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2010, 10-05 Study Session
AGENDA SPOKANE VALLEY CITY COUNCIL STUDY SESSION FORMAT Tuesday, October 5, 2010 6:00 p.m. CITY HALL COUNCIL CHAMBERS 11707 East Sprague Avenue, First Floor (Please Silence Your Cell Phones During the Meeting) DISCUSSION LEADER SUBJECT /ACTIVITY GOAL 1. Kathy McClung SARP (Sprague /Appleway Revitalization Plan) and the Comprehensive Plan Update 2. Susan Winchell Collaborative Planning 3. Mike Jackson/ Legislative Agenda Update Mayor Towey 4. Mike Stone CenterPlace Leases 5. Mike Stone Senior Center Table Tennis Update 6. Cary Driskell Transportation Benefit District 7. Mayor Towey, Aquifer Protection Area Interlocal Councilmember Dempsey S. Mayor Towey Advance Agenda 9. Mayor Towey Council Check in 10. Mike Jackson City Manager Comments ADJOURN Discussion /Information Discussion /Information Discussion /Information Discussion/Information Discussion /Information Discussion/Information Discussion/Infonnation Discussion/Information Discussion /Information Discussion/Information Note: Unless otherwise noted above, there will be no public comments at Council Study Sessions. However, Council always reserves the right to request information from the public and staff as appropriate. During meetings held by the City of Spokane Valley Council, the Council reserves the right to take "action" on any item listed or subsequently added to the agenda. The term "action" means to deliberate, discuss, review, consider, evaluate, or make a collective positive or negative decision. NOTICE: Individuals planning to attend the meeting who require special assistance to accommodate physical, hearing, or other impairments, please contact the City Clerk at (509) 921 -1000 as soon as possible so that arrangements may be made. Study Session Agenda, October 5, 2010 Page 1 of 1 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 5, 2010 City Manager Sign -off: Item: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation AGENDA ITEM TITLE: SARP and the Comprehensive Plan Update; What has been accomplished in SARP- revisited; Other options to remedy immediate issues with SARP. GOVERNING LEGISLATION: See discussion below. PREVIOUS COUNCIL ACTION TAKEN: N/A BACKGROUND: The City Council has requested information regarding how SARP will be incorporated into the comprehensive plan update and asked if there are options that would resolve pressing issues. City staff will present where we are with the SARP- revisited; after which we are requesting council direction with their preference in how to address SARP in the upcoming Comprehensive Plan update. OPTIONS: There are several options available when the Sprague Appleway Revitalization Plan (SARP) is reviewed as part of the Comprehensive Plan update. Planning Staff are looking for direction from the City Council about which option they wish to pursue in order to pare down the amount of time to get it prepared for the process. Before exploring options, it is important to keep in mind what the original goals of the SARP were. The two primary goals were to concentrate particular uses to certain areas of the city to create economic vitality, and to improve the appearance of the Sprague Appleway Corridor. The code amendments that have been approved or are pending will reinstate many pre -SARP uses and have amended many of the aesthetic requirements that made the plan pedestrian oriented. The architectural building treatments have basically been left intact for new buildings. However, the thresholds for requiring any improvement to existing buildings are so high that it would be years before the corridor actually experienced any significant aesthetic improvement. Option 1- Revoke the SARP and go back to the 2007 pre -SARP zoning. The advantage to this option is that it is a clean process. The existing comprehensive plan supports the pre -SARP zoning so it would not have to be altered. There would be minimum public meetings needed and no additional work would have to be done to create new policies and regulations. Option 1 would open up the corridor for more uses which is contrary to the goal and intent of the original plan discussed above, and would significantly expand the types of uses allowed. This option would not address the surplus of retail uses the city has and may add to the surplus. Further, this option would not address the appearance of the corridor and will leave current buildings and properties in their existing condition should they redevelop. The current condition of the corridor deters some retailers who are concerned about image and aesthetics form locating here. Finally, there would be no requirement for aesthetic improvement of new buildings. Option 2- Start from scratch. Establish goals for each zoning district and write regulations and policies that support those goals. Option 2 would be time intensive, but thorough. First, the council would have to provide staff with specific direction concerning the goal for the entire corridor if different from the two goals identified above. Second, each zoning district would be addressed in a manner similar to how staff approached the recent SARP public meetings. Goals for each district would be adopted and then development regulations would be crafted to correspond with the new goals. This approach would help ensure that all districts are looked at holistically and complement each other. Several public meetings would be required to implement this option and public interest and participation may be lacking due to the number of significant changes in the last year to the plan, or may simply be polarized between those who support the existing plan and those who would rather go back to previous zoning regulations. This option will also require the greatest amount of work to recreate a new "SARP" in that both a comprehensive plan component as well as development regulations would have to be drafted, discussed and approved. Option 3- Only address the list of items that came out of the public forums conducted this past year. This option appears to involve less work than Option 2 but may result in a hodge -podge of regulations and policies that may not meet the original goals and may not necessarily make one zoning district work well with the others. As staff collected comments from the meetings the past year, there was significant representation at some meetings and not at others. Some people spoke up with or without property interest in the area and others that had property interest were silent. If we only move forward with comments that were made at the meetings, we may not be addressing the community's concerns but only those identified at the meetings. This approach may also take care of one problem and create others. New comprehensive plan goals and new regulations would have to be created for this option. This option would also require significant public participation and a year or more to complete. Option 4- Create a SARP overlay This option has been suggested as a way to preserve some of the elements of the existing plan. Overlay zones can be confusing to users as well as administrators. Another way to accomplish the same thing is to identify what elements are worth preserving and putting them in the regular code. Option 5- A hybrid of above. The council may want to mix some of the above into a new option. The Council could revoke SARP for a portion(s) of the area and do a more comprehensive look at another area(s). Option 6- Do nothing more. The council could decide that the code amendments either adopted or pending may be enough to address the majority of the public concerns about the Plan and do nothing more. Imo_ 6 010 1 D191 I _ 01 1 . - _ 1 �a �� C� �� �E K/V BUDGET/FINANCIAL IMPACTS: N/A STAFF CONTACT: Kathy McClung, Community Development Director ATTACHMENTS: Progress Report on SARP- revisited and memo from Mike Connelly regarding adding auto sales in the city center. Progress Report Sprague Appleway Sub -area Plan (Plan) Revisited October 5, 2010 1. Provided city council background information about the economic study completed prior to work on the Plan May 4tH 2. Provided city council information about how the nonconforming provisions are applied. May 11 3. Presented the Gateway Commercial and Gateway Avenue zoning requirements to city council May 18 a. Conducted public meeting on Gateway Commercial and Gateway Avenue Zones May 20 b. Feedback to City Council on comments received on Gateway Commercial and Gateway Avenue zones June 8tH c. Prepared a motion for city council consideration for the June 15 meeting. d. Amendments scheduled for SEPA review in July and Planning Commission August 12 ". e. Code amendments adopted by council on September 28 4.. Started a code amendment to review vehicle sales and restaurants in the Mixed Use Avenue zone; and proposed flexibility for minor design issues under the director's discretion. a. Issued the SEPA notice June 4 2010. b. Planning Commission June 24 The Planning Commission moved forward 2 of the three amendments and will review the third with more information on July 22nd. c. Two amendments adopted by City Council on July 13 d. Text amendment to permit auto sales in Mixed Use Avenue adopted September 14. 2010. 5. Notices mailed June 2 nd for Mixed Use Center public meeting June 24st. a. Mixed Use Staff Report and presentation given to Council on June 15th. b. Conducted public meeting June 24 c. Council discussion July 13 d. Planning Commission study session September 9tH e. Public Hearing scheduled October 14 6. Notices mailed June 30 for Neighborhood Center public meeting July 22 "d a. Neighborhood Center staff report scheduled for council July 20 b. Public Meeting scheduled for July 22 "d c. Council discussion August 10th; one amendment identified. 7. City Center notices mailed August ft a. City Center staff report scheduled for August 17th council meeting. b. Public meeting scheduled for August 19 c. Council discussion September 14th; one code amendment identified. 8. Community Boulevard notices mailed for public meeting September 30 a. Community Boulevard staff report to council September 28, 2010. b. Public meeting scheduled September 30 c. Council discussion scheduled October 19 9. Council discussion about Comprehensive Plan change options October 5, 2010. Other related projects: 1. June 8 th -Pre- application meeting for Mrs. Shadduck's cafe at 16 N Bowdish. 2. A project for a coffee drive -thru has been approved at 212 N Sullivan. 3. A project for a pool and spa sales business has been approved for a building permit approval at 9321 E Sprague. MEMORANDUM TO: Mike Jackson, City Manager, City of Spokane Valley, Kathy McClung, Community Development Director, City of Spokane Valley FROM: Michael F. Connelly, Koegen Edwards LLP DATE: September 29, 2010 RE: Process Necessary to Amend City Center Development Regulations Allowing Vehicle Sales in City Center Zone The City Council (the "Council ") of the City of Spokane Valley (the "City ") has asked by what means vehicle sales, currently prohibited, could be allowed within the City Center zone. To allow such a use the Council would have to amend the current development regulations and, if the amendment is not consistent with the Comprehensive Plan, amend that document as well. The pertinent Comprehensive Plan provisions are found in Book One of the "Sprague and Appleway corridor Subarea Plan" (the "Subarea Plan ") and state as follows: 1.2 "Intent" 3) Spokane Valley was incorporated in 2003, and does not contain an existing or historic downtown district. The Spokane Valley community intends to see to it that a new City Center is constructed. A City Center is defined, in this context to mean a compact and synergistic cluster of activity- generating shops, services and eateries sharing a walkable - scaled district core with civic buildings, urban style homes and workplaces, all organized around public space and pedestrian - oriented street environments. 1.4 "The Envisioned Future Corridors" ... the City Center will offer community services as well as commercial goods and services that cater to the entire City in a lively pedestrian friendly environment. 1.4 (1) "The City Center" The City Center will provide the community with the center of its civic and social life. Citizens will be drawn to their center by shops, cafes, restaurants, community services, and by the offering comfortable public streets and plaza spaces to linger in when the weather is fine. And the busy streets and public places will be presided over by the first City Hall built to house the government of the new city. ... it will not be only one type of land use, but a mixture of uses and destinations —retail, entertainment, civic, residential, and ultimately places of work and lodging will be found there. See also Subarea Plan 1.4 (1) (a) "The City Center — Core " City of Spokane Valley, City Council September 29, 2010 Page 2 Larger retail establishments will anchor new boutique retail, restaurants and with outdoor dining, and entertainment uses in mixed use buildings featuring continuous ground floor shop fronts. Shop windows and doors will adorn buildings with a high level of finish and detail.... Above these shops, residents, workers, and visitors will enjoy the excitement and convenience of the entertainment environment below while the soft, yellow light coming from their windows will add to the atmosphere....The narrow streets, lined with street trees and decorative furnishings, will offer convenient parking spaces at the curb, with more spaces tucked behind buildings in lots and structures.... buildings such as a City Hall and Public Library... will add to the long list of amenities that the Spokane Valley community will enjoy far into the future... . In addition, the Subarea Plan contemplates significant street improvements for Sprague Avenue. See Subarea Plan, 1.4 (1) (b), "The City Center- Sprague Avenue." Finally "The City Center - Neighborhood" is described in the Subarea Plan Section 1.4(1) (c) as follows: ... the City's widest range of housing types, the greatest mixture of, homes, offices, and lodging, will begin to concentrate within walking distance of the City Center Core's theaters, shops, restaurants, cafes, nightlife, and amenities... . The Subarea Plan further contemplates that automotive sales will be located within the Gateway Commercial Avenue and Gateway Commercial Center zones as well as in Mixed Use Avenue zone pursuant to recent amendments to the Development Code by the Council. The Subarea Plan, then, does not contemplate uses that would include automotive sales within this City Center category. Consequently, an amendment to the Comprehensive Plan is required to allow this use. Statutory Methods to Amend Comprehen Plan RCW 36.70A.130 states in pertinent part as follows: (1) (d) Any amendment of or revision to a comprehensive land use plan shall conform to this chapter. Any amendment of or revision to development regulations shall be consistent with an implement the comprehensive plan. (2) (a) Public Participation for ... updates, proposed amendments, or revisions of the comprehensive plan are considered by the governing body of the county or city no more frequently than once every year. Amendments may be considered more frequently than once per year under the following circumstances: (b) Except as otherwise provided in (a) of this subsection all proposals shall be considered by the governing body concurrently, so the cumulative effect of the various proposals can be ascertained. However, after appropriate public participation a county or city may adopt amendments or revisions to its comprehensive plan that conform with this chapter whenever an emergency exists or to resolve an appeal of a comprehensive plan filed with a growth management hearing board or with the court. City of Spokane Valley, City Council September 29, 2010 Page 3 Options Option One: Amend the City Center category as part of the City's review of the Subarea Plan which will occur at the time of the City's annual review. This topic has already been docketed for consideration beginning in late 2010. Option Two: Amend the Comprehensive Plan pursuant to RCW 36.70A.130(2)(b) by declaring an emergency. Such an emergency may exist due to the following factors: 1. In the last 12 months, since the adoption of the Subarea Plan, the City's revenue forecast has continued to deteriorate. Specifically, sales taxes are projected to decrease from 2010 to 2011 by $400,000 and property taxes from 2010 to 2011 by $100,000. Funds available from the real estate excise tax have decreased from a high of approximately $2.2 MM in 2007 and 2008 to approximately $900,000. 2. Funds available for significant private development are not as available and significant failures of large commercial investments within the City have occurred. 3. The economic development anticipated by the Council when the ordinance adopting the Subarea Plan was passed in September of 2009 has not occurred. See Ordinance adopting the Subarea Plan attached as Exhibit "A." 4. The restriction on development within the City Center zone, as well as the design requirements, contemplate significant public investment involving both the purchase of property and construction of a City Hall as well as adjacent infrastructure improvements. The projected 2011 budget does not contemplate the purchase of any property with the City Center zone and funds available for the construction of City Hall are projected to be reduced by $2.2 MM to fund other capital projects. See Motion by Council to suspend negotiations attached as Exhibit "B;" See also portion of the 2011 draft budget attached as Exhibit "C." Because there is little likelihood that any significant investment will occur by the City, the Council could find that the City Center zone, as currently configured and restricted, creates significant immediate economic hardships for the property owners within that zone. Based upon these facts the Council may also find that an emergency exists and move forward with an immediate change to the Comprehensive Plan pursuant to the RCW 36.70A.130(2)(b) set forth above. The least complicated amendment would be to remove the City Center classification from both the Development Code and the Comprehensive Plan. The area could be classified either as Mixed Use or another classification already contained within the Subarea Plan without further Comprehensive Plan amendments. This change would then be subject to additional review when the entire Subarea Plan is reviewed by Council as part of the annual review process. There is little precedent for declaring such an emergency and the matter has not been directly addressed by the courts of record for the state of Washington. I've attached a resolution recently passed by Spokane County declaring a similar emergency as Exhibit "D." The Council should be aware that due to the limited statutory and court authority regarding this use of the emergency exception, there may be some risk that such a declaration and subsequent comprehensive plan change would be challenged and overturned. City of Spokane Valley, City Council September 29, 2010 Page 4 If the Council chooses to pursue Option Two, a public process, as contemplated by RCW 3 6.70A. 13 0(2)(b), and the City's ordinances should be followed. CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON ORDINANCE NO. 09-021 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, ADOPTING THE SPOKANE VALLEY SPRAGUE APPLEWAY CORRIDOR SUBAREA PLAN, AMENDING ORDINANCE 09 -012 AND AMENDING ORDINANCE 07 -015 AND AMENDING SPOKANE VALLEY MUNICIPAL CODE (SVMC) 19.110, AND 19.20.020, AND ESTABLISHING NEW ZONING DISTRICT BOUNDARIES. Whereas, the Spokane Valley City Council adopted the Comprehensive Plan pursuant to Ordinance 06- 027 on April 25, 2006; and Whereas, the Spokane Valley Comprehensive Plan has been amended pursuant to the following ordinances: 06 -020 Amending Comprehensive Plan Procedures, 9 -12 -06 07 -026 Adopting Comprehensive Plan Text and Map Amendments, 12 -18 -07 08 -011 Amending Comprehensive Plan Text and Map, 07 -15 -08 09 -008 Amending Comprehensive Plan Text and Map, 05 -12 -09 09 -013 Amending Comprehensive Plan Map, 10 -1 -09 09 -022 Amending Comprehensive Plan Text and Map, 10 -1 -09; and Whereas, the Spokane Valley City Council adopted the Uniform Development Code pursuant to Ordinance 07 -015 on September 27, 2007; and Whereas, the Spokane Valley Uniform Development Code has been amended pursuant to the following ordinances: 07 -025 Emergency Ordinance Amending UDC Title 19, 11 -07 -07 07 -027 Adopting Zoning Map Amendments, 12 -18 -07 08 -006 Amending Interim Ordinance 07 -025, 04 -08 -08 08 -012 Amending Zoning Map Changes, 07 -15 -08 08 -017 Ordinance Amending Height Requirements in 19.70.010 & 020, 08 -26 -08 09 -002 Amending SVMC Title 20, 03 -11 -09 09 -005 Airport Overlay, 04 -14 -09 09 -006 Amending 08 -012, Zoning Map Changes, 03 -24 -09 09 -009 Amending Zoning Map, 05 -12 -09 09 -010 Amending Title 17, 19 and 22, 05 -12 -09 09 -012 Adopting the Spokane Valley Sprague and Appleway Corridors Subarea Plan, 10 -1 -09; and Whereas, the City of Spokane Valley began the planning process to develop the Spokane Valley Sprague and Appleway Corridors Subarea Plan hereinafter "Subarea Plan" and amendment to the Comprehensive Plan and Map in July of 2006; and Whereas, the City of Spokane Valley initiated a Planned Action Review under RCW 43.21C.031 (2) for a portion of the Subarea Plan on June 10, 2008; and Whereas, the Subarea Plan and amendment to the Comprehensive Plan and Map has been developed in conjunction with the annual review of the Comprehensive Plan adopted by the Spokane Valley City Council on December 18, 2007, July 15, 2008 and May 19, 2009; and Ordinance 09 -021 Page 1 of 15 Exhibit A Whereas, the Subarea Plan and proposed amendment to the Comprehensive Plan and Map was submitted to the Planning Commission on February 14, 2008 for consideration, a copy of which is on file with the City Clerk; and Whereas, the Planning Commission reviewed the proposed Subarea Plan and proposed amendment to the Comprehensive Plan and Map, held public hearings and deliberated, then forwarded their recommended changes to the Spokane Valley City Council on July 29, 2008, a copy of which is on file with the City Clerk; and Whereas, the City Council, after public hearings and deliberation amended the proposed Subarea plan and proposed amendment to the Comprehensive Plan and Map, a copy of which is on file with the City Clerk, then held additional public hearings, then again deliberated; and Whereas, the City Council recommended additional changes after deliberation, a copy of which is on file with the City Clerk, and which are incorporated in the final draft of the Subarea Plan and amendment to the Comprehensive Plan and Map; and Whereas, the City Council held a first reading on Ordinance 09 -012 on May 26, 2009, and allowed additional public comment; and Whereas, the City Council held a second reading on Ordinance 09 -012 on June 16, 2009, and allowed additional public comment; and Whereas, public participation and notice for the adoption of the Subarea Plan and amendment to the Comprehensive Plan and Map is required as set forth in RCW 36.70A.035 and RCW 36.70A.140; and Whereas, the City of Spokane Valley is required to notify the Depa, tin of Community Trade and Economic Development of its intent to adopt the Subarea Plan and amend the Comprehensive Plan and Map at least sixty (60) days prior to final adoption pursuant to RCW 36.70A.106; and Whereas, the Subarea Plan is to be implemented through an amendment to the Comprehensive Plan and Map and an amendment to the Uniform Development Code, specifically SVMC Title 19; and Whereas, amendments to the Comprehensive Plan are made pursuant to the provisions of RCW 36.70A.130; and Whereas, adoption of the Subarea Plan and amendment to the Comprehensive Plan and Map must comply with the requirements of the State Environmental Policy Act ( SEPA) as set forth in RCW 43.21C. NOW, THEREFORE, the City Council of the City of Spokane Valley ordains as follows: Section 1: Adoption of Findings of Fact The City Council of the City of Spokane Valley finds that all Growth Management Act (GMA) and other statutory prerequisites for the adoption of the City of Spokane Valley's amendment to the Uniform Development Code have been met and hereby adopts the following: FINDINGS OF FACT 1. Mandate to Plan under GMA: the City of Spokane Valley is a city that falls under the full mandates of the GMA as of the date of the City's incorporation on March 31, 2003. Ordinance 09 -021 Page 2 of 15 2. Consistency with GMA Goals: The Amendment to the Uniform Development Code adopting the Subarea Plan attached hereto is consistent with the Planning Goals set forth in RCW 36.70A.020. 3. The Washington State Growth Management Act, specifically RCW 36.70A.080, authorizes the preparation of Subarea Plans. 4. This amendment to the Uniform Development Code adopting the Subarea Plan is consistent with the City of Spokane Valley Comprehensive Plan, which generally directs the formation of a subarea plan for the Sprague Appleway Corridor, calls for the transformation of the Sprague Avenue Corridor into a quality mixed -use area; supports creating an identifiable City Center that serves as the social, cultural and economic focus of the City; calls for land uses and zoning that supports and complements an Auto Row area; and seeks a balanced transportation network that accommodates public transit, pedestrians, bicycles and automobiles. 