Loading...
09-20-2022 Council Packet - RegularCITY OF deral W Centered on Opportunity CITY COUNCIL REGULAR MEETING AGENDA City Hall — Council Chambers* *remote attendance option available via zoom September 20, 2022 — 6:30 p.m. The Mayor and Council encourage you use one of the following ways to participate in the meeting remotely if you are unable to attend in person: • Watch the meeting live via Zoom, Federal Way YouTube Channel, or FWTV Channel 21 (via Comcast) • Call in and listen to the live meeting: (888) 788-0099 or 253-215-8782 • Public Comment may be submitted in -person or online here; written comments are accepted here. • Zoom meeting code: 363 503 282 and passcode: 738163 CALL MEETING TO ORDER 2. PLEDGE OF ALLEGIANCE 3. MAYOR'S EMERGING ISSUES AND REPORT • Recent Events: South King Fire 9/11 Memorial on September 11; King County Regional Library's Science & Technology Maker Space opening on September 17 • Upcoming Events: Mayor's Day of Concern Annual Food Drive — Sat, September 24 • Follow-up regarding Police Report — John Hutton, Parks Director C1199161LviI►vi14LI11110 RULES: In accordance with State Law, the City of Federal Way prohibits any testimony regarding any campaign for election or promotion of, or opposition to, any ballot proposition during the public comment. City Council Rules of Procedure prohibit any personal, impertinent, threatening or slanderous remarks during public comment. The Mayor may interrupt comments that continue too long or violate the rules of conduct. No speaker may convey or donate their time for speaking to another speaker. The Mayor has the authority to preserve order at all meetings of the Council, and to cause the removal of any person from the meeting for being disorderly. All individual comments are limited to 3 minutes each. 5. PRESENTATIONS a. Proclamation: National Hispanic Heritage Month — September 2022 b. Proclamation: National IT Professionals Day — September 20 6. COUNCIL COMMITTEE AND REGIONAL COMMITTEE REPORTS • Parks/Recreation/Human Services/Public Safety Committee (PRHSPS) • Land Use/Transportation Committee (LUTC) The City Council may add items and take action on items not listed on the agenda. Regular Meetings are recorded and televised live on Government Access Channel 21. To view Council Meetings online please visit www.cityoffederalway.com. Council Committee and Regional Committee Reports continued... • Finance, Economic Development Regional Affairs Committee (FEDRAC) • Lodging Tax Advisory Committee (LTAC) • Deputy Mayor & Regional Committees Report • Council President Report 7. CONSENT AGENDA Items listed below have been previously reviewed in their entirety by a Council Committee of three members and brought before full Council for approval; all items are enacted by one motion. Individual items may be removed by a Councilmember for separate discussion and subsequent motion. a. Minutes: September 6, 2022 Regular Meeting b. Amendment 2 Underground Utility Locating Correction c. Department of Commerce Grant Authorization Request d. King County Registered Sex Offender Cost Reimbursement Agreement e. Puget Sound Auto Theft Task Force (PSATT) - 2022 Mini Grant Award f. Agreement between the Washington Traffic Safety Commission (WTSC) and the Federal Way Police Department to Provide Grant Funding for Traffic Enforcement g. Criminal Justice Training Commission (CJTC) Basic Law Enforcement Academy (BLEA) TAC-Officer Agreement h. Contracted Electrical Services Request for Quotes 8. PUBLIC HEARING a. 2021 Comp Plan Amendment and Development Agreement for the former Bally's Property (continued from August 9, 2022) • Staff Report: Natalie Kamieniecki, Associate Planner • Public Comment — 3 minutes each 9. COUNCIL BUSINESS a. Mayor presents 2023-2024 Proposed Biennial Budget b. Youth Commission Reauirements First Reading a. Council Bill #828/Ordinance:2021 Comp Plan Amendment and Development Agreement for the former Bally's Property AN ORDINANCE OF THE CITY OF FEDERAL WAY, WASHINGTON, AMENDING THE FEDERAL WAY COMPREHENSIVE PLAN, COMPREHENSIVE PLAN MAP, AND ZONING MAP, CHANGING THE COMPREHENSIVE PLAN DESIGNATION AND ZONING OF 6.00 ACRES LOCATED AT THE SOUTHEAST CORNER OF 1ST AVENUE SOUTH AND SOUTH 328TH STREET, PARCEL NUMBER 172104-9038, FROM OFFICE PARK (OP) TO MULTI FAMILY (RM 1800), AND ADOPTING AN ASSOCIATED DEVELOPMENT AGREEMENT. (AMENDING ORDINANCE NOS. 90-43, 95-248, 96-270, 98-330, 00-372,01-405, 03-442, 04-460, 04-461, 04-462, 05-490, 5-491, 05-492, 07-558, 09-614, 10-671, 11-683, 13-736, 13-745, 15-796, 15-798, 18-843, 19-866 AND 21-907) The City Council may add items and take action on items not listed on the agenda. Regular Meetings are recorded and televised live on Government Access Channel 21. To view Council Meetings online please visit www.cityoffederalway.com. • Staff Report — presented during the public hearing • Public Comment — 3 minutes each 11. COUNCIL REPORTS 12. EXECUTIVE SESSION • Collective Bargaining Pursuant to RCW 42.30.140(4)(b) • Potential Litigation Pursuant to RCW 42.30.110(1)(i) 13. ADJOURNMENT The City Council may add items and take action on items not listed on the agenda. Regular Meetings are recorded and televised live on Government Access Channel 21. To view Council Meetings online please visit www.cityoffederalway.com. CITY OF k Federal Way PROCLAMATION "National Hispanic Heritage Month" WHEREAS, National Hispanic Heritage Month celebrates the Hispanic and Latino community and highlights its countless achievements; and WHEREAS, Hispanic Americans represent a significant and fast-growing demographic of the City of Federal Way; and WHEREAS, the Hispanic Heritage observance began in 1968 as Hispanic Herita e Week commemoration, first introduced by Congressman George E. Brown in June 1968, under President Lyndon Johnson; and WHP-REAS, Hispanic Heritage observance was expanded by President Ronald Reagan in 1998 to cover a 30-day period starting on September 15 and ending on October 15; and WHEREAS, this month's theme, "Unidos: Inclusivity for a Stronger Nation," is from Ms. Ily Soares. Ms. Soares reminds us having diverse voices in decision making will produce more thoughtful decisions, which read to more positive impacts for our, communities of color and everyone as a whole. , WHEREAS, National Hispanic Heritage Month acknowledges and appreciates the deep history, rich heritage, and invaluable contributions made by the ancestors of community members who came from Mexico, Spain, the Caribbean, South and Central America; and WHEREAS,. the independence anniversary for Latin American countries El Salvador, Guatemala, Costa Rica, Nicaragua, and Honduras is September 15, followed by the independence days of Mexico on September 16, and Chile on September 18; and WHEREAS, Hispanics have enhanced and added to our national character with centuries old traditions that reflect the multi -ethnic and multicultural customs making our nation stronger and richer in culture; and NOW THEREFORE, we the undersigned Mayor and City Council of the City of Federal Way,, do hereby proclaim September 15 — October 15, 2022 as, National Hispanic Heritage Month and do encourage all community members of Federal Way to honor and celebrate Hispanic roritributions and culture to our city's diversity. SIGNED. this loth day of Seltember„ 2022 FEDERAL WAYMAYOR AND CITY COUNCIL • im Ferrell, Mayo I5usan Honda,peputy Mayor Walsh, Councilmember dl - t �".: Lo-c�� Linda Kochmar, Council President 1k CITY OF 1. Federal Way PROCLAMATION "National IT Professionals Day" WHEREAS, National Information Technology (IT) Professionals Day celebrates IT technicians and analysts, developers and architects, engineers and administrators, managers, directors, and others who work behind -the -scenes to ensure our complicated city computer systems are safe and running smoothly; and WHEREAS, as witnessed in the regional and national news, defending against cyber- security threats and system vulnerabilities is a very real threat which requires a vast range of technology knowledge and computer system security awareness; and WHEREAS, Federal Way IT staff' often work weekends to maintain and upgrade citywide systems and security measures to mitigate against such cyber threats; and WHEREAS, government, and specifically Federal Way, have embraced technology and have become more dependent upon it daily for public outreach, permits, courts and law enforcement, engineers, attorneys and accountants, human resources and others; and WHEREAS, when these operations are running smoothly, it can be easy to forget about IT Professionals, until the system goes down or devices stop working properly, and they become the most important people in the building; and WHEREAS, we celebrate and thank our Information Technology team of Thomas, Brian, Erik, Anna, Jerry, Xiao, Colby, Yegor, Terry, and Anthony for their contributions to maintaining and enhancing the systems and technology we depend on daily. NOW THEREFORE, we, the Mayor and City Council do proclaim September 20, 2022 as National IT Professionals Day in Federal Way and extend appreciation to our dedicated City of Federal Way technology team who keep us able to conduct the business of the city and provide the services'that are necessary for our citizens. SIGNED this 2oth day of September, 2022 FEDERAL WAYMAYOR AND CITY COUNCIL l ;m Ferrell, Mayor f r uty Mayor Councilmember Ish, Councilmember &� a cJ— -��• Linda Kochmar, Council President Ho_ang V. TAyr-6quncilmember COUNCIL MEETING DATE: September 20, 2022 CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: CITY COUNCIL MEETING MINUTES ITEM #: POLICY QUESTION: Should the City Council approve the draft minutes for the September 6, 2022 Regular Meeting? COMMITTEE: N/A MEETING DATE: N/A CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Stephanie Courtney, City Clerk DEPT: Mayor's Office Attachments: Draft minutes for the September 6, 2022 Regular Meeting Options Considered: 1. Approve the minutes as presented. 2. Amend the minutes as necessary. MAYOR'S RECOMMENDATION: N/A MAYOR APPROVAL: N/A Committee Initial/Date COMMITTEE RECOMMENDATION: N/A N/A N/A CITY CLERK APPROVAL: Council Initial/Date N/A N/A Committee Chair Committee Member Committee Member PROPOSED COUNCIL MOTION: "I move approval of the minutes as presented. " (BELOW TO BE COMPLETED BY CITY CLERK's OFFICE COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED - 4/2019 RESOLUTION # CITY of V� Federal Way_T CITY COUNCIL REGULAR MEETING MINUTES City Hall — Council Chambers* *remote attendance option available via zoom September 6, 2022 — 6:30 p.m. 1. CALL MEETING TO ORDER Mayor Ferrell called the meeting to order at 6:34 p.m. City officials in attendance: Mayor Jim Ferrell, Council President Linda Kochmar, Deputy Mayor Susan Honda, Councilmember Lydia Assefa-Dawson, Councilmember Erica Norton, and Councilmember Jack Dovey. Councilmember Jack Walsh remotely attended. Mayor Ferrell excused Councilmember Tran. City staff in attendance: Interim City Administrator Brian Davis, City Attorney Ryan Call and City Clerk Stephanie Courtney. 2. PLEDGE OF ALLEGIANCE Mayor Ferrell led the flag salute. 3. MAYOR'S EMERGEING ISSUES AND REPORT Recent Community Events Mayor Ferrell reported on recent events in the community including the Amazon Fresh Ribbon cutting on August 11; Movies at Town Square Park on August 13; the Performing Arts and Event Center 5th Anniversary on August 19; and the Annual Lions Club Car Show on August 2. Update on King County Landmarks Commission — Camp Kilworth Mayor Ferrell reported the Landmarks Commission unanimously voted to approve the application making Camp Kilworth the first Historic Landmark in Federal way. Report on Licensing Requirements for Hotels and Motels Interim City Administrator Brian Davis provided updated information from FWRC 12.35.070 on the standards of safety and operation as identified in licensing requirements for permanent supportive and transitional housing, or emergency housing and shelter. Included is a requirement for a written security and emergency plan; prohibition of direct intake of residents without a referral; and the requirement to have a Federal Way City Council Regular Minutes Page 1 of 6 September 6, 2022 manager or operator on the premises at all times. Community Services Manager Sarah Bridgeford provided additional information and answers to Council questions. Council asked clarifying questions regarding violations and the process for revoking a license after it is issued if there is a high volume of violations. 4. PUBLIC COMMENT Rebecca Martin, the CEO of the Great Federal Way Chamber of Commerce, stated. the Chamber is withdrawing their application for ARPA funds. Mary Ehlis gave thanks to the many people involved in helping make Camp Kilworth a historical landmark; she was appreciative of the hard work over the years to save the camp. Nadiya Sheckler celebrated the designation of Camp Kilworth becoming a historical landmark, but raised awareness that the buildings are still in need of restoration in order to truly preserve the site. Dawn Meader McCausland gave thanks for the continued support of the camp and encouraged volunteers and leaders to help with the upcoming challenge of fundraising and restoring the buildings. Suzanne Vargo celebrated this first historical landmark for Federal Way and encouraged citizens to apply for more landmarks in Federal Way and was grateful to be a part of this process. Council President Kochmar and Deputy Mayor Honda thanked Mary Ehlis and everyone involved who worked for many years to save Camp Kilworth. Jim Ross expressed concerns about the Eastwind Motel and illegal activity happening there. He inquired to why a police report was not filed for a recent theft which included his property. Mayor Ferrell asked staff to follow-up with Mr. Ross and provide an update at the next City Council Meeting. Geoffrey Tancreadvocated for Catrise Dennis and the positive results she is accomplishing through her education program. Mr. Tancredi inquired how to go about requesting ARPA funding to help Ms. Dennis' school. Ken Blevens is frustrated the city does not do more to stand up to King County policies, and believes spending should be focused on programs for addiction opposed to homelessness. He expressed his disappointment with legislative decisions. David Harrelson, with Federal Way Public Market, asked council to consider allocating ARPA funds into the development of a public market. Anne Michelle Hart advocated for a public market which could be used to help people build businesses and learn valuable skills. Rose Ratteray expressed her enthusiasm to be attending a council meeting in person again. Betty Taylor raised awareness for gun violence and homicides taking place in Federal Way. She will continue to advocate for this issue even if she is the only one. Federal Way City Council Regular Minutes Page 2 of 6 September 6, 2022 Greg McCann, Vice President of the Federal Way Public Market, requested ARPA funds for a feasibility and site analysis for a public market. He believes this request fits the ARPA guidelines. Josias Jean-Pierre expressed concern about the Chamber of Commerce and the Federal Way Mirror are requesting ARPA funding. He also asked for a status update on a street to be named after John Conna. Juan Luis Juarez Ramos expressed concerns about increased drug use on Military Road and shared a personal account of an armed man near the Chase Bank. Anna Patrick shared information from a King County meeting regarding implementation plans for the Restorative Community Pathways Program. She feels the city is being hit hard with regional tax-exempt properties and the city should be pushing back. Brenda Mbaau provided comments virtually to provide updates regarding the Virginia Mason Franciscan Health Violence Prevention Initiative and the work they are doing with youth in the community. 5. PRESENTATIONS a. Proclamation: Constitution Week — September 17-23 Deputy Mayor Honda read and presented the proclamation to Sue Walker on behalf of NSDAR (National Society Daughters of the American Revolution), Lakota Chapter. Ms. Walker thanked the Mayor and Council for recognizing the importance of the US Constitution and the 235th anniversary of its signing. The US constitution the oldest still in use in the world today; she encouraged everyone to celebrate this anniversary by being better informed citizens. b. Proclamation: National Recovery Month — September 2022 Councilmember Assefa-Dawson read and presented the proclamation to Jamie Lee, Behavioral Health Provider Relations Specialist with King County Behavioral Health and Recovery Division. Ms. Lee, a Federal Way resident, thanked the Mayor and Council and spoke to the importance of recovery. c. City of Federal Way Regional Labor Study Dr. Ali Modarres, University of Washington -Tacoma, provided a high-level briefing of the Workforce Analysis completed by the Center for Applied Urban Research. He was pleased to report Federal Way, is an amazing location for labor development, due its location and infrastructure such as the light rail. He referenced the graphs included in the report which detail job change and growth; industry growth/decline; worker earnings; and top growing industries. Dr. Modarres suggested mixed use development would be key and medical technology would be an ideal industry to attract. The Council thanked Dr. Modarres for his presentation and information; they were interested in this data and requested more information at a future Council Committee meeting to discuss further. Federal Way City Council Regular Minutes Page 3 of 6 September 6, 2022 Councilmember Walsh lost remote connection and dropped from the remainder of the meeting. d. Update from Diversity, Equity and Inclusion Analyst Diversity, Equity, and Inclusion Analyst Kia McGlone provided an update on her progress in this new position over the last 6-months. She overviewed many accomplishments including competing the Annual Title VI report to WSDOT; outreach and community engagement with the Neighborhood Traffic Safety Program; and a positive community service engagement with the Sikh Community. She was also pleased to announce the addition of the Language Line for city staff for translation services of 255 languages available on a 24/7 demand. Council thanked Ms. McGlone for her presentation and work for the city and in the community. e. Update regarding King County Grant for Small Business and Community Groups Impacted by COVID-19 Community Services Manager Sarah Bridgeford provided an update on a previously accepted grant from King County for $100,000 to mitigate losses from COVID-19 to small businesses and social services. Ms. Bridgeford noted a contract will come before Council prior to the end of the year with anticipated assistance to in -home childcare providers in the 98003-zip code, and support for housing stability and utility assistance. All funds will need to be spent by the end of the first quarter in 2023. Council thanked Ms. Bridgeford for her presentation and asked clarifying questions regarding the anticipated assistance. COUNCILMEMBER DOVEY MOVED TO POSTPONE THE ARPA DISCUSSION [ITEM 8131 AS NEW INFORMATION AND PRESENTATIONS HAVE BEEN MADE; COUNCILMEMBER NORTON SECOND. Councilmembers debated the desire to move forward with allocations yet also have all Councilmembers in attendance to provide input. Council asked for a special work session to address the ARPA discussions and allocations; final action will be brought back to a regular Council meeting. COUNCILMEMBER NORTON MOVED TO CONTINUE WITH THE COMMUNITY FUNDING FROM ARPA. Motion dies as a current motion is pending. Main Motion restated to postpone the ARPA discussion for a special meeting, with a date to be determined, when all Councilmembers are in attendance. Motion passed unanimously 5-0 as follows Council President Kochmar yes Deputy Mayor Honda yes CouncilmemberAssefa-Dawson yes Councilmember Norton yes Councilmember Tran excused Councilmember Walsh excused Councilmember Dovey yes Federal Way City Council Regular Minutes September 6, 2022 Page 4 of 6 At 8:47 p.m. Mayor Ferrell announced the Council would take a brief seven (7) minute recess; the meeting was reconvened at 8:58 p.m. 6. COUNCIL COMMITTEE & REGIONAL COMMITTEE REPORTS Parks/Recreation/Human Services/Public Safety Committee (PRHSPS): No report provided. Land Use/Transportation Committee (LUTC): Councilmember Dovey reported due to the holiday, the next meeting will be held on September 12 at 5:00 p.m. Finance, Economic Development, Regional Affairs Committee: No report provided. Lodging Tax Advisory Committee (LTAC): Councilmember Assefa-Dawson had no report. Deputy Mayor & Regional Committees Report: Deputy Mayor Honda reported on AWC trainings and meetings for elected officials. She would like to discuss the Youth Commission requirements at a future meeting to support restarting the Commission after COVID; there is a lack of applications that meet the current grade level and residency requirements. She reported she will be attending various regional meetings including the Board of Health, the Domestic Violence Task Force, and the PIC meeting. Council President Report: Council President Kochmar had no report. 7. CONSENT AGENDA a. Minutes: August 9, 2022 Regular and Special Meetings COUNCIL PRESIDENT KOCHMAR MOVED APPROVAL OF ITEM A ON THE CONSENT AGENDA; SECOND BY COUNCILMEMBER ASSEFA-DAWSON. The motion passed unanimously 5-0 as follows Council President Kochmar yes Councilmember Tran excused Deputy Mayor Honda yes Councilmember Walsh excused CouncilmemberAssefa-Dawson yes Councilmember Dovey yes Councilmember Norton yes 8. COUNCIL BUSINESS a. Authorization of State Opioid Settlement Agreement City Attorney Ryan Call requested Council authority to join a settlement through the state with three primary opioid manufacturers. The state requires 90% of cities over 10,000 population approve the settlement which is approximately 178 cities. The settlement will distribute money to the state; county and cities over the next 17-years to mitigate the effects of opioid addiction. Mr. Call answered Council's questions regarding the estimated amount coming to the city and potential use of the funds. He noted some jurisdictions will look to pool money together to support a regional response. Federal Way City Council Regular Minutes Page 5 of 6 September 6, 2022 COUNCIL PRESIDENT KOCHMAR MOVED APPROVAL OF CITY PARTICIPATION IN THE SETTLEMENT AGREEMENT NEGOTIATED BY THE WA AG WITH OPIOID DISTRIBUTORS AND AUTHORIZE EXECUTION OF ALL REQUIRED DOCUMENTS; SECOND BY COUNCILMEMBER ASSEFA-DAWSON. The motion passed unanimously 5-0 as follows Council President Kochmar yes Deputy Mayor Honda yes CouncilmemberAssefa-Dawson yes Councilmember Norton yes b. City Council ARPA Priorities No action was taken on this item. 9. COUNCIL REPORTS Councilmember Tran excused Councilmember Walsh excused Councilmember Dovey yes Councilmember Assefa-Dawson acknowledged Ethiopian New Year on September 11; she invited the Council to a celebration with food and music at Genesee Park in Seattle. Councilmember Norton, Councilmember Dovey, and Council President Kochmar had no report. Deputy Mayor Honda congratulated the folks who worked on Camp Kilworth. She is excited for the first Historical Landmark and suggested the Arts Commission incorporate heritage as part of their work plan. She suggested the city contact King County to look into the Brooklake property as a Historic Designation. 10.ADJOURNMENT There being nothing further on the agenda; the regular meeting was adjourned at 9:17 p.m. Attest: Stephanie Courtney City Clerk Approved by Council: Federal Way City Council Regular Minutes Page 6 of 6 September 6, 2022 COUNCIL MEETING DATE: September 20, 2022 CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL ITEM #: il SUBJECT: AMENDMENT 2 UNDERGROUND UTILITY LOCATING POLICY QUESTION: Should the contract with USIC Locating Services, LLC be extended for two years? COMMITTEE: LUTC MEETING DATE: September 12, 2022 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution �] Other STAFF REPORT BY: Cole Elliott, P.E., Development Services Manager DEPT: Public Works Department T Attachments: 1. Staff Report 2. Agreement/Contract Amendment 2 to Goods and Services Agreement for Underground Utility Locating Options Considered: 1. Approve the proposed agreement. 2. Do not approve the proposed agreement and provide direction to staff. MAYOR'S RECOMMENDATION: Option 1. MAYOR APPROVAL: Initial/Date lkio-A- DIRECTOR APPROVAL: InitiaUDate COMMITTEE RECOMMENDATION: "I move to forward the proposed Agreement to the September 20, 2022 consent agenda for approval. " Jack bovey, CZrnmince Chair .jam Walsh. Committee Member Hoang Tran, Committee Member PROPOSED COUNCIL MOTION: "I Wove approval of the proposed Agreement, and authorize the Mayor to execute said agreement. " (BELOW TO BE COMPLETED BYCITYCLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED — 1 t/2019 RESOLUTION # CITY OF FEDERAL WAY MEMORANDUM DATE: September 12, 2022 TO: Land Use & Transportation Committee VIA: Jim Ferrell, Mayor FROM: EJ Walsh, P.E., Public Works Director Cole Elliott, P.E., Development Services Manager SUBJECT: Amendment 2 Underground Utility Locating Financial Impacts: The cost to the City for Amendment 2 Underground Utility Locating is included within the proposed 2023-2024 budget under the Public Works, budget line 401-3100 (70%) and 101-4300 (30%) consistent with the current 2021-2022 approved baseline budget. In accordance with the proposed budget, this item is funded by in the amount of $110,000 per year. Background Information: The City uses USIC Locating Services, LLC (USIC) to locate the City's infrastructure (storm water, Streetlight and Traffic light) to comply with the RCW to mark out or confirm there are no City owned utilities in response to the One Call location requests within the City Limits. USIC was retained through a competitive Request for Bid (RFB) process. In August, Council approved extension of the locate contract. In preparation of the documents it was discovered that the incorrect fee schedule was included in Exhibit B-2 of the packet. The fee schedule has been updated to match the original contract language and included within the attachments. Rev. 6/2020 CITY OF CITY HALL Fe d e ra I Wa Feder 8th Avenue South �� Federal Way, WA 98003-6325 (253) 835-7000 www cityoffederalway com AMENDMENT NO.2 TO GOODS AND SERVICES AGREEMENT FOR UNDERGROUND UTILITY LOCATING This Amendment ("Amendment No. 2") is made between the City of Federal Way, a Washington municipal corporation ("City"), and USIC Locating Services, LLC, an Indiana limited liability company ("Contractor"). The City and Contractor (together "Parties"), for valuable consideration and by mutual consent of the Parties, agree to amend the original Agreement for Underground Utility Locating ("Agreement") dated effective 1/19/2021, as amended by Amendment No 1. as follows: 1. AMENDED TERM. The term of the Agreement, as referenced by Section 1 ofthe Agreement and any prior amendments thereto, shall be amended and shall continue until the completion of the Services, but in any event no later than 12/31/2024 ("Amended Term"). 2. AMENDED COMPENSATION. The amount of compensation, as referenced by Section 4 of the Agreement, shall be amended to change the total compensation the City shall pay the Contractor and the rate or method of payment, as delineated in Exhibit 13-1, attached hereto and incorporated by this reference. The Contractor agrees that any hourly or flat rate charged by it for its services contracted for herein shall remain locked at the negotiated rate(s) for the Amended Term. Except as otherwise provided in an attached Exhibit, the Contractor shall be solely responsible for the payment of any taxes imposed by any lawful jurisdiction as a result of the performance and payment of this Agreement. 4. GENERAL PROVISIONS. All other terms and provisions of the Agreement, together with any prior amendments thereto, not modified by this Amendment, shall remain in full force and effect. Any and all acts done by either Party consistent with the authority of the Agreement, together with any prior amendments thereto, after the previous expiration date and prior to the effective date of this Amendment, are hereby ratified as having been performed under the Agreement, as modified by any prior amendments, as it existed prior to this Amendment. The provisions of Section 13 of the Agreement shall apply to and govern this Amendment. The Parties whose names appear below swear under penalty of perjury that they are authorized to enter into this Amendment, which is binding on the parties of this contract. [Signature page follows] AMENDMENT - 1 - 3/2017 CITY OF CITY HALL IftFederal Wa Feder 8th Avenue South �� Federal Way, WA 98003-6325 (253)835-7000 www ciryoffederahvay com IN WITNESS, the Parties execute this Agreement below, effective the last date written below. CITY OF FEDERAL WAY: Jim Ferrell, Mayor DATE: USIC Locating Services LLC: Darin J. Stalbaum, Vice President Date: STATE OF INDIANA ) ss. COUNTY OF ATTEST: Stephanie Courtney, CMC, City Clerk APPROVED AS TO FORM: J. Ryan Call, City Attorney On this day personally appeared before me to me known to be the of that executed the foregoing instrument, and acknowledged the said instrument to be the free and voluntary act and deed of said limited liability company, for the uses and purposes therein mentioned, and on oath stated that he/she was authorized to execute said instrument. GIVEN my hand and official seal this day of 20 Notary's signature Notary's printed name Notary Public in and for the State of Washington. My commission expires AMENDMENT -2- 3/2017 CITY OF CITY HALL Federal Vila Feder 8th Avenue South � Federal Way, WA 98003-6325 (253) 835-7000 www cayoffederalway com EXHIBIT B-1 ADDITIONAL COMPENSATION l . Total Compensation: In return for the Additional Services, the City shall pay the Contractor an additional amount not to exceed Two Hundred Twenty Thousand and 00/100 Dollars ($220,000.00). The total amount payable to Contractor pursuant to the original Agreement, all previous Amendments, and this Amendment shall be an amount not to exceed Five Hundred Ninety Thousand and 00/100 Dollars ($590,000.00). 2. Method of Compensation: Unit price In consideration of the Contractor performing the Services, the City agrees to pay the Contractor an amount, calculated on the basis of the unit pricing and/or hourly labor charge rate schedule for Contractor's personnel as shown below: ITEM ITEM UNIT ESTIMATED UNIT EXTENDED WSST** TOTAL NO. DESCRIPTION QTY PRICE PRICE 1 Normal Locate Rate EA 2,200 $21.63 $47,586.00 $0 $47,586.00 (Storm and Electrical Only) 2 No Conflict (Storm EA 2,700 $21.63 $58,401.00 $0 $58,401.00 and Electrical Only) Cleared Rate 3 Hourly Rate Hour 40 $60.76 $2,430.40 $0 $2,430.40 (billed by 1/4 hour at $14.13) 4 Callout/Overtime Hour 20 $79.88 $1,597.60 $0 $1,597.60 (OT) Hourly Rate 5 City Fiber Optic Hour 40 $25.13 $1,005.20 $0 $1,005.20 Cable Locate* Total: $I11,019.80 $0 $111,019.80 *Not part of current contract PricingDefinitions eflnitions Per One Call Ticket — All tickets received from Washington One Call. Each ticket granted 30 minutes of locating time. The ticket will then be billed per'/4-hour at the Hourly Rate shown above. Paintable Locate — Locating, painting and flagging of the City of Federal Way Fiber utility only. Each ticket granted 30 minutes of locating time. The ticket will then be billed per'/4-hour at the Hourly Rate shown above. AMENDMENT - 3 - 3/2017 COUNCIL MEETING DATE: September 20, 2022 ITEM #: 7C CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: DEPARTMENT OF COMMERCE GRANT AUTHORIZATION REQUEST POLICY QUESTION: Should the City accept a grant from the Washington Department of Commerce to provide the City with technical assistance as part of the preparation of its Climate & Resiliency Chapter of the Comprehensive Plan? COMMITTEE: Land Use & Transportation MEETING DATE: September 12, 2022 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Keith Niven, Planning Manager DEPT: CD Attachments: 1. Staff Report Options Considered: 1. Accept the Commerce Grant to provide technical assistance to the City for the development of its Climate & Resiliency Chapter of the Comprehensive Plan. 2. Do not accept the grant and provide direction to staff. MAYOR'S RECOMMENDATION: Option 1. MAYOR APPROVAL: 47 q DIRECTOR APPROVAL:' - Cam htw Coun • Initial/Date Initial/Date InitiaUDate COMMITTEE RECOMMENDATION: I move to forward the proposal to accept the Commerce grant to provide technical assistance to the City for the development of the Climate & Resiliency Chapter of the Comprehensive Plan to the September 20, 2022 consent agenda for approval. a via. zoO w VYLlz ack Dove , Committee Chair Xck Walsh. Committee Member Hoang Tran, Committee Member PROPOSED COUNCIL MOTION: "I Wnill acceptance of the Commerce grant. " BELOW TO BE COWLETF.h BY CITY CLERKS OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED — 1/2022 RESOLUTION # 41k CITY OF Federal Way CITY OF FEDERAL WAY MEMORANDUM DATE: September 12, 2022 TO: Land Use & Transportation Committee VIA: Jim Ferrell, Mayor FROM: Brian Davis, Community Development Director's Keith Niven, AICP, CEcD PLnnning Manager *-- SUBJECT: Department of Commerce Grant Authorization Request I. INTRODUCTION The Washington State Department of Commerce has awarded $2.1 million in growth management planning grants to help King, Kitsap, Pierce and Snohomish counties, and multiple cities within each county, plan for local impacts of climate change. As a part of the 10-year planning cycle for Comprehensive Plans required under the Washington Growth Management Act, communities were asked to identify or implement measures to reduce per capita greenhouse gas (GHG) emissions or vehicle miles traveled (VMT), or perform a vulnerability and risk assessment based on science-based'clin�ate predictions. This grant funding was provided through Commerce's Growth Management Services program to encourage and support that work. Climate related planning is not currently required under the GMA. Grant funds were drawn from the 2022 Washington Legislature's $10 million appropriation to support communities in their comprehensive plan periodic updates. Up to $100,000 for counties and up to $80,000 for cities was available through a competitive process for the current state fiscal biennium. In addition to the grants, the Washington Department of Commerce is developing a model Comprehensive Plan Chapter to help cities and counties address climate change in their comprehensive plans. The model element will include mitigation (greenhouse gas reduction) and resilience (climate impacts preparedness, response, and recovery) planning guidance, as well as a model chapter with goals and policies (Menu of Measures) that communities may voluntarily adapt or adopt into their comprehensive plans as part of their periodic update. The model element — described in the 2021 budget [Section 129 (126)] — must be completed by June 2023 and must integrate input from fellow state agencies and other partners. The grant awardees are listed below: Grant Recipients — 2022 Periodic Update Climate Grants 8at,dv571sland $80,000 Vulnerability Assessment Bellevue $79,200 Vulnerability Assessment Bothell SBO,000 GHG and VMT Reduction Burientl00 Yu�sve�ad���}i:sef'Jneat cov-9ton y.