CITY OF SHORELINE
SHORELINE CITY COUNCIL
Monday, November 6, 2017 Conference Room 303 - Shoreline City Hall
5:45 p.m. 17500 Midvale Avenue North
PRESENT:
Mayor Roberts, Deputy Mayor Winstead, Councilmembers
McGlashan, Scully, McConnell, and Hall
ABSENT: Councilmember Salomon
STAFF: Debbie Tarry, City Manager; John Norris, Assistant City Manager; Scott MacColl, Intergovernmental Program Manager; and Bonita Roznos, Deputy City Clerk
GUESTS: Kenmore City Council: Mayor David Baker, Councilmembers Milton Curtis, Stacey Denuski, Nigel Herbig, Brent Smith; and City Manager Rob Karlinsey and Assistant City Manager Nancy Ousley
Lake Forest Park City Council: Mayor Jeff Johnson, Deputy Mayor Catherine Stanford, Councilmembers Semra Riddle, John Wright, Phillippa Kassover,
Mark Phillips; and Lake Forest Park City Administrator Peter Rose
At 5:46 p.m., the meeting was called to order by Mayor Roberts.
Cities Update
Kenmore City Manager Rob Karlinsey shared about the City’s Downtown Development Project. He explained that the project includes mixed-use buildings with commercial, restaurants, and the Hangar Community Building with the goal of creating a walkable downtown. He talked about the need for buildings to go vertical to accommodate more density. He shared that the Lodge at Saint Edwards is being restored to its full value to preserve the historic integrity of the building and expressed excitement about the 50 acre Lakepointe Development Project on Lake Washington where Sammamish River enters the lake.
Lake Forest Park Mayor Jeff Johnson shared that the City incorporated in 1961 and is a bedroom community situated in a forest like environment, and stated the residents prefer to keep it as such. He shared the City’s major projects include studies for creeks and culverts, a Safe Highway, and Safer Streets. He commented on the City’s efforts to ensure State Routes 104 and 522 are safe, can accommodate more transit, and are walkable and bikeable. He shared that they are developing a Central Subarea Plan to accommodate growth and upgrade the Town Center, and a Park, Recreation and Open Space and Trails Plan. He stressed the importance of developing partnerships with neighboring cities.
Shoreline City Manager Debbie Tarry shared that the City adopted a Parks, Recreation, and Open Space Plan that includes a plan for a future Community and Aquatics Center, adding park space in the Light Rail Station Subareas, and requires a $100 Million investment in the first six years. She shared that the Surface Waster Master Plan has been updated and a proactive approach will be implemented to reduce flooding and improve water quality. She shared that the City’s new customer focused website debuted last week and includes integrated features for persons with disabilities. She shared about the City’s ongoing Diversity and Inclusion efforts, including cultural shares, support for the LQBTQ community, and internal training for staff. She talked about the upcoming Shoreline School District Development projects and Shoreline Community College’s on-campus housing project.
Sound Transit 2 & 3
Scott MacColl, Shoreline Intergovernmental Program Manager, referenced an article from Sunday’s paper about Sound Transit’s efforts to reduce costs and still ensure that the Lynnwood Link Extension Project is viable. He shared that the opening of the future Light Rail Stations has moved to 2024.
Deputy Mayor Stanford stressed the importance of working together to prevent cuts to ST3 and said she is glad Shoreline has the ST2 Project. She commented on the need for transit connections to the 185th Street Station and said there is still work to do and that citizens’ concerns about cut through traffic need to be addressed. She said the City is also working to provide non-motorized access to the Town Center and corridor connections to get people to and from the ST3 Station at Town Center and safely across SR 522.
Councilmember Kassover shared about Lake Forest Park’s Open House for the Safe Highway and Street Studies. She said residents expressed concerned with Bus Rapid Transit because of the bottleneck at the 145th Street and Interstate 5 (I-5) Interchange. She suggested hosting a joint open house to discuss the 522 Corridor and plans for the 145th Street Interchange. She pointed out that there are already traffic problems on State Route 104 and Ballinger Way and that traffic will probably increase with the opening of the 185th Street Light Rail Station.
Councilmember Riddle suggested using technology to combat cut through traffic, like contacting Google Maps to have streets removed as alternative routes from map directions, and creating a separate drop off area for autonomous cars and Uber drivers. She commented on Lake Forest Park’s priority to make it safe for pedestrian and bicyclist to cross SR 522. Councilmember Wright commented on the importance of also having bus and motorized connections to Lake Forest Park’s Town Center. He said transit access and feeder lines need to be preserved and talked about capitalizing on investments in cities to address park and rides, safety and corridor improvements, solve problems, and spur economic development within Town Center. He pointed out the need to focus less on property taxes to fund local government.