5. This amendment to the Uniform Development Code adopting the Subarea Plan is consistent with the following specific provisions of the Comprehensive Plan: a. 2.2.1 City Center Plan - This scenario presents concepts and strategies for creating a definable and vibrant "City Center "for the City of Spokane Valley. The purposes of creating a Spokane Valley City Center are: 1. Create an identifiable city center that is asocial and economic focus of the City; 2. Strengthen the City overall by providing for long -term growth in employment and housing; 3. Promote housing opportunities close to employment and services; 4. Develop land use patterns that support the development of a more extensive regional transportation system, whatever the ultimate configuration may be; 5. Reduce dependency on automobiles; 6 Consume less land with urban development; 7. Maximize the public investment in infrastructure and services; 8. Provide a central gathering place for the community; and 9. Improve the quality of design for development throughout the City. There are several reasons why a definable, vital City Center is important to Spokane Valley's future. These include: 1. The development of a more intensive, multi -use city center is a natural step in Spokane Valley's evolution. Most new urban areas start out as bedroom communities. Retail and commercial uses then develop to serve the new residential population. Office and industrial activities next begin to locate at key transportation crossroads, adding jobs and strengthening the employment base. Spokane Valley has experienced these evolutionary phases and is now ready for a defined City Center. 2. Economic Development — Spokane Valley has an opportunity to transform itself from an essentially residential community with retail and service based economy to a sub - regional economic center with an expanded, more diverse employment base. Ordinance 09 -021 Page 3 of 15 3. Community Support — A survey of Spokane Valley area citizens prior to incorporation overwhelmingly indicated that the lack of identifiable "downtown" and a community gathering place was of concern to a majority of respondents. Community support was tested again when the city conducted a statistically valid survey in the spring of 2004. The support to create a City Center was reiterated throughout the community meetings held during the development of the comprehensive plan and the city's informal community survey. A discussion of the results of the city's survey is included in Section 2.10. The following could be components of the City Center: 1. Location: Generally located along the Sprague /Apple corridor. 2. Size: Between 300 and 400 acres in size. 3. Streets: New streets could be added at every 200 to 400 feet to create an internal grid street system to provide an urban atmosphere. 4. On- street parking would be provided on internal grid streets. S. Ground floor retail on both sides of streets. 6 Building out to the edge of the right -of -way and include wide sidewalks to encourage a lively street scene. 7. Office /Employment uses provided in high visibility locations with adequate parking and adjacent to pleasant surroundings such as open space, retail shops and services. 8. Multifamily housing that is safe, secure, and located so that it is buffered from traffic noise and provides a pedestrian friendly streetscape with connections to parks, schools, shopping, services and transit. 9. Civic /public uses such as city hall, community library, performing arts center, city center park, green space or other public uses that would attract people to downtown over an extended portion of the day. Other characteristics of this land use scenario include the following: 1. "Auto -Row " Overlay — The city has several new auto dealerships located along Sprague Avenue. The majority of these dealerships are located between Argonne Road and Thierman Road. Two dealerships are located just west of Dartmouth Road, near the U- City Mall. New car dealerships provide the city with substantial sales tax revenue on one hand, on the other hand auto dealerships can have a significant visual impact on a community and have somewhat unique needs related to development standards, such as signage and street frontage landscaping. This scenario recognizes these circumstances and designates the areas identified above appropriately, and provides policy direction for the implementing development regulations. 2. Mixed -use — this scenario suggests reducing the strip commercial on Sprague Avenue by maintaining Community Commercial zoning only at major intersections such as Pines, Evergreen and Sullivan Roads. Areas in between these commercial "nodes" would be designated as Corridor Mixed -use or some other appropriate designation, which would encourage conversion of these vacant and /or dilapidated commercial areas into areas of office%mployment, residential and specialty retail. b. 2.5.2 Commercial Designations 1. The City of Spokane Valley is home to several major new automobile dealerships. While these land uses provide a positive economic impact on the community, they can also have Ordinance 09 -021 Page 4 of 15 less positive impacts on the aesthetics of the community. Auto dealerships typically have vast areas of pavement to store new and used vehicles for sale. These land uses also have unique requirements for landscaping and signage. Unlike many commercial uses whose stock in trade is contained within a building, it is necessary for auto dealerships to have their vehicles clearly visible from the street. This makes traditional street side landscaping (consisting of low growing shrubs and bushes, and trees) not viable for these uses. 2. An overlay designation is being suggested rather than a zoning district because the negative affects on the non -auto dealer uses in the area will be minimized or eliminated. e. 2.5.3 City Center 3 1. The intent of establishing a City Center in Spokane Valley is to create a higher density, mixed -use designation where office, retail, government uses, and residential uses are concentrated. The City Center will also be located at one of the major hubs of the region's high capacity transit (HCT) system. 2. The City Center encourages higher intensity land uses. Traditional city centers are places where diverse office, retail, and government uses are concentrated, as well as cultural and civic facilities, community services and housing. Nationally, many cities are advocating mixed -use development in city center core areas for a number of reasons, including: Providing new housing, increasing the range of housing choices, and reducing dependency on the automobile by bringing work places and residences into close proximity; Providing retail and service needs in close proximity to residential and employment centers; Improving feasibility of a development project. The proximity of urban services makes housing projects more desirable and a nearby source of consumers help make a commercial project more viable. .[residents choose to live in higher density housing for a variety of reasons. First, higher density housing is more affordable than traditional single family housing. Second, the convenience and proximity to work, needed services and cultural activities is very desirable for many people. Finally, many people find that they do not need a large, single family -., detached house. Given their lifestyle, they appreciate the low maintenance and security of higher density living. There is a mutually retail activities. The presence of housing the core area also activates the streets in the city center, day and night. supportive relationship between higher density residential uses and commercial and Ordinance 09 -021 Page 5 of 15 4. Concentrating growth in a specific area also supports investment in public infrastructure including the regional HCT system. Existing low density development does not generate sufficient levels of demand to optimize the return on investment in transit. Promoting higher density uses within walking distance of transit facilities will improve the viability of ti �t if ff J t C% t i i- L r � -�� -tom=- -- °�.�--�--- -� .,.� "� 'A�C'ln '..� 4F i.�.t -.,tE tin - L't rte, rrt� this significant infrastructure investment. Moreover, concentrating the highest density of development in the City Center, where a significant number of jobs and residences will be within walking distance of a transit station, helps reduce the dependency on the automobile and improves pedestrian mobility. The City Center emphasizes pedestrian, bicycle, and transit mobility but will not be unfriendly to the use of automobiles. 5. The City Center area will also be the central gathering place for the community — a place where the whole community can congregate and celebrate. Accordingly, the City Center should include an outdoor square, park, or commons with amenities such as fountains, sculptures, and unique landscaping. Other civic amenities or buildings including city hall or a performing arts center could be grouped around the core area square or park. The City currently holds an annual Christmas Tree Lighting Ceremony in the area designated as the City Center. Additional such events throughout the year will enhance the feeling of community in Spokane Valley. 6 An appropriate street network is a critical component of the City Center. The current network of collector streets and arterials, the disjointed grid, and large block sizes contribute to a lack of identity in the City. The solution is not necessarily to construct wider streets. Streets become less efficient as the number of lanes increases. Building new streets versus widening existing streets can be more cost effective, yields greater capacity, and will have a more positive impact on the City Center. 7. Automobiles are likely to continue as a dominant mode of transportation for the foreseeable future. A comprehensive network of streets must be developed to distribute this traffic and create more driving choices. To the extent possible, the City should connect streets and construct new streets to form a tighter grid system within the City Center, especially in the core area, by negotiating new public rights -of -way and building new streets. This rrinterconnectivity" serves to shorten and disperse trips, and consequently reduce travel on existing congested arterials. 8. Pedestrian and bicycle mobility is a vital part of the future City Center transportation system. Improvements for pedestrians and bicyclists should support increases in transit services and promote the development of the City Center. As the street system is developed to better accommodate the needs of pedestrians and bicyclists, a network of facilities for people on foot and bikes should be established. 9. Reducing the size of the street grid, improving auto circulation and creating pedestrian linkages through larger parcels is critical to establish walking patterns that reduce Ordinance 09 -021 Page 6 of 15 dependency on the auto. As individual sites are designed and developed to be more pedestrian friendly and improved pedestrian linkages are provided, the pedestrian system will handle an increasing share of trips. Special street design standards should be developed for the City Center. Special standards for extra -wide sidewalks (12 to 20 feet in width), pedestrian -scale street lighting, and additional amenities including benches, trash receptacles, and landscaped corner treatments should be included. 10. Transforming the existing commercial core area into the proposed City Center is an ambitious task. It requires a significant transformation from a low- density, automobile oriented, largely retail area, to a higher intensity, more pedestrian oriented Mixed -use area. The City Center section of the Plan acknowledges that the City Center will take some time to develop. The City can facilitate these changes through a series of small steps taken over time. This is especially true if the steps are consistent with emerging economic, social and demographic trends. As is the intent of this Plan, the phasing scenario presented here accounts for the timing of market projections and future actions. 11. As noted above, the implementation strategy is keyed to projected trends and regional planning goals. Its form and character, as envisioned in this Plan, are dramatically different from anything that now exists in the proposed City Center area It will take some time for the development community to redirect its energy and investments to produce development that responds to the direction of the Plan. The demand for more intense development opportunities in the City Center is not forecasted within the next few years. In the meantime, the City should discourage continued low -scale investment in this area since new development will take several years to be amortized, and will delay the accomplishment of preferred development. As regulations are applied to modest renovations, it should be possible to gain some basic improvements. However, the City should not expect full implementation of the vision for the City Center until major property owners in the area are ready to install long -term, major development projects. d. 2.5.5 Mixed -use Corridor Mixed -use - Corridor Mixed -use is intended to enhance travel options, encourage development of locally serving commercial uses, multi family apartments, lodging and offices along major transportation corridors identified on the Comprehensive Plan Land Use Map (Map 2.1). Corridor Mixed- -use recognizes the historical low- intensity, auto - dependent development pattern, and focuses on a pedestrian orientation with an emphasis on aesthetics and design. The Corridor Mixed -use designation is primarily used along Sprague Avenue in order to space the areas designated commercial. e. 2.7 Urban Design and Form 1. In addition to guiding development, the Land Use chapter also guides the quality and character of the City's future development pattern through goals and policies related to the form, function, and appearance of the built environment. These priorities and implementation strategies, related to quality development, serve and will continue to serve as a basis from which to develop appropriate implementation measures. 2. The design of our urban environment has a significant effect on community identity. Well designed communities contribute to a healthful, safe and sustainable environment that offers a variety of opportunities for housing and employment. An attractive and well planned community is invaluable when recruiting new business and industry to an area Some of the concepts considered include: • Community appearance, including signs and placement of utilities; Ordinance 09 -021 Page 7 of 15 • Neighborhood considerations in the review of development projects; • Integration and linking of neighborhoods including bicycle and pedestrian facilities; • The effect of traff c patterns and parking on neighborhood character; • Encouragement of high quality development through the appropriate use of planned unit developments; and • Consideration for public art. f. 2.7.1 Aesthetic Corridors 1. Aesthetic corridors are intended to protect the visual appeal of Spokane Valley along major transportation routes entering and exiting the city. Aesthetic corridors provide special design standards for aesthetics along major transportation routes to help create a quality image of Spokane Valley. 2. Another .component of aesthetic corridors is the "gateways" into the city. There are several entrances into the City of Spokane Valley along major transportation corridors, including Sprague Avenue, Trent Avenue, State Route 27 and a number of interchanges on Interstate 90. Design elements and landscaping treatments should denote a sense of arrival into the City, a neighborhood or special area such as the city center. g. 2.9 The Land Use /Transportation Connection 2.9.1 Street Connectivity - Street design can have a significant impact on community development. It is important that neighborhoods be connected is such a manner that cars, bicycles and pedestrians can pass with ease from one neighborhood to an adjacent neighborhood via collectors and arterials. Such a pattern promotes a sense of community. All new developments should give special consideration to emergency access routes. h. 2.11 Goals and Policies COMMERCIAL Goal LUG -3 Transform various commercial business areas into vital, attractive, easily accessible mixed use areas that appeal to investors, consumers and residents and enhance the community image and economic vitality. Policies LUP -3.1 Encourage transformation of Sprague Avenue Regional/ Community Commercial corridor into a quality mixed -use retail area Retail development along the corridor, exclusive of the City Center, should be concentrated at arterial intersections and designed to integrate auto, pedestrian, and transit circulation. Integration of public amenities and open space into retail and office development should also be encouraged. LUP -3.2 Encourage large bulk retailers to locate in the designated Regional Commercial nodes around arterial intersections. Goal LUG -5 Identi fy appropriate locations for the Auto Row Overlay designation. Policies Ordinance 09 -021 Page 8 of 15 LUP -5.1 Identify other appropriate automobile related uses within the Auto Row Overlay designation that are complementary to automobile dealerships. LUP -5.2 Develop appropriate development standards for permitted uses within the Auto Row Overlay designated area CITY CENTER Goal LUG -6 Create an identifiable City Center that serves as the social, cultural, and economic focus of the City of Spokane Valley. Policies LUP -61 Define a City Center with distinct boundaries, unique building types, and special features. LUP -62 Strengthen existing connections of the City Center area to the region's high capacity transit system. LUP -63 Focus on improving the existing character and image of the City Center area through appropriate development regulations and design standards. LUP -64 Develop land use regulations that allow higher intensity development in the City Center including, but not limited to, taller buildings, increased floor area ratios (FAR) and permitted uses. L UP -6.5 Coordinate with urban service providers to ensure sufficient capacity is available for anticipated development. LUP -66 Allow for a variety of uses and mixed -use development within buildings or complexes. Ensure that mixed -use development complements and enhances the character of the surrounding residential and commercial area LUP -6.7 The City should always consider City Center sites regarding potential civic and cultural uses the City develops, such as a City Hall. LUP -6.8 Provide incentives to attract cultural and civic uses to the City Center over which the City does not have direct control, such as libraries or recreation facilities. LUP -6.9 Develop land use regulations that encourage higher density residential uses on the periphery of the City Center area in close proximity to high capacity transit. High density housing should be accompanied by residentially oriented retail and service uses. L UP -6.10 Provide amenities such as community services, parks and public spaces to meet the residential needs in the City Center. LUP -6.11 Provide an effective transition between the periphery of the City Center and nearby lower density residential development. Goal LUG -7 Provide a balanced transportation network that accommodates public transportation, high occupancy vehicles, pedestrians, bicyclists, automobiles and integrated parking. Policies Ordinance 09 -021 Page 9 of 15 LUP -71 Improve traffic circulation around and through the City Center by extending the street network and creating smaller blocks. L UP- 7.2 Encourage pedestrian and bicycle circulation by providing public sidewalks, street trees, street furniture and other amenities. L UP -7.3 Require clear and safe pedestrian paths to enhance the pedestrian network. LUP -7.4 Connect the main entry of buildings to public sidewalks by an identifiable walkway. LUP -7.5 Allow for on- street parking on the internal City Center street network. L UP- 7.6 Encourage transit use by improving pedestrian and bicycle linkages to the existing and future transit system. Mixed -use Goal LUG -9 Encourage the development of Mixed -use areas that foster community identity and are designed to supportpedestrian, bicycle and regional transit. Policies LUP -9.1 The characteristics of a Mixed- -use area should include: • Housing and employment densities to support regional transit service; • Public transit connections; • Safe, attractive transit stops and pedestrian and bicycle ways; -Buildings that front on wide sidewalks with attractive landscaping, benches and frequent bus stops; • Multi -story buildings oriented to the street rather than parking lots; and • Parking space located behind or to the side of buildings or in parking structures. LUP -9.2 The mix of land uses allowed in either the Corridor Mixed -use or Mixed -use Center designation should include: • A variety of housing types including apartments, condominiums, town houses, two-' amily and single family dwellings on small lots, • A full range of retail goods and services including grocery stores, theaters /entertainment, restaurants, personal services and specialty shops; • Public/quasi-public uses and /or open space; • Professional Office and other employment oriented uses; and • Commercial uses that require large land areas but have low employment density and are auto - dependant, such as lumber yards, plant nurseries, warehouses, and auto dealerships, should be prohibited from either Mixed -use category. Ordinance 09 -021 Page 10 of 15 Urban Design and Form Goals & Policies Goals LUG -14 Improve the appearance and function of the built environment. Policies LUP -14.1 Use performance and community design standards to maintain neighborhood character, achieve a greater range of housing options, and to create attractive and desirable commercial and office developments. LUP -14.2 Adopt specific regulations for designated aesthetic corridors that: • Provide incentives for aesthetic design; • Require landscaping buffers adjacent to roadways; • Limit sign height and size; • Provide performance standards to adequately screen intensive land uses that have exterior clutter such as outdoor storage, exterior heavy equipment and /or exterior fabrication /assembly. • Prohibit off-premise signage and billboards. Land Use /Transportation Connection Goals & Policies Goal LUG -16 Provide a street system that connects neighborhoods. Policies LUP -161 Encourage new developments, including multifamily projects, to be arranged in a pattern of connecting streets and blocks to allow people to get around easily by foot, bicycle, bus or car. i. 10.3 Neighborhood Goals & Policies Goal NG -2 Preserve and protect the character of Spokane Valley's residential neighborhoods. Policies NP -2.1 Maintain and protect the character of existing and future residential neighborhoods through the development and enforcement of the City's land use regulations and joint planning. NP -2.2 Review and revise as necessary, existing land use regulations to, accessory dwelling units, and in -fill development. NP -2.6 Establish appropriate design guidelines with buffer zones and transition requirements to protect residential neighborhoods from incompatible land uses and adverse impacts associated with arterials, freeways and rail corridors. Ordinance 09 -021 Page 11 of 15 Goal NG -3 Encourage neighborhood /sub -area planning for commercial, industrial and mixed use properties to enhance the quality, vibrancy and character of existing development. Policies NP -3.1 Establish regulations and identify potential incentives that encourage multi -use areas that integrate a broad range of appropriate and compatible land use activities, and encourage the development and redevelopment of land in conformance with the SVCP. NP -3.3 Encourage commercial development that is designed and scaled in a manner that is compatible with surrounding neighborhoods. 6. This amendment to the Uniform Development Code adopting the Subarea Plan is also consistent with the amendments to the Comprehensive Plan and Map adopted by Ordinance 09 -022. 