@CEO Vd!Mroc.lnyti:arccnrnn Ealonville S35,850 V✓rnM*udAh AaaexxlmrM' fJM +rrr Enumclaw $80,000 I Vulnerability Assessment Federal War, S80.000 GHG and VMT Reduction Gig Harbor $76,410 'GHG and VMT Reduction Issaquah $55.000 Vulnerability Assessment Kenmore 880,000 GHG and VMT Reduction King County S79,200 GHG and VMT Reduction Kitsap County SIOO,000 GHG and VMT Reduction Lake Stevens $80,000 GHG and VMT Reduction Lakewood $50.000 GHG and VMT Reduction Maple Valley S80000 Vulnerability Assessment Marysville $80,000 Vulnerability Assessment Id- rr•Island S80,000 GHG and VMT Reduction Pierce Counly S1000OO Vulnerability Assessment Puyallup S80000 Vulnerability Assessment Redmond $80.000 GHG and VMT Reduction Renton S79,680 ' GHG and VMT Reduction Sammamish S79950 GHGand VMTReduction Seattle S80 COO Assessment Snohomish County 599,000 f rHG avlR y!u i RMll:mn Tacoma $80000 Vulnerability Assessment/ GHG 8 VMT Wcodinville $80,000 GHG and VMT Reduction H. FINANCIAL IMPACT There is no local match requirement or financial responsibility to the city in applying for and receiving the Washington State Department of Commerce grant money. III. GRANT PURPOSE In November 2021, the City Council approved Resolution 21-816. The purpose for this Resolution was the adoption of the Public Participation Plan for the periodic update of the City's Comprehensive Plan. The Public Participation Plan outlined the public outreach effort that would occur with the Comprehensive Plan Update; and identified, a number of new Chapters that would be included in this periodic update. One of the new Chapters proposed is "Climate & Resiliency". The available grant funding provides the City an unexpected opportunity to provide some quantifiable information to base the goals, policies, and implementing actions on for this new Chapter. VI. REQUEST The staff seek Council support and authorization to accept the $80,000 Department of Commerce grant. COUNCIL MEETING DATE: September 20, 2022 ITEM #: 7d . .. . .......... CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: KING COUNTY REGISTERED SEX OFFENDER COST REIMBURSEMENT AGREEMENT POLICY QUESTION: Should the City of Federal Way /Federal Way Police Department accept the Registered Sex Offender (RSO) Overtime Cost Reimbursement Agreement from the King County Sheriff's Office (KCSO) for the 2022-2023 grant period? COMMITTEE: PRHS&PSC MEETING DATE: Sept. 13, 2022 CATEGORY: N Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Andy J. Hwang, Chief of Police DEPT: Police Attachments: 1. Staff Report 2. KCSO Cost Reimbursement Agreement Options Considered: 1. Approve the proposed agreement. 2. Do not approve the proposed agreement and provide direction to staff. MAYOR'S RECOMMENDATION: Option 1. MAYOR APPROVAL: "In �fRECTflR APPROVAL: B vl" t ❑umii et 4 �_ Ini[i COMMITTEE RECOMMENDATION: "I move to forward the proposed agreement to the September 20, 2022, consent agenda for approval. " "2_n�v►-- 'Co n fee Chair o.mmittee Member Committee Member PROPOSED COUNCIL MOTION: "I move approval of the proposed agreement and authorize Chief of Police Andv J. Hwang to execute said agreement. (BELOW TO BE COMPLETED BY CITY CLERKS OFFICE) _ COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED—11/2019 RESOLUTION # CITY OF FEDERAL WAY CITY COUNCIL COMMITTEE STAFF REPORT DATE: September 13, 2022 TO: Parks, Recreation, Human Services and Public Safety Council Committee VIA: Jim Ferrell, Mayor FROM: Andy J. Hwang, Chief of Police SUBJECT: King County Sheriff's Office (KCSO), Registered Sex Offender (RSO) Cost Reimbursement Agreement for 2022-2023 Financial Impacts: There will be no negative impact to City funds or to the police department's operating budget. The revenue to the City for the King County Sheriff's Office (KCSO) Registered Sex Offender (RSO) Cost Reimbursement Agreement will be up to a maximum amount of $16,982.87 for officer overtime reimbursement for activities related to performance of the grant services. The overtime our officer(s) work will be billed to KCSO account number 001-0000-090-337-07-004. Background Information: The Federal Way Police Department (FWPD) will receive grant funding from the King County Sheriff's Department to support the Registered Sex Offender (RSO) and Kidnapping Offender Address and Residency Verification Program. The grant will reimburse FWPD for overtime expenses incurred while verifying current addresses and residencies of sex and kidnapping offenders, up to a maximum amount of $16,982.87. FWPD has participated in the King County RSO grant funding since at least 2009. Under the activities involved with this grant, FWPD will partner with the King County Government to implement multiple program elements to ensure sex offenders comply with current legal requirements. 1 Cost Reimbursement Agreement Executed By King County Sheriffs Office, a department of King County, hereinafter referred to as "KCSO," Department Authorized Representative: Patti Cole -Tindall, Sheriff King County Sheriffs Office W-150 King County Courthouse 516 Third Avenue Seattle, WA 98104 and Federal Way Police Department, a department of the City of Federal Way, hereinafter referred to as ""Contractor," Department Authorized Representative: Andy J. Hwang, Chief of Police 33325 8 Avenue South Federal Way, Washington 98003 WHEREAS, KCSO and Contractor have mutually agreed to work together for the purpose of verifying the address and residency of registered sex and kidnapping offenders; and WHEREAS, the goal of registered sex and kidnapping offender address and residency verification is to improve public safety by establishing a greater presence and emphasis by Contractor in King County neighborhoods; and WHEREAS, as part of this coordinated effort, Contractor will increase immediate and direct contact with registered sex and kidnapping offenders in their jurisdiction, and WHEREAS, KCSO is the recipient of a Washington State Registered Sex and Kidnapping Offender Address and Residency Verification Program grant through the Washington Association of Sheriffs and Police Chiefs for this purpose, and WHEREAS, KCSO will oversee efforts undertaken by program participants in King County; NOW THEREFORE, the parties hereto agree as follows: KCSO will utilize Washington State Registered Sex and Kidnapping Offender Address and Residency Verification Program funding to reimburse for expenditures associated Cost Reimbursement Agreement with the Contractor for the verification of registered sex and kidnapping offender address and residency as set forth below. This Interagency Agreement contains eleven (11) Articles: ARTICLE I. TERM OF AGREEMENT The term of this Cost Reimbursement Agreement shall commence on July 1, 2022 and shall end on June 30, 2023 unless terminated earlier pursuant to the provisions hereof. ARTICLE II. DESCRIPTION OF SERVICES This agreement is for the purpose of reimbursing the Contractor for participation in the Registered Sex and Kidnapping Offender Address and Residency Verification Program. The program's purpose is to verify the address and residency of all registered sex and kidnapping offenders under RCW 9A.44.130. The requirement of this program is for face-to-face verification of a registered sex and kidnapping offender's address at the place of residency. In the case of • level I offenders, once every twelve months. ■ of level II offenders, once every six months. • of level III offenders, once every three months. For the purposes of this program unclassified offenders and kidnapping offenders shall be considered at risk level I, unless in the opinion of the local jurisdiction a higher classification is in the interest of public safety. ARTICLE III. REPORTING Two reports are required in order to receive reimbursement for grant -related expenditures. Both forms are included as exhibits to this agreement. "Exhibit A" is the Offender Watch generated "Registered Sex Offender Verification Request (WA)" that the sex or kidnapping offender completes and signs during a face-to-face contact. "Exhibit B" is an "Officer Contact Worksheet" completed in full by an officer/detective during each verification contact. Both exhibits representing each contact are due quarterly and must be complete and received before reimbursement can be made following the quarter reported. Original signed report forms are to be submitted by the 5th of the month following the end of the quarter. The first report is due October 5, 2022. Quarterly progress reports shall be delivered to Attn: Tina Keller, Project Manager King County Sheriff's Office 500 Fourth Avenue, Suite 200 M/S ADM-SO-0200 Seattle, WA 98104 Page 2 of 6 July 5, 2022 Cost Reimbursement Agreement Phone: 206-263-2122 Email: tina.keller@kingcounty.gov ARTICLE IV. REIMBURSEMENT Requests for reimbursement will be made on a monthly basis and shall be forwarded to KCSO by the loth of the month following the billing period. Please note the following terms will be adhered to for the 2022-2023 Registered Sex Offender Address Verification Program: Any agency not meeting at least 90% of required verifications will not receive that quarter's grant payment. Any agency not using Offender Watch to track verifications will not receive that quarter's grant payment. Overtime reimbursements for personnel assigned to the Registered Sex and Kidnapping Offender Address and Residency Verification Program will be calculated at the usual rate for which the individual's' time would be compensated in the absence of this agreement. Each request for reimbursement will include the name, rank, overtime compensation rate, number of reimbursable hours claimed and the dates of those hours for each officer for whom reimbursement is sought. Each reimbursement request must be accompanied by a certification signed by an appropriate supervisor of the department that the request has been personally reviewed, that the information described in the request is accurate, and the personnel for whom reimbursement is claimed were working on an overtime basis for the Registered Sex and Kidnapping Offender Address and Residency Verification Program. Overtime and all other expenditures under this Agreement are restricted to the following criteria: 1. For the purpose of verifying the address and residency of registered sex and kidnapping offenders; and 2. For the goal of improving public safety by establishing a greater presence and emphasis in King County neighborhoods; and 3. For increasing immediate and direct contact with registered sex and kidnapping offenders in their jurisdiction Any non -overtime related expenditures must be pre -approved by KCSO. Your request for pre -approval must include: 1) The item you would like to purchase, Page 3 of 6 July 5, 2022 Cost Reimbursement Agreement 2) The purpose of the item, 3) The cost of the item you would like to purchase. You may send this request for pre -approval in email format. Requests for reimbursement from KCSO for the above non -overtime expenditures must be accompanied by a spreadsheet detailing the expenditures as well as a vendor's invoice and a packing slip. The packing slip must be signed by an authorized representative of the Contractor. All costs must be included in the request for reimbursement and be within the overall contract amount. Over expenditures for any reason, including additional cost of sales tax, shipping, or installation, will be the responsibility of the Contractor. Requests for reimbursement must be sent to Attn: Tina Keller, Project Manager King County Sheriff's Office 500 Fourth Avenue, Suite 200 Seattle, WA 98104 Phone: 206-263-2122 Email: tina.keller@kingcounty.gov The maximum amount to be paid under this cost reimbursement agreement shall not exceed Sixteen Thousand Nine Hundred Eighty Two Dollars and Eighty Seven Cents ($16,982.87). Expenditures exceeding the maximum amount shall be the responsibility of Contractor. All requests for reimbursement must be received by KCSO by July 31, 2023 to be payable. ARTICLE V. WITNESS STATEMENTS "Exhibit C" is a "Sex/Kidnapping Offender Address and Residency Verification Program Witness Statement Form." This form is to be completed by any witnesses encountered during a contact when the offender is suspected of not living at the registered address and there is a resulting felony "Failure to Register as a Sex Offender" case to be referred/filed with the KCPAO. Unless, due to extenuating circumstances the witness is incapable of writing out their own statement, the contacting officer/detective will have the witness write and sign the statement in their own handwriting to contain, verbatim, the information on the witness form. ARTICLE VI. FILING NON -DISCOVERABLE FACE SHEET "Exhibit D" is the "Filing Non -Discoverable Face Sheet." This form shall be attached to each "Felony Failure to Register as a Sex Offender" case that is referred to the King County Prosecuting Attorney's Office. ARTICLE VII. SUPPLEMENTING, NOT SUPPLANTING Page 4 of 6 ' July 5, 2022 Cost Reimbursement Agreement Funds may not be used to supplant (replace) existing local, state, or Bureau of Indian Affairs funds that would be spent for identical purposes in the absence of the grant. Overtime - To meet this grant condition, you must ensure that: • Overtime exceeds expenditures that the grantee is obligated or funded to pay in the current budget. Funds currently allocated to pay for overtime may not be reallocated to other purposes or reimbursed upon the award of a grant. • Additionally, by the conditions of this grant, you are required to track all overtime funded through the grant. ARTICLE VIII. HOLD HARMLESS/INDEMNIFICATION Contractor shall protect, defend, indemnify, and save harmless King County, its officers, employees, and agents from any and all costs, claims, judgments, and/or awards of damages, arising out of, or in any way resulting from, the negligent acts or omissions of Contractor, its officers, employees, contractors, and/or agents related to Contractor's activities under this Agreement. Contractor agrees that its obligations under this paragraph extend to any claim, demand, and/or cause of action brought by, or on behalf of any of its employees or agents. For this purpose, Contractor, by mutual negotiation, hereby waives, as respects King County only, any immunity that would otherwise be available against such claims under the Industrial Insurance provisions of Title 51 RCW. In the event King County incurs any judgment, award, and/or cost arising therefrom including attorney's fees to enforce the provisions of this article, all such fees, expenses, and costs shall be recoverable from Contractor. The provisions of this section shall survive the expiration or termination of this Agreement. ARTICLE IX. INSURANCE Contractor shall maintain insurance policies, or programs of self-insurance, sufficient to respond to all of its liability exposures under this Agreement. The insurance or self-insurance programs maintained by the Contractor engaged in work contemplated in this Agreement shall respond to claims within the following coverage types and Mounts: General Liability. Coverage shall be at least as broad as Insurance Services Office form number CG 00 01 covering COMMERCIAL GENERAL LIABILITY. $5,000,000 combined single limit per occurrence, and for those policies with aggregate limits, a $5,000,000 aggregate limit. King County, its officers, officials, employees, and agents are to be covered as additional insureds as respects liability arising out of activities performed by or on behalf of the City. Additional Insured status shall include Products -Completed Operations-CG 20 10 11/85 or its equivalent. Page 5 of 6 July 5, 2022 Cost Reimbursement Agreement By requiring such liability coverage as specified in this Article IX, King County has not, and shall not be deemed to have, assessed the risks that may be applicable to Contractor. Contractor shall assess its own risks and, if deemed appropriate and/or prudent, maintain greater limits or broader coverage than is herein specified. Contractor agrees to maintain, through its insurance policies, self -funded program or an alternative risk of loss financing program, coverage for all of its liability exposures for the duration of this Agreement. Contractor agrees to provide KCSO with at least thirty (30) days prior written notice of any material change or alternative risk of loss financing program. ARTICLE X. NO THIRD PARTY BENEFICIARIES There are no third party beneficiaries to this agreement. This agreement shall not impart any right enforceable by any person or entity that is not a party hereto. ARTICLE XI. AMENDMENTS No modification or amendment of the provisions hereof shall be effective unless in writing and signed by authorized representatives of the parties hereto. The parties hereto expressly reserve the right to modify this Agreement, by mutual agreement. IN WITNESS WHEREOF, the parties have executed this Agreement by having their representatives affix their signatures below. Federal Way Police Department Andy J. Hwang, Chief of Police �• y iL Date KING COUNTY SHERIFF'S OFFICE Patti Cole -Tindall, Sheriff Date Page 6 of 6 July 5, 2022 EX H IbIT xt Page: 1 Verification Request Agency: King County WA Sheriff's Office Administrator: King County Sheriffs Office RSCPhone: (206)263-2120 Date: 6/16/2016 Offender Information Name test, test POB DOB 0110111990 Sex Race Height Weight Risk Comm. Registration # 2353765 SSN Age 26 Alt Reg # Orient Div. Lie./State Nat. No Selection FBI Hair State ID . Eyes Last Verified: Type Date Active Officer Alert LOOK HERE FOR OFFICER SAFETY INFORMATION Employment/School Offender Photo Name Address Supervisor Phone Residence (Bold - Primary Home Address) Street Alias Phone (Bold - Primary Contact Numbers). ScarsITattoos Number Type 14escrlption Location Type Description Vehicle Make Model Color Year License State VIN Comments Offense " Date RS Code/Description Convicted Released Case # Crime Details I do hereby attest, under penalties of perjury, that any and all information contained here is current and accurate on this day of 20 Offender Signature: t Officer Signature: Date: - Produced by OFfenderWalch-www.watchsystems.com ADDRESS VER Exhibit � REGISTEREDOFFICER CONTA OFFENDER WORKSHEETIFICATION OFFENDER'S NAME: ADDRESS: OFFENDER PHONE: EMPLOYER: OFFENDER LEVEL IF KN OFFENDER DETAILS: DOB: CITY/STATE/ZIP: ZIP CODE.: WORK PHONE: FORM OF ID: DATE & TIME OF CONTACTS: *SEE KEY BELOW FOR CODING DATE / TIME: RESULT: DATE/ TIME: RESULT: DATE / RESULT: DATE/ RESULT: TIME: TIME: DATE / RESULT: DATE/ RESULT: TIME: TIME: MADE IN PERSON CONTACT: YES RESULT OF CONTACT: NO ❑ FTR CASE NUMBER ASSIGNED IF NO CONTACT MADE: STATEMENT TAKEN: YES I1 NO [ J I REPORTING PARTY INFORMATION: REPORTING PERSON: DOB: MAILING ADDRESS: CITY/ZIP: TELEPHONE: ALT # RELATION TO OFFENDER: NONE (UNKNOWN)[] KNOWN ❑ RELATION: *CONTACT CODE KEY: 1 = OFFENDER MOVED 2 = BAD ADDRESS 3 = NOT HOME 4 = CHANGE OF ADDRESS 5 = HOUSE FOR SALE 6 = ARRESTED 7 = OFFENDER 1N JAIL 8 = DEAD 9 = TOOK STATEMENT OFFICER/DETECTIVE: AGENCY: EXHIBIT C Date Suspect's Name: AgencylQfficer Incident number Witness Statement — Failure to Register Suspect's Last Registered Address: Witness' Name: Witness's Home Address: Witness' Home Phone Number Cell: Other: How do they know the suspect (please be as detailed as possible)? *If suspect rented an apartment or a room from the witness, please have them provide a copy of any documentations to this effect and any documentations the suspect moved out. Did the witness ever see the suspect at his/her last registered address? How often would they see him/her there? When did the witness start seeing him/her there? When did they stop? Why did the suspect stop staying at the address? Did the suspect keep any personal belongings there? In general, when is the last time they saw the suspect ? Do they know where the suspect moved to or their current whereabouts? Can they provide the names and contact information of any other witnesses who would have seen the suspect staying at his/her last registered address? Is the witness willing to assist in prosecution? Under penalty of perjury of the laws of the State of Washington, I certify that the foregoing is true and correct. Witness' Signature date EXHIBIT D WASPC GRANT FILING NON -DISCOVERABLE TO: KCPAO —Special Assault Unit— Seattle DATE: INCIDENT #: FROM: AGENCY: SUSPECT #1: DOB: RACE: SEX: M ❑ F❑ HGT: I WGT: SUSP #1 ADDRESS: CHARGE: Failure to Register as a Sex Offender I DATE OF CRIME: VICTIM #1: State of Washington DOB: VICTIM #2: DOB: INTERVIEWED BY: NO ONE DPA NAME: TYPE OF CASE: FTR - Failure To Register OTHER TYPE: THIS CASE IS BEING REFERRED FOR THE FOLLOWING REASONS ❑ FILING OF CHARGES: - Comments: DECLINE: -Comments: WASPC STATISTICAL REPORTING TO KCSO Case Referral Received by KCPAO on this Case filed by KCPAO: YES ❑ NO ❑ Cause Number Assigned: If no, please indicate why: Other Explanation: COUNCIL MEETING DATE: September 20, 2022 ITEM #: 7e ... ........ ..... - _ CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: PUGET SOUND AUTO THEFT TASK FORCE (PSATT) — 2022 MINI GRANT AWARD POLICY QUESTION: Should the City agree to accept the 2022 Mini Grant Award from WATPA for PSATT? COMMITTEE: PRHS&PSC MEETING DATE: Sept. 13, 2022 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFFr Tr ,REPORT BY: Commandeacy Gr ossnickle DEPT: PD � � _ Attachments: Staff Report WATPA 2022 Mini Grant award letter to PSATT WATPA Non -supplanting Declaration Options Considered: 1. Approve the Mini Grant award for PSATT. 2. Do not approve the mini grant award and provide direction to staff. MAYOR'S RECOMMENDATION: Option #1 MAYOR APPROVAL: DIRECTOR APPROVAL: f cotnrffttee V011M61 �� fnirinl! ate initiaili7ur Imnai[Datc COMMITTEE RECOMMENDATION: I move to forward the proposed mini grant award for PSATT to the September 6, 2022 consent agenda for approval. Cnl�tinit�e Chair Committ e Member Committee Member PROPOSED COUNCIL MOTION: "I move approval of the proposed mini grant award for PSATT. " _ (BELOW TO BE COMPLETED BY aTYCLEAK S O F10E) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED — 12/2017 RESOLUTION # CITY OF FEDERAL WAY CITY COUNCIL COMMITTEE STAFF REPORT DATE: September 13, 2022 TO: Parks, Recreation, Human Services and Public Safety Council Committee VIA: Jim Ferrell, Mayor FROM: Andy Hwang, Chief of Police SUBJECT: WATPA 2022 Mini Grant Award for PSATT Financial Impacts. - The Puget Sound Auto Theft Task Force (PSATT) is operated through Washington Auto Theft Prevention Authority (WATPA) grant awards and expenses for PSATT related activities are reimbursed monthly. This will have no financial impact on the City of Federal Way. Federal Way is the lead agency and handles the financial processing. Background Information: PSATT, formed in 2017, is a multi jurisdictional team focused on investigating and enforcing laws relating to auto theft. Federal Way was been a member of the Task Force since 2017. The Task Force provides a more efficient use of personnel, equipment, budgeted funds, and training to investigate and aid in the prosecution of prolific or organized auto theft crimes. The City of Federal Way, through the Police Department, continues to serve as the Lead Administrative Agency, which is responsible for proper accounting procedures, reports and statistics. The Federal Way Police Department will also continue to assign at least one commissioned employee to the PSATT Task Force, which is currently the Task Force Commander. This 2022 Mini Grant Award for PSATT is for additional funding of public relations material, training, and technology/equipment. WASHI NGTONAUTO TUEVr PREi V 1, INTION AU'I'QORITY WASHINGTON ASSOCIATION OF SHERIFFS AND POLICE CHIEFS 3060 Willamette Drive NE, Smite 101 — Lacey, WA 98516 — Phone: (360) 292-7900 — Fax: (360) 292-7269 Website: www.WaAutoTheftPreventionAuthority.org 'preventing and reducing motor vehicle thefts in the State of Washington. " June 23, 2022 Puget Sound Auto Theft Task Force C/O Federal Way Police Chief Andy Hwang 33325 8th Ave S Federal Way WA 98003 Dear Chief Hwang: I am pleased to inform you that Washington Auto Theft Prevention Authority (WATPA) Board of Directors has approved the Puget Sound Auto Theft Task Force grant application for funding of Public Outreach, Training, Technology & Equipment. The award is in the amount of $142,100.00 (please see the attached breakdown of funded items). It is the responsibility of the grant recipient to explore and confirm all potential legal ramifications when employing WATPA funded equipment with your local legal advisor. The grant award is effective July 1, 2022 and expires on June 30, 2023. This award is a one-time event and does not imply or promise availability of funds for replacement or continuation of funding after June 30, 2023. Enclosed is an award agreement. This agreement is to be signed and returned to WATPA. No funds will be reimbursed until the signed agreement is received. Expenditures prior to the award effective date or after the grant expiration date are not authorized and will not be reimbursed. All grant awards are subject to Grant Policies and Procedures of the Washington Auto Theft Prevention Authority. Costs will be paid on a reimbursement basis. Your agency will be reimbursed for actual expenses only up to the limit of the award categories. All grantees must sign the attached non -supplanting agreement before reimbursement can begin. Also, please note that reimbursement requests by grant recipients will only be processed upon receipt of current semi_annual reports by the WATPA office. The semi-annual report form is available on the WATPA website, ww►v WaAutoTheftPreventionAuthcr-iy.ort; If you have any questions, please contact me at 360-292-7959 or via e-mail at n7 alnterAwas c.or Sincerely, Michael Painter, Executive Director Washington Auto Theft Prevention Authority H'oehlnron AWo Theft Prevention And Ify JOHN BATISTE JAMES SKOGMAN ,JOHN GF.SE CHRIS GUERRERO RICK SCOTT Chief —WA Smie Pntrol lesmnnce W.d I,y Sheriff--Khsnp Cb.wy Chlef—Kennnvlck PD Sherif.Gr. Kw Hrbor County JOHN MARTIN STEVESTRACHAN MIKE PAINTER PETE FISHER VACANT Gew.1 Public Executive Dimw- IYASPC E•e I&l Director-WATPA Chief —Fife PD Aulnnmbile Mdawy AGREEMENT BETWEEN PUGET SOUND AUTO THEFT TASK FORCE AND THE WASHINGTON AUTO THEFT PREVENTION AUTHORITY AUTO THEFT PREVENTION GRANT PROGRAMAWARD AGREEMENT Award Recipient Name and Address: Contact: Andy Hwang Puget Sound Auto Theft Task Force Title: Chief, Federal Way PD 33325 8th Ave S Federal Way WA 98003 Award Period: Amount Approved 07/01/22 - 06/30/23 $142,100 Funding Authority: WASHINGTON AUTO THEFT PREVENTION AUTHORITY Requests for reimbursement under this agreement are subject to the following Budget: Public Outreach: Community Events ($40,000) Brochures $10,000 (unit=$3,50 per 25 count) Giveaways $20,000 ("clubs" unit=$46 per) Giveaways $10,000 (unit=$90 per 50 count) National Auto Theft Prevention Month ($7,000) $5,000 for printing posters and flyers (unit TBD) $2,000 for Facebook Ads (unit TBD) Banners & Signs for Deployment $2,500 Technology: 1 Laptop & 2 I -Pads estimated at $3,000 Vortex 12ic50 Bi-Nocs 5 count $1,800 Hyperfire 2 Trail Cams 2 count $1,500 Canon H45 Pole Cam with build components 2 count $7,500 Contracted Professional Services: SIM Card/Data Services with Verizon $50/month x4 $3,600 ReKor Blue App Services (10 Count) $2,500 Boom Truck Rental $750 per rental x 10 $7,500 ATAK $60 per month $1,200 Program "We Got Your Tow" $15,000 Social Media Specialist Part Time thru June 2023 $5,000 Training: IAATI Conference 4 count for registration, air; lodging, per diem $l 1,200 WSATI SoCal 4 count for registration, air, lodging, per diem $7,000 NATIA 2 count registration and equipment $5,000 Rolling Surveillance 4 count registration, air, lodging, per diem $10,000 WSNIA 6 count registration, lodging, per diem $10,800 AWARD TOTAL $142,100 IN WITNESS WHEREOF, the WATPA and RECIPIENT acknowledge and accept the terms of this AGREEMENT and attachments hereto, and in witness whereof have executed this AGREEMENT as of the date and year last written below. The rights and obligations of both parties to this AGREEMENT are governed by the information on this Award Sheet and other documents incorporated herein by reference; Agreement Specific Terms and Conditions, and Agreement General Terms and Conditions. WATPA j l � Name/ Michael Painter, Title: WATPA, Executive Director Date: 6/22/2022 RECIPIENT Name/ Title: An y I�w.a�►G� Pew. ass rc� Date_ WATPA Nou-supplantina Declaration Slipp1:11 ILIIg WATPA funds must be used to supplement existing funds for program activities and must not fcpl.ace those funds that have been appropriated for the same purpose (RC;W 46.66.080 (5). Supplanting shall be the subject of application review, as well as pre - award .review, post -award monitoring, re.ianbursetuent and audit. If there is a potential presence of supplanting, the applicant or grantee will be required to supply doCUMentation demonstrating that the reduction in non-WATPA resources occurred for reasons other than the receipt or expected receipt of WATPA funds. The. 17 S '14 T T _ (Applicant Agency) certifies that any funds awarded. through WA'.fPA shall be used to supplement existing fields for program activities and will not replace (supplant) non-WATPA funds that have been appropriated :for the purposes and goals of the grant. The ? S R 1 l _- (Applicant Agency Chief or designee) understands that supplanting violations may result in a range of penalties, including but not limited to suspension of future funds under this proga--ain, suspension or debarment fxona WATPA grants, recoupment of monies provided under this ,grant, and civil and/or criminal penalties. Printed Name and Title: AWW.Py ALavv4 do 04CAPP •F R-41 zG Signature: 7' 4 `� � Date: C � 10 7f COUNCIL MEETING DATE: September.0,, 2022 ITEM #: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: AGREEMENT BETWEEN THE WASHINGTON TRAFFIC SAFETY COMMISSION (WTSC) AND THE FEDERAL WAY POLICE DEPARTMENT TO PROVIDE GRANT FUNDING FOR TRAFFIC ENFORCEMENT POLICY QUESTION: Should the City of Federal Way / Federal Way Police Department accept $5,000.00 in grant funds from WTSC for distracted driving enforcement? COMMITTEE: PARKS, RECREATION, HUMAN SERVICES & PUBLIC MEETING DATE: Sept. 6, 2022 SAFETY COUNCIL COMMITTEE (PRHS&PSC) CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: LIEUTENANT B. SCHULZ. DEPT: Police Attachments: 1. Staff Report 2. IAA Between WTSC and the Federal Way Police Department Options Considered: 1. Accept Proposal 2. Reject Proposal MAYOR'S RECOMMENDATION: 1— Accept Proposal MAYOR APPROVAL: )' aDIRECTOR APPROVAL: co ee cll ��` Inival]Aat Initial/Date Initial/Date ` 'Z COMMITTEE RECOMMENDATION: "I move to forward the IAA between WTSC and FWPD to the September 13, 2022 Cr Council Consent Agenda for approval" ' Committee hair Comsnittee Member Committee Member PROPOSED COUNCIL MOTION: "I move approval of the IAA between WTSC and FWPD and authorize Chief Andy Hwang to sign the agreement. " BELOW TO BE COMPLETED BY CITY CLERKS OFFICE COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED IsT reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED — 11/2016 RESOLUTION # CITY OF FEDERAL WAY CITY COUNCIL COMMITTEE STAFF REPORT DATE: September 6, 2021 TO: Parks, Recreation, Human Services and Public Safety Council Committee VIA: Jim Ferrell, Mayor FROM: Andy J. Hwang, Chief of Police SUBJECT: Interagency Agreement between the Washington Traffic Safety Commission and the Federal Way Police Department Financial Impacts: The City of Federal Way will receive $5,000 in grant money from WTSC to work overtime emphasis patrols focused on distracted driving traffic enforcement. Background Information: The Federal Way Police Department enforces traffic laws throughout the city to reduce collisions, traffic related crime, and make our streets safer. This is completed by utilizing .our day to day staffing level. However, increasing the number of officers on patrol will yield better enforcement results and likely have a larger and longer lasting impact on traffic issues that affect our citizens. The Washington Traffic Safety Commission (WTSC) partners with the United States Department of Transportation (USDOT) and the National Highway Traffic Safety Administration (NHTSA) to offer an excellent opportunity for multijurisdictional high visibility emphasis (HVE) patrols throughout the year through grant funding. The goal of the grant is to reduce traffic related deaths and serious injuries through education and enforcement by HVE patrols throughout the state focusing on impaired driving, occupant protection, speeding, and distracted driving. The proposal before the Council is an Interagency Agreement between WTSC and FWPD to provide grant funding to FWPD to conduct emphasis patrols focused on these traffic enforcement areas. Simply put, this agreement would allow the City of Federal Way to put more of its police officers on the road addressing these traffic enforcement goals while knowing it will be reimbursed for the overtime expense via grant funds. The patrol emphasis dates under the funds from this grant and per the agreement are July 24 — August 6, 2022. INTERAGENCY AGREEMENT BETWEEN THE Washington Traffic Safety Commission AND FEDERAL WAY POLICE DEPARTMENT THIS AGREEMENT is made and entered into by and between the Washington Traffic Safety Commission, hereinafter referred to as "WTSC," and FEDERAL WAY POLICE DEPARTMENT, hereinafter referred to as "SUB -RECIPIENT." NOW THEREFORE, in consideration of the terms, conditions, covenants, and performance contained herein, or attached and incorporated and made a part hereof, the Parties mutually agree as follows: 1. PURPOSE OF THE AGREEMENT The purpose of this Agreement is to provide funding, provided by the United States Department of Transportation (USDOT) National Highway Traffic Safety Administration (NHTSA) and allowed under the Assistance Listings Catalog of Federal Domestic Assistance (CFDA) numbers 20.600, for traffic safety grant project 2022-AG-4341 King County Distracted Driving Campaign, specifically to provide funding for the law enforcement agencies in WTSC Regions 7 and 8 to conduct overtime high -visibility enforcement (HVE) traffic safety emphasis patrols as outlined in the Statement of Work (SOW), in support of Target Zero priorities. The Target Zero Manager (TZM) and/or the Law Enforcement Liaison (LEL) shall coordinate the SOW with the SUB -RECIPIENT with the goal of reducing traffic crashes. Grant 2022-AG-4341 King County Distracted Driving Campaign was awarded to the Regions 7/8 to support collaborative efforts to conduct HVE activities. By signing this agreement, the SUB -RECIPIENT is able to seek reimbursement for approved straight time or overtime expenses incurred as a participant in the region's HVE grant. 2. PERIOD OF PERFORMANCE The period of performance of this Agreement shall commence upon the date of execution by both Parties, but not earlier than October 1, 2021, and remain in effect until September 30, 2022, unless terminated sooner, as provided herein. 3. STATEMENT OF WORK SCOPE OF WORK: Note: This statement of work applies only to High Visibility Emphasis patrols (HVE) for traffic safety areas which your region has received HVE funding. GOAL: To prevent traffic crashes to reduce traffic related deaths and serious injuries through increased enforcement. STRATEGY: Prevent drivers from engaging in high risk behaviors by increasing their perception of the risk of receiving a citation through high visibility enforcement campaigns (HVE). HVE Campaigns influence driver behavior by creating the perception that there is an increased risk of engaging in risky driving behaviors. This perception is achieved through 1) an increase in media messages about upcoming emphasis periods so that the targeted drivers know when the patrols will occur and what will be enforced and 2) during the patrols drivers have the perception of increased enforcement because they can see a significant and noticeable increase in law enforcement presence (officers pulling cars over) that reinforces the media messages they received and influences them to modify their driving behavior. OBJECTIVES: Research and experience has shown that the strategy is only effective if all partners that engage in HVE adhere to these requirements. The SUB -RECIPIENT agrees to follow all seven of these requirements. 1. Implement the mobilization plan developed by the local traffic safety task force for each HVE event that includes: a. Problem Statement b. Description of enforcement strategy, including expected law enforcement agencies participating in the event, target violation, and target locations so that the HVE has the greatest chance of preventing traffic crashes. c. Public outreach strategy that targets the drivers most likely to contribute to traffic crashes. d. Evaluation plan 2. The event is data driven. This means data (such as traffic crash data) is used to identify the locations where the HVE should occur and drivers with the highest potential of causing traffic crashes. 3. The enforcement is multiiurisdictional and rises a saturation 41)p oach. This means SUB -RECIPIENT is coordinating its efforts with adjacent law enforcement agencies so that the driving public has the perception of law enforcement omnipresence on the targeted roads. Enforcement is highly visible —. clearly more than a typical day. WTSC proposes that no less than three officers work an HVE. 4. The public is made aware of the event before, during, and after the enforcement takes place. This means that messages reach all target audiences in the community, regardless of English proficiency, who use the targeted transportation system. The WTSC will conduct statewide public education campaigns during national campaigns, but it is the responsibility of the SUB -RECIPIENT and task force to ensure that all elements of HVE are being met. 5. Local media are highly involved in the effort to reach communities in which HVE will occur. 