369 2,941,166 195,000 160,000 50,000 0 0 0 0 289,661 262,599 131,985 1,032,686 4,522,420 183 85 0 0 0 Total revenues 2,528,998 2,711,102 4,407,993 1,752,946 4,808,520 Expenditures 227 Appleway Trail (Pines to Evergreen) 14,860 0 0 0 0 237 Appleway Trail (Sullivan to Corbin) 2,127,384 16,791 0 0 0 268 Appleway Trail (Evergreen to Sullivan) 29,479 756,028 1,433,833 2,033 0 270 CenterPlace outdoor venue - Phase 1 204,302 0 0 0 0 271 Brown Park lighting and pathway 22,602 0 0 0 0 274 Park signs (Sullivan, Park Rd, Balfour) 13,837 0 0 0 0 280 Appleway Trail Amenities (Univ-Pines) 19,894 679,259 0 0 0 282 Browns Park volleyball courts 170,879 1,249 0 0 0 283 Electrical Upgrade Mirabeau Point Park 7,693 0 0 0 0 288 Heart of the Valley Sculpture 4,975 0 0 0 0 296 Browns Park improvements 0 1,038,701 22,765 0 0 304 CenterPlace west lawn improvements - Ph. 2 0 113,419 1,887,746 20,000 0 305 CenterPlace roof 0 9,288 795,656 15,000 0 306 Discovery Playground Surface Repair 0 20,061 0 0 0 307 Edgecliff Park Swing sets 0 36,973 0 0 0 314 Balfour Park frontage improvements 0 0 22,048 565,150 0 315 Browns Park improvements 2020 0 0 38,049 704,731 0 316 Balfour Park improvements - Ph 1 0 0 10,947 367,503 3,507,520 Install stage fill speakers Great Room 0 0 0 6,346 0 Repair failed pixels Great Room 0 0 0 6,505 0 Reprogram Great Room AN System 0 0 0 12,499 0 Repair/replace siding at Mirabeau restroom 0 0 0 30,000 0 Sullivan Park water line 0 0 0 98,000 441,000 Replace pond liner at Mirabeau 0 0 0 0 80,000 Spokane Valley River Loop Trail 0 0 0 0 700,000 Transfers out - #312 (park land acquisition) 0 0 200,000 0 0 Total expenditures 2,615,905 2,671,769 4,411,043 1,827,767 4,728,520 Revenues over (under) expenditures (86,907) 39,333 (3,050) (74,821) 80,000 Beginning fund balance 126,201 39,294 78,627 75,577 756 Ending fund balance $ 39,294 $ 78,627 $ 75,577 $ 756 $ 80,756 96 Fund: 310 Civic Facility Capital Projects Fund Spokane Valley 2022 Budget The Civic Building Capital Projects Fund was initially set-up to accumulate resources to ultimately acquire or construct a City Hall building. The initial sources of revenue to set-up the fund reserves were transfers from the General Fund during 2005 through 2007, and as recently as December 31, 2009, this fund had a fund balance of $5,828,600. During 2010 and 2011 the City determined that street repairs and reconstruction represented a more immediate City need and opted to expend nearly $2,000,000 of the fund balance for these projects. The projects themselves were part of a septic tank elimination program (STEP) initiated by Spokane County that resulted in the installation of sewer lines down many City streets. At that time the City decided to completely reconstruct the effected streets rather than patch them. In 2012 the City used this fund to finance a variety street related capital projects as well as the $2.5 million acquisition of an 8.4 acre parcel of land on Sprague Avenue that is adjacent to Balfour Park. Partially offsetting the cost of the land acquisition was the subsequent sale of 2.82 acres of this parcel to the Spokane County Library District who had planned to construct a library building consisting of no less than 30,000 square feet. In order for the Library District to actually construct a new building on this site they first had to have a successful voted bond issue to provide the necessary financing. In the event the Library District is unable to pass a bond, they may sell the 2.82 acres parcel back to the City for the original purchase price of $839,285. An amendment was made to the interlocal agreement in October 2017 which extended the agreement through October 2022 with the option to extend through October 2024. Through this amendments, the City also agreed to contribute $1.3 million, of which the $839,285 would be part, in frontage and/or joint site improvements on the Library site. In 2015 the General Fund began to make two annual transfers to this fund that were each related to the eventual construction of a new City Hall facility. These transfers ended after 2016: • The first transfer in the amount of $72,500, when added to the City's $434,600 annual lease payment for space in its current space totals $507,100 which was the amount we anticipated our annual bond repayment would be if we were to issue approximately $8,000,000 of limited tax general obligation bonds with a 2% issue cost over 30-years at 4.50%. • The second transfer was our estimate of the annual operating costs of a City Hall facility including utilities, janitorial, grounds maintenance and snow removal, and operating and maintenance supplies. The purpose behind making these transfers beginning in 2015 was to "create" this appropriation capacity within the General Fund. These amounts were transferred out to the General Fund in 2016 and 2017 in order to cover lease payments for the prior City Hall location in years in which the City had both a lease payment and a bond payment for the new City Hall building. Revenues Investment Interest Total revenues Expenditures Transfers out - #312 Total expenditures Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 14,049 $ 16,700 $ 3,679 $ 800 $ 1,300 14,049 16,700 3,679 800 1,300 0 18,452 16,700 3,600 0 0 18,452 16,700 3,600 0 Revenues over (under) expenditures 14,049 (1,752) (13,021) (2,800) 1,300 Beginning fund balance 843,688 857,737 855,985 842,964 840,164 Ending fund balance $ 857,737 $ 855,985 $ 842,964 $ 840,164 $ 841,464 97 Fund: 311 Pavement Preservation Fund Spokane Valley 2022 Budget This fund was created during the 2011 Budget development process for the purpose of setting money aside for yet to be determined street capital improvement projects. Since inception, the pavement preservation program has been funded through a series of transfers from other City funds as well as grant proceeds. Below is a table summarizing the funding sources for Fund #311, including actuals for 2011 through 2020 and budgeted amounts for 2021 and 2022: Fund 001 101 106 123 301/302 310 Street Civic Fac. Civic Fac. General Street O&M Wear Fee Replace. REET 1&2 Capital Grants Total Actual 2011 584,681 0 0 0 0 500,000 0 1,084,681 2012 2,045,203 0 0 0 0 0 0 2,045,203 2013 855,857 282,000 0 616,284 300,000 0 35,945 2,090,086 2014 888,823 282,000 0 616,284 368,944 0 2,042,665 4,198,716 2015 920,000 206,618 0 616,284 502,098 0 835,224 3,080,224 2016 943,800 67,342 0 559,808 730,572 0 1,654,698 3,956,220 2017 953,200 67,342 0 0 1,320,958 0 89,208 2,430,708 2018 962,700 67,342 1,000,000 0 1,370,658 0 1,422,404 4,823,104 2019 972,300 0 1,608,028 0 1,468,600 0 2,398,330 6,447,258 2020 982,023 0 1,513,532 0 1,545,277 0 98,281 4,139,113 Budget 2021 991,843 0 1,537,776 0 1,654,557 0 0 4,184,176 2022 1,001,800 0 1,600,000 0 1,829,800 0 0 4,431,600 12,102,230 972,644 7,259,336 2,408,660 11,091,464 500,000 8,576,755 42,911,089 Beginning in 2013, the City committed to finance pavement preservation at a level equivalent to 6% of General Fund recurring expenditures, which has continued from that year through the 2021 budget development. Because this is a Capital Project Fund whose sole purpose is to provide for Pavement Preservation projects, any money not expended in a given year will remain in the fund and will be available for re -appropriation in subsequent years. The fund balance of Fund #123 was exhausted with the 2016 transfer of $559,808 as a consequence of following this funding strategy. In order to maintain the City's practice of setting aside funds for pavement preservation in an amount equivalent to 6% of General Fund recurring expenditures, the City began to rely more heavily on REET funds. We have determined that the 2022 funding level representing approximately 6% of General Fund recurring expenditures is $2,831,600 and that this level of funding is sustainable through 2025 assuming a General Fund contribution of $1,001,800 and a collective contribution of $1,829,800 from the REET 1 Capital Projects Fund #301 and the REET 2 Capital Projects Fund #302. The City will take advantage of grant programs directed at pavement preservation as they become available. Budget Summary Revenues Transfers in -#001 Transfers in -#101 Transfers in -#106 Transfers in -#301 Transfers in - #302 Investment Interest Grant Proceeds Intergovernmental Rev. - Model Irrigation Total revenues 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 962,700 $ 972,300 $ 982,023 $ 991,843 $ 1,001,800 67,342 0 0 0 0 1,000,000 1,608,028 1,513,532 1,537,776 1,600,000 685,329 734,300 772,639 827,278 914,900 685,329 734,300 772,638 827,279 914,900 54,724 49,593 10,960 0 0 1,422,404 2,398,330 98,281 0 1,029,000 0 1,267,575 0 0 0 4,877,828 7,764,426 4,150,073 4,184,176 5,460,600 Expenditures Pavement preservation 3,559,755 7,954,415 2,783,129 3,790,877 7,202,000 Pre -project GeoTech 43,261 22,125 0 50,000 50,000 Total expenditures 3,603,016 7,976,540 2,783,129 3,840,877 7,252,000 Revenuesover(under)expenditures 1,274,812 (212,114) 1,366,944 343,299 (1,791,400) Beginning fund balance 3,362,503 4,637,315 4,425,201 5,792,145 6,135,444 Ending fund balance $ 4,637,315 $ 4,425,201 $ 5,792,145 $ 6,135,444 $ 4,344,044 98 Fund: 312 Capital Reserve Fund Spokane Valley 2022 Budget This fund was created in 2013 to be used to account for the accumulation of resources for yet to be determined capital projects. The initial source of funds was a 2013 General Fund transfer of $7,826,207 which was followed by additional transfers from the General Fund from 2014 through 2021 in the amount of $38,916,950. Projects approved by City Council from this fund include in part: • $2,396,813 for construction of various sections of the Appleway Trail. • $1,800,000 to remove and reconstruct Euclid Ave. from Flora to Barker after County installation of sewer. • $1,421,321 towards a Barker Road / BNSF Grade Separation project. • $3,485,417 towards a Pines Road / BNSF Grade Separation project. • $2,567,741 towards Barker Road corridor improvements. • $4,839,710 for park land acquisitions. • $460,715 towards improvements at the Spokane County Library's proposed Balfour site. Commitments to future projects include: • $826,290 towards Sullivan Road / BNSF Interchange project. • $3,875,023 towards Balfour Park construction. • $1,750,000 towards the Spokane Valley River Loop Trail. • $1,400,000 towards the replacement of police vehicles. • $750,000 towards the design of a new building at the Fairgrounds. Budget Summary Revenues Transfers in - #001 Transfers in - #309 Transfers in - #310 Transfers in - #313 Grant Proceeds Proceeds from sale of land Investment Interest Total revenues 2018 Actual 2019 Actual $ 3,795,429 $ 7,109,300 O 0 O 18,452 405,056 88,590 O 0 126,565 225,907 4,327,050 7,442,249 Expenditures City Hall Sculpture Siting Professional Services Transfers out - #001 Transfers out - #101 Transfers out - #303 - Euclid Ave - Flora to Barker Transfers out - #303 - 8th & Carnahan Intersection Transfers out - #303 - Barker Road Corridor Transfers out - #303 - Garland Ave Transfers out - #303 - Crosswalk lighting on Indiar Transfers out - #303 - School Beacons Transfers out - #309 - Appleway Trail Transfers out - #309 - Balfour Park frontage improi Transfers out - #309 - Balfour Park improvements Transfers out - #309 - Sullivan Park water line Transfers out - #309 - Spokane Valley River Loop Transfers out - #314 - Pines Grade Separation Transfers out - #314 - Barker Rd Overpass Transfers out - #314 - Sullivan Rd Interchange Transfers out - #316 - Fairground Building Precinct property acquisition Park property acquisition Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 5,383 31,659 0 0 (547,287) 0 0 0 0 289,661 0 0 0 0 0 0 0 0 0 0 (220,584) 0 0 0 907,544 5,111 (155) 1,718,874 203,814 71,486 262,599 0 0 0 0 0 0 0 0 226,700 84,380 2020 Actual $ 0 200,000 0 16,700 0 58,187 2021 Budget $ 11,126,343 0 3,600 0 1,000,000 109,400 7,500 274,887 12,246,843 0 0 0 1,364,706 0 0 916,837 0 0 98,991 22,048 10,947 0 0 125,086 0 73,615 0 0 2,095,710 3,480,353 4,707,940 4,547,634 3,961,896 (4,433,052) 4,427,286 8,974,920 12,936,816 0 0 0 0 0 0 14,000 0 0 2,033 565,150 367,503 98,000 0 626,315 696,416 325,000 10,000 2,225,000 2,659,600 2022 Budget $ 0 0 0 0 0 0 10,000 10,000 0 0 1,400,000 0 0 225,000 0 0 0 0 0 3,507,520 314,900 700,000 0 724,905 101,385 750,000 0 0 7,589,017 7,723,710 4,657,826 (7,713,710) 8,503,764 13,161,590 $ 8,974,920 $12,936,816 $ 8,503,764 $13,161,590 $ 5,447,880 99 Fund: 313 City Hall Construction Fund Spokane Valley 2022 Budget This fund was created to account for the architectural and construction costs for a City Hall building. The building was completed in Fall of 2017. Funding for the construction came from a combination of an interfund transfer from the Capital Reserve Fund #312 in the amount of $5,162,764 and bond proceeds in the amount of $7.9 million. Land for the building site was acquired in 2015 through a purchase in the Civic Facilities Fund #310. Budget Summary Revenues Investment Interest Total revenues Expenditures Capital Outlay - City Hall Services & Charges Transfers out - #312 Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance 2018 Actual 2019 Actual 2020 Actual 1,416 953 0 1,416 953 0 9,573 0 0 5,283 0 0 0 88,589 0 14,856 88,589 0 (13,440) (87,636) 0 101,076 87,636 0 2021 Budget 0 0 0 0 0 0 $ 87,636 $ 0 $ 0 $ 2022 Budget 0 0 0 0 0 0 0 0 0 $ 0 0 0 Fund: 314 Railroad Grade Separation Projects Fund Spokane Valley 2022 Budget This fund was created to account for the design and construction costs of various railroad grade separation projects that are included in the Bridging the Valley concept. Due to the anticipated size, scope, and duration of these projects, managing them in a separate fund allows for the necessary monitoring without being obscured by the variety and quantity of the other projects in the Street Capital Projects Fund #303 as well as keeping these projects from skewing the average volume of activity in Fund #303. Revenues for this fund consist of grant proceeds and transfers in from other City funds, such as the General Fund #001, the REET 1 Capital Project Fund #301 and the Capital Reserve Fund #312. Expenditures in the years of 2021 and 2022 are related to design and right of way costs for the Pines Road Underpass project and the right of way and construction costs for the Barker Road Overpass project. Design work is also beginning for the Sullivan Road Interchange. Revenues Grant Proceeds Investment Interest Developer Contributions Transfers in -#001 Transfers in -#301 Transfers in - #302 Transfers in -#312 Total revenues Expenditures Barker BNSF Grade Separation Pines Rd Underpass Sullivan Rd Interchange Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance Budget Summary 2018 Actual $ 571,136 16,591 0 0 (8,147) 0 0 2019 Actual $ 1,447,398 15,883 0 0 104,918 0 0 579,580 1,568,199 562,988 1,552,316 48,923 43,717 0 0 611,911 1,596,033 2020 Actual $ 3,394,512 412 0 0 1,335,879 0 198,701 4,929,503 2021 Budget $ 2,927,000 0 0 0 0 287,921 1,647,731 4,862,652 2022 Budget $ 1,560,290 0 308,592 0 0 0 826,290 2,695,172 3,792,655 1,134,337 1,307,293 1,278,344 3,903,315 1,366,585 73,615 325,000 101,385 5,144,614 5,362,652 2,775,263 (32,331) (27,834) (215,111) (500,000) (80,091) 1,068,804 1,036,473 1,008,639 793,526 293,526 $ 1,036,473 $ 1,008,639 $ 793,528 $ 293,526 $ 213,435 100 Fund: 315 Transportation Impact Fees Fund Spokane Valley 2022 Budget Beginning in 2021, the City began collecting transportation impact fees allowed pursuant to RCW 82.02.050-82.02.110 and SVMC 22.100. These are fees specifically allowed to address impacts from new development and they may be imposed on all developments within a designated area. The City has performed several studies to determine the impact areas on which the fees are being imposed. All fees collected must be applied to transportation system improvements identified in the corresponding study. Revenues Transportation Impact Fees Total revenues Expenditures Transfers out - #303 Total expenditures Revenues over (under) expenditures Beginning fund balance Ending fund balance Budget Summary 2018 Actual 0 0 2019 Actual 2020 Actual 2021 Budget 2022 Budget 0 0 150,000 200,000 0 0 150,000 200,000 0 0 0 80,000 150,000 0 0 0 80,000 150,000 0 0 0 0 0 70,000 50,000 0 0 0 70,000 0 0 70,000 120,000 Fund: 316 Economic Development Capital Projects Fund Spokane Valley 2022 Budget In 2015, the City contracted with Community Attributes Inc. to develop a Retail Improvement Strategy and Action Plan. This plan led to another study with Community Attributes in 2016 to further explore tourism as an economic driver. The resulting 2016 Tourism Plan identified nine projects, including an expanded mixed -use facility around the Fairground and Avista Stadium, for future development. These projects would likely boost tourism and help anchor the City's leisure and retail community. Over the next several years, the City continued more in-depth analysis of some of the projects identified in the Tourism Plan and moved forward on several smaller projects. In 2020, the City began discussions with Spokane County regarding the concept of expanding the Expo Center to create additional space and versatility to attract and support multiple conferences and special events. The new Expo Center at the County Fairgrounds is estimated to cost $10 million. The City was awarded $750,000 in State funding for this project in 2021. Also in 2021, City Council allocated $1,000,000 from Fund #312 toward this project. Design on the building is starting in 2021. Revenues Transfers in -#312 Total revenues Expenditures Fairgrounds Building Total expenditures Budget Summary 2018 Actual 0 0 2019 Actual 2020 Actual 2021 Budget 2022 Budget 0 0 10,000 750,000 0 0 10,000 750,000 0 0 0 10,000 750,000 0 0 0 10,000 750,000 Revenues over (under) expenditures 0 0 0 0 0 Beginning fund balance 0 0 0 0 0 Ending fund balance 0 0 0 0 0 101 Fund: 402 Stormwater Management Fund Spokane Valley 2022 Budget The purpose of the Stormwater Management Fund is to account for the funds related to the cleaning, maintenance, and improvement of the City's storm drainage system. The revenue for this fund originates from a stormwater fee collected by Spokane County on behalf of the City. The annual fee is $21 for each single family unit, and for other property types a fee of $21 per each 3,160 square feet of parcel impervious surfacing is collected. Accomplishments for 2021 • Continued the evaluation efforts for the Glenrose and Central Floodplain mapping for FEMA. • Continued collaboration efforts with local, State, and Federal stormwater regulatory bodies. • Continued stormwater management and NPDES coordination efforts with other Eastern Washington agencies. • Continued the inventory and mapping of all City stormwater facilities. • Continued on -going stormwater maintenance and repairs utilizing in-house and contracted services. • Coordinated and financed stormwater system improvements with capital projects developed by the City. • Continued developing stormwater requirements to meet new National Pollution Discharge Elimination System (NPDES) Permit. • Began efforts in developing a Comprehensive Stormwater Management Plan for the City. Goals for 2022 • Continue the evaluation efforts for the Glenrose and Central Floodplain mapping for FEMA. • Work with other departments in developing a city-wide, comprehensive Asset Management Program, which will include stormwater facilities. • Continue collaboration efforts with local, State, and Federal stormwater regulatory bodies. • Continue the inventory and mapping of all City stormwater facilities. • Continue on -going stormwater maintenance and repairs utilizing in-house and contracted services. • Implement stormwater system improvements, integrating with other capital projects for efficiency. • Finalize the development and adoption of a Comprehensive Stormwater Management Plan for the City. • Work with other departments in developing a city-wide, comprehensive Asset Management Program, which will include stormwater facilities. Personnel - FTE Equivalents Engineer Engineering Technician I Engineering Technician 11 Stormwater Forman Assistant Engineer Mechanic Maintenance/Construction Inspector Planning Grants Engineer GIS Analyst Budget Summary 2018 Actual 1.0 0.0 1.0 0.0 1.0 0.0 1.15 0.25 0.00 4.40 2019 Actual 1.0 0.0 1.0 0.0 0.5 0.0 1.15 0.25 0.00 3.90 2020 Actual 1.0 0.0 1.0 0.0 0.5 0.0 1.15 0.25 0.00 3.90 2021 Budget 1.0 0.5 1.0 0.9 0.0 0.0 0.25 0.25 0.23 4.13 2022 Budget 1.0 0.5 1.0 0.9 0.0 0.25 0.00 0.25 0.23 4.13 Interns 3.0 2.0 2.0 2.0 2.0 (continued to next page) 102 Fund: 402 Stormwater Management Fund Spokane Valley 2022 Budget (continued from previous page) Recurring Activity Revenues Stormwater Management fees Investment Interest Miscellaneous & Grants Proceeds Total revenues Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 1,920,509 $ 1,936,362 $ 1,910,349 $ 1,900,000 $ 1,910,000 40,465 48,642 10,244 40,000 2,000 0 58,746 482 0 0 1,960,974 2,043,750 1,921,075 1,940,000 1,912,000 Expenditures Wages, Payroll Taxes & Benefits 403,470 436,115 381,447 552,694 560,631 Supplies 12,418 16,956 98,153 14,750 18,150 Services & Charges 1,149,170 1,135, 846 1,186,650 1,320,643 1,248,395 Intergovernmental Services 35,430 37,984 278,514 45,000 45,000 Transfers out - #001 13,400 0 0 0 0 Interfund vehicle lease - #501 0 0 0 6,750 6,750 Total expenditures 1,613,888 1,626,901 1,944,764 1,939,837 1,878,926 Recurring revenues over (under) Recurring Expenditures 347,086 416,849 (23,689) 163 33,074 Nonrecurring Activity Revenues Grant Proceeds 128,695 106,000 59,828 100,000 0 Total Nonrecurring revenues 128,695 106,000 59,828 100,000 0 Expenditures Capital - Various Projects 354,085 423,585 0 660,000 315,000 Stormwater Comprehensive Plan 0 0 0 100,000 100,000 Watershed studies 64,541 48,576 48,336 100,000 100,000 Generator for Maintenance Shop 0 0 0 0 50,000 Total Nonrecurring expenditures 418,626 472,161 48,336 860,000 565,000 Nonrecurring revenues over (under) Nonrecurring Expenditures (289,931) (366,161) 11,492 (760,000) (565,000) Excess (Deficit) of Total Revenues Over (Under) Total Expenditures 57,155 50,688 (12,197) (759,837) (531,926) Beginning working capital 1,973,424 2,216,210 2,180,773 2,159,796 1,399,959 Ending working capital $ 2,030,579 $ 2,266,898 $ 2,168,576 $ 1,399,959 $ 868,033 103 Fund: 403 Aquifer Protection Area Fund Spokane Valley 2022 Budget In 1985 voters of Spokane County approved a ballot proposition to create the Spokane Aquifer Protection Area (APA) as well as corresponding aquifer protection area fees with both sunsetting December 31, 2005. Boundaries of the APA included portions of unincorporated areas (including what is now Spokane Valley) and the cities of Liberty Lake, Millwood and Spokane. In 2004 the City of Spokane Valley approved a resolution authorizing the inclusion of its municipal boundaries within the APA. The APA program was subsequently reauthorized through 2025 with voter approval. All fees are collected by Spokane County and include: • An annual fee of $15 per household for the withdrawal of water from properties within the APA. • An annual fee of $15 per household for on -site sewage disposal within the APA. • For commercial properties an annual fee ranging from $15 to $960 depending upon water meter size. In 2004 the City of Spokane Valley (City) entered into an interlocal agreement with Spokane County (County) that authorized the County to collect and retain APA fees through 2010 for a variety of projects including: • up to $100,000 annually through 2010 to the Spokane Regional Health District to provide for data base management related to monitoring of septic tanks and their potential impact on water quality in the Spokane Valley Rathdrum Prairie Aquifer. • a septic tank elimination program (STEP) designed to replace septic tanks with sanitary sewer systems. In the 2004 interlocal agreement the City and County also agreed that for the years 2011 through 2025 the APA fees remaining after the payment of reasonable administration and billing fees incurred by the County would be distributed annually between the County, City and City of Spokane on a proportional basis relative to the amount generated in unincorporated areas, the City and City of Spokane. The fees collected on the City's behalf by Spokane County are expended entirely on stormwater related projects that are designed to protect the aquifer. These fees plus grant monies received from a number of granting agencies finance a variety of capital projects. Revenues Spokane County Grant Proceeds Investment Interest Total Revenues Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 462,981 $ 469,429 $ 426,234 $ 460,000 $ 460,000 597,733 101,715 60,996 1,507,045 1,881,600 28,620 37,329 9,135 2,000 1,900 1,089,334 608,473 496,365 1,969,045 2,343,500 Expenditures Capital - Various projects 662,402 329,829 239,081 2,958,540 3,008,800 Effectiveness study 0 0 0 0 55,000 Total Expenditures 662,402 329,829 239,081 2,958,540 3,063,800 Revenues over (under) expenditures 426,932 278,644 257,284 (989,495) (720,300) Beginning working capital 1,413,073 1,840,005 2,118,299 2,120,365 1,130,870 Ending working capital $ 1,840,005 $ 2,118,649 $ 2,375,583 $ 1,130,870 $ 410,570 104 Fund: 501 Equipment Rental & Replacement Fund Spokane Valley 2022 Budget The Equipment Rental & Replacement Fund (ER&R) is an Internal Service Fund that is designed to provide the funds necessary to purchase new vehicles and equipment at predetermined life cycles. This fund operates by charging each City department a monthly rental rate for the vehicles they use. The fee is based upon the estimated useful life of the vehicle and its replacement cost. The theory behind this program is that it allows City departments to budget vehicle replacement costs as a reoccurring expense over an extended period of time rather than as an intermittent capital expense that may be difficult to afford in any single year. In the event a City department requires an additional vehicle that actually adds to the fleet rather than simply replaces an existing vehicle, then that department must budget for the initial purchase price and transfer the necessary funds to the ER&R Fund to make the acquisition. In subsequent years the department will then begin paying a replacement fee spread out over the estimated useful life of the new vehicle. Beginning in 2017 a CenterPlace Kitchen Reserve was established through a transfer in from the General Fund in the amount of $36,600 per year for 5 years to build a total reserve of $183,000, which is the estimated replacement cost of the significant kitchen appliances and equipment at CenterPlace. Snow Plow Replacement Program The snow plow fleet currently consists of nine plow trucks. Six of the trucks are equipped with sanders and three of the trucks are equipped with 1,000-gallon tanks for placement of liquid deicer. Over the past five years the City has continued to improve the snow removal operations and has updated the snow plan accordingly. These improvements in snow operations have dictated that operating nine plows is a very efficient way to remove snow from the arterial and hillside roadways. Operating nine plows allows the performance of a full city arterial and designated hillsides plow in approximately 12 hours. In the future new plows will be purchased to replace the aging fleet as noted below and older plows will serve as backups and eventually be retired from the fleet beginning in 2022. The recommended snow plow fleet consists of eleven plows with two serving as backup plows. The two backup plows ensure that arterial roadways and hillside priority roadways can be cleared of snow per the snow plan. Having backup plows provides the City with additional plows that can be deployed in case of a mechanical breakdown or an accident during a winter storm event. Snow Plow Fleet Truck # Model Year YRAcquired Age at Retirement Replacement Yr Notes 207 1997 2009 25 2022 206 1996 2009 29 2025 204 1995 2009 33 2028 203 1995 2009 36 2031 Existing Fleet 205 1996 2009 38 2034 (11) Snow Plows 208 1997 2009 40 2037 209 1998 2011 42 2040 211 2000 2012 43 2043 210 2010 2011 36 2046 218 2016 2016 33 2049 219 2020 2020 32 2052 2022 2022 33 2055 207 is retired 2025 2025 33 2058 206 is retired 2028 2028 33 2061 204 is retired 2031 2031 33 2064 203 is retired 2034 2034 33 2067 205 is retired 2037 2037 33 2070 208 is retired 2040 2040 33 2073 209 is retired 2043 2043 33 2076 211 is retired (continued to next page) 105 Fund: 501 Equipment Rental & Replacement Fund Spokane Valley 2022 Budget (continued from previous page) Budget Summary 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget Revenues Vehicle rentals-#001 30,000 30,000 28,000 31,300 31,300 Vehicle rentals-#101 21,250 21,250 14,500 10,250 10,250 Vehicle rentals - #101 (plow replace.) 