7. The City of Spokane Valley has provided notice and engaged in a public process to ensure citizen participation pursuant to RCW 36.70A.035, RCW 36.70A.130 and RCW 36.70A.140. The specific public meetings are set forth below. The notice provided and meetings identified constitute early and continuous public participation in the development and adoption of the Subarea Plan and amendment to the Comprehensive Plan and Map: CITY OF SPOKANE VALLEY Sprague /Appleway Plan — Public Participation Log DATE MEETING TYPE (i.e. city council, planning commission, etc LOCATION TOPIC 7/19/2006 Focus Group Meetings Center Place Plan concepts 7/20/2006 Core Team Meeting Center Place Focus Group Meetings, City Center 9/13/2006 Community Workshop Decades City Center Concept 9/14/2006 Core Team Meeting City Hall City Center update 9/14/2006 Joint Council/Commission Meetin City Hall Plan update, City Center concept 9/23/2006 Valleyfest Mirabeau Park Plan overview 10/2/2006 Core Team Meeting CenterPlace Land Use Patterns 10/10/2006 Rotary Meeting Mirabeau Hotel Plan overview by the Mayor 10/11/2006 Valley Business Association Fire District #1 Admin Office Plan overview by the Mayor 10/11/2006 Community Workshop Decades Centers and Segments, Land Use Patterns 11/30/2006 Auto Row Focus Group P ity Hall, second Floor Land use in Auto Row 11/30/2006. Community Workshop Decades Transportation Hands On 12/1/2006 Core Team Meeting Center Place 12/13/2006 Spokane Valley Business Association Fire District 98 Plan update by Scott Kuhta 1/16/2007 Core Team Meeting City Hall, second floor Community Workshop Ordinance 09 -021 Page 12 of 15 Ordinance 09 -021 Page 13 of 15 MEETING TYPE (i.e. DATE city council, planning LOCATION TOPIC commission, etc 1/16/2007 Community Workshop Decades Circulation Patterns 2/5/2007 WSU Architect Students Corridor discussion 2/9/2007 APA Brown Bag Luncheon CenterPlace Corridor discussion Joint City 3/1/2007 Council/Planning CenterPlace Study Session presentation of complete Commission Study recommendation Session 3/5/2007 WSDOT Presentation Transportation recommendations 3/6/2007 Chamber Luncheon Percy's C66 Americana Complete recommendation of corridor plan Air in October 2007 and Rich Munson and Scott Kuhta were both interview November Comcast Local Edition City Center/ SARP for Comcast Local Edition for airing on CNN 2007 Headline news. City Council special Michael Freedman present possible Master Plan 10/2/2007 meeting City Hall update to include the Library on the west side of University 10/16/2007 Kiwanis Meeting Sheri's Restaurant Scott Kuhta, presentation of the plan 11/20/2007 Joint CC/PC meeting City Hall Present the public hearing draft of the sub -area plan 12/6/2007 Spokane Greater Chamber of Commerce Percy's Cafd Present Subarea Plan to Chamber members 1/18/2008 Developer's Forum Council Chambers Education regarding regulations of Subarea plan 1/23/2008 Community Education Worksho Council Chambers Education regarding regulations of Subarea plan 2/14/2008 Open House Council Chambers Open discussion answer questions regarding regulations of Subarea 2/14/2008 Planning Commission meeting/ Community Council Chambers Presentation of regulations and education of Education Workshop regulations regarding Subarea plan Joint City Council, Presentation by Michael Freedman and Troy Russ 2/19/2008 Planning Commission Council Chambers regarding new SRTC model figures — transportation Meeting and Book III 2/27/2008 Planning Commission Council Chambers Review of the Subarea plan in preparation for Study Session Public Hearing 3/13/2008 Planning commission Council Chambers Public Hearing Public Hearin 3/20/2008 Planning Commission Public Hearing Council Chambers Con't Public Hearing 3/27/2008 Planning Commission Council Chambers Deliberations 4/10/2008 Planning Commission Council Chambers Deliberations 4/17/2008 Planning Commission Council Chambers Deliberations 4/24/2008 Planning Commission Council Chambers Deliberations 5/1/2008 Planning Commission Council Chambers Deliberations 5/22/2008 Planning Commission Council Chambers Deliberations 6/5/2008 Planning Commission Council Chambers Deliberations 6/12/2008 Planning Commission Council Chambers Deliberations 6/26/2008 Planning Commission Council Chambers Deliberations 7/29/2008 City Council Public CenterPlace Public Hearing Hearing Ordinance 09 -021 Page 13 of 15 DATE MEETING TYPE (i.e. city council, planning commission, etc LOCATION TOPIC 8/19/2008 City Cnouncil Public CenterPlace Public Hearing 8/26/2008 City Council Council Chambers Deliberations 9/2/2008 City Council Council Chambers Deliberations 9/9/2008 City Council Council Chambers Deliberations 9/23/2008 City Council Council Chambers Deliberations 9/30/2008 City Council Council Chambers Deliberations 10/21/2008 City Council Council Chambers Deliberations 10/28/2008 City Council Council Chambers Deliberations 12/2/2008 City Council Council Chambers Deliberations 12/16/2008 City Council Council Chambers Deliberations 12/30/2008 City Council Council Chambers Deliberations 1/6/2009 City Council Council Chambers Deliberations 1/12/2009 City Council Council Chambers Deliberations 1/13/2009 City Council Council Chambers Deliberations 1/26/2009 City Council Council Chambers Deliberations 2/3/2009 City Council Council Chambers Deliberations 2/24/2009 City Council Council Chambers Deliberations 3/3/2009 City Council Council Chambers Deliberations 3/24/2009 City Council Council Chambers Deliberations 4/28/2009 City Council Public Hearin CenterPlace Public Hearing 5/5/2009 City Council Council Chambers SARP Discussion 5/19/2009 City Council Council Chambers Deliberations 5/26/2009 City Council Council Chambers Deliberations 8. The Subarea Plan and amendment to the Comprehensive Plan and Map have been provided to the Community Trade and Economic Development Department pursuant to RCW 36.70A.106 on January 23, 2008. 9. The amendment to the Uniform Development Code adopting the Subarea Plan is made pursuant to and consistent with the provisions of RCW 36.70A.040 to implement the provisions of the Comprehensive Plan. 10. The City of Spokane Valley has complied with the requirements of RCW 43.21C, specifically by using the integrated SEPA process pursuant to SEPA rules, (WAC 197 -11 -210, 220, 228, 230, 232 and 235). The documents and dates of issuance are as follows: a. Adopted existing environmental document (Draft and Final EIS prepared for Spokane Valley Comp Plan), signed January 18, 2008. b. Issued Draft Supplemental Environmental Impact State ( DSEIS) on January 18, 2008. c. Issued Addendum to the DSEIS on May 20, 2008, to incorporate updated transportation analysis. d. Issued Final Supplemental Environmental Impact Statement ( FSEIS) on June 19, 2008. 11. As part of its review and deliberations, adoption of the Subarea Plan and amendment to the Comprehensive Plan and Map, the City Council has reviewed the documents filed for record, which are on file with the City Clerk. Ordinance 09 -021 Page 14 of 15 12. The adoption of this amendment to the Uniform Development Code adopting the Subarea Plan is necessary to protect the health, safety, and welfare of the general public and the environment. 13. The amendment of the Comprehensive Plan and Map and the adoption of the Subarea Plan is consistent with SVMC 19.30.010, 020. Section 2: Amendment to the Uniform Development Code SVMC Chapter 19.110 The Uniform Development Code, specifically SVMC Chapter 19.110 is hereby amended as follows: SPECIAL OVERLAY ZONES Sections: 19.110.020 Spokane Valley Sprague and Appleway Corridors Subarea Plan All land use and development applications defined in SVMC 17.80.020 and SVMC 19.10.020 for property contained within the Spokane Valley - Sprague and Appleway Corridors Subarea Plan Area shall be governed by the terms and provisions of that Subarea Plan which is incorporated herein by this reference and attached as Appendix D. This subarea plan shall also supersede development standards set forth in chapter 22.50, Off - Street parking and Loading Standards, 22.60 Outdoor Lighting Standards, 22.70 Fencing, Screening and Landscaping, and 22.110 Sign Regulations except for those regulations that are specifically incorporated by the Subarea Plan. Section 3: The Spokane Valley Sprague and Appleway Corridors Subarea Plan is attached hereto as Exhibit A, and by this reference adopted and incorporated herein and codified as Appendix D to the Uniform Development Code. Section 4: Severabilby. 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 constitutionality shall not affect the validity or constitutionality of any other section, clause or phrase of this Ordinance. Section 5: Effective date. This Ordinance shall be in full force and effect on October 1, 2009. Passed by the City Council this 15 day of September, 2009. ATTEST: istine Bainbridge, City Clerk Approved As To Form: Date of Publication: September 25, 2009 Effective Date: October 1, 2009 Richard u son, Mayor Ordinance 09 -021 Page 15 of 15 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: February 23, 2010 City Manager Sign -off: Item: Check all that apply: ❑ consent ❑ old business ® new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation AGENDA ITEM TITLE: Motion Consideration: City Hall negotiations GOVERNING LEGISLATION: RCW 36.70A; RCW 43.21C; SVMC 19.30.010, 020; SVMC 19.110.020; Ordinance 09 -020 and 09 -021; and the adopted Spokane Valley Sprague /Appleway Corridor Subarea Plan PREVIOUS COUNCIL ACTION TAKEN: Council Meeting Discussion February 2, 2010 BACKGROUND: Previously provided. OPTIONS: Continue negotiations with property owner; suspend negotiations with property owner, or take other action deemed appropriate. RECOMMENDED ACTION OR MOTION: Move to suspend negotiations with the property owner for the purchase of property for City Hall, and request that staff notify the property owner of this Council action. BUDGET /FINANCIAL IMPACTS: N/A STAFF CONTACT: Mike Connelly, City Attorney ATTACHMENTS: Exhibit B Significant Changes to the 2011 Budget A review of the 2011 preliminary budget reveals the following significant changes: Revenues 1. Sales Tax receipts for 2011 have been estimated at $16.2 Million, a reduction of about $400,000 from 2010 budgeted receipts. Citizens are tightening their financial belts as concerns relating to jobs, retirement plans, and home equity have slowed the economy. 2. A slowing of real estate sales has reduced Real Estate Excise Tax receipts to $1,000,000 /year which are used for capital projects. 3. While not a "significant" change, it is important to note the City of Spokane Valley property tax rate is expected to be near $1.54/$1,000 of assessed value. This is the second lowest rate of all cities in Spokane County. 4. Fines/Forfeitures and state shared revenue have been increased $200,000 each. 5. A small decrease in the property tax levy ($100,000) has been proposed. Expenditures 1. The 2011 budget anticipates the following for winter street maintenance in the street fund: • Operation/Maintenance of 7 plows /trucks • Lease and improve Street / Stormwater maintenance facility $65,000 • One additional employee (Construction Inspector) shared by the Street and Stormwater funds. 2. A serious shortage of funds to use as match on federal and state grants for parks and street capital projects may reduce the amount of improvements made in these areas during 2011. A new revenue source would help capture these state and federal dollars for local capital improvements. 3. $100,000 has been set aside for a possible increase in state retirement costs. This set aside will offset future rate increase. 4. The addition of a half -time administrative position in community development will help keep up with administrative duties. 5. Approved but unfilled positions have been deleted from the budget as a cost saving measure. 6. Departments were asked to reduce their 2010 budget by 3% and to propose 3% reductions in projected 2011 expenditures. These approaches are intended to slow growth in expenditures to preserve a more stable financial future. This has resulted in a 2011 budget that is expected to be $400,000 less than the 2010 budget. 11 Exhibit C CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 5, 2010 City Manager Sign -off: Item: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation AGENDA ITEM TITLE: Collaborative Planning GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: BACKGROUND: Boundary Review Board Director Susan Winchell will discuss the Collaborative Planning efforts. OPTIONS: RECOMMENDED ACTION OR MOTION: BUDGET /FINANCIAL IMPACTS: STAFF CONTACT: ATTACHMENTS: COLLABORATIVE FISCAL STRATEGY 1 11 l �1101 LA 1111116 — Potential Structures and Opportunities Identified To Date As collaborating partners, Spokane County and the county's cities are developing a collaborative fiscal strategy. The goal of the strategy is to set up Spokane's local and regional government for success: (1) seeking to alleviate longstanding points of friction between the County and the cities and (2) laying out paths for working together to pursue common interests. As currently envisioned, the collaborative strategy will have three key components: Component 1. A discussion of context and opportunity. A discussion of context in which the plan is being developed and the opportunity the collaborating jurisdictions see to achieve outcomes that will serve the interests of all Spokane County residents. Component 2. An articulation of the central strategy. A description of the overarching principles (and the underlying logic) that make up the strategy. In effect, this component will begin with a statement that we, the collaborating partners, believe that Spokane County as a whole will be best served if we use the following overarching principles to guide our actions. Component 3. Identification of first steps. A description of the first steps that the collaborating partners wish to take to begin to pursue the overarching principles outlined above. In the initial, brainstorming phase of the collaborative process (the phase partners are engaged in as we speak) the cities are working amongst themselves (1) to consider the overarching principles that should make up the strategy; and (2) to identify possible concrete actions the collaborating partners could take as first steps in pursuit of those principles. Likewise, policy makers at Spokane County are engaged in a parallel effort. The goal of these initial efforts is to identify and examine opportunities. It is a window for both the cities and County to invest the time and energy necessary to identify what strategies and actions could be on the table and to begin think about what they believe about those options. As the first step in the brainstorming process, City Managers have convened in a series of meetings to put some potential strategies and actions on the table, to begin talking about how options might work, and to consider how different pieces might fit together. The process we are engaged in now is one of widening the loop— sharing with city policy makers the ideas that have surfaced thus far, and to continue the brainstorming process by engaging policy makers directly. Representatives for the Collaborative Planning Team will facilitate this process by meeting with the City Council for most of the collaborating cities. These representatives include Susan Winchell (who has led the collaborative planning process since its inception) and Brett Sheckler (an economic consultant who has assisted collaborating jurisdictions throughout the fiscal planning phase). These Council study sessions will be designed to: 1. Share the potential strategies and actions that have surfaced through the City Managers meetings thus far (summarized on the following pages); 2. Solicit policy makers' thoughts about other possible strategies and actions that can be put on the table; and 3. Delve into questions about how various components might work and how pieces might fit together. 9/28/2010 DISCUSSION DRAFT: Collaborative Planning— City Fiscal Strategy Development Sessions 1 ��n►1► _ : zl�zsr�► ���l�i��r�� ►rs_t��r•��r1��r�r��i�•�• _ i� Following is a summary of potential strategies and actions that have been developed through meetings of City Managers. This summary is broken into two major sections. First, we summarize potential major principles that have surfaced — principles that could be combined to describe the overarching structure of a strategy. Second, we summarize actions that could be taken to help effect the overarching strategy. It is important to remember that the effort we are engaged in now is a brainstorming process. The goal of brainstorming is to surface a wide range of ideas and begin to contemplate how they might work and how they might fit with other ideas. Not all ideas on the table will be attractive to all parties, but the goal of brainstorming is to cast a wide net and to err on the side of being inclusive. Once the brainstorming process is complete and all ideas have been put on the table, each policy maker and each partner jurisdiction will have an opportunity to consider what they believe —what ideas are worth pursuing; what the jurisdiction in question is, and is not, willing to do; and how the pieces might fit together. Principle: ACKNOWLEDGE THE STRUCTURE OF GOVERNANCE Spokane County's cities and County government both serve as the principal providers of local municipal services. The cities bear responsibility for services within their city boundaries and the County is responsible for local services in unincorporated areas. As local service providers, all jurisdictions are challenged to meet the needs of their constituents — balancing the tension between tax burdens and desired levels of local services. In addition to Local Service provision to unincorporated areas, County government and some cities also provide Contract Services (services in exchange for payment). Finally, Spokane County government also provides Countywide Services for the benefit of all constituents in Spokane County. Virtually all of these countywide services are mandated by state law. In effect, this perspective acknowledges that Spokane County is engaged in three different lines of business: Local, Countywide, and Contract services. Principle: PURSUE TRUE PARTNERSHIP AMONG JURISDICTIONS With a long list of common interests, and with a long list of contractual and practical interdependencies, Spokane County and the county's cities can do a better job of serving their constituents if they interact with one another in a spirit of true partnership. When considering actions that have the potential to impact other jurisdictions, a perspective of true partnership would lead to (1) reaching out to affected jurisdictions sooner rather than later in the process; and (2) engaging affected jurisdictions in the decision making process. In part, engaging other jurisdictions as true partners means delving into how your partner might be impacted by a given action and seeking to collaborate in search of a solution that generates the greatest gain (or least harm) to Spokane County residents as a whole. Principle: ALIGN COUNTY'S THREE LINES OF BUSINESS 9/28/2010 DISCUSSION DRAFT: Collaborative Planning— City Fiscal Strategy Development Sessions 2 There is value in aligning the costs and revenues for Spokane County's Local, Regional, and Contract lines of business. Spokane residents who live within city boundaries want to ensure that the countywide taxes they pay are being used to provide countywide services. On the other side of the coin, cities believe that managing County operations with a goal of alignment will put the County in a stronger fiscal position. Because each of the County's lines of business has a different constituency, Spokane County will be in a better position to manage its complex fiscal challenges if it distinguishes between its three lines of business. Currently, Spokane County's Local Services are the area where revenues fall significantly short of covering costs of service. In practical terms, then, moving towards alignment will entail increasing local revenues and /or decreasing local costs of service. Principle: LOBBY OLYMPIA WITH A UNIFIED VOICE Spokane County as a whole will stand a better chance of getting traction with the legislature if all jurisdictions are on the same page and enlisting the help of cities and counties across the state. Principle: MANAGE URBAN GROWTH AREAS AND ANNEXATIONS TO MITIGATE IMPACTS ON BOTH CITIES AND SPOKANE COUNTY Cities have an interest in UGA designation, in UGA land -use planning and development patterns, and in development of infrastructure. Both Spokane County and annexing cities also have an interest in managing the fiscal impacts of annexation. Principle: PURSUE EFFICIENCIES AND MANAGE SERVICE COSTS To best serve constituents, all jurisdictions need to redouble efforts to find efficiencies in service delivery. There may be instances where alternative service structures allow increased efficiency (or they may help to mitigate the fiscal and service impacts of annexations). Partner jurisdictions should continue to investigate and, where appropriate, pursue such efficiencies. It is also clear that all jurisdictions need to be aggressive in managing the underlying drivers of unit costs of service. Partner jurisdictions may be able to work together to achieve cost- containment strategies. Principle: GIVE VOICE TO THE PERSPECTIVE OF SPOKANE COUNTY RESIDENTS AS A WHOLE The primary charge of any elected official is to look out for the interests of his constituents. Even with the best of intentions and a commitment to pursuing true partnership among jurisdictions, bad things are likely to happen. Conflicts will erupt between jurisdictions. To prevent such events from derailing the collaborative strategy, it may be useful to have an advocate whose job is to look out for the interests Spokane County residents as a whole. POTENTIAL ACTIONS Given discussions about the overarching principles of a collaborative strategy and how they can help put the partner jurisdictions in a better position to serve constituents, collaborating partners have discussed a range of possible actions. These actions, summarized below, can be viewed as potential first steps in pursuit of the broader strategy. 9/28/2010 DISCUSSION DRAFT: Collaborative Planning — City Fiscal Strategy Development Sessions 3 711 3*11l� i�l�7e\ i�►1 .i L CWNL 1k • Establish regular meetings where elected officials and administrators for jurisdictions have an opportunity to strategize, identify and pursue emerging opportunities, and share information about emerging efforts. • Regular meetings of City Managers • Regular meetings of Finance Directors • Regular meetings of elected officials • Meaningful Engagement among Partners when Making Strategic Decisions • In instances where contemplated plans or actions have fiscal (or service) impacts for partner jurisdictions, engage and collaborate with partners throughout the decision making process. • Investigate potential structures for voicing the interests of Spokane County as a whole. Such a voice would act as a spur to keep the pursuit of true partnership on track. C � i ] ► i � t i ] � � I i ��� i ] ��: i�l I � 3 i 7 : �_1 � � L 11 7 �� 7 L � [ i P► �� • Examine opportunities for alternative service structures to deliver services more efficiently. Potential opportunities may include: •Consolidated Animal Control •Consolidated Police Dispatch Services •Creation of Metro Parks District • More robust options /mechanisms to ensure inter - jurisdictional law enforcement support. ✓ Possibility of cities providing provide law enforcement services in discrete unincorporated areas surrounding each city. • The city would take on primary responsibility for law enforcement response, which would allow the County to reduce and reconfigure patrol districts to cover remaining, rural parts of the county. • City response costs could be covered by a per -call service charge. • Depending on the call load and the extent to which the County could reduce Sheriff staffing, such a solution could end up generating a net savings for the County while at the same time improving each city's operational position. • Beyond the baseline savings the County might enjoy, such an approach would also mitigate the fiscal hit the County would see from annexations. Policing costs in the urban areas around cities would become infinitely variable. On the day of annexation, the County would see reduced local service costs because they would no longer need to pay the city for law enforcement responses in the area. (If such an arrangement was in place today, the West Plains annexation would be much less fiscally damaging to Spokane County.) • A caveat: If law enforcement is already being provided by the adjacent city, incentives for annexation (from both the City's perspective and from the perspective of annexing -area residents would be reduced). Therefore, such an arrangement would probably have to be accompanied by an agreement to facilitate annexations. •Creation of a Metro Police District (may require significant revision to State law) ✓ Explore feasibility /effectiveness of regional law enforcement services. • Stabilization and Transparency of Spokane County Contract Cost Allocations • Minimize conflicts and minimize contract review /auditing time by developing a single, transparent method for allocating overhead costs. Once the method has been developed, revisit cost allocation procedures only on a periodic basis. 9/28/2010 DISCUSSION DRAFT: Collaborative Planning— City Fiscal Strategy Development Sessions MANAGE AND MITIGATE IMPACTS ASSOCIATED WITH URBAN GROWTH AREAS AND ANNEXATION • Joint Planning for UGAs • County Does Not Expand UGAs without Agreement from Cities • Cities Develop Long -term Plans for Annexations to be Shared with County • Cities and County Reach Agreement on Areas that Cities will not Seek to Annex for a Set Period of Time • Align Transportation System Standards for Urban Growth Areas • Significant progress has already been made in this area through the Collaborative Planning Process • Align Land Use and Development Standards in UGAs with those in City • Seek State Sales Tax Credit to Mitigate Fiscal Impacts of Annexation (mitigating negative fiscal impacts, if any, on both the annexing city and Spokane County). • Such a tax credit would represent an extension of sorts of the tax credit created for King, Snohomish, and Pierce counties. COORDINATED ACTION ON REVENUES THAT AFFECT ALL PARTNER JURISDICTIONS • Mitigate Impacts from Potential State - Shared Revenue Hit (from passage of liquor - related initiatives) • Develop a Shared Stance on Imposition of Impact Fees • Creation of Transportation Benefit District MANAGE SPOKANE COUNTY GOVERNMENT'S LINES OF BUSINESS If the goal is to move towards a world where revenue streams for each line of business are sufficient to cover the corresponding services, a first step towards achieving that end is to monitor each line of business (monitoring revenues and costs for each component) on a regular basis. Partner cities believe collaboration is strengthened when the monitoring process is regular, independent, impartial, and transparent — giving all partners confidence in the numbers. With this goal in mind, partner cities believe it will be important to develop a strong and ongoing monitoring system. PURSUE SUSTAINABILITY FOR SPOKANE COUNTY'S THREE LINES OF BUSINESS Recognizing the potential for cost - containment noted above, Spokane County probably faces significant revenue challenges in regard to its Local and Countywide lines of business. Countywide Services The Countywide line of business may not be in the red today, but given that the majority of countywide revenues come from property taxes, the County is likely to need to address the impact of the 1% limit in the future. Options identified include: • Seek voter approval of additional one -tenth property tax options and providing some portion of city share back with County to fund countywide services. • County pursues a countywide levy lid lift with unified support of cities. • All Washington State counties seek legislative relief from the 1% property tax limit. 