6. The SUB -RECIPIENT de to s resources to enforce traffic laws in T)riority areas throughout the yeai' when HVE is not being implemented. ADDITIONAL REQUIREMENTS FOR ALL HVE EVENTS: In addition to the seven critical elements, SUB -RECIPIENT agrees to all of the following requirements for all HVE events. To use the WEMS system provided by the WTSC to record all activities conducted by their commissioned officers pursuant to the HVE events. SUB -RECIPIENT will also ensure all supervisors and fiscal staff have the ability to review and edit those activity logs. 2. All participating staff receive a briefing prior to the event so that every participant understands and can explain all of the items on the briefing list below. This can be done in person (preferred) or electronic via telephone, email, or virtually. ■ Purpose, goals, strategy, and objectives of the specific HVE event with a focus on the targeted locations and driving behaviors • List of on -call DREs and request procedures + How to fill out their digital activity log in WEMS • Information on how the Mobile Impaired Driving Unit will be used (if applicable) + Dispatch information • All Participating officers ■ Spotter processes (if applicable) ■ Available Draeger machines and locations 3. All officers participating in these patrols are SAC certified and passed the SFST refresher training within the prior three years (this is regardless of ARIDE or DRE Training mentioned below). 4. To utilize all available media platforms it has available (website, email newsletters, social media etc...) to the fullest extent to publicize the HVE events. 5. Make at least one individual available for weekend media contacts, beginning at noon on Fridays before HVE mobilizations.. ADDITIONAL REQUIREMENTS FOR SPECIFIC HVE EVENTS In addition to the seven critical elements, and the additional requirements of all HVE events, the SUB - RECIPIENT agrees to all of the following requirements for each type of specific WE in which they will participate. 1. DISTRACTED DRIVING a. Distracted driving HVE events will be conducted using a team approach with designated spotters. b. SUB -RECIPIENT will participate in a King County Target Zero Task Force distracted driving emphasis campaign between July - September 2022 (specific dates TBD). OTHER CONSIDERATIONS, EXCEPTIONS, AND NOTES REGARDING HVE EVENTS Distracted Driving HVE Events: ■ With the State of Washington's distracted driving law, these patrols will be important to ensure through education and enforcement that drivers understand and are following the new law RCW 46.61,672 . r These patrols shall be deployed at locations where the data indicates that the most traffic safety benefit can be realized as determined by the local Traffic Safety Task Force. Wherever possible these patrols shall occur in areas with the highest number of past distracted driving violations. This approach has shown to best identify distracted driving violations. • Spotter Requirement Explained: A distracted driving HVE patrol must consist of at least three officers — one spotter and at least two officers responding to violations. r This funding can be expended outside of the national campaigns, but the funds must only be used for distracted driving HVE enforcement. 3.1. MILESTONES AND DELIVERABLES Mobilization On the Road, Off the Phone 3.2. COMPENSATION Dates July — September 2022 3.2.1. Compensation for the straight time or overtime work provided in accordance with this Agreement has been established under the terms of RCW 39.34. The cost of accomplishing the work described in the SOW will not exceed dollar total from amounts listed below. Payment for satisfactory performance of the overtime work shall not exceed this amount unless the WTSC and SUB -RECIPIENT mutually agree to a higher amount in a written Amendment to this Agreement executed by both the WTSC and SUB -RECIPIENT. Comp -time is not considered overtime and will not be approved for payment. All law enforcement agencies who are active members of the Regions 7/8 traffic safety task force with a fully executed grant agreement are eligible to participate in this grant. 3.2.2. WTSC will reimburse for personnel straight time or overtime expenses (overtime expenses will be reimbursed at 150 percent of the officer's normal salary rate) plus SUB-RECIPIENT's contributions to employee benefits, limited to the .following: • FICA • Medicare • Any portion of L & I that is paid by the employer (SUB -RECIPIENT) • Retirement contributions paid by the employer (SUB -RECIPIENT) can be included if the contribution is based on a percentage of their hours worked Health insurance, or any other benefits not listed above, are not eligible for reimbursement. The SUB -RECIPIENT will provide law enforcement officers with appropriate equipment (e.g., vehicles, radars, portable breath testers, etc.) to participate in the emphasis patrols. 3.2.3. Funding alterations are permitted as follows: Upon agreement by the regional TZM and all other parties impacted by a proposed budget alteration, the allocation amounts may be increased or decreased without amending this agreement. HVE grant funds should be managed collaboratively by the SUB -RECIPIENT and the TZM. These alterations must be requested through email communication among all involved parties, including the TZM, and the WTSC Fiscal Analyst. This communication shall include an HVE Allocation Adjustment form, which details the funding alterations. Funds within the same HVE campaign budget category only, can be increased and decreased across parties, so long as the modified total does not exceed the regional total allocation per fimding category. 3.2.4. These funds, designated for salaries and benefits, are intended to pay for the hourly overtime costs and proportional amounts of fringe benefits of commissioned staff pursuing the activities described in the statement of work. These funds may not be used for any other purpose for example any work required to maintain a law enforcement commission including recertification trainings like firearm qualification. 3.2.5. Dispatch: WTSC will reimburse communications officers/dispatch personnel for work on this project providing SUB -RECIPIENT has received prior approval from their region's TZM. This activity must be overtime and only the expenses listed in section 3.2 and its subsections will be reimbursed. 3.2.6. Transport Officers: WTSC will reimburse transport officers for their work on this project providing SUB -RECIPIENT has received approval from their regions TZM. The TZM will work with the regional LEL to determine if need is warranted for the type of HVE activity. This activity must be overtime and only the expenses listed in section 3.2 and its subsections will be reimbursed. 3.2.7. The law enforcement agency involved will not schedule individual officer overtime shifts for longer than eight hours. WTSC understands there may be instances when more than eight hours are billed due to DUI processing or other reasons and an explanation should be provided on the WEMS Officer Activity Log. 3.2.8. The law enforcement agency involved will ensure that any, reserve officer for whom reimbursement is claimed has exceeded his/her normal weekly working hours when participating in an emphasis patrol and is authorized to be paid at the amount requested. Reserve officers may only be paid at the normal hourly rate and not at the 150 percent overtime rate. 3.3. SUMMARY OF PROJECT COSTS The WTSC has $5,000 to the FEDERAL WAY POLICE DEPARTMENT for the purpose of conducting coordinated overtime HVE activities. By signing this agreement, the SUB -RECIPIENT is able to seek reimbursement for approved overtime expenses incurred as a participant in this grant. All activity must be coordinated by the region's traffic safety task force and TZM in order to be eligible for reimbursement. The funding for FEDERAL WAY POLICE DEPARTMENT as follows: EMPHASIS PATROL Distracted Driving Patrols $5,000 (Section 402, CFDA 20.600) 3.3.1. The funds issued under this Agreement are only to be used for the specified category and shall not be commingled between categories. APPLICABLE STATE AND FEDERAL TERMS AND CONDITIONS: 4. ACTIVITY REPORTS The SUB -RECIPIENT agrees to have all personnel who work HVE patrols submit a WEMS Officer Activity Log within 24 hours of the end of all shifts worked. These same logs will be associated with invoices as detailed in the "BILLING PROCEDURE" section. Use of the Officer Activity Log in the WTSC's online grant management system, WEMS, is required. Supervisor review and accuracy certification will also be done in WEMS. 5. ADVANCE PAYMENTS PROHIBITED No payments in advance of or in anticipation of goods or services to be provided under this Agreement shall be made by the WTSC. 6. AGREEMENT ALTERATIONS AND AMENDMENTS This Agreement may be amended by mutual agreement of the Parties in the form of a written request to amend this Agreement. Such amendments shall only be binding if they are in writing and signed by personnel authorized to bind each of the Parties. Changes to the budget, SUB -RECIPIENT'S Primary Contact, and WTSC Program Manager can be made through email communication and signatures are not required. 7. ALL WRTIINGS CONTAINED HEREIN This Agreement contains all the terms and conditions agreed upon by the Parties. No other understandings, oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or to bind any of the Parties hereto. 8. ASSIGNMENT The SUB -RECIPIENT may not assign the work to be provided under this Agreement, in whole or in part, without the express prior written consent of the WTSC, which consent shall not be unreasonably withheld. The SUB -RECIPIENT shall provide the WTSC a copy of all third -party contracts and agreements entered into for purposes of fulfilling the SOW. Such third -party contracts and agreements must follow applicable federal, state, and local law, including but not limited to procurement law, rules, and procedures. If any of the funds provided under this Agreement include funds from NHTSA, such third -party contracts and agreements must include the federal provisions set forth in this Agreement in sections 34 through 42. 9. ATTORNEYS' FEES In the event of litigation or other action brought to enforce the Agreement terms, each Party agrees to bear its own attorney fees and costs. 10. BILLING PROCEDURE All invoices for reimbursement of HVE activities will be done using the WTSC's grant management system, WEMS. WEMS Officer Activity logs will be attached to invoices, directly linking the cost of the activity to the invoice. Because the activity, approval, and invoicing are all done within WEMS, no back up documentation is required in most cases. Once submitted by the SUB -RECIPIENT, invoices are routed to the regional TZM for review and approval. The TZM will submit all approved invoices to the WTSC via WEMS within 10 days of receipt. Payment to the SUB -RECIPIENT for approved and completed work will be made by warrant or account transfer by WTSC within 30 days of receipt of such properly documented invoices acceptable to WTSC. Upon expiration of the Agreement, any claim for payment not already made shall be submitted within 45 days after the expiration date of this Agreement. All invoices for goods received or services performed on or prior to June 30, 2022, must be received by WTSC no later than August 10, 2022. All invoices for goods received or services performed between July 1, 2022 and September 30, 2022, must be received by WTSC no later than November 15, 2022. 11. CONFIDENTIALPTYISAFEGUARDING OF INFORMATION The SUB -RECIPIENT shall not use or disclose any information concerning the WTSC, or information which may be classified as confidential, for any purpose not directly connected with the administration of this Agreement, except with prior written consent of the WTSC, or as may be required by law. 12. COST PRINCIPLES Costs incurred under this Agreement shall adhere to provisions of 2 CFR Part 200 Subpart E. 13. COVENANT AGAINST CONTINGENT FEES The SUB -RECIPIENT warrants that it has not paid, and agrees not to pay, any bonus, commission, brokerage; or contingent fee to solicit or secure this Agreement or to obtain approval of any application for federal financial assistance for this Agreement. The WTSC shall have the right, in the event of breach of this section by the SUB -RECIPIENT, to annul this Agreement without liability. 14. DISPUTES 14.1. Disputes arising in the performance of this Agreement, which are not resolved by agreement of the Parties, shall be decided in writing by the WTSC Deputy Director or designee. This decision shall be final and conclusive, unless within 10 days from the date of the SUB-RECIPIENT's receipt of WTSC's written decision, the SUB -RECIPIENT furnishes a written appeal to the WTSC Director. The SUB-RECIPIENT's appeal shall be decided in writing by the Director or designee within 30 days of receipt of the appeal by the Director. The decision shall be binding upon the SUB -RECIPIENT and the SUB -RECIPIENT shall abide by the decision. 14.2. Performance During Dispute. Unless otherwise directed by WTSC, the SUB -RECIPIENT shall continue performance under this Agreement while matters in dispute are being resolved. 15. GOVERNANCE 15.1. This Agreement is entered into pursuant to and under the authority granted by the laws of the state of Washington and any applicable federal laws. The provisions of this Agreement shall be construed to conform to those laws. 15.2. In the event of an inconsistency in the terms of this Agreement, or between its terms and any applicable statute or rule, the inconsistency shall be resolved by giving precedence in the following order: 15.2.1. Applicable federal and state statutes and rules 15.2.2. Terms and Conditions of this Agreement 15.2.3. Any Amendment executed under this Agreement 15.2.4. Any SOW executed under this Agreement 15.2.5. Any other provisions of the Agreement, including materials incorporated by reference 16. INCOME Any income earned by the SUB -RECIPIENT from the conduct of the SOW (e.g., sale of publications, registration fees, or service charges) must be accounted for, and that income must be applied to project purposes or used to reduce project costs. 17. INDEMNIFICATION 17.1. To the fullest extent permitted by law, the SUB -RECIPIENT shall indemnify and hold harmless the WTSC, its officers, employees, and agents, and process and defend at its own expense any and all claims, demands, suits at law or equity, actions, penalties, losses, damages, or costs of whatsoever kind ("claims") brought against WTSC arising out of or in connection with this Agreement and/or the SUB-RECIPIENT's performance or failure to perform any aspect of the Agreement. This indemnity provision applies to all claims against WTSC, its officers, employees, and agents arising out of, in connection with, or incident to the acts or omissions of the SUB -RECIPIENT, its officers, employees, agents, contractors, and subcontractors. Provided, however, that nothing herein shall require the SUB -RECIPIENT to indemnify and hold harmless or defend the WTSC, its agents, employees, or officers to the extent that claims are caused by the negligent acts or omissions of the WTSC, its officers, employees or agents; and provided further that if such claims result from the concurrent negligence of (a) the SUB -RECIPIENT, its officers, employees, agents, contractors, or subcontractors, and (b) the WTSC, its officers, employees, or agents, or involves those actions covered by RCW 4.24.115, the indemnity provisions provided herein shall be valid and enforceable only to the extent of the negligence of the SUB -RECIPIENT, its officers, employees, agents, contractors, or subcontractors. 17.2. The SUB -RECIPIENT waives its immunity under Title 51 RCW to the extent it is required to indemnify, defend, and hold harmless the WTSC, its officers, employees, or agents. 17.3. The indemnification and hold harmless provision shall survive termination of this Agreement. 18. INDEPENDENT CAPACITY The employees or agents of each Party who are engaged in the performance of this Agreement shall continue to be employees or agents of that Party and shall not be considered for any purpose to be employees or agents of the other Party. 19. INSURANCE COVERAGE 19.1. The SUB -RECIPIENT shall comply with the provisions of Title 51 RCW, Industrial Insurance, if required by law. 19.2. If the SUB -RECIPIENT is not required to maintain insurance in accordance with Title 51 RCW, prior to the start of any performance of work under this Agreement, the SUB -RECIPIENT shall provide WTSC with proof of insurance coverage (e.g., vehicle liability insurance, private property liability insurance, or commercial property liability insurance), as determined appropriate by WTSC, which protects the SUB - RECIPIENT and WTSC from risks associated with executing the SOW associated with this Agreement. 20. LICENSING ACCREDITATION AND REGISTRATION The SUB -RECIPIENT shall comply with all applicable local, state, and federal licensing, accreditation, and registration requirements and standards necessary for the performance of this Agreement. The SUB - RECIPIENT shall complete registration with the Washington State Department of Revenue, if required, and be responsible for payment of all taxes due on payments made under this Agreement. 21. RECORDS MAINTENANCE 21.1. During the term of this Agreement and for six years thereafter, the SUB -RECIPIENT shall maintain books, records, documents, and other evidence that sufficiently and properly reflect all direct and indirect costs expended in the performance of the services described herein. These records shall be subject to inspection, review, or audit by authorized personnel of the WTSC, the Office of the State Auditor, and federal officials so authorized by law. All books, records, documents, and other material relevant to this Agreement will be retained for six years after expiration. The Office of the State Auditor, federal auditors, the WTSC, and any duly authorized representatives shall have full access and the right to examine any of these materials during this period. 21.2. Records and other documents, in any medium, furnished by one Party to this Agreement to the other Party, will remain the property of the furnishing Party, unless otherwise agreed. The receiving Party will not disclose or make available this material to any third Parties without first giving notice to the furnishing Party and giving them a reasonable opportunity to respond. Each Party, will utilize reasonable security procedures and protections to assure that records and documents provided by the other Party are not erroneously disclosed to third Parties. 22. RIGHT OF INSPECTION The SUB -RECIPIENT shall provide right of access to its facilities to the WTSC or any of its officers, or to any other authorized agent or official of the state of Washington or the federal government, at all reasonable times, in order to monitor and evaluate performance, compliance, and/or quality assurance under this Agreement. The SUB -RECIPIENT shall make available information necessary for WTSC to comply with the right to access, amend, and receive an accounting of disclosures of their Personal Information according to the Health Insurance Portability and Accountability Act of 1996 (HIPAA) or any regulations enacted or revised pursuant to the HIPAA provisions and applicable provisions of Washington State law. The SUB - RECIPIENT shall upon request make available to the WTSC and the United States Secretary of the Department of Health and Human Services all internal policies and procedures, books, and records relating to the safeguarding, use, and disclosure of Personal Information obtained or used as a result of this Agreement. 23. RIGHTS IN DATA 23.1. WTSC and SUB -RECIPIENT agree that all data and work products (collectively called "Work Product") pursuant to this Agreement shall be considered works made for hire under the U.S. Copyright Act, 17 USC § 101 et seq., and shall be owned by the state of Washington. Work Product includes, but is not limited to, reports, documents, pamphlets, advertisement, books, magazines, surveys, studies, computer programs, films, tapes, sound reproductions, designs, plans, diagrams, drawings, software, and/or databases to the extent provided by law. Ownership includes the right to copyright, register the copyright, distribute, prepare derivative works, publicly perform, publicly display, and the ability to otherwise use and transfer these rights. 23.2. If for any reason the Work Product would not be considered a work made for hire under applicable law, the SUB -RECIPIENT assigns and transfers to WTSC the entire right, title, and interest in and to all rights in the Work Product and any registrations and copyright applications relating thereto and any renewals and extensions thereof. 23.3. The SUB -RECIPIENT may publish, at its own expense, the results of project activities without prior review by the WTSC, provided that any publications (written, visual, or sound) contain acknowledgment of the support provided by NHTSA and the WTSC. Any discovery or invention derived from work performed under this project shall be referred to the WTSC, who will determine through NHTSA whether patent protections will be sought, how any rights will be administered, and other actions required to protect the public interest. 24. SAVINGS In the event funding from state, federal, or other sources is withdrawn, reduced, or limited in any way after the effective date of this Agreement and prior to completion of the SOW under this Agreement, the WTSC may terminate the Agreement under the. "TERMINATION FOR CONVENIENCE" clause, without the 30- day notice requirement. The Agreement is subject to renegotiation at the WTSC's discretion under any new funding limitations or conditions. 25. SEVERABILITY If any provision of this Agreement or any provision of any document incorporated by reference shall be held invalid, such invalidity shall not affect the other provisions of this Agreement which can be given effect without the invalid provision, if such remainder conforms to the requirements of applicable law and the fundamental purpose of this Agreement, and to this end the provisions of this Agreement are declared to be severable. 26. SITE SECURITY While on WTSC premises, the SUB -RECIPIENT, its agents, employees, or sub -contractors shall conform in all respects with all WTSC physical, fire, or other security policies and applicable regulations. 27. TAXES All payments of payroll taxes, unemployment contributions, any other taxes, insurance, or other such expenses for the SUB -RECIPIENT or its staff shall be the sole responsibility of the SUB -RECIPIENT. 28. TERMINATION FOR CAUSE If the SUB -RECIPIENT does not fulfill in a timely and proper manner its obligations under this Agreement or violates any of these terms and conditions, the WTSC will give the SUB -RECIPIENT written notice of such failure or violation, and may terminate this Agreement immediately. At the WTSC's discretion, the SUB -RECIPIENT may be given 15 days to correct the violation or failure. In the event that the SUB - RECIPIENT is given the opportunity to correct the violation and the violation is not corrected within the 15- day period, this Agreement may be terminated at the end of that period by written notice of the WTSC. 29. TERMNATION FOR CONVENIENCE Except as otherwise provided in this Agreement, either Party may terminate this Agreement, without cause or reason, with 30 days written notice to the other Party. If this Agreement is so terminated, the WTSC shall be liable only for payment required under the terms of this Agreement for services rendered or goods delivered prior to the effective date of termination. 30. TREATMENT OF ASSETS 30.1. Title to all property furnished by the WTSC shall remain property of the WTSC. Title to all property furnished by the SUB -RECIPIENT for the cost of which the SUB -RECIPIENT is entitled to be reimbursed as a direct item of cost under this Agreement shall pass to and vest in the WTSC upon delivery of such property by the SUB -RECIPIENT. Title to other property, the cost of which is reimbursable to the SUB -RECIPIENT under this Agreement, shall pass to and vest in the WTSC upon (i) issuance for use of such property in the performance of this Agreement, or (ii) commencement of use of such property in the performance of this Agreement, or (iii) reimbursement of the cost thereof by the WTSC in whole or in part, whichever first occurs. 30.2. Any property of the WTSC furnished to the SUB -RECIPIENT shall, unless otherwise provided herein or approved by the WTSC, be used only for the performance of this Agreement. 30.3. The SUB -RECIPIENT shall be responsible for any loss or damage to property of the WTSC which results from the negligence of the SUB -RECIPIENT or which results from the failure on the part of the SUB - RECIPIENT to maintain and administer that property in accordance with sound management practices. 30.4. If any WTSC property is lost, destroyed, or damaged, the SUB -RECIPIENT shall immediately notify the WTSC and shall take all reasonable steps to protect the property from further damage. 30.5. The SUB -RECIPIENT shall surrender to the WTSC all property of the WTSC upon completion, termination, or cancellation of this Agreement. 30.6. All reference to the SUB -RECIPIENT under this clause shall also include SUB-RECIPIENT's employees, agents, or sub -contractors. 31. WAIVER A failure by either Party to exercise its rights under this Agreement shall not preclude that Party from subsequent exercise of such rights and shall not constitute a waiver of any other rights under this Agreement. APPLICABLE CERTIFICATIONS AND ASSURANCES FOR HIGHWAY SAFETY GRANTS (23 CFR PART 1300 APPENDIX A): 32. BUY AMERICA ACT The SUB -RECIPIENT will comply with the Buy America requirement (23 U.S.C. 313) when purchasing items using federal funds. Buy America requires the SUB -RECIPIENT to purchase only steel, iron, and manufactured products produced in the United States, unless the Secretary of Transportation determines that such domestically produced items would be inconsistent with the public interest, that such materials are not reasonably available and of a satisfactory quality, or that inclusion of domestic materials will increase the cost of the overall project contract by more than 25 percent. In order to use federal funds to purchase foreign produced items, the WTSC must submit a waiver request that provides an adequate basis and justification, and which is approved by the Secretary of Transportation. 33. DEBARMENT AND SUSPENSION Instructions for Lower Tier Certification 33.1. By signing this Agreement, the SUB -RECIPIENT (hereinafter in this section referred to as the "lower tier participant") is providing the certification set out below and agrees to comply with the requirements of 2 CFR part 180 and 23 CFR part 1300. 33.2. The certification in this section is a material representation of fact upon which reliance was placed when this transaction was entered into. If it is later determined that the lower tier participant knowingly rendered an erroneous certification, in addition to other remedies available to the federal government, the department or agency with which this transaction originated may pursue available remedies, including suspension and/or debarment. 33.3. The lower tier participant shall provide immediate written notice to the WTSC if at any time the lower tier participant learns that its certification was erroneous when submitted or has become erroneous by reason of changed circumstances. 33.4. The terms covered transaction, debarment, suspension, ineligible, lower tier, participant, person, primary tier, principal, and voluntarily excluded, as used in this clause, have the meanings set out in the Definitions and Covered Transactions sections of 2 CFR part 180. 33.5. The lower tier participant agrees by signing this Agreement that it shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by NHTSA. 33.6. The lower tier participant further agrees by signing this Agreement that it will include the clause titled "Instructions for Lower Tier Certification" including the "Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion - Lower Tier Covered Transaction," without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions, and will require lower tier participants to comply with 2 CFR part 180 and 23 CFR part 1300. 33.7. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction that it is not proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, ineligible, or voluntarily excluded from the covered transaction, unless it knows that the certification is erroneous. A participant may decide the method and frequency by which it determines the eligibility of its principals. Each participant may, but is not required to, check the List of Parties Excluded from Federal Procurement and Non -procurement Programs. 33.8. Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings. 33.9. Except for transactions authorized under paragraph 35.5. of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, suspended, debarred, ineligible, or voluntarily excluded from participation in this transaction, the department or agency with which this transaction originated may disallow costs, annul or terminate the transaction, issue a stop work order, debar or suspend you, or take other remedies as appropriate. Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion - Lower Tier Covered Transactions 33.10. The lower tier participant certifies, by signing this Agreement, that neither it nor its principals are presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any federal department or agency. 33.11. Where the lower tier participant is unable to certify to any of the statements in this certification, such participant shall attach an explanation to this Agreement. 34. THE DRUG -FREE WORKPLACE ACT OF 1988 (41 U.S.C. 8103) 34.1. The SUB -RECIPIENT shall: 34.1.1. Publish a statement notifying employees'that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the workplace. and shall specify the actions that will be taken against employees for violation of such prohibition. 34.1.2. Establish a drug -free awareness program to inform employees about the dangers of drug abuse in the Workplace; the SUB-RECIPIENT's policy of maintaining a drug -free workplace; any available drug counseling, rehabilitation, and employee assistance programs; and the penalties that may be imposed upon employees for drug violations occurring in the workplace. 34.1.3. Make it a requirement that each employee engaged in the performance of the grant be given a copy of the statement required by paragraph 36.1.1. of this section. 34.1.4. Notify the employee in the statement required by paragraph 36.1.1. of this section that, as a condition of employment under the grant, the employee will abide by the terms of the statement, notify the employer of any criminal drug statute conviction for a violation occurring in the workplace no later than five days after such conviction, and notify the WTSC within 10 days after receiving notice from an employee or otherwise receiving actual notice of such conviction. 34.1.5. Take one of the following actions within 30 days of receiving notice under paragraph 36.1,3. of this section, with respect to any employee who is so convicted: take appropriate personnel action against such an employee, up to and including termination, and/or require such employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for such purposes by a federal, state, or local health, law enforcement, or other appropriate agency. 34.1.6. Make a good faith effort to continue to maintain a drug -free workplace through implementation of all of the paragraphs above. 35. FEDERAL FUNDINGACCOUNTABl7LITY AND TRANSPARENCY ACT WFATA] In accordance with FFATA, the SUB -RECIPIENT shall, upon request, provide WTSC the names and total compensation of the five most highly compensated officers of the entity, if the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in federal awards, received $25,000,000 or more in annual gross revenues from federal awards, and if the public does not have access to information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 or section 6104 of the Internal Revenue Code of 1986. 36. FEDERAL LOBBYING 36.1. The undersigned certifies, to the best of his or her knowledge and belief, that: 36.1.1. No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement. 36.1.2. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form- LLL, Disclosure Form to Report Lobbying, in accordance with its instructions. 36.1.3. The undersigned shall require that the language of this certification be included in the award documents for all sub -awards at all tiers (including sub -contracts, sub -grants, and contracts under grant, loans, and cooperative agreements), and that all sub -recipients shall certify and disclose accordingly. 36.2. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. 37. NONDISCRIMINATION (Title VI, 42 U.S.C. § 2000d et seq.) 37.L During the performance of this Agreement, the SUB -RECIPIENT agrees: 37.1.1. To comply with all federal nondiscrimination laws and regulations, as may be amended from time to time. 37.1.2. Not to participate directly or indirectly in the discrimination prohibited by any federal non- discrimination law or regulation, as set forth in Appendix B of 49 CFR Part 21 and herein. 37.1.3. To permit access to its books, records, accounts, other sources of information, and its facilities as required by the WTSC, USDOT, or NHTSA. 37.1.4. That, in the event a contractor/funding recipient fails to comply with any nondiscrimination provisions in this contract/funding Agreement, the WTSC will have the right to impose such contract/agreement sanctions as it or NHTSA determine are appropriate, including but not limited to withholding payments to the contractor/fiinding recipient under the contract/agreement until the contractor/funding recipient complies, and/or cancelling, terminating, or suspending a contract or funding agreement, in whole or in part. 37.1.5. To insert this clause, including all paragraphs, in every sub -contract and sub -agreement and in every solicitation for a sub -contract or sub -agreement that receives federal funds under this program. 38. POLITICAL ACTIVITY HATCH AC The SUB -RECIPIENT will comply with provisions of the Hatch Act (5 U.S.C. 1501-1508), which limit the political activities of employees whose principal employment activities are funded in whole or in part with federal funds. 39. PROHIBITION ON USING GRANT FUNDS TO CHECK FOR HELMET USAGE The SUB -RECIPIENT will not use 23 U.S.C. Chapter 4 grant funds for programs to check helmet usage or to create checkpoints that specifically target motorcyclists. This Agreement does not include any aspects or elements of helmet usage or checkpoints, and so fully complies with this requirement. 40. STATE LOBBYING None of the funds under this Agreement will be used for any activity specifically designed to urge or influence a state or local legislator to favor or oppose the adoption of any specific legislative proposal pending before any state or local legislative body. Such activities include both direct and indirect (e.g., "grassroots") lobbying activities, with one exception. This does not preclude a state official whose salary is supported with NHTSA funds from engaging in direct communications with state or local legislative officials, in accordance with customary state practice, even if such communications urge legislative officials to favor or oppose the adoption of a specific pending legislative proposal. 