77,929 77,929 48,500 60,500 60,500 Vehicle rentals - #402 12,750 12,750 14,000 6,750 6,750 Transfers in - #001 (CenterPlace kitchen reserve) 36,600 36,600 36,600 36,600 0 Transfers in - #001 (Code Enforcement Vehicle) 0 0 27,472 0 40,000 Transfers in - #001 (Additional dump bed truck) 0 0 0 0 80,000 Investment Interest 19,873 26,715 6,074 10,000 1,200 Total Revenues 198,402 205,244 175,146 155,400 230,000 Expenditures Wages, Payroll Taxes & Benefits 3,714 0 0 0 0 Small tools & minor equipment 0 122 0 10,000 10,000 Vehicle Purchase 0 0 0 130,000 262,500 Snow plow purchase 0 0 0 0 250,000 Depreciation Expense -Machinery& Equipment 47,155 47,155 59,211 0 0 Total Expenditures 50,869 47,277 59,211 140,000 522,500 Revenues over (under) expenditures Beginning working capital Ending working capital 147,533 157,967 115,935 15,400 (292,500) 1,096,283 1,243,816 1,401,783 1,387,962 1,403,362 $ 1,243,816 $ 1,401,783 $ 1,517,718 $ 1,403,362 $ 1,110,862 Fund: 502 Risk Management Fund Spokane Valley 2022 Budget The City of Spokane Valley is exposed to risks of loss related to a number of sources including tort; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; natural disasters; and unemployment claims filed by former employees through the State of Washington. The Risk Management Fund was established to account for all such related revenues and expenses. Revenues for this fund are comprised almost entirely from an annual transfer of money from the General Fund and the single largest expense is typically the insurance premium the City pays to our insurance provider, the Washington Cities Insurance Authority (WCIA). Budget Summary Revenues Transfers in - #001 Investment Interest Total Revenues Expenditures Auto & Property insurance Unemployment Claims Total Expenditures 2018 Actual 2019 Actual 2020 Actual 2021 Budget 2022 Budget $ 370,000 $ 390,000 $ 410,000 $ 425,000 $ 450,000 2,135 2,124 248 0 0 372,135 392,124 410,248 425,000 450,000 345,769 348,794 337,987 425,000 450,000 6,849 31,104 7,781 0 0 352,618 379,898 345,768 425,000 450,000 Revenues over (under) expenditures 19,517 12,226 64,480 0 0 Beginning working capital 244,261 263,778 276,004 340,484 340,484 Ending working capital $ 263,778 $ 276,004 $ 340,484 $ 340,484 $ 340,484 106 Fund: 632 Passthrough Fees & Taxes Fund Spokane Valley 2022 Budget This fund was created during the 2022 Budget development process to account for State assessed District Court fees collected by Spokane County and remitted to the City as well as passthrough tax revenues such as leasehold excise and sales taxes. The Cit then remits the funds to the State Treasurer and County Prosecutor. These are fuduciary activities according to GASB accounting pronouncements. Budget Summary 2018 Actual Revenues Fees & Taxes collected for other govemments $ Total Revenues 2019 Actual 2020 Actual 2021 Budget 2022 Budget 0 $ 0 $ 372,072 $ 399,687 $ 400,000 0 0 372,072 399,687 400,000 Expenditures Fees & Taxes remitted to other govemments 0 0 371,759 400,000 400,000 Total Expenditures 0 0 371,759 400,000 400,000 Revenues over (under) expenditures 0 0 313 (313) 0 Beginning working capital 0 0 0 313 0 Ending working capital $ 0 $ 0 $ 313 $ 0 $ 0 107 CITY OF SPOKANE VALLEY, WA Capital Expenditures for 2022 SOURCE OF FUNDS Capital Outlay Description 2022 Expenditure Budget #001 General 101 Street O&M #106 Solid Waste #107 PEG #301 REET1 Capital Projects #302 REET2 Capital Projects #311 Pavement Preservation #312 Capital Reserve #314 Grade Separation #402 Stormwater Managemen #403 Aquifer Protection Area #501 Equipment Rental & Replacemen Grants Developer Contributions #001 General Fund 166,000 5,000 24,000 1,455,000 1,000,000 166,000 5,000 24,000 55,000 1,400,000 1,000,000 - IT capital replacements - Office furniture for Project Manager - Radar Trailers - Police Vehicles - Finacial software capital costs Subtotal #101 Street Fund 2,650,000 1,250,000 I I 0 I 0 I 0 I 0 I 0 I 1,400,000 I 0 I 0 I 0 I 0 I 0 I 0 35,500 50,000 I 35,500 50,000 - Streetlight replacement program - Generator for maintenance shop (1/2 cost) Subtotal #107 PEG Fund 85,500 01 85,500 I 0I 0I 0I 0I 0I 0I 0I 0I 0I 0I 0I 0 33,500 33,500 - PEG Capital outlay Subtotal #303 Street Capital Projects Fund 33,500 0 1 I 0 1 33,500 I 0 I 0 I 0 I 0 I 0 I 0 I 0 I 0 I 0 I 0 1,871,500 1,903,176 8,250 3,575 130,017 1,746,643 1,444,000 572,909 412,000 142,880 250,000 261,200 225,000 1,000,000 1,868,866 2,634 146,962 696,249 1,059,965 8,250 3,575 26,511 103,506 114,818 1,630,025 1,800 575,138 868,862 0 572,909 412,000 142,880 250,000 261,200 225,000 100,000 100,000 800,000 205 Sprague/Barker Intersecfion Improvements 249 Sullivan/Wellesley Intersecfion 293 2018 CSS Citywide Reflective Signal BP 294 Citywide Reflectve Signal Post Panels 299 Argonne Rd Concrete Pvmt Indiana to Mont 300 Pines & Mission Intersection Improvement 313 Barker Road/Union Pacifc Crossing 318 Wilbur Sidewalk: Boone to Mission 320 Sullivan Preservaton: Sprague-8th 326 2020 Citywide Retroeflective Post Plates 329 Barker Road Imp- City Limits to Appleway Mission Ave over Evergreen Deck Repair School zone beacons Contingency' Subtotal #309 Parks Capital Projects Fund 9,971,150 0 1 I 0 1 0 I 361,780 1 1,113,649 I 0 1 225,000 I 0 I 0 I 0 I 0 I 6,956,322 I 1,314,399 3,507,520 441,000 80,000 700,000 3,507,520 314,900 126,100 80,000 700,000 315 Balfour Park improvements - ph.1 Sullivan Park water line Replace pond liner at Mirabeau Spokane Valley River Loop Trail Subtotal #311 Pavement Preservation Fund 4,728,520 80,000 I I 0 I 0 I 0 I 0 I 0 I 4,522,420 I 0 I 0 I 0 I 0 I 126,100 I 0 7,202,000 1,001,800 1,600,000 914,900 914,900 1,741,400 1,029,000 - Pavement preservation Subtotal 7,202,000 1,001,800 1 I 1,600,000 I 0 I 914,900 I 914,900 I 1,741,400 I 0 I 0 I 0 I 0 I 0 I 1,029,000 I 0 1,307,293 1,366,585 101,385 724,905 273,796 308,592 80,091 1,286,494 101,385 #314 Grade Separation Fund 143 Barker BNSF Grade Separation 223 Pines Rd Underpass / BNSF & Trent' 311 Sullivan Rd Interchange © Trent #316 Economic Development Capital Projects Fund 2,775,263 0 I I 0 I 0 I 0 I 0 I 0 I 826,290 I 80,091 I 0 I 0 I 0 I 1,560,290 I 308,592 750,000 750,000 - Capital -vadous projects Subtotal #402 Stormwater Management Fund 750,000 01 I 01 0I 01 0I 01 750,000 I 0I 0 I 0I 0I 0I 0 315,000 50,000 315,000 50,000 - Capital -vadous projects - Generator for maintenance shop (1/2 cost) Subtotal #403 Aquifer Protection Area Fund 365,000 01 I 01 0I 01 0I 01 0I 0I 365,000 I 0I 0I 0I 0 3,008,800 1,127,200 1,881,600 - Capital -vadous projects Subtotal #501 Equipment Rental and Replacement Fund 3,008,800 0 I I 0 I 0 I 0 I 0 I 0 I 0 I 0 I 0 I 1,127,200 I 0 I 1,881,600 I 0 262,500 250,000 40,000 80,000 142,500 250,000 - Vehicle purchase - Snow plow purchase Subtotal 512,500 40,000 I 80,0001 0I 0I 0I 0I 0I 0I 0I 0I 0I 392,500 I 0I 0 Total Capital Expenditures and Related Financing 32,082,233 2,371,800 165,500 1,600,000 33,500 1,276,680 2,028,549 1,741,400 7,723,710 1 Contngency amount is to cover unforseen overruns, costs related to projects that were expected to complete in 2021 and the costs of projects that have not yet had funding sources idenfifed. 2 Use of Fund Balance for CIP 0223-Pines Rd Underpass © BNSF & Trent is a porton of the $1,200,000 transferred from the General Fund in 2017. - Dollar figures in Italicized Bold font are paid from a combination of exisfing fund balance and fund revenue that is not attributable to a single project. 80,091 365,000 1,127,200 392,500 11,553,312 1,622,991 108 301 - General Fund City Manager / City Clerk City Attorney Public Safety Deputy City Manager Finance Human Resources Public Works City Hall Operations & Maintenance CPW - Engineering CPW - Economic Development CPW - Building and Planning CED - Administration CED - Economic Development CED - Development Services CED - Engineering CED - Planning CED - Building Parks & Rec - Admin Parks & Rec - Recreation Parks & Rec - Senior Center Parks & Rec - CenterPlace CITY OF SPOKANE VALLEY, WA Full Time Equivalent Employees 2012 2013 2014 2015 Adopted 2016 I 2017 2018 2019 2020 2020 Amended 2021 Proposed 2022 0) 5 5 5 5 5 5 3 3 3 3 3 3 0 0 0 0 0 0 7 6 6 6 6 6 11 10.75 11.75 11.75 11.75 11.75 2 2 2 2 2 2 7.5 7 7.375 7.375 7.375 6.375 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 3 2 2 2 2 1 0 0 0 2.5 2.65 4 0 0 0 11 11 10 6 8 7 0 0 0 8.5 8 8 0 0 0 12.75 11.5 12.5 14 14 15 2 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 1 1 5 5 5 5 5 5 Difference from 2020 to 2021 + (-) (2) (3) 7 6.5 6.5 7.5 7.5 8.5 1.000 (5) 3.5 3.5 4 4 4 4 0.000 0 0.12 0.12 0.12 0.12 0.24 0.120 (4) 3 1 1 1 1 1 0.000 11.75 11.75 11.75 11.75 11.75 11.75 0.000 2 2 2 2 2 2 0.000 0 0 0 0 0 0 0.000 1 0.88 0.88 0.88 1.88 1.92 0.040 12.5 13.275 13.525 13.025 14.025 15.725 1.700 (4) 6.375 6 6 6 5.77 5.77 0.000 (5) 18 20 21 21 20 21 1.000 0 0 0 0 0 0 0.000 0 0 0 0 0 0 0.000 0 0 0 0 0 0 0.000 0 0 0 0 0 0 0.000 0 0 0 0 0 0 0.000 0 0 0 0 0 0 0.000 2 2 2 2 2 2 0.000 1 1 1.6 1.6 1.6 1.6 0.000 1 1 0.4 0.4 0.4 0.4 0.000 5 5 5 5 5 4.84 (0.160) (4) Total General Fund 74.75 72.25 73.625 73.625 73.775 74.125 74.125 74.025 75.775 76.275 77.045 80.745 3.700 101 - Street Fund 4.5 5 5.375 5.725 5.725 5.725 5.725 7.725 7.475 7.475 7.475 7.475 0.000 303 - Street Capital Project Fund 3.5 3.5 3.5 3.5 3.5 3.5 5 8.1 8.1 7.6 7.6 8.9 1.300 (4) 402 - Stormwater Fund 4.5 4.5 4.75 4.4 4.4 4.4 4.4 3.9 3.9 3.9 4.13 4.13 0.000 (5) Total FTEs 87.25 85.25 87.25 87.25 87.4 87.75 89.25 93.75 95.25 95.25 96.25 101.25 5.000 (1) FTEs for 2017 reflect the reorganization that was effective in April 2017. The original 2017 Budget had FTEs of 88.4. (2) FTEs for 2018 reflect the budget amendment approved on May 29, 2018. (3) The 2021 Budget was amended to increase FTEs by 1, which was split 0.77 to Economic Development and 0.23 to Fund #402. (4) Existing FTEs were reallocated to reflect actual time worked at various facilities. (5) Five FTEs added in 2022 - Project Manager in City Manager, Engineering Tech 11 in Engineering(0.2) and fund #303 (0.8) CAD Manager in Engineering (0.5) and fund #303 (0.5), Code Enforcement Supervior in Building, and Assistant Engineer in Engineering. 109 2021 Work Force Comparison The 31 Washington Communities with a Population of 30,000 to 100,000 CITY POPULATION FULL-TIME PART-TIME Auburn 83,950 432 2 Bellingham** 90,620 885 16 Bothell 48,920 339 2 Bremerton 42,560 329 11 Burien 53,290 77 5 Des Moines 32,820 145 2 Edmonds* 42,780 208 11 Federal Way 99,590 334 9 Issaquah 39,840 215 6 Kennewick 85,940 389 0 Kirkland 92,110 617 10 Lacey 54,780 279 2 Lake Stevens 35,460 92 3 Lakewood 60,330 202 6 Longview 38,530 299 52 Lynnwood* 41,020 289 9 Marysville 70,040 286 3 Mount Vernon 36,540 216 25 Olympia 55,010 568 14 Pasco 79,580 360 0 Pullman* 32,450 220 30 Puyallup 43,040 279 12 Redmond 71,180 618 19 Richland 59,570 498 22 Sammamish 66,130 124 2 Shoreline 57,860 167 13 Spokane Valley 98,600 94 2 University Place 33,730 46 7 Walla Walla 34,110 277 10 Wenatchee 35,810 175 2 Yakima 97,340 681 17 AVERAGE 314 10 Source: AWC 2021 Salary and Benefits Survey, organization profile *2021 data not reported. Numbers from 2020. **2020-21 data not reported. Numbers from 2019. 110 Appendix A EMPLOYEE POSITION CLASSIFICATION MONTHLY SALARY SCHEDULE Effective January 1, 2022 Position Title Grade 2022 Range City Manager Unclassified Deputy City Manager 22 11,920.14 - 17,277.75 City Attorney 21 10,738.86 - 15,550.10 Finance Director 21 10,738.86 - 15,550.10 Parks, Recreation, and Facilities Director 20 9,664.85 - 13,996.12 City Engineer 19 8,698.21 - 12,596.64 Senior Deputy City Attorney 19 8,698.21 - 12,596.64 Human Resources Manager 19 8,698.21 - 12,596.64 Planning Manager 18 7,829.40 - 11,336.42 Building Official 18 7,829.40 - 11,336.42 Engineering Manager 18 7,829.40 - 11,336.42 Traffic Engineering Manager 18 7,829.40 - 11,336.42 Economic Development Manager 18 7,829.40 - 11,336.42 Senior Engineer 17 7,046.06 - 10,202.36 Accounting Manager 17 7,046.06 - 10,202.36 Assistant Building Official 17 7,046.06 - 10,202.36 Public Works Superintendent 17 7,046.06 - 10,202.36 Senior Administrative Analyst 17 7,046.06 - 10,202.36 IT Manager 17 7,046.06 - 10,202.36 Deputy City Attorney 16 6,340.81 - 9,181.53 City Clerk 16 6,340.81 - 9,181.53 Engineer 16 6,340.81 - 9,181.53 Senior Planner 16 6,340.81 - 9,181.53 Development Services Coordinator 16 6,340.81 - 9,181.53 Database Administrator 16 6,340.81 - 9,181.53 Accountant/Budget Analyst 16 6,340.81 - 9,181.53 Housing and Homeless Services Coordinator 16 6,340.81 - 9,181.53 Project Manager 16 6,340.81 - 9,181.53 CAD Manager 16 6,340.81 - 9,181.53 Code Enforcement Supervisor 16 6,340.81 - 9,181.53 Associate Planner 15 5,707.52 - 8,263.95 Assistant Engineer 15 5,707.52 - 8,263.95 IT Specialist 15 5,707.52 - 8,263.95 Engineering Technician II 15 5,707.52 - 8,263.95 Economic Development Project Specialist 15 5,707.52 - 8,263.95 Senior Plans Examiner 15 5,707.52 - 8,263.95 Public Information Officer 15 5,707.52 - 8,263.95 Administrative Analyst 15 5,707.52 - 8,263.95 Maintenance/Construction Foreman 15 5,707.52 - 8,263.95 GIS Analyst 15 5,707.52 8,263.95 Mechanic 14 5,137.08 - 7,438.13 Human Resource Analyst 14 5,137.08 - 7,438.13 CenterPlace Coordinator 14 5,137.08 - 7,438.13 Planner 14 5,137.08 - 7,438.13 Building Inspector II 14 5,137.08 - 7,438.13 Plans Examiner 14 5,137.08 - 7,438.13 Engineering Technician I 14 5,137.08 - 7,438.13 Senior Permit Specialist 14 5,137.08 - 7,438.13 Code Enforcement Officer 14 5,137.08 - 7,438.13 Maintenance/Construction Inspector 14 5,137.08 - 7,438.13 Recreation Coordinator 13 4,623.00 - 6,694.06 Deputy City Clerk 13 4,623.00 - 6,694.06 Customer Relations/Facilities Coordinator 13 4,623.00 - 6,694.06 Building Inspector I 13 4,623.00 - 6,694.06 Executive Assistant 13 4,623.00 - 6,694.06 Planning Technician 13 4,623.00 - 6,694.06 Human Resources Technician 13 4,623.00 - 6,694.06 Senior Center Specialist 12 4,162.22 - 6,024.50 Permit Facilitator 12 4,162.22 - 6,024.50 Help Desk Technician 12 4,162.22 - 6,024.50 Accounting Technician 12 4,162.22 - 6,024.50 Administrative Assistant 12 4,162.22 - 6,024.50 Recreation Specialist 12 4,162.22 - 6,024.50 Maintenance Worker 11-12 3,744.85 - 6,024.50 Permit Specialist 11 3,744.85 - 5,422.31 Office Assistant II 10-11 3,370.14 - 5,422.31 Custodian 10 3,370.14 - 4,878.94 Office Assistant I 9-10 3,033.50 - 4,878.94 Note: Slight rounding differences may exist between the figures reflected on this page and the actual payroll rates computed by the Eden Payroll System. 111 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Department Director Approval: El Check all that apply: ❑ consent ❑ old business ® new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Proposed Resolution 21-008 Terminating the City's participation in the Spokane County Tourism Promotion Area (TPA) interlocal agreement. GOVERNING LEGISLATION: Chapter 35.101 RCW; RCW 39.34.080. PREVIOUS COUNCIL ACTION TAKEN: March 2004 approval of the original TPA interlocal agreement; amendments to the TPA agreement in 2008 and 2009. Administrative reports August 19, 2014; June 30, 2015; July 28, 2020; September 22, 2020; and November 3, 2020; November 24, 2020 motion approved to replace the TPA Agreement with the Amendment No. 3 and Restated Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area, which added a termination clause, allowed an increase in the nightly assessment, and added additional reporting requirements to member jurisdictions; and May 11, 2021 request from Council during the advance agenda portion of the meeting for staff to talk with City hoteliers to determine if they would potentially support creation of a Spokane Valley TPA; October 5, 2021 administrative report regarding discussions with City hoteliers and consensus from Council for staff to bring back further information on options and processes. BACKGROUND: A. Historical background and potential resolution terminating regional TPA - The City has been a party to an interlocal agreement since 2004 that allows the creation and operation of a TPA. Pursuant to chapter 35.101 RCW, cities and a county may form a TPA to assess a nightly charge on hotel stays. The funds may be used for qualifying expenses relating to increasing tourism in the approved area. The Agreement was previously amended in 2008 and 2009. In 2020, the Legislature amended chapter 35.101 RCW to increase the amount of the special assessment that may be imposed on each room night stay from the previous cap of $2.00, to a cap of $5.00 within the designated TPA. Following a request by the County to amend the original TPA agreement to reflect the ability to increase the nightly assessment and to increase the assessment to $4.00, the parties agreed to several amendments, including the increased nightly assessment, a new termination provision for a party to withdraw from the Agreement, and new reporting requirements to the parties, which became effective on or about December 15, 2020 through adoption of Amendment No. 3 and Restated Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area (hereafter referred to as the "2020 Amended TPA Agreement") by all parties. Pursuant to the 2020 Amended TPA Agreement, Section 8(E), this new version of the TPA agreement "contains all of the terms and conditions agreed upon by (the parties) concerning the establishment of the Spokane County Tourism Promotion Area.... No other understandings, oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or to bind any of the parties hereto." As such, the 2020 Amended TPA Agreement effectively became the new agreement controlling the regional TPA terms. The termination provision is contained in Section 8(A), and states that the Agreement "shall continue in full force and effect until such time as (1) the Spokane County Tourism Promotion Area is disestablished by action of the Board of County Commissioners of Spokane County as provided in Section 7, above; or Page 1 of 4 (2) the legislative body for Spokane County, or City of Spokane, or City of Spokane Valley takes formal action in the form of a resolution to give notice of termination of the Agreement. If this termination provision is invoked, a signed copy of the resolution giving notice of termination shall be delivered either by personal delivery or by regular United States mail delivery to each of the other parties, and shall occur no later than 4:00 pm on March 31, 2022, with an effective date of termination of December 31, 2022." In response to a question from Councilmember Higgins from October 5, please note that the word "or" is bolded, above, denoting that termination can occur either way, by action of the BoCC or by adoption of a resolution giving notice of termination by one of the three parties. Following the May 11, 2021 meeting, at which Council requested that staff talk with hoteliers in Spokane Valley to determine potential support for creation of a City -only TPA, Mayor Wick and City Attorney Cary Driskell met with either management or ownership of all hotels located within Spokane Valley currently obligated to collect and pay assessments into the regional TPA. These discussions included topics such as: - how their business has done through the pandemic; - how much background knowledge hoteliers had regarding the TPA; - the recent increase in assessment amount from $2.00 per room night to $4.00; - the types of facilities the funds could be used for; and - hoteliers' perceptions of whether the City was getting a return on investment for dollars collected in Spokane Valley in terms of events and facilities funded through the TPA allocations. Nearly all hoteliers contacted could be categorized as either supportive or potentially interested in creating a Spokane Valley TPA. Topics included that the City could continue some funding to Visit Spokane and the Sports Commission, recognizing the value the City and its hoteliers receive from those entities in creating hotel stays. But, because it would be a direct allocation from the City (rather than through the regional TPA structure), the City could require an agreement specifying measurable outcomes as we do with other types of financial allocations. There was also significant interest in the City using some of the funds to create more of an identity for Spokane Valley, which should result in more hotel stays for hoteliers within Spokane Valley. Other ideas included enhancing the Fairgrounds, enhancing whitewater features on the Spokane River east of Sullivan Road, construction of the North Loop River Trail, and bringing in more youth sports events. If Council is interested in creating its own TPA, the first step would be to pass a resolution terminating the City's participation in the existing Spokane County TPA Agreement. At the October 5, 2021 Council meeting, there was a consensus of Council that requested scheduling of a resolution that, if passed, would provide the contractual notice of termination of the City's participation in the 2020 Amended TPA Agreement, which would become effective December 31, 2022. B. Information on process to form a Spokane Valley TPA - If the City Council desires to create a Spokane Valley TPA after terminating participation in the regional TPA as discussed above, it would be required to comply with the process set forth in chapter 35.101 RCW. Pursuant to RCW 35.101.020, an initiation petition "must be presented to the (City Council)." The initiation petition must include the following: (1) A description of the boundaries of the proposed area; (2) The proposed uses and projects to which the proposed revenue from the charge shall be put and the total estimated costs; (3) The estimated rate for the charge with a proposed breakdown by class of lodging business if such classification is to be used; and (4) The signatures of the persons who operate lodging businesses in the proposed area who would pay sixty percent or more of the proposed charges. Page 2 of 4 Pursuant to RCW 35.101.030, once an initiation petition meeting these criteria has been submitted to the City, the Council would need to provide notice pursuant to RCW 35.101.060, and schedule a hearing and motion to adopt a resolution of intention to establish an area, with that resolution stating as follows: (1) The time and place of a hearing to be held by the legislative authority to consider the establishment of an area; (2) A description of boundaries in the proposed area; (3) The proposed area uses and projects to which the proposed revenues from the charge shall be dedicated and the total estimated cost of projects; and (4) The estimated rate or rates of the charge with a proposed breakdown of classifications as described in RCW 35.101.050. Pursuant to RCW 35.101.050, there are limitations on use of lodging charges as follows: (1) There shall not be more than six classifications upon which a charge can be imposed. (2) Classifications can be based upon the number of rooms, room revenue, or location within the area. (3) Each classification may have its own rate, which shall be expressed in terms of nights of stay. (4) In no case may the rate under this section be in excess of two dollars per night of stay. However, it should be noted that the Legislature in 2020 adopted a new provision, RCW 35.101.057, which allows the Council to impose an additional charge of up to $3.00 per night, for a total maximum of up to $5.00 per night. RCW 35.101.057 expires July 1, 2027 unless the Legislature extends that time period. It is possible the Legislature will extend the expiration date because the Legislature also adopted a companion section, RCW 35.101.058, which requires each TPA that increases its nightly assessment above $2.00 to perform a review and provide the state with a report that in essence documents how imposing a higher charge effectively increased tourism. As noted above, once an initiation petition has been presented pursuant to RCW 35.101.020, Council shall conduct a hearing held pursuant to RCW 35.101.060 to consider adoption of a resolution of intention to establish a TPA. At that hearing, the Council shall "shall hear all protests and receive evidence for or against the proposed action. The legislative authority may continue the hearing from time to time. Proceedings shall terminate if protest is made by the lodging businesses in the area which would pay a majority of the proposed charges." RCW 35.101.070. Following that