9/28/2010 DISCUSSION DRAFT: Collaborative Planning— City Fiscal Strategy Development Sessions 5 Local Services If the County is to align local revenues with local service costs, policy makers will need to engage unincorporated residents to arrive at a mix of service levels and tax burden that works for unincorporated areas. To do this, the County will need to have avenues available for increasing unincorporated area revenues. Options identified include: • Seek new utility tax authority that counties could exercise in unincorporated areas. •This would give counties authority to tax utility services similar to the authority that cities currently have. • The City of Spokane is considering imposing a "tipping fee" for use of the solid waste incinerator. This tipping fee would be shared back with the jurisdiction served by the waste haulers, and would generate a new source of local tax revenues for other cities and for Spokane County. COLLABORATE TO DEVELOP A UNITED LEGISLATIVE AGENDA ✓ Utility Tax for unincorporated area ✓ Remove 1% Property Tax Cap ✓ Authorize a levy for police services for the general fund ✓ Increase Road Levy to include a portion for police services ✓ Mitigate impacts of annexations (State tax credit for County and Cities) ✓ Mitigate impact of reductions in liquor profit and tax distributions, if they occur. ✓ Creation of incentives and other support for the Service Agreement Act (might include a clarification from the State about how service agreements mesh with collective bargaining agreements). 9/28/2010 DISCUSSION DRAFT: Collaborative Planning— City Fiscal Strategy Development Sessions 6 FISCAL STRATEGIES: Collaborative Planning for Regional Success Ongoing Collaborative Planning to put the Region in a Better Position: 1. Resolve areas of conflict 2. Pursue common interests 4 � County needs to address negative fiscal impacts from annexations ■ Cities seek to influence land use in urban growth areas as they live up to the Growth Management Act Ensure that local governments are in a position to succeed. Ensure the region as a whole can sustainably receive the foundational, countywide services it needs. Cou ntid a Services Local Municipal Service S. Val" 9,430 Residents Spokane 205,500 Residents Spokane County 135,104 Uninc. Residents ■ A5- SPOKANE COUNTY IS IN THREE DIFFERENT LINES OF BUSINESS 1. COUNTYWIDL Service Obligation or Revenue IS NOT Affected by Change in City Boundary �. LOCAL Service Obligation or Revenue IS Affected by Change in City Boundary 3. CONTRACT Services in Exchange for Payments $110 M $100 M $90 M $80 M $70 M $60 M $50 M $40 M $30 M $20 M $10 M $0 M COUNTYWIDE COSTS REVENUES Jail & Geiger (Regional) Regional Sales Tax Countywide Properly Tax LOG COSTS Sheriff's office 07 CONTRACT )STS REVENUES itract Contract >sts Revenues I Prosecutor & Public Defender PURCHASING POWER OF COUNTYWIDE PROPERTY TAX $50 M 5.0 M $45 M 44.1 M 40.9 M $40 M 37.1 M $35 M 33.7 M 30.6 M $30 M $25 M $20 M $15 M $10 M - $5 M I L L L[ 2009 2014 2019 2024 2029 Process Map for Developing Collaborative Fiscal Strategy 0 'r , Collaborative Planning Team Role Coordinate Parallel Efforts Brainstorm Areas of Opportunity First -Level Prioritization Investigate /Develop Potential Avenues for Implementation Identify local service efficiencies Mitigate fiscal impacts of pending initiatives Mitigate /manage impacts of annexations Secure local revenue options for County Provide firm fiscal footing for provision of countywide services 11 PARTNERSHIP: Everyone has a better chance at success if the County and the cities are working together - all pulling in the same direction. CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 5, 2010 City Manager Sign -off: Item: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation AGENDA ITEM TITLE: Legislative 2011 Agenda GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: BACKGROUND: Continued discussion of legislative issues. OPTIONS: Option of scheduling for a motion consideration at a future council meeting. RECOMMENDED ACTION OR MOTION: BUDGET /FINANCIAL IMPACTS: STAFF CONTACT: Mike Jackson /Mayor Towey ATTACHMENTS 1. Spokane Valley Draft Legislative Agenda 2. AWC Legislative Agenda Process, prepared by Gordon Thomas Honeywell Governmental Affairs j �iIe y DRAFT In an attempt to communicate the City of Spokane Valley's legislative priorities to the Washington State Legislators, the following is the draft 2011 legislative agenda for consideration of Council adoption: Principle Items of Interest: 1.) Street utility enabling legislation: The proposal enables legislation to allow local control and determination by city councils and local electorates to decide if it is a tool they want to use in their community to attend to street maintenance functions. 2.)Maintain Current funding for the 911 system and encourage additional upgrades to the system: Rates applied to telephone and other bills that generate revenue for the 911 systems are set by state legislature and have not been revised for a long time. Many 911 centers are advising their constituents that they are not able to hold a budget below the current revenues and have expressed a need for state relief In addition, consider the inclusion of an anti - harassment provision concerning 911 operators. 3.) Seek $300, 000(or assessed value) for the acquisition of park land adjacent to the Park Road pool and Centennial Middle School. Spokane Valley has a population of 89,440 people but only 172 acres of public parks — drastically below the 6.25 - 10.5 acres /1,000 population (559 – 938 acres) specified in the Parks Master Plan. Spokane Valley has successfully partnered with the State Legislature in the acquisition and development of Greenacres Park, adjacent to Central Valley School District's future elementary school. We want to ask the Capital Budget Committee for support in replicating our success in co- locating public assets in under - served and economically distressed neighborhoods. 4.) Law Enforcement District enabling legislation: Law enforcement needs and resources vary in jurisdictions across the state like those for fire prevention and suppression. More tools are needed to best consolidate, deploy and pay for law enforcement services. Use of fire districts has proven to be a viable system for the provision of essential public services and many jurisdictions may derive benefit from providing law enforcement services under a similar system. 5) Securing state funding for statewide communications interoperability infrastructure: Locally- the citizens have approved a sales tax increase that includes 1 /10 of 1% for communication equipment; however, the revenue is insufficient to fund all five items within that initiative. Interoperability is a statewide concern and according to the Association of Washington Cities, there is a $400 million problem to be resolved. 6) Cell phone registration and confidentiality pertaining to personal information. With the passage of the FCC's "Commercial Mobile Alert System" which allows participating carriers to send emergency text messages to subscribers, and with the ability to gather information to proceed with a Reverse 911 call system, we urge Washington State Legislators to consider placing some restrictions on the release of 911 calls and the personal information connected with such, and to stipulate that "911" personal information, including any audio recordings of "911" calls, shall be inaccessible to the general public. Spokane l alley 2011 DRAFT Legislative Agenda Page 1 of 2 7.) Endorsement of afire sprinkler system in the Spokane Valley Food Bank. Spokane Valley Partners has a new food warehouse which enables all the collected food to be stored under one roof. The stainless steel, four shelf, carts have proven very popular when it comes to disbursing food, re- filling shelves and sorting food in either the freezer of the cooler. They are looking forward to the time when they can afford to sprinkler the building (for fire safety) that will allow them to use the top shelf of the pallet racks, a code requirement that they will need to meet in the fixture. Valley Partners will be seeking a grant of $285,000 from the State of Washington to add the fire suppression system to the Food Bank warehouse, and for remodeling. 8.) Liquor Initiatives: I- 1100 & I -1105: These Initiatives, which would eliminate the state liquor store system, one initiative favors big retails, and the other preserves a business monopoly for liquor distributors that exist in some form in every state in the union. Initiative I -1100 would for the first time allow retailers to purchase hard liquor, beer and wine directly from manufacturers; and 1105 would require retailers to purchase through distributors. If the voters pass both measures, the courts could decide that 1100 would prevail as 1105 modifies the statues, while 1100 wipes them away and replaces with new statutes. Either initiative to privatize liquor sales would have a negative revenue impact on the City of Spokane Valley, and Council wants to be aware of the options should either or both initiatives pass. 9.) Out -of -state trucks to go to the port of entry. As Spokane County Commissioners and Spokane Valley Councilmembers hear some members of the public voice their desire to bar heavy trucks from circumventing the port of entry. Council wants to be appraised of any legislation proposed by ranchers or others, to mandate out -of -state trucks weighing in at a port of entry. 10.) Provide support,for the Association of Washington Cities' legislative agenda items that serve the best interests of the City of Spokane Valley. 2011 Legislative Agenda Adopted by Council: Spokane l alley 2011 DRAFT Legislative Agenda Page 2 of 2 AWC Legislative Agenda Process Summary Prepared by Gordon Thomas Honeywell Governmental Affairs As AWC develops its legislative agenda, many legislative issues impacting cities are discussed. Some of these issues may impact your city more or less than others. Below is a summary of AWC's legislative agenda process, and the issues that have been discussed thus far. If any of the issues are of particular import to your city, it would be good to add those issues to the city's legislative agenda. AWC's Legislative Agenda Process AWC's legislative agenda process began about a month ago. The Association selected city council members from around the state to serve on topic- organized subcommittees. These subcommittees met and discussed particular issues pertinent to that topic area. Each subcommittee has forwarded its top priority items to the AWC Legislative Committee. Based on the subcommittee recommendations, the Legislative Committee will compile the Association's legislative agenda, and select the Association's top 3 priority items. The AWC Board will then approve the final agenda. At this point, each subcommittee has met and discussed a number of issues and has forwarded priority issues to the Legislative Committee. On Monday, September 27 the Legislative Committee will meet to discuss each of the subcommittees' recommendations. Below is a summary of the subcommittee issues (both those that were simply discussed and those that will be forwarded to the legislative committee): Economic Development and Quality Infrastructure Subcommittee Priorities Forwarded to the Legislative Committee: - Street Utility Authority — This legislation would enable cities to create a street utility based on a trip charge system. The street utility would be designed to allow cities to fund the maintenance and preservation of their street system (including sidewalks). The subcommittee indicated that achieving this authority WITH voter approval would be appropriate. This is a change from AWC's position last year, which sought councilmatic authority. - Funding for the Public Works Trust Fund & other infrastructure programs — The Public Works Trust Fund is a revolving loan account for public infrastructure. The Public Works Board has compiled a project list of approximately $3504400 million in projects that would be funded by the revenue coming into the revolving loan account. Last legislative biennium, the funding for the PWTF was swept into the Operating Budget. The subcommittee discussed the importance of the PWTF and indicated that it is a top priority that the funding should remain in the account this upcoming year. o The subcommittee discussed two other infrastructure funding programs: CERB and the Washington Wildlife and Recreation Program (WWRP). The subcommittee indicated that while each program is important, the PWTF is a higher priority than these other infrastructure programs. Real Estate Excise Tax Equalization — This legislation would equalize first and second quarter REET. The subcommittee indicated that this is much needed flexibility. The subcommittee also indicated that seeking REET flexibility for park maintenance and operations is also important, but it is not as high of a priority as equalizing first and second quarter BEET. There was also a discussion indicating that REET needs to be addressed in a standalone bill rather than grouped in a larger bill. The support for this proposal will need to be bi- partisan. Local Revitalization Financing — This is Washington's version of tax increment financing. Under local revitalization financing, cities, towns, counties, and port districts are authorized to create "revitalization areas" (RA). Certain increases in local sales and use tax revenues and local property tax revenues generated from within the RA, additional funds from other local public sources, and a state contribution are used to pay bonds issued for financing local public improvements within the revitalization area. In order for this to work, there needs to be a state contribution. In 2009, the LRF program selected revitalization areas on a first -come first serve basis. In 2010, funding was sought for those that applied in the first round, but were not first in line. This next session, AWC is supporting continuing this program and funding more projects. Photo Enforcement — A number of jurisdictions use photo enforcement or red -light cameras. There is an effort to repeal the use of red -light cameras and /or impose other onerous regulations on the use of red -light cameras. The subcommittee expressed the need to strongly defend against these efforts and to also pursue some proactive measures. Other Issues Discussed (Not top priorities, but AWC will still lobby for /against) - Transportation Efficiency Study — There was a 2010 legislative study that looked at how the Transportation Improvement board, Freight Mobility Strategic Investment Board, County Road Administration Board, and WSDOT- Highways and Local Programs. While it seems that most people now agree that this consolidation would not be beneficial, AWC plans to closely monitor any efforts to move forward with this consolidation. - City Transportation Funding — State Package — There will be a new transportation revenue package within the next couple years. As part of this revenue package, AWC hopes to pursue transportation funding for local governments either through the form of a direct distribution or a grant program. - Parking Fee/Tax — Current law enables a commercial parking tax that only a few cities use due to the inability to create a level tax/fee system for parking in their respective city or town. AWC staff is looking at an alternative: a parking stall tax. - Transportation Benefit District — The Department of Licensing is seeking to increase their administrative collection rate. The subcommittee discussed perhaps tying the rate that cities impose for the TBD to inflation (tying the $20 to inflation). - Pursue Taxable Bond Issuance Flexibility — When investors sign up to purchase Build America Bonds, city councils frequently must approve the sale within minutes. Coordinating city councilmembers' schedules to pursue this action (and potentially save taxpayer money) is problematic. The proposed solution is to allow the city to adopt a bond ordinance or resolution, then delegate an authorized representative the authority to finalize the maturity amounts, interest rates, etc., all within right parameters fixed by the governing board. - Impact Fees — There will be efforts to broaden the eligibility of what can be included as mitigation for impact fees. AWC will oppose these efforts and will seek a more proactive measure to extend the 6 -year limitation on when impact fees can be used. - Dig Law Reform — There is an effort to reform the current Dig Law. During these discussions, AWC has worked to ensure that this refonn does not add additional liability to cities, especially as it relates to ownership, signing, and marketing of sewer laterals. - Street Vacation Revisions — Clarification is requested on who can authorize a street vacation within a city. There is an ambiguity in the law that this legislation would clarify. - Utility Tax Credit Sunset — There is a statute that authorizes an electric utility to get a tax rebate for economic development. This tax rebate is set to sunset. Legislation is needed to extend the sunset. Flexible General Government Operations Subcommittee Priorities Forwarded to the Legislative Committee: - Public Records Reform - AWC is pursuing public records reform as atop priority; however, there are still discussions on the specific proposals that will come forward this legislative session. The subcommittee decided to forward the following broad statement to the Legislative Committee: o Pursue proactive public records proposals that address some of the problems that come with the burgeoning public records requests. AWC staff will work with other local government associations to identify proposals for 2011. Other Issues Discussed (Not top priorities, but AWC will still lobby for /against) - Streamlining City Classifications — Currently, there are code cities, first class cities, second class cities, and towns. Each classification has different powers and state laws to abide by. Legislators have discussed a proposal to give towns and second class cities the same powers as code cities and consolidate existing state law. The subcommittee determined that this is not a high priority to pursue proactively, but if legislation is introduced, AWC should be involved in the proposal. - City Use of Volunteers — The subcommittee is going to get some additional information and continue to discuss potential legislation allowing cities to use volunteers without concern to collective bargaining issues. - Early Retirement — Public agency employees can retire at age 55 w/ 20 years of service — if not then, they must wait until age 65 w/ at least 5 years of service. The subcommittee will continue to discuss legislation allowing employees to retire early with age and years of service in the in- between years — e.g. age 56 & 18 years of service; age 61 & 9 years of service. The subcommittee has a great deal more to discuss on this issue, including the cost of such a change. - Mutual Aid Agreement for Building Safety Officials — Statewide facilitated agreement allowing building officials to provide disaster assistance when requested by another jurisdiction. The subcommittee will review the most recent draft and then discuss whether it will endorse the proposal. Land Use and Environmental Stewardship Subcommittee Priorities Forwarded to the Legislative Committee: - Fund, flex, repeal, amend, or pause certain requirements imposed by state law - The subcommittee is continuing to discuss exactly which requirements would be on this list. Some examples include the following chart developed by AWC: Issue Desciiption Stormwater Funding Advocate for continued state funding to support Phase I and II NPDES cities meet current permit requirements. 2012 Storm Water Advocate to DOE and the Governor the need to delay consideration of new Phase I and II Permit Requirements NPDES requirements. If unsuccessful convincing them, promote a delay in legislation GMA Updates Look at further delay of mandatory GMA plan and regulation updates and change the frequency from every 7 years to something else. SMA Updates Consider more time to complete current round of statewide Shorelines Management Updates and provide more clarifications on what DOE needs and expects. Consider changes to the frequency of updates (every 7 years) and removal of state review and approval of plans and some permits. OEM Population Include information for forecasting based on services and infrastructure availability Estimates GMA Required Updates — Look at statutory update schedules for other land use and environmental planning other than GMA & mandates — such as water system and sewer plans. Are the timelines reasonable and are SMA there ways to streamline reviews or include self - certification? Energy Code Look at further delay of imposition of new Energy Code SEPA Project -level SEPA is duplicative of specific codes (traffic, drainage) tailored to address environmental issues. Could we pilot ways to eliminate in certain cases? SEPA Thresholds 1) Convert some discretionary SEPA exemptions to categorically exempt 2) Raise the level of SEPA exemptions across the board 3) Bold idea — make most actions within UGAs categorically exempt with discretion given to cities SEPA Notices There is a cost to notice every DNS, MDNS, application — is it overkill? Shoreline Notices Duplicative 30 -day notices — more info needed... Issue Description State Rule- Making Require agencies wanting cities to amend land use regulations to meet some agency related to Land Use objective to go through the same "balancing test" required of GMA- planning cities —must Mandates address the 13 goals ( http:// apps.leg.wa.gov /rcw /default.aspx ?cite= 36.70A.029) and not allow a state directive on one issue to "trump" others cities must consider Buildable Lands Cities in King, Snohomish, Pierce, Kitsap, Thurston and Clark Counties are required to collect and analyze land use trends as part of their GMA responsibilities. Funds used to be provided by the state, but are no longer. Gambling/Zoning Allow cities an option other than to ban or allow house -banked card rooms Retain Current Authorities — The subcommittee made the general principle of retaining current authorities a priority. The budget situation may result in the Legislature attempting to take away current city authority. The subcommittee felt that protecting city authority was an important priority. Some examples of retaining current authority include: • Maintain the ability of cities to collect impact fees. • Maintain the state fiscal assistance for cities in King, Pierce, and Snohomish counties that annex 10,000 or more people. • Maintain authority to zone around airports. Water Rights Processing — Department of Ecology is drafting one or more legislative proposals that would help fund the Water Resources Division and facilitate issuance of water rights permits. The subcommittee identified the issue of water and water rights as a top priority. Other Issues Discussed (Not top priorities, but AWC will still lobby for /against) - Land Use Regulatory Reform — The Governor's Office of Regulatory Assistance is seeking ideas /input on ways to make duplicative or outdated regulations disappear. - Create incentives for cities to use hearing examiners — Elected officials are policymakers, not judges, and need to remain in that role. The hearing examiner role puts elected officials in an untenable position (either anger the voters by approving an unpopular and controversial project or placate the mob by denying it at the risk of huge financial judgment against the city). Offering incentives to cities to use hearing examiners alleviates this problem. - Transfer Development Rights — The Cascade Land Conservancy is working with a number of jurisdictions and interests to determine ways to help cities get new infrastructure funding in exchange for accepting density transfers from rural areas. - Create opportunities for affordable housing. - Climate change — AWC will continue to monitor this issue, various state and federal agencies have programs, proposals, or rules addressing climate change and cities. City Fiscal Health and Flexibility Subcommittee Priorities Forwarded to the Legislative Committee: - State Budget —Continued Appropriation of Committed State Funds — AWC will closely monitor to ensure that important state - shared revenues and state funds continue to be allocated to local governments. This includes: maintaining full mitigation for streamlined sales tax, continuation of the city - county assistance account; continuation of important state - shared revenues. Pension/Binding Interest Arbitration — Consider pursuing a deferral of any increase in employer contributions from July 2011 to January 2010; Change criteria for binding interest arbitration — consider factors such as ability to pay, economic conditions, and other regional characteristics. City Fiscal Flexibility — Pursue proposals that support fiscal flexibility, cost - effective options, and local discretion in allocating resources in order for cities to best provide essential services. Other Issues Discussed (Not top priorities, but AWC will still lobby for /against) - Pursue a stable funding source for MRSC (contingent on passage of I -1100 and I- 1100. Business licensing — AWC will continue to pursue ways to streamline business license operations among governments. AWC will strongly defend against efforts to centralize municipal B &O tax collection and administration. Health Care Subcommittee Priorities Forwarded to the Legislative Committee: - Preserve cities' authority to purchase health care insurance — Oppose any requirement to mandate participation in statewide health insurance pools. Advocate for maintaining current authority for selecting health insurance program. Oppose efforts to eliminate or unnecessarily regulate association health plans. - Mitigating medical costs for offenders — Pursue legislation clarifying responsibility for medical costs related to felon arrestees. Pursue legislation that would clarify how uninsured offender medical costs should be accounted for, look at using a Medicaid based rate of reimbursement. Other Issues Discussed (Not top priorities, but AWC will still lobby for /against): - Monitor the progression of the Federal Health Care Act — Ensure that the state's efforts to implement the federal health care act do not have a negative impact on cities and towns. - Public Health Agency Funding — Support continued state funding for public health agencies and public health programs. - LEOFF Medical Costs — Oppose any further expansion of LEOFF retiree medical benefits without an alternative funding source. Cities and towns are not in a position to take on any additional costs. Look for opportunities to fund ongoing LEOFF retiree health care costs. Safe & Healthv Communities Subcommittee Priorities Forwarded to the Legislative Committee: - Additional Tools for Jurisdictions Combating Gang Activity — Support local tools and innovation for gang prevention and intervention; seek sustainable, ongoing funding for gang prevention and intervention, graffiti removal programs, and law enforcement suppression activities. Support the creation of new offenses for criminal gang intimidation and school criminal gang intimidation and sentence enhancements for gang - related offenses. Support new tools for nuisance abatement and protection orders related to criminal street gang activity. - Liquor Enforcement Activities — Depending on the outcome of current initiatives, support continued state funding of the Liquor Control Board's enforcement operations to maintain current enforcement levels and minimize the public safety impacts of increased sales and availability. - Limited Liability for Local Government — Continue to pursue reforms that limit j oint liability for public entities, especially in the context of proposed expanded wrongful death claimants and damages; continue to work to amend the law so that juries may know if a person involved in an injury accident was wearing his or her seatbelt. Other Issues Discussed (Not top priorities, but AWC will still lobby for /against): - Support additional funding for public defense and oppose efforts to impose additional unfunded mandates that increase costs to local governments. - Defend against efforts requires all judges (including part-time ) udges) to be elected. - Monitor legislation that would shift additional cases to cities and municipal courts, seeking funding to assist with any increase in caseload and the public safety implications of charging decisions; require counties to charge misdemeanants in Superior Court within threshold limits for which they are responsible. - Monitor legislation that would modify provisions related to the charge of Driving with Licenses Suspended in the 3r Degree. - Support the mandatory impoundment of a vehicle during a DUI arrest. Retain authority to implement rental housing safety programs and inspections. Continue to support dedicated funds for auto theft enforcement. Emergency Management Funding /Communications Interoperability: Support opportunities to improve emergency response capabilities; seek state and federal funding to meet interoperability standards and narrow banding requirements. - Public Safety — This concept needs to be further explored, but at a basic level is creates an independent taxing authority dedicated to police services in a given area. Vehicle Prowl Penalties — All those convicted of 2 previous vehicle prowls to be charged with Vehicle Prowl 1s degree, class C felony. Support legislation that increases infraction penalties for drivers who act negligently and seriously injure or kill a bicyclist, pedestrian, or other vulnerable roadway user. CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 5, 2010 City Manager Sign -off: Item: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation AGENDA ITEM TITLE: CenterPlace Leases Update GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: Council previously approved a lease with Community Colleges of Spokane. BACKGROUND: For the past several months, Parks and Recreation staff has been working with both Community Colleges of Spokane (CCS) and the Central Valley School District (CVSD) to develop agreements for leasing space for the upcoming school year at CenterPlace. The leased space will be to facilitate staff training and public educational programs. CCS's existing lease has expired and they are very interested in maintaining a presence in the Spokane Valley at CenterPlace. CVSD will be a new client. We are interested in providing space and continuing a working relationship with both entities. Both entities are interested in a lease running from August 2010 through June 2011 to begin with. The schools will be leasing space primarily during the day leaving evenings and weekends available for rent by the public. Additionally, CenterPlace will have the ability to rent these spaces to other groups when they are not in use by CCS or CVSD. Central Valley School District is also offering use of school space such as play fields, gyms, etc. as a part of their compensation package. Discussions and negotiations have focused on the rooms needed and the rental rate per square foot. The rental rate initially charged CCS when CenterPlace opened was $16 per square foot. The recent downturn in the economy has had a negative impact on square foot rental rates. Staff has researched current rental rates for similar spaces within the City of Spokane Valley with several local realtors attempting to compare apples to apples. That has been difficult given the unique space available at CenterPlace. Depending upon the facility class and what amenities are included the rental range currently being charged is between $10 and $13 per sq. ft. However it was stressed heavily that all rates are negotiable. The rental rate proposed by CCS is $8 per square foot. The rental rate proposed by CVSD is $9.50 per square foot. This does not include the value for being able to rent that space when not in use as well as the use of CVSD space for programs. OPTIONS: 1) advance to October 12 for consideration or 2) provide additional direction to staff. RECOMMENDED ACTION OR MOTION: Consensus to bring back leases on October 12 agenda for City Council consideration. BUDGET /FINANCIAL IMPACTS: Both leases will be revenue generating for CenterPlace and the City of Spokane Valley. STAFF CONTACT: Mike Stone, Parks and Recreation Director ATTACHMENTS: Draft Leases and Worksheet Real Estate Comments on comparable rental rates for Spokane Professionals Valley Contacted #1 Using the Argonne corridor as a comparable the following information can apply: Class A Office Space: Running prices on Office Space vary depending on quality of space and amenities offered from $17 -16 for Class A Space. The NNN has been dropped from before the economic collapse and our market is now "Full Service" at the same prices for what was $17 -16 plus NNN. The NNN or CAM charges for this type of space ran about $3.00 to $3.50 so $17 + $3.50 = $20.50 then and about $16 -$17 now. Class B Office Space: Follows the same logic as above with the NNN more like $2.50 per Square foot. Today's pricing is $12 -$14 Full Service. And it "Was" $13 -$14 plus NNN. So, it you were at $16.00 Full Service, today's rates would come in about $13.00 #2 There are numerous factors to consider such as location, amenities, services provided, etc. Economy has reduced the rental rates of several years ago. Comparable space now renting for $10 - $12 per sq. ft. but all is negotiable. #3 If originally $16 sq. ft. the economy has reduced this by at least 25 %. The rate may be more like $10 - $12 /sq. ft. Depending upon location and quality of facility that can increase the rate. Allowing the space to be leased out by owner when not in use by the leasee adds value to the rental rate as well. #4 Provided survey results of various rental rates developed by NAI Black. The extensive survey looks at retail and office space within Spokane Valley and what the current sq. ft. rental rates are. The average rental rate for office space in the survey was $14 per sq. ft. The average rental rate for retails ace was $12.48 per sq. ft. Return To: City of Spokane Valley 11707 East Sprague Avenue, Suite 106 Spokane Valley, Washington 99206 LEASE AGREEMENT BETWEEN CITY OF SPOKANE VALLEY AND CENTRAL VALLEY SCHOOL DISTRICT REGARDING A PORTION OF CENTERPLACE REGIONAL EVENT CENTER LOCATED AT 2426 NORTH DISCOVERY PLACE, SPOKANE VALLEY This Lease Agreement is entered into by the City of Spokane Valley (referred to as "City" or "Owner "), and Central Valley School District (referred to as "CVSD" or "Tenant "), and jointly referred to hereinafter as the "Parties'; and WHEREAS, the City is the owner of certain premises located at 2426 North Discovery Place, Spokane Valley, Washington, 99216, commonly referred to as CenterPlace Regional Event Center (referred to as "CenterPlace" or "Premises "); and WHEREAS, CVSD wishes to lease classroom space at CenterPlace in pursuit of its educational mission; and WHEREAS, the City has space available at CenterPlace to lease to CVSD; and CVSD. WHEREAS, the Parties desire to enter into a lease agreement for the use of the Premises by NOW, THEREFORE, in consideration of the mutual promises set forth herein, the Parties do hereby agree as follows: 1. PURPOSE. The purpose of this Lease Agreement is to set forth the Parties' understanding regarding the terms and conditions under which CVSD may occupy a portion of the Premises. 2. PREMISES. The terminology "Premises" shall mean that parcel of property located and any improvements thereon at 2426 North Discovery Place, Spokane Valley, Washington, 99216. The legal description of the Premises is as follows: Parcel number 45105.9096 Common Street Address: 2426 North Discovery Place, Spokane Valley, WA 99216. Approximately 2,158 rentable square feet of classroom space, (rooms 205 and 211) in a building blown as CenterPlace, together with on -site code parking, whose address is 2426 North Discover Place, Spokane Valley, WA 99216, located in real property legally described as follows: see Exhibit "A" attached hereto. Page 1 of 13 Site Plan shown on Exhibit `B ". 3. USE. The Premises shall be used by CVSD for the following purpose(s): classrooms, educational programming and community education consistent with its mission of providing education for citizens in its geographic boundary. Further, Tenant understands that the CenterPlace is designed for use as a "regional center" encompassing certain activities. In addition to the activities described above, Tenant will endeavor to make these Premises available to the City of Spokane Valley, other users of the CenterPlace and the third parties who may wish to use the CenterPlace for the following regional uses: Conference Activities: Breakout and overflow activities and other components of CenterPlace; activities by smaller groups sponsored by Tenant and other community organizations. Cultural Activities: Performance of multi - ethnic and community groups; multi - cultural activities and events that lead to greater involvement in an appreciation of the diversity of the region and the people who live or have lived here; Community Activities: Teen and youth activities, including such activities as recognition events for figures of regional and national significance, book -a thons and other academic or cultural competitions or events (all collectively "Regional Uses "). Tenant agrees to use its best efforts to make these Premises available for Regional Uses approximately 20% of the time. Tenant agrees, upon reasonable notice from City, to make available to City the schedules showing use of the Premises. Under no circumstances shall Tenant's failure to achieve this goal be identified as an event of default or any other form of breach of this Lease. Tenant shall retain any and all rental income paid Tenant for use of the Premises by third parties for the uses above described in this paragraph. The Premises shall be used for no other purpose. Tenant acknowledges that neither City nor any agent of City has made any representation or warranty with respect to the Premises or with respect to the suitability of the Premises or the CenterPlace for the conduct of Tenant's business, nor has City agreed to undertake any modification, alteration or improvement to the Premises or CenterPlace, except as provided in writing in this Lease. Tenant acknowledges that City may from time to time, at its sole discretion, make such modifications, alterations, deletions or improvements to the Premises or CenterPlace at City's sole cost and expense as City may deem necessary or desirable, without compensation or notice to Tenant, provided, however, City will give Tenant at least 72 hours advance notice for any such modifications, alterations, deletions or improvements in the Premises. Tenant shall promptly comply with all laws, ordinances, orders and regulations affecting the Premises, including, without limitation, any rules and regulations that may be attached to this Lease and any reasonable rules and regulations as City may adopt from time to time. Tenant's compliance with the requirements of this paragraph shall not negate any obligations of City stated in paragraph 7. Tenant shall not do or permit anything to be done in or about the Premises or bring or keep anything in the Premises that will in any way increase the premiums paid by City on its insurance related to the Page 2 of 13 CenterPlace, or which will in any way increase the premiums for fire or casualty insurance carried by other Tenants in CenterPlace. Tenant will not perform any act or carry on any practices that may injure the Premises or CenterPlace; that may be a nuisance or menace to other Tenants in CenterPlace; or that shall in any way interfere with the quiet enjoyment of such other Tenants. Tenant shall not use the Premises, or any part thereof, for illegal purposes, nor under any circumstances permit gambling or illegal uses upon the Premises; nor permit any act to be done which will make the Premises subject to abatement by any governmental authority. Tenant shall not use the Premises for sleeping or cooking or the preparation, manufacture, or mixing of anything that might emit any objectionable odor, noise, vibration or lights onto other Tenants. If sound insulation is required to muffle noise produced by Tenant on the Premises, Tenant at its own cost shall provide all necessary insulation. Tenant shall not do anything on the Premises which will overload any existing parking or services to the Premises. Pets and/or animals of any type shall not be kept on the Premises with the exception of qualified guide dogs and service animals. Any wet lab installed by Tenant or for Tenants benefit in the Premises must be in compliance with occupancy requirements of the International Building Code adopted by City. Any plans for installation of a wet lab or modifications of the same must be first approved in writing by City prior to commencement of construction, which approval will not be unreasonably withheld. City shall also be provided by Tenant, as part of said approval process, a copy of Tenants hazardous materials management plan. City, in connection with any approval and from time to time, on reasonable notice, may inspect the lab to ensure compliance with the plan. 4. TERM. The tern of this Lease of the premises, with their appurtenances, shall begin on August 1, 2010 and end June 30, 2011. 5. RENTAL RATE. The Tenant shall pay rent to the City for the premises at the following rate: $1,667.00 per month for both rooms. Additionally CVSD agrees to allow the City of Spokane Valley to use district property, to be detennined, for the purpose of programs and events that may require fields and/or gymnasiums. Calculated as follows: approximately 2,100 square feet at @ $9.50 per square foot. Payment shall be made at the end of each month. All rent shall be paid by Tenant to City monthly on the last day of every calendar month, at the address shown in Section 26, or such other place as City may designate in writing from time to time. All rent shall be paid without prior demand or notice, and without any deduction or offset whatsoever. All rent shall be paid in lawful currency of the United States of America. Proration of rent due for any partial month shall be calculated by dividing the number of days in the month for which rent is due by the actual number of days in that month and multiplying by the applicable monthly rate. Additionally, all such delinquent rent or other sums shall bear interest at the rate of 12% per annum. If the interest rate specified in this Lease is higher than the rate permitted by law, the interest rate is hereby decreased to the maximum legal interest rate permitted by law. Any payments of any kind returned for insufficient funds will be subject to additional handling charge of $25.00. 6. EXPENSES. During the term of this Lease, City shall pay all real estate taxes, all property assessments, insurance, storm water, water, sewer, garbage collection, and maintenance and repair as described below, together with natural gas, electricity, elevator service, landscape and irrigation Page 3 of 13 water, and janitor service. Janitor service includes exterior and interior window washing, restroom supplies and light bulb replacement, as set forth in Exhibit "C" which is attached hereto and incorporated by reference. 7. MAINTENANCE AND REPAIR. The City shall maintain the Premises in good repair and tenantable condition during the continuance of this Lease, except in case of damage arising from the negligence of the Tenant's clients, agents or employees. For the purposes of maintaining and repairing the Premises, the City reserves the right at reasonable times to enter and inspect the Premises and to make any necessary repairs to the Premises and CenterPlace. City's maintenance and repair obligations shall include, but not be limited to, the mechanical, electrical, interior lighting (including replacement of ballasts, starters and fluorescent tubes as required), plumbing, heating, ventilating and air - conditional systems (including replacement of filters as recommended in equipment service manual); floor coverings; window coverings; elevators, inside and outside walls (including windows and entrance and exit doors); all structural portions of CenterPlace (including the roof and the watertight integrity of same); porches, stairways; sidewalks; exterior lighting; parking lot (including snow removal, cleaning and restriping as required); wheel bumpers; drainage; landscaping and continuous satisfaction of all governmental requirements generally applicable to similar office buildings in the area (example: fire, building, energy codes, indoor air quality and requirements to provide architecturally barrier -free premises for persons with disabilities, etc.) 8. ASSIGNMENT /SUBLEASE. Tenant may not assign this Lease or sublet the Premises without the prior written consent of the City. Tenant shall not permit the use of the Premises by anyone other than the Tenant, such assignee or subtenant, and the employees, agents and servants of the Tenant, assignee, or subtenant. 9. RENEWAL /CANCELLATION. The Lease may, at the option of the Tenant, be renegotiated for an additional five years ( "Extended Term "). If Tenant elects to renew, said renewal shall be exercised by Tenant providing City written notice of its renewal no later than six months prior to the end of the Term. If Tenant elects to renew, the monthly base rent provided herein shall be negotiated between the parties; provided, however, the rent shall not, during the renewal period, be less than the rent for the last month of the original teen. If the parties cannot agree upon rent before the end of the original term, this lease shall tenninate unless the parties agree otherwise in writing. 10. PAYMENT. Any and all payments provided for herein when made to the City by the Tenant shall release the Tenant from any obligation therefore to any other party or assignee. 11. INSURANCE. Tenant shall procure and maintain for the duration of the Lease Agreement, insurance against claims for injuries to persons or damage to Premises which may arise from or in connection with Tenant's operation and use of the Premises. Tenant's maintenance of insurance as required by the Lease Agreement shall not be construed to limit the liability of the Tenant to the coverage provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in equity. below a) Minimum Scope of Insurance - Tenant shall obtain insurance of the types described 1) Commercial General Liability insurance or endorsement providing equivalent coverage and shall cover premises and contractual liability. The City shall be named as an insured on Tenant's Commercial General Liability insurance policy using ISO Additional Insured- Managers or Cities of Premises Form CG 2011 or a substitute endorsement providing equivalent coverage. Page 4 of 13 2) Property insurance shall be written on an all risk basis. 3) Tenant shall maintain the following insurance limits: i. Commercial General Liability insurance shall be written with limits no less than $1,000,000 each occurrence, $2,000,000 general aggregate. ii. Property insurance shall be written covering the full value of Tenant's personal property and improvements with no coinsurance provisions. b) Other Insurance Provisions - The insurance policies are to contain, or be endorsed to contain, the following provisions for Commercial General Liability insurance: 1) The Tenant's insurance coverage shall be primary insurance with respect to the City. Any insurance, self - insurance pool coverage maintained by the City shall be excess of the Tenant's insurance and shall not contribute with it. 2) The Tenant's insurance shall be endorsed to state that coverage shall not be cancelled by either parry, except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the City. C) Acceptability of Insurers - Insurance is to be placed with insurers with a current A.M. Best rating of not less than A:VII or with a risk pool. d) Verification of Coverage - Tenant shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Tenant. e) Waiver of Subrogation - Tenant and City hereby release and discharge each other from all claims, losses and liabilities arising from or caused by any hazard covered by property insurance on or in connection with the premises or said building. This release shall apply only to the extent that such claim, loss or liability is covered by insurance. f) City's Property Insurance - City shall purchase and maintain during the term of the lease all -risk property insurance covering the Building for their full replacement value without any coinsurance provisions. 12. INDEMNIFICATION AND HOLD HARMLESS. a) City shall indemnify and hold harmless Tenant and its officers, agents, and employees from all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature, by any reason of or arising out of any negligent act or omission of the City, its officers agents, and employees relating to or arising out of its obligations under the terms of this Lease Agreement. In the event that any suit based upon such claim, action, loss, or damages is brought against Tenant, City shall defend the same at its sole cost and expense; provided that Tenant reserves the right to participate in said suit if any principle of governmental or public law is involved. and if final judgment in said suit be rendered against Tenant, and its offices, agents, and employees or jointly against Tenant and City and /or their respective officers, agents and employees, City shall satisfy the same. Page 5 of 13 b) Tenant shall indemnify and hold harmless City and its officers, agents, and employees from all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature, by any reason of or arising out of any negligent act or omission of the Tenant, its officers agents, and employees relating to or arising out of its obligations under the terms of this Lease Agreement. In the event that any suit based upon such claim, action, loss, or damages is brought against City, Tenant shall defend the same at its sole cost and expense; provided that City reserves the right to participate in said suit if any principle of governmental or public law is involved; and if final judgment in said suit be rendered against CITY, and its offices, agents, and employees or jointly against Tenant and City and /or their respective officers, agents and employees, Tenant shall satisfy the same. c) The foregoing indemnity is specifically intended to constitute a waiver of each Party's immunity under Washington's Industrial Insurance Act, RCW 51, respecting the other Party only, and only to the extent necessary to provide the indemnified Party with a full and complete indemnity of claims made by the indemnitor's employees. The Parties acknowledge that these provisions were specifically negotiated and agreed upon by them. 13. COMPLIANCE WITH STATE /FEDERAL LAWS. City is responsible for complying with all applicable provisions of state and federal law with respect to the Property. 