Councilmember Curtis pointed out that 145th Street is owned by multiple jurisdictions and asked how that communication process is going. Mr. Norris responded that Shoreline City Staff is working with Sound Transit and Washington State Department of Transportation Staff on the Interchange, and that more conversations are starting as the corridor planning process begins. Ms. Tarry noted that 145th Street and Lake City Way is a key intersection to address, and communicated that it has been a challenge to have the City of Seattle in the room for these discussions. Mr. Norris added that the proposed change of the 185th Street Light Rail Station parking garage to the eastside of I-5 has significantly reduced costs, and said he does not believe that Lake Forest Park will be effected by additional cut through traffic.
Deputy Mayor Stanford recommended a joint approach to engage the City of Seattle to ensure that the 145th Street will work. Councilmember Herbig commented on the importance of the City of Seattle being at the table for discussions, and stated as Light Rail moves north, the potential for traffic passing to Shoreline increases. He recommended creating a voice of one and communicating these issues as a regional problem. Councilmember McConnell and Mr. MacColl recommended using the SeaShore Transportation Forum to have these discussions and encouraged outreaching to the members. Councilmember McConnell said the importance of connectivity to the Stations is being communicated to Metro and Community Transit for new and better extended routes, and suggested participating in a joint meeting with the City of Seattle following the election.
Mr. Rose stated that a corridor consultant is looking at the 145th Street/Bothell Way intersection and Shoreline’s plan for better phasing and timing, and stressed the importance of ensuring bus stops are located in the right locations. Mayor Baker expressed concerned that buses will be full to capacity, questioned the frequency of service that will be provided, and said plans need to ensure that residents can get to and from the Light Rail Stations.
Mayor Roberts stated that Shoreline staff members are working with Community Transit and Metro for a seamless transition, talked about plans for pedestrian/bike improvements at and around the Stations in ST2, but said he is not certain about plans to deal with cut through traffic to the 185th Street Station.
Efforts to Address Sheltering
Mayor Roberts shared Shoreline’s efforts to assist with homelessness include providing funding support to Compass Housing, Mary’s Place, and Vision House. He shared that the City devoted a property for an affordable housing development and is currently working with King County Housing and Community Development on this project.
Councilmember Riddle commented that Lake Forest Park partners with service providers like the Center for Human Services, Mary’s Place, and other private non-profits to help address these issues. She discussed the dangers facing elderly single women and noted that the homeless and disadvantaged in the City are a hidden and transient population.
Councilmember Kassover shared about her work on the North Urban Human Services Alliance Board that advocates for and provide human services to the homeless, and encouraged Councilmembers to join. She commented on the need to communicate as one voice to the County and the State that poverty is also a suburban problem.
Councilmember Herbig shared that Mary’s Place, with 80 beds, recently opened in Kenmore and that the City partners with other human services partners to provide services and shelter. He agreed that homelessness is a regional issue.
Mayor Johnson shared about his work with the Union Gospel Mission and the services the Mission provides to homeless and drug addicted youth, figuring out real solutions to make their lives better, and encouraged Councilmembers to volunteer.
Councilmember Hall commented on the need for the Association of Washington Cities and Sound Cities Association to understand that all poor people do not reside in South King County and that poverty is not only a South King County problem.
Accommodating Seniors
Mayor Baker pointed out that 35% of the homeless population on the street are Seniors, and said they are being squeezed out of housing and required to choose between eating or purchasing medicine. He questioned how more housing can be provided to seniors and suggested the development of a Regional County Task Force on Housing. He talked about the difficulties Seniors facing homeless have, and said the younger generation of homeless can be retrained, but this is not the case with the Senior homeless population.
Mayor Roberts shared that the Shoreline City Council increased funding to the Senior Center, and are very proud to support it. He said the Center serves one-third of Shoreline residents, one-third Lake Forest Park residents, and one-third of residents from Seattle and other neighboring cities.
Councilmembers confirmed the need for the Cities to partner together on these issues and provide a united front and a regional voice.
At 6:46 p.m. the meeting was adjourned.