hearing, assuming the proceedings were not terminated due to protests by a majority of lodging businesses, Council could adopt an ordinance establishing a TPA, which could include the entire City or a portion thereof. If Council does so, the ordinance shall contain the following: (1) The number, date, and title of the resolution of intention pursuant to which it was adopted; (2) The time and place the hearing was held concerning the formation of the area; (3) The description of the boundaries of the area; (4) The initial or additional rate of charges to be imposed with a breakdown by classification, if such classification is used; (5) A statement that an area has been established; and (6) The uses to which the charge revenue shall be put. Uses shall conform to the uses declared in the initiation petition under RCW 35.101.020. From the standpoint of administering the TPA, the state Department of Revenue (DOR) would collect the funds and remit them monthly to the City, which would require a contract between the City and DOR. Lastly, pursuant to RCW 35.101.130, it is important to note that if the City creates a TPA under this process, the City Council "shall have sole discretion as to how the revenue derived from the charge is to be used to Page 3 of 4 promote tourism that increases the number of tourists to the area. However, the legislative authority may appoint existing advisory boards or commissions (such as the existing Lodging Tax Advisory Committee) to make recommendations as to its use, or the legislative authority may create a new advisory board or commission for that purpose." As briefly discussed on October 5, the City could also contract with a tourism destination marketing organization or similar organization to administer the operation of the area, so long as that administration complies with all applicable laws. OPTIONS: (1) Pass a resolution giving Spokane County and City of Spokane notice of termination of the City's participation in the TPA interlocal Agreement; (2) Remain a party to the TPA Agreement (do nothing); or (3) take other action as appropriate. RECOMMENDED ACTION OR MOTION: I move we pass Resolution 21-008, giving notice of termination of the City of Spokane Valley's participation in Amendment No. 3 and Restated Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area, as well as the original Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area or as amended in 2008 and 2009 as that original TPA agreement may continue to have any legal effect, and authorize the City Manager to finalize and execute any documents or actions necessary to accomplish the same. BUDGET/FINANCIAL IMPACTS: Dependent on whether the City remains a party to the existing Agreement, or instead forms its own tourism promotion area. STAFF CONTACT: Erik Lamb, Deputy City Attorney; Cary Driskell, City Attorney. ATTACHMENTS: (1) Draft Resolution 21-008 terminating the City's participation in the regional TPA; (2) Amendment No. 3 and Restated Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area; and (3) 2018-2021 TPA revenue accounting. Page 4 of 4 DRAFT CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON RESOLUTION NO. 21-008 A RESOLUTION OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, GIVING NOTICE OF TERMINATION OF AMENDMENT NO. 3 AND RESTATED INTERLOCAL COOPERATION ACT AGREEMENT FOR ESTABLISHMENT OF SPOKANE COUNTY TOURISM PROMOTION AREA, AUTHORIZING THE CITY MANAGER TO FINALIZE AND EXECUTE ALL DOCUMENTS AND ACTIONS NECESSARY ACCOMPLISH THE SAME, AND OTHER MATTERS RELATING THERETO. WHEREAS, in 2003, the Washington State Legislature recognized the importance of tourism promotion and adopted chapter 35.101 RCW, which authorized the establishment of a Tourism Promotion Area (TPA) by a county or local municipality, and the levy of special assessments on lodging businesses to fund tourism promotion therein; and WHEREAS, pursuant to RCW 35.101.080, the Board of County Commissioners of Spokane County adopted Ordinance No. 04-0211, which established a TPA having certain boundaries to include the unincorporated area of Spokane County, the City of Spokane, and City of Spokane Valley. Ordinance No. 04-0211 also established a special assessment on operators of qualifying lodging businesses within the TPA on the furnishing of lodging; and WHEREAS, pursuant to RCW 35.101.040(2), the Parties entered into an interlocal agreement dated March 9, 2004 entitled "Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area" (TPA Agreement) wherein a TPA was formed to include properties within the boundaries of the unincorporated area of Spokane County, the City of Spokane, and the City of Spokane Valley. The TPA Agreement was subsequently amended in 2008 to modify the termination section, and further amended in 2009 to recognize an increase in certain of the special assessments on operators of lodging businesses within the TPA; and WHEREAS, in 2020, the Parties adopted "Amendment No. 3 and Restated Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area" (hereafter referred to as the 2020 Restated TPA Agreement) which amended and restated the TPA Agreement to increase the nightly assessment from $2.00 to $4.00 beginning April 1, 2021, added quarterly reporting requirements to the Parties, and added a termination provision that may be invoked by a Party to terminate the TPA Agreement so long as certain advance notice is provided to the other Parties; and WHEREAS, due to concerns about whether sufficient member hoteliers had approved the increase in the assessment rate, Spokane County took subsequent legislative action in January 2021 to re -approve the new rates. However, the Section 8 termination provision was not changed in any fashion and the 2020 Restated TPA Agreement was not amended, modified, or terminated; and WHEREAS, Section 8(E) of the 2020 Restated TPA Agreement clarifies that the document integrates the terms and conditions of all prior agreements, effectively making the 2020 Restated TPA Agreement the only agreement relating to the regional TPA in effect following adoption; and WHEREAS, the City Council for the City of Spokane Valley desires to give notice of termination of the TPA Agreement to the extent that it may still have any force and effect and the 2020 Restated TPA Agreement pursuant to Section 8(A) of 2020 Restated TPA Agreement executed on or about December 15, 2020. Resolution 21-008— Terminating Tourism Promotion Area Interlocal Agreement Page 1 of 2 DRAFT NOW THEREFORE, be it resolved by the City Council of the City of Spokane Valley, Spokane County, Washington as follows: Section 1. Notice of Termination of the Spokane County Tourism Promotion Area Agreement. The Spokane Valley City Council hereby gives notice to all Parties that it is invoking the termination provisions of Section 8(A) of the Amendment No. 3 and Restated Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area, executed on or about December 15, 2020 by Spokane County, City of Spokane, and City of Spokane Valley. Section 8(A) is invoked if: "...the legislative body for ... (the) City of Spokane Valley takes formal action in the form of a resolution to give notice of termination of the Agreement. If this termination provision is invoked, a signed copy of the resolution giving notice of termination shall be delivered either by personal delivery or by regular United States mail delivery to each of the other parties, and shall occur no later than 4:00 pm on March 31, 2022, with an effective date of termination of December 31, 2022. This Resolution hereby serves as notice of termination of the City of Spokane Valley's participation in the Spokane County Tourism Promotion Area, Amendment No. 3 and Restated Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area; and the Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area entered into by the Parties on or about March 9, 2004, and as amended in 2008 and 2009, to the extent such agreement still has any force and effect. Section 2. Effect. As such, Amendment No. 3 and Restated Interlocal Cooperation Act Agreement for Establishment of Spokane County Tourism Promotion Area, executed on or about December 15, 2020, is terminated with respect to the City of Spokane Valley, effective 11:59 p.m. on December 31, 2022. No assessments shall be collected from any qualifying lodging businesses within the City of Spokane Valley's municipal corporate limits beyond that date and the City of Spokane Valley shall not participate in the Spokane County Tourism Promotion Area after that time and date. Section 3. Repeal of any prior inconsistent authorizations. The City Council repeals any prior authorizations which may be in conflict with this Resolution, whether they were express or implied. Section 4. Effective Date. This Resolution shall be effective upon adoption. Adopted this day of October, 2021. CITY OF SPOKANE VALLEY Ben Wick, Mayor ATTEST: Christine Bainbridge, City Clerk Approved as to form: Office of the City Attorney Resolution 21-008— Terminating Tourism Promotion Area Interlocal Agreement Page 2 of 2 20-1031 AMENDMENT NO. 3 AND RESTATED INTERLOCAL COOPERATION ACT AGREEMENT FOR ESTABLISHMENT OF SPOKANE COUNTY TOURISM PROMOTION AREA THIS AMENDMENT NO. 3 AND RESTATED INTERLOCAL COOPERATION ACT AGREEMENT ("RESTATED INTERLOCAL AGREEMENT") made and entered into among Spokane County, a political subdivision of the State of Washington, having offices for the transaction of business at 1116 W. Broadway Avenue, Spokane, Washington 99260, hereinafter referred to as the "County," the City of Spokane, a municipal corporation of the State of Washington having offices for the transaction of business at 808 West Spokane Falls Blvd. Spokane, Washington 99201, hereinafter referred to as the "City", and the City of Spokane Valley, a municipal corporation of the State of Washington, having offices for the transaction of business at 10210 E. Sprague Avenue, Spokane Valley, Washington 99206, hereinafter referred to as "Spokane Valley" together referred to as the "Parties." WITNESSETH: WHEREAS, pursuant to the provisions of the RCW 36.32.120(6), the Board of County Commissioners of Spokane County, Washington has the care of county property and the management of county funds and business; and WHEREAS, in 2003, the Washington State Legislature recognized the importance of tourism promotion and passed Engrossed Substitute Senate Bill No. 6026, subsequently codified as chapter 35.101 RCW. Chapter 35.101 RCW authorized the establishment of a Tourism Promotion Area by a county and the levy of special assessments on lodging businesses to fund tourism promotion therein; and WHEREAS, pursuant to the provisions of RCW 35.101.080, the Board of County Commissioners of Spokane County adopted Ordinance No. 04-0211 which established a Tourism Promotion Area having certain boundaries to include the unincorporated area of Spokane County, the City of Spokane, and City of Spokane Valley. Ordinance No. 04-0211 also established a Special Assessment on operators of Lodging Business within the Tourism Promotion Area on the furnishing of lodging; and WHEREAS, Ordinance No. 04-0211, was subsequently amended under Resolution No. 08-0465 to modify the termination section, and was further amended under Resolution No. 09- 0585 to modify certain special assessment fees identified therein; and WHEREAS, pursuant to the provisions of RCW 35.101.040(2), the Parties entered into an interlocal agreement dated March 9, 2004 and entitled "INTERLOCAL COOPERATION ACT AGREEMENT FOR ESTABLISHMENT OF SPOKANE COUNTY TOURISM PROMOTION AREA" ("AGREEMENT") wherein a Tourism Promotion Area was formed to include properties within the boundaries of the unincorporated area of Spokane County, the City of Spokane, and the City of Spokane Valley. The AGREEMENT was subsequently amended to Page 1 of 13 modify the termination section ("AMENDMENT NO. 1 AGREEMENT") and further amended to recognize an increase in certain of the Special Assessments on operators of Lodging Businesses within the Tourism Promotion Area ("AMENDMENT NO. 2 AGREEMENT"); and WHEREAS, Paragraph 3 of the AGREEMENT provides that any change in the Special Assessment rates for any zone as set forth therein shall be made only by amendment of the resolution of the Board of County Commissioners, with the approval of the City Council of the City of Spokane and the City Council of the City of Spokane Valley. No increase in the Special Assessment rates for any zone or change in the boundaries of any zone shall be made by the Board of County Commissioners of Spokane County except upon affirmative recommendation of the Spokane Hotel and Motel Commission; and WHEREAS, the 2020 Washington State Legislature passed and the Governor signed Engrossed Substitute Senate Bill 6592 ("ESSB 6592"). ESSB 6592 authorized legislative authorities to impose an additional Tourism Promotion Area assessment charge of up to $3 per night per stay on furnishing of lodging by a lodging business located in a Tourism Promotion Area ("additional charge"). Any "additional charge" expires July 1, 2027. To consider the imposition of an "additional charge", signatures of the persons who operate lodging businesses who would pay sixty percent or more of the proposed "additional charge" must be presented to the Board of County Commissioners. The Board of County Commissioners of Spokane County received a petition signed by more than sixty percent of the lodging business who would pay the proposed "additional charge" in certain of the five (5) zones which provided as follows: (Underlined and lined out language added.) The Special Assessment to be imposed on the operators of those Lodging Businesses with room revenues during the preceding calendar year, which exceeded five hundred thousand dollars ($500,000) is as follows: Zone A: �?90 $4.00 per room/day ($2.00 represents additional charge) Zone B: $298 $4.00 per room/day ($2.00 represents additional charge) Zone C: S2:00 $4.00 per room/day ($2.00 represents additional charge) The Special Assessment to be imposed on the operators of those Lodging Businesses with room revenues during the preceding calendar year, which did not exceed five hundred thousand dollars ($500,000) is as follows: Zone D: 50 cents $1.00 per room/day ($.50 represents additional charge.) Zone E: $0.00 per room or space/day The additional charge identified above shall commence as of 12:01 a.m. April 1, 2021 and shall automatically expire at midnight on June 30, 2027. Upon the expiration of the additional charge, the previous charge shall be automatically reinstated as of 12:01 a.m. on July 1, 2027. Page 2 of 13 ; and WHEREAS, consistent with paragraph 3 of the AGREEMENT, the Parties desire to recognize the request of the lodging businesses to impose the additional charge as referenced in the immediately preceding recital which additional charge was adopted by the Board of County Commissioners after a public hearing; and WHEREAS, in addition to the Parties desiring to recognize the request of the lodging businesses to impose the additional charge, the Parties also desire to add a termination section back into the AGREEMENT to provide as follows: (Underlined language to be added.) 8 A. Duration and Termination of this Agreement: This Agreement shall continue in full force and effect until such time as (1) the Spokane County Tourism Promotion Area is disestablished by action of the Board of County Commissioners of Spokane County as provided in Section 7, above; or (2) the legislative body for Spokane County, or City of Spokane, or City of Spokane Valley takes formal action in the form of a resolution to give notice of termination of the Agreement. If this termination provision is invoked, a signed copy of the resolution giving notice of termination shall be delivered either by personal delivery or by regular United States mail delivery to each of the other parties, and shall occur no later than 4:00 pm on March 31, 2022, with an effective date of termination of December 31, 2022. Thereafter, a jurisdiction may invoke this termination provision in even numbered years, with notice to be provided no later than 4:00 pm on March 31 of that year. In the event March 31 falls on a Saturday or Sunday, the deadline shall be extended until 4:00 pm on the following Monday. Following termination of this Agreement, Spokane County shall be responsible for utilizing any remaining unallocated revenue from Special Assessments for use for tourism promotion in Spokane County. WHEREAS, in addition to the Parties desiring to recognize the request of the lodging businesses to impose the additional charge, and add a termination section back into the AGREEMENT, the Parties also desire to add an additional TPA Manager reporting requirement to provide as follows: (Underlined language to be added.) 6. B. The TPA Manager will be responsible for administering the activities and programs of the Spokane County Tourism Promotion Area and to prepare an Annual Budget for the Spokane County Tourism Promotion Area to be reviewed and approved by the Spokane Hotel and Motel Commission and submitted to the Board of County Commissioners of Spokane County on or before November 1st of each year. The TPA Manager shall also act as staff to the Spokane Hotel and Motel Commission in conjunction with assisting it in determining what activities Page 3 of 13 and programs to recommend for funding from the Special Assessments. The TPA Manager, with information provided from the Spokane County Budget and Finance Office, shall provide to the Parties, on a quarterly basis, the aggregate amount of TPA Special Assessments collected from lodging businesses located within their respective boundaries. . and WHEREAS, this RESTATED INTERLOCAL AGREEMENT hereby replaces and supersedes in its entirety the agreement entered into among the Parties dated March 9, 2004 and entitled "INTERLOCAL COOPERATION ACT AGREEMENT FOR ESTABLISHMENT OF SPOKANE COUNTY TOURISM PROMOTION AREA" as amended by that agreement entered into among the Parties and entitled "AMENDMENT NO. 1 TO INTERLOCAL COOPERATION ACT AGREEMENT FOR ESTABLISHMENT OF SPOKANE COUNTY TOURISM PROMOTION AREA" as further amended by that agreement entered into among the Parties and entitled "AMENDMENT NO. 2 TO INTERLOCAL COOPERATION ACT AGREEMENT FOR ESTABLISHMENT OF SPOKANE COUNTY TOURISM PROMOTION AREA" and adds the above referenced amendments. NOW, THEREFORE, for and in consideration of the promises set forth hereafter, Spokane County, Spokane and Spokane Valley hereby agree as follows: 1. Definitions. As used in this agreement, the following terms, unless the context otherwise dictates, shall have the following means: 1.1 "Agreement" shall mean this interlocal cooperation agreement between Spokane County, Spokane and Spokane Valley for the establishment of a Spokane County Tourism Promotion Area by Spokane County as authorized by RCW 35.101.040 (2). 1.2 "Lodging Business" means a business located within the Spokane County Tourism Promotion Area that furnishes lodging taxable by the state under chapter 82.08 RCW that has forty (40) or more lodging units. 1.3 "Operator" means the Operator of a Lodging Business, whether in the capacity of owner, general manager, lessee, sub lessee, mortgagee in possession, license or any other similar capacity. 1.4 "Room Revenues" means the gross per -night -charge (nights of stay) imposed for the rental of a room or combination of rooms for Lodging. 1.5 "Special Assessment" means the levy (charge) imposed by Spokane County on the Operators of a Lodging Business within the Spokane County Tourism Promotion Area and subsequently passed on to the guests of the Lodging Business, under the authority of RCW 35.101.050 for the purpose of providing for funding of tourism promotion in Spokane County. Page 4 of 13 1.6. "Spokane Hotel -Motel Association" means the Spokane Hotel -Motel Association, Inc., a Washington non-profit corporation. 1.7 "Spokane Hotel and Motel Commission" means the Spokane Hotel and Motel Commission, established by Spokane County, whose members are appointed by the Board of County Commissioners of Spokane County, the City Council of the City of Spokane, and the City Council of the City of Spokane Valley to provide recommendations to the Board of County Commissioners of Spokane County on proposed uses and projects of the Spokane County Tourism Promotion Area; pursuant to the provisions of RCW 35.101.130 (1) as provided in this Agreement. 1.8 "Spokane Metropolitan Area" means Spokane County, including the entire areas within the jurisdiction of Spokane and Spokane Valley and the unincorporated area of Spokane County. 1.9 "Spokane County Tourism Promotion Area" means the Tourism Promotion Area created by the resolution of the Board of County Commissioners of Spokane County pursuant to the authority of chapter 35.101 RCW, as authorized by the resolutions of the City Council of the City of Spokane and the City Council of the Spokane Valley adopting the terms of this Agreement. 1.10 "TPA Manager" shall mean a tourism destination marking organization or other similar organization employed by the Board of County Commissioners to administer the operation of the Tourism Promotion Area. 1.11 "Tourism Promotion" means activities and expenditures designed to increase tourism and convention business, including but not limited to, advertising, publicizing, or otherwise distributing information for the purpose of attracting and welcoming tourists, and operating tourism destination marketing organizations. 1.12 "Transient Basis" means the rental of a room or rooms for dwelling, lodging, or sleeping purposes by the Operator of a Lodging Business for a period of thirty (30) consecutive calendar days or less, counting a portion of a day as a full calendar day. 1.13 "Zone" or "Zones" means the distinct geographic subarea or subareas within the Spokane County Tourism Promotion Area as established by resolution of the Board of County Commissioners of Spokane County and as set forth in Exhibit "B" attached to this Agreement. 1.14 "Annual Budget" shall mean the Spokane County Tourism Promotion Area budget for a fiscal year, as adopted or amended by the Board of County Commissioners of Spokane County, after the receipt of a recommendation from the Spokane Hotel and Motel Commission, identifying all estimated revenue from Special Assessments for the fiscal year, and providing for all proposed uses of Special Page 5 of 13 Assessment revenue for the purpose of providing tourism promotion in Spokane County for the ensuing fiscal year. 2. Tourism Promotion Area to be Established by Spokane County. A. It is hereby understood and agreed by Spokane County, Spokane and Spokane Valley that Spokane County, pursuant to the authority of RCW 35.101.040(2) RCW, shall establish a "Tourism Promotion Area" designated the Spokane County Tourism Promotion Area to include the unincorporated area of Spokane County and the entire area within the corporate limits of Spokane and Spokane Valley. B. It is hereby understood and agreed by Spokane County, Spokane, and Spokane Valley that the purpose of permitting the Board of County Commissioners and Spokane County to form the Spokane County Tourism Promotion Area under RCW 35.101.040 (2) is to provide revenue to fund tourism promotion within Spokane County which will benefit the Operators of Lodging Businesses in Spokane County, Spokane and Spokane Valley. 3. Levy of Special Assessments on Lodging Businesses within the Spokane County Tourism Promotion Area. A. The Board of County Commissioners of Spokane County will levy Special Assessments on the Operators of Lodging Businesses within the Spokane County Tourism Promotion Area in accordance with the zones and levels of Special Assessments as set forth in Resolution No. 4-0140. B. It is understood and agreed by and between Spokane County, Spokane and Spokane Valley that the Spokane County Tourism Promotion Area shall include the following five (5) zones: Zone A. Zone A encompasses those Lodging Businesses located within the area of the incorporated city limits of the City of Spokane defined as follows: Downtown core bordered by Interstate 90 to the south, Hamilton Street to the east, Indiana Avenue to the north, and Monroe Street to the west. Zone B. Zone B encompasses those Lodging Businesses located within the area of the incorporated city limits of Spokane and the City of Spokane Valley except those Lodging Businesses located in Zone A. Zone C. Zone C encompasses all Lodging Businesses located outside Zones A and B, but within the unincorporated area of Spokane County. Zone D. Zone D encompasses all Lodging Businesses with room revenue under $500,000 per year, situated within the Spokane County Tourism Promotion Area, regardless of their specific location. Page 6 of 13 Zone E. Zone E encompasses Lodging Businesses located within the Tourism Promotion Area, as that term is addressed in WAC 458-20-166 as it presently exists or may be hereinafter amended, other than hotels, motels, and bed and breakfast facilities. Lodging Businesses within this zone, as addressed in WAC 458-20-166, would include only (i) trailer camps and recreational vehicle parks which charge for the rental of space to transients for locating or parking house trailers, campers, recreational vehicles, mobile homes, and tents; (ii) educational institutions which sell overnight lodging to person other than students; (iii) private lodging houses, dormitories and bunkhouses operated by or on behalf of businesses and industrial firms or schools soley for the accommodation of employees of such firms or student which are not held out to the public as a place where sleeping accommodations may be obtained; and (iv) guest ranches or summer camps which, in addition to supplying meals and lodging , offer special recreational facilities and instruction in sports boating, riding, outdoor facilities and instruction in sports, boating, riding, and outdoor living. The charge(s) imposed under this section are not a tax on the "sale of lodging" for the purposes of RCW 82.14.410. C. It is understood and agreed by and between Spokane County, Spokane and Spokane Valley that the Operators of Lodging Businesses within the Spokane County Tourism Promotion Area operating in the above -described zones will be subject to Special Assessments to be levied as follows: Zone A: $00 $4.00 per room/day. $2.00 represents additional charge. Zone B: $00 $4.00 per room/day. $2.00 represents additional charge. Zone C: $2.00 $4.00 per room/day. $2.00 represents additional charge. Zone D: $030 $1.00 per room/day. $0.50 represents additional charge. Zone E: $0.00 per room or space /day. The additional charge identified above shall commence as of 12:01 a.m. April 1, 2021 and shall automatically expire at midnight on June 30, 2027. Upon the expiration of the additional charge, the previous charge shall be automatically reinstated as of 12:01 a.m. on July 1, 2027. D. Any change in the Special Assessment rates for any zone as set forth hereinabove shall be made only by amendment of the resolution by the Board of County Commissioners, with the approval of the City Council of the City of Spokane and the City Council of the City of Spokane Valley. No increase in the Special Assessment rates for any zone or change in the boundaries of any zone shall be made by the Board of County Commissioners of Spokane Page 7 of 13 County except upon the affirmative recommendation of the Spokane Hotel and Motel Commission. 