14. FIXTURES; ALTERATIONS. Tenant shall have the right during the existence of this Lease, subject to the written permission of the City (such pennission shall not be unreasonably withheld), to make alterations, attach fixtures, and erect additions, or structures, in or upon the Premises. Such alterations, fixtures, additions, and structures shall be authorized in writing by the City Parks and Recreation Director. Performance of any of the rights authorized above shall be conducted in compliance with all applicable governmental regulations (including public bidding requirements), building codes, including obtaining any necessary permits; and will not interfere with use of other portions of CenterPlace or the Property. Any fixtures, additions, or structures so placed in or upon or attached to the Premises shall be and remain the property of the Tenant and may be removed therefrom by the Tenant upon the termination of this Lease unless noted otherwise in City's permission. Any damage caused by the removal of any of the above items shall be repaired by the Tenant. 15. DISASTER. In the event the leased Premises are destroyed or damaged by fire, earthquake or other casualty so as to render the premises unfit for occupancy, and the City neglects and /or refuses to restore said Premises to their former condition, then the Tenant may terminate this Lease and shall be reimbursed for any unearned rent that has been paid. In the event said Premises are partially destroyed or damaged by any of the aforesaid means, the rent herein agreed to be paid shall be abated from the time of occurrence of such destruction or damage until the Premises are again restored to their former condition, and any rent paid by the Tenant during the period of abatement shall be credited upon the next installment(s) of rent to be paid. It is understood that the terms "abated" and "abatement" mean a pro rata reduction of area unsuitable for occupancy due to casualty loss in relation to the total rented area. 16. NO GUARANTEES. It is understood that no guarantees, express or implied, representations, promises or statements have been made by the Tenant or City unless endorsed herein in writing. Any amendment or modification of this Lease must be in writing and signed by both parties. 17. REIMBURSEMENT FOR DAMAGE TO PREMISES; RELEASE. Tenant hereby agrees to reimburse the City for damages caused by the negligence of its employees, clients and agents, but in no event shall this paragraph be construed as diminishing the City's duty to make repairs as set forth in preceding paragraphs of this Lease, or as making Tenant responsible for the repair of normal wear and tear. As material consideration to City, Tenant agrees that neither City nor its agents, contractors or employees shall be liable to Tenant for any damage to Tenant or Tenant's property from any cause, and Page 6 of 13 Tenant waives all claims against City and its agents, contractors and employees for damage to persons or property arising for any reason, except for damage resulting from City's negligence or breach of its express obligations under this Lease which City has not cured within a reasonable time after receipt of written notice of such breach from Tenant. 18. HAZARDOUS SUBSTANCES. City warrants to its knowledge that no hazardous substance, toxic waste, or other toxic substance has been produced, disposed of, or is or has been kept on the Premises hereby leased which if found on the property would subject the City or Tenant to any damages, penalty, or liability under an applicable local, state or federal law or regulation. Regarding any portion of the Premises used for the wet lab or similar activities, Tenant warrants that it will not use, store, dispose of or otherwise deal with any hazardous substance in an improper manner or in violation of applicable law on, under or about the Premises. With respect to the balance of the Premises, Tenant warrants it will not use, store, dispose of or otherwise deal with any hazardous substance on, under or about the Premises. Tenant agrees to reimburse City for any loss, liability, cost, expense or fine incurred by City because of the presence of any hazardous substance on, in, under or about the Premises resulting from Tenant's use, storage, disposal or sale of such hazardous substances, whether or not expressly permitted hereunder. In the event that a violation of any such laws by the Tenant or the detection of any such violation occurs on the Premises during the term of this Lease, Tenant shall, at its own expense, promptly commence clean-up and other remedial actions and shall diligently conduct such actions until such violation is ended and the effects of such violation have been fully remedied as required by applicable laws. Tenant shall remain fully liable, and shall reimburse City for any costs or expenses for clean-up, waste disposal, litigation, governmental or administrative action, fines, penalties, including, without limitation, those costs, expenses, penalties and fines within the meaning of the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. §9601, et seq. ( "CERCLA "), and the Model Toxics Control Act of the State of Washington codified as RCW Chapter 70.105D, caused by Tenant's use and /or occupancy of the Premises during the term of this Lease. a) Emissions. Tenant shall not: 1) Permit any vehicle owned by Tenant on the Premises to emit exhaust which is in violation of any governmental law, rule, regulation or requirement; 2) Discharge, emit or pen to be discharged or emitted, any liquid, solid or gaseous matter, or any combination thereof, into the atmosphere, the ground or any body of water which matter, as reasonably detennined by City or any governmental entity, does, or may, pollute or contaminate the same, or is, or may become, radioactive or does, or may, adversely affect the (a) health or safety of persons, wherever located, whether on the Premises or anywhere else, (b) condition, use or enjoyment of the Premises or any other real or personal property, whether on the Premises or anywhere else, or (c) Premises or any of the improvements thereto or thereon including buildings, foundations, pipes, utility lines, landscaping or parking areas; 3) Produce, or permit to be produced, any intense glare, light or heat except within an enclosed or screened area and then only in such manner that the glare, light or heat shall not be discernible from outside the Premises; 4) Create, or pen to be created, any sound pressure level which will interfere with the quiet enjoyment of any real property outside the Premises, or which will create a nuisance or violate any governmental law, rule, regulation or requirement; Page 7 of 13 5) Create, or permit to be created, any ground vibration that is discernible outside the Premises; and/or 6) Transmit, receive or permit to be transmitted or received, any electromagnetic, microwave or other radiation which is hannful or hazardous to any person or property in, or about the Premises, or anywhere else. b) Disposal of Waste. 1) Refuse Disposal. Tenant shall not keep any trash, garbage, waste or other refuse on the Premises except in sanitary containers and shall regularly and frequently remove same from the Premises. Tenant shall keep containers or other equipment used for storage or disposal of such materials in a clean and sanitary condition. 2) Sewage Disposal. Tenant shall properly dispose of all sanitary sewage and shall not use the sewage disposal system for the disposal of anything except sanitary sewage. 3) Disposal of Other Waste. Tenant shall properly dispose of all other waste or matter delivered to, stored upon, located upon or within, used on, or removed from, the Premises in such a manner that it does not, and will not, adversely affect the (a) health or safety of persons, wherever located, whether on the Premises or elsewhere; (b) condition, use or enjoyment of the Premises or any other real or personal property, wherever located, whether on the Premises or anywhere else, or (c) Premises or any of the improvements thereto or thereon including buildings, foundations, pipes, utility lines, landscaping or parking areas. c) Information. In the event of any accident, spill or other incident involving hazardous or toxic matter, Tenant shall immediately report the same to City and supply City with all information and reports with respect to the same. d) Compliance with Law. Notwithstanding any other provision in this Lease to the contrary, Tenant shall comply with all laws, statutes, ordinances, regulations, rules and other governmental requirements in complying with its obligations under this Lease. e) Reimbursement. In addition to any other remedy City may have under this Lease or at law or in equity, if Tenant breaches the provisions of Section 18, Tenant shall reimburse City for any costs, fees, penalties, loss, claim, liability or expense, (including, without limitation, diminution in the value of the Premises, Center or the Property for damages for the loss or restriction on use of rentable or usable space or of any amenity of the Premises or any part of the Property, and sums paid in settlement of claims, attorneys' fees, consultant fees and expert fees) arising during or after the Lease teen as a result of such breach. This obligation of Tenant to City includes, without limitation, any and all costs incurred in connection with any investigation of site conditions and any cleanup, remedial, removal or restoration work required by any federal, state or local governmental agency or political subdivision. Tenant's obligations under this Section 18 shall continue notwithstanding termination of this Lease for any reason whatsoever. 19. CONDEMNATION. If all the Premises or such portions of Center or the Property as may be required for the reasonable use of the Premises, are taken by eminent domain, this Lease shall automatically tenninate as of the date Tenant is required to vacate the premises and all rentals shall be paid to that date. In case of a taking of a part of the Premises, or a portion of Center not required for the reasonable use of the Premises, at Tenant's determination, then the Lease shall continue in full force Page 8 of 13 and effect and the rental shall be equitably reduced based on the proportion by which the floor area of the Premises is reduced, such rent reduction to be effective as of the date possession of such portion is delivered to the condemning authority. City reserves all rights to damages and awards in connection therewith, except Tenant shall have the right to claim from the condemning authority the value of its leasehold interest and any relocation benefits, if allowed to Tenant by law. 20. SURRENDER OF PREMISES; HOLDING OVER. Upon expiration of the term, Tenant shall surrender to City the Premises and all Tenant improvements and alterations in good condition, except for ordinary wear and tear and alterations Tenant has the right or is obligated to remove under the provisions of Section 14 herein. Tenant shall remove any personal property including, without limitation, all decorative improvements or fixtures and shall perform all restoration made necessary by the removal of any alteration or Tenant's personal property before the expiration of the term, including for example, restoring all wall surfaces to their condition prior to the commencement of this Lease. City can elect to retain or dispose of in any manner Tenant's personal property not removed from the Premises by Tenant prior to the expiration of the tern. Tenant waives all claims against City for any damage to Tenant resulting from City's retention or disposition of Tenant's personal property. Tenant shall be liable to City for City's cost for storage, removal or disposal of Tenant's personal property. If Tenant remains in possession of the Premises after the expiration or termination of the Lease tern, or any extension thereof, such possession by Tenant shall be deemed to be a month -to -month tenancy, terminable as provided by law. During such month -to -month tenancy, Tenant shall pay all rent provided in this Lease or such other rent as the parties mutually agree in writing and all provisions of this Lease shall apply to the month -to -month tenancy, except those pertaining to term and option to extend. 21. VENUE STIPULATION. This Lease Agreement has been and shall be construed as having been made and delivered within the State of Washington and it is mutually understood and agreed by each Party that this Lease Agreement shall be governed by the laws of the State of Washington both as to interpretation and performance. Any action at law, suit in equity or judicial proceeding for the enforcement of this Lease Agreement, or any provision hereto, shall be instituted only in courts of competent jurisdiction within Spokane County, Washington. 22. SEVERABILITY. The Parties agree that if any parts, terns or provisions of this Lease Agreement are held by the courts to be illegal, the validity of the remaining portions or provisions shall not be affected and the rights and obligations of the Parties shall not be affected in regard to the remainder of the Lease Agreement. If it should appear that any part, tern or provision of this Lease Agreement is in conflict with any statutory provision of the State of Washington, then the part, tern or provision thereof that may be in conflict shall be deemed inoperative and null and void insofar as it may be in conflict therewith and this Lease Agreement shall be deemed to modify to conform to such statutory provision. 23. RECORDS. All public records prepared, owned, used or retained by the City in conjunction with this Lease Agreement shall be deemed City property and shall be made available to the Tenant upon request, subject to the attorney client and attorney work product privileges set forth in statute, court rule or case law. 24. TIME OF ESSENCE FOR LEASE AGREEMENT. Time is of the essence for this Lease Agreement, and in case either Party fails to perform the obligations on its part to be performed at the time fixed for the performance of the respective obligation by the terns of this Lease Agreement, the other Party may, at its election, hold the other Party liable for all costs and damages caused by such delay. 25. NO WAIVER. No officer, employee, or agent of the City or Tenant has the power, right, or authority to waive any of the conditions or provisions of this Lease Agreement. No waiver of Page 9 of 13 any breach of this Lease Agreement shall be held to be a waiver of any other or subsequent breach. All remedies afforded in this Lease Agreement at law shall be taken and construed as cumulative, that is, in addition to every other remedy provided herein or by law. The failure of either Party to enforce, at any time, any of the provisions of this Lease Agreement or to require, at any time, performance by the other Parry of any provisions shall not, in any way, affect the validity of this Lease Agreement or any part hereof, or the right of either Parry to hereafter enforce each and every such provision. 26. NOTICES. Wherever in this Lease written notices are to be given or made, they will be sent by certified mail to the address listed below unless a different address shall be designated in writing and delivered to the other party. CITY: City of Spokane Valley 11707 East Sprague Avenue, 4106 Spokane Valley, Washington 99206 TENANT: Central Valley School District 4356 19307 E. Cataldo Avenue Spokane Valley, Washington 99016 27. MISCELLANEOUS. a) Personal Property Taxes. Tenant shall pay before delinquency all taxes, assessments, license fees and public charges levied, assessed or imposed upon its business operations as well as upon all trade fixtures, leasehold improvements, merchandise and other personal property in or about the Premises if any. b) Parking. Tenant parking shall comply with rules and regulations set forth by City, as may be modified from time to time, including the right to designate certain areas for parking of the Tenant and its employees, agents, students and others. City reserves the right to review and restrict parking to assure parking for all users. Overnight parking is prohibited and any vehicle violating this or any other vehicle regulation adopted by City is subject to removal at the owner's expense; provided, however, Tenant may overnight park Tenant owned vehicles, operated by Tenants personnel, and used only in conjunction with activities at Premises. This authorization is limited to a maximum of twelve (12) vehicles per night and said vehicles shall park in spaces designated by City. Tenant shall regularly provide City a list of the vehicles (with sufficient information about each one to be able to identify it by exterior observation) to be overnight parked. Tenant further agrees City and its agents, contractors and employees shall not be liable to Tenant for damage to persons or property arising out of Tenants overnight parking or Tenants vehicles above described being in CenterPlace parking lots. Page 10 of 13 IN WITNESS WHEREOF, the parties hereto have hereunto subscribed their names. City of Spokane Valley By: Title: Date: STATE OF Washington ) ss. County of Spokane ) Central Valley School District [name and title] Date: On this day of , 2010, before me personally appeared to me known to be the of the governmental entity- that executed the within and foregoing instrument and acknowledged the said instrument to be the free and voluntary act and deed of said governmental entity, for the uses and purposes therein mentioned, and on oath stated that was authorized to execute said instrument. In Witness Whereof I have hereunto set my hand and affixed my official seal the day and year first above written. STATE OF Washington ) ss. County of Spokane ) Notary- Public in and for the State of Washington Residing at My commission expires On this day of , 2010, before me personally appeared to me known to be the of the governmental entity that executed the within and foregoing instrument and acknowledged the said instrument to be the free and voluntary act and deed of said governmental entity, for the uses and purposes therein mentioned, and on oath stated that was authorized to execute said instrument. In Witness Whereof I have hereunto set my hand and affixed my official seal the day and year first above written. Notary Public in and for the State of Washington Residing at My commission expires Page 11 of 13 Legal Description Exhibit "A" THAT PORTION OF THE EAST HALF OF SECTION 10, TOWNSHIP 25 NORTH, RANGE 44 EAST, W.M., IN SPOKANE COUNTY, WASHINGTON, DESCRIBED AS FOLLOWS: COMMENCING AT THE EAST QUARTER CORNER OF SAID SECTION 10; THENCE NORTH 89 WEST, ALONG THE CENTERLINE OF SAID SECTION 10, 1013.95 FEET TO THE WESTERLY RIGHT OF WAY LINE OF MIRABEAU PARKWAY THE POINT OF BEGINNING OF THIS DESCRIPTION; SAID POINT OF BEGINNING BEING ON A CURVE TO THE RIGHT THE RADIUS OF WHICH BEARS NORTH 69 10'22" WEST. A DOSTAMCE PF 673.00 FEET; THENCE ALONG SAID WESTERLY RIGHT OF WAY LINE AND CURVE TO THE LEFT, THROUGH A CENTRAL ANGLE OF 21 AN ARC DISTANCE OF 247.94 FEET TO A POINT OF TANGENCY; THENCE SOUTH 41 WEST, ALONG SAID WESTERLY RIGHT OF WAY LINE, 3.18 FEET; THENCE NORTH 89 WEST, 519.45 FEET, TO THE EASTERLY RIGHT OF WAY LINE OF DISCOVERY PLACE; THENCE ALONG THE EASTERLY AND NORTHERLY RIGHT OF WAY LINE OF DISCOVERY PLACE THE FOLLOWING 5 COURSES; 1) NORTH 00 °11'33" EAST, 323.45 FEET, TO THE BEGINNING OF A CURVE TO THE RIGHT THE RADIUS OF WHICH BEARS SOUTH 89 0 48'27" EAST, A DISTANCE OF 673.00 FEET; 2) ALONG SAID CURVE TO THE RIGHT, THROUGH A CENTRAL ANGLE OF 27 0 52'08" AN ARC DISTANCE OF 327.35 TO THE BEGINNING OF A CURVE TO THE RIGHT THE RADIUS OF WHICH BEARS SOUTH 61 EAST, A DISTANCE OF 37.50 FEET; 3) ALONG SAID CURVE TO THE RIGHT, THROUGH A CENTRAL ANGLE OF 24 0 28 . 17 ", AN ARC DISTANCE OF 16.02 FEET TO A POINT OF TANGENCY; 4) NORTH 52 °31'58" EAST, 75.56 FEET, TO THE BEGINNING OF A CURVE TO THE LEFT THE RADIUS OF WHICH BEARS NORTH 37 0 28'02" WEST, A DISTANCE OF 62.50 FEET; 5) ALONG SAID CURVE TO THE LEFT, THROUGH A CENTRAL OF 201 AN ARC DISTANCE OF 219.80 FEET TO THE EASTERLY LINE OF THE YMCA PROPERTY; THENCE NORTH 25 0 22'25" WEST, ALONG SAID EASTERLY LINE, 249.28 FEET TO THE NORTHEAST CORNER OF THE YMCA PROPERTY; THENCE NORTH 89 WEST, ALONG THE NORTH LINE OF THE YMCA PROPERTY, 740.00 FEET TO THE EAST LINE OF THE WEST 200.00 FEET OF THE NORTHEAST QUARTER OF SAID SECTION 10; THENCE NORTH 00 0 06'27" EAST, ALONG SAID EAST LINE 1560.16 FEET TO THE SOUTH LINE OF THE NORTH 300.00 FEET OF THE NORTHEAST QUARTER OF SAID SECTION 10; THENCE SOUTH 89 0 2733" EAST, ALONG SAID SOUTH LINE, 693.58 FEET TO THE WESTERLY RIGHT OF WAY LINE OF MIRABEAU PARKWAY; THENCE ALONG THE WESTERLY RIGHT OF WAY LINE OF MIRABEAU PARKWAY THE FOLLOWING 8 COURSES: 1) ALONG A CURVE TO THE RIGHT THE RADIUS OF WHICH BEARS SOURTH 56 0 54'22" WEST, A CURVE DISTANCE OF 673.00 FEET, THROUGH A CENTRAL ANGLE OF 17 AN ARC DISTANCE OF 202.09 FEET TO A POINT OF TANGENCY; 2) SOUTH 15 0 53'21" EAST, 463.38 FEET, TO THE BEGINNING OF A CURVE TO THE LEFT THE RADIUS OF WHICH BEARS NORTH 74 0 06'39" EAST, A DISTANCE OF 727.00 FEET; 3) ALONG SAID CURVE TO THE LEFT, THROUGH A CENTRAL ANGLE OF 08 AN ARC DISTANCE OF 103.45 FEET TO A POINT OF TANGENCY; 4) SOUTH 24 0 02'32" EAST, 255.31 FEET, TO THE BEGINNING OF A CURVE TO THE RIGHT THE RADIUS OF WHICH ANGLE BEARS SOUTH 65 0 57'28" WEST, A DISTANCE OF 673.00 FEET; 5) ALONG SAID CURVE TO THE RIGHT, THROUGH A CENTRAL ANGLE OF 20 0 29'03 ", AN ARC DISTANCE OF 240.61 FEET TO THE BEGINNING OF A CURVE TO THE LEFT THE RADIUS OF WHICH BEARS NORTH 86 °26'31" EAST, A DISTANCE OF 727.00 FEET; 6) ALONG SAID CURVE TO THE LEFT, THROUGH A CENTRAL ANGLE OF 38 0 36'08 ", AN ARC DISTANCE OF 489.81 FEET TO A POINT OF TANGENCY; 7) SOUTH 42 0 09'36" EAST, 26.61 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT THE RADIUS OF WHICH BEARS SOUTH 47 0 50'24" WEST, A DISTANCE OF 673.00 FEET; 8) ALONG SAID CURVE TO THE RIGHT, THROUGH A CENTRAL ANGLE OF 62 AN ARC DISTANCE OF 739.85 FEET TO THE POINT OF BEGINNING OF THIS DESCRIPTION; EXCEPT THAT PORTION CONVEYED TO SPOKANE COUNTY FOR DISCOVERY PLACE, ROAD FILE NO. 2666, BY DEED, UNDER AUDITOR'S FILE NO. 447291. Page 12 of 13 Exhibit "C" DAILY: • General cleaning 5 -7 days a week after 5pm or after the last group /event leaves the building • Vacuum all carpet areas nightly (spot clean when necessary) • Doors, main entry doors and windows will be cleaned daily • Empty waste cans & recycle bins (clean when necessary) • Wipe down all surfaces within normal reach will be dusted and kept clean daily including counters, tables and sink areas • Sweep outside entrances, stairs and walkways • Clean windows as needed • All walls will be spot cleaned as necessary, so long as the removal of finger marks, etc., does not spoil the general appearance of the wall. • Walls switch cover plates clean when needed • Elevator doors will be cleaned and polished daily Mi /M&M • Clean and Dust as required (workstations surfaces, file cabinets, table tops, partition edges, walls, ceiling, ledges, baseboards, rails, stairways, banister, display cases, bookcases and corners) • Dust blinds as necessary • Carpets cleaned including corners weekly • Chair mats cleaned weekly • Waste containers will be cleaned and disinfected daily • All woodwork shall be cleaned and dusted weekly QUARTERLY (January, April, July, October): • Clean all windows inside and out Door hardware will be polished quarterly Remove light fixtures covers (where applicable) and thoroughly clean BI- ANNUAL (April, September): • Shampoo all carpeted areas • Dust and clean blinds (both sides); spot clean when necessary Page 13 of 13 AFTER RECORDING RETURN TO: Deparfanent of General Administration Real Estate Services P. O, Box 41015 Olympia, Washington 98504-1015. Lease No. SRL 10 -0068 SR 095 -04 -10 (Spokane Valley) RLWAj Page 1 of 14 Date: rune 7, 2010 f S okana Valle , a munal corporation whose ton 99206, for its heirs, oxeputors, administrators, ATE OF. WASB INGTON, Community Colleges of lfnifii ration, hereinafter called ffie Ijessee. is giantdct authority to lease property under RCW rater into this Lease; and performances contained The Lessor h&6 v leases, the Lessee MILD erty"): - Siteplan Shown on Exhibit "B° USE described premises: - fi Alf 2. The premises shall be used by the Community Colleges of Spokane, District 17 and/or other state agencies for the following purpose(s): classrooms educational progamming and communi education to all ages of residents of the City pokane Valley - and the surrounding area and p rogram,areas including, but not limited to: English as a Second Lauggago "ESL" • Adult Basic C Education Workforce Trainin • and cultural artistic seminars. Lease No. SRL 10 -0068 June 7, 2010 . Page 2 of 14 Further, Lessee understands that the CenterPlace is b _ a "regional center" encompassing certain activities. In addition to the activities described above, Lessee will endeavor to make theso Promises, available to the Cijy of Spokane VaR ML other users of tip CenterPlace and thixd parties who MU wish to use the CenterPlace for the following xeglonal uses: Conference Activities: Breakout and overflow activities and other components of CenterPlace; activities by smaller rbu s sponsored by Lessee and other commuWjy organizations. Lessee shall not door permit anything to be done in or about the Premises or brie or r keep any#hWg in the Premises that will in any way increase the premiums paid by Lessor on its insurance related to the CenterPlace or which will in My ay increase the -premiums for fire or casualty insurance_carriedby other_Lessees in the CenterPlace. Lessee will not perform M act or carry on anypractices that may injure the Premises or CenterPlace; that may be a nuisance or menace to other Lessees in the CenterPlace; or that shall in any way interfere with the quiet enjoyment of such other Lessees. Lessee shall not use the Premises, or M part thereof: for illegal purposes, nor under anx circumstances permit gambling or the illegal sale of alcohol or narcotics upon the Premises; nor _permit any_ act to be done which will make the Premises subject to abatement by an ry governmental authority Lessen shall not use the for sleeping or cookie or r the preparation, manufacture, or mWng of agZhing that mi ht emit an objectionable odor, noise vibration or lights onto otltex Lessees. If sound insulation is-required to muffle noise produced by Lessee on the Premises, Lease No, SRL 10 -0068 June 7, 2010 Page 3 of 14 Lessee at its own cost shall provide all necessary insulation. Lessee shall not do an Bing on the Premises which will overload any existing parking or service to the Premises. , Pets and /or animals o£anvtvi)&shall not be kept on the Premises with the exception of oualified Luide doizs and service animals and dogs re uired enforcement and securftY pUO2ose& Any wet lab installed by Lessee or for Lessees benefit in the Premises must be in compliance with occupancy requirements of the International Building Code adopted ed by Lessor. A y plans for installation of a Wet lab or . 