/S/Bonita Roznos, Deputy City Clerk
CITY OF SHORELINE
SHORELINE CITY COUNCIL
Monday, November 6, 2017 Council Chambers - Shoreline City Hall
7:00 p.m. 17500 Midvale Avenue North
PRESENT: Mayor Roberts, Deputy Mayor Winstead,
Councilmembers McGlashan, Scully, Hall, and McConnell
ABSENT: Councilmember Salomon
1. CALL TO ORDER
At 7:00 p.m., the meeting was called to order by Mayor Roberts who presided.
2. FLAG SALUTE/ROLL CALL
Mayor Roberts led the flag salute. Upon roll call by the City Clerk, all Councilmembers were present with the exception of Councilmembers McConnell and Salomon.
Councilmember Hall moved to excuse Councilmember Salomon for personal reasons. The motion was seconded by Councilmember McGlashan and passed unanimously, 5-0.
(a) Proclamation of Veterans Appreciation Day
Mayor Roberts read a proclamation declaring Saturday, November 11, 2017, as Veterans Appreciation Day in the City of Shoreline. Dwight Stevens, members of the Shoreline Veterans Association, and Veteran Ken Potts of the 101st Airborne Division accepted the proclamation. Mr. Stevens invited everyone to the Veteran’s Day Program on Saturday, November 11, 2017 at City Hall, and said it was an honor to serve and to receive the proclamation. Mr. Potts thanked the Council and said he accepts the proclamation on behalf of those who served and did not make it back and for those who are still there. He said he is not a hero but had the distinct pleasure of serving alongside those who were.
At 7:03 p.m. Councilmember McConnell arrived to the meeting.
3. REPORT OF CITY MANAGER
Debbie Tarry, City Manager, provided reports and updates on various City meetings, projects and events.
4. COUNCIL REPORTS
Councilmember Hall reported attending the Association of Washington Cities (AWC) Meeting where he welcomed 25-30 elected officials to AWC’s Regional Meeting in Edmonds. He shared that they discussed legislative priorities, shared cities’ successes and challenges, and said Shoreline is not alone facing issues related to addiction, mental health, traffic, and housing, and that other cities are also dealing with these issues.
Councilmember McConnell reported attending the SeaShore Transportation Forum Meeting and said they were provided reports by Metro Connect and Community Transit about extending existing bus routes and adding new ones before the Light Rail Stations open.
Mayor Roberts announced that the City’s website was recently updated to make it more user friendly, and invited everyone to take a look at it. Deputy Mayor Winstead shared that she likes the new residents’ page and all the valuable information it contains.
Mayor Roberts stated that the Council met with Lake Forest Park and Kenmore City Councils at tonight’s Dinner Meeting to discuss collaborating around Sound Transit 3 and issues related to sheltering and assisting the senior population.
5. PUBLIC COMMENT
Lindsay Hanna, Shoreline resident and Forterra Representative, commented that the Landscape Conservation and Local Infrastructure Program (LCLIP) encourages Transfer Development Rights (TDR) which would generate new revenue for the City to help pay for infrastructure investments to support planned growth. She shared that the 145th Street and 185th Street Light Rail Station Subarea rezones could accept the credits. She said Forterra respectfully disagrees with staff’s recommendation to not purse the program and explained why. She said an updated analysis should be completed and would provide a clearer picture of the benefits of using the program.
Michael Murphy, King County TDR Program Manager stressed the importance of the TDR working for the City, County and the developers, and said he is eager to find a solution that works for all. He clarified that the only risk for not meeting milestones is that the County will discontinue the revenue share, and pointed out that if milestones are met the revenue share the City will receive can be up to 75% of the County's share of property tax revenues. He said the County is willing to share in the cost of updating the analysis report, stressed the importance of LCLIP to protect land, and urged the Council to keep conversations moving forward.
6. APPROVAL OF THE AGENDA
The agenda was approved by unanimous consent.