4. Use of Special Assessment Revenues For the Promotion of Tourism and Convention Business in Spokane County. A. It is understood and agreed that all of the revenues from Special Assessments collected by Spokane County from Lodging Businesses within the jurisdiction of Spokane County, the City of Spokane, and the City of Spokane Valley shall be allocated by the Board of County Commissioners of Spokane County in accordance with the Annual Budget for the Spokane County Tourism Promotion Area. The Spokane Hotel and Motel Commission shall make a recommendation to the Board of County Commissioners on all Annual Budgets. The Board of County Commissioners shall have the ultimate authority to set and approve all Annual Budgets. B. The revenues from the Special Assessments levied by Spokane County on the Operators of Lodging Businesses situated within the Spokane County Tourism Promotion Area shall be used for the following purposes only: (1) The funding of all activities and expenditures designed to increase tourism promotion and convention business within Spokane County as specified in the Spokane County Tourism Promotion Area Budget; and (2) The marketing of convention and business that benefit local tourism and the Lodging Businesses in Spokane County; and (3) The marketing of Spokane County to the travel industry in order to benefit local tourism and the lodging businesses situated within the Spokane County Tourism Promotion Area; and (4) The marketing of Spokane County to recruit major sporting events in order to promote local tourism and to benefit the Lodging Businesses within the Spokane County Tourism Promotion Area. 5. Establishment of the Spokane Hotel and Motel Commission. A. It is understood and agreed that the Board of County Commissioners of Spokane County shall, pursuant to the authority of RCW 35.101.130(1) create an eleven (11) member Spokane Hotel and Motel Commission to advise the Board of County Commissioners of Spokane County on the expenditure of Special Assessment revenues by the Spokane County Tourism Promotion Area to fund tourism promotion in Spokane County. B. Members of the Spokane Hotel and Motel Commission shall be selected by the Board of County Commissioners of Spokane County, the City Council of Spokane and the City Council of Spokane Valley from a list of nominees prepared by the Spokane Hotel and Motel Page 8 of 13 Association. All nominees for membership on the Spokane Hotel and Motel Commission must be Operators of Lodging Businesses within Spokane County or employed by the Operator of such a Lodging Business. One ex officio member of the Commission may be appointed from the members of the Board of Commissioners of Spokane County; one ex officio member may be appointed from the members of the City Council of the City of Spokane; and one ex officio member may be appointed from the members of the City Council of the City of Spokane Valley. Ex officio members of the Spokane Hotel -Motel Commission may participate in all discussions regarding proposed activities and programs by the Spokane County Tourism Promotion Area for the promotion and marketing of tourism in Spokane County but shall not have voting rights. C. The Board of County Commissioners of Spokane County shall appoint two members, and one ex officio member of the Spokane Hotel and Motel Commission, to represent the County of Spokane; the City Council of the City of Spokane Valley shall appoint two members, and one ex officio member, of the Spokane Hotel and Motel Commission to represent the City of Spokane Valley; and the City Council of the City of Spokane shall appoint four members, and one ex officio member, of the Spokane Hotel and Motel Commission to represent the City of Spokane. Any vacancy, on the Spokane Hotel and Motel Commission, arising from a resignation or other cause, shall be filled by the appointing agency, from the list of nominees prepared by the Spokane Hotel and Motel Association, within 30 days from the date the "vacancy occurs". D. It is understood and agreed that the initial members of the Spokane Hotel and Motel Commission shall serve staggered terms, with one member serving a one-year term, two members serving for two-year terms, and three members serving for three-year terms. The length of the term for each individual member of the initial Spokane Hotel and Motel Commission shall be chosen by lot at the first meeting of the Commission. Thereafter, all members subsequently appointed to the Spokane Hotel and Motel Commission shall serve for three-year terms. 6. Contract For Management of Spokane County Tourism Promotion Area. A. The Board of County Commissioners shall contract with a TPA Manager. The contract shall be awarded consistent with all applicable Spokane County laws, ordinances and regulations. The contract shall require the TPA Manager to comply with all applicable provisions of law, including chapter 35.101 RCW and with all Spokane County resolutions and ordinances as well as all regulations lawfully imposed by the state auditor or other state agencies. B. The TPA Manager will be responsible for administering the activities and programs of the Spokane County Tourism Promotion Area and to prepare an Annual Budget for the Spokane County Tourism Promotion Area to be reviewed and approved by the Spokane Hotel and Motel Commission and submitted to the Board of County Commissioners of Spokane County on or before November 1 st of each year. The TPA Manager shall also act as staff to the Spokane Hotel and Motel Commission in conjunction with assisting it in determining what activities and programs to recommend for funding from the Special Assessments. The TPA Manager, with information provided from the Spokane County Budget and Finance Office, shall Page 9 of 13 provide to the Parties, on a quarterly basis, the aggregate amount of TPA Special Assessments collected from lodging businesses located within their respective boundaries. C. The Annual Budget for the Spokane County Tourism Promotion Area shall consist of: (1) A list of the Lodging Businesses subject to Special Assessments and an estimate of the revenue to be received from all such Lodging Businesses; and (2) A statement of the proposed budget for all Spokane County Tourism Promotion Area activities and programs recommended by the Spokane Hotel and Motel Commission to be funded from Special Assessments during the ensuing fiscal year; and D. All Special Assessments received by Spokane County from the Washington State Department of Revenue and any interest therein shall be deposited by Spokane County in a special account. Payments to the TPA Manager will be made as provided for in the agreement between the Spokane County and the TPA manager. Provided, however, no Special Assessment shall be dispersed in any fiscal year until after the adoption of that year's fiscal Annual Budget, Provided further, Spokane County shall not expend in any fiscal year Special Assessments in excess of the approved fiscal Annual Budget. 7. Modification or Disestablishment of the Spokane County Tourism Promotion Area. A. The Board of County Commissioners of Spokane County, by appropriate action, may modify the provisions of the resolution establishing the Spokane County Tourism Promotion Area or provide for the disestablishment of the Spokane County Tourism Promotion Area, after adopting a resolution of intention to such effect. Such resolution of intention shall describe the change or changes proposed, or indicate that it is the intention to disestablish the Spokane County Tourism Promotion Area, and shall state the time and place of a public hearing to be held by the Board of County Commissioners of Spokane County to consider the proposed action. B. If the Operators of Lodging Businesses which pay over forty percent (40%) of the Special Assessments levied within the Spokane County Tourism Promotion Area file a petition with the Clerk of the Board of Spokane County Commissioners requesting the Board of County Commissioners of Spokane County to adopt a resolution of intention to modify or disestablish the Spokane County Tourism Promotion Area, the Board of County Commissioners of Spokane County shall adopt such resolution and act upon it as required by law. Signatures on such petition shall be those of a duly authorized representative of the Operators of Lodging Businesses in the Spokane County Tourism Promotion Area. In the event of failure on the part of the Board of County Commissioners to modify or disestablish the TPA the participating local governments reserve the right to withdraw from this agreement upon three (3) months notice to the other participating local governments. Page 10 of 13 C. In the event the resolution proposes disestablishment of the Spokane County Tourism Promotion Area, the Board of County Commissioners of Spokane County shall disestablish the Spokane County Tourism Promotion Area; unless at such public hearing, protest against disestablishment is made by the Operators of Lodging Businesses paying over fifty percent (50%) of the Special Assessments in the Spokane County Tourism Promotion Area. 8. Miscellaneous Provisions: A. Duration and Termination of this Agreement. This Agreement shall continue in full force and effect until such time as (1) the Spokane County Tourism Promotion Area is disestablished by action of the Board of County Commissioners of Spokane County as provided in Section 7, above; or (2) the legislative body for Spokane County, or City of Spokane, or the City of Spokane Valley takes formal action in the form of a resolution to give notice of termination of the Agreement. If this termination provision is invoked, a signed copy of the resolution giving notice of termination shall be delivered either by personal delivery or by regular United States mail delivery to each of the other parties, and shall occur no later than 4:00 pm on March 31, 2022, with an effective date of termination of December 31, 2022. Thereafter, a jurisdiction may invoke this termination provision in even numbered years, with notice to be provided no later than 4:00 pm on March 31 of that year. In the event March 31 falls on a Saturday or Sunday, the deadline shall be extended until 4:00 pm on the following Monday. Following termination of this Agreement, Spokane County shall be responsible for utilizing any remaining unallocated revenue from Special Assessments for use for tourism promotion in Spokane County. B. Waiver. No officer, employee, or agent of Spokane County, Spokane, or Spokane Valley has the power, right, or authority to waive any of the conditions or provisions of this Agreement. No waiver of any breach of this Agreement by Spokane County, Spokane, or Spokane Valley shall be held to be a waiver of any other or subsequent breach. Failure of Spokane County, Spokane, or Spokane Valley to enforce any of the provisions of this Agreement or to require performance of any of the provisions herein, shall in no way be construed to be a waiver of such conditions, nor in any way effect the validity of this Agreement or any part hereof, or the right of Spokane County, Spokane or Spokane Valley to hereafter enforce each and every such provision. C. Records. All records prepared, owned, used or retained by the TPA Manager in conjunction with operating or administering the activities and programs of the Spokane County Tourism Promotion Area as provided for under the terms of this Agreement shall be deemed records of Spokane County, Spokane, and Spokane Valley and shall be made available by the TPA Manager upon request to Spokane County, Spokane, or Spokane Valley, State Auditor or their authorized representatives. D. Property and Equipment. Spokane County Shall be the owner of all property and equipment purchased by the TPA Manager from Special Assessment Revenues. Provided, Page 11 of 13 however, in the event of the termination of the Agreement with the TPA Manager, Spokane County agrees to make the property and/or equipment available to the successor TPA Manager for its use in conjunction with providing similar services. Provided further, in the event of disestablishment of the Spokane County Tourism Promotion Area, all property and equipment purchased by the TPA Manager from Special Assessment Revenues shall be retained by Spokane County and used for any lawful purpose. E. Integration. This Agreement contains all of the terms and conditions agreed upon by Spokane County, Spokane, and Spokane Valley concerning the establishment of the Spokane County Tourism Promotion Area by the Board of County Commissioners of Spokane County and the collection of Special Assessments from Operators of Lodging Businesses within the entire area, including the area within the jurisdictions of Spokane and Spokane Valley. No other understandings, oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or to bind any of the parties hereto. The parties have read and understand all of this Agreement, and now state that no representation, promise, or agreement not expressed in this Agreement has been made to induce the officials of Spokane County, Spokane, or Spokane Valley to execute this Agreement. F. Severability. In the event any provision of this Agreement shall be declared by a Court of competent jurisdiction to be invalid, illegal, or unenforceable, the validity, legality and enforceability of the remaining provisions shall not, in any way, be effected or impaired thereby. G. Execution of Agreement. This Agreement shall become effective immediately after it is duly adopted by the Board of County Commissioners of Spokane County, the City Council of Spokane, and the City Council of Spokane Valley and shall be filed with the County Auditor of Spokane County, the City Clerk of Spokane, and the City Clerk of Spokane Valley, and the Secretary of State of the State of Washington. H. Litigation. In the event litigation is brought against the TPA or any party to this Agreement the TPA Manager shall cause legal counsel to be employed for the purpose of defending or prosecuting the matter. The cost of the legal counsel shall be paid by the TPA. The parties reserve the right to monitor and participate in any litigation as solely determined by the ply IN WITNESS WHEREOF, the City of Spokane, the City of Spokane Valley, and Spokane County have executed this RESTATED INTERLOCAL AGREEMENT by their duly authorized officials pursuant to all requirements of law. Page 12 of 13 GOM4fp, DATED:12 /0 /202d <49 n4.pNE co/b p :. y 3 ✓ m: ts. •• C G- �..� , t7 SEAL•.••• E co'S ATTEST: inna Vasquez, Clerk ohe Boa 20-1031 DATED: (' 9 ' 2 I BOARD OF COUNTY COMMISSIONERS OF SPOI{,AI\IE COUNTY, WASHINGTON AL FRENCH, 'hair JO H KERNS, Vice -Chair MARY L. EY, Commissioner CITY OF SPOKANE By: aLfix, Its: G Approved as to form: Assistant City Attorn CITY OF SPOKANE VALLEY By: Title: ATTEST: Approved as to form: 0,41114A,t— 141/1Dtd.L._ City Clerk Page 13of13 Office City Attorney 2018 Month January February March April May June July August September October November December Revenue Amount Data Not Available 25,793.00 35,734.00 34,620.50 38,165.72 41,588.00 45,514.50 48,835.28 39,785.00 36,994.00 Total 2020 Month January February March April May June July August September October November December 347,030.00 Revenue Amount 34,005.50 31,645.50 27,435.79 30,761.94 23,398.22 18,846.36 24,396.34 33,884.81 38,167.65 43,692.17 41,460.62 35,068.46 Total 382,763.36 2019 Month January February March April May June July August September October November December Revenue Amount 31,804.50 26,377.50 24,840.00 32,107.00 43,587.00 38,864.00 48,781,00 52,857.52 54,925.98 56,831.50 51,624.50 45,637.09 Total 508,237.59 2021 Month Revenue Amount January 23,827.79 February 24,909.55 March 26,947.82 April May June 29,049.14 33,317.50 72,338.43 July August September October November December 85,731.32 93,445.00 98,851.70 Q1 2021 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Check all that apply: ❑ consent ❑ information Department Director Approval: ❑ old business ® new business ❑ public hearing ❑ admin. report ❑ pending legislation AGENDA ITEM TITLE: Motion Consideration: City Hall Holiday Closure BACKGROUND: As the regularly scheduled holiday of Christmas Day and New Year's day are on s this year, the observed holiday will be Friday, December 24 Christmas Eve, and Friday, December 31 New Year's Eve. Closure will not affect snow plowing or police operations. OPTIONS: RECOMMENDED ACTION OR MOTION: I move to authorize the closure of City Hall and CenterPlace, at noon Wednesday, November 24, 2021, to allow staff time to prepare for their Thanksgiving Holiday; and to close at noon Thursday, December 23, 2021; that this closure will affect only normal administrative functions of the City, however, all pre -planned events at CenterPlace will take place as scheduled. BUDGET/FINANCIAL IMPACTS: STAFF CONTACT: Mark Calhoun ATTACHMENTS CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Check all that apply: ❑ consent ❑ old business ❑ information ❑ admin. report Department Director Approval: ® new business ❑ public hearing ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Motion Consideration: Council Awards of Outside Agency Funding Requests for the 2022 Budget. GOVERNING LEGISLATION: This is a component of the annual budget development process. PREVIOUS COUNCIL ACTION TAKEN: No previous action has been taken. Council heard presentations from applicants at the September 21, 2021 meeting. BACKGROUND: Since its incorporation in 2003, the City has provided partial funding for local economic development and social service agencies. Through this process, the City is contracting for services that it might otherwise provide. These services include economic development and support of the poor and infirm (as allowed by the Washington State Constitution Article 8, Section 7). This partial funding of outside agencies is again up for consideration in the 2022 Budget development process. Currently included in the 2022 Budget is $243,000 for this purpose; however, $43,000 of this amount has been committed for a direct contract with Greater Spokane Incorporated and $19,000 has been committed for a direct contract with the Greater Spokane Valley Chamber of Commerce. This leaves $182,000 available for Council to award this evening. On September 21st Council heard 5-minute presentations from those agencies requesting funding (see below), and based upon those written requests, presentations and ensuing questions, individual Councilmembers submitted to the Finance Department their recommendations for agency funding (detail on the attached sheet). Page 1 of 3 OUTSIDE AGENCY PRESENTATIONS Economic Development and Social Services September 21, 2021 1 Elevations Childrens Therapy 2 Embrace Washington 3 GSC Meals on Wheels 4 Greater Spokane Valley Rotary 5 HUB Sports Center 6 JAKT 7 Jewels Helping Hands 8 NAOMI 9 Northwest Winterfest 10 Project id 11 Spokane Valley Arts Council 12 Spokane Valley Heritage Museum 13 Spokane Valley Partners 14 Spokane Valley Summer Theatre 15 Spokane Valley Performing Arts Center 16 Teen & Kid Closet 17 Valleyfest 18 Widows Might Requested 15,000 6,520 60,000 24,096 5,000 46,500 27,911 12,500 25,000 50,000 55,000 14,800 75,000 20,000 20,000 10,500 71,000 43,270 $582,097 OPTIONS: We plan to employ essentially the same methodology to make awards as was used during award processes for the years of 2013 through 2021. This process includes the following steps: 1. After agencies interested in receiving City funds for either social service or economic development purposes had submitted written application materials seeking funding assistance, each agency was given the opportunity to make a verbal presentation to the City Council. 2. Council members delivered their recommendations to the Finance Director for how much funding assistance should be provided to each agency. The total of the award amounts recommended by each Councilmember should equal no more than the amount of money included in the budget. 3. The Finance Director then prepared a summary of Councilmember recommendations that included both the number of Council votes received for each agency and the average of all the award recommendations. 4. Agencies that received four or more Council votes will be awarded the average of the Council recommendations. 5. Agencies that received fewer than four votes will not be considered for funding. 6. Any Council awards recommended to agencies that receive three or fewer Council votes will be added together and distributed evenly among those agencies that received seven Council votes. The distribution will be a simple arithmetic average of the total amount remaining to be awarded, divided by the number of agencies receiving seven votes. Page 2 of 3 7. In no event will any agency receive an allocation greater than their initial request. If the distribution referenced in #6 above were to cause an agency to receive an allocation greater than their initial request, that portion that would be greater than the request shall be divided equally among the other agencies receiving seven Council votes. 8. If the distribution process in steps #6 and #7 above causes all of the seven vote agencies to exceed their requests, then any remainder shall be divided equally among the other agencies receiving five and six Council votes. RECOMMENDED ACTION OR MOTION: Based upon a written recommendation received from each Councilmember, staff prepared the attached summary to support the following proposed motion: I move to award 2022 Outside Agency funding as follows: Elevations; a Children's Therapy Resource Foundation - $5,837; Greater Spokane County Meals on Wheels - $18,408; HUB Sports Center - $5,000 JAKT Foundation - $12,051; NAOMI - $6,179; Northwest Winterfest - $4,571; Project id - $12,714; Spokane Valley Arts Council - $15,500; Spokane Valley Heritage Museum - $11,622; Spokane Valley Partners - $36,945; Spokane Valley Summer Theatre - $7,643; Spokane Valley Performing Arts Center - $6,357; Teen & Kid Closet - $9,051; Valleyfest - $17,214; and Widows Might - $12,908. BUDGET/FINANCIAL IMPACTS: $182,000 is included in the 2022 Budget for this purpose. STAFF CONTACT: Chelsie Taylor, Finance Director ATTACHMENTS: • Spreadsheet reflecting a summary of Councilmember recommendations for outside agency funding. Page 3 of 3 CITY OF SPOKANE VALLEY, WA 2022 Budget Summary of Outside Agency Allocations Recommended by City Council Councilmember Recommendations Higgins Peetz Woodard Wick 1 Haley I Hattenburgj Thompson 1 Elevations Childrens Therapy 5,000 5,000 6,000 7,000 5,000 5,000 2 Embrace Washington 0 4,000 0 0 0 4,000 3 GSC Meals an Wheels 15,000 15,000 25,000 20,000 17,000 16,000 4 Greater Spokane Valley Rotary 0 1,000 0 3,000 0 0 5 HUB Sports Center 5,000 5,000 5,000 5,000 5,000 3,000 6 JAKT 15,000 12,000 10,000 10,000 10,000 12,000 7 Jewels Helping Hands 0 1,000 0 0 0 2,000 8 NAOMI 10,000 5,000 10,000 10,000 0 5,000 9 Northwest Winterfest 0 15,000 0 8,000 0 4,000 10 Project id 18,000 1,000 15,000 5,000 40,000 10,000 11 Spokane Valley Arts Council 29,000 6,000 25,000 0 17,000 15,000 12 Spokane Valley Heritage Museum 13,000 8,500 9,000 14,000 12,000 12,000 13 Spokane Valley Partners 25,000 42,500 30,000 50,000 25,500 40,000 14 Spokane Valley Summer Theatre 10,000 5,000 10,000 0 10,000 9,000 15 Spokane Valley Performing Arts Center 0 20,000 5,000 15,000 0 0 16 Teen & Kid Closet 9,000 8,000 10,000 5,000 10,500 10,000 17 Valleyfest 10,000 23,000 0 25,000 20,000 20,000 18 Widows Might 18,000 5,000 22,000 5,000 10,000 15,000 Total 162,000 182,000 182,000 182,000 182,000 182,000 # of Votes 7 3 7 3 7 7 0 2 3,250 6 5,000 4 0 6 16,500 6 10,000 7 42,750 7 9,500 6 4,500 4 8,000 7 22,500 6 12,500 7 182,000 5,000 3,250 18,000 4,500 4,250 12,500 Average Requested 5,429 15,000 b 1,607 a 6,520 18,000 60,000 b 1,214 a 24,096 4,607 5,000 b 11,643 46,500 b 429 a 27,911 6,179 12,500 c 4,571 25,000 12,714 50,000 c 15,500 55,000 c 11,214 14,800 b 36,536 75,000 b 7,643 20,000 c 6,357 20,000 8,643 10,500 b 17,214 71,000 c 12,500 43,270 b 10/26/2021 Presented To Council 10/26/2021 5,837 0 18,408 0 5,000 12,051 0 6,179 4,571 12.714 15,500 11,622 36,945 7,643 6,357 9,051 17,214 12,908 182.000 582,097 182,000 Average Total Awards $182,000 Remaining Sum of agencies receiving fewer than 4 votes a 3,250 "+" or "-" average of awards < or > $182,000 15 Balance remaining to be allocated 3,265 Allocate balance among remaining 7 vote agencies 8 Amount allocated to each agency 408 b 5 & 6 vote agencies 5 c $0 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 26, 2021 Department Director Approval: El Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. Report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Community Development Block Grant (CDBG) — Potential Projects Program Year 2022 GOVERNING LEGISLATION: CDBG — Federal Department of Housing and Urban Development (HUD) 24 CFR § 570; Chapter 39.34 RCW PREVIOUS COUNCIL ACTION TAKEN: October 15, 2019, the City adopted Resolution 19-014; June 9, 2020, the City entered into a three-year agreement (2021, 2022 and 2023) to participate in the Spokane County CDBG/HOME Consortium. BACKGROUND: The City of Spokane Valley is a member of the Spokane County CDBG Consortium. Each year the Federal Department of Housing and Urban Development provides CDBG entitlement funding to Spokane County. On June 9, 2020, the City entered into an agreement with Spokane County that includes a set -aside of the County's entitlement based on the City's share of the Consortium population. Although the City has a guaranteed set -aside, we must participate in Spokane County's annual CDBG application process. To be eligible for CDBG funding, projects must serve low- and moderate- income people either as an area -wide benefit or on an individual basis. Proposed projects must also be ranked as a "high priority" in Spokane County's Consolidated Plan. High priority infrastructure projects include water, sewer, street improvements, and sidewalks. Currently, Spokane County is accepting requests for proposals for the use of CDBG funds for program year 2022. The CDBG application deadline is November 11, 2021. A public hearing on the proposed projects is scheduled for November 9, 2021. The following projects were identified based on an evaluation of sidewalk needs in CDBG target areas. # Proposed CDBG Sidewalk Project Estimated Cost 1 Park Road — Broadway Avenue to Cataldo Avenue $375,000 2 Park Road — Nora Avenue to Baldwin Avenue $375,000 3 4th Avenue — Eastern Road to Catherine Johnson Apts. $325,000 Tonight, we are looking for Council to select one of the sidewalk projects for the 2022 application process. Once a project is selected staff will mail postcards to properties adjacent to the proposed sidewalk projects providing staff contact information and a link to a webpage with detailed information relating to the project. OPTIONS: . Consensus on the selection of a proposed CDBG sidewalk project to present at the scheduled public hearing on November 9, 2021. RECOMMENDED ACTION OR MOTION: Consensus on the selection of a proposed CDBG sidewalk project to present at the scheduled public hearing on November 9, 2021. BUDGET/FINANCIAL IMPACTS: CDBG grants are funded at 100 percent of the application request. Project costs include a City share of project design, engineering management, and related stormwater improvements. STAFF CONTACT: Chaz Bates, Senior Planner; Mike Basinger, Economic Development Manager ATTACHMENTS: Presentation and 2022 CDBG Sidewalk Project Maps Community Development Block Grant 2022 Program Year October 26, 2021 Chaz Bates, Senior Planner Spokane _..fl Valley Application Process Assist Low to Moderate Income individuals or as an area -wide benefit Projects must have a High Priority Ranking in Consolidated Plan High Priority Infrastructure projects: water, sewer, streets, and sidewalks Must primarily benefit residential area 10/26/2021 2021 CDBG Potential Projects - Administrative Report commir A.R�ul 114, r FdwLi" yr:: s", ;' MULII 7,rpEr IN YEW- 4 f r. 1lhnyrx+: Apm • a r ..ri. � � a 7 lAr' A4L r..rL'A sFnW'FsA �pk�� q IrR rkkard wilt o*div6.11h.. 