41. DESIGNATED CONTACTS The following named individuals will serve as designated contacts for each of the Parties for all communications, notices, and reimbursement regarding this Agreement: The Contact for the SUB- RECIPIENT is: The Target Zero Manager for Regions ,7/8 is: The Contact for WTSC is: Lt. Brigham Schulz Sara Wood Debi Besser Federal Way PD sw.00d[a7kentwa.gov WTSC Program Manager Brigham.Schulz@cityoffederalway.com 253-856-5856 dbesserOwtsc.wa.gov 253.835.6743 42. AUTHORITY TO SIGN The undersigned acknowledges that they are authorized to execute this Agreement and bind their respective agencies or entities to the obligation set forth herein. IN WITNESS WHEREOF, the parties have executed this Agreement. Signature Printed Name WASHINGTON TRAFFIC SAFETY COMMISSION DglYlry 3�g0ad tyPamNa E Pamela E °{�n:�� emai.ppanllluFAxsK�sraggy, c=US Dale: 2022,07.27 1 O;W35 -07'00' Signature Pam Pannkuk Printed Name G'�4,r,-r-- of Ad-tc z— Deputy Director Title Title ;7// q/2 z Date 07-27-2022 Date COUNCIL MEETING DATE: September 20, 2022 ITEM #: 7g CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL 'SUBJECT: CJTC BLEA TAC-OFFICER AGREEMENT POLICY QUESTION: Should the Mayor approve the Agreement between the City of Federal Way and the Criminal Justice Training Commission for reimbursement of salary and benefits (including overtime) in exchange for a FWPD officer being assigned as a TAC-Officer (instructor) at the Basic Law Enforcement Academy? COMMITTEE: PRHS&PS Committee MEETING DATE: September 13, 2022 CATEGORY: ® Consent ❑ City Council Business ❑ Ordinance ❑ Public Hearing ❑ Resolution ❑ Other STAFF REPORT BY: Kurt Schwan, Commander Attachments: 1. Staff Report 2. CJTC BLEA TAC-Officer Agreement DEPT: Police Options Considered: 1. Approve the proposed agreement. 2. Do not approve the proposed agreement and provide direction to staff. MAYOR'S RECOMMENDATION: Option 1. MAYOR APPROVAL: Cammi CowieU Initial/Date initial/Date 'ZZDIRECTOR APPROVAL: �'7`.. F. 3IJzc- hntial ate , COMMITTEE RECOMMENDATION: "I move to forward the proposed Agreement to the September 20, 2022, consent agenda for approval. " �n iti a" Committee Member Committee Member PROPOSED COUNCIL MOTION: "I move approval of the proposed Agreement, and authorize the Mayor to exeOi said agreement. " ,BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED — I MO19 RESOLUTION # CITY OF FEDERAL WAY MEMORANDUM DATE: September 13, 2022 TO: City Council Members VIA: Jim Ferrell, Mayor FROM: Andy J. Hwang, Chief of Police SUBJECT: CJTC BLEA TAC-Officer Agreement Financial Impacts: This item will actually save the City of Federal Way the salary and benefits (including overtime) in exchange for one FWPD officer being assigned as a TAC-Officer (instructor) at the Criminal Justice Training Commission's (CJTC) Basic Law Enforcement Academy (BLEA) conducting the raining of student officers from across the region. Background Information: The BLEA utilizes full-time law enforcement officers, on contract, as TAC-Officers (instructors) for the purposes of teaching the state mandated courses required by student officers from law enforcement agencies across the region. By accepting this agreement, the FWPD would send a commissioned law enforcement officer (1 FTE) to work at the BLEA for a 3-year period, with the possibility of a 1-year extension. Having a FWPD TAC-Officer at the BLEA also benefits the agency by way of priority enrollment for student officers from our agency. What that means is our BLEA students will be immediately accepting into academy classes without the normal extended wait times of up to 4-6 months. Instead, our BLEA students will typically receive academy dates within 1-2 months of application. We have had multiple personnel fulfill this position previously, but almost 15-20 years ago. This current opportunity comes at the perfect time with the Council's approval for additional personnel and will assist in greatly reducing the wait times for our student officers to graduate the BLEA and return to the FWPD for their field training and eventually deploying as solo officers, becoming force multipliers for our current personnel to better address the needs of our community. Rev. 7/18 DocuSign Envelope ID: 25936221-91DF-4138-BF5F-223C2D784439 Contract Routing Sheet Washington State Criminal Justice TrainingCommission C!M<,t)>Serena Anastasio 8/15/2022 _ 091.06/22� _ Contract Requestor Name Request Date Anticipated Contract Start Date _Basic Training Division/ BLEA D-orn.o-van Heaven Division/Program Proposed Contractor (If Any) Contractor's Title/Rank: Officer Agency: Federal Way PD Contract Timeframe: September 2022-2025 HR Considerations (Please answer all questions) Is this or similar work done by any current employee? 1� Yes ❑ No ❑ Needs Further Review Will any current employee(s) be displaced, denied, or limited work by the decision to purchase services by contract? ❑ Yes [ No ❑ Needs Further Review Has the proposed contractor provided proof of COVID-19 vaccination? 0 Yes ❑ No Budget Considerations (Please answer all questions) Has the budget for this been established? RYes ❑ No ❑ Needs Further Review Is there a PI code associated? 1� Yes ❑ No ❑ Needs Further Review If so, please list. PI Code(s): X❑ 101 ❑ 102 ❑ 201 ❑ Other: Does the potential contractor currently hold other contracts with C1TC? If yes, list below - El Yes 1� No ❑ Needs Further Review Contract #s: - _ Dave Miller ApprQVe V"L, hw,f,Y' 8/15/2022 Program Manager Name Recommendation Signature Date Dave Campbell aye, lal,, 8/15/2022 Division Manager Name Recommendation Signature Date Marisa Peer -- Ala-• --Drov -e HR Manager Name Recommendation Brian Elliott Approve Budget Manager Name Recommendation Jerrell Wills A..prove Deputy Director Name Recommendation kaVisa Signature 6 o-JUL -C.0 6 ff Signature 8/15/2022 Date 8/15/2022 Date 8/15/2022 Signature Date Rev. 2/2/2022 DocuSign Envelope ID: 25936221-91DF-4138-BF5F-223C2D784439 WASHINGTON STATE CRIMINAL JUSTICE TRAINING COMMISSION Monica A. Alexander, Executive Director 19010 1st Avenue South • Burien, WA 98148 • Phone: 206-835-7300 • www,gi1c•+v4.gov INTERAGENCY AGREEMENT No. This agreement is made and entered into by and between the Federal Way Police Department, hereinafter referred to as the "Agency", and the Washington State Criminal Justice Training Commission, hereinafter referred to as the "Commission". Whereas Donovan Heavener is employed by the Agency as an employee, holding the position of Officer therein; and Whereas the Commission, pursuant to Chapter 43.101.RCW, is empowered to provide programs and standards for the training of criminal justice personnel and in conjunction therewith may contract with individuals and agencies for the purpose of training; and Whereas the Commission desires to contract with the Agency for the full-time services of Donovan Heavener in administering, conducting, and presenting this state's Basic Law Enforcement Academy program; Now therefore, for and in consideration of the mutual promises set forth hereafter, the parties hereto mutually agree as follows: (1) Term This agreement shall commence on the 6th day of September, 2022 and terminate on the 5th day of September, 2025, subject to prior termination as provided herein and unless as extended by written mutual agreement of the parties hereto. (2) Duties of the Agency: The Agency shall provide the full-time services of Donovan Heavener to the Commission for -the purpose of administering, conducting, and presenting the state's Basic Law Enforcement Academy program. Such services shall include, but not be limited to: (a) Providing classroom instruction in assigned subjects. (b) Creating written and practical exercises relating to classroom instruction. (c) Writing test material. (d) Researching/updating classroom instruction and teaching materials. (e) Tutoring/counseling academy attendees. (g) Grading exams. (h) Assisting and coordinating practical training exercises. (i) Suggesting revisions to academy programs and curriculum. TRAINING THE GUARDIANS OF DEMOCRACY DocuSign Envelope ID: 25936221-91DF-4138-BF5F-223C20784439 Federal Way Police Department August 15, 2022 Page 2 (3) Consideration In consideration of those services provided under this agreement, the Commission shall reimburse to the Agency its full payment of salary to Donovan Heavener, including all benefits and all increases to said salary or benefits, during the period of Donovan Heavener's service to the Commission herein under. The Commission shall pay said reimbursement amount upon submission by the Agency of a monthly invoice to the Commission at 19010 1st Ave South, Burien, WA 98148. (4) Agreements Outside of This Agreement This agreement contains the complete agreement between the parties and shall, as of the effective date hereof, supersede all agreements, either written or oral, between the parties. The parties agree that neither of them has made any representations with respect to the subject matter of this agreement or any representations, including the executing and delivery hereof, except such representations as are specifically set forth herein; and each of the parties hereto acknowledges that it has relied on its own judgment in entering into this agreement. (5) Modification No waiver or modification of this agreement or any covenants, conditions, or limitations herein contained shall be valid unless in writing and duly executed by the parties to be charged therewith; and no evidence of any waiver or modification shall be offered or received in evidence of any proceeding or litigation between the parties hereto arising out of or affecting this agreement, or the rights or obligations of the parties herein under, unless such waiver or modification is in writing duly executed as aforesaid; and the parties further agree that the provisions of this section may not be waived except as herein set forth. (6) Termination of Agreement This agreement may be terminated without cause at any time by mutual agreement of the parties hereto, or by either party after thirty -days (30) following the other party's receipt of a written intent to terminate. The parties retain the right to cancel this agreement upon ten (10) days written notice to the other party if either party fails to properly keep any of the provisions of this agreement. In the event of termination under this section, the Agency will be entitled to receive, to the date of such termination on a pro rata basis, the compensation as set forth in section (3) herein. (7) Operations To protect the health and safety of the staff and students of the Commission, contract instructors are required to submit to infectious disease testing when directed to do so by the Commission. Contractors must report the results to the Commission's confidential appointee. Contractors agree to follow the health and safety protocols put in place by the Commission pre and post-test. Should Donovan Heavener not wish to follow operational directives, they will be immediately release from their contractual obligation. DocuSign Envelope ID: 25936221-91DF-4138-13F5F-223=784439 Federal Way Police Department August 15, 2022 Page 3 (8) Health and Safety To protect the health and integrity of the Commission, contract instructors understand the Commission maintains control over its operations and agree to submit to directions and protocols put in place in order to carry out its mission. Should Donovan Heavener not wish to follow operational directives, they will be immediately released from their contractual obligation. (9) COVID Vaccination Certification Pursuant to Proclamation 21-14 — COVID-19 Vaccination Requirement (dated August 9, 2021) as amended by Proclamation 21-14,1— COVID-19 Vaccination Requirement (dated August 20, 2021), hereinafter referred to as the ("Proclamation"), all contractors and any of their employees and/or subcontractors who provide contracted services on -site must certify that they are fully vaccinated against the COVID-19 virus as set forth in the Proclamation. Contractors who cannot so certify are prohibited from contracting with the state. The Agency represents and warrants that should their responsibilities to the Commission involve on -site services as of October 18, 2021, the Agency's personnel providing such services will be fully vaccinated against the COVID-19 virus as set forth in the Proclamation. The Agency further understands that, upon request, the Agency's personnel must provide to the Commission proof of vaccination, in a manner established by the Commission. Should Donovan Heavener not wish to provide proof of vaccination, they will be immediately released from their contractual obligation. (10) Employment Obligations of Parties The Agency agrees to pay to Donovan Heavener the full salary and benefits, including all increases to said salary and benefits, accruing to him as an employee of the Agency during the period of his services herein under. Additionally, the Agency agrees to extend to Donovan Heavener all rights, privileges, and benefits attendant to and resulting from his employment by the Agency, including any and all promotional opportunities otherwise available to him. The Agency further agrees that upon completion and conclusion of Donovan Heavener's service herein under, and in the absence of any promotion or upgrading in classification which has occurred during the duration of this agreement and in the absence of any disciplinary action taken during the duration of this agreement, he will be returned and reinstated to the Agency at the same or equal commissioned rank or position which he held on the beginning date of this agreement. The Commission agrees to complete all necessary evaluation and documentation regarding Donovan Heavener during the period of his service herein under and as required by the Agency. The Agency reserves the -right to discipline Donovan Heavener for any violation of the Agency's rules in the same manner as other Agency employees. The Commission additionally agrees to provide Donovan Heavener a work and learning experience and professional opportunities for career development and enrichment at no special cost or direct cost to the Agency. (11) Indemnification/Hold Harmless DocuSign Envelope ID: 25936221-91DF-4138-BF5F-223C2D784439 Federal Way Police Department August 15, 2022 Page 4 The Commission shall defend, indemnify and hold the Agency, its officers, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or suits including attorney fees, arising out of or resulting from the negligent acts, errors or omissions of the Commission occurring (a) in performance of services reasonably related to this Agreement and (b) either at the request of or under the direction and control of the Commission, its agents or employees, except for injuries and damages caused by the negligence of the Agency, its officers, officials, employees and volunteers other than Donovan Heavener. The Commission agrees to defend, indemnify, and hold the Agency, its officers, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses, or suits, arising out of the services provided by Donovan Heavener under the direction of the Commission, as described in Section 2 above. (12) Medical/Health and Workers' Compensation Benefits In the event of any injury to, or the illness or death of Donovan Heavener while acting in performance of this agreement, the Agency agrees to extend to Donovan Heavener medical / health and workers' compensation benefits and other compensation, to the same extent and in the same manner as if such injury, illness, or death had occurred during work assignment in and for the Agency. (13) Venue Stipulation This agreement shall be construed as having been made and delivered with the State of Washington, and the laws of the State of Washington shall be applicable to its construction and enforcement. Any action at law, suit in equity, or judicial proceeding for the enforcement of this agreement or any provision hereto shall be instituted in King County, Seattle, Washington. (14) Assignment Each party to this agreement stipulates that the agreement is one for personal services and accordingly neither party hereto may assign, sublet, or transfer any interest in this agreement. (15) Compliance with Laws The parties hereto agree to comply in carrying out the terms of this agreement with all applicable federal, state, and local laws, ordinances, and regulations, including but not necessarily limited to, the laws pertaining to civil rights and laws pertaining to the Commission and the Agency, including merit system rules. (16) Notices All notices given herein shall be in writing and shall be sent by registered mail to the parties at their recognized business addresses. (17) Headings The article headings contained in this agreement are inserted solely as a matter of convenience and for reference and in no way define, limit, or describe the scope or intent of the provisions of this agreement. DocuSign Envelope Q 25936221-91 DF-4138-BF5F-223C2D784439 Federal Way Police Department August 15, 2022 Page 5 IN WITNESS WHEREOF, the parties have affixed their signatures on the dates below Washington State Criminal Justice Training Commission Federal Way Police Department, Washington Aukka &:)a,alvA� 8 15/ 2022 _ Monica Alexander, Date Andy Hwang, Date Executive Director Chief Criminal Justice Training Commission 190101st Avenue South Federal Way Police Department 33325 8th Avenue South Burien, Washington 98148 Federal Way, WA 98063 cc: Dave Campbell, Basic Training Division Commander, WSCJTC Brian Elliott, Fiscal Manager, WSCJTC Dave Miller, Assistant Commander — BLEA, WSCJTC Jerrell Wills, Deputy Director, WSCJTC Officer Donovan Heavener, Federal Way PD COUNCIL MEETING DATE: September 20, 2022 ITEM #: / h CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: CONTRACTED ELECTRICAL SERVICES REQUEST FOR QUOTES POLICY QUESTION: Should the City Council approve the proposed request for quotes and authorize staff to solicit proposals from the Municipal Research and Service Center small works roster for on call electrical services? COMMITTEE: PRHSPS MEETING DATE: September 13, 2022 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Jason Gerwen, Parks Depu Director DEPT: PRHSPS Attachments: 1. Staff Report 2. Contracted Electrical Services RFB Options Considered: 1. Approve the proposed agreement. 2. Do not approve the proposed agreement and provide direction to staff. MAYOR'S RECOMMENDATION: Option 1. ` MAYOR APPROVAL: 'fi t , � I MIRECTOR APPROVAL: �� 0il— Committee Council Initial/Date ` Initial/Date Initial/Date COMMITTEE RECOMMENDATION: "I move to forward the proposed request for quotes to the September 20, 2022, consent agenda for approval. " tt ai Committee Member Committee Member PROPOSED COUNCIL MOTION: "I move approval of the proposed request for quotes. " BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE COUNCIL ACTION: l7 APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED — 11/2019 RESOLUTION # CITY OF FEDERAL WAY MEMORANDUM DATE: August 24, 2022 TO: City Council Members VIA: Jim Ferrell, Mayor Brian Davis, Interim City Administrator FROM: Jason Gerwen, Deputy Parks Director SUBJECT: Contracted Electrical Services Financial Impacts The cost to the City for Contracted Electrical Services was included within the approved budget under the following Parks Department Maintenance budget codes 001-7100-336-576- 80-480, 505-1100-331-518-30-480, 505-1100-331-576-80-480, 505-1100-331-576-81-480, 303-7100-129-594-76-650 and 001-7100-331-576-80-480. In accordance with the approved budget, this item is funded by the City's General Fund. Staff is requesting allocation of $350,000 for the lifetime of the contract due to ongoing costs associated with ad -hoc, as - needed routine electrical maintenance and repairs at all locations of City of Federal Way facilities within the City limits, that are not planned for and budgeted in advance Background Information: The City has successfully used Contracted Electrical Services since the 1990's for ad -hoc, as - needed routine electrical maintenance and repairs at all locations of City of Federal Way facilities within the City limits, that are not planned for and budgeted in advance. By law we must re -bid this type of service every three years, which is why we are requesting to send out invitations for competitive quotes to companies listed on the Municipal Research and Service Center (MRSC) roster. Rev. 7/18 BID AND SMALL PUBLIC WORKS CONTRACT AND SPECIFICATIONS FOR CONTRACTED ELECTRICAL SERVICES 2022-2025 Quotes Accepted Until 2:00 P.M., October 5, 2022 Prepared By: City of Federal Way Parks Department CITY OF FEDERAL WAY Contracted Electrical Services RFQ-1 2022-2025 CFW RFQ VERSION 2020-JUNE TABLE OF CONTENTS PAGE NOTICETO CONTRACTORS...................................................................................:............................................. 3 INSTRUCTIONS TO BIDDERS & CHECKLISTS.................................................................................................. 4 QUOTE................................................................................................................................................................... 6 CONTRACTOR WAGE LAW COMPLIANCE CERTIFICATION ..................... ........... .... --,.............................. 10 SMALL PUBLIC WORKS CONTRACT ................................. :.......................... :.................................................. 11 EXHIBIT A = SAMPLE TASK ORDER................................................................................................................ 20 SAMPLE CONTRACT CHANGE ORDER........................................................................................................... 21 CERTIFICATE OF INSURANCE......................................................................................................................... 23 PERFORMANCE AND PAYMENT BOND.......................................................................................................... 24 CONTRACTOR'S RETAINAGE OPTION.................................................................................. ...................... 26 RETAINAGE BOND TO CITY OF FEDERAL WAY............................................................................................ 27 PREVAILING WAGES AND BENEFIT CODE KEY ..................................... ........... :... ...................... .:.................... CITY OF FEDERAL WAY Contracted Electrical Services RFQ-2 2022-2025 CFW RFQ VERSION 2020-JUNE NOTICE TO CONTRACTORS CONTRACTED ELECTRICAL SERVICES The City of Federal Way extends this invitation to bid to selected contractors listed with the MRSC Small Works Roster. This project is a small public works project and will be awarded under the small works roster process. PURPOSE; The City of Federal Way ("City") is requesting quotes for Contracted Electrical Services. Quotes will be received via email only to Sherri.Nelson@cityoffederalway.com on Wednesday, October 5, 2022 at 2:00 PM. Quotes received after that time and date will not be considered. Email subject line "Bid Submittal — Contracted Electrical Services" This project shall consist of: Contracted Electrical ("Services") as requested by the City of Federal Way ("City"). These are electrical services that have not been specifically budgeted for in advance in association with a known or identified project, which will be bid separately, and may be requested in various project locations throughout the City. Upon identification of a project by the City, the City and Contractor will negotiate scope, schedule, and budget for the specific project which will be included in a "Task Order." The "Task Order" form is attached to the Small Public Works Contract as "Exhibit A." The City is not obligated to assign any specific number of tasks to the Contractor and the City and Contractor's obligations hereunder are limited to the tasks assigned in written "Task Orders." Typical dollars spent on these services range from $5,000 to $120,000 per year. The City anticipates awarding this project to the successful bidder and intends to give Notice to Proceed as soon as the Contract and all required documents are executed in full. QUESTIONS: Any questions must be sent via email to Jason Gerwen at Jason_gerwen@city_offederalwa_y.com or Derreck Presnell at derreck.presnell@cityoffederalway.com. SCOPE OF WORK/SERVICES: Contractor will provide ad -hoc electrical services at all locations of City of Federal Way facilities within the City limits as -needed, however, City reserves the right to solicit bids on electrical repairs that may exceed $4000. Electrical services shall include but not be limited to: repairs, maintenance, troubleshooting, and replacements of fixtures, ballast, breakers, and other components. Contractor must be able to demonstrate knowledge and resources to perform repairs and bulb replacements on lighting poles up to 100' on athletic turf fields. Contractor and employees shall be trained and skilled to persorm all related. services, and have experience with all types of electrical services and voltages. Contractor must be able to respond to emergencies within up to 8 hours of contact by the City, preferably less, as agreed to in the contract, and respond to requests for services within 24 hours. Additional requirements and details are available in the attached contract. All quotes shall be in accordance with the Contract. The City, in accordance with Title VI of the Civil Rights Act of 1964, 78 Stat. 252, 42 U.S.C. 2000d to 2000d-4 and Title 49 C.F.R., Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally -assisted programs of the Department of Transportation issued pursuant to such Act, hereby notifies all bidders that it will affirmatively ensure that in any contract entered into pursuant to this advertisement, disadvantaged business enterprises as defined at 49 CFR Part 26 will be afforded full opportunity to submit bids in response to this invitation and will not be discriminated against on the grounds of race, color, national origin, or sex in consideration for an award. The City encourages minority and women -owned firms to submit bids consistent with the City's policy to ensure that such firms are afforded the maximum practicable opportunity to compete for and obtain public contracts. The City of Federal Way reserves the right to reject any and all quotes, waive any informalities or minor irregularities in the solicitation process, and determine which quote or bidder meets the criteria set forth in the bid documents. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-3 2022-2025 CFW RFQ VERSION 2020-JUNE INSTRUCTIONS TO BIDDERS & CHECKLISTS (1) NOTICE TO CONTRACTORS AND CONTRACT DOCUMENTS Contractors must comply with the bidder instructions in the Notice to Contractors and the Contract Documents. (2) EXAMINATION OF QUOTE AND CONTRACT DOCUMENTS — BIDDER RESPONSIBILITIES The submission of a quote shall constitute an acknowledgment upon which the City may rely that the bidder has thoroughly examined and is familiar with the bid and Small Public Works Contract and the other Contract Documents, potential project sites, the availability of materials and labor, publically available information, and has reviewed and inspected all applicable federal, state, and local statutes, regulations, ordinances and resolutions dealing with or related to the equipment and/or services to be provided herein. The failure or neglect of a bidder to examine such documents, statutes, regulations, ordinances or resolutions shall in no way relieve the bidder from any obligations with respect to the bidder's quote or the contract documents. No claim for additional compensation will be allowed which is based upon a lack of knowledge of any contract documents, statutes, regulations, ordinances or resolutions. Bidders shall visit delivery and service locations(s) as required. Bidders shall become familiar with and verify any environmental factors, which may impact current or future prices for this requirement. (3) INTERPRETATION OF QUOTE AND CONTRACT DOCUMENTS No oral clarifications, interpretations, or representation will be made to any bidder as to the meaning of the quote or Contract Documents. Bidders shall not rely upon any oral statement or conversation they may have with City's employees, agents, representatives, consultants, or design professionals regarding the Contract Documents, whether at the pre -bid meeting or otherwise and no oral communications will be binding upon the City. Any questions must be directed to Jason Gerwen at Jason. gerwen@cityoffederalway.com or Derreck Presnell at derreck.presnelI@cityoffederalway.com via email. Any interpretation deemed necessary by the City will be in the form of an Addendum to the bid documents and when issued will be sent as promptly as is practical to all parties to whom the bid documents have been issued. All such Addenda shall become part of the bid. (4) QUOTE PRICE The quote price shall include everything necessary for the completion of the Contract and the Work including, but not limited to, furnishing all materials, equipment, tools, freight charges, facilities and all management, superintendence, labor and service, except as may be provided otherwise in the Contract Documents. All Washington State sales tax and all other government taxes, assessments and charges shall be included in the various Bid item prices as required by law. Please.present detailed proposed fee schedule information on the quote sheet for the specifications proposed and for any variation for non - routine services, inclusive of Washington state sales tax and any other applicable governmental charges. You may provide additional attachments if needed. Please provide specifics as to definitions of routine versus non -routine tasks, what is fixed as opposed to variable, and how costs are adjusted according to that classification. Quote information provided will be used as a basis for understanding and estimates of costs prior to the issuance of Task Orders under the Contract. The offer shall remain in effect ninety (90) days after the bid opening. Payment by the City for the services will be made only after the services have been performed, an itemized billing statement is submitted in the form specified by the City, and approved by the appropriate City representative, which shall specifically set forth the services performed, the name of the person performing such services, and the hourly labor charge rate for such person. Payment shall be made on a monthly basis, thirty (30) days after receipt of such billing statement. (5) POSTPONEMENT OF QUOTE OPENING The City reserves the right to postpone the date and time for receiving the quotes by Addendum at any time prior to the bid opening date and time announced in these documents. (6) REJECTION OF BIDS CITY OF FEDERAL WAY Contracted Electrical Services RFQ-4 2022-2025 CFW RFQ VERSION 2020-JUNE The City reserves the right to reject any quote for any reason including, but not limited to, the reasons listed in Standard Specifications Section 1-02.13. The City further reserves the right to reject any portion of any quotes and/or to reject all quotes. In consideration for the City's review and evaluation of its quote, the bidder waives and releases any claims against the City arising from any rejection of any or all quotes. If, in the opinion of the City, there is reason to believe that collusion exists among bidders, none of the bids of the participants in such collusion will be considered. (7) RECYCLED PRODUCT The Contractor shall use recycled paper for proposals and for any printed or photocopied material created pursuant to a contract with the City whenever practicable and use both sides of paper sheets for reports submitted to the City whenever practicable. (8) BIDDER'S CHECKLIST The bidder's attention is especially called to the following forms, which must be executed in full as required. Failure to comply may result in rejection of any bid not so complying ❑ Quote: The Quote shall be completed and fully executed, including filling in the total bid amount. ❑ Contractor Certification — Wage Law Compliance: This form shall be filled in and fully executed by the bidder. (9) CONTRACT CHECKLIST The following documents are to be executed and delivered to the City after the Bid is awarded. ❑ Small Public Works Contract: The successful bidder will fully execute and deliver to the City the Small Public Works Contract ("Contract") from these Bid Documents. ❑ Certificate of Insurance: The successful bidder will provide a Certificate of Insurance evidencing the insurance requirement set forth in the Contract. ❑ Performance/Payment Bond: The successful bidder will provide a fully executed Performance/Payment Bond as appropriate or in lieu of a bond, option to authorize the City to retain ten percent (10%). ❑ Contractor's Retainage Option: The successful bidder will fully execute and deliver to the City the Contractor's Retainage Option. ❑ Contractor's Retainage Bond: If the retainage bond option is chosen, then the successful bidder will fully execute and deliver to the City the Contractor's Retainage Bond. ❑ Business License: The successful bidder will provide a copy of a current Business License with the City of Federal Way. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-5 2022-2025 CFW RFQ VERSION 2020-JUNE QUOTE SHEET Contracted Electrical Services QUOTE SUBMITTED VIA EMAIL TO: Sherri.Nelson@cityofFederalway.com, Subject line "Bid Submittal — Contracted Electrical Services" Company Signature Name: / Printed Name Address: City/State/Zip: Telephone: Email: Title: Select One of the Following: ❑ Corporation ❑ Partnership. ❑ Individual ❑ Other State Contractor's License No.: State UBI No.: State Contractor's License Expiration Date: Month Day Year State Worker's Comp. Account No.. PROJECT SUMMARY: Federal Way Parks Department is requesting quotes for Contracted Electrical services. 1. Electrical services shall include but not be limited to: repairs, maintenance, trouble shooting, replacement of; fixtures, ballast, breakers and other components. 2. Contractor and employees shall be skilled and able to perform fixture repairs and bulb replacements on a variety of lighting poles, including up to 100' sports field lighting on turf fields. 3. Contractor provided materials will be marked up at an agreed upon percentage above wholesale. 4. City reserves the right to solicit quotes on electrical repairs that may exceed $4,000 LOCATIONS: All City of Federal Way facilities within City limits. PROPOSALS: Please submit the following rates which will be the basis for invoicing electrical services work. Rates should account for a 3-year contract; based upon prevailing wages. Hourly Journeyman bid rate: Projects up to 8hrs/day $ Per hour OT rate over 8hrs $ Per hour Saturday hourly rate $ Per hour Sunday hourly rate $ Per hour Hourly Apprentice bid rate: Projects up to 8hrs/day $ Per hour OT rate over 8hrs $ Per hour Saturday hourly rate $ Per hour Sunday hourly rate $ Per hour Equipment rate bid: 15' to 40' personnel lift $ Per day $ Per week 4V to 110' personnel lift $ Per day $ Per week Materials charged at % Mark up above wholesale cost Emergency Response time (check the one your company ivill commit to under contract): ❑ 2-4 hours ❑ 4-6 hours ❑ 6-8 hours CITY OF FEDERAL WAY Contracted Electrical Services RFQ-6 2022-2026 CFW RFQ VERSION 2020-JUNE Comments. SELECTION CRITERIA: Responsiveness to quote - 25% Ability/History to complete this type of contract - 25% Price - 50% All quotes must be received no later than 2:00 PM October 5, 2022. Questions may be referred to Jason Gerwen at .Iasrin.gcrwenci ci ❑ffcderal%vay.cnn or Derreck Presnell at dermck.nresnelltt-i�eityoffederiNvay,cp- . Please email quotes to: Sherri.IYelsnnra citynlEcdrrstl�yay.com. NOTE: All entries shall be written in ink or typed. Unit prices for all items, all extensions, and total amount of bid shall be shown. Enter unit prices in numerical figures only, in dollars and cents to two (2) decimal places (including for whole dollar amounts). All figures must be clearly legible. Bids with illegible figures in the unit price column will be regarded as nonresponsive. Where conflict occurs between the unit price and the total amount specifredfor any item, the unit price shall prevail, and totals shall be corrected to conform thereto. The Bidder shall complete this entire Bid Form or this bid maybe considered non -responsive. The City may correct obvious mathematical errors. The City of Federal Way reserves the right to reject any and all bids, waive any informalities or minor irregularities in the bidding, and determine which bid or bidder meets the criteria set forth in the bid documents. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-7 2022-2025 CFW RFQ VERSION 2020-JUNE The documents incorporated by reference, as if fully set forth, are the Notice to Contractors, the Instructions to Bidders and Checklists, the Contractor's Quote (including all forms and supplemental information listed on the Bidders Checklist), the Contract Documents (including Project Plans, Specifications, and all Appendices, Amendments, and Supplemental Reports & Information), the Contract Provisions (including all forms and supplemental information listed on the Contract Checklist), the version of the Washington State Standard Specifications for Road, Bridge, and Municipal Construction identified herein, and any other documents provided to bidders and/or referenced in or referred to by the Contract Documents. Pursuant to and in compliance with the Notice to Contractors for the Project, and other documents relating thereto, the undersigned has carefully examined all of the bid and contract documents, considered conditions which may affect the delivery, supply and maintenance for the Project, and hereby proposes to furnish all labor, materials and perform all work as required in strict accordance with the contract documents, for the referenced bid amount, inclusive of Washington State sales tax and all other government taxes, assessments and charges as required by law. NON -COLLUSION AFFIDAVIT By signing this quote, the undersigned acknowledges that the person(s), firm, association, or corporation has (have) not, either directly or indirectly, entered into any agreement, participated in any collusion, or otherwise taken any action in restraint of free competitive bidding in connection with this project. To report rigging activities, call 1-800-424-9071. The U.S. Department of Transportation (USDOT) operates the toll -free hotline Monday through Friday, 8:00 a.m. to 5:00 p.m., Eastern Time. Anyone with knowledge of possible bid rigging, bidder collusion, or other fraudulent activities should use the hotline to report such activities. The hotline is part of USDOT's continuing effort to identify and investigate highway construction contract fraud and abuse and is operated under the direction of the USDOT Inspector General. All information will be treated confidentially and caller anonymity will be respected. CONFLICTS OF INTEREST, GRATUITIES, & NON-COMPETITIVE PRACTICES By signing this quote, the undersigned agrees as follows: (1) That it has no direct or indirect pecuniary or proprietary interest, that it shall not acquire any interest which conflicts in any manner or degree with the work, services, equipment or materials required to be performed and/or provided under this contract and that it shall not employ any person or agent having any such interests. In the event that the Contractor or its agents, employees or representatives hereafter acquires such a conflict of interest, it shall immediately disclose such interest to the City and take action immediately to eliminate the conflict or to withdraw from this contract, as the City may require; and (2) That no person or selling agency except bona fide employees or designated agents or representatives of the Contractor have been employed or retained to solicit or secure this contract with an agreement or understanding that a commission, percentage, brokerage, or contingent fee would be paid; and (3) That no gratuities in the form of entertainment, gifts or otherwise, were offered or given by the Contractor or any of its agents, employees or representatives, to any official, member or employee of the City or other governmental agency with a view toward securing this contract or securing favorable treatment with respect to the awarding or amending, or the making of any determination with respect to the performance of this contract. AFFIDAVIT OF ELIGIBILITY The Contractor certifies that it is properly licensed and registered under the laws of the State of Washington and has not been determined to have been in violation of RCW 50.12.070(1)(b), RCW 51.16.070(1)(b), or RCW 82.32.070(2) within the last two years. The Contractor further certifies that it has not been determined, within the last one year, to have committed any combination of two of the following violations or infractions within a five year period: (1) Violated RCW 51.48.020(1) or 51.48.103; or (2) Committed an infraction or violation under Chapter 18.27 RCW. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-8 2022-2025 CFW RFQ VERSION 2020-JUNE CERTIFICATION OF LAWFUL EMPLOYMENT The Contractor hereby certifies that it has complied with all provisions of the Immigration and Nationality Act now or as herein after amended, 8 U.S.C. 1101 et. Seq., and that all employees, including subcontractor employees, are lawfully permitted to perform work in the United States as provided in this agreement with the City of Federal Way. Receipt of the following Addendums is hereby acknowledged: Addendum No. Date Issued: Addendum No. Date Issued: Addendum No. Date Issued: The undersigned individual represents and warrants that he or she is dully authorized to execute the bid and all bid documents on behalf of any partnership, joint venture or corporation. By: Signature Printed Name Title CITY OF FEDERAL WAY Contracted Electrical Services RFQ-9 2022-2025 CFW RFQ VERSION 2020-JUNE CONTRACTOR WAGE LAW COMPLIANCE CERTIFICATION FAILURE TO RETURN THIS CERTIFICATION AS PART OF THE BID QUOTE PACKAGE WILL MAKE THIS BID NONRESPONSIVE AND INELIGIBLE FOR AWARD. I hereby certify, under penalty of perjury under the laws of the State of Washington, on behalf of the firm identified below that, to the best of my knowledge and belief, this firm has NOT been determined by a final and binding citation and notice of assessment issued by the Washington State Department of Labor and industries or through a civil judgment entered by a court of limited or general jurisdiction to have willfully violated, as defined in RCW 49.48.082, any provision of Chapters 49.46, 49.48, and 49.52 RCW within three (3) years prior to the date of the Request for Bids. Bidder Name: By: Print Full Legal Name of Firm Signature of Authorized Person Title. Title of Person Signing Certificate Date: Print Name of Person Making Certifications for Firm Place: Print City and State Where Signed CITY OF FEDERAL WAY Contracted Electrical Services RFQ-10 2022-2025 CFW RFQ VERSION 2020-JUNE SMALL PUBLIC WORKS CONTRACT THIS SMALL PUBLIC WORKS CONTRACT ("Contract") is dated effective this day of 20 and is made by and between the City of Federal Way, a Washington municipal corporation ("City or Owner"), and a ("Contractor"), for the project known as (the "Project"). A. The City desires to retain an independent contractor to furnish all labor and materials necessary to perform work necessary to complete the Project; and B. The Contractor has the requisite skill and experience to perform such work. NOW, THEREFORE, the parties ("Parties") agree to the following terms and conditions: 1. SERVICES BY CONTRACTOR 1.1 Contractor shall perform all Work and furnish all tools, materials, supplies, equipment, labor and other items incidental thereto necessary for the completion of Projects issued via Task Orders. Contractor shall perform the Work in a manner consistent with accepted practices for other properly licensed contractors and in accordance with and as described in the Contract Documents, which Work shall be completed to the City's satisfaction, within the time period prescribed by the City and pursuant to the direction of the Mayor or his or her designee. 1.2 Scope of Work: 1.2.1. Electrical services shall include but not be limited to: repairs, maintenance, troubleshooting, and replacement of fixtures, ballast, breakers, and other components. Your company must be able to demonstrate knowledge and resources to perform repairs and bulb replacements on lighting poles up to 100' on athletic turf fields. 1.2.2. Contractor and employees shall be trained and skilled to perform all related services, and have experience with all types of electrical services and voltages. 1.2.3. Contractor will coordinate with designated City staff and obtain approval prior to using more than one electrician on a job that normally could be performed by one journeyman electrician. 1.2.4. Contractor provided materials will be marked up at an agreed upon percentage rate above wholesale. (see quote sheet) 1.2.5 Contractor must be able to respond to emergencies within [insert timeframe submitted on bid documents here] of contact by the City as agreed in this contract, and respond in writing to requests for services by the City within 24 hours. Upon identification of a project by the City, the City and Contractor will negotiate scope, schedule, and budget for the specific project which will be included in a "Task Order." The "Task Order" form is attached as "Exhibit A." At the time the City contacts the contractor, with the City will specifywhether the request is for emergency services or other services. 1.2.6. City reserves the right to solicit quotes on electrical repairs that may exceed $4000 1.2.7 Locations: All City of Federal Way facilities within the City limits. 1.2.8 Definitions A. Owners: Park, Recreation & Cultural Services; City and/or City of Federal WaV and their authorized representatives shall be understood to mean one and the same. B. Contract Administrator shall be the City of Federal Way Parks Maintenance Division duly authorized representative. C. Approved means approved by the Owner. D. Approved equal or equivalent, as hereinafter used, shall mean a material or method equal to or better than the required materials or methods. E. As shown shall mean as shown on the contract drawings, maps or details. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-11 2022-2025 CFW RFQ VERSION 2020-JUNE F. Soecifications shall mean these specifications, the Specifications and all addenda thereto. 1.2.9. Contractor will furnish all labor, tools, specialized equipment, and materials. 1.2.10. Contractor will dispose of all waste materials properly. 1.2.11. All fieldwork shall be performed by or under the supervision of a qualified journey electrician. 1.2.12. Contractor will ensure that employees comply with all applicable City of Federal Way and Washington State regulations and practices with respect to work performed for the City of Federal Way. 1.2.13. Contractor's personnel will conduct themselves on site in a professional manner at all times and be identifiable with company name/logo on uniform and vehicle. 1.2.14. The Contract Administrator or appointed designee will inspect work performed by the Contractor on a regular basis. In the event of work performance deficiencies, the Contract Administrator will notify the Contractor. Notification may be verbal or written. The City may choose to: Require the Contractor to rectify the deficiency within 48 hours, or hold payment. 1.2.15. Equipment intensive work shall not commence before 7:00 a.m. and end by 8:00 p.m. on weekdays, (weekend work not allowed without prior approval) and special considerations and arrangements may be required at the Dumas Bay Centre. 1.2.16. Report any damage, or potential hazard, involving City property immediately to the City of Federal Way Parks Department, (253) 835-2700. After hours emergencies should be reported to the Police/Fire Communications Center - 911. 1.2.17. Hazardous conditions shall be immediately remedied or secured to prevent further damage and/or protect public from injury. 1.2.18. Incidents, altercations, or accident involving the public shall be reported to the Contract Administrator within 24 hours. The Contract Administrator, at his or her discretion, may require a written report from the Contractor describing the incident or accident. 1.2.19. The Contractor, at his or her expense, will remedy any damage to City structures or plant material due to Contractor negligence in a timely manner. 2. TERM 2.1 This Contract shall commence on the effective date of this Contract and continue until December 31, 20225 unless mutually extended for one year through contract change order. 2.2 The Contractor must complete the Work in accordance with the number of Working Days for the Project as identified in the Contract Documents. With regard to obtaining Substantial Completion and the Completion Date by the Contractor, time is of the essence. In the event the Work is not substantially completed within the time specified in the Contract Documents, Contractor agrees to pay to the City liquidated damages in the amount set forth in the Contract Documents. The parties acknowledge that delays inconvenience the public and cost taxpayers undue sums of money, adding time needed for administration, inspection, and supervision of the Project and diverting City resources from other projects and obligations. 2.3 If the Contractor is unreasonably delayed by others, notification shall be made in writing to the Engineer in accordance with the Contract Documents. Any request for a time extension or additional compensation (including expectancy or consequential damages) allegedly resulting from such delay shall be made in accordance with the procedures of the Contract Documents. Failure to follow the notice procedures in CITY OF FEDERAL WAY Contracted Electrical Services RFQ-12 2022-2025 CFW RFQ VERSION 2020-JUNE the Contract Documents is a full and complete waiver of Contractor's right to additional time, money, damages, or other relief (including expectancy or consequential damages) as a result of the event or condition giving rise to such request. 3. COMPENSATION 3.1 In consideration of the Contractor performing the Work, the City agrees to pay the Contractor an amount not to exceed One Hundred Fifty Thousand and 00/100 Dollars ($ 350,000.00), which amount shall constitute full and complete payment by the City ("Total Compensation"). The Contractor shall be solely responsible for the payment of any taxes imposed by any lawful jurisdiction as a result of the performance and payment of this Contract. 3.2 The City shall pay the Contractor for Work performed under this Contract as detailed in the Task Orders issued for each scope of work specified in each associated Task Order and consistent with the unit prices specified in the Bid Quote and as detailed in the Contract Documents. The Bid Quote is incorporated herein and made a part hereof by this reference. The City shall have the right to withhold payment to the Contractor for any of the Work not completed in a satisfactory manner, in the City's sole and absolute discretion, which shall be withheld until such time as Contractor modifies or repairs the Work so that the Work is acceptable to the City. Payment to the Contractor for partial estimates, final estimates, and retained percentages shall be subject to controlling laws. Annual increases in Bid Quote prices may be negotiated and executed via change order to accommodate material cost increases, union labor contract increases, use of subcontractors in -lieu of in-house staff. Contract increases shall be consistent with the Puget Sound Cost Price Index on June 30 for the previous year. Contractor shall provide all back-up documentation to support annual cost increase requests. 3.3 Payment by the City for the services will be made only after the services have been performed, an itemized billing statement is submitted in the form specified by the City, and approved by the appropriate City representative, which shall specifically set forth the services performed, the name of the person performing such services, and the charges for Work performed consistent with the Bid Quote amounts. Payment shall be made on a monthly basis, thirty (30) days after receipt of such billing statement. 3.4 In addition to the requirements set forth in the Contract Documents, the Contractor shall maintain Project cost records by cost codes and shall contemporaneously segregate and separately record, at the time incurred, all costs (1) directly associated with each work activity, (2) directly or indirectly resulting from any event, occurrence, condition, or direction for which Contractor seeks an adjustment in Contract price Contract time, or related to any other Claim or protest. Any work performed for which Contractor intends to seek an adjustment in Contract Price or Contract Time, or related to any other Claim or protest, shall be recorded on the same day the work is performed and kept separate so as to distinguish it from Contract Work. 4. INDEPENDENT CONTRACTOR 4.1 It is the intention and understanding of the Parties that the Contractor shall be an independent contractor and that the City shall be neither liable nor obligated to pay Contractor sick leave, vacation pay or any other benefit of employment, nor to pay any social security or other tax which may arise as an incident of employment. The Contractor shall not conduct itself as nor claim to be an officer or employee of the City. The Contractor shall pay all income and other taxes due. Industrial or any other insurance that is purchased for the benefit of the City, regardless of whether such may provide a secondary or incidental benefit to the Contractor, shall not be deemed to convert this Agreement to an employment contract. It is recognized that Contractor may or will be performing professional services during the Term for other parties; provided, however, that such performance of other services shall not conflict with or interfere with Contractor's ability to perform the Services. Contractor agrees to resolve any such conflicts of interest in favor of the City. Nothing contained in this Contract shall create a contractual or direct relationship with or a cause of action in favor of a Subcontractor or third party against the City, or by the Contractor against the Engineer, or against any of their agents, employees, engineers, or consultants. 4.2 If the Contractor is a sole proprietorship or if this is a contract with an individual, the contractor agrees to notify the City and complete any required form if the Contractor retired under a State of Washington retirement system and agrees to indemnify any losses the City may sustain through the Contractor's failure to do so. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-13 2022-2025 CFW RFQ VERSION 2020-JUNE 5. INDEMNIFICATION 5.1 Contractor Indemnification. 5.1.1 The Contractor shall indemnify, defend, and hold the City, its elected officials, officers, employees, agents, consultants, and volunteers (collectively "the Indemnified Parties") harmless from any costs or losses, and pay and damages or judgments, related to any claim brought by any person employed in any capacity by the Contractor or subcontractor or supplier (of any tier) performing the Work, with respect to the payment of wages, salaries, or other compensation or benefits including but not limited to benefits such as medical, health, retirement, vacation, sick leave, etc. 5.1.2. To the fullest extent permitted by law, the Contractor shall defend, release, indemnify, and hold harmless the City and the Indemnified Parties for, from, and against any and all claims, demands, losses, costs, damages, suits, actions, expenses, fines, penalties, response costs, and liabilities (including costs and all attorney and expert fees and internal personnel costs of investigation) of whatsoever kind or nature to the extent arising from, resulting from, connected with, or incident to the Contractor's performance or failure to perform this Contract or the Work or its breach of this Contract; provided, however, that if the provisions of RCW 4.24.155 apply to the Work and any injuries to persons or property arising out of the performance of this Contract are caused by or result from the concurrent negligence of the Contractor or its subcontractors, agents, employees, or anyone for whom they are legally liable, and an Indemnified Party, the indemnification and defense obligations under this Section 5.1.2 apply only to the extent of the negligence of the Contractor, its subcontractors, agents, employees, and anyone for whom they are legally liable. 5.1.3 Contractor specifically assumes potential liability for actions brought by the Contractor's own employees or former employees against any Indemnified Party, and for that purpose Contractor waives any immunity that may be granted to it under the Washington State Industrial Insurance Act, Title 51 RCW. Contractor's indemnification shall not be limited in any way by any limitation on the amount of damages, compensation or benefits payable to or by any third party under workers' compensation acts, disability benefit acts or any other benefits acts or programs. Provided, however, the Contractor's waiver of immunity by the provisions of this paragraph extends only to claims against the Contractor by any Indemnified party, and does not include, or extend to, any claims by the Contractor's employee directly against the Contractor. The Contractor recognizes that this waiver was specifically entered into. 5.2 Contractor Release. Any deviation, alteration, variation, addition, or omission in the Work by Contractor from the Contract Documents shall preclude Contractor from bringing any Claim or request for additional time or compensation on the basis of an alleged defect or error in the Contract Documents related to or arising, in any way, from that deviation, alteration, variation, addition, or omission. The Contractor further warrants that any alteration, variation, deletion, or omission fully complies with or exceeds all requirements of the Contract Documents and assumes all risk thereof. 5.3 Survival. The provisions of this Section shall (1) survive the expiration or termination of this Contract with respect to any event occurring prior to such expiration or termination, final payment hereunder, and any applicable statute of repose with respect to claims, fines, costs or damages brought or made against any Indemnified Party; (2) shall not be limited by RCW 4.16326(g); and (3) are in addition to any other rights or remedies which the City and/or any of the Indemnified Parties may have by law or under this Contract. 5.4 Offset. In the event of any claim or demand made against any Indemnified Party hereunder, the City may, in its sole discretion, reserve, retain or apply any monies due to the Contractor under the Contract or any other agreement or contract with the City for the purpose of resolving such claims; provided, however, that the City may, in the City's sole discretion, release such funds if the Contractor provides the City with adequate assurance of the protection of the City's and the other Indemnified Parties interests. 5.5 The Contractor shall ensure that each Subcontract includes a provision requiring each Subcontractor to indemnify and defend the City and the Indemnified Parties in the same manner, to the same extent, and for the same duration as Contractor agrees to indemnify and defend the City and the Indemnified Parties in this Section 5. 6. OWNERSHIP OF DOCUMENTS CITY OF FEDERAL WAY Contracted Electrical Services RFQ-14 2022-2025 CFW RFQ VERSION 2020-JUNE All originals and copies of work product, including plans, sketches, layouts, designs, design specifications, records, files, computer disks, magnetic media, all finished or unfinished documents or material which may be produced or modified by Contractor while performing the Work, whether or not required to be furnished to the City, shall become the property of the City, shall be delivered to the City at its request, and may be used by the City without restriction. 7. PATENTS COPYRIGHTS AND RIGHTS IN DATA 7.1 Any patentable result or material suitable for copyright arising out of this Contract shall be owned by and made available to the City for public use, unless the City shall, in a specific case where it is legally permissible, determine that it is in the public interest that it not be so owned or available. 7.2 The Contractor agrees that the ownership of any plans, drawings, designs, specifications, computer programs, technical reports, operating manuals, calculations, notes and other work submitted or which is specified to be delivered under this Contract, whether or not complete (referred to in this subsection as "Subject Data"), is hereby irrevocably transferred and assigned to the City and shall be vested in the City or such other local, state or federal agency, if any, as may be provided by separate contract with the City. The Contractor shall execute and deliver such instruments and take such other action(s) as may be requested by the City to perfect or protect the City's rights to such Subject Data and work product, and to perfect the assignments and transfers contemplated in Sections 6 and 7. 7.3 All such Subject Data furnished by the Contractor pursuant to this Contract, other than documents exclusively for internal use by the City, shall carry such notations on the front cover or a title page (or in such case of maps, in the same block) as may be requested by the City. The Contractor shall also place their endorsement on all Subject Data furnished by them. All such identification details shall be subject to approval by the City prior to printing. 7.4 The Contractor shall ensure that substantially the foregoing paragraphs in Sections 6 and 7 are included in each subcontract for the work on the Project. 8. GENERAL PROVISIONS 8.1 Entire Contract. The Contract Documents contain all of the agreements of the Parties with respect to any matter covered or mentioned in this Contract and no prior agreements or understandings pertaining to any such matters shall be effective for any purpose. In entering into this Contract, neither party has relied upon any statement, estimate, forecast, projection, representation, warranty, action or agreement of the other party except for those expressly contained in the Contract Documents. 8.2 Documents. The documents incorporated by reference, as if fully set forth in this Contract, are the Notice to Contractors, the Instructions to Bidders and Checklists, the Contractor's Quote (including all forms and supplemental information listed on the Bidders Checklist), the Contract Documents (including Project Plans, Specifications, and all Appendices, Amendments, and Supplemental Reports & Information), the Contract Provisions (including all forms and supplemental information listed on the Contract Checklist), the version of the Washington State Standard Specifications for Road, Bridge, and Municipal Construction identified herein, and any other documents provided to bidders and/or referenced in or referred to by the Contract Documents. 8.3 Modification. No provisions of this Contract, including this provision, may be amended or added to except by agreement in writing signed by the Parties or their respective successors in interest in accordance with the Contract Documents. 8.4 Change Orders. In addition to its rights under the Contract Documents, the City may unilaterally issue a Change Order at any time making changes within the general scope of the Contract, without invalidating the Contract and without providing notice to sureties. The City's issuance of a unilateral Change Order shall not be construed as a waiver of any rights afforded the City, including its right to reject a prior protest or request for change or Claim due to untimeliness or the Contractor's failure to fully comply with the requirements of the Contract Documents, or to void the unilateral Change Order due to unilateral mistake, misrepresentation, or fraud. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-15 2022-2025 CFW RFQ VERSION 2020-JUNE 8.5 Total Cost Method / Claims. In no event shall a Total Cost Method or a modified Total Cost Method be used by the Contractor to calculate any adjustments to the Contract price. For the purpose of this provision, any cost method, or variety of cost methods, using the difference between the actual cost of the Work and the Bid or Contract price of the Work to calculate any additional compensation or money owed to the Contractor shall be considered a Total Cost Method. In addition, the City shall not be responsible for, and the Contractor shall not be entitled to, any compensation for unallowable costs. Unallowable costs include, but are not limited to: (i) interest or attorneys' fees, except as mandated by statute; (ii) Claim preparation or filing costs; (iii) the costs of preparing notices or protests; (iv) lost profits, lost income, or lost earnings; (v) costs for idle equipment when such equipment is not at the Site, has not been employed in the Work, or is not scheduled to be used at the Site; (vi) claims consulting costs; (vii) expert fees and costs; (viii) loss of other business; and/or (ix) any other special, consequential, expectancy, incidental, or indirect damages incurred by the Contractor, Subcontractors, or suppliers. 8.6 Warranties and Guarantees. In addition to the requirements of the Contract Documents, the Contractor warrants that all portions of the Work that will be covered by a manufacturer's or supplier's guarantee or warranty shall be performed in such a manner so as to preserve all rights under such guarantees or warranties. If the City attempts to enforce a claim based upon a manufacturer's or supplier's guarantee or warranty and such manufacturer or supplier refuses to honor such guarantee or warranty based, in whole or in part, on a claim of defective installation by the Contractor or a Subcontractor, the Contractor shall be responsible for any resulting loss or damage, and repairs, incurred by the City as a result of the manufacturer's or supplier's refusal to honor such guarantee or warranty. This obligation survives termination of this Contract. 8.7 Full Force and Effect. Any provision of this Contract, which is declared invalid, void or illegal, shall in no way affect, impair, or invalidate any other provision hereof and such other provisions shall remain in full force and effect. 8.8 Assignment. The Contractor shall not transfer or assign, in whole or in part, any or all of its obligations and rights hereunder without the prior written consent of the City. In the event the City consents to any such assignment or transfer, such consent shall in no way release the Contractor from any of its obligations or liabilities under this Contract. 8.9 Successors In Interest. Subject to the preceding Subsection, this Contract shall be binding upon and inure to the benefit of the Parties' successors in interest, heirs and assigns. 8.10 Time Limitation and Venue. For the convenience of the parties to the Contract it is mutually agreed by the parties that any claims, causes of action, or disputes which the Contractor has against the City arising from the Contract shall be brought within the following time period: (i) 180 calendar days from the date of Substantial Completion for those claims, causes of action, or disputes arising prior to the date of Substantial Completion, and (ii) 180 calendar days from the date of Final Acceptance of the Contract by the City for those claims, causes of action, or dispute arising after the date of Substantial Completion. It is further agreed that the venue for any claim, cause of action, or dispute related to this Contract shall be King County, Washington, which shall have exclusive jurisdiction over any such case, controversy, or dispute. The parties understand and agree that the Contractor's failure to bring suit within the time period provided, shall be a complete bar to any such claims or causes of action. It is further mutually agreed by the parties that when any claims, causes of action, or disputes which the Contractor asserts against the City arising from the Contract are filed with the City or initiated in court, the Contractor shall permit the City to have timely access to any records deemed necessary by the City to assist in evaluating the claims, action, or dispute. 8.11 No Waiver. Failure of the City to declare any breach or default immediately upon occurrence thereof, or delay in taking any action in connection with, shall not waive such breach or default. Failure of the City to declare one breach or default does not act as a waiver of the City's right to declare another breach or default. 8.12 Sole Authority/Discretion/Judgment. Where the Contract Documents provide the City or its Engineer with "sole" authority, discretion, or judgment, such authority, discretion, or judgment shall be considered unconditional and absolute. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-16 2022-2025 CFW RFQ VERSION 2020-JUNE 8.13 Governing _Law. This Contract shall be made in and shall be governed by and interpreted in accordance with the laws of the State of Washington. 8.14 Authori . Each individual executing this Contract on behalf of the City and Contractor represents and warrants that such individuals are duly authorized to execute and deliver this Contract on behalf of the Contractor or City. 8.15 Cit,y's Representative. The City's Representative directly supervises the administration of this Contract. The City Representative's authorities, duties, and responsibilities are limited to those specifically identified in the Contract Documents. Designation of an individual or entity as the City's Representative for the Project is solely to identify the representative of the City as described in the Contract Documents. The City Representative for this Project is designated as: Derreck Presnell 8.16 Notices. Any notices required to be given to Contractor or to the Engineer shall be delivered to the Parties at the addresses set forth below. Any notices may be delivered personally to the addressee of the notice or may be deposited in the United States mail, postage prepaid, to the address set forth herein. Any notice so posted in the United States mail shall be deemed received three (3) days after the date of mailing. CONTRACTOR: [Company Name] Attn: Individual to receive notices Street Address City, State, Zip CITY REPRESENTATIVE: City of Federal Way Attn: Derreck Presnell 33325 8th Ave S Federal Way, WA 98003 8.17 Captions. The respective captions of the Sections of this Contract are inserted for convenience of reference only and shall not be deemed to modify or otherwise affect in any respect any of the provisions of this Contract. 8.18 Performance. Time is of the essence of this Contract and each and all of its provisions in which performance is a factor. Adherence to completion dates is essential to the Contractor's performance of this Contract. 8.19 Compliance with Ethics Code. If a violation of the City's Ethics Resolution No. 91-54, as amended, occurs as a result of the formation and/or performance of this Contract, this Contract may be rendered null and void, at the City's option. 9. PERFORMANCE/PAYMENT BOND Pursuant to RCW 39.08.010, the Contractor's payment and performance bonds must be conditioned upon: (i) faithful performance of all of the provisions of the Contract, including warranty obligations, (ii) the payment of all laborers, mechanics, Subcontractors, and Suppliers, and all persons who supply such persons with provisions or supplies in carrying out the Work; and (iii) payment of any taxes, liabilities, increases, or penalties incurred on the Project under Titles 50, 51, and 82 RCW which may be due on (a) projects referred to in RCW 60.28.011(1)(b), and (b) projects for which the bond is conditioned on the payment of such taxes, liabilities, increases, or penalties. Contractor's obligations under this Contract shall not be limited to the dollar amount of the bond. Alternatively, pursuant to RCW 39.08.010, at the option of Contractor, if the value of this Contract is less than One Hundred Fifty Thousand Dollars ($150,040.00), the City may, in lieu of a bond, retain ten percent (10%) of the Contract amount for a period of thirty (30) days after the date of final acceptance, or until receipt of all necessary releases from the Department of Revenue and the Department of Labor and Industries and CITY OF FEDERAL WAY Contracted Electrical Services RFQ-17 2022-2025 CFW RFQ VERSION 2020-JUNE settlement of any liens filed under Chapter 60.28 RCW, whichever is later. The Contractor must notify the City in writing if it elects to take this alternative. DATED the day and year set forth above. CITY OF FEDERAL WAY: Jim Ferrell, Mayor 33325 8th Avenue South Federal Way, WA 98003-6325 ATTEST: Stephanie Courtney, CMC, City Clerk APPROVED AS TO FORM: J. Ryan Call, City Attorney NOTARY OF CONTRACTOR'S SIGNATURE: STATE OF WASHINGTON ) ss- COUNTY OF CONTRACTOR: Signature of Authorized Individual Printed Name of Authorized Individual Street Address City, State, Zip U5E FOR CORPORATE NOTARY OR DELETE & REPLACE WITH INDIVIDUAL NOTARY. On this day personally appeared before me , to me known to be the of that executed the 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 he/she was authorized to execute said instrument and that the seal affixed, if any, is the corporate seal of said corporation. GIVEN my hand and official seal this day of 20 (typed/printed name of notary) Notary Public in and for the State of Washington. My commission expires USE FOR INDIVIDUAL NOTARY Cr.. DEI_I;TE. On this day personally appeared before me, to me known to be the individual described in and who executed the foregoing instrument, and on oath swore that he/she/they executed the foregoing instrument as his/her/their free and voluntary act and deed for the uses and purposes therein mentioned. GIVEN my hand and official seal this day of , 20_. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-18 2022-2025 CFW RFQ VERSION 2020-JUNE (typed/printed name of notary) Notary Public in and for the State of Washington. My commission expires CITY OF FEDERAL WAY Contracted Electrical Services RFQ-19 2022-2025 CFW RFQ VERSION 2020-JUNE EXHIBIT A = SAMPLE TASK ORDER 4 city of Federal Way Contract Name: _ Contract Number: TASK ORDER No. TASK ORDER Name: Date: Description of work: Estimated Costs: Contract Value: Total Task Costs To Date: This Task Order Estimate Cost: Contract Remaining: Task Order Summary Task Order No. Task Order Name: Amount S 5 5 5 $ Total Contracted to date 1 S Agreed Upon: [Contractor's Name]: By: Name: Date: . City of Federal Way: Task Manager _ Name: Date: Contract Manager: Name: Date: CITY OF FEDERAL WAY Contracted Electrical Services RFQ-20 2022-2025 CFW RFQ VERSION 2020-JUNE SAMPLE CONTRACT CHANGE ORDER PROJECT NUMBER AGREEMENT NUMBER CHANGE ORDER NUMBER EFFECTIVE DATE PROJECT TITLE SUMMARY OF PROPOSED CHANGES: This Change Order covers the work changes summarized below: The time provided for completion in the Contract is CONTRACTOR ❑ Unchanged ❑ Increased by _Working Day(s) ❑ Decreased by_ Working Day(s) This Document shall become an Amendment to the Contract and all provisions of the Contract not amended herein will apply to this Change Order. Will this change affect expiration or extent of Insurance coverage? ❑ Yes ❑ No If "Yes" Will the Policies Be Extended? ❑ Yes ❑ No MODIFICATIONS TO UNIT PRICES: PREVIOUS REVISED ITEM NO. ITEM QTY UNIT PRICE UNIT PRICE ADD OR DELETE THESE ITEMS ARE APPROXIMATE OR ESTIMATED QUANTITIES INVOLVED IN THIS CHANGE: ITEM NO. ITEM QTY UNIT PRICE ADD OR DELETE TOTAL NET CONTRACT: 11NCREASE $ DECREASE $ DEPARTMENT RECAP TO DATE: ORIGINAL CONTRACT AMOUNT $ PREVIOUS CHANGE ORDERS $ THIS CHANGE ORDER $ NEW CONTRACT AMOUNT $ STATEMENT: Payment for the above work will be in accordance with applicable portions of the standard specifications, and with the understanding that all materials, workmanship and measurements shall be in accordance with the provisions of the standard specifications, the contract plans, and the special provisions governing the types of construction. The execution of this Change Order shall constitute full satisfaction and a waiver of any and all claims by the CITY OF FEDERAL WAY Contracted Electrical Services RFQ-21 2022-2025 CFW RFQ VERSION 2020-JUNE Contractor arising out of, or relating in any way to, the Work identified, to be performed, or deleted pursuant to Change Order except as specifically described in this Change Order. CONTRACTOR'S SIGNATURE DATE PUBLIC WORKS DIRECTOR DATE Contract Change Order provided for Contractor's reference. Change orders executed during the project Will use this form. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-22 2022-2025 CFW RFQ VERSION 2020-JUNE CERTIFICATE OF INSURANCE Contractor's Certificate of Insurance to be inserted here during Contract Execution CITY OF FEDERAL WAY Contracted Electrical Services RFQ-23 2022-2025 CFW RFQ VERSION 2020-JUNE PERFORMANCE AND PAYMENT BOND CONTRACTED ELECTRICAL SERVICES The City of Federal Way ("City") has awarded to ("Principal"), a contract for the construction of the above referenced project, and said Principal is required to furnish a bond for performance of all obligations under the Contract and for payment in accord with Chapter 39.08 Revised Code of Washington (RCW) and (where applicable) Chapter 60.28 RCW. The Principal, and ("Surety"), a corporation organized under the laws of the State of and licensed to do business in the State of Washington as surety and named in the current list of "Surety Companies Acceptable in Federal Bonds" as published in the Federal Register by the Audit Staff Bureau of Accounts, U.S. Treasury Dept., are jointly and severally held and firmly bound to the City of Federal Way, in the sum of US Dollars ($ ) Total Contract Amount, subject to the provisions herein. This bond shall become null and void, if and when the Principal, its heirs, executors, administrators, successors, or assigns shall: 1) Well and faithfully perform all of the Principal's obligations under the Contract and fulfill all terms and conditions of all duly authorized modifications, additions, and changes to said Contract that may hereafter be made, at the time and in the manner therein specified; and if such performance obligations have not been fulfilled, this bond shall remain in force and effect; and 2) Pay all persons in accordance with Chapters 39.08, 39.12, and 60.28 RCW including all workers, laborers, mechanics, subcontractors, and materialmen, and all person who shall supply such contractor or subcontractor with provisions and supplies for the carrying on of such work, and all taxes incurred on said Contract under Titles 50 and 51 RCW and all taxes imposed on the Principal under Title 82 RCW; and if such payment obligations have not been fulfilled, this bond shall remain in full force and effect. The Surety for value received agrees that no change, extension of time, alteration or addition to the terms of the Contract, the specifications accompanying the Contract, or to the work to be performed under the Contract shall in any way affect its obligation on this bond, and waives notice of any change, extension of time, alteration or addition to the terms of the Contract or the work performed. The Surety agrees that modifications and changes to the terms and conditions of the Contract that increase the total amount to be paid the Principal shall automatically increase the obligation of the Surety on this bond and notice to Surety is not required for such increased obligation. This bond shall be signed by duly authorized officers and will only be accepted if accompanied by a fully executed, original power of attorney for the office executing on behalf of the surety. PRINCIPAL: SURETY: Principal Signature Printed Name Title Date Surety Signature Printed Name Title Date CITY OF FEDERAL WAY Contracted Electrical Services RFQ-24 2022-2025 CFW RFQ VERSION 2020-JUNE BOND NO. APPROVED AS TO FORM: CITY OF FEDERAL WAY LOCAL OFFICE/AGENT OF SURETY: Name Street Address City, State, Zip Telephone J. Ryan Call, City Attorney Contracted Electrical Services RFQ-25 2022-2025 CFW RFQ VERSION 2020-JUNE CONTRACTOR'S RETAINAGE OPTION IDENTIFICATION AND DESCRIPTION Project Title: RFB No: Contractor: GENERAL REQUIREMENTS 1. In accordance with applicable State Statutes, a contract retainage not to exceed five percent of the moneys earned by the contractor will be reserved by the City unless the Contractor elects that the City may retain 10% of the contract amount in lieu of a performance and payment bond pursuant to RCW 39.08.010. 2. All investments selected are subject to City approval. 3. The final disposition of the contract retainage will be made in accordance with applicable State Statutes. CONTRACTOR'S INSTRUCTIONS Pursuant to RCW 60.28.011, 1 hereby notify the City of Federal Way of my instructions for the retainage withheld under the terms of this contract: 0 Option 1: Retained in a fund by the City of Federal Way. No interest will be paid to the contractor. 0 Option 2: Deposited in an interest bearing account in a bank, mutual savings bank, or savings and loan association. Interest paid to the contractor. Contractor shall have the bank (or other) execute a separate "City of Federal Way Retainage Bank Acceptance Agreement' upon contract award. The City will provide the agreement to the Contractor if this option is selected. 0 Option 3: Placed in escrow with a bank or trust company. Contractor shall execute, and have escrow account holder execute a separate "City of Federal Way Construction Retainage Escrow Agreement' upon contract award. The City will provide the agreement to the Contractor if this option is selected. All investments are subject to City approval. The cost of the investment program, and risk thereof, is to be borne entirely by the contractor. 0 Option 4: Contractor shall submit a "Retainage Bond" on City -provided form included in these Contract Documents. Contractor Signature Date CITY OF FEDERAL WAY Contracted Electrical Services RFQ-26 2022-2025 CFW RFQ VERSION 2020-JUNE RETAINAGE BOND TO CITY OF FEDERAL WAY CONTRACTED ELECTRICAL SERVICES KNOW ALL PERSONS BY THESE PRESENTS that we, the undersigned, as principal ("Principal'), and a Corporation organized and existing under the laws of the State of as a surety Corporation, and qualified under the laws of the State of Washington to become surety upon bonds of Contractors with Municipal Corporations, as surety ("Surety"), are jointly and severally held and firmly bonded to the City of Federal Way ("City") in the penal sum of: ($ ) for the payment of which sum we bind ourselves and our successors, heirs, administrators or personal representatives, as the case may be. A. This obligation is entered into in pursuant to the statutes of the State of Washington and the ordinances, regulations, standards and policies of the City, as now existing or hereafter amended or adopted. B. Pursuant to proper authorization, the Mayor is authorized to enter into a certain contract with the Principal, providing for the above -referenced Project, which contract is incorporated herein by this reference ("Contract'), and C. Pursuant to State law, Chapter 60.28 RCW, the City is required to reserve from the monies earned by the Principal pursuant to the contract, a sum not to exceed five percent (5%), said sum to be retained by the City as a trust fund for the protection and payment of any person or persons, mechanic, subcontractor or material men who shall perform any labor upon such contract or the doing of such work, and all persons who shall supply such person or persons or subcontractors with provisions and supplies for the carrying on of such work, and the State with the respect to taxes imposed pursuant to Title 82 RCW which may be due from said Principal. Every person performing labor or furnishing supplies towards completion of said improvement or work shall have a lien on said monies so reserved, provided that such notice of the lien of such claimant shall be given in the manner and within the time provided in RCW 39.08.030 as now existing and in accordance with any amendments that may hereafter be provided thereto; and D. State law further provides that with the consent of the City, the Principal may submit a bond for all or any portion of the amount of funds retained by the public body in a form acceptable to the public body conditioned upon such bond any proceeds therefrom being made subject to all claims and liens and in the same manner and priority as set forth retained percentages pursuant to Chapter 60.28 RCW; and E. The Principal has accepted, or is about to accept, the Contract, and undertake to perform the work therein provided for in the manner and within the time set forth, for the amount of $ and F. The City is prepared to release any required retainage money previously paid by the Principal prior to acceptance and successful operation and fulfillment of all other terms of said contract upon being indemnified by these presents, NOW, THEREFORE, if the Principal shall perform all the provisions of the Contract in the manner and within the time period prescribed by the City, or within such extensions of time as may be granted under the Contract, and shall pay all laborers, mechanics, subcontractors and material men or women, and all persons who shall supply the Principal or subcontractors with provisions and supplies for the carrying on of said work, and if the Principal shall pay to the State all taxes imposed pursuant to Title 82 RCW which may be due from such Principal as a result of this contract then and in the event this obligation shall be void; but otherwise it shall be and remain in full force and effect. And the Surety, for value received, hereby further stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract or to the work to be performed thereunder or the specifications accompanying the same shall in any way affect its obligation on this bond, and it does hereby waive notice of any change, extension of time, alterations or additions to the terms of the Contract or to the Work. CITY OF FEDERAL WAY Contracted Electrical Services RFQ-27 2022-2025 CFW RFQ VERSION 2020-JUNE The Surety hereby agrees that modifications and changes may be made in the terms and provisions of the Contract without notice to Surety, and any such modifications or changes increasing the total amount to be paid the Principal shall automatically increase the obligation of the Surety on this Retainage Bond in a like amount, such increase, however, not to exceed twenty-five percent (25%) of the original amount of this bond without consent of the Surety. Within forty-five (45) days of receiving notice that the Principal has defaulted on all or part of the terms of the Contract, the Surety shall make written commitment to the City that it will either: (a) cure the default itself within a reasonable time period, or (b) tender to the City, the amount necessary for the City to remedy the default, including legal fees incurred by the City, or (c) in the event that Surety's evaluation of the dispute is not complete or in the event the Surety disputes the City's claim of default, the Surety shall notify the City of its finding and its intent, if any, to interplead. The Surety shall then fulfill its obligations under this bond, according to the option it has elected. Should Surety elect option (a) to cure the default, the penal sum of the Bond shall be reduced in an amount equal to the costs actually incurred by the Surety in curing the default. If the Surety elects option (b), then upon completion of the necessary work, the City shall notify the Surety of its actual costs. The City shall return, without interest, any overpayment made by the Surety and the Surety shall pay to the City any actual costs which exceed the City estimate, limited to the bond amount. Should the Surety elect option (c), the Parties shall first complete participation in mediation, described in the below paragraph, prior to any interplead action. In the event a dispute should arise between the Parties to this Bond with respect to the City's declaration of default by the Principal, the Parties agree to participate in at least four hours of mediation to resolve said dispute. The Parties shall proportionately share in the cost of the mediation. The mediation shall be administered by Judicial Dispute Resolution, LLC, 1425 Fourth Avenue, Suite 300, Seattle, Washington 98101. The Surety shall not interplead prior to completion of the mediation. The parties have executed this instrument under their separate seals this day of 20_, the name and corporate seal of each corporate party hereto affixed, and these presents duly signed by its undersigned representatives pursuant to authority of its governing body CORPORATE SEAL: CORPORATE SEAL: PRINCIPAL: By: Title: Address. SURETY: By: Attorney -in -Fact (Attach Power of Attorney) Title: Address: CITY OF FEDERAL WAY Contracted Electrical Services RFQ-28 2022-2025 CFW RFQ VERSION 2020-JUNE CERTIFICATES AS TO CORPORATE SEAL I hereby certify that I am the (Assistant) Secretary of the Corporation named as Principal in the within bond; that who signed the said bond on behalf of the Principal, was of said Corporation; that I know his or her signature thereto is genuine, and that said bond was duly signed, sealed, and attested for and in behalf of said Corporation by authority of its governing body. Secretary of Principal hereby certify that I am the (Assistant) Secretary of the Corporation named as Surety in the within bond; that who signed the said bond on behalf of the Surety, was of the said Corporation; that I know his or her signature thereto is genuine, and that said bond was duly signed, sealed, and attested for and in behalf of said Corporation by authority of its governing body. Secretary of Surety APPROVED AS TO FORM: J. Ryan Call, City Attorney CITY OF FEDERAL WAY Contracted Electrical Services RFQ-29 2022-2025 CFW RFQ VERSION 2020-JUNE COUNCIL MEETING DATE: September 20, 2022 CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL ITEM #: v a SUBJECT: CONTINUATION OF THE PUBLIC HEARING FOR BALLY'S COMPREHENSIVE PLAN AMENDMENT, REZONE AND DEVELOPMENT AGREEMENT (CONTINUED FROM AUGUST 9, 2022.) POLICY QUESTION: N/A COMMITTEE: N/A MEETING DATE: N/A CATEGORY: ❑ Consent ❑ Ordinance ® Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Natalie Kamieniecki, Associate Planner DEPT: Community Development Attachments: 1. Summary Memo dated September 9, 2022 2. Staff Report and Exhibits available in August 9, 2022 City Council Meeting materials Options Considered: 1. Close the public hearing. 2. Continue the public hearing to another date and time. MAYOR'S RECOMMENDATION: N/A MAYOR APPROVAL: N/A Committee Initial/Date i DIRECTOR APPROVAL: Initial/Date / COMMITTEE RECOMMENDATION: N/A Committee Chair Committee Member Committee Member PROPOSED COUNCIL MOTION: "I move to close the public hearing. " (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED - 4/2019 RESOLUTION # CITY OF FEDERAL WAY MEMORANDUM DATE: September 14, 2022 TO: Jim Ferrell, Mayor City Council Members FROM: Natalie Kamieniecki, Associate Planner SUBJECT: Summary of Bally's Public Hearing — August 9, 2022 The City Council opened the Public Hearing for the Bally's Comprehensive Plan Amendment, Rezone and Development Agreement at its regularly scheduled meeting on August 9, 2022. The Department of Community Development staff, Associate Planner Natalie Kamieniecki, presented the staff report and exhibits. The property owner's representative, Mr. Eric Labrie, President of ESM Consulting Engineers, presented on behalf of the property owners and expressed that the approval of the Bally's Development Agreement will grant new life to a property that no longer provides a benefit to the community. It should be noted that only the parcel has been zone Office Park. The existing building was constructed in the mid 70's under King County Jurisdiction and it is likely that in the process of city incorporation the parcel was designated OP to fit the existing use at the time. The site has been vacant for at least 7 years and no longer provides recreational opportunities, job opportunities or tax revenue for the city. Since the site has been vacant the property has been for sale. Through the review process of the comprehensive plan amendment and working with Intrcorps, a townhome community proposal and Development Agreement that met a lot of the City goals came together. The Development Agreement provides missing middle housing options, a pathway to home ownership with the recording of a condominiums and returns the site to a benefit to the community and will generate tax revenue. The potential property buyer's representative for Intracorp, Ms. Lis Soldano, stated that Intracorp has been building quality market rate housing types throughout the Puget Sound region for over 30 years. Federal Way has excellent lifestyle amenities and access to transportation including the upcoming light rail. The site has been vacant for 7 years and is a visual blight on the community. A new townhome community at the site would include landscaping, outdoor recreation areas and foster community and neighborhood safety. The proposal supports the city's housing action goals by providing high quality market rate units with between 2-4 bedrooms, 2-car garage and private entries. Interiors will be light and bright with modern finishes and amenities consistent with single family homes. The project will enhance neighborhood character and remove a visual blight from the community. The new construction at the site will enhance neighborhood property values. At the conclusion of city staff and applicant presentations, the City Council opened the Public Comment portion of the hearing. Five members of the public provided testimony. A summary of those comments are provided below: 1. Ken Pratt — Not against the rezone; however, has concerns over possible conflicting driveway access alignment at the subject property and the south entrance gate of Quiet Forest II. Wants the development to be owner occupied, homeowners have more pride. 2. Alexander Milsten — Rezone to a mixed -use district. Promote walkability to commercial services within the area including onsite will save on transportation costs. Development should include both residential and commercial use. 3. Carolyn Davis — Concerns about parking on main road (S 328I' ST). Satisfied with guest parking. 4. Jan Barber — Circulated petition in opposition of the proposal with approximately 45 signatures. Expressed concerns regarding ingress and egress, congestion related to school busses, increasing peak hour trips. Colonial Forest no longer has a bus services as it did in the past. 5. James Kim — Resides in Quiet Forest II and worked on circulation of the petition in opposition of the proposal. Stated that most neighbors opposed the rezone. Concerns about heavy traffic on S 3281' ST and low-income apartments. Questions whether any other uses for the site have been given an opportunity and suggests alternate proposals for use of the site such as Urban Agriculture. At the conclusion of Public Comment, City Council Members began discussion and requested additional information from city staff and the potential buyer. The following represents a synopsis of the discussion and responses: Councilmember Assefa-Dawson — Questioned if the development was market rate or low income. Appreciates the idea of mixed use; walkability to cut down on car use and would like to see a percentage of the units owned. Asked whether any of the units would be ADA accessible. Staff response — Development Agreement proposed market rate development. The FWRC includes a provision that after a certain number of units, a percentage would be required to designated as affordable. A restrictive covenant would be recorded on the property regarding the affordable units. ADA accessibility is not required for single family townhomes. Councilmember Dovey — Would like more follow up on the subject of home ownership opportunities and questioned the intended plan of the developer to hold onto the property or sell to individual homeowners. Assumes that when the property sold the owners knew the existing zoning and that it did not allow townhomes or other residential uses. Questioned the developer on the number of their properties that have been owner occupied vs. for rent. Can the Development Agreement include a time certain condition for a percentage to be sold for owner occupancy. If the application is approved, did council create a "flip" for the property to be sold at a higher price. Applicant response Mr. Labrie — The Development Agreement includes a requirement to record a condominium community. Each unit can be individually sold and will not need additional land use process in order to immediately sell the units if the market conditions are right. Market conditions can change rapidly as is the case within the 2-year time frame that this application has been under review. The development of a townhome community provides missing middle housing that people can afford and is a step between an apartment and single-family dwelling. Developer response Ms. Soldano — Do not have the exact number or percentage of units for sale and units for rent. Most townhome projects are sold if market conditions are favorable. It is too soon to tell what market conditions would be like as the project would not be built until approximately 2025. Staff response — The Development Agreement is a negotiation that the city and applicant enter into and is binding on the property. The Development Agreement is recorded on site and any future owner would be obligated to develop within the confines of the agreement. This includes the construction of market rate townhomes and condominium community. The recording on the condominium will eliminate any barriers or additional land use approvals for the units to be sold to individual owners when market conditions are favorable. Council President Kochmar — Expressed that the condominium in place appears to be the benefit of the Development Agreement and sets up a transition from rental to ownership as the market allows. Questioned the applicant about traffic concerns Mr. Labrie — The proposal is a non -project action. The land use application process will include a traffic study and concurrency analysis. Typically, access is taken off the lower classification of roadway, in this case S 328th ST. The level of design for precise ingress and egress location will occur with the land use permit. This is the same for the level of design for the size and configuration of stormwater facilities. Deputy Mayor Honda — Understood from the Planning Commission proceedings that creating a pathway to home ownership was a concern. Has had. conversation with other developers that it is too expensive to build in Federal Way and the units would be rentals for a long time. Expressed concerns with traffic on S 328th ST as the street currently is very pretty appears to not belong in Federal Way, but a peaceful little town without a lot of people. Concerned with potential access from I" Ave S and that S 328th ST is not ready to for more traffic and vehicle parking. Questioned if the developer has entered into this type of agreement in another project. If the zone changed could DevCo develop the property. Staff response — The discussion for the proposal is zoning and use of the property. Specific development regulations will be looked with a land use permit. The land use permit will identify how to accommodate traffic. The Development Agreement for market rate townhome development and condominium would be required regardless of who the developer happens to be. Councilmember Walsh — Interested in the possible location for ingress and egress. Questioned what is the number of units where low income becomes required, the percentage of low income units required and what is the definition of affordability. Could the Development Agreement include a certain number of units to be sold within a specific time frame. Staff response — Provided Council with FWRC section for affordable housing. Affordable housing units are required for developments over 25 units, minimum 2 units or 5 percent of units which ever is greater. Owner - occupied affordable housing means dwelling units that are offered for sale at a rate that is affordable to those individuals and families having incomes that are 80 percent or below the median county income. Rental affordable housing means dwelling units that are offered for rent at a rate that is affordable to those individuals and families having incomes that are 50 percent or below the median county income. Setting a time certain requirement to sell the units is problematic to enforce. What would the city do if the owner refused to sell or could not sell; would people be evicted or displaced? It is not practical to enforce such a restriction. Council member Dovey moved to continue the Public Hearing on the 2021 Comprehensive Plan Amendment and Development Agreement for the former Bally's property to the September 6, 2022 Council Meeting; second by Council Member Norton. Councilmember Tran offered a friendly amendment to continue the public hearing to September 20, 2022 as he will not be in attendance on September 6, 2022 meeting. Councilmember Dovey accepted the motion. Councilmember Dovey moved to continue the pubic hearing to the September 20, 2022 Council Meeting; second by Councilmember Norton. COUNCIL MEETING DATE: September 20, 2022 ITEM #: . ... .. 9a CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: MAYOR PRESENTS 2023-2024 PROPOSED BIENNIAL BUDGET POLICY QUESTION: N/A COMMITTEE: N/A MEETING DATE: N/A CATEGORY: ❑ Consent ❑ Ordinance ❑ Public Hearing ® City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: DEPT: Attachments: 2023-2024 Proposed Biennial Budget Summary/Background: Mayor Ferrell will present the proposed 2023-2024 Biennial Budget to the City Council. MAYOR'S RECOMMENDATION: N/A MAYOR APPROVAL: N/A Committee Initial/Date COMMITTEE RECOMMENDATION: N/A iRF.,CTOiz APPROVAL: "112 Z PROPOSED COUNCIL MOTION: N/A (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED - 4/2019 RESOLUTION # n M. jPlPIjIjIWJvjjF"r T ETMWIV.77aw .If •� :. � '�•� Kam' }+� � �'#i# �''* + i �� k •- 1, ��, dl Als Ij F !- !Is CITY OF FEDERAL WAY 2023-24 BUDGET 2023-2024 BIENNIAL BUDGET PUBLIC MEETINGS The following City Council meetings have been scheduled to consider the 2023-24 Biennial Budget. All meetings will be held in -person in Council Chambers at City Hall, with a remote option available. Tuesday, September 20, 2022 at 5:00 p.m. Workshop/Study Session • Budget Overview - Revenue Forecast & Economic Assumptions (Groom & Davis) Tuesday, September 20, 2022 at 6:30 p.m. Regular City Council Meeting • Mayor Ferrell Presents Proposed 2023-2024 Biennial Budget to Council Monday, September 26, 2022 at 5:00 p.m. Workshop/Study Session Budget Presentations: • Federal Way Municipal Court (Judge Larson & Judge Bales) • Finance; Human Resources; City Clerk's Office; Legal; Community Development; Economic Development; Emergency Management; Information Technology, City Council and Mayor's Office (Davis) • Performing Arts & Event Center, Dumas Bay, and Federal Way Community Center & Parks Department (Hutton) Thursday, September 29, 2022 at 5:00 p.m. Workshop/Study Session Budget Presentations Continued: • Police Department (Chief Hwang); and Public Works (Walsh); • Debt: Operations Shop and Capital Planning (Davis, Groom, Walsh) Tuesday, October 4, 2022 at 5:00 p.m. Workshop/Study Session • City Council Deliberations on the 2023-2024 Biennial Budget Tuesday, October 18, 2022 at 5:00 p.m. Workshop/Study Session • Continue City Council Budget Deliberations on the 2023-2024 Biennial Budget Tuesday, October 18, 2022 at 6:30 p.m. Regular City Council Meeting • Revenue Public Hearing: Proposed 2023 Property Tax Levy (required by RCW 84.55.120) • Preliminary Public Hearing: 2023-2024 Biennial Budget (required by RCW 35A.34) Tuesday, November 1, 2022 at 6:30 p.m. Regular City Council Meeting • Final Budget Public Hearing: continued from Oct 18 meeting (required by RCW 35A.34) • Introduction Ordinance/2023-2024 Biennial Budget • Introduction Ordinance/2023 Property Tax Levy Tuesday, November 15, 2022 at 6:30 p.m. • Enactment Ordinance/2023-2024 Biennial Budget • Enactment Ordinance/2023 Property Tax Rate • Resolution/2023 Fee Schedule Regular City Council Meeting 2 CITY OF FEDERAL WAY 2023-24 BUDGET ERICA NORTON Councilmember #2 2022 CITY OFFICIALS EXECUTIVE & LEGISLATIVE BODY LINDA KOCHMAR Council President JIM FERRELL Mayor SUSAN HONDA Deputy Mayor HOANG V. TRAN Councilmember #4 LYDIA ASSEFA-DAWSON Councilmember #1 JACK WALSH Councilmember #5 Term Position Incumbent Expires Mayor Jim Ferrell 12/31/2025 Position #1 Lydia Assefa-Dawson 12/31/2023 Position #2 Erica Norton 12/31/2025 Position #3 Susan Honda, 12/31/2023 Deputy Mayor Position #4 Hoang V. Tran 12/31/2025 Position #5 Jack Walsh 12/31/2023 Position #6 Jack Dovey 12/31/2025 Position #7 Linda Kochmar, 12/31/2023 Council President JACK DOVEY Councilmember #6 3 CITY OF FEDERAL WAY 2023-24 BUDGET CITY ADMINISTRATION Mayor..........................................................................................Jim Ferrell Interim City Administrator.......................................................... Brian Davis CityAttorney................................................................................. Ryan Call City Clerk...................................................................... Stephanie Courtney Community Development Director ............................................. Brian Davis Economic Development Director...................................................... Vacant Finance Director..................................................................... Steve Groom Human Resources Manager ............................................... Vanessa Audett IT Director..........................................................................Thomas Fichtner ParksDirector........................................................................... John Hutton Police Chief............................................................................. Andy Hwang Public Works Director................................................................... EJ Walsh JUDICIAL BRANCH Presiding Judge...................................................................... David Larson Judge.......................................................................................... Brad Bales Court Administrator................................................................ Tiziana Giazzi FINANCE DEPARTMENT STAFF Deputy Finance Director ..................................................... Chase Donnelly Accounting Specialist...........................................................Jennifer Pettie Accounting Technician........................................................Donielle Nevels Administrative Assistant......................................................... Sherri Nelson Financial Analyst....................................................................... David Liang Financial Analyst ................................................ Haileen Valdez Madarang Payroll Analyst........................................................................... Janet Nolte Sr Financial Analyst................................................................. Linda Walker 4 CITY OF FEDERAL WAY 2023-24 BUDGET TABLE OF CONTENTS INTRODUCTION Schedule of Budget Study Sessions ...... City Officials, Legislative Body and Staff TABLE OF CONTENTS ............................... ................. 2 ................. 3 BUDGET TRANSMITTAL MESSAGE Overall City Revenue, Expenditure, and Fund Balance........................................................ 2023-24 Budget Goals............................................................................................................ Challenges of the 2023-24 Budget......................................................................................... Accomplishments of the 2023-24 Budget............................................................................... Revenue Forecasting.............................................................................................................. CitywideDebt......................................................................................................................... CitywideCash Position........................................................................................................... Expense Management and Course Correction...................................................................... OPERATING BUDGET - CITYWIDE 2023 Proposed Budget — Summary of Revenues and Expenditures — All Funds .................. 2024 Proposed Budget — Summary of Revenues and Expenditures — All Funds .................. Explanation of Major Changes in Fund Balances.................................................................. Fund Structure and City Departments.................................................................................... Sources and Uses — All Funds............................................................................................... Expenditure Summary — All Funds......................................................................................... General and Street Fund Consolidated Summary................................................................. Expenditure Summary — General Fund.................................................................................. City -Wide Staff Positions........................................................................................................ Funded and Unfunded Budget Needs................................................................................... Major Revenue Forecasts...................................................................................................... OPERATING BUDGET BY DEPARTMENT Mayor's Office......................................................................................................................... CityCouncil............................................................................................................................. Community Development Services........................................................................................ Finance................................................................................................................................... Information Technology.......................................................................................................... Law......................................................................................................................................... MunicipalCourt....................................................................................................................... Parks, Recreation and Cultural Services................................................................................ Police...................................................................................................................................... PublicWorks........................................................................................................................... DEBT DebtSummary........................................................................................................................ CAPITAL BUDGET Proposed Capital Improvement Projects................................................................................ APPENDIX Organization chart ................................. Citymap .................................................. Budget process ....................................... Financial policies .................................... Basis of accounting ................................. GFOAAward .......................................... 9 7 8 9 10 11 14 14 15 17 18 19 20 22 23 24 25 26 27 28 34 36 37 39 40 42 43 45 47 49 52 56 61 62 63 64 71 73 5 CITY OF FEDERAL WAY 2023-24 BUDGET Budget Transmittal Message I k —t"4I r 4 CITY OF FEDERAL WAY 2023-24 BUDGET Budget Transmittal Message September 15, 2022 Dear Citizens of the City of Federal Way and Members of the City Council: This budget, the culmination of months of combined effort by city staff in every department, fulfills the following purposes: • Communicates transparently our commitment to serve our 2023.24 Budget citizens, residents and taxpayers. — • Provides an operational guide to balancing prioritized service delivery with demonstrated accountability to budgetary controls. � ~ • Communicates the long-term vision of City Council and City rt Management. r • Links funding to service delivery commitments, keeping within our means. This transmittal message and accompanying material presents summary information to give the reader a clear picture of the city's structure and overall services plan in sufficient detail to assure transparency and accountability. The 2023-24 Budget, once adopted by City Council, incorporates all the direction discussed and approved during the entire public budget process. This document presents a balanced General Fund budget; revenues and available resources exceed expenditures resulting in a positive contribution to reserves. 2023-24 Proaosed Budaet Summ As shown in the table below, the proposed budget shows forecasted revenues and expenses compared to current and prior year with ending fund balance: Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23 Proposed 22 Ad' Adopted Adjusted Projected Chg %Ch BEGINNING FUND BALANCE $ 69,236,800 S 72,206,885 S 60,598,909 S 92,287,328 $ 92,287,328 $ 71,207,836 $ 62,292,146 S (21,079,492) -22.8% Total Revenues 117,605,137 141,472,804 116,601,304 146,840,628 153,703,035 145,171,974 169,649,382 (1,668,654) -1.1% Total Expenditures 1 114,635,052 1 121,392,361 1 121,334,610 174,724,524 174,782,524 154,087,665 1 175,504,723 (20,636,861 -11.8% Changes in Fund Balance 2,970,085 1 20,080,443 4,733,306 27,883,896 21,079,489 8,915,691 5,855,341 18,968,204 -68.0% ENDING FUND BALANCE: $ 72,206,885 1 $ 92,287,328 1 $ 55,865,604 1 $ 64,403,432 1 $ 71,207,836 $ 62,292,146 $ 56,436,805 1 $ 2,111,287 -3.3% 7 CITY OF FEDERAL WAY 2023-24 BUDGET 2023-24 Budget Goals The budget process requires us to evaluate annually the city's priorities, between immediate services and infrastructure, across many funds, being mindful of long-term fiscal sustainability. The goals of this Budget are: • Make increased investments in the City's commitment to public safety • Achieve a balanced budget in every fund • Assure appropriately -prioritized service delivery • Provide for on -going fiscal strength and sustainability • Continue to fulfill commitments to existing infrastructure obligations The 2023-24 Budget achieves all of these goals. Functions of this Budget • Policy Document. This budget articulates service delivery and long-term fiscal sustainability decisions. As a policy document, the budget makes specific linkages between desired goals and current and foreseeable circumstances. • Communications Document. The budget is the result of a process that is a conversation with citizens, voters and taxpayers of the City. The budget is more about services than it is about money, the result of citizen input prioritizing how limited resources are best used to serve the needs of our city. • Operations Guide. The budget lists every department and program of the city. Demand for services always exceeds resources. • Legal Authorization. The budget is the legal appropriation authorization to fund the various operations of the City in the attainment of policy issues and goals. It must meet all the legal requirements, time lines and constraints of state statute, municipal codes and city charter. Prioritizing Expenditures at the Policy Level City Council authorizes, at the moment of budget adoption, city staff to execute both the service delivery and the ongoing care of the city's infrastructure. At the policy level, the balancing of service levels and maintenance of infrastructure is as fundamental as it gets. Further, the incremental additions of services and infrastructure in response to the ever-growing demands requires balancing near- and long-term planning, and involves defending the fiscal health and sustainability of the city. This proposed budget balances current -year service delivery and maintaining and replacing the city's perpetual infrastructure care. Revenues Service DehivM Infrastructure r'l "I Police bpwntown strouts Fadlitifs Cade Enforcement Parks PlanniM1g Streets Parks Surface Water Court Systems AdmIniswive Vehicle, N..� CITY OF FEDERAL WAY 2023-24 BUDGET Challenaes of the 2023-24 Budaet The 2023-24 budget funds the commitment to maintain services at existing levels as well as maintaining infrastructure. State law requires cities to have a balanced budget each year - expenses cannot exceed available resources, which means both incoming revenues plus unspent reserves. Why does the city face this as a challenge every year? Existing obligations have created a growing challenge for every city, even before new ideas are suggested. Citizens, residents and taxpayers continue to expect service delivery in new ways, however the City's ability to maintain services with increasing costs and refresh existing infrastructure are a challenge that stretch cities' resources. • Staffing. Budget -balancing efforts of past years have always put stress on the city's staff to be increasingly efficient and to prioritize effectively. Every budget year, the City seeks to prudently add more staff in response to service delivery demand. During the last biennium the City added public safety staff for increased police officers and support. This budget maintains that commitment. • Jail Cost. With the dual causation of pandemic and legislative changes, incarceration volume dropped, creating short-lived savings, but has risen during 2022. The first six months of 2022 are seeing a 57% increase over the same period in 2021. Simultaneously, there has been an increased cost in the City's share of underlying cost. • Streets Infrastructure. The City's infrastructure is the City's largest asset, with 315 miles of streets to maintain, stripe and light. The past expenditures for road maintenance have been chronically challenging, less than adequate for on -going maintenance and scheduled replacement. Over the years, funding has been limited in all funds and continues to be limited in the General Fund as Existing Obligations? employee costs increase and property tax funding fails to keep Perpetual infrastructure pace. This is a major challenge impacting the repair and and equipment maintenance of infrastructure. replacement must be • Vehicles. The City's vehicles include a wide variety: police assured before anything patrol SUV's, large industrial mowers, specialized street new can be added. construction equipment, and a fleet of vehicles serving citizens across every department and program. The planning process to replace on a scheduled rotation requires every program to set aside as part of its budget one year's share of total replacement. On one hand funds should be there when needed, but alternatively by systematically replacing vehicles on schedule, perpetual replacement is assured. This, too, is a major challenge since predicted useful lives vary as well as the quantity of total vehicles as city circumstances evolve. • Parks Infrastructure. A city with a single park might finance the playground and other assets over the life of the equipment thereby spreading the costs appropriately across the users. Our city saves financing costs by perpetually replacing of park infrastructure on a pay as we go basis, replacing each one of twenty parks each year. Equipment therefore has to last twenty years, so pausing even one year could harm the entire park system. Park Management within existing budgets has proved challenging and this year inflation has put additional pressure on the Parks Budget. • Property Tax cap. The state statutes concerning property taxation in general limit increase of property tax revenue to 1 % for existing property valuation. Properties in Federal Way have enjoyed increased value in recent years of 6-13%, while the levy on them has been capped at 1 %. The results is a squeeze on the city's budget, putting increasing reliance on other revenue sources, primarily Sales Tax and Utility Taxes. Services and infrastructure that were reliably financed by property tax in the past are still required, with reduced financing available. The city A CITY OF FEDERAL WAY 2023-24 BUDGET has juggled and course -corrected by managing savings judiciously every year. Continued careful management will be required in 2023 and 2024. • Economic effects of COVID-19. As in most cities in America, the COVID-related economic consequences of business restrictions and closures impacted the City's Sales Tax, Lodging Tax, Building Permit Fees, Business Licenses, Utility Tax, Gambling Tax and various criminal justice revenues. Sales Tax revenue suffered the greatest immediate dollar amount decrease to the City's budget but rebounded after two months. Lodging Tax suffered the greatest prolonged dollar amount decrease and is projected to return to pre-COVID levels after two years, an indicator of the protracted harm to the hotel and related business sector, a component of the broader city's economy. As the development of this budget, the future still holds significant uncertainties. • Inflation and Recession concerns. July's report of the US Bureau of Labor Statics reported that inflation decreased slightly to 8.5% from a}5 [PI Inflation 9.1%, however it was the 14th month above 5%. While inflation will work to raise both s rik iS7 iA IYa sales tax and the assessed values underlying „• „. property tax, recession concerns put a damper on expectation of the volume of sales activity. Jill The situation hardly new; the 12-month trend ; is enough of a baseline to give us some confidence to extrapolate. • Addressing the chronic Budget Squeeze. Even though inflation is going up by as much as 3% a year, and even though the value of homes is increasing as much as 14% or 15% a year (and in some areas even more), by state law, the city can only increase property tax revenue by 1 % annually on existing property. This has hampered the ability to ensure that funding for core services is growing at the same or similar rate as population and inflation. This is especially challenging since about 22% of all general fund revenue comes from property tax. AccomDlishments of the 2023-24 Budaet Budget needs were submitted from all departments and citywide needs, as every year, exceed forecasted funding. It is not a surprise that money will fix every problem in the city and there is not enough money. Therefore, the budget process itself must rigorously consider all requests so that the adopted budget represents the highest What's In and What's priorities of the city within available revenues. The top priorities that Out? Money will fix funding will cover include: every problem in the • Staffing — Public Safety. During 2021, an unprecedented 13 city but there's not police officers were added along with 3 support staff, to pro- enough money. That's actively combat what is a nation-wide situation. The 2023-24 why budgeting Budget maintains this commitment to public safety. matters. • Staffing — Public Information Requests. The addition of a public records position will respond to increased volume of public document requests to alleviate workload across several departments. • Staffing — Public Works. Winter operations staffing is increased slightly following multiple years of consistent workload. 10 CITY OF FEDERAL WAY 2023-24 BUDGET • Parks Infrastructure - Alderbrook and Celebration Parks are next in the rotation for playground equipment for 2023 and 2024 • Insurance increase - premiums on existing insurance increased as did our self -insured deductible reserve for pre-2020 cases. • Jail cost - the budget absorbed a non -discretionary jail cost expense increase. • Public Safety Communications — ValleyComm contract, the 911 cost -sharing arrangement with Auburn, Tukwila, Renton, Des Moines and Kent, increased in non -discretionary equipment and staffing costs. • Lakehaven hydrant maintenance - increased due to our share of maintenance costs. • PD Vehicle -perpetual replacement increase due to expansion of patrol car fleet. • Road salt - an increase for winter operations in line with prior -year actual usage trend. Revenue Forecasting In preparing the city's budget, care has been taken to forecast revenues cautiously, conservatively, so that the resulting budget has a high degree of confidence that the budgeted revenue will be realized and the expenditures authorized that rely on that revenue are supported. Ordinarily, simple extrapolation of the historical trend of each revenue is reliable, however due to the economic impacts of the COVID pandemic of 2020 and following, trend analysis has required a bit more analysis and evaluation of the circumstances specific to this city. The city's three most material tax revenues are: 2023 2024 Sales Tax $ 19.7 million $ 20.8 million Utility Taxes $ 17.4 million $ 17.4 million Property Tax $ 11.5 million $ 11.7 million Federal Way Local Economy and Sales Tax Forecast ales iax - AEtua: ana F areca_ . S:Atis Fak AtWag tubd Fbrecasted by Month 2D36 A20 x[uol 2021 2QId Ilareram" wiliooe 1VW ". fafne,m= F7Agq,ra- 3lw.vn lamt .I s -� LIY ip YH IWI WI iy* $G: VIS I ]076 N11 3Md Mh X?* ]a7 ?W iCgl NJ& 74i7 .•,nJCI ao7l,kw ;"Ps ■ 201?*1 Id Ad ra ■r1 A. 1A al hr ruaae ler..l .ti+l ■ 2a2i Acm ■ Xj21 Fi ■ M13 r-m w s!1 r., «)., Ia.In 7473r MIM I«77 rrar 1J.}rll 45LLU r0.m ;LArl ...w ■hNg7 ,rrsa.l Sales Tax is the single biggest economic indicator of how well businesses in Federal Way are thriving, as well as the citizens' ability to prosper. The revenue remitted to the city from the state in the first six months of 2022 exceeded the same six months in the prior year by 6.9%, each month ranging from 3.1 % to 11.0% over the same month in prior year. The remainder of 2022, 2023 and 2024 is forecasted at an average increase of 5.7% over the same month in the prior period. This results in an estimated increase of $1,063,000 for 2023 over 2022 and of $1,123,000 for 2024 over 2023. 11 CITY OF FEDERAL WAY 2023-24 BUDGET Assessed Valuation and Property Tax Forecast Property Valuation. King County Assessor's office provides certified assessed value (AV) by September 25th every year. The graph at right, shows the historical trend and it is expected to continue. Property Assessed Property Value values have proven to be resilient in the City of Federal Way, 5.............. resultingin value to property owners that has exceeded the � p p Y 61°.°°°.°°°.°°° pace of property taxation. 58,000,000,000 66,000,000,000 - _ - - - _ - - _■_ The $1.60 Levy Cap. The state constitution establishes the 8.5% 11% 6.0% 5.6% 12% 5% maximum regular property tax levy for all taxing districts °�°° °°° g p p Y Y 9 5_ combined at 1 %, or $1 0 per $1 ,000 of a property's market 2013 2014 2015 2016 2017 2018 2019 20M 2021 2022 10- Soutce:King"'tyhttps//kingro ty gov/depts/assessor/Repom/statistical-lports.aspx os of9/612022 value. This cap is further divided by statute to the various taxing districts, with the maximum regular property tax levy of $3.60 per thousand dollars assessed valuation (AV), however cities do not receive this amount, it is allocated across all taxing districts, of which the city is only one. The City's property tax allocation is reduced by $0.50 allocated to library and $1.50 to fire district. Therefore, the City's maximum levy is capped at $1.60. Property Tax Levy. The City's property tax levy amount is regulated by state statute (RCW 84.52). Even though the value of homes has increased historically Property Tax Leyy in recent years as much as 12% a year (citywide average), 5.a000,00. by state law, the city can only increase property tax on existing property by 1 % annually. Property tax revenue is estimated to increase 1.5% annually because there does 6.� 9% 1.4% 1.9% 1.7% 1.7% 1.5% continue to be a thriving increase to property due to new construction, supported by recent historical trends. $2Ir°M0 5 2013 2014 2015 2016 2U17 2018 2013 2020 2021 2022 2023 est 51-King Counry https//kingcounry.gov/depts/assessor/Reports/stanstiml-repom.aspx as 1f91612022 Property Tax Rate. In 2022, the King County Assessor levied $11,608,378 on City of Federal Way's Assessed Value of $14,324,776,457, therefore the Property Tax rate was approximately $0.81 per thousand dollars AV. It is important to note that the City has Property Tax Rate no ability for rate -setting. The rate is purely a function of 51.5°°°° assessed value, provided by the County Assessor, and the levy, which is capped by State statute. Therefore, the resulting decline in property tax rate, shown in the graph to $1 000 right, is purely a result of property tax valuation increase and -------------------------------------------------------------------------------- a cap on the levy which is not permitted to keep pace with 507000° property values. The calculated tax rate for 2023 is 2113 1°°4 2111 2111 111] 1111 1111 1121 -21 -22 2°23est estimated at $0.7800, pending preliminary estimated AV. 5— Km9—tyhttps//k'nyroun".yov/depn/o`senor/Repoml,mttt¢ol-rtpom.usprn 1f9/6/2022 12 CITY OF FEDERAL WAY 2023-24 BUDGET Overlapping property tax rates. As of the last annual audit, for the year ended December 31, 2021, most recent data is shown in the graphic here. Subsequent NWkTap kuco- changes are thought to be minimal and no material ry� �� ;•;• ,�,,h „ increases or decreases are known at this time. This shows that the average Federal Way property owner sees these L agencies on their tax bill and the City represents about 8% sas23:4sPof the total. Utility Tax Revenue Forecast As with many municipalities, Utility Taxes are a consolidation of several individual utility taxes: telephone, electric, natural gas, cable, surface water, sewer, solid waste, and water utilities. Cities in Washington State are authorized to levy a business and Utility Tax- Actual and Forecast occupation tax (RCW 35.22.280(32)) on public utility 20.000.000 businesses based on utilities within the city or town, known ...... — 16,°°O,l%10 as a utility tax. The rate of taxes for electric, phone, and natural gas utilities are limited to 7.75% (RCW 35.21.870). 1200_ 10,000,000 Utility taxes are a general-purpose revenue source that are allocated in a balanced budget to fund commitments to - capital projects, debt service and city services. 2015 Act 201] Act 2018 Act 2019 Act 2020 Act 2021 Act 2022 Est 2023 2024 2025 Utility taxes received a 10% increase when the solid waste f_� fa ,t f—'t rate changed from 7.75% to 17.75% in 2019. Rates for the 2023-24 are not being changed by any city council action; the forecasted increase in revenue is attributable to a slight increase in projected volume and the underlying rates charged by the utilities. Lodging Tax Revenue Forecast In formulating the 2023-24 Budget, with six months of actual lodging tax remitted to the City of Federal Way, the remaining six months were forecasted, using pre-COVID 2019 data, month by month, and extrapolating the recovery the tourism industry has slowly experienced. March 2020 was the initial month that overnight hotel stays dropped precipitously, with two months experiencing a 77% ,„T drop compared to prior year. Twenty-eight months ,.�.. later, hotels in the City of Federal Way generated .� revenues in the first half of 2022 that are still only up to 90% of 2019 levels. Not only have volumes of Um hotel stays suffered, but hotels may have resorted to I I I I I 111111 :41 �* drastic price cuts in order to facilitate the return of tourism -related business. Again, the City of Federal Way depends on the hotel and tourism sector to thrive in order for the City's lodging tax revenue to return and thereby fund the expenditures that the City can provide to foster and encourage tourism activity. On August 8th, city staff advised the Lodging Tax Advisory Committee of forecasted Lodging Tax revenue projections and provided a proposed budget allocation for tourism enhancement grants in 2023-24. 13 CITY OF FEDERAL WAY 2023-24 BUDGET Citvwide Debt The City's current debt consists of the remaining debt for capital projects that were financed over multiple years. Debt issued resulting from the facility built in partnership with other jurisdictions for the SCORE jail facility continues through 2037. Ci.v o: F&Ejes.11 .4V0y - 41eG: hE,n-.n-ary - Ali Fs.nic, Debt issued for the construction of the Federal :,a D1M [Hw Way Community Center continues through 2032. Debt issued for construction of the Performing Arts and Event Center has two AG.M.00] _ components which will be extinguished in 2029and 2035.M 0 0 0 0 0 4 o a CD'� M.a n o o a o-0 o N f4 N M N A N r.i N ry N N it r4 F4 i-f N f4 h.l No debt is proposed at this time for the 2023- ■IM IVA T"GO nniida.rlpi, Y]033 HO..10 vdlCnmmunri Lanier �i*LTGO [SCORE) A20340 LTG6 Th. •--'IRkEll 24 Budget, however planning for a „ . luil F maintenance and operations shop for Public Works, Parks and Police Vehicles is being evaluated which will likely rely on debt funding. While that would be an amendment to the Budget, it is prudent to keep a long-term view. Citvwide Cash Position The City's cash position has grown increasingly stronger in recent years. The American Rescue Plan Act grant infused $19.2 million dollars which will be spent over the next two to three years, however is currently largely invested pending disbursement. Total cash .....,.,. is largely comprised of funds across the city's many restricted funds, each fund spendable only for its restricted purpose. New for 2023-24, investment revenue is budgeted at $1.8 million dollars per year, the result of investment activity on a pooled basis that commenced in 2021. As shown in the graph at right, investments had completely matured and the city has revived the investment program resulting in a revenue stream that has allowed the budget to be balanced. S 1(13.030 1) �80,644.0}G TI60.G20.000 544MOMD ;XD30.000 ■ Irwas manuoligid7 "GIP [iqu1dlhJ '- Oieeiing Jsalely) By systematically laddering maturity dates $1 million at a time instead of leaving in the variable -rate government investment pool managed by the state treasurer, spendable yield has been created while maintaining safety and liquidity and assuring sufficient cashflow for operations, capital expenditures and debt service. American Rescue Plan Act (ARPA The City of Federal Way was awarded $19.2 million under this Federal legislation, designed to assist cities with mitigating the economic impact of COVID and rebuilding cities' financial stability and long- term fiscal health. A very long list of eligible uses has been considered over the past two years and even as this budget is being prepared, some decisions remain to be finalized. This budget contemplates the continued work on prioritizing and approving and assumes a high probability for spending on projects currently proposed. There exists, however, some chance that further course correcting could be possible should ARPA not ultimately fund needs that would need to be otherwise budgeted. 14 CITY OF FEDERAL WAY 2023-24 BUDGET Expense Management and Future Course Correction As in past years, the city manages year-round, each department carefully monitoring and tracking month by month. As circumstances change, department heads have authority to transfer budget between lines, and the Mayor has executive authority to transfer budget between departments within each fund. Budget Amendments are brought to City Council approximately quarterly to effect needed changes across funds and to recognize off -setting new revenues and expenses. This careful management sometimes yields net savings to the city, however more commonly this allows course corrections such as being able to green -light priorities awaiting funding on the budget request lists that were formulated and prioritized during the months -long budget process. This permits the Mayor to maximize service delivery using citywide priorities. Summary 2023-24 Budget ✓ Increases Investment in Public Safety ✓ Navigates Economic Uncertainty The development of the city budget requires an enormous ✓ Maintains City's Commitments to commitment by all City Departments and the Finance Services and Infrastructure Department's Budget Team. The Finance team works year- round meeting and coordinating with all city departments with an eye toward each up -coming budget. The coordination, calculations and technical expertise of Finance staff to make this document possible deserve recognition for their skilled efforts. We are proud of the work done day in and day out by all City staff, which goes on continuously, necessarily coinciding with budget work. With the support of the City Council, it is the efforts of our outstanding employees that make the City work for our residents and make Federal Way an exceptional place to live, work and play. This budget demonstrates our commitment to making the City of Federal Way an increasingly financially well -managed city. Respectfully submitted, Ferrell, Mayor, City of Federal Way 15 CITY OF FEDERAL WAY 2023-24 BUDGET Citywide Operating Budget 1b, .-.o k I - 0 14 Oil 16 CITY OF FEDERAL WAY 2023-24 BUDGET 2023 BUDGET - SUMMARY OF REVENUE AND EXPENDITURES - ALL FUNDS FUND/DEPARTMENT Beginning Fund Balance 2023 Revenues 2023 Expenditures Ending Fund Balance % Change in Fund Balance General Fund 12,415,532 56,445,231 59,685,154 9,175,609 -26.1% Special Revenue Funds: i Street 210,983 5,690,475 5,401,458 500,000 137.0% Arterial Street 100,001 1,563,000 1,563,000 100,001 0.0% Affordable & Support. Housing Sales/Use Tax 140,702 125,000 125,000 140,702 0.0% Utility Tax 4,579,047 11,830,565 11,619,868 4,789,743 4.6% Solid Waste and Recycling 311,052 722,200 641,647 391,604 25.9% Special Studies/Contract 462,890 - - 462,890 0.0% Hotel/Motel Lodging Tax 1,720,995 293,000 65,000 1,948,995 13.2% Community Center 980,517 2,799,376 2,279,893 1,500,000 53.0% Traffic Safety 3,109,153 3,000,000 3,786,735 2,322,419 -25.3% Utility Tax Proposition 1 1,612,395 3,859,478 4,471,873 1,000,000 -38.0% Performing Arts & Event Center 541,702 2,387,767 2,483,359 446,111 -17.6% Soid Waste 10% Utility Tax 152,012 2,200,000 2,200,000 152,012 0.0% Community Development Block Grant 28,268 858,193 858,193 28269 0.0% Paths and Trails 1,895,150 170,600 100,000 1,965,750 3.7% Technology 235,810 149,250 - 385,060 63.3% Jail 164,252 2,335,748 2,500,000 (0) -100.0% Strategic Reserve 3,000,001 - - 3,000,001 0.0% Parks Reserve 1,120,891 5,000 - 1,125,891 0.4% Total Special Revenue Funds 20,365,822 37,989,652 38,096,027 20,259,447 -0.5% Debt Service 3,118,184 2,446,368 2,446,368 3,118,184 0.0% Total Debt Service Fund 3,118,184 2,446,368 2,446,368 3,118,184 0.0% Capital Project Funds Real Estate Excise Tax 4,110,900 5,521,000 7,060,343 2,571,557 -37.4% Downtown Redevelopment 3,496,123 - 205,000 3,291,123 -5.9% Capital Project -Municipal Facilities 175,185 - - 175,185 0.0% Capital Project - Parks 1,497,896 367,000 367,000 1,497,896 0.0% Capital Project - Surface Water Mgt 1,744,296 2,044,312 3,359,608 429,000 -75.4% Capttal Project - Transportation 1,125,725 19,179,000 19,822,000 482,725 -57.1% Capital Project Reserve 369,963 - - 369,963 0.0% Total Capital Project Funds 12,520,088 27,111,312 30,813,951 8,817,448 -29.6% Enterprise Funds Surface Water Management 2,897,393 6,226,871 6,450,608 2,673,656 -7.7% Dumas Bay Centre 1,132,949 1,155,846 764,097 1,524,599 34.6% Total Enterprise Funds 4,030,242 7,382,717 7,214,705 4,198,254 4.2% Internal Service Funds Risk Management 1,158,255 2,307,763 2,657,763 808255 -30.2% Information Systems 3,734,945 3,243,845 3,646,229 3,332,561 -10.8% Mail and Duplication 255,919 135,947 154,901 236,965 -7.4% Fleet and Equipment 7,621,866 2,425,039 3256,067 6,790,838 -10.9% Building and Furnishings 2,161,252 728,099 789,772 2,099,579 -2.9% Health Insurance 3,579,885 4,956,000 5256,726 3,279,159 -8.4% Unemployment Insurance 245,846 - 70,000 175,846 -28.5% Total Internal Service Funds 18,7579968 13,796,693 15,831,458 1697239203 -10.80 Grand Total $ 71,207,836 $145,171,974 $154,087,665 $ 62,292,146 -12.5% 17 CITY OF FEDERAL WAY 2023-24 BUDGET 2024 BUDGET - SUMMARY OF REVENUE AND EXPENDITURES - ALL FUNDS FUND/DEPARTMENT Beginning Fund Balance 2024 Revenues 2024 Expenditures Ending Fund Balance % Change in Fund Balance General Fund 9,175,609 60,649,378 60,824,985 9,000,002 -1.9% Special Revenue Funds: Street 500,000 5,495,163 5,495,163 500,000 0.00/0 Arterial Street 100,001 1,563,000 1,563,000 100,001 0.0% Affordable & Support. Housing Sales/Use Tax 140,702 125,000 125,000 140,702 0.0% Utility Tax 4,789,743 11,782,564 15,072,308 1,500,000 -68.7% Solid Waste and Recycling 391,604 722,200 654,343 459,462 17.3% Special Studies/Contract 462,890 - - 462,890 0.00/0 Hotel/Motel Lodging Tax 1,948,995 308,000 65,000 2,191,995 12.5% Community Center 1,500,000 2,306,857 2,306,857 1,500,000 0.00/0 Traffic Safety 2,322,419 3,000,000 4,122,419 1,200,000 -48.3% Utility Tax Proposition 1 1,000,000 4,603,704 4,603,704 1,000,000 0.0% Performing Arts & Event Center 446,111 2,259,757 2,483,359 222,509 -50.1% Soild Waste 10% Utility Tax 152,012 2,300,000 2,300,000 152,012 0.0% Community Development Block Grant 28,269 760,717 760,717 28,268 0.00/0 Paths and Trails 1,965,750 172,216 600,000 1,537,966 -21.8% Technology 385,060 149,250 - 534,310 38.8% Jail (0) 2,700,000 2,700,000 (0) 13.8% Strategic Reserve 3,000,001 - - 3,000,001 0.0% Parks Reserve 1,125,891 5,000 1,130,891 0.4% Total Special Revenue Funds 20,259,447 38,253,429 42,851,870 15,661,006 -22.7% Debt Service 3,118,184 2,446,459 2,446,459 3,118,184 0.0% Total Debt Service Fund 3,118,184 2,446,459 2,446,459 3,118,184 0.0% Capital Project Funds Real Estate Excise Tax 2,571,557 5,576,000 5,788,245 2,359,312 -8.3% Downtown Redevelopment 3,291,123 - 100,000 3,191,123 -3.0% Capital Project - MunicipalFacilities 175,185 - - 175,185 0.00/0 Capital Project - Parks 1,497,896 767,000 767,000 11497,896 0.00/0 Capital Project - Surface Water Mgt 429,000 1,556,230 1,805,273 179,957 -58.1% Captial Project - Transportation 482,725 39,875,649 38,455,000 1,903,373 294.3% Capital Project Reserve 369,963 - - 369,963 0.00/0 Total Capital Project Funds 8,817,448 47,774,879 46,915,518 9,676,809 9.7% Enterprise Funds Surface Water Management 2,673,656 6,228,298 8,104,300 797,654 -70.2% Dumas Bay Centre 1,524,599 792,696 773,784 1,543,510 1.2% Total Enterprise Funds 4,198,254 7,020,994 8,878,084 2,341,164 -44.2% Internal Service Funds I Risk Management 808,255 2,120,877 2,329,131 600,001 -25.8% Information Systems 3,332,561 3,288,845 3,393,541 3,227,865 -3.1% Mail and Duplication 236,965 135,947 161,901 211,011 -11.00/0 Fleet and Equipment 6,790,838 2,399,475 1,711,734 7,478,580 10.1% Building and Furnishings 2,099,579 603,099 664,772 2,037,906 -2.9% Health Insurance 3,279,159 4,956,000 5,256,726 2,978,433 -9.2% Unemployment Insurance 175,846 - 70,000 105,846 -39.8% Total Internal Service Funds 16,723,203 13,504,243 13,587,805 16,639,641 -0.501( Grand Total $ 62,292,146 $ 169,649,382 $175,504,723 $ 56,436,805 In CITY OF FEDERAL WAY 2023-24 BUDGET Explanation of Major Changes in Fund Balance Fund balances are budgeted to remain within the required balances of council -authorized fund balance reserve policy. Broadly, the General Fund's fund balance reflects the one-time inflow and then the expenditure of $19.2 million from the ARPA grant. Capital Fund fund balances indicate a decrease due to some prior -year revenues being spent in 2023 and 2024. Compared to the previous biennium budget, the following are material changes: General Fund —The 2023 ending fund balance decreased due to addition of 13 new Police Officers, 2 Records Specialists, 2 Public Records Officers, 0.5 FTE Admin Assistant II reclassified to 1 Human Resources Technician, 5 Maintenance Workers, 1 City Administrator, and ValleyComm 911 contract increase. Street Fund — The 2023 ending fund balance increased due to additional General Fund support provided to the fund for operations. Federal Way Community Center Fund — The 2023 ending fund balance increased due to additional Utility Tax Fund support provided to the fund for operations. Traffic Safety Fund — The 2023 ending fund balance decreased due to increased costs for body worn cameras, and salary and benefit increases for Police positions. Utility Tax Proposition 1 Fund — The 2023 ending fund balance decreased due to salary and benefit increases for Police positions, and increased public defender contracted services. Capital Project — Surface Water Management Fund — The 2023 ending fund balance decreased due to funding surface water management capital projects. Capital Project — Transportation Fund — The 2023 ending fund balance decreased due to funding street and transportation capital projects. Dumas Bay Centre Fund — The 2023 ending fund balance increased due to additional Utility Tax Fund support provided to the fund for operations. Risk Management Fund — The 2023 ending fund balance decreased due to increased insurance premium costs. Fleet & Equipment Fund — The 2023 ending fund balance decreased due to progress on replacing overdue vehicle and equipment. 