7. CONSENT CALENDAR
Upon motion by Deputy Mayor Winstead and seconded by Councilmember Hall and unanimously carried 6-0, the following Consent Calendar items were approved:
(a) Approving Minutes of Regular Meeting of October 2, 2017
(b) Adopting Ordinance No. 804 - Seattle Public Utilities Franchise Amendment
(c) Motion Authorizing the City Manager to Enter into an Agreement with the
Shoreline Fire Department to Accelerate the Fire Review for the School District
Development Permits
(d) Motion Authorizing the City Manager to Enter into an Agreement with the
Shoreline School District for Accelerated Permit Processing
8. ACTION ITEMS
(a) Public Hearing and Discussing Ordinance No. 807 - 2018 Property Tax and Revenue
Sources
Sara Lane, Administrative Services Director, and Rick Kirkwood, Budget Manager, provided the staff report. Ms. Lane shared that the 2018 Budget is available at Shoreline Libraries, City Hall, and on the City’s Website. She shared tonight’s emphasis will be on revenues and that 2018 Revenues total $85.142 Million. She said revenue sources are $8.690 Million in Use of Beginning Fund Balance and represents 10% of the total budget; $27.091 Million in Taxes and represents 32% of the total budget; $6.740 Million in Utility Taxes, Franchise Fees and Contract Payments and represents 8% of the total budget; $11.537 Million in Fees and Permits and represents 14% of the total budget; $8.644 Million in State and Federal Funding and represents 10% of the total budget; $6.383 Million in Grants and represents 7% of the total budget; $7.087 Million in Transfer Between Funds and represents 8% of the total budget; and $8.970 Million in Other and represents 11% of the total budget. She reviewed each fund in detailed. She shared that the General Fund Operating Resources is $48.099 Million, and that the General Fund Operating Revenue is $41.917 Million. She provided a detailed breakdown of revenue sources and noted the three major revenue sources are Property Tax, Sales Tax, and Franchise Fee/Contract Payments.
Ms. Lane stated that Ordinance No. 807 Regular Levy sets the levy at $12.760 Million, a levy rate of $1.31/$1,000 Assessed Value, and represents 30.4% of Operating Revenues. She reviewed how the levy rate and the McCleary Decision to fund education will impact Shoreline property owners. She shared the Surface Water Utility Fee shows a $45 annual rate increase to support the Surface Water Proactive Management Strategy Plan. She explained that the Wastewater Utility Fund Fee rate is set by the Ronald Wasterwater District (RWD) Board and that RWD retains all the funds; the City is then reimbursed $2.3 Million by RWD for the cost of operating the Utility. She reviewed how sales taxes are allocated, and explained that for each $10 spent in Shoreline, $1.00 of sales tax is generated, and the City receives 8.5 cents of that sales tax, representing 20.1% of Operating Revenues.
Ms. Lane then reviewed the following capital fund revenues:
· Vehicle license fees revenue currently set at $20, generating $780,000 annually and Council has the authority to increase it by an additional $20 to replace General Fund Contribution to Roads Capital, and for other transportation projects
· Real Estate Excise Tax is restricted and used for specific public works projects in the Comprehensive Plan and for Debt Services.
At 7:32 p.m. Mayor Roberts opened the Public Hearing. There was no one in the audience who wished to provide Public Comment and the Mayor closed the Public Hearing. He shared that public comment regarding this item can be provided at the Public Hearing scheduled for November 13, 2017 and at the 2018 Budget Adoption scheduled for November 20, 2017.
Mayor Roberts requested an amendment to the 2018 Budget to pay for membership to the United States Conference of Mayors. He said he finds their work of value and will assist with working with the Federal delegation. Deputy Mayor Winstead asked for a cost benefit analysis and expressed the organization was more appropriate for a strong mayor type of government.
9. STUDY ITEMS
(a) Discussing Landscape Conservation and Local Infrastructure Program (LCLIP)
Steve Szafran, Senior Planner, explained that the Landscape Conservation and Local Infrastructure Program (LCLIP) creates incentives for land conservation in the County and infrastructure improvements in the City. He said it encourages the transfer of development rights (TDR) with a public financial tool, credits added development potential in exchange for the preservation of natural and rural land in the County, and provides greater tax revenues for city infrastructure improvements. He explained the benefits and risks of participating in the program, and stated staff’s recommendation is to not implement it at this time.
Councilmember Scully asked about the disconnect between the information provided in the staff report and what the Forterra Representatives said about LCLIP, and when the City would be obligated to buy credits. Mr. Szafran responded that the City is not obligated to buy credits. Ms. Lane added that the financial risk occurs if the City issues debt to account for a revenue stream that is no longer provided by LCLIP. Councilmember Hall added that the issuance of a bond will require payment of the debt from other revenue streams.