'warmed Barre. I. Ar.eiw-at.� Pe.m`'`_• a will , F 11 ' II*r-, to, i` 17.1 ° "". a+, ed.,,,p, Aa7,.-.... is 1* le 4.. ❑v wjar. 1 LF114 d lMr:s,a� is . s.E.. ER CSMy 7�is 2 Project Selection and Methodology 10/26/2021 Legend Eti sting 'Sidewalks SP.tS Gaps in LMI Parcels crossed by 60. Suffer Low ; Moderate Income Area 2008 4,000 6,000 8,000 10.000 Feet Identify Sidewalk Gaps CDBG Target Areas (LMI) Close to schools Consistent with comprehensive plan Within right-of-way 2021 CDBG Potential Projects - Administrative Report Project Description - 1 of 3 • Park Road - Broadway to Cataldo Sidewalk on west side of street (-600 feet) -- Completes gap to Seth Woodard Elementary -- Proximity to transit stop Approximate cost $375,000 10/26/2021 2021 CDBG Potential Projects - Administrative Report CDBG 2021 Project: Park Road Sidewalk Broadway to Cataldo Legend Qualifying Census Blocks CDBG Projects Safe Routes to School MI Schools Library Transit Center Bus Stop Fire Station Existing Sidewalks Appleway Trail 0 40 80 120 160 200 Feet `Project location for illustrative purposes only 4 Project Description - 2 of 3 10/26/2021 CDBG 2021 Project: Park Road Sidewalk eth Woodard to Baldwin Legend Qualifying Census Blocks CDBG Projects E Safe Routes to School Schools © Library EJ Transit Center • Bus Stop (j Fire Station Existing Sidewalks - - Appleway Trail N 0 50 100 150 200 250 Feet 'Pro'ect location for illustrative w ses on • Park Road Nora to Baldwin Sidewalk on west side of street (-600 feet) Completes gap from Baldwin to Seth Woodard Elementary Approximate cost $375,000 2021 CDBG Potential Projects - Administrative Report Project Description - 3 of 3 10/26/2021 CDBG 2021 Project: 4th Ave Sidewalk Eastern to sidewalk at CJ Apts Legend -- - El s Qualifying Census Blocks CDBG Projects Safe Routes to School Schools Library Transit Center Bus Stop Fire Station Existing Sidewalks Appleway Trail 0 30 60 90 120 150 Feet *Pro ecf focefron for illustrative •urposes on! • 4thAvenue - Eastern to Catherine Johnson Apt -- Sidewalk on west side of street (-500 feet) - Completes gap to Eastern Rd - Safe Route to School - - Spokane Housing Authority applied for project in 2018 — Approximate cost $325,000 2021 CDBG Potential Projects - Administrative Report Recommendation and Next Steps Recommendation Park Road -Broadway to Cataldo Next Steps Select option or options to present at public hearing Hold public hearing November 9 Motion Consideration same night after hearing Submit application by November 11 10/26/2021 0.0.0 1. I.Rlall 1114 114. 4111X nl 14.44,0114411x . u: W yT Aa70' -. Fdai" yr: s", ;' 2021 CDBG Potential Projects - Administrative Report l-01.a 7 10111 64.p„ d 1Ms Rnw' ,..r...n��., APP."te`Sa :F�r4o. i'"� i ill: w too mar4v4 In 0.Z ..�B,X• ,�, 1. .— .n wa +nl*�^'" 'lre la prkle‘t fir ;; ,mar. n o,r a-:+t044,4a1 F . r�adn... • �-�"~ - 14..Arvp Ito •c_ wry S. r__.. - lMr:s,a� is .s.E.. ER CSM,77�is 7 Questions CITY pF Sp okane Valley° 10/26/2021 2021 CDBG Potential Projects - Administrative Report 8 CDBG 2022 Project: Park Road Sidewalk Broadway to Cataldo Legen Qualifying Census Blocks 1 1 CDBG Projects MI MI Safe Routes to School Schools P3 Library f Transit Center • Bus Stop O Fire Station Existing Sidewalks - - - - Appleway Trail 0 40 80 120 160 200 Feet 'Project location for illustrative purposes only. A CDBG 2022 Project: Park Road Sidewalk Seth Woodard to Baldwin Legend ME • () Qualifying Census Blocks CDBG Projects Safe Routes to School Schools Library Transit Center Bus Stop Fire Station Existing Sidewalks - - Appleway Trail 0 50 100 150 200 250 Feet *Project location for illustrative purposes only. • IUIGii�F� ii _ CDBG 2022 Project: 4th Ave Sidewalk Eastern to sidewalk at CJ Apts Legend Qualifying Census Blocks I 1 I CDBG Projects - - Safe Routes to School Schools ll Library n Transit Center • Bus Stop ( Fire Station Existing Sidewalks Appleway Trail 0 30 60 90 120 150 Feet "Project location for illustrative purposes only. Meeting Date: CITY OF SPOKANE VALLEY Request for Council Action October 26, 2021 Department Director Approval: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Admin. Report— Balfour Park Design Update GOVERNING LEGISLATION: n/a PREVIOUS COUNCIL ACTION TAKEN: • 08/28/2007 • 09/11/2012 • 09/25/2012 • 10/29/2013 • 12/17/2013 • 11/12/2019 • 01/26/2021 • 02/02/2021 • 02/09/2021 • 07/06/2021 • 07/27/2021 • 08/05/2021 • 08/17/2021 Admin Report; Approval for Feasibility Study for Balfour Park Administration Report - Spokane County Library District (SCLD) Interlocal Agreement Passed motion to execute SCLD Interlocal Agreement Passed motion to adopt Balfour Park / Library Conceptual plan Passed motion to adopt the Park & Rec Master Plan 2013 Update Passed motion to adopt Park & Rec Master Plan 2019 Update Administration Report - SCLD Update by Director Patrick Roewe Administration Report - SCLD Interlocal Agreement Proposed Amendment Passed motion to amend SCLD Interlocal Agreement Passed motion to authorize AHBL Park Design Agreement Administration Report — SCLD Library Design Update Community Workshop to prioritize Park elements Administration Report — Balfour Park Design Update BACKGROUND: The City entered into an Interlocal Agreement with the SCLD in 2012, shortly after the City purchased 8.4 acres of property from Pring Corporation, in anticipation of SCLD constructing and operating a new central library facility within Spokane Valley. The City sold a total of 2.82 acres to SCLD for construction of a new library, which was anticipated to occur within a five year period. In 2017, the Interlocal Agreement timeframe for completion was extended from 2017 to 2022, with a possible additional extension to October 2024. SCLD submitted a bond proposal to the voters in 2013 and 2014, both of which failed to reach the required 60% approval threshold to pass. Recently, SCLD identified alternative funding options without a voted bond. Construction of the new library is anticipated for 2022. On July 6, 2021, Council authorized the City Manager to execute a contract with AHBL, Inc. (AHBL) for design services of the Balfour Park Expansion. AHBL is expected to complete the 60% design of the overall park and 30% design of the architectural park elements identified in the adopted Master Plan by mid -November. Park elements consist of an events plaza, signature playground, splash pad and restroom, picnic shelter, sports courts, veterans' memorial, amphitheater and a walking/interpretive trail. These were prioritized based on public input gathered at the August 5, 2021 community workshop and through an online survey that remained live through September 7, 2021. The top -two ranked elements are the signature playground and splash pad/restroom. The current process is to advance the design of Balfour Park Phase 1 — Park Infrastructure — to approximately 90% in early December. See attached overall Balfour Park site plan and Phase 1 — Park Infrastructure site plan. The goal is to include final construction plans for Phase 1 — Park Infrastructure as part of the Library construction contract expected to be advertised for construction bids in January 2022. Construction is expected to start in the spring of 2022. AHBL has prepared a preliminary cost estimate for Phase 1 — Park Infrastructure at $3M to include excavation and grading, water, electric and sewer utilities, some of the park pathways and lighting system, the easterly parking lot, some landscaping/irrigation, and the new restroom building. Since the existing park restroom will be demolished, the new restroom building will be constructed in Phase 1 and will include a pump room for the future splash pad, a mechanical and electrical room, storage room and a Spokane Valley Police Department workspace. The City's project budget for Phase I — Park Infrastructure is shown below: Project Costs Preliminary Engineering $ 470,500 Construction $3,404,523 Total Estimated Costs $3,875,023 OPTIONS: Discussion RECOMMENDED ACTION OR MOTION: Discussion Project Budget City Fund 312 $3,875,023 Total Budget $3,875,023 BUDGET/FINANCIAL IMPACTS: Phase 1 — Park Infrastructure construction is estimated to cost approximately $3M. Presently, money earmarked for Balfour Park in Capital Reserve Fund #312 is approximately $3.875M. Additional funding will be necessary for the future park elements. STAFF CONTACT: John Bottelli, Parks, Recreation & Facilities Director Bill Helbig, City Engineer ATTACHMENTS: Overall Balfour Park Site Plan Phase 1 Park Infrastructure Site Plan MAIN AVENUE 0 0 0 -J W /xi FUTURE LIBRARY NOT A PART PROPERTY LINE PROPERTY LINE PARK PLAYGROUND • PARK EVENTS PLAZA , $ , �.• a .L 1.. ,L PROPERTY LINE SPRAGUE AVE. SPORT COURTS PROPERTY LINE PROPERTY LINE BAL FO U R ROAD rntegrus AICHIIECTURE PROPERTY LINE MAIN AVENUE 1 4' W ao • oo• + 4.• . • * • 4. lo • 4r • . 44 • • • • . 4. 4.y • ••• PROPERTY LINE • 4. • w . * • 4Ir * * 4. r Lro so * • • a /el . 44 N• W . . * W . . * 44 • ' ' * . Yr . . • 4, • le 4 . • . . . ."4'.. : H 1. ' . 6. • . .4. 4 .4 .. . ... .. 4. • • • . • 4' • 4- . . . . • . * * • 4 '.."'' .'•-•,. _ . • • • • . .,.., . ..,.. • .... . , * .,, • . * w v W . . . 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Report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Administrative Report: Planned Residential Development Regulations GOVERNING LEGISLATION: SVMC 17.80.150, SVMC 19.30.040, and RCW 36.70A.106. PREVIOUS COUNCIL ACTION TAKEN: November 17, 2020: During advance agenda discussion, City Council agreed to have staff review the applicability of chapter 19.50 SVMC November 24, 2020: Adoption of Emergency Ordinance 20-028 establishing a one-year moratorium on new planned residential development applications BACKGROUND: CTA-2020-0006 is a City initiated code text amendment to delete Chapter 19.50 of the Spokane Valley Municipal Code (SVMC) and eliminate the Planned Residential Developments (PRD) regulations. As part of the 2020 Comprehensive Plan Amendment process, the City initiated an amendment to amend the goals and policies for alternative housing types with regulatory changes that included establishing the R-4 zone and the implementing regulations. The amendment was intended to address citizen concerns regarding the influx of duplex developments, and to develop appropriate locations for higher density alternative housing. CPA-2020-0007 established the R-4 zone in areas supported by transit and services that support denser housing and housing affordability. Additionally, duplex minimum lot sizes in the R-3 zone were increased to be compatible with neighborhood character. On November 17, 2020, in response to citizen complaints, Council directed staff to review Chapter 19.50, SVMC to ensure that the PRD regulations were consistent with the intent of CPA-2020-0007 and identify any loopholes. On November 24, 2020, Council adopted Ordinance 20-028 establishing a one-year moratorium on submission, acceptance, processing, modification, and approval of PRD permit applications. The moratorium has no effect on applications submitted prior to the effective date of Ordinance 20-028 and currently under review, but prohibits new applications from being considered. The moratorium also established a work plan for the City to review PRD regulations and adopt any changes or deletions determined to be appropriate. Staff conducted a review of PRD regulations in adjacent jurisdictions and compared various elements including land uses, density, density bonuses, minimum site size and open space requirements. Our current regulations were also evaluated for consistency with the Comprehensive Plan Goals and Policies. Additional research included a review of vacant and partially developed properties meeting the five acres minimum site requirement to identify the extent the City could be impacted by such developments. This analysis identified the number of potential properties and associated zoning of the properties. The analysis highlighted that the PRD regulations allowed incompatible land uses in predominantly single-family residential neighborhoods which is inconsistent with several goals and policies of the Comprehensive Plan and specifically contrary with the Council's recent efforts to protect the single-family residential character of the R-3 zone. As a result, the City initiated a code text amendment to eliminate Chapter 19.50 SVMC thereby prohibiting PRDs. The Planning Commission (Commission) conducted a study session on the proposed CTA at the September 9, 2021 meeting. On September 23, 2021, the Commission conducted a public hearing and deliberations. At that meeting, the Commission voted 4-0 to recommend to the City Council that CTA-2020- 0006 be approved. On October 14, 2021, the Commission adopted Findings and Recommendation. Since proposed CTA-2020-0006 completes the workplan established in the moratorium on PRDs, the moratorium will be terminated once the amendments are approved. OPTIONS: Consensus to bring forward an ordinance deleting chapter 19.50 SVMC and removing associated PRD regulations, to a first reading at a future council meeting; or take other action deemed appropriate. RECOMMENDED ACTION OR MOTION: Council consensus to place an ordinance on a future agenda for first reading to consider deleting chapter 19.50 SVMC and associated PRD regulations. BUDGET/FINANCIAL IMPACTS: N/A STAFF CONTACT: Jenny Nickerson, Building Official, Community and Public Works Dept. ATTACHMENTS: 1. PowerPoint Presentation 2. Draft CTA-2020-0006 code text language 3. Planning Commission's Findings of Fact and Recommendation 4. Planning Commission Meeting Minutes: 9/13/2021, 9/23/2021 and 10/14/2021 5. Staff Report CTA-2020-0006 Planned Residential Developments (PRD's) CTA-2020-0006 Admin Report October 26, 2021 Jenny Nickerson, Building Official *Wane� _..fl Valley CTA Processing —Next Steps •kk%.4‘ f);1' 0 e (?' <2 5€' tiNip 0)1 v,wc, Q•S �o L1L!( .•" Study Session (00 Public ,`*049 Hearing Qua Finding & Recommendation (:d Administrative .� Report St (00 1 Ordinance Reading 2nd Ordinance Reading City Council Action November 24, 2020 City Council adopted Ordinance 20-028 Established a 1-year moratorium on submission, acceptance, processing, modification, and approval of PRD's; Concerned that the range of housing allowed within the PRD regulations is inconsistent and incompatible with surrounding existing uses in single family zoning districts. (-ITVUF SPOK ANT V..k/.1 SPOKA..7.41.: CUt..\ 1Y. W FON 0121)1NAM ',.;().21H128 AN EMERGENCY ORDTNANCI: ()V TIII. Crry (A: ‘POKANE VALLEY, SPOKANE (JP\ 1Y. ‘VASHINC Alnir MC \ 11.1)1All• ON `,1 111.11tiS1()N, .1. '1 E• [ANC E.E.[0( 1 StiiNG, AND ..11.1140V.1.1 i1 ANNI:1.) 101,11 )11.:N 11 IL, 1).1 11:1 1.1.:1C1111APPIA 1..!•• ABLI,E11 NI.: 1 %VOlil, •N.N. \ 1.1. k31 111,1121NC. 1)1(1 1.:1.111.0it.M. 3 1].( 11Nc.; 15.111/4.41.1)1A .kl)( )1'11( OF A NIORATORII. 11, ts.1) 01111.12 11 1111.1cti 1 1 !NI; 11T1 1.41 1( rwin• aid • 1 •1.•.••1.• i•.•• I • .ind 1,.11 • • • 11. • • • 1: ueighholitcods @Yea:: closEl. to alloy • .3ncourage further densitv growth it: • .• I 1 1._ .. • purp,c • ••. 1 • • • -., : .1 .• 1.1:• .1, • •.h •..• • : . l.• •1 11r.1 regu1al.iuns..., and Odkm 20-02.8 Pagc I. of 5 2020 Comprehensive Plan Amendments CPA-2020-0007 Ord #'s 20-008 and 20-009 (Effective Sept. 23, 2020) Objective of Amendment Address concerns of residents about influx of duplex developments and locations for alternative housing Provide areas for denser housing supported by transit & services Increase housing affordability 111 New Housing Policies Added H-P5 Enable a variety of housing types at increased densities within 1/2 mile of funded high performance transit networks H-P6 Preserve and enhance the city's established single-family neighborhoods by minimizing the impacts of more dense housing typologies such as duplexes and cottage developments. Uses allowed in a PRD (SVMC 19.50.030) Permitted Uses Uses permitted in the underlying zoning district; Residential developments of all types as defined by Chapter 19.50 SVMC; and As a secondary use, commercial uses permitted in Neighborhood Commercial zone may be allowed in a PRD of 10 acres or larger Zoning Districts that Allow PRD's and Uses Allowed by Zone Residential Zones Residential Use R-1 R-2 R-3 R-4 MFR PRD Single-family PPP P P P Duplexes P P P P Town house P P P Cottages P P P Multi -family P P Neighborhood Commercial P P = Permitted Use Comprehensive Plan Goals and Policies (Planning Context) o_ LU-G1 Maintain and enhance character and quality of life LU-P1 Enable neighborhood -scale commercial uses in residential areas LU-P4 Enable the creation of common open spaces in neighborhoods LU-P5 Ensure the compatibility between adjacent residential and commercial uses LU-P6 Protect residential neighborhood from incompatible land uses LU-P13 Work collaboratively with landowners/developers that seek to provide mixed -use residential projects. LU-P14 Enable a variety of housing types. H-G1 Allow for a broad range of housing opportunities to meet the needs of the community. H-G3 Allow convenient access to daily goods and services in neighborhoods H-P2 Allow for innovative housing types. H-P6 Preserve and enhance established SF neighborhood by minimizing the impacts of more dense housing P-P11 Support the voluntary inclusion of common open space NR-G6 Enhance riparian and large wooden areas throughout the City on public lands NR-P9 Ensure that critical areas are designated and protected 0✓ = Consistent with Goals and Policies Conclusions of Planning Commission Review Current PRD regulations allow for incompatible land uses in the residential zones; Sites meeting acreage criteria predominantly located in the R-3 zone; Approximately half of sites meeting acreage criteria are impacted by critical areas; PRD regulations are inconsistent with several Comprehensive Plan goals and policies; The City has numerous alternative housing options to allow a variety of housing types in the residential and mixed -use zones. Planning Commission Recommendation Approve CTA-2020-0006 as proposed Vote 4-0 Unanimous vote amongst Commissioners in attendance during public hearing. Approval of CTA-2020-0006 will eliminate the Chapter 19.50 SVMC PRD Regulations and associated code references. Chapter 19.50 PLANNED RESIDENTIAL D£1-ELOP]I£SIS 19.`0:10 19.`0: ';u. o nr.ttea. 19.-._..: F'_n:_ e nisi 19.`:.: 1�_ F.;ly:cr. cc tither SYNEprorisiene 19._:.::". �oc Devslcgo. a_L. 19.`:.:5�_ _ spa, _. J_ n. 19.` :.:- - ._-xtws,. 19._ :.: S- 1=_:ec::nere or •arty ovvoeri assoeia ion required. 19.5•:.:10 Purpose. It Is the mu -pc: := of Clap:eo :9.=.0 3l Er.c=ags =sg :c,.- _ er.d tb_ of permanent open apacettm&13eater flerahility in nonang _a _. --_r1u. other section of the S. Preserve cu crea a enairo®enlal ameniries . to those gru.eal developments; C. Create or presents usable cpeu space for the_ en_cl . of the D. Preserve, to the a:s Est sttu:t nc- i vie ._a_ re :l: .cs ofthe land including, Itatnot limited to, topography. nztn:'al E. EK_c, a=_; J=_: alcpmer- _f o -uric, c bc_:ma t mEaa=_tu _-'.Go-��:-��( 13, =C16). 19 c•::::0 Where permitted. Fta ce:l =_,.a=_gal J=_-:=_:cpnients (PRDX) 5 :Att. 3). .. . 19 5:.: Ml Permitted uaua. } _.'c- a ee are permitted and other public improvements and tted in all residential zoeen • •.. m the City. (Ord. 16-015 coded, that they meet the standards. and . . established in Chapter A. T o.e use, permitted as aright in the tmdsr ::ne 7ranong district; B. Reei,i ,a] ofa]] typm.BE d lire'_ by Chapter 19.50 SVMC; and C Ae a secondary o penccctts'. -C.srg1rsochooJ Commercial zoning district may be . .. . PRD of 1: acres or Ord 0 1 5:Att. 3)_ 19 6.0.040 tionship other .1.-.1.CC provrcions. 19, 2crcuE F,EulmioniI 4 fChap r 1P.f0 Slc1,1C F rt :t and ass cf.ngt)`e _trio: -1 f L lot .t s a, other curl TCylliTELOYEE are m d emd _a_ re .anon_ for PF.D_ .ha.. be those unacetel f 19 a . MC Title 20, Subdivision R eq.i.emems_ ,0 PRD shall be exempt from the speciSo designrwpmuie.nente of Tide 20 except that whoa am- parcel of land in a PRD is intended for individual oeenership, sale, or public i i i DRAFT CTA-2020-0006 PLANNED RESIDENTIAL DEVELOPMENTS Sections: 19.50.010 Purpose. 19.50.020 Whore permitted. 19.50.030 Permitted uses. 19.50.010 Relationship to other SVMC provisions. 1-9.50.050 Development standadG. 19.50.060 Open space standards. 19.50.070 Administration, 19.50.080 Homeowners' or property owners' asso&i-a1i n required. -- 50.010 P- Fpose. It is the purpose of Chapter 19.50 SVMC to: zoning requirements than is generally permitted by other sections of the SVMC; B. Preserve or create environmental amenities superior to those generally found in conventional developments; C. Create or preserve usable open space -for the enjoyment of the residents; D. Preserve, to the greatest extent posuible, the natural characteristics of the land including, but not limited to, taller.ra il.. nt lfa . eta ie rite tid-V E. Encourage development of a variety of housing types; and E. Provide for maximum efficiency in the layout of streets, utility networks, and other public improvements and infrastruchire. (Ord. 16 018 § 6 (Att. B), 2016). 19.50.020 Where permitted. 6 (Att. B), 2016). 19.50.00 Permitted uses. The following uses are permitted in a PRD; provided, that they meet the standards and criteria established in Chapter 19.50 SVMC: A. Those uses permitted as a matter of right in the underlying zoning district; B. Residential developments of all types as defined by Chapter 19.50 SVMC; and of 10 acres or larger. (Ord. 16 018 § 6 (Att. B), 2016). 19�50.040 Vc1nt ocah: ether- YME-p A. SVMC Title 19, Zoning Regulations. The provisions of Chapter 19.50 SVMC pertaining to land use of the 19.50.050. Draft CTA-2020-0006 Page 1 is -ion and procedural requirements ofS-VMC Title 20 and ap lis�� -le stetc 1uw pertaining tc ti r tl 1 stent.. ith the p fChnptcr 17.80 SVMC. (Ord. 16 018 § 6 (Att. B), 2016). 50 05O Dcv.clopmcnt stamin- d% . A. Relationship of PRD Site to Adja Area . Th a r PRD h 11 t c nt the relationshi o th. characteristics on the PRD. a Site n ore ,.,, Mini...,um Trhe site_rhall bo fwe ayes, C. Minimum Lot Size. The minimum lot size provisions of other sections of the SVMC do not apply in a PRD. e. . • . incr may authorize a dwelling unit density up to 20 percent greater that, t1 t permitted by the underlying zone, rounded to the nearest whole number. f4and.,eapi b-Required. All common open space plan. G. Setback and Side Yard Requirements. 1. Setbacks from the exterior bo , development which may reasonably be expec� ch-prope#ies given the existing zoning. 5 may be waived in a PRD. Buildings may have common walls. 1. Secondary Use Limitations. 1. Commercial uses shall comply with Chapter 19.130 SVMC, Site Plan Review. Site plans shall be included in the .. .,lentio., f the PRD; 2. The gross floor area of the commercial use shall not exceed the product of 50 square feet multiplied by the number of dwelling units within the development; and 16 018 § 6 (Att. B), 2016). 19cn 060 Op standard '.1 ♦ C h 11 .. eet the f 11owing ci teFin e s-s5 Draft CTA-2020-0006 Page 2 a , , , access from street frontages. C. Types of Open Space. , using existing vegetation, or an aesthetic amenity such as boulevard trees, active recreational activities, or for protecting critical areas. 2. Except as provided in SALA4C 1< , active recreation. 