2.1 Lessee shall allow Lessor to use ] responsible Lessor supervision. TERM 3. TO HAVE AND TO HOLD the 2010 and ending June 30, 2011 RENTAL RATE 4. The Lessee shall pay rent to the I — � xJ�IE �F��(9 live Hundred T n Dollars and Six even Cents ` 4.1 Lessee shill pay T essbr "for intcn Room 207 shall be the most sntermittent used spat( for use by Lessor as well. a Payment shall be xnade the end of[eacr mgnfh lip EXPENSES their appurtenances for hit -erm beginning Jul following rate: 27.Y5 $ 5+0.07 per month. executed vouchers. ,�� S. --.During the term of this Lease, Lessor shall pay all real estate taxes, all property assessments, insurance, storm water, water: sewer, garbage collection, and maintenance and repair as described below, together with natural gas, electricity. elevator service. exterior and interior window washing, landscape and irrieation water. and janitor service. Janitor service includes exterior and interior window washing, restroom supplies and light bulb replacement and such other items as set forth ur Exhibit "C wbich is l attached hereto and inco_pr orated by reference. Lessor shall also. allow Lessee access to Lessor's network via wifi or directly at no cost. 'PI VA--t Coe C Lease No. SRL 10 -0068 June 7, 2010 Page 4 of 14 MAINTENANCE AND REPAIR 6. The Lessor shall maintain the Premises in good repair and tenantable condition during the continuance of this Lease, except in case of damage arising from the negligence of the Lessee's clients, agents or employees. For the purposes of maintaining and repairing the Premises, the Lessor reserves the right at reasonable times to enter and inspect the Premises and to make any necessary repairs to the Premises and CenterPlace. Lessor's maintenance and repair obligations shall include, but not be limited to, the mechanical, electrical, interior lighting (including replacement of ballasts, starters and fluorescent tubes as required), plumbing, heating, ventilating and air- conditioning systems (including replacement of filters as recommended,,in equipment service manual); floor coverings; window coverings; elevators; inside and outside walls (including windows and entrance and exit doors); all structural portions of CenterPlace (including the roof and the watertrg�at ixtegrity of same); porches, stairways; sidewalks; exterior lighting; parking lot (including snow removal, eleanng and restriping as required); wheel bumpers; drainage; Iandscaping and continuous satisfaction of all governmental requirements generally applicable to similar office buildings in the area (example: fire, building, energy "codes, md4or air quality and requirements to provide architecturally barrier -free premises for persons with dfsapilities, etc.) ASSIGNMENUSUBLEASE 7. The Lessee may assign this Lease or sublet the premises with the prior vmu n consent of the Lessor, which consent shall not be unreasonably withhold. Lessee si hall not:permit the use of the premises by anyone other than the Lessee, such assignee or sublessee, anal the employees, agents and servants of the Lessee, assignee, or sublessee. RENEWAUCANCEI LLATION 8, The Leas o shay, at fh+ ("Extended Tcrm"). If Less("' elects #v'� notice of its renewal no lat&*6n. six (6) base rent provided herein 14 negot renewal period, be less than the rerft,for before the end of tlle;ongi lal term; t ' le option of tbe, Lessee, lie xet3egotiated =;for an additional five (5) years new, said retie ±a1 slaall'be 0 Crelsed, by Lessee providing Lessor written oittbs prior to the end:of the Term IfLessee elects to renew, the monthly ol'between the parties; provided, however, the rent,sball not, doting the 644st �month of the 'origival term, if the parties cannot agree upon rent e sha11 terminate unless the parties agree otherwise in writing. hercin when made to the Lessor by the Lessee shall release the .,or assignee. LA complying with all applicable provisions of the Americans With 12213) and the Washington State Law Against Discrimination, Chapter ;d thereunder, with respect to the Leased Premises. 11. The Lessee shall have the right during the existence of this Lease subject to the written enrission of the Lessor (such permission shall not be unreasonably withhold). to make alterations, attach fixtures, and crest additions, structures or signs, in or upon the Premises. Such alterations, fixtures. additions, structures and signs shall be authorized by the Department of General Administration. Performance of an of the ri hts authorized above sball be conducted in compliance with all applicable governmental regulations, building codes, including- obtaining any_ necessary permits: and will not interfere with use of other portions of GenterPlace or the PropeLty. Any fixtures, additions, or structures so placed in or upon or attached to the Premises shall be and t remain the property of the *Lessee and ma be removed therefrom by the Lessee upon the termination of this Lease unless noted othenvise in Lessor's permission. Any damage_ caused by the removal of any of the above items shall be repaired by the Lessee. Lease No. SRL 10 -0068 J=0 ,2010 2010 Page 5 of 14 ALTERATIONS/IMPROVEMENTS 12. In the event the Lessee requires alteratic renewals and/or modifications thereof, the Lessor shall have worx as wen as comply uaarwua �, considers Lessor's proposed costs for alterations/ improvene: obligation, to request and receive at least - two independent` b1 select one alternative contractor whom the Lessor shall allow with tho building standards and operattop.,procedures. PREVAILING WAGE 13. Lessor agrees to,pay the the performance of any part.,of Ws Lease Chapter 39.12 RCW, as a1andcd, and schedule of prevailing wage rates for the the Industrial Statistician o£the though fully set forth herein. `1 In the event the lea, to render the premises unfit for ocFx former condition, then the Lessee in been paid. In the everlt said premise be paid shall be abated from the time to their former condition, and any rej next installmerit(s) of rent" b� ml reduction of area unsuitable o06M NO . GUARANTEES when regittred by and i .y or lc Labor Vernon ts . during the term of this Lease, any to provi enj services. £�regaix�e )cpa uent nf— &- induigAss. If the Lessee excessive, Lessee sball aVo the right, but not the and the Lessee shall have the rjght at its option to aovtde services for the Lessee in compliance tll workers,: laborers, or mechanics employed in J049 so, aril to comply Nvith the provisions of ie Department of Labor and Industries and the this Leasa will be performed as determined by are by reference made a part of this Lease as emtst;s are destroyed or injured by fire, earthquake or other casualty so as aiid the neglects and/or refuses to restore said premises to their ninaf s Lease and shall be reimbursed for any unearned rent that has partially destroyed by any of the aforesaid means, the rent herein agreed. to - urrence of such destruction or injury until the premises are again restored i by the, Lessee during the period of abatement shall be credited upon the is understood that the terms "abated" and "abatement" mean a pro rata due to casualty loss in relation to the total rented area, 15. It is understood. that no guarantees, express or implied, representations, promises or statements have been made by the Lessee unless endorsed herein in writing. And it is further understood that this Lease shall not be valid and binding upon the State of Washington, unless same has been approved by the Director of the Department of General Administration of the State of Washington or his or her designee and approved as to forth by the Office of the Attorney General. Any amendment or modification of this Lease must be in writing and signed by both parties, Lease No. SRL 10 -0068 ENERGY June 7, 2010 Page 6 of 14 16. The Lessor, or authorized representative, in accordance with RCW 43.19.685, has conducted a walls- through survey of the leased premises with a represdntative of the Director of the Department of General Administration. Lessor will undertake technical assistance studies and/or subsequent acquisition and installation of energy conservation nicasures identified as cost effective by the survey. REIMBURSEMENT FOR DAMAGE TO PREMISES; RELEASE 17. such breach from Lessee. HAZARDOUS SUBSTANCES 18. Lessor warrants to his/her l substance has been produced, disposed of, or is property would subject the Lessor or Lessee to federal law or regulation. no hazardous,. substance, toxic waste, or other toxic )t on the Premmses hereby leased which if found on the .malty, or liabift...under an applicable local, state or causedby'Lessee's use and/or occupancy of the Premises during the term of thislease. .a) Emissions. Lessee shall not: l.) Permit any vehicle owned by Lessee on the Premises to emit exhaust which is in violation of any governmental law, -rule, reguulation or Cy Lease No. SRL 10 -0068 rune 7, 2010 Page 7 of 14 1) Discharge, emit or permit to be discharged or emitted agy liquid, solid or gaseous mattezor any combination thereof, into the atmosphere, the ground or any body of water which matter as reasonably determined by Lessor or M govormnental entity, does, or may, pollute or containinate the same, or is, or may become, radioactive or does, or may, adversely affect the (a) health or safety of persons, wherever located, whether on the Premises or anywhere else, (b) condition use or enjoymcnt of the Promises or any _other real or personal property. whether on the Premises or an vhcro else or c Premises ox M of the improvements thereto or thereon including buildings foundations i es utilfty lines landscaping landscgping or parking areas- c) Informailon. In the event of any accident, spill, or other incident involving hazardous or toxic matter, Lessee shall immediately report tho same to Lessor and supply Lessor with all information and reports with respect _to the same. d) Compliance with Law. Notwithstanding any other provision in this Lease to the contirary. Lessee shall comply with all laws, statutes, ordinances, re dlations, rates and other novernmentalrequirements in complvina with its obligations underf" this Lease. Premdses or env of the improvements thereto or thereon including buildings,_ foundations, pipes, motility lines, landscMina or ate rking areas, Lease No. SRL 10 -0068 June 7, 201.0 termination of this Lease for my reason whatsoever CONDEMNATION 19. If all the Promises or such portions of Cerifer. reasonable use of the Premises, are taken by eminent domain, tbi: Lessee is required to vacate the premises and all rentals shall be p 'remises, or a portion of CenterPlace not required for the reas6 then the Lease shall continue in fail force and effect and the rental by which the floor area of the Premises is reducedx such rent rec such portion is delivered to the condemning 41Aor1ty Lessc connection therewith, except Lessee shall have the tight i6 clam leasehold interest and any relocation benefits, if alloweii to Lessee SURRENDER OR 20. OVER Page 8 of 14 lace or the Properly as imay be required for the Lease shall automatically terminate as of the date id to that dote. In case of a faki rg of part of the Me use of the Premises, at Lessee', s determination, ;hall be equitably reduced based on the proportion iction 16 be effective as of the date possession of reserves :all rights to damages and awards in i from the co.3tclemning authority the value of its rent as the parties mutually agree in writing and all provisions of this Lease shall apply gpply to the month -to -month tenancy, except those pertaining to term and option to extend SUBORDINATION 21. ' So long as Lessor has fully performed under the terms of this Lease, Lessee agrees to execute, within twenty (20) days of written requestby Lessor, the-state's standard Lessee Estoppel and Subordination Agreements which have been approved as to form by the Office of the Attorney General �1 1 value of the Premises CenterPlace or the Propcjjy ford es for the loss or restriction on use of rentable or usable space or of any amenity of the Premises or any part of the Pro e aril sums aid in settlement of claims attorne s' fees consultant fees and ex e fees arising during or after the Lease No. SRL 10 -0065 June 7, 2010 CANCELLATION /SCJPE RSESSION Page 9 o €14 22. This Lease cancels su ersedes or re laces SRL 04 -4104 dated June 29 2004, and all modifications thereto effective July 1, 2010. WITHHOLDING OF VENT PAYMENTS 23. - If the Lessor fails to maintain, repair and/or improve the premises as set forth herein, the Lessee may, if authorized by the Department of General Administration, withhold ten,percent (10 %) of rent payments until such time as Lessor completes deficient maintenance, repair and/or improvements. tTpon receipt of documentation of Lessor's noncompliance with maintenance, repair and/or improvement provisions and a written request to withhold rent payments froze. the Lessee, the Department of General Admi tration shall provide Lessor with a list of deficient maintenance, repair and/or improvement items and notzfy=.Lessor that Lessee has been authorized to withhold rent payment until deficient maintenance, repair and/or im0rbvements have been completed. Lessee shall place all withheld. -rent payments in an interest bearing account Withheld rentpay6iits_plus accrued interest will be remitted to Lessor after the Department of General Admi6isttnttou verifies that Lessor has satisfactorily completed all maintenance, repair and/or improvcmerzfs and authOrz Lessee to remit the wztliQA rent. Nothing in this provision shall limit other remedies which may be available Lessee under this Lease. MONTH TO MONTH TENANCY 24. If Lessee remains in posses49"'if' term, or any extension thereof, such possession: terminable as provided by law. During such xno Lease or such other rent as the parties mutually ag month -to -month tenancy, ox eft t -08 a ining to SUBORDINATION within will be 25. So long as Lesskhas 26. The. captions and/ not be deemed to limit °orexpand the NOTICES of this Lease, Lessea as Tees to execute, A $400.00 processing fee heaAws hereof are inserted for convenience purposes only and shall of any paragraph. 27. Wherever zn this W6 written notices are to be given or made, they will be sent by certified mail to the address listed belowunless a'dfferent address shall be designated in writing and delivered to the other party. LESSOR: City of Spokane Vall ey 11707 Last S ra e Avenue Spokane VallM Washin ton 99206 LESSEE: Department of General Administration SRL 10-0068 Real Estate Services 210 - I Avenue SW., Room 230 Post Office Box 41015 , Olympia, Washington 98504 -1015 ises after the expiration or termination of the Lease shall be deemed to be a month -to -month tenancy, i tenancy, Lessoe,shall pay all rent provided in this it; aiid -41 provisions this Lease shall apply to the Lease No. SRL 10 -0068 Juno 7, 2010 Page 10 of 14 IN WITNBSS VTMREOF, the parties subscribe their names, City of Spokane Valley STATE OF WASHINGTON QawmuWjy Colleges of Spokane District 17 By: Acting through the Department Title of General Administration Date: Br. M and Date: Attorney General STATE OF, )SR. County of` Ou#ins day of , A.D., 20 before me personally appeared to me known to be the of the corporation that executed the withh aid foregoing instrument and acknowledged the said instrument to be the free and voluntary act and deed of. said corporation, for the uses and purposes therein mentioned; and on oath stated that was authorized and that the seal affixed thereto is the corporate seal of said' corporation. In Witness Whereof I have hereunto set my hand and affixed official seal the day and year first above written. Notary Public in and for the State of Washington, Residing at My commission expires <0 V Lease No. SRL 10 -0068 June 7, 2010 Page 11 of 14 STATE OF WASHINGTON ) ) ss. County-of Thurston ) . T, the undersigned, a Notary Public, do hereby certify that on this day of . 20 , personally appeared before me Ted S. Cohen, Deem Manager /Acting Leasing Manager Department of General Administration, State of Washington, to me known to be the individual described in and Who executed the Within instrument, and acknowledged that he signed and sealed the same as thgfi'ee and voluntary act and deed of the Department, for the purposes and uses therein mentioned, and on oath stated ,dia 6 was duly authorized to execute said document, Written. In Witness Whereof X have hereunto set my hand and seal the day and year first above Residing My corm in and for the State a C Lease No. SRL 10 -0068 1 June 7, 2010 Page 12 of 14 Exhibit "N' Legal Description THAT PORTION OF THE EAST HALF OF SECTION 10, TOWNSHIP 25 NORTH, RANGE 44 EAST, W.M., IN SPOKANE COUNTY, WASHINGTON, DESCRIBED AS FOLLOWS: COMMENCING AT THE EAST QUARTER CORNER OF SAID SECTION 10; THENCE NORTH 89 °56'11" WEST, ALONG TH&CENTERLINE OF SAID SECTION 10, 1013.95 FEET TO THE WESTERLY ", T OF WAY LINE OF MIRABEAU PARKWAY THE POINT OF BEGINNING OF THIS DESCRIPTION; SAID POINT & 13BOINNING BEING ON A CURVE TO THE RIGHT THE RADIUS OF WHICH BEARS NORTH 69 °10'22" WF.4, A'pISTANCE OF 673.00 FEET; THENCE ALONG SAID WESTERLY RIGHT OF WAY LINE AND CURVE TO THE LEFT, THROUGH A CENTRAL GLE OF � 21 °06'30 ", AN ARC DISTANCE OF 247.94 FEET TO A POINT OF TANGENCY; THEI SOUTH 41 °56'�T, ALONG SAID WESTERLY RIGHT OF WAY LINE, 3.18 FEET; '.TEN . CB NORTH 89 °86'11" °WEST, 519.45 FEET, TO THE EASTERLY RIGHT OF WAY LINE OF DISCOVERY PLACE, THENCE ALONG THE EASTIRLY AND NORTHERLY RIGHT OF'WAY LINE OF DISCOVERY PLACE THE FOLLOWING 5 COURSES; 1) NORTH 00. °11'33" EAST, 323.56 FEET, TO THE BEGINNING OF A CURVE TO THE RIGHT THE 'RADIUS OF WHICH BEARS S©'0T-H 89 0 4827" EAST, A DISTANCE OF 673.00 FEET; 2) ALONG SAID CURVE TO THE RiCHT, THRq A CENTRAL AN OF 27 0 52'08" AN ARC D STANCH OF 327.35 TO THE BEGINNING OF A CURVE TO THE RIGHT THE RADIUS OF WHICH BEARS / j Q S 61` b'19" EAST, A DISTANCE OF 37.5 1�BBT, 3) ALONG SAIL) CCIRY..:10 THE RIGHT, THROUGH A i� GEN ANGLE OF 24°28'17 ", AN ARC DISTANC]:OI 16.02 FEET TO APOINT OF TANGENCY; 4) NORTH S2 °31'58" EAST, 75.56 FEET, TO THE BEGIlVNIA�G Q A CURVE TO THE LEFT THE RADIUS OF WHICH BEARS NORTH 37°28'02" WEST, A DISTANCE OF 62.50 FELI S) AIANG SAID CURVE 0 THE LEFT, THROUGH A. CENTRAL OF 241°29'42 ", AN ARC DISTANCE OF 2i9 8Q FEBT T kLINE OF THE YMCA PROPERTY; THENCE NORTH25°22'25" WEST, AT.ON SAID EA TI3RLY LINE, 9 2$ FEET TO THE NORTHEAST CORNER OF THE YMCA PROPERTY, THENCE NORTH 89 °56'11" WEST ALONG � NORTH LINE OF THE YMCA PROPERTY, 740.00 FEET TO THE EAST, I=; OF THEN 200.00 FEET OF THE NORTHEAST QUARTER OF SAID SECTION 10; THENCE NORTH 00°06`27''`BAST, ALONG SAID EAST LINL,156 ©16 FEET TO THE SOUTH LINE OF THE NORTH 300.00 FEET OF THE .NORTHEAST. QUARTER QF SAID SBC IIO110; THENCE SOUTH 89 °27'33" EAST, ALONG SAID SOUTH LINE, 693..58 FEET TO THE WESTLII. A HT OF WAY LINE OF MIRABEAU PARKWAY; THENCE ALONG THE WESTERLY OF WAY ' O " ` Blsi ARKW FOLLOWIl�TG 8 COURSES: 1) ALONG A Q CURVE TO RIOHT'I'HE`RP,.DIUS' OF CEARS SOUT 56°` '22 "WEST, A CURV 3.00 FEB I', THROHGII A CENTRI4L.S?[GLE OF °12' 18" , AN ARC pI 02. FEHI TO A POINT OF TANGENG'Y,:2 SOUTH 15 °53'21" FAST, 4�3 38TJEET, TO THL $LGINNING OF A CURVE TO THE LEFT THE RADIUS OF WHICH lH3ARS NORTH 74 °06'39': $AST, , 0518TANCE OF 727.00 FEET; 3) ALONG SAID CURVE TO THE LEFT, . THROUGH A CENTRAL ANGLE OIL i*'11" , AN ARC DISTANCE OF 103.45 FEET TO A POINT OF TANGENCY; 4) SOUTH 24 °02`32" EAST, 25.5.31 FEET, TO'THE BEGINNING OF A CURVE TO THE RIGHT THE RADIUS OF WHICH ANGLE BEARS SOYI TH.GS °57'28' WEST, XbISTANCE OE 673.00 FEET; 5) ALONG SAID CURVE TO THE RIGHT, THROUGH A CENT AI)IGLE OF 20°29'03!', AN ARC DISTANCE OF 240.61 FEET TO THE BEGINNING OF A CURVE TO THE LEFT THB RADIUS OF WHICH BEARS NORTH 86°26'31" EAST, A DISTANCE OF 727.00 FEET; 6) ALONG SAID CURVE TO TIIftEFT, TA60011 A CENTRAL ANGLE OF 38 °3608 ", AN ARC DISTANCE OF 489.81 FEET TO A POINT OF TANGENCY 7) SOUTH 42 °09'36" EAST, 26.61 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT THE RADIUS OF WHICH,BEARS SOUTH 47 °50'24" WEST, A DISTANCE OF 673.00 FEET; 8) ALONG SAID CURVE TO THE RIGHT, THROUGH A CENTRAL ANGLE OF 62-59'14', AN ARC DISTANCE OF 739.85 FEET TO THE POINT OF BEGINNING OF THIS DESCRIPTION; EXCEPT THAT PORTION CONVEYED TO SPOKANE COUNTY FOR DISCOVERY PLACE, ROAD FILE NO. 26 BY DEED, UNDER AUDITOR'S FILE NO. 447291. 9-1-11 1_.ease No. SRL 10 -0068 Site Plan. 0 MW June 7, 2010 Exhibit `B" Page 13 of 14 e n ���•� -• -rte Y is OR i Lease No. SRL 10 -0068 June 7, 2010 Page 14 of 14 Janitor Services Exhibit "C when necessary clean _ — -- - !` d r if — f r, .�, � � e-i- ,� � �J � � � Cd �� � � �"'�g *�+d '].A �y v • ••-' k� . �4 a � �W CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 5, 2010 City Manager Sign -off: Item: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation AGENDA ITEM TITLE: Senior Center Association — Table Tennis Update GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: None. BACKGROUND: Several weeks ago the issue of playing table tennis at the Spokane Valley Senior Center located at CenterPlace was brought up to the City Council by several citizens. Staff has been in contact with the table tennis players and the Spokane Valley Senior Center Association board members. Staff will provide an update to City Council. OPTIONS: RECOMMENDED ACTION OR MOTION: N/A BUDGET /FINANCIAL IMPACTS: N/A STAFF CONTACT: Mike Stone, Parks and Recreation Director ATTACHMENTS: None CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 5, 2010 City Manager Sign-off Item: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation AGENDA ITEM TITLE: Transportation Benefit Districts — discussion of options GOVERNING LEGISLATION: RCW 36.73 PREVIOUS COUNCIL ACTION TAKEN: Discussion at winter retreat January 12, 2008; administrative report January 15, 2008; administrative report February 12, 2008; Council discussion about infrastructure funding options, instruction to staff to proceed with drafting legislation allowing for establishment of a transportation benefit district; April 8, 2008 discussion and update on formation of TBD, discuss draft ordinance; April 15, 2008; administrative update June 10, 2008; July 1, 2008 to update Council on proposed language change to the Spokane Regional Transportation Council's (SRTC) 2007 Metropolitan Transportation Plan (MTP) regarding use of TBD funds for maintenance of existing City road system; July 29, 2008 administrative report and update; December 2, 2008; information only February 17, 2010; administrative report April 6, 2010; administrative report regarding potential interlocal agreement for regional TBD on July 6, 2010; administrative report regarding potential interlocal agreement for regional TBD on August 17, 2010. BACKGROUND: Various jurisdictions, including the City of Spokane Valley, have recently discussed the formation of a transportation benefit district (TBD), whether on their own or as part of a multi jurisdictional agreement. There are many potential questions and issues relating to formation of a TBD. Some of the essential questions raised include: 1. Does the Council want to form a TBD that includes the City Boundary? 2. If yes, does the Council want to be part of a multi jurisdictional TBD, or form one that is City -only? 3. If a TBD is formed, is the Council prepared to take a funding measure to the voters. OPTIONS: RECOMMENDED ACTION OR MOTION: NA BUDGET/FINANCIAL IMPACTS: NA STAFF CONTACT: Cary Driskell, Acting City Attorney ATTACHMENTS: CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 5, 2010 City Manager Sign -off: Item: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation AGENDA ITEM TITLE: Aquifer Protection Area (APA) Interlocal GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: APA Interlocal was approved by Council on July 27, 2004 BACKGROUND: Attached is the RCA from July 27, 2004 which outlines the background and use of the funds for the APA and an e-mail from Bruce Rawls dated August 8, 2004 with three attached spreadsheets that detail the estimated revenues and expenditures of the APA funds as outlined in the Interlocal agreement. OPTIONS: RECOMMENDED ACTION OR MOTION: BUDGET /FINANCIAL IMPACTS: STAFF CONTACT: Neil Kersten ATTACHMENTS: RCA July 27, 2004, 2004 APA Interlocal Agreement, E -mail from Bruce Rawls and attached Spreadsheets, Stormwater 6 -year Financial Plan CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: July 27, 2004 City Manager Sign -off: Item: Check all that apply: ❑ consent X old business ❑ new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation AGENDA ITEM TITLE: Approval of the Aquifer Protection Area Interlocal Agreement GOVERNING LEGISLATION: RCW 36.36 Aquifer Protection Areas PREVIOUS COUNCIL ACTION TAKEN: Approval of Resolution #04 -016 "Authorizing Inclusion of Spokane Valley Within an Aquifer Protection Area" on June 8, 2004. BACKGROUND: The Spokane County Board of Commissioner sent a letter dated January 27, 2004 to Spokane Valley requesting consideration for inclusion of the City of Spokane Valley in the reauthorization of the Aquifer Protection Area. The Council received several briefings regarding the APA program and on June 8, 2004 the City Council approved resolution #04 -016 which authorized inclusion of Spokane Valley within the Aquifer Protection Area subject to subject to approval by Spokane Valley and Spokane County of an intedocal agreement regarding use of the funds. We have completed a draft interlocal which is attached for your review. Additionally, I have attached a spreadsheet that shows the proposed allocation of the revenues based on the agreement. Section 2 details the use of the APA funds. Briefly, the uses of the funds are as follows: 1. County may charge reasonable administration and billing costs. 