Councilmember Hall shared that he would like to keep moving forward to take advantage of TDR. He agreed that Shoreline already offers a lot of incentives through form based code, but suggested TDR credits could be bought to get above the 70' height limit without requiring a developer agreement. He said he would also be comfortable considering allowing a limited number of developments to use TDR in lieu of housing affordability requirements. He conveyed that he does not want to do anything that would cost tax payers money, and noted that the program is worth implementing even though only a handful of cities have done so. He talked about the region’s rapid growth and the City’s goal to densify Shoreline. He stressed the need to preserve rural open spaces, farmland, and forests since they contribute to the quality of life in the region. He said moving forward with TDR is consistent with other actions the Council has taken like the Mountain to Sound Greenway Designation and Tree City USA.
Councilmember Scully said he agrees with Councilmember Hall on the benefits of the program, and talked about the difficulty of getting developers to buy credits. He stated that he hesitates to look at amending the affordable housing protections and said he does not want to lose those, or sacrifice one for the other. He proposed height options could include adding an extra story, or the City could consider dropping maximum allowable height if a Developer does not participate in affordable housing or LCLIP. He expressed that he shares staff’s concerns over whether this program will work long term, but said it is too soon to discontinue the process. He cautioned the City to never go out for a bond counting on LCLIP as a revenue source.
Councilmember McGlashan asked if the program requires the City to choose between affordable housing and TDR, and questioned why there cannot be both. Mr. Szafran responded that the affordability component is not associated with the 8-Year Property Tax Exemption Program (PTE), and conversely the 12-Year PTE requires developers to provide 20 units of affordable housing, and sees it as a one or the other situation. Ms. Lane added that developers would either payout money up front for the TDR, or get a long property tax exemption, and after doing the math they would choose one or the other. Mr. Szafran and Ms. Lane agreed that the Council could require a mandate. Councilmember McGlashan agreed to continue moving forward on this matter.
Deputy Mayor Winstead said she appreciates being presented both sides of the program and believes that the Council should not give up on it yet. She said she does not want to bond against something that is not a permanent revenue stream. She shared that she recently visited a hiking trail and commented on it being jammed packed, and said recreation opportunities in the region are desired and needed. She also expressed that she does not want to sacrifice affordable housing for the program.
Mayor Roberts said he generally agrees with his colleagues, but thinks that there are other priorities that should come before implementing LCLIP, and could include purchasing credits at the developer agreement level. He said it seems the majority of Councilmembers want to move forward with TDR, but he is not sure if LCLIP is the right program for Shoreline. He recommended revising the developer agreement to identity what the Council wants in exchange for providing additional height options. He asked how many developers are required to purchase credits at the minimum level to determine if the program is viable, and how credits are calculated. Ms. Lane responded that they would need to calculate that information and report it back to the Council. Mr. Szafran added that the Council’s makes the determination on how much they want to buy into the program, and can commit to all the credits or something less. Rachael Markle, Planning and Community Development Director, responded that it is the City’s discretion to determine how many credits would be required to add a floor above the height requirements.
Councilmember Hall pointed out that there are ways to reduce the transaction costs of getting into the program like adopting model language, instead of using an interlocal agreement, and establishing the regional marketplace that is allowed under State Law. He said he wants staff to continue working on the proposal, an updated analysis, and to talk about it at the Goal Setting Retreat, the Planning Commission Joint Meeting, and to get something in place by 2020.
Councilmember Scully clarified that his comments were pertaining to the LCLIP because there would be no tax revenue benefit to the City for just a TDR Program.
(b) Discussing Ordinance No. 805 - Final 2017 Budget Amendment
Sara Lane, Administrative Services Director, provided an overview of the 2017 Final Budget Amendment, stated the total amendment request shows a $16,905,561 decrease, primarily because the Wastewater Utility Fund reflects ten weeks of operational costs instead of a year. She said the Amendment is scheduled for adoption with the 2018 Budget on November 20, 2017.
(c) Discussing Ordinance No. 799 - Amending Shoreline Municipal Code Section
2.30.040 Establishing Maximum and Minimum Allotments for Employee Health
Benefits
Paul Itaoka, Human Resources Director, explained that the City’s current medical plans terminate January 1, 2018, and that Ordinance No. 799 establishes contributions towards new employee health plans and makes housekeeping corrections. She stated the next best plans have lower premiums and greater cost sharing at the point of service. She shared that to assist employees in the transition to the new plans the City is freezing its contributions at 2017 levels until the formula results in an increased contribution, which could take anywhere from one to three years.
10. ADJOURNMENT
At 8:13 p.m., Mayor Roberts declared the meeting adjourned.
/S/ Jessica Simulcik Smith, City Clerk