3. The percentage of active recreational areas may be inc' a ` high `0 percent if it is deter'„i 'e`-thet- , shall be used: the ratio of one acre to 125 residential +nits. a. Inclusion of buffers or critical areas better meet the open space needs of the residents of the PRD; or b. A higher percentage would lead to the detrimental grad or of cr ' st bance ^fthe atur l scµi g D. Open spac-c area shall not include: attack, 3. Floodplain (100 year), flood prone areas, drainage easements, natural drainage areas, or creeks. E. Implementation. The open space area shall be dedicated in common to the property owners within the plat or to a responsibility of the -property owners' or homeowners' association. inmon open space area is in the public interest and complies with at least one of the following: a. Is greater than 10 acres; b. Is adjacent to an established or future City park or school o.ds; o. Is an access to a body -of water greater than three acres in size; or 2. The dedication shall be identified on the PRD plan. Draft CTA-2020-0006 Page 3 F. I•,,..Eovcn1dnt The f iio. ing ^moo the open space a+e may-be-Feqe-ire or to final approval of the PRD: 1. R-eiiovnl of construction debris and hazes; and r those portiois-ef the site suitable for playfields. on equipment so the proposal is equivalent based on the following guidelines: greotcr than the land required for the residents within the PRD; and allowed by the City. criteria: asthetio city. vegetated; inundation expected; during dry weather; and I. Rights and Duties. The owners of open space shall have the foli ght on the ^ ope , subj et t restrictive covenants or other restrictions-:, x 2. The right to Locate pedestrian, bicycle, and bridle paths; 3. The right to protect and maintain the common space arca or to correct a hazardous condition posing a throat to life or limb; 16 018 § 6 (Att. 13), 2016). 19.59 ""�0 ratien. meets the requirements of the final plan and program elements of the PRD Draft CTA-2020-0006 Page 4 b vary more than 10 pefeellt-f-Flani4ke-e-14giwal,k 2. Major adjustments are those which, in the ' f t e-s T-manager ar designee, substantial'., ehange the- .Designee, a ehnnge nstitute. a m j djustment, a building, or other permit s' ll ot- ed itho real property within the proposed PRD, shall be bound by the conditions attending the approve' cha develo "tent- 4'�.c^�—theme rty ' ssoeiation re it d. ♦ ,'„',ice _ ._.._.___.�. __...__.._f I.....--........._.f .....,....:..4:.... the SVMC. (Ord. 16 018 § 6 (Att. B), 2016). Draft CTA-2020-0006 Page 5 19.40.100 Development standards — Townhouses. A. In zero lot line developments , zero setbacks along one side are allowed, provided a two -foot maintenance easement is recorded as part of the subdivision plan. B. Townhouses located on individual lots shall meet minimum rear, front, and side yard requirements (where applicable), minimum area requirements, maximum lot coverage, and building height requirements shown in Table 19.70-1. Townhouses are subject to the following requirements: 1. No more than six dwelling units shall be attached in one continuous row or group; 2. Townhouse unit shall not be constructed above another townhouse unit; 3. There shall be a side yard on each side of a contiguous row or group of dwellings of not less than six feet; 4. Townhouses included in a condominium development may limit the lot to the building footprint; provided, that the yard area shared in common with all units is equivalent in area to the yard required by the underlying zone. (Ord. 16-018 § 6 (Att. B), 2016). Draft CTA-2020-0006 Page 6 19.70.020 Residential standards. Residential development shall meet the standards shown in Table 19.70-1. Standards for alternative residential development are set forth in Chapter 19.40 SVMC, Alternative Residential Development Options, and standards for planned residential developments are set forth in Chaptor 19.50 C"M€ -PIam=edRe identia' D ve!oprne Table 19.70-1 — Residential Standards R-1 R-2 R-3 R-4 MFR(1) Minimum Front and Flanking Street Yard Setback 35' 15' 15' 15' 15' Garage Setback(2) 35' 20' 20' 20' 20' Rear Yard Setback 20' 20' 10' 10' 10' Side Yard Setback 5' 5' 5' 5' 5' Open Space N/A N/A N/A N/A 10% gross area(3) Lot Size 40,000 sq. ft. 10,000 sq. ft. 5,000 sq. ft.(6) 4,300 sq. ft. N/A(4) Maximum Lot Coverage 30.0% 50.0% 50.0% 60.0% 60.0% Density 1 du/ac 4 du/ac 8 du/ac 10 dufac 22 du/ae Building Height(5) 35' 35' 35' 35' 50' (1) Where MFR abuts R-1, R-2, R-3, or R-4 zones development shall comply with the provisions of Chapter 19.75 SVMC, Transitional Regulations. (2) Attached garages, where the garage door does not face the street, may have the same setback as the primary structure. (3) Open space requirement does not apply to single-family development in the MFR zone. (4) Single-family residential development in the MFR zone shall have a minimum lot size of 2,000 square feet per dwelling unit. Only one single-family dwelling shall be allowed per lot. (5) The vertical distance from the average finished grade to the average height of the highest roof surface. (6) Duplex development in the R-3 zone shall have a minimum lot size of 14,500 square feet. Draft CTA-2020-0006 Page 7 17.80.030 Assignment of development application classification. A. Assignment by Table. Land use and development applications shall be classified pursuant to Table 17.80-1 below: -1 Permit Type and Land Use Application Type Land Use and Development Application SVMC Cross -Reference Type 1 Accessory dwelling units 19.40 Administrative determinations by city manager or designee or building official Multiple Administrative exception 19,140 Administrative interpretation 17.50.010 Boundary line adjustments and eliminations 20.80 Building permits not subject to SEPA 21.20.040 Floodplain development 21.30 Grading permits 24.50 Home business permit 19.65.180 Shoreline letter of exemption 21.50 Record of survey to establish lots within a binding site plan 20.60.030 Right-of-way permits 22.130.100 Site plan review 19.130 Small cell permit 22.121; 22.122 Temporary use permit 19.160 Time extensions for preliminary subdivision, short subdivision, or binding site plan 20.30.060 Type II Alterations preliminary and final short subdivisions and preliminary and final binding site plans (where there is no alteration of a public dedication) 20.60 Binding site plan — preliminary and final 20.50 Minor alterations preliminary subdivisions 20.50 SEPA threshold determination 21.20.060 Shoreline conditional use permit 21.50 Shoreline nonconforming use or structure review 21.50 Shoreline substantial development permit 21.50 Shoreline variance 21.50 Short subdivision — preliminary and final 20.30, 20.40 Vacation short subdivisions and binding site plans where there is no vacation of an area designated or dedicated for public use 20.70 Wireless communication facilities 22.120 Type II1 Alterations — final subdivisions (where a public hearing is requested) 20.50 Alterations — preliminary and final short subdivisions and preliminary and final 20.60 Draft CTA-2020-0006 Page 8 Table 17.80-1 — Permit Type and Land Use Application Type Land Use and Development Application SVMC Cross -Reference binding site plans (where there is alteration of a public dedication) Conditional use permits 19.150 Plnnncd residential developments 4940 Subdivisions — preliminary 20.30 Substantial alterations -- preliminary subdivisions 20.50 Vacation — subdivision; short subdivisions and binding site plans where there is vacation of an area designated or dedicated for public use 20.70 Variance 19.170 Zoning map amendments (site -specific rezones) 19.30.030 Type IV Annual Comprehensive Plan amendments (text and/or map) 17.80.140 Area -wide zoning map amendments 17.80.140 Development Code text amendments 17.80.150 Draft CTA-2020-0006 Page 9 17.80.170 Vesting of applications. A. Purpose. The purpose of SVMC 17.80.170 is to implement local vesting regulations that are best suited to the needs of the City and consistent with state law. B. Vested Rights. Except for rezones, an application for a land use or development application type set forth in Table 17.80-1 shall be considered under the development regulations in effect on the date a fully complete application is filed, pursuant to SVMC 17.80.100. C. Vested Rights for Subsequent Building Permits or Land Disturbing Activity Permits. Building permit or land disturbing activity permit applications that are filed subsequent to and related to a prior development permit or application of the types listed in SVMC 17.80.170(C)(1) through (14) shall be considered under the development regulations in effect at the time a complete application listed in SVMC 17.80.170(C)(1) through (14) is filed pursuant to SVMC 17.80.100. 1. Accessory dwelling unit; 2. Boundary line adjustment or elimination; 3. Floodplain development; 4. Site plan; 5. Binding site plan; 6. Shoreline substantial development permit; 7. Shoreline conditional use permit; 8. Shoreline nonconforming use or structure review; 9. Shoreline variance; 10. Shoreline letter of exemption; 11. Short subdivision; 12. Conditional use permit; and 13. Planned residential development; and 143. Subdivision. However, an applicant filing a complete application for any subsequent building permit or land -disturbing activity permit application shall only have such rights as described herein if it is submitted prior to the expiration date of the permit(s) or approval(s) applied for in the application types listed in SVMC 17.80.170(C)(1) through (14). D. Development Regulations. For the purpose of SVMC 17.80.170, "development regulation" means those provisions of SVMC Titles 17 through 24 that exercise a restraining or directing influence over land, including provisions that control or affect the type, degree, or physical attributes of land development or use. For purposes of SVMC 17.80.170, "development regulation" does not include fees or procedural regulations. E. Applicability of Current Building Code. A complete building permit application shall always be subject to that version of SVMC Title 24 in effect at the time the building permit application is submitted. F. Rezones Not Acquiring Vested Rights. Notwithstanding any other provision in SVMC 17.80.170, any application dependent on approval of a rezone application shall not acquire vested rights to any particular development regulations until the underlying rezone is approved. At that time, the application dependent on approval of a rezone shall be considered under the development regulations in effect at the time the underlying rezone is approved. G. Waiver of Vested Rights. At any time during the processing of an application, an applicant may voluntarily opt to have all applications for a project be governed by development regulations in effect on a date later than the date provided pursuant to SVMC 17.80.170(B) through (F). The applicant may exercise that option by delivering a written and signed waiver to the department stating that the property owner agrees: Draft CTA-2020-0006 Page 10 1. To waive all rights provided pursuant to SVMC 17.80.170(B) through (F) and any related vested rights claim they may have with the application; 2. To have all applications for the project be governed by all development regulations in effect on the date of delivery of the waiver, subject to the limitations set forth in SVMC 17.80.170(B) through (F); 3. That any change or modification to the project required or desired pursuant to new development regulations may result in a new determination of whether the application is still fully complete based upon the changes. In the event the application or project is changed such that it is no longer fully complete, the applicant shall provide such information as is required to render the modified application fully complete and the applicant shall agree to reset the time period for permit review and processing to the date the modified application is determined to be fully complete; and 4. That any change or modification to the project may require additional review and processing, revised public notice, and additional public hearings as required pursuant to Chapter 17.80 SVMC. In the event an applicant delivers a written and signed waiver meeting the requirements of SVMC 17.80.170(G)(1) through (4), the application shall be considered under the development regulations in effect on the date of delivery of the waiver or, if necessary, the new date a modified application is determined fully complete, and any other subsequent building permit or land disturbing activity permit applications subject to SVMC 17.80.170(C) shall be considered under the development regulations in effect on the date of delivery of the waiver, or if necessary, the new date a modified application is determined fully complete. (Ord. 16-018 § 6 (Att. B), 2016). Draft CTA-2020-0006 Page 11 I18.20.030 Powers and duties. A. The hearing examiner shall be under the administrative supervision of the city manager. B. The hearing examiner shall have the following powers and duties: 1, Annually provide a written report to the city manager or designee and city council that states the number and type of hearings conducted and decisions issued during the past year, the outcome of such decisions, recommendations for improving the hearing examiner system, and pertinent observations and recommendations regarding land use policies and development regulations. 2. Upon request, meet with the city manager or designee or city council to discuss the written report. 3. Receive and examine available information, make site visits, take official notice of matters, conduct public hearings, prepare a record thereof, and enter findings, decisions or recommendations. 4. As a part of the conduct of public hearings, the hearing examiner shall have the authority to: a. Conduct pre -hearing conferences; b. Require the submittal of information; c. Schedule and continue hearings; d. Rule on all evidentiary and procedural matters, including motions and objections appropriate to the proceedings; e. Receive evidence and cause preparation of the record; f. Regulate the course of hearings and the conduct of the parties and their agents; g. Maintain order during the hearing process; h. Render decisions and issue written findings and conclusions; i. Include in a decision the conditions of approval necessary to ensure that the application complies with the applicable criteria for its approval; and j. Revoke any approval for failure to comply with the conditions imposed by the hearing examiner where specifically authorized by the UDC or state law. 5. The hearing examiner shall hear the following matters: a. Variances; b. Conditional use permits; c. Special use permits; d. Shoreline letter of exemption appeals; e. Preliminary plats; f. Appeals from any administrative decision of the department of community development or the building official in the administration or enforcement of the Spokane Valley Uniform Development Code or other land use code or regulation; g. Appeals on State Environmental Policy Act (SEPA) determinations; h. Site -specific zone changes of property, including any environmental determination (under SEPA);_ and _D. Any other applications or appeals that the city council may refer by motion or ordinance, specifically declaring that the decision of the hearing examiner can be appealed to the city council. 6. All hearings before the hearing examiner shall be scheduled and conducted in the manner set forth in Appendix B. 7. Appeals of any decision of the hearing examiner shall be as is set forth in Chapter 17.90 SVMC Draft CTA-2020-0006 Page 12 APPENDIX A DEFINITIONS Chapter 19.50 SVMC characterized by flexibility in the rcgulations of a residential zoning district. Project permit: Any land use or environmental permit or license required for development or construction including, but not limited to, building permits, short plats, subdivisions, binding site plans, planned unit developments, conditional uses, variances, shoreline permits, site plan review, permits, or approvals required by Chapter 21.40 SVMC, Critical Areas, site -specific zone reclassifications, manufactured home parks, and change of condition request. Draft CTA-2020-0006 Page 13 FINDINGS AND RECOMMENDATIONS OF THE SPOKANE VALLEY PLANNING COMMISSION CTA-2020-0006 Proposed Amendment to Spokane Valley Municipal Code (SVMC) Pursuant to SVMC 17.80.150(E) the Planning Commission shall consider the proposal and shall prepare and forward a recommendation to the City Council following the public hearing. The following findings are consistent with the Planning Commission recommendation. Background: 1. Pursuant to RCW 36.70A.130, Spokane Valley adopted its 2016 Comprehensive Plan Update and updated development regulations on December 13, 2016, with. December 28, 2016 as the effective date. 2. CTA-2020-0006 is a City -initiated text amendment to delete Chapter 19.50 of the Spokane Valley Municipal Code (SVMC) and prohibit Planned Residential Developments (PRD) in residential zones and other related housekeeping items that include striking PRD references in SVMC 19.40.100.A, 19.70.020, SVMC I7.80.030.A, 17.80.I70.C, 18.20.030 and Appendix A. 3. The Planning Commission held a properly noticed public hearing and conducted deliberations on September 23, 2021. The Commissioners voted 4-0 to recommend that the City Council adopt the amendment. Five Commissioners were present, but one Commissioner was not present during the public hearing and therefore did not participate in the vote. Planning Commission Findings: 1. Compliance with SVMC 17.80.150(F) Approval Criteria a. The proposed text amendment is consistent with the applicable provisions of the Comprehensive Plan. Findings: The proposed amendment is supported by the Comprehensive Plan and is consistent with the following goals and policies: LU-G I Maintain and enhance character and quality of life in Spokane Valley. LU-P5 Ensure the compatibility between adjacent residential and commercial or industrial uses. LU-P7 Protect residential neighborhoods from incompatible land uses and adverse impacts associated with transportation corridors. H-P6 Preserve and enhance the city's established single-family neighborhoods by minimizing the impacts of more dense housing typologies such as duplexes and cottage development Conclusion: The proposed text amendment is supported by the Comprehensive Plan and consistent with the goals and policies. b. The proposed amendment bears a substantial relation to public health, safety, welfare and protection of the environment. Findings: The proposed amendment bears substantial relation to public health, safety, welfare and protection of the environment. Allowing incompatible housing types to locate in residential zones where the use would not otherwise be allowed has an adverse impact on the adjacent properties and is out of character with the scale, form and function of low density Findings and Recommendations of the Spokane Valley Pltuming Commission CTA-2020.0006 Page I of 2 residential neighborhoods; eliminating the PRD regulations as they allow incompatible uses in residential zones is consistent with the Comprehensive Plan and protects the interests of surrounding properties; The proposed amendment recognizes that SVMC provides for alternative housing options necessary to meet the wide spread housing needs of the community in a manner consistent with the character and intent of the implementing zoning district. Conclusion: The proposed text amendment is consistent with Comprehensive Plan and bears a substantial relation to public health, safety, welfare, and protection of the environment. 2. Recommendation: The Spokane Valley Planning Commission therefore recommends the City Council approve CTA-2020- 0006 as proposed. Attachment: Exhibit I — Proposed Amendment CTA-2020-0006 Approved this 14th day of October 2021 Planning Commission Chairman ATTEST Marianne Lemons, Office Assistant Findings and Recommendations or the Spokane Valley Planning Commission CTA-2020-0006 Page 2 of 2 Meeting Minutes Spokane Valley Planning Commission Council Chambers — City Hall September 9, 2021 I. Planning Commission Chair Bob McKinley called the meeting to order at 6:00 p.m. The meeting was held remotely via ZOOM meeting. Commissioners and staff stood and recited the pledge of allegiance. II. Administrative Assistant Taylor Dillard took attendance and the following members and staff were present: Fred Beaulac Karl. Granrath Walt l-Ianeke Bob McKinley Nancy Miller Paul Rieckers, arrived at 6:15 p.m. Sherri Robinson Cary Driskell, City Attorney Jenny Nickerson, Building Official Lori Barlow, Senior Planner Taylor Dillard, Administrative Assistant Marianne Lemons, Administrative Assistant III. AGENDA: Commissioner Beaulac moved to approve the September 9, 2021 agenda as presented There was no discussion. The vote on the motion was six in favor, zero against and the motion passed. IV. MINUTES: Commissioner Miller moved to approve the August 12, 2021 minutes as presented. There was no discussion. The vote on the motion was six in favor, zero against and the motion passed. V. COMMISSION REPORTS: Commissioner Beaulac and Commissioner Robinson stated that they will not be able to attend the September 23, 2021 meeting. VI. ADMINISTRATIVE REPORT: There was no administrative report. VII. PUBLIC COMMENT: There was no public comment. VIII. COMMISSION BUSINESS: a. Study Session: Planned Residential Development Code Text Amendment A brief recess was called due to a technical glitch with Senior Planner Lori Barlow's microphone. Commissioner Rieckers joined the meeting at 6:15 p.m. The meeting was called back to order at 6:16 p.m. Senior Planner Lori Barlow gave a staff presentation regarding the City -initiated code text amendment to delete Chapter 19.50 of the Spokane Valley Municipal Code (SVMC) and prohibit Planned. Residential Developments (PRD) in residential zones. She 1 09-09-2021 Planning Commission Minutes Page 2 of 3 explained that the PRD is a flexible development tool that provides flexibility in design, preserves environmental amenities, preserves open space, preserves natural characteristics, and encourages a variety of housing types. Planned Residential Developments are currently allowed in all of the residential zones and allow development standards of the underlying zoning to be relaxed for better site design, land use relationships, and conservation of natural resources. Ms. Barlow explained that City Council adopted an ordinance establishing a one-year moratorium on the submission, acceptance, processing, modification, and approval of PRD's. The moratorium was passed on November 24, 2020 and will expire on November 24, 2021. The reason for the moratorium was due to community concerns that the range of housing allowed within the PRD regulations is inconsistent and incompatible with surrounding existing uses in single-family zoning districts. Ms. Barlow stated that the adoption of CPA-2020-0007 (Ordinance 20-0008 & 20-0009, effective September 23, 2020) was also a contributing factor to the moratorium of PRD's. The adoption of the Comprehensive Plan Amendment added additional housing policies to the SVMC that helped address community concerns about the influx of duplex developments and provided areas within the City for denser housing options that are supported by transit and services (the creation of the R-4 zoning district). It also helped to preserve and enhance the City's established single-family neighborhoods by minimizing the impacts of more dense housing typologies such as duplexes and cottage developments. Ms. Barlow outlined that staff conducted a review of PRD regulations in adjacent jurisdictions and compared various elements including land uses, density, density bonuses, minimum site size, and open space requirements. Staff also did a review of the Comprehensive Plan goals and policies. During this review it was found that PRD's are not consistent with four of the goals and policies outlined in the comprehensive plan. Additional research included a review of vacant and partially developed properties meeting the five -acres minimum site requirements. It was found that there are 33 sites that meet the criteria and 22 of those parcels are located in the R-3 zone. Ms. Barlow outlined the following staff conclusions: • The current PRD regulations are inconsistent with several Comprehensive Plan goals and policies • Sites meeting size criteria are predominantly located in the R-3 zone. • Approximately half of those sites.are impacted by critical areas. • CPA-2020-0007 addressed community concerns regarding incompatible housing and density issues in the R-3 zone. • Current PRD regulations allow for incompatible land uses in the residential zones. • The City has numerous alternative housing options that allow a variety of housing types, • Critical areas present a unique challenge to development. Ms. Barlow stated that staff recommends eliminating the PRD regulations and code references (SVMC Chapter 19.50) and continuing to evaluate the need for PRD regulations as they relate to sites with critical areas. 