SUMMARY MINUTES OF REGULAR MEETING

Monday, October 21, 2019 Council Chambers - Shoreline City Hall

7:00 p.m. 17500 Midvale Avenue North

PRESENT: Mayor Hall, Deputy Mayor McConnell, Councilmembers McGlashan, Scully, Robertson, and Roberts

ABSENT: Councilmember Chang

1. CALL TO ORDER

At 7:00 p.m., the meeting was called to order by Mayor Hall who presided.

2. FLAG SALUTE/ROLL CALL

Mayor Hall led the flag salute. Upon roll call by the City Clerk, all Councilmembers were present with the exception of Councilmember Chang. Councilmember Robertson moved to excuse Councilmember Chang for health reasons. The motion was seconded by Deputy Mayor McConnell and passed unanimously, 6-0.

3. REPORT OF CITY MANAGER

Debbie Tarry, City Manager, provided reports and updates on various City meetings, projects and events.

4. COUNCIL REPORTS

Mayor Hall announced the certification of Shoreline’s continued recognition as a Tree City USA.

5. PUBLIC COMMENT

There was no public comment.

6. APPROVAL OF THE AGENDA

The agenda was approved by unanimous consent.

7. CONSENT CALENDAR

Upon motion by Councilmember Scully and seconded by Deputy Mayor McConnell and unanimously carried, 6-0, the following Consent Calendar items were approved:

(a) Approving Minutes of Regular Meeting of September 30, 2019

Approving Minutes of Special Dinner Meeting of October 7, 2019

(b) Authorizing the City Manager to Execute an Amendment to the Contract with Dorsey & Whitney LLP for Legal Assistance in the Amount of $80,100 for Matters Related to the Development Agreement with Merlone Geier Partners Pertaining to Shoreline Place

8. STUDY ITEMS

(a) 2019-2020 Mid-Biennial Budget Update

Sara Lane, Administrative Services Director delivered the staff presentation. She was joined by Rick Kirkwood, Budget Supervisor. Ms. Lane said that a mid-biennium review is part of the Biennial Budget process. She provided a financial update, including stating that the General Fund Revenue Collection is estimated to exceed what was predicted for 2019 and she reviewed the Fund performance levels in various categories. She said that expenditures are trailing the planned budget for 2019, but with a Biennial Budget the City will not have to go through a carryover process for projects that stretch into 2020.

Ms. Lane displayed a chart outlining the intended uses of the General Fund Reserves and shared comparison data for both projected and actual balances. She described the salary and benefit considerations, stating that the actual 2020 Cost of Living Adjustment matches the forecasted 2.2% and that there are no changes to the salary table, but that the Mid-Biennium update does include recommended position title changes.

Ms. Lane said there are some supplemental (amendment) requests and explained that because this is a mid-biennial process, the Departments were asked to restrict requests to address emerging issues, adjust estimated budget items, and to recognize grant funding. She said the amendments are all detailed in the Staff Report.

Ms. Lane reviewed the impact of the proposed amendments by Fund on the 2019-2020 Biennial Budget and stated that accepting the amendments would adjust the 2019-2020 Budget from $209,744,780 to $218,252,787. She informed the Council that as updates were made to the Ten-Year Financial Sustainability Model it was determined that the projected budget gaps have been pushed out to 2024, a year beyond originally anticipated.

Ms. Lane said that the key Capital Improvement Plan (CIP) issues in this review include an increase in forecast for Real Estate Excise Tax; and updates to recognize funding and address emerging issues. She said a full CIP update will come from Public Works at a future meeting.

Ms. Lane provided an overview the Fee Schedule adjustments. She reviewed the timeline and next steps for the Mid-Biennial Budget Update Process.

Councilmember Roberts said he is not convinced the City’s plan to support the Census is enough. He suggested funding for a stand-alone mailer to convey the message that participating in the Census is important and to make sure Shoreline’s residents are counted.

Councilmember Roberts confirmed that so far this year over $100,000 has been spent on pool maintenance. Ms. Lane said that while the CIP has $20,000 budgeted for major maintenance, there is an expectation for unforeseen repair expenses that are covered in the Facilities Operating Fund. Councilmember Roberts suggested that the Council have a broader discussion about the impacts of maintaining the pool.

Councilmember Roberts asked for elaboration on the decision to propose a new fee for the Comprehensive Plan Amendment process and expressed concern that the fee would discourage people from participating in the process. Ms. Lane said she would follow-up with a response.

Mayor Hall commented that while it looks like a large budget increase, the majority of changes are backed by new grant revenue. Deputy Mayor McConnell said she would support an increase in the grant matching process if the City identifies a need for it.

Mayor Hall remarked on the efficiency of the mid-biennium review process.

(b) Discussing the Shoreline Aquatics, Recreation and Community Center Project – Alternative Delivery Method

Randy Witt, Public Works Director, delivered the staff presentation. He explained that tonight’s discussion is focused on describing Alternate Delivery Methods for the Shoreline Aquatics, Recreation and Community Center (ShARCC) Project if funding is approved by voters. He said that staff is recommending looking at using an Alternative Project Delivery method in order to meet the planned opening date and to hold costs within the budget.

Mr. Witt described the standard Design-Bid-Build method and explained that it is less than optimum for the ShARCC because a sequential process adds time to a project the size and complexity of this facility. He said the State allows for alternative project delivery methodologies and he described the criteria and differences between the alternatives of Design/Build (D/B) and General Contractor/Construction Manager (GC/GM) approaches. He said staff feels it is likely the City would be approved to utilize the D/B approach for this project, and that the City could probably qualify for the GC/CM method, as well. He explained the process, structures, and schedules of the traditional and progressive D/B and GC/CM approaches and listed pros and cons for the owner/agency. He explained that the State would require that the City have a solid team to manage the selected approach. Mr. Witt said that Parametrix has been selected as the project management consultant, should Proposition 1 pass, and described the company’s qualifications and their participation in all phases of the project. He listed the next steps in the process if Proposition 1 passes.

Councilmember McGlashan said he is leaning toward using a form of alternative project delivery, although he recognizes it would require increased staffing levels. He asked if there was an estimate of staffing costs. Mr. Witt said that information will become clearer later and reiterated that it will be necessary to have staff involved in the project to ensure the design meets the identified priorities. Councilmember McGlashan said it is important to retain design control for the ShARCC.

Councilmember Robertson clarified that the intent of this presentation is to inform the Council of possible Alternative Project Delivery methods, not to select a specific method. She said she agrees that design flexibility and cost are key factors and are more important than timeline.

Councilmember Scully said that although he is concerned about the unknowns of alternative methods of delivery, he supports researching the alternatives to determine the most efficient project approach and suggested that the traditional Design-Bid-Build model be evaluated by Parametrix, as well. He said that because of the technical aspects of this decision he would like a staff recommendation on the preferred alternative method of delivery.

Councilmember Roberts confirmed that there will be ongoing opportunities for the community to get information and give input on building design.

Deputy Mayor McConnell agreed with the importance of community outreach and the opportunity for input, and she encouraged the City to collect feedback broadly. She said efficiency is important, but the design timeline should not be rushed.

Mayor Hall agreed that all options should be explored since the existing pool is past the end of its useful life. He commended staff for the advance planning that will make it possible to get the project efficiently underway should the Proposition pass.

9. ADJOURNMENT

At 7:45 p.m., Mayor Hall declared the meeting adjourned.

/s/Jessica Simulcik Smith, City Clerk