2. County may charge costs associated with the County's Water Resources Program. 3. Spokane Regional Health District will receive $100,000 per year to monitor septic tanks. 4. The City of Spokane will receive $500,000 per year. 5. Remaining revenues will be used for subsidies to reduce the Capital Facilities Rates charged for the annual Septic Tank Elimination Projects through the year 2010. 6. After 2010 the City will receive its proportional share of the remaining fees through 2025. OPTIONS: RECOMMENDED ACTION OR MOTION: Motion to approve the interlocal and authorize the City Manager execute the agreement. BUDGETIFINANCIAL IMPACTS: Will provide for ongoing collection of APA revenues. STAFF CONTACT: Neil Kersten ATTACHMENT: Draft Interlocal, Spreadsheet After recording return document to City of Spokane Valley Attn: City Clerk 11707 E. Sprague Ave., Suite 106 Spokane Valley, WA 99206 IIIIIIflIIIIIIIVIIIIIII AGR $23.00 5114853 Page: 1 of 5 QBJ24j2V 06:33P Spdane Co, ''M INTERLOCAL AGREEMENT BETWEEN SPOKANE COUNTY AND T TE• CITY OF SPOKANE VALLEY REGARDING USES ANTI) ALLOCATION OF AQUIFER PROTECTION 4 0706 AREA REVENTIIES This i.nterlocal Agreement by and between the City of Spokane Valley, a municipal corporation of the state of Washington, having offices for the transaction of business as 11707 East Sprague Avenue, Suite 106, Spokane Valley, Washington 99206, ( "CITY ") and Spokane County, a political subdivision of the state of Washington, having offices for the transaction of business at 1 1 16 West Broadway Avenue, Spokane Washington, 99260 ( "COUNTY ") hereinafter sometimes referred to as the PARTIES. The CITY and COUNTY agree as follows: Section 1: RECITALS AND FINDINGS 1.1 The CITY is located in the Aquifer Protection Area established by Spokane County Ordinance 85 -0641, dated July 30, 1985 pursuant to the provisions of chapter 36.36 RCW (AQUIFER PROTECTION AREAS). 1.2 On December 31, 2005, the authorization to collect Aquifer Protection Area fees will terminate. 1.3 The COUNTY has suggested to the CITY that a ballot proposition be placed before the voters to re- authorize the establishment of the Aquifer Protection Area for another 20 -years and impose fees on the withdrawal of subterranean water and on on -site sewage disposal. 1.4 On June 8, 2004, the Spokane Valley City Council passed Resolution Number 04 -016 approving the inclusion of its municipal boundaries within the boundaries of the reauthorized Spokane Aquifer Protection Area, subject to approval by Spokane Valley and Spokane County of an Interlocal Agreement regarding use of the funds. 1.5 The purpose of this Agreement is to satisfy the condition in the Spokane Valley Resolution Number 04 -016 regarding use, of the funds. Interlocal Aquifer Protection Arvi Page I of 5 e/43 I 5114853 0812412004 of +34:33x' GOYERI61ER. CITY OF SFO,(A AGR 123.00 Spokane Co, WA Section 2: USES AND ALLOCATIONS OF AQUIFER PROTECTION AREA FEES 2.1 The CITY authorizes the COUNTY to charge reasonable administration, billing, and customer account activities /services to the COUNTY budget fund that has been established for the Aquifer Protection Area Fees (commonly identified as Budget Fund 436). All charges shall relate directly to activities /sery ices performed by COUNTY staff in conjunction with the administration, billing and customer account activities related to the Spokane Aquifer Protection Area. Charges shall be based on actual costs, on a monthly basis. 2.2 The CITY authorizes the COUNrfY to charge all activities related to the COUNTY's Water Resources Program, including but not limited to aquifer monitoring, aquifer data management, aquifer studies, coordination of aquifer protection activities, and similar efforts to Fund 436. For the purpose of this provision the terminology Water Resources Program shall mean those activities included in budget Fund 436, Department 751. Charges will occur on a monthly basis. 2.3 The CITY authorizes the COUNTY to transfer up to $100,000 annually through year 2010 from Fund 436 to the Spokane Regional Health District to provide for data base management related to monitoring of septic tanks in the Aquifer Sensitive Area. For the purpose of this provision, the terminology Aquifer Sensitive Area shall mean the area where activities on the ground surface can affect the water quality in the Spokane Valley Rathdrum Prairie Aquifer. The actual amount transferred shall be determined by the Spokane County Utilities Director, in the annual budget for Fund 436, and as approved by the Board of County Commissioners. Transfer of such money shall occur in one lump sum or in installments, provided there is sufficient money in Fund 436 to make such transfer(s). 2.4 The CITY authorizes the COUNTY to transfer $500,000 annually through year 2010 from Fund 436 to the City of Spokane for activities as authorized under RCW 36.36.040. Transfer of such money shall occur in one lump sum or in installments provided there is sufficient money in Fund 436 to make such transfer(s). 2.5 The CITY authorizes the COUNTY to utilize all revenues remaining from annual Aquifer Protection Area fees imposed pursuant to chapter 36.36 RCW, for the years 2006 through 2010, after disbursements authorized in Items 2.1 through 2.4, for subsidies to reduce the Capital Facilities Rates charged to properties included in annual Septic Tank Elimination Projects. During; this period, the Aquifer Protection Area fees will be used to benefit all new customers in the Septic "Tank Elimination Projects equally. For the purpose of this provision, the terminology Capital Facilities Rate(s) shall have that meaning set forth in Spokane County Section 8.03.1135. The terminology Septic Tank Elimination Projects shall mean those sewer projects identified in the Capital Improvement Program of Section 4 of the Spokane County 2001 Comprehensive Wastewater Management Plan, as hereafter amended. 2.6 The CITY and COUNTY agree that for the years 2011 through 2025, annual Aquifer Protection Area fees remaining after disbursements authorized in Items 2.1 and 2.2 will be distributed annually betwecn the COUNTY, the CITY, and the City of Spokane on a proportional basis relative to the amount generated in unincorporated areas, the CITY, and the City of Spokane. Provided, however, the Aquifer Protection Area fees shall be used exclusively and solely for purposes authorized under RCW 36.36.040. 2.7 The CITY and COUNTY agree that the either party may audit the other's use of Aquifer Protection Area fees at any time during this Agreement to determine compliance with RCW 36.36.040. If it is determined that the CITY's use of the Aquifer Protection Area fees is not consistent with the allowable uses provided under RCW 36.36.040, the COUNTY will Interlocnl Aquifer Protection Area Page 2 of 5 - 5114853 0812412004 06:33P o 06 33P GOYERIVEIIi, CITY OF -MA AGR $23.00 Spoane Co, 1A withhold subsequent Aquifer Protection Area fees equal to the amount of fees that were determined to be inconsistent with allowable uses under RCW` 36.36.040. if it is determined that the County's use of the Aquifer Protection Area fees is not consistent with the allowable uses provided under RCW 36.36.040, the COUNTY will reimburse Aquifer Protection Area fees equal to the amount of fees that were determined to be inconsistent with allowable uses under RCW 36.36.040. Section 3: GENERAL 3.1 Modification This Agreement may be modified in writing by mutual written agreement of the PARTIES. 3.2. All Writings Contained Herein/Binding Effect This Agreement contains terms and conditions agreed upon by the PARTIES. The PARTIES agree that there are no other understandings, oral or otherwise, regarding the subject matter of this Agreement. 3.3 Jurisdiction And Venue This Agreement has been and shall be construed as having been made and delivered within the State of Washington and it is mutually understood and agreed by each party that this Agreement shall be governed by the laws of the State of Washington both as to interpretation and performance. Any action at law, suit in equity or judicial proceeding for the enforcement of this Agreement, or any provision hereto, shall be instituted only in courts of competent jurisdiction within Spokane County, Washington. 3.4 Records All public records prepared, owned, used or retained by COUNTY in conjunction with this Agreement shall be deemed COUNTY property and shall be made available to CITY upon request by the City Manager, 3.5 Headings The section headings appearing in this Agreement have been inserted solely for the purpose of convenience and ready reference. In no way do they purport to, and shall not be deemed to define, limit or extend the scope or intent of the sections to which they pertain. 3.6 Assignment This Agreement shall be binding upon the PARTIES hereto, their successors and assigns. No party may assign in whole or part its interest in this Agreement without the written approval of al I other PARTIES. 3.7 Filing This Agreement shall be filet) by the County with such offices or agencies as required by chapter 39.34 RCW. 3.8 Notice. All notices or other communications given hereunder shall be deemed given on: (1) the day such notices or other communications are received when sent by personal delivery; or (ii) the third day following the day on which the same have been mailed by first class delivery, postage prepaid addressed to COUNTY at the address set forth below for such Panty, or at such other address as COUNTY shall from time -to -time designate by notice in writing to the other PAR"T"IES: COUNTY: Spokane County Chief Executive Officer or his /her authorized representative 1116 West Broadway Avenue Spokane, Washington 99260 Intcrlocal Aquifer PrOteclion Arca Page 3 of 5 5 {i0' /ER1AcMT, CI1Y Of SPO ACR 83,08 Spokane of 06533P Spokane Co, FA CITY: City of Spokane Valley City ;Manager or his/her authorized representative Redwood Plaza 11707 .East Sprague Avenue, Suite 106 Spokane Valley, Washington 99206 Section 4: EFFECTIVE DATE AND DURATION 4.1 This Agreement shall be effective as of January 1, 2006, provided that the voters by simple majority vote rc- authorize the creation of the Aquifer Protection Area as provided for in RCW 36.36.030, and shall continue until December 31, 2025, or until the re- authorized Aquifer Protection Area sunsets as provided for in the ballot proposition, whichever is sooner. Section 5: SEVERA)I.TLITY 5.1 It is understood and agreed among the PARTIES that if any parts, terms or provisions of this Agreement are held by the courts to be illegal, the validity of the remaining portions or provisions shall not be affected and the rights and obligations of the PARTIES shall not be affected in regard to the remainder of the Agreement. If it should appear that any part, term or provision of this Agreement is in conflict with any statutory provision of the State of Washington, then the part, term or provision thereof that may be in conflict shall be deemed inoperative and null and void insofar as it may be in conflict therewith and this Agreement shall be deemed to modify to conform to such statutory provision. Section 6: EXECUTION AND APPROVAL 6.1 The Parties warrant that the officers executing below have been duly authorized to act for and on behalf of the Party for purposes of confirming this Agreement. 6.2 This Agreement may be executed in any number of counterparts, each of which, when so executed and delivered, shall be an original, but such counterparts shall together constitute but one and the same. lnterlocal Aquifcr Protection Area Page 4 of 5 5114853 Pao { 08 412004 o 06-33P OREANNEW. MY Of SPOM KR $23.00 Spokane Co, EA IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year opposite their respective signatures. / 4V �IJE ATTEST: VICKY M. DALTON CLERK OF THE BOARD BY: Daniela .Erickson, Deputy CITY OF SPOKANE VALLEY: By: ( z __ : � �z Z � �' �- DAVID R. MERCIER Its: City Manager HATE D: l) '�Ly b ATTEST: Christine Bainbridge, City Clerk BOARD OF COUNTY COMMISSIONERS OF SPOKANE COUNTY, WASHINGTON Chris Bainbridge From: Rawls, Bruce [BRawls @spokanecounty.org] Sent: Tuesday, August 31, 2004 8:12 AM To: Neil Kersten Subject: APA Split for 2006 -2025 Attachments: APA Split.xls Follow Up Flag: Follow up Flag Status: Flagged Neil: I took a cut at what the revenues and expenditures could be if the City of Spokane is not in the Regional APA. There are 3 sheets in the attached spreadsheet file. It should open to the summary, and then there are 2 detailed sheets that roll up to the summary. Give me a call if you have any questions. «APA Split.xls>> Thanks, Bruce Rawls Spokane County Utilities Director (509) 477 -3604 1 APA Revenues Allocation W/ SPK City Annual Proportional Share Item Inflation Factor after year 20101 20041 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 1 Admin & Billing 2.50% 220;000$'::,, . 225,500. $ 231,138 -$ 381,000 $ i'1901 525: $ 400,288 49.89 % - -$. 500,000 $ - - - 500,000: $ 500,000 $ 1,549,000 $. -. -:. 1,557,900 $1,566,633 22.43% 27.68% - - $ 100,000 100,000. $ 100,000 $ 236,916 $ 242,839 1 $ 248,910 $ 255,133 $ 261,511 $ 268,049 $ 274,750 $ 281,619 $ 288,659 2 A uifer Monitorin and WQ Admin 2.50% $ 410,295 $ 420,553 $ 431,067 $ 441,843 $ 452,889 $ 464,212 $ 475,817 $ 487,712 $ 499,905 3 City of Spokane $ 500,000 $ 500,000 $ 500,000 $ 500,000 $1,101,327 $1,105,099 $1,108,758 $ 1,112,301 $1,115,722 4 County/Spokane Valley $1,575,190 $1,583,565 $1,591,748 $1,599,733 5 County $ 495,144 $ 496,840 $ 498,486 $ 500,076 $ 501,616 6 Spokane Valley $ 611,039 $ 613,132 $ 615,162 $ 617,127 $ 619,025 7 1 Health District $ 100,000 $ 100,000 $ 100,000 $ 100,000 0 0 0 0 0 TOTAL REVENUES 0.87% $ 2,750,000 $ 2,773,925: - -. $2,798,058 $2,822,401 $2,846,956 $2,871,725 $2,896,709 $2,921,910 $2,947,331 $2,972,972 $ 2,998,837 $3,024,927 Annual Proportional Share Total Inflation Factor afteryear2010 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2006 -2025 1 Admin & Billing 2.50% $ 295,876 $ 303,272 $ 310,854 $ 318,626 $ 326,591 $ 334,756 $ 343,125 $ 351,703 $ 360,496 $ 369,508 $ 5,904,328 2 Aquifer Monitoring and WQ Admin 2.50% $ 512,403 $ 525,213 $ 538,343 $ 551,802 $ 565,597 $ 579,737 $ 594,230 $ 609,086 $ 624,313 $ 639,921 $ 10,225,223 3 Cit of S okane 49.89% $ 1,119,016 $ 1,122,178 $1,125,204 $1,128,087 $1,130,823 $1,133,406 $1,135,830 $1,138,089 $1,140,177 $1,142,088 $ 19,358,105 4 County/Spokane Valle $ 7,916,868 5 County 22.43% $ 503,097 $ 504,519 $ 505,879 $ 507,176 $ 508,406 $ 509,567 $ 510,657 $ 511,672 $ 512,611 $ 513,470 $ 7,579,220 6 Spokane Valley 27.68% $ 620,853 $ 622,608 $ 624,286 $ 625,886 $ 627,404 $ 628,837 $ 630,182 $ 631,435 $ 632,594 $ 633,654 $ 9,353,224 7 Health District 1 01 0 0 0 0 0 0 0 0 0$ 500,000 TOTALREVENUES 0.87% $ 3,051,244 $ 3,077,790 $3,104,567 $3,131,576 $3,158,821 $3,186,303 $3,214,024 $3,241,986 $3,270,191 $3,298,642 $60,836,969 APA Split.xls APA Revenues Allocation W/O SPK City Annual Proportional Share after year 2010 .::::2004 -..- . 2005 2006 Item Inflation Factor 2007 2008 2009 2010 2011 2012 2013 2014 2015 1 Admin & Billing 2.50% $ '. 132,000 $ '135,300,'. $ 138,683 $ '. 381,000 $ _' '390,525' - -. $ 240,173 $ - $ -'. $ - $ : 764,750 $ 763,911 $ 972,972 4476% 55.24% - $. ` 100,000 $ 100,000 $ 50,000 $ 142,150 $ 145,703 $ 149,346 $ 153080 $ 156,907 $ 160,829 $ 164,850 $ 168,971 $ 173,195 2 Aquifer Monitoring and WO Admin 2.50% $ 246,177 $ 252,332 $ 258,640 $ 265,106 $ 271,734 $ 278,527 $ 285,490 $ 292,627 $ 299,943 3 City of Spokane $ - $ - $ - $ - $ - $ - $ - $ - $ - 4 County /Spokane Valle $ 975,696 $ 978,290 $ 980,748 $ 983,066 - - - - -- - -- 5 County $ 463,372 $ 464,276 $ 465,110 $ 465,871 $ 466,556 6 Spokane Valley $ 571,865 $ 572,981 $ 574,009 $ 574,948 $ 575,794 7 Health District $ 50,000 $ 50,000 $ 50,000 $ 50,000 01 0 01 0 0 TOTAL REVENUES 0.87% $° 1,377,750 $ 1,389,736'' $1,401,827 $1,414,023 $1,426,325 $1,438,734 $1,451,251 $1,463,877 $1,476,613 $1,489,459 $ 1,502,417 $ 1,515,489 Annual Proportional Share Total Inflation Factor afteryear2010 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2006 -2025 1 Admin & Billing 2.50% $ 177,525 $ 181,963 $ 186,513 $ 191,175 $ 195,955 $ 200,854 $ 205,875 $ 211,022 $ 216,297 $ 221,705 $ 3,544597 2 Aquifer Monitoring and WQ Admin 2.50% $ 307,442 $ 315,128 $ 323,006 $ 331,081 $ 339,358 $ 347,842 $ 356,538 $ 365,451 $ 374,588 $ 383,952 $ 6,135,134 3 City of Spokane $ - $ - $ - $ - $ - $ - $ $ $ - $ - $ - 4 County/Spokane Valle - - - -- - ---- -- -- - -- ---- - --- $ 4,890,772 5 County 44.76% $ 467,163 $ 467,689 $ 468,131 $ 468,487 $ 468,752 $ 468,925 $ 469,001 $ 468,978 $ 468,852 $ 468,620 $ 7,009,782 6 Spokane Valle 55.24% $ 576,543 $ 577,193 $ 577,738 $ 578,177 $ 578,505 $ 578,718 $ 578,812 $ 578,783 $ 578,628 $ 578,342 $ 8,651,036 7 Health District 0 0 0 0 0 0 0 0 0 0$ 250,000 TOTALREVENUES 0.87% $ 1,528,673 $ 1,541,973 $1,555,388 $1,568,920 $1,582,569 $1,596,338 $1,610,226 $1,624,235 $1,638,366 $1,652,619 $30,479,322 Assume that Admin and Billing, and Aquifer Monitoring will decrease by 40 % under this scenario, after Year 2005. And, that the Health Distict will get 50 % allocation for years 2006 -2010. APA Split.xls APA Revenue Allocation Scenarios Years 2006 -2025 Scenario # 1 Scenario # 2 With City of Spokane Without City of Spokane Item in Regional APA in Regional APA 1 Admin & Billing $ 5,904,328 $ 3,542,597 2 Aquifer Monitoring and WQ Admin $ 10,225,223 $ 6,135,134 3 City of Spokane $ 19,358,105 $ - 4 County/Spokane Valley Sewers 2006 -2010 $ 7,916,868 $ 4,890,772 5 County APA Projects 2011 -2025 $ 7,579,220 $ 7,009,782 6 Spokane Valley APA Projects 2011 -2025 $ 9,353,224 $ 8,651,036 7 Health District $ 500,000 $ 250,000 TOTAL REVENUES $ 60,836,969 $ 30,479,322 NOTES: 1) It has been assumed that Admin & billing costs will decrease 40 % in Scenario # 2 2) It has been assumed that Aquifer monitoring budgets will be reduced by 40 % in Scenario # 2 3) It has been assumed that the Health District would get $100 k annually for 2005 -2010 in Scenario # 1, and $50 k annually in Scenario # 2.. 6 -Year Plan Stormwater Utility 2010 1 2011 1 2012 1 2013 1 2014 1 2015 Total Expenditure $2,381,215 $2,251,259 $2,318,797 $2,388,361 $2,460,011 $2,533,812 ERU's* 84,409 86,097 87,819 89,576 91,367 93,194 Rate $21 $21 $21 $21 $21 $21 Revenue: Property Tax $1,772,591 $1,808,042 $1,844,203 $1,881,087 $1,918,709 $1,957,083 Interest $17,436 $17,785 $18,141 $18,504 $18,874 $19,251 Revenue: APA Fees 1 $500,0001 $500,0001 $500,0001 $500,0001 $500,000 NPDES Grant $50,000 $300,000 Fund Balance ** $i,475,6121 $1,850,1811 $1,893,7281 $1,904,9591 $1,882,530 $1,825,053 * ERU estimate annual increase at 2% Stormwater Utility 6 -Year Plan 2011.xls CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 5, 2010 City Manager Sign -off: Item: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation AGENDA ITEM TITLE: Aquifer Protection Area (APA) Interlocal GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: APA Interlocal was approved by Council on July 27, 2004 BACKGROUND: Attached is the RCA from July 27, 2004 which outlines the background and use of the funds for the APA and an e -mail from Bruce Rawls dated August 8, 2004 with three attached spreadsheets that detail the estimated revenues and expenditures of the APA funds as outlined in the Interlocal agreement. OPTIONS: RECOMMENDED ACTION OR MOTION: BUDGET /FINANCIAL IMPACTS: STAFF CONTACT: Neil Kersten ATTACHMENTS: RCA July 27, 2004, 2004 APA Interlocal Agreement, E -mail from Bruce Rawls and attached Spreadsheets, Stormwater 6 -year Financial Plan Ij 9r d III `, yp s 111 } 1 1 I n1nu ==- -= = - - ° IFS o�, • LB I uulluuG _ --- _= _uunnn l lI lnlnlnl l lI 111 pp lI lmm�nn lI � _� =- Anne= = = = =.. _ ,!` �= IIdIIIIYIIIIIIIIIIIIIIIN IIIII,11!llllllll� _ s =11111YIIII11111�11?? _� - I�_ I .�'- ' 'I��rr I Ip•�I � ■�■91 '• I I : II • __ 111I iiiJ� = -_ _= r �__ =aI� I___ �9 't r as =z = - •___ --��L_ III r '" NI �� •• a - nNn : =1 � .�...C.�A.. =. -- __ _- , —,I -- � 1�� IIIIIIII -I' •• I_�._`� -_== 11. _ __ --- - a::::::.::.' 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Consent Agenda (Claims, minutes, payroll) (5 minutes) 3. Second Reading Ordinance to adopt 2011 Budget - Ken Thompson (30 minutes) 4. Motion Consideration: CDBG Projects - Scott Kuhta (15 minutes) 5. Motion Consideration: Lease Agreement with Community Colleges of Spokane - Mike Stone (10 minutes) 6. Motion Consideration: Lease Agreement with Central Valley School District - Mike Stone (10 minutes) 7. Advance Agenda (5 minutes) [ *estimated meeting: 85 minutes] (A WC Regional Meeting, Spokane: October 13, 2010, 6 -8 p.m. CenterPlace)) October 19, 2010, Study Session Format, 6:00 p.m. 1. Law Enforcement Police Forensics - Rick VanLeuven /Carrie Johnson 2. Semi - Trucks Parking - Rick VanLeuven 3. Panhandling Update - Rick VanLeuven 4. Report Back to Council: Community Blvd - Lori Barlow 5. Easement Request - Cary Driskell 6. Business Registration Amendments - Cary Driskell 7. Public Record Amendments - Cary Driskell 8. Advance Agenda October 26, 2010, Formal Meeting Format, 6:00 p.m. 1. Consent Agenda (Claims, minutes, payroll) 2. Advance Agenda 3. Info Only: Department Reports [due date Mon, Oct 11] (20 minutes) (10 minutes) (10 minutes) (30 minutes) (10 minutes) (15 minutes) (10 minutes) (5 minutes) [ *estimated meeting: 110 minutes] [due date Mon, Oct 18] (5 minutes) (5 minutes) [*estimated meeting: minutes] November 2, 2010, Study Session Format, 6:00 p.m. [due date Mon, Oct 25] 1. Spokane Transit Authority Presentation - Susan Meyer (30 minutes) 2. Broadcasting Options - Mayor Towey (20 minutes) 3. Admin Report: Fee Resolution Proposed Changes - Ken Thompson (15 minutes) 4. Admin Report: Code Text Amendment CTA 08 -10 (Mixed Use) - Micki Harnois (20 minutes) 5. Advance Agenda (5 minutes) [ *estimated meeting: 90 minutes] November 9, 2010 Formal Meeting Format, 6:00 p.m. jdue date Mon Nov 1] 1. Consent Agenda (Claims, minutes, payroll) (5 minutes) 2. Second Reading Public Record Amendments - Cary Driskell (15 minutes) 3. Second Reading Business License Amendments - Cary Driskell (10 minutes) 4. First Reading Public Record Amendments - Cary Driskell (15 minutes) 5. First Reading Business Registration Amendments - Cary Driskell (10 minutes) 6. First Reading Ordinance Amending Mixed Use, Code Text Amendment CTA 08 -10 - Micki Harnois (20 min) 7. Proposed Resolution Amending Fee Resolution - Ken Thompson (15 minutes) 8. Advance Agenda (5 minutes) [ *estimated meeting: 95 minutes] Draft Advance Agenda 9/30/2010 4:03:25 PM Page 1 of 2 November 16, 2010, Study Session Format, 6:00 mm. [due date Mon, Nov 8] 1. Second Reading Proposed Ordinance Amending Mixed Use, CTA 08 -10 — Micki Harnois (10 minutes) 2. Hotel /Motel Grant Proposals for 2011 — Ken Thompson (20 minutes) 3. Advance Agenda (5 minutes) [estimated meeting: minutes] November 23, 2010 Thanksgiving Week (tentative, no meeting) November 30, 2010, Tentative No Meeting: Council attends NLC in Colorado (Nov 30 -Dec 4) December 7, 2010, Study Session Format, 6:00 p.m. [due date Mon, Nov 29] 1. Advance Agenda 2. Info Only: Department Reports (normally for the Nov 23 meeting) [ *estimated meeting: minutes] December 14, 2010, Formal Meeting Format, 6:00 p.m 1. Consent Agenda: Minutes, Claims, Payroll 2. Second Reading Public Record Amendments — Cary Driskell 3. Second Reading Business Registration Amendments — Cary Driskell 4. Motion Consideration: Allocation of Hotel /Motel Grant Proposals for 2011 5. Motion Consideration: Mayoral Appointments (Planning Commission, etc.) [est December 21, 2010, Christmas Week (tentative, no meeting) [due date Mon, Dec 6] (5 minutes) (15 minutes) (10 minutes) - Ken Thompson (15 min) (15 minutes) imated meeting: 60 minutes] December 28, 2010, Formal Meeting Format, 6:00 p.m. [due date Mon, Dec 20] 1. Consent Agenda: Minutes, Claims, Payroll (5 minutes) 2. Info Only: Department Reports January 4, 2011, Study Session Format, 6:00 p.m. [due date Mon, Dec 27] OTHER PENDING AND /OR UPCOMING ISSUES /1V Affordable Housing Participation Alternative Analysis (contracts) Area Agency on Aging Bidding Contracts (SVMC 3. — bidding exceptions) Capital Projects Funding Clean Air Agency Concurrency East Gateway Monument Structure 4 Jail Update Liquor Initiatives Milwaukee Right -of -way Overweight/over size vehicle ordinance Parking/Paving Options (Development paving options for driveways, etc.) Reimbursement Assessment Amendment Signage (I -90) Solid Waste Amended Interlocal Special Events Pen Training Speed Limits Sprague Appleway Corridor Environ.Assessment IEETINGS: Sprague Avenue: One -way vs. two -way Street Maintenance Facility Transportation Benefit District Interlocal Transportation Benefit District: (a). Establish ord.; (b) set public hearing; (c) draft resolution; (d) ballot language Transportation Impacts Wastewater Treatment Plant WIRA, Water Protection Commitment, public education 4 = Awaiting action by others * = doesn't include time for public or council comments Draft Advance Agenda 9/30/2010 4:03:25 PM Page 2 of 2