2 09-09-2021 Planning Commission Minutes Page 3 of 3 Commissioner Beaulac asked if projects that have already been submitted would be affected by this change. Ms. Barlow answered that there is only one project awaiting approval, the Painted Hills PRD. Since it was submitted prior to the moratorium date, it will continue through the process and will not be affected. The project is currently going through the environmental review. This item will return for public hearing on September 23, 2021. IX. GOOD OF THE ORDER: Commissioner Beaulac stated that he would like to see the new library or a City park named after long-time residents Sally Jackson or Chuck Hafner. X. ADJOURNMENT: Commissioner Haneke moved to adjourn the rrmeeting at 6: S8 p.m. The vote on the motion was seven in favor, zero against, and the motion passed. Bob McKinley, Chair Date Signed Marianne Lemons, Secretary 3 Meeting Minutes Spokane Valley Planning Commission Council Chambers — City Hall September 23, 2021 I. Planning Commission Chair Bob McKinley called the meeting to order at 6:13 p.m. The meeting was delayed due to a technical glitch. The meeting was held remotely via ZOOM meeting. II. Administrative Assistant Taylor Dillard took attendance, and the following members and staff were present: Fred Beaulac, absent Karl Granrath Walt Haneke Bob McKinley Nancy Miller Paul Rieckers, arrived late Sherri Robinson, absent Cary Driskell, City Attorney Jenny Nickerson, Building Official Lori Barlow, Senior Planner Taylor Dillard, Administrative Assistant Marianne Lemons, Administrative Assistant There was consensus from the Planning Commissioners to excuse Commissioner Robinson, Commissioner Rieckers, & Commissioner Beaulac. III. AGENDA: Commissioner Haneke moved to approve the September 23, 2021 agenda as presented. There was no discussion. The vote on the ;notion was four in favor, zero against and the motion passed. IV. MINUTES: Commissioner Haneke ;;roved to approve the September 9, 2021 minutes as presented There was no discussion. The vote on the motion was four in favor, zero against and the motion passed. V. COMMISSION REPORTS: There were no Commission reports. VI. ADMINISTRATIVE REPORT: There was no administrative report. VII. PUBLIC COMMENT: There was no public comment. VIII. COMMISSION BUSINESS: a. Public Hearing: CTA-2020-0006: Planned Residential Development Code Text Amendment The public hearing was opened at 6:22 p.m. Senior Planner Lori Barlow gave a staff presentation regarding the City -initiated code text amendment to delete Chapter 19.50 of the Spokane Valley Municipal Code (SVMC) 09-23-2021 Planning Commission Minutes Page 2 of 3 and prohibit Planned Residential Developments (PRD) in residential zones. She explained that the PRD is a flexible development tool that provides flexibility in design, preserves enviroiurnental amenities, preserves open space, preserves natural characteristics, and encourages a variety of housing types. Planned Residential Developments are currently allowed in all the residential zones and allow development standards of the underlying zoning to be relaxed for better site design, land use relationships, and conservation of natural resources. Ms. Barlow explained that City Council adopted an ordinance establishing a one-year moratorium on the submission, acceptance, processing, modification, and approval of PRD's. The moratorium was passed on November 24, 2020 and will expire on November 24, 2021. The reason for the moratorium was due to community concerns that the range of housing allowed within the PRD regulations is inconsistent and incompatible with surrounding existing uses in single-family zoning districts. Ms. Barlow stated that the adoption ofCPA-2020-0007 (Ordinance 20-0008 & 20-0009, effective September 23, 2020) was also a contributing factor to the moratorium of PRD's. The adoption of the Comprehensive Plan Amendment added additional housing policies to the SVMC that helped address community concerns about the influx of duplex developments and provided areas within the City for denser housing options that are supported by transit and services (the creation of the R-4 zoning district). It also helped to preserve and enhance the City's established single-family neighborhoods by minimizing the impacts of more dense housing typologies such as duplexes and cottage developments. Ms. Barlow outlined that staff conducted a review of the Comprehensive Plan goals and policies. During this review it was found that PRDs are not consistent with four of the goals and policies outlined in the comprehensive plan. Ms. Barlow outlined the staft'conclusions: • The current PRD regulations are inconsistent with several Comprehensive Plan goals and policies • Sites meeting size criteria are predominantly located in the R-3 zone. • Approximately half of those sites are impacted by critical areas. • CPA-2020-0007 addressed community concerns regarding incompatible housing and density issues in the R-3 zone. • Current PRD regulations allow for incompatible land uses in the residential zones. • The City has numerous alternative housing options that allow a variety of housing types. • Critical areas present a unique challenge to development. Ms. Barlow stated that staff recommends eliminating the PRD regulations and code references. The proposed change will eliminate SVMC Chapter 19.50 and make changes to other chapters within the code that reference PRD's so that the Comprehensive Plan is consistent throughout. The public hearing was closed at 6:48 p.m. Commissioner Rieckers joined the meeting at 6:49 p.m. 09-23-2021 Planning Commission Minutes Page 3 of 3 Commissioner Miller asked if staff is going to continue to evaluate the need for PRD regulations as they relate to critical areas. Ms. Barlow stated that the current proposal is to delete the chapter in the Comprehensive Plan regarding PRD's. However, staff will continue to review if there is a need for development criteria that addresses critical areas. Any additional regulations would be brought back to the Planning Commission for review and approval. Commissioner Granrath and Commissioner Haneke expressed that they are in support of deleting the chapter from the cocle, but they would like staff to continue to research options for the development of properties that have critical areas. Commissioner Miller moved to recommend that City Council approve CTA-2020-0006 as presented. There was no discussion. The vote on the motion was four in favor, zero against and the motion passed. Commissioner Rieckers abstained from voting because he was not in attendance during the presentation. This item will return for findings of fact on October 14, 2021. IX. GOOD OF THE ORDER: Commissioner McKinley said that there will not be any meetings held during the month of November due to holidays. Staff will be presenting a street vacation for discussion and public hearing during the month of October and the Findings of Fact will be held at the first meeting in December. However, if any issues arise with the street vacation, a special meeting could be called during November to discuss the project further. X. ADJOURNMENT: Commissioner Haneke moved to adjourn the meeting at 7:05 p.m. The vote on the motion was, five in favor, zero against, and the 'notion passed. 7k4o/r/ Bob McKinley, Chair Date Signed Marianne Lemons, Secretary DRAFT — Minutes Excerpt Meeting Minutes Spokane Valley Planning Commission Council Chambers — City Hall October 14, 2021 I. Planning Commission Chair Bob McKinley called the meeting to order at 6:00 p.m. The meeting was held remotely via ZOOM meeting. II. Administrative Assistant Marianne Lemons took attendance, and the following members and staff were present: Fred Beaulac Karl Granrath, absent Walt IIaneke Bob McKinley Nancy Miller Paul Rieckers Sherri Robinson Cary Driskell, City Attorney Jenny Nickerson, Building Official Lori Barlow, Senior Planner Karen Kendall, Planner Marianne Lemons, Administrative Assistant There was consensus from the Planning Commission to excuse Commissioner Granrath from the meeting. III. AGENDA: Commissioner Miller moved to approve the October 14, 2021 agenda as presented. There was no discussion. The vote on the motion was six in favor, zero against and the motion passed. IV. MINUTES: Commissioner Haneke moved to approve the September 23, 2021 minutes as presented There was no discussion. The vote on the motion was four in favor, zero against and the motion passed. Commissioner Rieckers and Commissioner Beaulac abstained from the vote due to being absent at the last meeting. V. COMMISSION REPORTS: There were no Commission reports. VI. ADMINISTRATIVE REPORT: Building Official Jenny Nickerson mentioned that the application for Planning Commission appointment is available on the City website at www.spokanevalleyorg/volunteer. She stated that members with terms that expire at the end of 2021 or any members of the public who are interested in appointment to the Planning Commission can submit those applications to the City Clerk. VII. PUBLIC COMMENT: There was no public comment. VIII. COMMISSION BUSINESS: a. Findings Of Fact: CTA-2020-0006: Planned Residential Development Code Text Amendment 10-14-2021 Planning Commission Minutes Page 2 of 2 Senior Planner Lori Barlow presented the Findings of Fact for CTA-2020-0006 which eliminates Chapter 19.50 of the Spokane Valley Municipal Code (SVMC) and will prohibit Planned Residential Developments (PRD) in residential zones. She stated that the Planning Commission held a study session at the September 9, 2021 meeting regarding the proposed CTA and a public hearing was held at the September 23, 2021 meeting. She explained that the approval of the Findings of Fact will formalize the recommendations that will be made to the City Council. Commissioner Miller moved to approve the Findings of Fact and Recommendations for CTA-2020-0006 as presented. There was no discussion. The vote on the motion was four in favor, zero against and the motion passed. Commissioner Rieckers and Commissioner Beaulac abstained from the vote due to being absent at the last meeting. sp�kane .00Valley. COMMUNITY AND PUBLIC WORKS BUILDING & PLANNING STAFF REPORT AND RECOMMENDATION TO THE PLANNING COMMISSION CTA-2020-0006 STAFF REPORT DATE: September 16, 2021 HEARING DATE AND LOCATION: September 23, 2021 beginning at 6:00 p.m.; Due to the restrictions on public gatherings arising from the covid-19 outbreak, , this hearing will be conducted remotely using web and telephone conference tools. A link to the Zoom meeting will be provided on the agenda and posted to the City's webpage: www.spokanevalley.orglplanningcommission. Proposal Description: A city -initiated code text amendment (CTA) to delete chapter 19.50 of the Spokane Valley Municipal Code (SVMC) which would prohibit Planned Residential Developments (PRD) in Residential zones, and other housekeeping items. APPROVAL CRITERIA: Spokane Valley Comprehensive Plan, SVMC 17.80.150, 19.30.040. SUMMARY OF CONCLUSIONS: Staff concludes that the proposed deletion of chapter 19.50 SVMC is consistent with the minimum criteria for review and approval, and consistent with the goals and policies of the Comprehensive Plan. STAFF CONTACT: Lori Barlow, AICP, Senior Planner. REVIEWED BY: Jenny Nickerson, Building Official. ATTACHMENTS: Exhibit 1: Proposed Amendment APPLICATION PROCESSING: Chapter 17.80 SVMC, Permit Processing Procedures. The following table summarizes the procedural steps for the proposal. Procedural Action Date SEPA — DNS Issued September 3, 2021 Published Notice of Public Hearing: September 3 and 10, 2021 Department of Commerce 60-day Notice of Intent to Adopt Amendment September 13 2021 Background: Chapter 19.50 SVMC regulates PRD's. The regulations identify that PRD's are allowed in all residential zones so long as certain criteria are met and subject to approval of the Hearing Examiner. As the regulations are currently written all residential uses are permitted, and if the PRD is at least 10 acres than neighborhood commercial uses are also allowed. The range of residential uses include single family, duplex, townhomes, and multifamily regardless of what housing type is permitted in the underlying zoning. Additional standards in the chapter include a 5-acre minimum site acreage, Staff Report and Recommendation CTA-2020-0006 density bonus up to 20% above the underlying zoning district density, and open space equal to 30% or more of the gross land area. Standards of the underlying zoning districts that are waived to allow design flexibility include minimum lot size, setback and side yard requirements. The City's PRD regulations were adopted in 2007 by Ordinance No. 07-015 and modified by Ordinance No. 09-036. Ordinance No. 16-018 repealed the development regulations as part of the 2016 Legislative Update and adopted updated titles, which included chapter 19.50 SVMC, although no substantive changes, if any, were made at that time. The chapter was further modified by Ord. 17-004 with housekeeping items. Generally, the regulations have remained substantively the same since 2007. As part of the 2020 Comprehensive Plan Amendment process, the city initiated an amendment to amend the goals and policies for alternative housing types with regulatory changes that included establishing the R-4 zone and the implementing regulations. The amendment was intended to address citizen concerns regarding the influx of duplex developments and develop appropriate locations for higher density alternative housing. CPA-2020-0007 established the R-4 zone in areas supported by transit and services that support denser housing and housing affordability. Additionally, higher density housing types, such as cottages and townhomes were prohibited in the R-3 zone but allowed in the R-4 zone. Duplex minimum lot sizes in the R-3 zone were increased to be compatible with neighborhood character. On November 17th, in response to citizen complaints Council directed staff to review Chapter 19.50, SVMC to ensure that the PRD regulations were consistent with the intent of CPA-2020-0007 and identify any "loop holes". On November 24, 2020 Council adopted Ordinance 20-028 establishing a one-year moratorium on submission, acceptance, processing, modification, and approval of PRDs. The moratorium has no effect on applications currently under review but prohibits new applications from being considered. ANALYSIS: Currently Chapter 19.50 SVMC allows PRD's to locate in all residential zones and allows a range of residential uses, as well as neighborhood commercial uses, so long as criteria is met. A PRD is subject to approval by the Hearing Examiner. The proposed amendment: 1. Eliminates the opportunity for incompatible residential and neighborhood commercial uses to locate in residential zones using the PRD development tool. As noted above the PRD regulations allow a range of residential uses in any residential zone that may include housing types prohibited in the underlying zoning district. For example, the R-2 zone allows single family residential dwellings, but if a PRD were approved the site could include any combination of single-fatnily dwellings, duplexes, townhomes, and/or multifamily. Additionally, if the site met the size criteria neighborhood commercial uses could be included. Certain housing types, such as townhomes and multifamily are typically found in higher density areas. The scale, design, and function of a multifamily structure in particular is out of character in a single-family residential neighborhood. Issues with noise, privacy, and traffic may result from the integration of a higher density multifamily structure located immediately adjacent to single family homes located in low density residential areas as multifamily structures function differently by design. Established residential uses found in the R-2 and R-3 zones are typically on large lots. The typical single-family home has living areas located on the first floor with bedrooms either on the same floor or upper and/or lower floors. Active living spaces are at, or just above, ground level. Larger windows are typically provided on the ground level to allow for views and light and are often facing the street Page 2 of 6 Staff Report and Recommendation CTA-2020-0006 or back yard. Each lot generally has a front yard and back yard Single family homes access their lots with individual driveways distributed along the street, dispersing the neighborhood traffic among the blocks. Back yards are large enough to accommodate open areas, play structures, gardens, and other uses commonly enjoyed as private amenities typical of a single- family dwelling. Single family residential development in the R-4 or MFR zone has a distinctly different character as the lots are small with backyards that are often not greater than the setback requirement associated with the Building Code. Yards are often not large enough for amenities and public open space is generally provided in close proximity, which has the affect of shifting outdoor activities to those larger public sites. In contrast, multifamily developments are designed around common use of the driveway into the site thereby funneling all traffic at one or two points, causing more traffic at site specific areas rather than distributing the traffic. Common play areas or open spaces are provided for all residents to use and enjoy that create a concentration of people and noise that is dissimilar to activities occurring in a private back yard on large lots typical of the R-2 and R 3 zone established properties. Last, multifamily structures allowed by the PRD regulations could allow multistory buildings, so long as the height standard is not exceeded. Multistory multi -family buildings are most frequently designed as stacked units, often described as garden style walkups. Each floor of the building would contain complete dwelling units. The second -floor units would naturally have both active living areas and bedrooms on the second floor with large windows in the living areas to provide for light that typically include balconies for the private outdoor space. The consequence is living areas overlooking the large adjacent back yard typical of the R-2 and R-3 zone. The disparity of the structures affects the typical use and enjoyment of the single- family property owner in areas developed with large lots. The PRD allows uses within the R-I, R-2, and R-3 zones that function differently than those uses allowed in those zones affecting the character and use of adjacent properties. As described above this affect is limited to the developed low -density zone, as high density uses and structures are not found to have the same impact on various housing types in the high density zones as the neighborhood residents utilize spaces differently by design. Last, multifamily zones are also typically located on or near arterials where the traffic is commonly restricted into both multifamily projects and new subdivision development of small lots. 2. Recognizes the impact of PRD regulations on the R-3 zone. Staff conducted a GIS survey of properties to identify potential sites where PRD's could be allowed based on the minimum site size criteria for both vacant properties and partially developed properties. The review found a total of 20 vacant lots with 14 of those lots located in the R-3 zone, and a total of 16 partially developed lots, with 10 of those located in the R-3 zone. The review was expanded to consider common ownership of vacant or partially developed properties that could be aggregated to meet the minimum 5-acre size and identified 33 vacant lots and 20 partially developed lots. Again, the majority of the lots were in the R-3 zone. It appears that lots in the R-3 zone are the most likely areas for PRD development. Number of Parcels >= 5 acres that are Vacant or Partially Developed by Residential Zone Zone Vacant' Partially developed Vacant with adjacent properties with same ownership2 Partially developed — adjacent properties with same ownership2 >= 5 ac. >= 5 ac. >= 5 ac. >= 5 ac. R-1 1 1 R-2 4 5 4 5 R-3 14 10 22 14 R-4 Page 3 of 6 Staff Report and Recommendation CTA-2020-0006 MFR 2 7 Total 20 16 33 20 'A number of parcels identified in the vacant or partially vacant land survey have received preliminary plat approval and presumably will be developed as such. 2The method to determine the number of parcels utilized common ownership of adjacent properties that totaled 5 acres of more. CPA-2020-0007 was initiated in response to community concerns that the R-3 zoned neighborhoods were being overwhelmingly developed with duplex housing that was out of character with the low -density single-family neighborhoods. As described above the CPA modified the development regulations to incentivize single family development in the R-3 Zone and established an R-4 zone where higher density housing types, including duplexes, were encouraged with minimal development standards to maximize development options. The R-4 zone was established to offer increased housing development options in areas support by transit and services that support the denser housing. The review indicates that the PRD regulations provide an opportunity or "loophole" for housing types in the R-3 zone contrary to the intent of CPA-2020-0007. 3. Preserves the use of alternative housing options that are consistent with the underlying zoning code. Chapter 19.40 SVMC Alternative Residential Development options provide regulations to guide the development of accessory dwelling units, cottage development, duplexes, manufactured home parks, and townhouses consistent with the zoning districts. Chapter 19.60 SVMC Permitted Uses identifies the zoning district where each housing type is allowed. The housing types are allowed in the zones that are consistent with the function and form of the character and intent of the zoning district. The City recognizes the need to allow a variety of housing options that meet the widespread needs of our community. Chapter 19.40 provides regulations to support housing diversity, affordability, and access to opportunity for residents of all income levels. 4. Eliminates the conflict between the City's Development Regulations and Comprehensive Plan Goals and Policies. As indicated above, Chapter 19.50 allows for the range of housing types in a PRD regardless of what housing type is allowed in the zone. The Comprehensive Plan Goals and Policies strive to maintain and enhance character and quality of life, ensure compatibility between residential and commercial uses, protect residential neighborhoods from incompatible land uses, and preserve single family neighborhoods by minimizing the impacts of more dense housing (Comprehensive Plan Goals and Policies, LU-GI, LU-P5, LU-P7 and H-P6). The analysis above showed that the PRD regulations allow housing types and neighborhood commercial uses not otherwise allowed in the zones, and that the impacts from those uses conflict with the intent of several goals and policies of the Comprehensive Plan. A. FINDINGS AND CONCLUSIONS SPECIFIC TO THE MUNICIPAL CODE TEXT AMENDMENT 1. Compliance with Title 17 (General Provisions) of the Spokane Valley Municipal Code a. Findings: SVMC 17.80.150(F) Municipal Code Text Amendment Approval Criteria The City may approve a Municipal Code Text amendment if it finds that: Page 4 of 6 Staff Report and Recommendation CTA-2020-0006 i. The proposed text amendment is consistent with the applicable provisions of the Comprehensive Plan: Staff Analysis: The proposed amendment is supported by the Comprehensive Plan and is consistent with the following Comprehensive goals and policies: LU-GI Maintain and enhance character and quality of life in Spokane Valley. LU-P5 Ensure the compatibility between adjacent residential and commercial or industrial uses. LU-P7 Protect residential neighborhoods from incompatible land uses and adverse impacts associated with transportation corridors. H-P6 Preserve and enhance the city's established single-family neighborhoods by minimizing the impacts of more dense housing typologies such as duplexes and cottage development ii. The proposed amendment bears a substantial relation to public health, safety, welfare, and protection of the environment: Staff Analysis: The proposed amendment bears substantial relation to public health, safety, welfare and protection of the environment. Allowing incompatible housing types to locate in residential zones where the use would not otherwise be allowed has an adverse impact on the adjacent properties and is out of character with the scale, form and function of low -density residential neighborhoods. Eliminating the PRD regulations as they allow incompatible uses in residential zones is consistent with the Comprehensive Plan and protects the interests of surrounding properties. The proposed amendment recognizes that the current SVMC provides opportunities for a variety of housing types across all residential zones. . b. Conclusion(s): The proposed text amendment is consistent with the approval criteria contained in the SVMC 17.80.150(F). 2. Finding and Conclusions Specific to Public Comments a. Findings: No public comments have been received to date. b. Conclusion(s): Adequate public noticing was conducted for CTA-2020-0006 pursuant to adopted public noticing procedures. 3. Finding and Conclusions Specific to Agency Comments a. Findings: The City has not received any substantive agency comments to date. b. Conclusion(s): No concerns noted. Page 5 of 6 Staff Report and Recommendation CTA-2020-0006 B. CONCLUSION For the reasons set forth in Section A the proposed code text amendment to delete chapter 19.50 of the Spokane Valley Municipal Code (SVMC) which would eliminate Planned Residential Developments (PRD) as a development tool in Residential zones, and other housekeeping items is consistent with the requirements of SVMC 17.80.150(F) and the Comprehensive Plan. Page 6 of 6 DRAFT ADVANCE AGENDA as of October 21, 2021; 8:30 a.m. Please note this is a work in progress; items are tentative To: Council & Staff From: City Clerk, by direction of City Manager Re: Draft Schedule for Upcoming Council Meetings Nov 2, 2021, Study Session (Meeting Cancelled: General Election) Nov 9, 2021, Formal Meeting, 6:00 p.m. Proclamation: Veterans Day; Native American Heritage Month 1. PUBLIC HEARING #3: 2022 Budget — Chelsie Taylor 2. Second Reading Ordinance 21-017, Amending 2021 Budget — Chelsie Taylor 3. Second Reading Ordinance 21-018, Adopting 2022 Budget — Chelsie Taylor 4. PUBLIC HEARING: CDBG 2022 Projects Chaz Bates 5. Motion Consideration: Approval of CDBG Project Submittal — Chaz Bates 6. Consent Agenda (claims, payroll, minutes) [due Tue Nov 2] (10 minutes) (5 minutes) (5 minutes) (10 minutes) (10 minutes) (5 minutes) 7. First Read Ord 21-019 Code Text Amendment 2020-0006, Planned Res.Dev Regs—J. Nickerson (10 min) 8. First Read Ord 21-020 Amending SVMC 3.34 dedicatory plaques — Cary Driskell (10 minutes) 9. Admin Report: Street Sustainability Committee Report — Adam Jackson; Committee members (60 minutes) 10. Admin Report: LTAC Recommendations to Council — Chelsie Taylor 11. Admin Report: Update on Yellowstone Pipe Line Franchise — Cary Driskell 12. Admin Report: Advance Agenda — Mayor Wick 13. Info Only: Finance Monthly Report; Police Dept Monthly Report (15 minutes) (10 minutes) (5 minutes) [*estimated meeting: 155 mins] Nov 16, 2021, Study Session, 6:00 p.m. ACTION ITEMS; 1. Second Read Ord 21-019 Code Text Amendment 2020-0006 Planned Res.Dev Regs—J. 2. Second Read Ord 21-020 Amending SVMC 3.34 dedicatory plaques — Cary Driskell 3. Motion Consideration: Adopting 2022 State Legislative Agenda — C.Driskell, J.Hohman, NON -ACTION ITEMS: 4. 2022 Comp Plan Docket — Chaz Bates 5. Sullivan & Wellesley Intersection Project Update — Gloria Mantz 6. Salary Commission Update — Cary Driskell 7. Advance Agenda — Mayor Wick Nov 23, 2021, Formal Meeting, 6:00 p.m. 1. Consent Agenda (claims, payroll, minutes) 2. Motion Consideration: 2022 Comp Plan Docket — Chaz Bates 3. Admin Report: 2022 Fee Resolution — Chelsie Taylor 4. Admin Report: SVPD Update — Chief Ellis 5. Admin Report: Advance Agenda — Mayor Wick 6. Info Only: Department Monthly Reports [due Tue Nov 9] Nickerson (5 min) (5 minutes) Briahna Murray (10 min) (15 minutes) (10 minutes) (10 minutes) (5 minutes) [*estimated meeting: 60 mins] [due Tue Nov 16] (5 minutes) (10 minutes) (5 minutes) (15 minutes) (5 minutes) [*estimated meeting: 40 mins] Nov 30, 2021, Study Session (possibly cancelled: Thanksgiving Holiday Week) Dec 7, 2021, Study Session, 6:00 p.m. [due Tue Nov 30] 1. Advance Agenda — Mayor Wick (5 minutes) Draft Advance Agenda 10/21/2021 10:48:33 AM Page 1 of 2 Dec 14, 2021, Formal Meeting, 6:00 p.m. 1. Consent Agenda (claims, payroll, minutes) 2. Resolution 21- Amending Fees for 2022 — Chelsie Taylor 3. Motion Consideration: Lodging Tax Awards for 2022 — Chelsie Taylor 4. Admin Report: Advance Agenda — Mayor Wick [*estimated Dec 21, 2021, Study Session (with action items), 6:00 p.m. 1. Consent Agenda (claims, payroll, minutes [normally on the Dec 28 meeting]) 2. Advance Agenda — Mayor Wick 3. Info Only: Department Monthly Reports (normally on 4th Tue) Dec 28, 2021, Formal Meeting (possibly cancelled: Christmas Holiday) [*estimated [due Tue Dec 7] (5 minutes) (5 minutes) (10 minutes) (5 minutes) meeting: 25 mins] [due Tue Dec 14] (5 minutes) (5 minutes) meeting: mins] January 4, 2022, 5:30 p.m. Swearing in of newly elected councilmembers [Note: This is NOT a special meeting, but an opportunity to administer the oath of office to newly elected councilmembers.] Jan 4, 2022, Study Session, 6:00 p.m. 1. Council Officer Selections for Mayor and Deputy Mayor — Chris Bainbridge 2. Advance Agenda — Mayor Jan 11, 2022, Formal Meeting Format, 6:00 p.m. 1. Consent Agenda (claims, payroll, minutes) 2. Mayoral Appointments- Planning Commissioners 3. Mayoral Appointments: Lodging Tax Advisory Committee Members 4. Mayoral Appointments: Councilmembers to various committees and boards [due Tue Dec 28] (10 minutes) (5 minutes ) [due Tue Jan 4] (5 minutes) (5 minutes) (10 minutes) (10 minutes) 5. Admin Report: Training Public Records Act, Open Public Meetings — Cary Driskell, Erik Lamb (30 minutes) 6. Admin Report: Advance Agenda — Mayor (5 minutes) [*estimated meeting: 65 mins] *time for public or Council comments not included OTHER PENDING AND/OR UPCOMING ISSUES/MEETINGS: Appleway Trail Amenities Neighborhood Restoration Appleway Trail Crossing No Parking Zones Artwork & Metal Boxes Park Lighting Consolidated Homeless Grant PFD Presentation Core Beliefs Resolution Prosecutor Services HHAA Funds Residency Illumination (Park & Mission) Ridgemont Area Traffic Mirabeau Park Forestry Mgmt. St. Illumination (owners, cost, location) St. O&M Pavement Preservation SVPD Precinct Needs Assessment TPA Vehicle Wgt Infrastructure Impact Water Districts & Green Space Way Finding Sign Draft Advance Agenda 10/21/2021 10:48:33 AM Page 2 of 2 City of Spokane Valley Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Page Title 1 Cover Sheet 2 Pre -Application Meetings Requested 3 Online Applications Received 4 Construction Applications Received 5 Land Use Applications Received 6 Construction Permits Issued 7 Land Use Applications Approved 8 Development Inspections Performed 9 Code Enforcement 10 Revenue 11 Building Permit Valuations Printed 10/08/2021 09:16 Page 1 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Pre -Application Meetings Requested A Pre -Application Meeting is a service provided to help our customers identify the code requirements related to their project proposal. Community & Public Works Department scheduled a total of 7 Pre -Application Meetings in September 2021. Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Land Use Pre -Application Commercial Pre-App Meeting Commercial Pre-App Land Use Pre -Application Meeting Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 6 7 7 5 5 8 2 0 4 0 0 0 Monthly Totals 8 8 7 8 5 10 6 2 7 0 0 0 Annual Total To -Date: 61 Printed 10/08/2021 09:16 Page 2 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Online Applications Received Community & Public Works Department received a total of 480 Online Applications in September 2021. 600 400 200 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec j, Trade Permit Sign Permit Right of Way Permit Reroof Permit Pre -Application Meeting Request Demolition Permit Other Online Applications Approach Permit Approach Permit Demolition Permit Other Online Applications Pre -Application Meeting Request Reroof Permit Right of Way Permit Sign Permit Trade Permit Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 7 3 14 24 21 10 8 8 6 10 6 8 8 6 201 94 160 122 122 90 117 119 0 0 0 0 0 0 0 0 29 44 109 126 80 63 70 72 79 0 0 0 19 22 47 57 42 53 49 68 41 0 0 0 9 9 14 11 17 11 13 4 15 0 0 0 227 215 218 211 199 260 208 236 205 0 0 0 6 10 9 0 3 0 128 0 0 0 0 0 0 0 0 0 0 0 Monthly Totals 500 395 568 561 487 495 471 515 480 0 0 0 Annual Total To -Date: 4,472 Printed 10/08/2021 09:16 Page 3 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Construction Applications Received Community & Public Works Department received a total of 556 Construction Applications in September 2021. 400 200 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Commercial - New Commercial - TI Residential - New Other Construction Permits Commercial - New Commercial - TI Residential - New Commercial - Trade Residential - Trade Residential - Accessory Demolition Sign Other Construction Permits Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2 0 0 0 0 0 0 1 3 *6 *10 *14 *11 *16 *6 *14 *12 *12 0 0 1 0 0 0 0 0 1 2 8 0 0 2 0 1 0 0 0 0 0 1 0 0 0 0 4 0 1 0 3 7 16 31 0 0 0 1 2 4 0 0 1 2 1 3 0 0 0 *8 *8 *6 *10 *7 *10 *10 *7 *4 0 0 0 *10 *10 *14 *12 *18 *11 *13 *5 *15 0 0 0 *530 *378 *542 *568 *477 *496 *487 *539 *479 0 0 0 0 0 0 0 0 Monthly Totals 560 412 581 602 518 527 534 583 556 0 0 0 Annual Total To -Date: 4,873 *Includes Online Applications. Printed 10/08/2021 09:18 Page 4 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Land Use Applications Received Community & Public Works Department received a total of 51 Land Use Applications in September 2021. 200 100 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Boundary Line Adjustment Short Plat Preliminary Long Plat Preliminary Binding Site Plan Preliminary Final Platting Zoning Map/Comp Plan Amendment State Environmental Policy Act (SEPA) Administrative Exception/Interpretation Other Land Use Permits J Boundary Line Adjustment Short Plat Preliminary Long Plat Preliminary Binding Site Plan Preliminary Final Platting Zoning Map/Comp Plan Amendment State Environmental Policy Act (SEPA) Administrative Exception/Interpretation Other Land Use Permits Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2 4 7 1 2 6 1 3 2 0 0 0 1 5 0 3 5 4 6 8 4 0 0 0 0 1 1 0 1 3 0 0 0 0 0 0 o o 0 0 0 0 0 0 1 0 0 0 1 2 4 6 2 3 3 4 3 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 0 1 0 0 0 0 0 0 2 2 0 2 2 2 3 3 0 0 0 *94 *100 *150 *125 *95 *96 *101 *67 *38 0 0 0 Monthly Totals 99 115 165 135 108 114 114 85 51 0 0 0 Annual Total To -Date: 986 *Includes Online Applications. Printed 10/08/2021 09:18 Page 5 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Construction Permits Issued Community & Public Works Department issued a total of 495 Construction Permits in September 2021. 600 400 200 0 "R Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Commercial - New Commercial - TI Residential - New Other Construction Permits Commercial - New Commercial - TI Residential - New Commercial - Trade Residential - Trade Residential - Accessory Demolition Sign Other Construction Permits Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 1 7 1 1 0 0 0 1 0 0 0 0 14 7 10 11 10 3 11 8 16 0 0 0 0 1 1 0 0 1 1 0 7 0 0 0 2 0 1 0 0 0 0 0 1 0 0 0 0 1 4 1 0 2 8 16 26 0 0 0 1 1 2 1 0 0 3 1 3 0 0 0 8 10 4 5 4 9 6 9 5 0 0 0 4 11 9 10 12 17 7 5 11 0 0 0 350 331 497 526 438 469 472 511 426 0 0 0 Annual Total To -Date: 4,352 Printed 10/08/2021 09:20 Page 6 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Land Use Applications Approved Community & Public Works Department approved a total of 46 Land Use Applications in September 2021. 100 50 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Boundary Line Adjustment Short Plat Preliminary Long Plat Preliminary Binding Site Plan Preliminary Final Platting Zoning Map/Comp Plan Amendment State Environmental Policy Act (SEPA) Administrative Exception/Interpretation Other Land Use Permits Boundary Line Adjustment Short Plat Preliminary Long Plat Preliminary Binding Site Plan Preliminary Final Platting Zoning Map/Comp Plan Amendment State Environmental Policy Act (SEPA) Administrative Exception/Interpretation Other Land Use Permits Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 0 0 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 0 0 0 0 3 1 4 6 7 1 0 80 46 0 0 0 Monthly Totals 3 1 4 6 7 1 0 80 46 0 0 0 Annual Total To -Date: 148 Printed 10/08/2021 09:20 Page 7 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Development Inspections Performed Community & Public Works Department performed a total of 1,163 Development Inspections in September 2021. Development Inspections include building, planning, engineering and ROW inspections. 2,000 1,500 1,000 500 0 2021 2020 2019 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2019 2020 - 2021 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Totals 918 978 1,555 1,667 1,530 1,444 1,517 1,479 1,163 0 0 0 997 1,179 1,233 735 1,406 1,674 1,730 1,559 1,464 1,401 1,136 1,063 1,114 772 1,051 1,402 1,417 1,363 1,300 1,486 1,285 1,527 1,137 1,030 Printed 10/08/2021 09:21 Page 8 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Code Enforcement Code Enforcement Officers responded to 65 citizen requests in the month of September. They are listed by type below. Please remember that all complaints, even those that have no violation, must be investigated. i 150 100 50 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec IIIII CE-Stop Work Order Complaint, Non -Violation Environmental General Nuisance = Property J CE-Stop Work Order Complaint, Non -Violation Environmental General Nuisance Property Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 1 0 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 0 0 0 0 o o 0 0 0 0 1 0 0 0 0 0 8 1 0 0 2 5 3 4 4 0 0 0 20 21 40 48 42 48 44 82 52 0 0 0 14 9 18 20 18 31 17 15 9 0 0 0 Monthly Totals 43 31 58 68 62 84 65 101 65 0 0 0 Annual Total To -Date: 577 Printed 10/08/2021 09:21 Page 9 of 11 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Revenue Community & Public Works Department Revenue totaled $323,636 in September 2021. 1,200,000 1,000,000 800,000 600,000 400,000 200,000 Jan 0 Feb Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Apr 2021 2020 Five -Year Trend May Jun Jul Aug Sep Oct i Nov $1,087,3 $196,293 $364,569 $459,905 $239,948 $367,253 $433,461 $430,383 $323,636 $0 $0 10 $191,303 $215,857 $273,512 $209,488 $308,880 $239,202 $220,296 $251,287 $228,539 $236,335 $224,434 $205,531 $2,804,663 Dec Totals $3,902,758 $o $230,256 $402,862 $371,956 $237,120 $402,525 $309,668 $226,943 $188,990 $268,487 $254,775 $246,368 $223,685 $3,363,635 $162,441 $228,717 $265,529 $195,244 $241,906 $233,496 $355,943 $304,988 $228,157 $294,794 $299,906 $349,821 $ ,160,942 $177,431 $117,425 $220,845 $206,090 $234,009 $158,168 $260,179 $362,478 $253,342 $270,649 $204,016 $169,751 $174,349 $146,874 $133,382 $221,935 $309,558 $265,383 $134,394 $135,242 $149,194 $197,639 $232,319 $159,618 $212,038 $183,405 $375,848 $187,053 $356,403 $229,293 $124,020 $264,735 $243,514 $163,819 $139,562 $124,778 $2,604,468 $2,634,383 $2,259,887 Printed 10/08/2021 09:22 Page 10 of 11 Building Permit Valuation 2021 Trend 2020 2019 2018 2017 2016 Community & Public Works Department Monthly Report 01 /01 /2021 - 09/30/2021 Community & Public Works Department Building Permit Valuation totaled $18,192,249 in September 2021. 200,000,000 150,000,000 100,000,000 50,000,000 0 11°- ■ Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec - 2021 2020 Five -Year Trend Jan Apr May Jun Jul Aug Sep Oct Nov Dec $8.86M $179.08M $16.72M $32.82M $22.43M $27.70M $65.19M $24.39M $18.19M $0.00M $0.00M $0.00M $14.46M $19.20M $29.27M $17.82M $31.26M $25.19M $22.14M $20.49M $19.65M $14.68M $32.48M $16.66M $22.13M $20.94M $36.68M $27.67M $51.38M $29.93M $17.95M $7.61M $20.62M $15.27M $26.89M $21.38M $5.66M $22.21M $19.46M $12.46M $23.15M $15.02M $46.65M $18.80M $14.36M $17.16M $35.21M $32.93M $12.84M $6.35M $27.60M $7.87M $9.55M $26.26M $29.25M $25.44M $20.69M $21.88M $25.46M $6.70M $23.82M $18.37M $6.98M $30.99M $35.66M $35.63M $9.78M $9.05M $8.88M $10.05M $67.10M $16.78M $7.83M $28.14M $55.64M $10.10M $36.56M $19.11M $7.07M $41.53M $33.68M $9.06M $7.76M $5.52M Totals 263.30M 298.45M 263.07M 219.89M 273.09M Printed 10/08/2021 09:22 Page 11 of 11 Community & Public Works Department Monthly Report 09/01/21— 09/30/21 MAINTENANCE Agreements for Services Adopted and In Operation (** Does not include September) Contract Name Contractor Contract Amoun Total Expended % of Contract Expended Street Maintenance Street Sweeping Storm Drain Cleaning Landscaping Weed Spraying Emergency Traffic Control Litter and Weed Control State Highway Maintenance Traffic Signals, Signs, Striping Dead Animal Control Poe Asphalt AAA Sweeping 11. AAA Sweepin Senske Clearwater Senske Geiger Work WM WSDOT Spokane County ail Mike Pederson $1,704,295.28 $567,840.00 $205,423.73 $84,948.00 $39,000.00 $15,000.00 $70,000.00 $281,000.00 $750,000.00 $20,000.00 $1,372,763.55 $400,897.65 $125,880.47 $30,067.05 $19,500.00 $6,046.11 $29,194.41 $190,886.71 $611,402.32 $10,425.00 80.55% 70.60% 61.28% 35.39% 50.00% 40.31% 41.71% 67.93% 81.52% 52.13% ..E...E..E Snow Season - October 2020 - April 2021 On Call - Graders On Call - Plow Drivers On Call - Sidewalk Operator Multiple Multiple Valley Landscape $500,000.00 $620,000.00 $40,000.00 $8,959.50 $212,367.29 $15,431.55 1.79% 34.25% 38.58% Citizen Requests for PublicVN s - September 2(iL' " Request Submitted In Progress Resolved / Waiting Broken Sprinkler Construction - CPW. Construction - Deve opm Construction - Private '"'•�y Dead Animal Removal General Street Maint Hazard on Street Illegal Dumping - Objects'., Report a Pothole Shopping Cart Sidewalks - repair Street Sweeping Vegetation / W;" STORMWATER Traffic 1 3 2 5 10 12 7 6 8 1 1 2 14 9 34 16 0 0 0 0 0 2 0 0 0 0 0 0 1 3 2 4 1 3 2 5 10 10 7 6 8 1 1 2 13 6 32 12 Totals 131 12 11 1 STREET MAINTENANCE ACTIVITY The following is a summary of Contractor maintenance activities in the City of Spokane Valley for September 2021: • Geiger Work Crew — Mowing, tree trimming, litter pickup. • Pothole patching, tree trimming and graffiti removal. • Poe Maintenance Contract — Stormwater improvements. Asphalt paving on Sullivan (Saltese to 24th) and Flora (Euclid to Garland), 1st Avenue west of Vista and Montgomery. • AAA sweeping Contract — Arterial maintenance sweeping. • AAA Sweeping Vactor Contract — Cleaning drywells and catch basins. WASTEWATER Status of the process can be monitored at: http://www.spokaneriver.net/, http://www.ecy.wa.gov/geographic/spokane/spokane river basin.htm, http://www.spokanecounty.org/utilities/WaterReclamation/content.aspx?c=2224 and http://www.spokaneriverpartners.com/ STORMWATER UTILITY The following is a summary of City Stormwater Utility activities for September 2021: • Drywell Retrofit with Pavement Preservation (Dept of Ecology grant) —Associated project Argonne Montgomery Intersection project. In construction. • Drywell Retrofit with Pavement Preservation (Dept. of Ecology grant) — Remaining funds project to be used in association with the Sullivan -Sprague to 8th preservation project. Design Report for UIC retrofits approved by Ecology. • Spokane Valley Regional Decant Facility Canopy project (Dept. of Ecology grant): Continued administrative efforts with TML construction to procure material package and associated approval of materials. • Appleway Stormwater Improvement project (Dept. of Ecology grant): Project in construction. • Osborn Engineering continues service for Public Education and Outreach Effectiveness Study (dumpster study). In coordination with City of Spokane Valley and the Spokane Regional Health District. • Development of Gross grant application with City of Spokane and Spokane County to provide multi media Public Education and Outreach. City of Spokane is the lead entity. • In concert with the release of the revised Stormwater Management Manual for Eastern Washington (Dept. of Ecology), COSV Stormwater Utility continues effort with City of Spokane, and Spokane County to evaluate the Spokane Regional Stormwater Manual for equivalency. • Continue process to identify the merits for jurisdictional coverage under the UIC program. Primary focus is on the City-wide hydraulic analysis. • Continue MS4/UIC sub basin delineation. • Review comments from Ecology on 2021 UIC stormwater Management Plan. • Submitted to Ecology brief description of proposed effectiveness study (Bioretention soil media study). This study is a collaborative effort with City of Spokane, Spokane County, and Osborne Consultant. City of Spokane is the lead entity. • Continued updating the Stormwater Utility 0 & M plan. • Participation and support Glenrose, Central Park Flood Insurance Study. • Continued annual management and/or participation of the following service contracts: o Roadway Landscape Maintenance Contract — Senske. o Street Sweeping Contract — AAA Sweeping. o Storm Drain Cleaning Contract — AAA Sweeping. 2 o Roadway Weed Control Contract — Clearwater Summit. • Continued working on the following tasks: o Responded to stormwater related issues, 9 sites. Recorded in QAlert. DEVELOPMENT ENGINEERING The following is a summary of Development Engineering activities for September 2021: • Assisted Building and Planning Division with preparation of design requirements for (7) Commercial and (2) Land Use Pre -Application meetings. • Prepared multiple Recommended Conditions of Approvals for preliminary plats and Dedication Languages for final plats. Reviewed multiple final plats and submittal packages to record final plats. • Reviewed civil plans and drainage reports for Engineered Grading Permits associated with commercial and land use projects. Coordinated with private Engineers and Developers. • Reviewed civil plans for the following projects: o Moffit Apartments (EGR-2021-0028) o Mirabeau Place Apartments (EGR-2021-0030) o Crosby Buckeye Park (EGR-2021-0035) o Piger 2 Short Plat — 6 lots (EGR-2021-0047) o Empire Warehouse (EGR-2021-0050) o 4th Avenue Short Plat — 3 lots (EGR-2021-0052) o Triad Machinery (EGR-2021-0055) o The Derek Apartments (EGR-2021-0059) o Dishman Multi -Family Apartments (EGR-2021-0065) o Mayorov Short Plat — 3 lots (EGR-2021-0067) o Boone Avenue Short Plat — 4 lots (EGR-2021-0069) o Weber Dental (EGR-2021-0070) o Spokane Conservation District Phase 2 (EGR-2021-0074) o Mirabeau Point Apartments Phase 1 (EGR-2021-0076) o Pierce Short Plat — 5 lots (EGR-2021-0077) o Pet Savers (EGR-2021-0078) o Carlisle Lane Building (EGR-2021-0079) o Honeywell Building 6 Expansion (EGR-2021-0080) • Spoke with and emailed citizens and developers to answer inquiries and discuss design requirements for potential commercial and land use projects. • Conducted preconstruction meetings, performed site visits, prepared punch lists, reviewed surety estimates, and reviewed and approved construction certification packages to finalize final plats and to issue commercial building certificates of occupancy. 3 CAPITAL PROJECTS Public Works Projects Monthly Summary - Design & Construction September-2021 Bid % Estimated Total Proposed Project # Design &Construction Projects Funding Open Complete Construction Project Ad Date Date PE I CN Completion Cost Street Projects 0143 Barker Rd/BNSF Grade Separation FHWA - STP(U) 11/30/20 01/13/21 100 40 12/31/22 $26,000,000 0205 Sprague/Barker Intersection Improvement FHWA-CMAQ TBD TBD 70 0 12/31/22 $ 2,300,000 0249 Sullivan &Wellesley Intersection Improv FHWA-STP(U) TBD TBD 96 0 12/31/22 $ 1,370,000 0275 Barker Rd Widening- River to Euclid FHWA-STP(U) 06/12/20 07/08/20 100 99 12/31/21 $ 3,850,141 0299 Argonne Rd Concrete Pvmt Indiana to Mont TIB- UAP 04/30/21 05/14/21 100 99 12/31/21 $ 2,800,000 0301 Park Rd. Sidewalk COSV 02/26/21 03/19/21 100 99 12/31/21 $ 733,000 0310 Sullivan Rd Overcrossing UP RR Deck Rep. FHWA - BR 03/19/21 04/09/21 100 99 12/31/21 $ 337,625 0313 Barker Road/Union Pacific Crossing FMSIB 8/20/2021 9/10/2021 100 0 12/31/22 $ 1,434,000 0318 Wilbur Sidewalk: Boone to Mission STBG-SA TBD TBD 15 0 12/31/22 $ 60,000 0335 Mission Ave over Evergreen Rd Deck Repair FHWA - BR TBD TBD 0 0 12/31/23 $ 35,248 Street Preservation Projects 0292 Mullan Preservation: Broadway -Mission COSV 05/21/21 06/04/21 100 99 12/31/21 $ 2,100,000 0309 Local Access Streets: Barker Homes COSV 04/24/20 05/20/20 100 99 12/31/21 $ 1,812,088 0320 Sullivan Preservation:Sprague-8th COSV TBD TBD 75 0 12/31/22 $ 138,000 0323 Evergreen Road Preservation Project COSV 04/30/21 05/14/21 100 99 12/31/21 $ 1,900,000 0325 2021 Local Access Streets: South Park Rd COSV 06/11/21 06/25/21 100 99 12/31/21 $ 1,200,000 0334 Sprague Ave Preservation STBG TBD TBD 0 0 12/31/22 $ 61,270 Traffic Projects 0293 2018 CSS Citywide Reflective Signal BP HSIP N/A N/A 100 96 12/31/21 $ 180,000 0294 Citywide Reflective Post Panels HSIP N/A N/A 100 90 12/31/21 $ 78,000 0300 Pines & Mission Intersection Improvement FHWA - CMAQ TBD TBD 60 0 12/31/22 $ 588,000 0326 2020Citywide Reflective Post Panels HSIP TBD TBD 0 0 12/31/22 $ 164,100 0330 WTSC 2021 School Zone Beacons WTSC N/A N/A 0 0 12/31/22 $ 60,000 Parks Projects 0268 Appleway Trail -Evergreen to Sullivan FHWA-STP(U) 06/28/19 07/19/19 100 100 12/31/20 $ 2,516,550 0304 CenterPlace West Lawn Phase 2 COSV 11/22/19 12/20/19 100 100 12/31/20 $ 2,000,000 0305 CenterPlace Roof Repair COSV 05/01/20 05/15/20 100 100 12/31/20 $ 815,000 0314 Balfour Park Frontage Improvements COSV 03/19/21 04/09/21 100 75 12/31/21 $ 1,003,215 0315 Brown's Park 2020Improvements COSV Re -Bid 10/23/20 11/13/20 100 100 06/30/21 $ 562,780 0316 Balfour Park Improvements - Phase 1 COSV TBD TBD 0 0 TBD $ 217,500 0328 Sullivan Park Waterline COSV TBD TBD 0 0 TBD $ 152,858 0338 Loop Trail Project COSV TBD TBD 0 0 TBD $ 10,000 Stormwater Projects 0308 Regional Decant Facility Canopy Dept of Ecology 02/05/21 02/19/21 100 20 12/31/21 $ 595,535 0317 Appleway Stormwater Improvements Dept of Ecology 04/30/21 05/21/21 100 60 12/31/21 $ 2,002,256 0327 Sprague Avenue Stormwater Improvements Dept of Ecology TBD TBD 0 0 12/31/22 $ 150,000 Design % Total Project# Design Only Projects Funding Complete Complete Project Date PE Cost Street Projects 0223 Pines Rd Underpass @ BNSF &Trent FHWA-STP(U) 12/31/21 0311 Sullivan Rd./SR290 Interchange Project COSV 12/31/23 0321 Argonne Corridor Imprv- North of Knox COSV 12/31/21 0329 Barker Road Imp- City Limits to Appleway IMPACT FEES 12/31/21 0333 Evergreen Rd Pres Broadway to Mission COSV 12/31/21 28 15 5 0 80 $ 7,295,000 $ 500,000 $ 30,000 $ 250,000 $ 35,000 Street Preservation Projects 0286 Broadway Preservation: Havana to Fancher COSV 03/31/21 70 $ 67,600 Sewer Projects 0332 NE Industrial Area - Sewer Extension COSV 12/31/21 5 $ 80,000 Other Projects 0336 Fair and Expo Center Expansion COSV 12/31/23 0 $ 10,000 4 PLANNING AND GRANTS Washington State Transportation Improvement Board (TIB) On July 20, City Council authorized staff to submit two project funding requests to the 2021 TIB call for projects. For TIB's Sidewalk Program, the City requested $260,700 from TIB for the 8th Ave. project from Coleman Road to Park Rd. The City's match would be $173,700 and the total project cost is $434,400. For TIB's Urban Arterial Program, the City requested $1,641,462 from TIB for the Sullivan Corridor Improvement Project from Sprague Ave. to 8th Ave. The City's match would be $1,821,926 ($1,410,600 of "match" funds are from Ecology and Federal Highways) and the total project cost is $3,463,388. Awards are expected mid -November 2021. Spokane Transit Authority's Federal Section 5310 Grants Call for Projects On April 27, City Council authorized staff to submit one application: Sprague Ave. Crossing Improvements. This project would provide a new pedestrian hybrid beacon crossing of Sprague between City Hall and the Balfour Park/Library site. On September 20, 2021, STA awarded $163,685 to the City as partial funding for these crossing improvements. Staff are now coordinating with STA for contract documentation and project delivery. Spokane Regional Transportation Council (SRTC) Preservation Call for Projects On March 23, City Council authorized staff to submit three applications: Broadway Ave. at 1-90 (Fancher to Park), Sprague Ave. (Havana to Fancher), and Evergreen Rd. (Broadway to Mission). On August 13, 2021, SRTC awarded $1,000,000 to two of the City's applications: Sprague Preservation and Broadway Preservation. USDOT's Rebuilding America's Infrastructure with Sustainability and Equity (RAISE) USDOT administers the RAISE program and, in May, announced the availability of $1 billion nationwide. On May 25, City Council authorized the City Manager to apply for the Pines Road/BNSF GSP project requesting $16,239,622. An application was submitted on July 9, 2021. Awards are anticipated by early November 2021. Federal Funding Solicitations for Infrastructure Priorities The offices of Senator Patty Murray, Senator Maria Cantwell, and Representative Cathy McMorris Rodgers requested priority project details for inclusion into a federal transportation package (i.e. earmarks). Staff submitted the following five priority projects for consideration: Pines GSP ($19.3M), Bigelow -Sullivan Corridor ($36.73M), Spokane Valley River Loop Trail ($16.5M), Spokane County Expo Expansion ($3M), and South Barker Corridor ($12.92M). Rep. McMorris Rodgers included a $2.65M request for the engineering phase of the Sullivan/Trent Interchange project. Sen. Cantwell included a $2.5M request towards the Pines Road/BNSF GSP. Sen. Murray included $3M to the S. Barker Road Corridor. Committees will be reviewing the project lists through the summer and more information will be made available in fall 2021. Complete Streets Funding Program In September, City Council adopted a Complete Streets Policy via Ordinance 21-012, making the City eligible for the Transportation Improvement Board's Complete Streets funding program. The funding program requires applicants to request nominations from various statewide entities. If nominated, TIB then evaluates whether funding should be awarded to the agency. Spokane Valley nomination requests will be submitted in October 2021. Pavement Management Update On March 23, 2021, City Council confirmed the creation of the Streets Sustainability Committee. The goal of the committee is to gather public input regarding pavement condition goals and treatment methods, along with the necessary funding to support it. The committee includes 22 members representing a variety of stakeholder groups throughout the community. Committee information is available on the City's webpage: www.spokanevalley.org/streetscommittee. A summary report was provided to council on September 7, 2021. Staff anticipates delivering its final report of the complete public outreach process on November 9, 2021, at the City Council meeting. 5