19 CITY OF FEDERAL WAY 2023-24 BUDGET The City's Funds Structure All Funds except General Fund are restricted for a specific purpose Governmental Funds Proprietary Funds Debt Service General Fund Special Revenue Funds Funds Capital Project Funds Enterpise Funds Internal Service Funds Non - Debt Service Downtown Surface Water Street Risk Management T)Pnarhnwntal Fund Redevelopment Mana ement City Council I �— J Arterial Street Mayor's Office Utility Tax Municipal Court Solid Waste & Recycling Finance Special Studies/Contract Law Hotel Motel/Lodging Tax Community Development Police/911 Community Center Traffic Safety Parks and Recreation Utility Tax -Prop 1 P=egE Solid Waste 10% Utility Tax Commun=Ga Bloc Paths & Trails Strategic Reserve Technology Afford. & Support. Housing Sales Tax Parks Reserve Jail Fund g Municipal Information Dumas Bay Facilities Systems Parks Mail & Duplication Surface Water =Equipment Management Buildings & Transportation Furnishings Capital Project Health Insurance Reserve Perforating Arts _FUnemployment & Event Center Insurance Real Estate Excise Tax CITY OF FEDERAL WAY 2023-24 BUDGET Fund #/Fund Name 001/101 General/Streets 502 Information Systems 503 Mail & Duplication 107 Special Contracts/Studies Fund 121 Technology 113 Real Estate Excise Tax Fund 120 Path & Trails 189 Parks Reserve Fund 303 Parks 504 Fleet & Equipment 111 Federal Way Community Center 114 Prop 1 Utility Tax 115 Performing Arts & Event Ctr Operations 402 Dumas Bay Centre Fund 505 Buildings & Furnishings 112 Traffic Safety Fund 122 Jail Fund 102 Arterial Street 116 Solid Waste 10% Utility Tax 304 Surface Water Management 306 Transportation 106 Solid Waste & Recycling 401 Surface Water Management 104 Affordable & Supportive Housing Sales Tax 119 CDBG 109 Hotel/Motel Lodging Tax 501 Risk Management 506 Health Self Insurance Fund 507 Unemployment Insurance Fund 103 Utility Tax 188 Strategic Reserve Fund 201 Debt Service 301 Downtown Redevelopment 302 Municipal Facilities 307 Capital Project Reserve Fund Infrastructure & Services IT Parks Police PW Ops Ops Ops Ops Cap Cap Ops Ops Cap Cap Cap Cap Cap Cap Cap Cap Ops Ops Ops Ops Ops Ops Ops Ops Ops Cap Cap Cap Cap Ops Ops Operations - Services/Support Capital - Infrastructure Operations & Services Only I CD I Clerkl Council I Econ I Finance I HR I Legal I Ops Cap Ops Court Mayor Non -Dept Ops Ops Ops Ops Ops Ops Ops Ops Ops Cap Cap Cap Cap 21 CITY OF FEDERAL WAY 2023-24 BUDGET SOURCES & USES - ALL FUNDS Citywide Revenue Citywide Expenditure 180-0 169.6 200-0 1415 146.8 153.7 145.2 190.0 174.7 174.8 175.5 150-0 .154.1 140-0 66.1 160-0 117.6 116.E 120-0 67.3 1400 114.E 121.4 121.3 76.0 76. D 66.3 100-0 65.2 65.3 62.1 120.0 65.1 80.0 58.1 52.7 100-0 56A 53.5 80 n 57.1 60-0 60.0 40-0 ® ® i '400 20-0 200 2020 2021 2022 2022 2022 2023 2024 2020 2021 2022 2022 2022 2023 2024 Actual Actual Adopted Adjusted Projected Proposed Proposed Actual Actual Adopted Adjusted Projected Proposed Proposed ■Other Funds GF&ST Funds ■Other Funds GF&Sr Funds Item 2020 2021 Actual Actual 2022 2023 Pro osed 2024 Pro osed 23 Pro osed - 22 Ad' Ado ted Adjusted I Proected Ch %Ch BEGINNING FUND BALANCE 1 $ 69,236,800 $ 72,206,885 $ 60,598,909 $ 92,287,328 $ 92,287,328 $ 71.207,836 IS 62,292,146 1 $ (21,079,492) -22.8% REVENUE: Property Taxes $ 11,092,158 $ 11,260,318 $ 11,357,280 $ 11,357,280 $ 11,357,000 $ 11,527,639 $ 11,700,554 $ 170,359 1.5% Sales Tax 16,127,570 17,494,058 15,949,755 16,949,755 18,589,455 19,652,000 20,775,000 2,702,245 15.9% Criminal Justice Sales Tax 2,807,139 3,270,840 3,027,361 3,027,361 3,200,000 3,027,361 3,027,361 - 0.01/0 Utility Tax 14,672,457 16,992,709 15,177,606 15,677,606 17,391,748 17,391,000 17,443,000 1,713,394 10.9% Real Estate Excise tax 4,467,111 5,174,908 3,640,000 4,421,454 6,015,754 5,521,000 5,576,000 1,099,546 24.9% Other Taxes 789,015 2,513,742 762,513 887,513 1,481,834 1,064,865 1,132,371 177,352 20.0% Licenses and Permits 3,916,412 3,843,510 3,800,552 3,800,552 4,429,444 4,295,044 3,892,249 494,492 13.0% Intergovernmental 13,357,061 19,303,885 8,691,893 30,834,979 29,925,764 15,087,453 8,266,950 15,747,526 -51.1% Charges for Services 22,152,975 30,537,511 25,181,793 28,258,690 29,441,521 33,234,217 28,103,557 4,975,527 17.6% Fines and Penalties 2,898,187 3,782,220 3,699,428 3,699,428 4,483,000 3,828,937 3,856,040 129,508 3.5% Miscellaneous 2,589,913 2,221,573 4,152,311 3,902,311 3,736,310 4,234,456 36,239,456 332,145 8.5% Proprietary Fund Revenue 808,069 301,265 488,000 488,000 154,506 490,250 490,250 2,250 0.5% Other Financing Sources 21,927,070 24,776,267 20,672,812 23,535,699 23,496,699 25,817,751 29,146,593 2,282,052 9.7% Total Revenues 117,605,137 141,472,804 116,601,304 146,840,628 153,703,035 145,171,974 169,649,382 1,668,654 -1.1% EXPENDITURE: City Council 471,319 504,501 530,695 523,580 523,581 488,045 491,279 35,535) -6.8% Ma ofs Office 1,536,235 1,779,512 1,729,923 1,901,301 1,901,301 2,228,763 2,246,453 327,462 17.2% Perfonning Arts & Event Center 1,452,916 1,653,440 2,299,757 2,631,641 2,631,641 2,483,359 2,483,359 148,282 -5.6% Munici alCourt 1,955,894 2,028,413 2,074,615 2,509,634 2,509,634 2,268,321 2,312,376 241,313) -9.6% Finance 1,023,437 1,128,174 1,287,736 1,077,480 1,077,480 1,331,417 1,381,464 253,937 23.6% City Clerk 595,379 804,823 560,410 619,413 619,413 848,565 857,669 229,151 37.0% Human Resources 483,770 590,414 536,319 594,623 594,623 698,224 714,037 103,601 17.4% Information Technology 2,473,826 2,542,978 2,906,915 4,461,315 4,461,315 3,801,130 3,555,442 660,185 -14.8% Law -Civil 3,411,822 2,717,873 2,740,068 2,914,808 2,914,808 3,946,590 3,643,093 1,031,783 35.4% Law -Criminal 709,570 768,882 776,142 916,028 916,028 995,576 1,013,080 79,548 8.7% Coninunity Development 2,715,958 2,839,527 2,792,217 3,530,338 3,530,338 3,722,867 3,774,224 192,529 5.5% Econon>ic Development 398,512 382,498 284,756 286,423 286,423 334,768 346,326 48,344 16.9% Community Services 1,862,645 1,964,717 1,733,503 3,143,371 3,143,371 2,013,410 1,935,407 (1,129,961) -35.9% Jail Contract Costs 2,712,884 2,223,602 3,319,584 1,819,584 1,819,584 2,500,000 2,700,000 680,416 37.4% 911 Dispatch 2,719,126 2,587,211 2,748,692 2,748,692 2,748,692 3,079,131 3,300,000 330,439 12.0% Police 23,103,329 24,802,094 25,343,757 26,246,162 26,246,162 29,822,715 31,432,265 3,576,553 13.6% Parks, Recr & Cultural Svcs 6,662,136 8,888,413 8,969,962 9,816,314 9,816,314 9,368,489 10,234,412 447,826 -4.6% Public Works 21,424,781 26,471,164 26,436,182 52,626,958 52,626,958 43,416,384 60,827,382 (9,210,573) -17.5% Non -Departmental 38,921,516 36,714,126 34,263,378 56,356,858 56,414,858 40,739,909 42,256,452 15,616,949 -27.7% Total Expenditures 114,635,052 121,392,361 121,334,610 174,724,524 174,782,524 154,087,665 175,504,723 (20,636,861) -11.8% Changes in Fund Balance 2,970,085 20,080,443 (4,733,306) (27,883,896) (21,079,489) (8,915,691) (5,855,341) 18,968,204 -68.0% ENDING FUND BALANCE: $ 72,206,885 $ 92,287,328 $ 55,865,604 $ 64,403,432 1 $ 71,207,836 1 $ 62,292,146 1 $ 56,436,805 $ (2,111,287) -3.3% 22 CITY OF FEDERAL WAY 2023-24 BUDGET EXPENDITURE SUMMARY — ALL FUNDS Code Item 2020 a 2021 Actual 2022 2023 Pro osed 2024 Pro osed 23 Proposed - 22 Adj Adopted Adjusted Projected Ch °/u Ch Expenditures: I I 1XX Salaries & Wages $ 31,747,430 $ 34,212,459 $ 37,037,724 $ 38,229,848 $ 38,229,848 $ 41,906,643 $ 43,300,544 $ 3,676,794 9.6% 2XX Benefits 11,019,373 11,475,128 12,003,324 12,178,014 12,178,014 13,976,083 14,525,663 1,798,069 14.8% 3XX Supplies 2,426,789 3,162,113 2,026,274 2,737,736 2,737,736 2,819,922 2,816,573 82,186 3.01/o 4XX Services and Charges 23,552,206 22,621,865 20,397,528 25,633,093 25,693,093 22,775,870 22,285,856 (2,857,224) -11.1% 5XX Intergovernmental 6,003,315.48 6,500,766.76 7,324,283.15 6,134,427.15 6,134,427.15 6,998,328.15 7,406,371.15 863,901 14.1% 6XX Capital Outlay 8,445,210 8,290,153 11,563,290 55,510,728 55,510,728 27,855,966 44,301,073 (27,654,762) -49.8% 7XX Debt Service -Principal 1,890,181 1,948,716 2,162,716 2,162,716 2,162,716 1,654,000 1,704,000 (508,710 -23.5% 8XX Debt Service -Interest 1,083,181 1,041,374 1,022,171 1,022,171 1,022,171 794,290 744,381 (227,881) -22.3% 9XX Internal Services/Other 6,771,229 8,152,005 7,124,488 7,698,503 7,698,503 9,488,810 9,273,667 1,790,307 23.3% OXX Other Financing Use 21,696,137 23,987,781 20,672,812 23,417,287 23,415,287 25,817,751 29,146,593 2,400,464 10.3% Total Expenditures- $114,635,052 $121,392,361 $ 121,334,610 $ 174,724,524 $ 174,782,524 $ 154,087,665 $ 175,504,723 $ (20,636,861) -11.8% 1. Salaries & Wages/Benefits increase due to adding 13 Police Officers, 2 Records Specialists, 0.5 FTEAdmin Assistant II reclassified to 1 Human Resources Technician 6 Maintenance Workers, 2 Public Records Officers, I Senior Engineering Technician, and 1 Engineering Construction Inspector. 2. Services and Charges decrease due to decreased SWM and Transportation capital expenditures categorized under services and charges instead of capital outlay. 3. Capital outlay decrease is due to elimination of one-time ARPA expendituures, and capital prjects in 2022 for SWM, transportation, and overlay projects that are not yet carried forward into 2023. 4. Intergovemrrental increase is due to increased Valleycomm and jail services. 5. Internal Service increase is due to increase in contribution to fleet and equipment fund. All Funds 2023 Revenues $145.17M All Funds 2D23 Expenditures L%.04 M Other, 12.95, PropertyTaxrs,T1.53,8% Publkwwks. -city C'ouna. 43.42, 2.A96 D,45 09d 9'� REET r 5.52, inigA , 15J08, 4% rr f % mayor's, ia46 Other Taxes, f4¢ry- 2,23.1'�S A.Q9, 3',5 DrparGnrnlal , 4S1.7d, 26 Muni iVrt, ptlrlyTax,�,�6 V 3%17% Charges for Comm Devi. 5erw'M r 169 , Ada 33,2.3r 239� orther Parks, "2r 6'k Sales Tax , Financing � 1945,13% � 105 t Poli re fl aiff pupa ether , 13-11 r 25.62,1836 35.40, 21% 23 CITY OF FEDERAL WAY 2023-24 BUDGET GENERAL AND STREET FUND CONSOLIDATED SUMMARY Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 o osed Proposed - 22 Ad' Ado ted Adjusted Projected HL$1!C--t g % Ch BEGINNING FUND BALANCE $ 11,604,046 $ 12,575,815 $ 10,252,674 $ 21,339,329 $ 21,339,329 $ 12,626,515 $ 9,675,609 $ (8,712,814) -40.8% REVENUE SUMMARY.• Property Tax 11,092,158 11,260,318 11,357,280 11,357,280 11,357,000 11,527,639 11,700,554 170,359 1.5% Sales Tax 16,127,570 17,494,058 15,949,755 16,949,755 18,589,455 19,652,000 20,775,000 2,702,245 15.9% Criminal Justice Sales Tax 2,807,139 3,270,840 3,027,361 3,027,361 3,200,000 3,027,361 3,027,361 - 0.0% Other Tans 221,613 869,785 452,513 452,513 743,000 485,265 536,155 32,752 7.2% Licenses and Pernuts 3,844,916 3,778,743 3,800,552 3,800,552 4,399,444 4,295,044 3,892,249 494,492 13.0% hitergovemmental 8,343,375 13,369,986 3,304,000 13,284,219 12,902,888 3,905,260 3,946,233 (9,378,959) -70.6% Charges for Services 2,955,999 4,563,366 4,974,910 5,034,655 4,504,057 5,397,108 5,139,471 362,453 7.2% Fines and Penalties 737,582 872,906 824,986 824,986 612,000 826,937 854,040 1,950 0.2% Miscellaneous 1,542,620 724,446 1,034,630 1,034,630 1,498,000 2,399,448 2,404,448 1,364,818 131.9% Other Financing Sources* 10,427,377 8,967,991 7,985,575 9,484,399 9,482,399 10,619,645 13,869,030 1,135,246 12.0% Total Revenues $ 58,100,350 $ 65,172,439 $ 52,711,562 $ 65,250,350 $ 67,288,244 $ 62,135,706 $ 66,144,541 $ (3,114,644) -4.8% EXPENDITURE SUMMARY.• City Council $ 471,319 $ 504,501 $ 530,695 $ 523,580 $ 523,580 $ 488,045 $ 491,279 $ (35,536) -6.8% Mayor's Office 851,226.75 1,069,546 923,847 1,095,225 1,095,225 1,412,687 1,430,377 $ 317,462 29.0% Municipal Court 1,780,793 1,871,113 1,818,905 2,253,925 2,253,925 2,007,913 2,048,723 $ (246,011) -10.9% Finance 1,023,437 1,128,174 1,287,736 1,077,480 1,077,480 1,331,417 1,381,464 $ 253,937 23.6% City Clerk 595,379 804,823 560,410 619,413 619,413 848,565 857,669 $ 229,151 37.0% Human Resources 483,770 590,414 536,319 594,623 594,623 698,224 714,037 $ 103,601 17.4% Law -Civil 825,669 679,317 974,797 921,433 921,433 980,618 995,113 $ 59,185 6.4% Law -Criminal 709,570 768,882 776,142 916,028 916,028 995,576 1,013,080 $ 79,548 8.7% Community Development 2,614,486 2,743,475 2,683,103 3,171,225 3,171,225 3,477,402 3,524,299 $ 306,178 9.7% Economic Development 398,512 382,498 284,756 286,423 286,423 334,768 346,326 $ 48,344 16.90/. Community Services 917,560 875,800 975,180 911,305 911,305 1,155,217 1,174,690 $ 243,913 26.8% Jail Contract Costs 2,712,884 - - - - - - $ - n/a 911 Dispatch 2,719,126 2,587,211 2,748,692 2,748,692 2,748,692 3,079,131 3,300,000 $ 330,439 12.0% Police 18,706,106 19,654,107 20,492,402 20,649,002 20,649,002 24,073,081 25,252,581 $ 3,424,078 16.6% Parks, Recr & Cultural Svcs 3,808,310 4,561,865 4,193,695 4,720,147 4,720,147 4,949,176 5,000,901 $ 229,028 4.9% Public Works 4,061,117 4,198,731 4,567,989 4,838,794 4,838,794 5,173,188 5,266,894 $ 334,394 6.9% Non -Departmental 14,449,318 13,988,468 10,109,569 30,673,763 30,673,763 14,081,604 13,522,714 $ (16,592,159) -54.1% Total Expenditures $ 57,128,581 $ 56,408,925 $ 53,464,236 $ 76,001,058 $ 76,001,058 $ 65,086,612 $ 66,320,148 $ (10,914,446) -14.40/. Changes in Fund Balance $ 971,769 $ 8,763,514 $ (752,674) $ (10,750,708) $ (8,712,814) $ (2,950,906) $ (175,607) $ 7,799,802 -72.60/. ENDING FUND BALANCE: $ 12,575,815 $ 21,339,329 $ 9,500,000 $ 10,588,621 $ 12,626,515 $ 9,675,609 $ 9,500,002 $ (913,012) -8.6% 24 CITY OF FEDERAL WAY 2023-24 BUDGET EXPENDITURE SUMMARY - GENERAL FUND Code Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23 Proposed -22 Ad' Adopted Adjusted Projected $Ch %Ch Expenditures: I 1XX Salaries & Wages $ 23,627,515 $ 24,591,%0 $ 25,967,379 $ 26,788,483 $ 26,788,483 $ 30,447,057 $ 31,585,656 $ 3,658,574 13.7% 2XX Benefits 8,002,259 8,253,131 8,732,062 8,831,894 8,831,894 10,181,485 10,608,174 1,349,590 15.3% 3XX Supplies 1,574,845 1,259,067 875,006 1,156,664 1,156,664 1,151,543 1,148,194 (5,121) -0.4% 4XX Services and Charges 7,077,552 6,230,151 5,081,460 5,946,516 5,946,516 6,041,091 6,050,709 94,574 1.6% 5XX hitergovemmental 5,256,543 4,076,371 3,891,205 3,931,349 3,931,349 4,440,588 4,661,457 509,239 13.0% 6XX Capital Outla 1,211,854 113,412 - 19,167,491 19,167,491 - 19,167,491 -100.0% 9XX Internal Services 5,709,689 7,013,907 6,201,298 6,775,313 6,775,313 8,562,620 8,347,477 1,787,307 26.4% OXX Other Financing Use 4,668,324 4,870,926 2,715,826 3,403,348 3,403,348 4,262,228 3,918,481 858,880 25.2% Total Expenditures: $ 57,128,581 $ 56,408,925 $ 53,464,236 $ 76,001,058 $ 76,001,058 $ 65,086,612 $ 66,320,148 $ (10,914,446) 1. Salaries & Wages/Benefits increase due to adding 13 Police Officers, 2 Records Specialists, 0.5 FTEAdmin Assistant lI reclassified to 1 Human Resources Technician, 5 Maintenance Workers, 2 Public Records Officers, and 1 City Administrator. 2. Intergovernmental increase is due to Valleycomm 911 Contract increase. 3. Capital Outlay decrease is primarily due to one-time ARPA expenditures. 4. Internal Services increase is due to increase in contribution to fleet and equipment. Ganaral and Weat Fund 2023 RimenmesSQ.I, W Other FnRxing fines � i Saur€e5 176 1 T75 Chargesior �{YwiSeti 97K Intgvu G�6 Licenses and Perm its r9S lasses Glamarml and Strut Fund 2023 Exp"Rum 60.09m Non - Public Works CQvncW �.9�9f 0,75y6 departinrMal I hiay�'sdEface 2�,4a 11 2.17% [ylunisip,llrqurt Parks, R2tr $ FlrlarKe Cultural S -5 �'Oi96 City Clerk 7.69% 1.SUN +a+'a� �esoowfs og7x Lew i.Oh96 Comrnurtlt� Police{JailfUispa �.�� tch Community Eaanoinlc di-7245 SetwC.eI oewelopmertt 3.69�6 U,�S�6 25 CITY OF FEDERAL WAY 2023-24 BUDGET CITY-WIDE SERVICE DELIVERY AND SUPPORT STAFF (full-time equivalent positions) Department / Division 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed Adopted Adjusted Projected Subtotal City Council 4.20 4.20 4.20 4.20 4.20 4.20 4.20 Mavor's 0 cc Administration* 5.34 5.34 5.34 5.34 5.34 6.34 6.34 Economic Development 1.00 2.00 1.00 2.00 2.00 2.00 2.00 Emergency Management 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Human Resources* 3.50 4.00 3.50 3.50 3.50 4.00 4.00 City Clerk* 2.50 2.50 2.50 2.50 2.50 3.50 3.50 Subtotal Mayor's Office 13.34 14.84 13.34 14.34 14.34 16.84 16.84 Subtotal Information Technology 8.00 10.00 8.00 10.00 10.00 10.00 10.00 Munici al Court Court Operations 13.00 13.00 13.00 13.00 13.00 13.00 13.00 Probation Services 3.00 3.00 3.00 3.00 3.00 3.00 3.00 Subtotal Municipal Court 16.00 16.00 16.00 16.00 16.00 16.00 16.00 Subtotal Finance 10.00 10.00 10.00 10.00 9.00 9.00 9.00 Law Civil Legal Services 4.30 4.30 4.30 4.30 4.30 4.30 4.30 Criminal Prosecution Services 8.20 9.20 8.20 9.20 9.20 9.20 9.20 Subtotal Law 12.50 13.50 12.50 13.50 13.50 13.50 13.50 Communit Develo meet Administration 4.58 4.58 4.58 5.50 5.50 5.50 5.50 Planning 6.80 6.80 5.80 6.80 6.80 6.80 6.80 Building 11.00 13.00 11.73 13.00 13.00 13.00 13.00 Contrnunity Services 3.80 2.50 3.07 3.50 3.50 3.50 3.50 Subtotal Community Development 26.18 26.88 25.18 28.80 28.80 28.80 28.80 Police Administration 2.00 2.00 2.00 2.00 2.00 2.00 2.00 Support Services 62.00 57.00 76.00 57.00 58.00 58.00 58.00 Field Operations 103.00 127.00 92.00 127.00 126.00 126.00 126.00 Subtotal Police* 167.00 186.00 170.00 186.00 186.00 186.00 186.00 Park. Recreation & Cultural Services Administration 1.80 1.80 1.80 1.80 1.80 1.80 1.80 General Recreation 6.83 7.13 6.83 7.13 1 7.13 7.13 7.13 Community Center 11.33 11.33 11.33 11.33 11.33 11.33 11.33 Dumas Bay Centre 3.00 3.00 3.00 3.00 2.00 2.00 2.00 Park Maintenance 16.25 17.00 17.00 17.00 17.00 20.00 20.00 Perforrning Arts & Event Center - - - - - - - Subtotal Park, Recreation & Cultural Services * 39.21 40.26 39.96 40.26 39.26 42.26 42.26 Public Works Administration 1.61 1.61 1.61 1.61 1.61 1.61 1.61 Development Services 2.85 2.70 2.85 2.85 2.70 2.70 2.70 Traffic Services 5.28 5.28 5.28 7.28 7.28 7.28 7.28 Street Services 12.00 14.05 12.00 14.00 14.05 15.05 15.05 Operational Services 19.00 22.15 21.00 23.00 25.15 28.15 28.15 Solid Waste/Recychng 2.41 1 4.71 1 2.41 2.41 2.71 2.71 2.71 Surface Water Management 12.85 14.50 14.85 13.85 11.50 12.50 12.50 Subtotal Public Works* 56.00 65.00 60.00 65.00 65.00 70.00 70.00 Total Ongoing City Staffing 352.43 386.68 359.18 388.10 386.10 396.60 396.60 * 1 FTE City Administrator added to Mayor's office * 0.5 FTE Administrative Assistant II reclassified to 1.0 FTE Human Resources Technician in Human Resources Department * 1 FTE Public Records Officer added to City Clerk Department * 13 FTE Police officer, 2 FTE Records Specialist, and 1 FTE Public Records Coordinator added to Police Department * 3 FTE Maintenance Worker Il added to Parks Department, and reduction of 1 FTE Chef/Kitchen Coordinator * 3 FTE Maintenance Worker Il, 1 FTE Senior Engineering Technician, and 1 FTE Engineering Construction Inspector added to Public Works Department CITY OF FEDERAL WAY 2023-24 BUDGET FUNDED AND UNFUNDED NEEDS Limited by revenue, the following shows what budget needs have been prioritized into the 2023-24 Budget. The unfunded needs represent what is not yet able to be funded in the budget, so would be eligible for the next dollars available either through higher -than -budgeted revenue or expense savings. These lists are shown in descending order of materiality, not priority. Top 10+ additions to the 2023 Budget 1. Public Safety Salaries & Benefits increase $1,500,000 2. Jail cost increase $680,000 3. Citywide Insurance cost increase $598,000 4. PD Body -worn camera increase $460,000 5. Required self-insurance reserve increase $350,000 6. ValleyComm 911 system cost increase $330,000 7. PD Vehicle replacements $308,000 8. Lakehaven hydrant support costs $281,000 9. PW winter operations staffing $257,000 10. Parks playground perpetual replacement $162,000 11. Contractual accrued vacation payouts $120,000 12. Road salt in line with historical usage $105,000 13. Public records staffing to keep pace with demand $103,000 14.Increased election costs $100,000 Top 10+ unfunded needs in 2023 1. Vehicle replacement reserve due to delayed replacement and cost increases 2. Vehicle replacement backlog 3. Opticom traffic signal preemption system upgrade $1,500,000 4. Additional PD special emphasis $537,000 5. City Hall roof replacement $500,000 6. City Hall fire panel replacement $500,000 7. Parks Tennis Court renovations $500,000 8. IT CRAC unit replacement $200,000 9. Sacajawea Park track replacement $200,000 10. Public Works Streetlight program increase $190,000 11. Public Works tree canopy management increase $150,000 12. Social Services Grants $123,000 13. City wi-fi enhancement $75,000 27 CITY OF FEDERAL WAY 2023-24 BUDGET Major Revenue Forecasts Sales Tax Forecast Revenue remitted to the city from the state in the first six months of 2022 have exceeded the same six months in prior year by 6.9%, each month ranging from 3.1 % to 11.0% over the same month in prior year. The entire year of 2019 exceeded 2018 by 8.0%, 2021 exceeded 2020 by 8.5%. The year of 2020 was impacted by COVID, particularly the two months of April and May, after which sales tax returned to pre-COVID levels and above. That year did impact simple extrapolation and therefore every month is forecasted separately, attempting to exclude the anomaly of COVID. The remaining months are forecasted at the average increase of 5.7% over the same month in the prior period and that same figure is used going forward through every month of 2025 to produce the 2023 and 2024 budgeted Sales Tax Revenues. This results in an estimated increase of $1,063,000 for 2023 over 2022 and of $1,123,000 for 2024 over 2023. 2016 Act 2017 Act 2018 Act 2019 Act Jan $ 1,407,385 $ 1,427,326 $ 1,502,207 $ 1,501,715 Feb 967,408 1,023,938 1,084,522 1,104,726 Mar 1,031,972 984,581 1,025,585 997,513 Apr 1,169,154 1,251,616 1,319,134 1,346,880 May 1,148,897 1,020,631 1,144,354 1,229,332 Jun 1,191,650 1,113, 539 1,148,178 1,263,066 J u I 1,308,122 1,288,291 1,297,748 1,502,252 Aug 1,230,986 1,210,774 1,220,004 1,401,269 Sep 1,271,590 1,221,028 1,228,595 1,438,593 Oct 1,241,815 1,346,048 1,363,500 1,528,439 Nov 1,133,454 1,130,197 1,184,206 1,316,631 Dec 1,120,063 1,181,491 1,213,777 1,278,447 14, 222,496 14,199, 460 14, 731, 810 15, 908, 863 (23,036) 532,350 1,177,053 -0.2% 3.7% 8.0% Sales Tax - Arctidd and Forecast ]' MIMI 3t"IM- ]9 rcE6L9U )..4 JAI, ?r.6 M. ?NZ +rgI. wj• Poly �7i J�� �tl ia1 lac is W r -I 1■1Lab haul U W.T■■ WI ; 14.1H JA724 4klM 1«77 rrar 1J.PI {SLcae 10.an ,LAM ' i nitial economic dip due to pandemic" Estimated escalator for forecasted months 105.7% 105.7% 10L 2020 Act 2021 Act 2022 Act 2022 Est 2023 forecast 2024 forecast 1,632,752 $ 1,604,220 $ 1,653,281 $ 1,653,281 $ 1,748,000 $ 1,848,000 1,182, 535 1,228,579 1,284,275 1,284,275 1,358,000 1,436, 000 1,066,267 1,185,132 1,314,196 1,314,196 1,389,000 1,468, 000 1,130, 545 1,508,266 1,636,738 1,636,738 1,730,000 1,829,000 1,154, 633 1,401,831 1,556,411 1,556,411 1,645,000 1,739,000 1,423,588 1,473,417 1,532,555 1,532,555 1,620,000 1,713,000 1,473,117 1,607,373 - 1,699,000 1,796,000 1,899,000 1,511,762 1,566,626 1,656,000 1,751,000 1,851,000 1,419,920 1,520,312 1,607,000 1,699,000 1,796,000 1,456,510 1,509,402 1,596,000 1,687,000 1,783,000 1,351,208 1,455,577 1,539,000 1,627,000 1,720,000 1,324,732 1,433,324 1,515,000 1,602,000 1,693,000 16,127,569 17,494,058 18,589,455 19,652,000 20,775,000 218,706 1,366,489 1,095,397 1,062,545 1,123, 000 1.4% 8.5% 6.9% 6.3% 5.7% 5.7% Sates TAx Attoal and Forecasted by Month WlfiA20 x u■I 2021-2Q24{orecasim w 11����Id�il�lvi11111 S■] CITY OF FEDERAL WAY 2023-24 BUDGET Property Tax Levy. Even though the value of homes has increased historically in recent years as much as 12% a year (citywide average), by state law, the city can only increase property tax revenue by 1 % annually on existing property values. The City's property tax levy amount is regulated by state statute (RCW 84.52). Pending updated valuation figures from King County Assessor's Office, property tax revenue is forecasted at 1.50% increase per year. Estimated escalator for forecast months 98.1% 101.5% 101.5% 2016 2017 2018 2019 2020 2021 2022 2022Est 2023forecast 2024forecast Jan 932 (3,140) 2,035 277 1,998 (919) 1,170 $ 1,170 $ 1,000 $ 1,000 Feb 104,649 81,198 79,236 121,654 129,750 98,681 19,670 19,670 20,000 20,000 Mar 314,946 391,741 440,319 398,493 412,465 511,477 604,601 604,601 614,000 623,000 Apr 2,763,153 2,969,370 4,003,599 3,742,631 3,610,605 3,393,639 2,730,982 2,730,982 2,772,000 2,814,000 May 2,303,522 2,114,970 1,084,573 1,466,187 1,036,964 1,964,521 2,808,598 2,808,598 2,851,000 2,894,000 Jun 54,021 33,271 69,818 53,981 609,643 73,616 73,666 73,666 75,000 76,000 Jul 23,467 34,813 23,479 48,704 94,490 37,568 27,328 27,328 28,000 28,000 Aug 65,357 8,113 39,795 66,266 68,126 52,928 - 52,000 53,000 54,000 Sep 308,183 203,034 192,851 215,895 195,148 215,737 212,000 215,000 218,000 Oct 1,665,244 1,573,495 3,730,348 3,554,163 3,738,736 1,366,173 1,340,000 1,360,000 1,380,000 Nov 2,818,648 3,030,822 1,070,714 1,141,913 1,100,636 3,473,277 3,406,000 3,457,000 3,509,000 Dec 64,332 69,884 62,894 107,265 93,599 82,231 81,000 82,000 83,000 10,486,454 10,507,571 10,799,658 10,917,429 11,092,160 11,268,928 6,266,014 11,357,014 11,528,000 11,700,000 100.2% 102.8% 101.1% 101.6% 101.6% 88,086 170,986 172,000 Property Tax Revenue $12,000,000 $11,500,000 11,000,000 no Omni $10,500,0()0 � - �i 10,D00,000 . kim 9,500,000 2016 2017 2018 2019 2020 2G21 2022 Est 2023 2024 forecast forecast We CITY OF FEDERAL WAY 2023-24 BUDGET Utility Tax Revenue Forecast Utility Taxes are a consolidation of several individual utility taxes: telephone, electric, natural gas, cable, surface water, sewer, solid waste, and water utilities. Cities in Washington State are authorized to levy a business and occupation tax (RCW 35.22.280(32)) on public utility businesses based on utilities within the city or town, known as a utility tax. The rate of taxes for electric, phone, and natural gas utilities are limited to 7.75% (RCW 35.21.870). Utility taxes received a 10% increase when the solid waste rate changed from 7.75% to 17.75% in 2019. Rates for the 2023-24 are not being changed by any city council action; the forecasted increase in revenue is attributable to a slight increase in projected volume only, estimated at 3% per year. 103.796 100.0% 100.3% 2016 Act 2017 Act 2018 Act 2019 Act 2020 Act 2021 Act 2022 Act 2022 Est 2023 forecast 2024 forecast Jan $ 1,140,664 $ 1,148,307 $ 1,085,651 $ 781,055 $ 996,379 $ 1,396,834 $1,692,180 1,692,180 1,692,000 1,697,000 Feb $ 1,072,515 $ 1,242,665 $ 1,147,253 $ 1,108,776 $ 1,122,530 $ 1,420,015 $1,642,378 1,642,378 1,642,000 1,647,000 Mar $ 1,164,983 $ 1,164,062 $ 1,110,736 $ 1,376,813 $ 1,096,086 $ 1,505,864 $1,755,285 1,755,285 1,755,000 1,760,000 Apr $ 938,297 $ 1,214,103 $ 1,217,269 $ 939,409 $ 963,935 $ 1,627,736 $1,413,785 1,413,785 1,414,000 1,418,000 May $ 811,091 $ 896,598 $ 889,403 $ 815,993 $ 797,507 $ 1,820,591 $1,389,291 1,389,291 1,389,000 1,393,000 Jun $ 909,581 $ 900,058 $ 833,485 $ 797,694 $ 2,398,996 $ 1,236,109 $1,213,829 1,213,829 1,214,000 1,218,000 Jul $ 403,486 $ 380,887 $ 778,972 $ 785,130 $ 1,083,596 $ 1,232,554 $ 1,278,000 1,278,000 1,282,000 Aug $ 1,286,236 $ 1,317,904 $ 782,716 $ 786,724 $ 870,098 $ 1,197,098 $ 1,242,000 1,242,000 1,246,000 Sep $ 1,045,923 $ 1,007,614 $ 979,316 $ 866,190 $ 1,428,106 $ 1,438,956 $ 1,492,000 1,492,000 1,496,000 Oct $ 820,144 $ 879,697 $ 845,425 $ 771,503 $ 1,090,121 $ 1,141,163 $ 1,184,000 1,184,000 1,188,000 Nov $ 994,070 $ 1,032,190 $ 930,920 $ 961,516 $ 1,195,279 $ 764,192 $ 793,000 793,000 795,000 Dec $ 1,330,127 $ 1,253,864 $ 1,128,298 $ 1,118,788 $ 1,635,543 $ 2,213,907 $ - 2,296,000 2,296,000 2,303,000 11,917,116 12,437,948 11,729,444 11,109,580 14,678,176 16,995,019 9,106,748 17,391,748 17,391,000 17,443,000 520,832 (708,504) (619,864) 3,568,596 2,316,843 (5,571,428) 2,713,572 (748) 52,000 4.4% -5.7% -5.3% 32.1% 15.8% -38.0% 18.5% 0.0% 0.3% Utility Tax - Actual and Forecast 20,000,000 18,000'aG 0 - 16,00 0, 00 D - 14,0 0 0, �00 12,000,000 - 1 I�,O 0 D,OUO - �,000,000 - 4,000,000 2,0{}0,040 2016 Act 2017 Act 2018 Act 2019 Act 2020 Act 2021 Act 2022 Est 2023 2024 2025 forecast forecast forecast 30 CITY OF FEDERAL WAY 2023-24 BUDGET Real Estate Excise Tax (REET) REET is a function of both volume of real estate transactions and of property values. While the property value trend has increased steadily and reliably, recent rate hikes in the mortgage and commercial lending space have cast doubt on the pace of transactions in the future. In order to budget cautiously, past remittances have been analyzed for large one-time transactions and forecasting has excluded the assumption that large properties will continue. The volume of residential properties was left as a baseline, so that should residential transactions slow, the elimination of commercial transactions from the estimate will serve as the hedge. That produces a revenue forecast that should be attainable. Should revenue fall short of forecast, capital spending could be managed at a slower pace, and should revenue exceed forecast, budget amendments can be brought with equal and offsetting additional revenue and expenditures, green -lighting additional REET-eligible projects. Out -months are forecasted at a 1 % increase. one-timeI a rge transactions 2.0% 1.0% 1.0% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Jan 155,922 386,409 239,882 201,603 242,395 193,226 193,639 241,514 244,000 246,000 Feb 150,860 533,534 194,677 176,339 588,487 273,266 237,843 269,472 272,000 275,000 Mar 331,315 165,413 969,730 250,809 253,664 164,884 339,701 458,276 463,000 468,000 Apr 148,984 245,886 221,872 533,980 237,306 185,348 427,556 489,224 494,000 499,000 May 302,118 220,243 385,350 295,897 296,386 309,742 381,942 927,268 382,000 384,000 Jun 345,929 328,219 384,086 330,483 493,407 237,980 509,935 544,704 550,000 556,000 Jul 302,572 331,410 352,290 373,877 327,771 315,033 438,542 653,733 660,000 667,000 Aug 324,637 289,291 333,709 321,824 799,244 286,510 898,086 649,564 656,000 663,000 Sep 199,688 933,582 301,674 219,285 349,971 432,262 419,855 428,000 432,000 436,000 Oct 246,044 987,072 248,500 438,041 388,533 317,205 551,866 563,000 569,000 575,000 Nov 189,651 590,835 315,762 368,949 258,753 272,994 353,248 360,000 364,000 368,000 Dec 333,438 253,246 278,806 729,735 935,728 1,478,659 422,693 431,000 435,000 439,000 3,031,159 5,265,138 4,226,336 4,240,825 5,171,643 4,467,111 5,174,908 6,015,754 5,521,000 5,576,000 74% -20% 0% 22% -14% 16% 16% -8% 1% City of Federal way REET $2,0-A44 9e,U94.D00 S5AMMO y .iioa a 5a,00uAur 52.DWAnrs " M? Af7 2W AN M9 icl 2020 Act 2021 +ti 2022 €u IW ra 2024 U ZM ER 31 CITY OF FEDERAL WAY 2023-24 BUDGET Lodging Tax Revenue Forecast In formulating the 2023-24 Budget, with six months of actual lodging tax remitted to the City of Federal Way, the remaining six months were forecasted, using pre-COVID 2019 data, month by month, and extrapolating the recovery the tourism industry has slowly experienced. March 2020 was the initial month that overnight hotel stays dropped , "DIN UK precipitously, with two months experiencing a 77% 7-1- drop compared to prior year. Revenues in the first Pq, - - half of 2022 are up to 90% of 2019 levels. -" MEMO- - 1-WLL kd-k JNLr JGJr� JGJLh M1w amp Jml}l N1- W N1-ur I- L'. ^- 1-.' 1- 313A lnA Figures in red, below, indicate the months of depressed economic activity, and the blue indicates estimated recovery compared to pre-COVID (2019) levels: Actual I forecast 2016 2017 2018 2019 2020 2021 2022 1 2022 2023 2024 Jan 15,431 15,621 16,916 22,862 20,477 7,186 15,770 15,770 22,000 23,000 Feb 15,983 16,835 18,162 17,340 18,201 8,765 16,937 16,937 17,000 18,000 Mar 20,565 21,304 22,378 21,015 12,425 9,582 19,965 19,965 21,000 22,000 Apr 22,013 24,629 25,072 26,343 6,289 13,702 26,925 26,925 26,000 27,000 May 19,591 20,733 21,482 21,450 11,734 16,381 19,237 19,237 21,000 23,000 Jun 22,788 25,010 25,192 23,485 5,397 15,774 20,135 21,000 23,000 25,000 J u I 30,642 33,813 30,269 31,724 10,228 21,509 - 29,000 32,000 33,000 Aug 34,121 37,288 34,273 31,912 9,697 26,408 30,000 32,000 34,000 Sep 37,138 37,094 34,135 32,607 10,950 24,748 31,000 33,000 35,000 Oct 26,933 27,262 27,704 26,575 9,957 19,722 25,000 27,000 28,000 Nov 20,758 22,865 15,633 26,284 12,109 17,395 25,000 27,000 28,000 Dec 17,255 19,147 14,509 11,389 6,309 14,547 11,000 12,000 12,000 283,220 301,603 285,725 292,986 133,773 195,720 118,968 270,834 293,000 308,000 Prior year vs. 2019 vs 2022 2023 2024 2017 2018 2019 2020 2021 2022 forecast forecast forecast Jan 101.2% 108.3% 135.1% 89.6% 31.4% 69.0% 98.0% 102.5% Feb 105.3% 107.9% 95.5% 105.0% 50.5% 97.7% 98.0% 102.5% Mar 103.6% 105.0% 93.9% 59.1% 45.6% 95.0% 98.0% 102.5% Apr 111.9% 101.8% 105.1% 23.9% 52.0% 102.2% 99.0% 102.5% May 105.8% 103.6% 99.9% 54.7% 76.4% 89.7% 99.0% 105.0% Jun 109.7% 100.7% 93.2% 23.0% 67.2% 91.0% 99.0% 105.0% Jul 110.4% 89.5% 104.8% 32.2% 67.8% 92.0% 100.0% 105.0% Aug 109.3% 91.9% 93.1% 30.4% 82.8% 93.0% 100.0% 105.0% Sep 99.9% 92.0% 95.5% 33.6% 75.9% 94.0% 100.0% 107.5% Oct 101.2% 101.6% 95.9% 37.5% 74.2% 95.0% 101.0% 105.0% Nov 110.2% 68.49/o 168.1% 46.1% 66.2% 96.0% 101.0% 105.0% Dec 111.0% 75.8% 78.5% 55.4% 127.7% 97.0% 101.0% 105.0% Dropoff due to economic effects of pandemic Gradual actual and projected recovery 32 CITY OF FEDERAL WAY 2023-24 BUDGET Operating Budgets by Department -L . tom: VEEP MML .1 -ram _-___11i1�� fTT7 M q IQN�AJ7� 33 CITY OF FEDERAL WAY 2023-24 BUDGET OPERATING BUDGETS MAYOR'S OFFICE Mayor Jim Ferrell DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The Mayor's Office is the executive branch of City government and includes the Mayor, who is elected by and represents the people of Federal Way. The Mayor's Office provides management direction and coordination of all City departments and activities, in accordance with policies and direction of the Mayor/City Council. The Mayor's Office includes the following divisions; Administration, Economic Development, Emergency Management, Human Resources, and City Clerk. GOALS/OBJECTIVES: • Instill a customer service culture and can -do attitude in the City Government. • Manage city resources in a responsible and responsive manner. • Lead and coordinate the City's role in local, regional, and federal issues. • Implement Economic Development initiatives. • Facilitate Council decision making and policy development by providing unbiased, thorough, and professional analysis. • Carry out Mayor/City Council polices and directions effectively and efficiently. • Lead and coordinate proactive and effective communications with citizens, the news media, and city employees. • Communicate the City's vision, mission, and goals as well as day-to-day service information to constituents and key stakeholders. DEPARTMENT SUMMARY: Code Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23Proposed -22Adi 1 Ado ted Adjusted Projected $ Ch % Ch General Fund Operating Expenditure Summary: MO Admin 662,442 865,309 715,168 886,546 886,546 1,184,417 1,202,107 297,872 33.6% ED Economic Development 398,512 382,498 284,756 286,423 286,423 334,768 346,326 48,344 16.9% CK City Clerk 595,379 804,823 560,410 619,413 619,413 848,565 857,669 229,151 37.0% HR Human Resources 483,770 590,414 536,319 594,623 594,623 698,224 714,037 103,601 17.4% Subtotal Operating Exp.: $ 2,140,102 $ 2,643,044 $ 2,096,654 $ 2,387,006 $ 2,387,006 $ 3,065,974 $ 3,120,141 $ 678,968 28.4% Other Funds Operating Expenditure Summary: 101 Emergency Operations 188,786 204,237 208,679 208,679 208,679 228,270 228,270 19,590 9.4% 114 Proposition 1 656,222 675,573 651,076 651,076 651,076 751,076 751,076 100,000 15.4% 109 1 Hotel Motel LodOng Tax 28,785 34,393 155,000 155,000 155,000 65,000 65,000 (90,000) -58.1% Subtotal Operating Exp.: $ 873,793 $ 914,203 $ 1,0149755 $ 1,014,755 $ 1,014,755 $ 1,044,346 $ 1,044,346 $ 29,590 2.9% Total Expenrlitures: $ 3,013,895 $ 3,557,247 $ 3,111,409 $ 3,4019761 $ 3,4019761 $ 4,110,320 $ 4,164,486 $ 708,559 20.8% 34 CITY OF FEDERAL WAY 2023-24 BUDGET HIGHLIGHTS/CHANGES: The Mayor's Office's proposed operating budget totals $4.11 M in 2023 and $4.16M in 2024. This is a 20.8% or $0.71 M increase to the 2023 proposed budget from the 2022 adjusted budget. Major line items changes include: • Salaries & Wages/Benefits — Increase of $0.60M is due to reclassifying a Human Resources Technician position from Administration Assistant ll, adding City Clerk Public Records Officer position, and adding City Administrator position. • Services and Charges — Increase of $0.10M is due to increase in public defender contracted services. EXPENDITURE SUMMARY: Code Item 2020 Actual 2021 Actual 1 2022 2023 Proposed 2024 Proposed 23 Proposed - 22 Ad' Adopted I Adjusted Projected $ Ch % Ch Expenditure Summary: 1XX Salaries & Wages 1,301,611 1,496,140 1,285,916 1,406,130 1,406,130 1,912,448 1,953,074 506,317 36.0% 2XX Benefits 468,572 508,537 487,698 481,232 481,232 571,801 583,019 90,569 18.8% 3XX Supplies 14,090 28,485 20,711 27,293 27,293 28,499 28,499 1,206 4.4% 4XX Services and Charges 982,966 1,087,294 1,088,634 1,208,655 1,208,655 1,219,122 1,221,445 10,466 0.9% 5XX intergovernmental 245,061 436,792 228,450 278,450 278,450 378,450 378,450 100,000 35.9% 6XX 1 Capital Outlays 1,596 ' - - n/a Totally nditures: $ 3,013,895 $ 3,557,247 $ 3,111,409 1 $ 3,401,761 $ 3,401,761 $ 4,110,320 $ 4,164,486 $ 708,559 20.8% 35 CITY OF FEDERAL WAY 2023-24 BUDGET CITY COUNCIL DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The City Council is the seven -member legislative branch of city government elected by and representing the people of Federal Way. Council Members elect one of their members as the Council President and the Mayor is elected by Federal Way residents. The City Council is the policy determining body of the City and exercises all legislative powers authorized under the State Constitution which are not specifically denied by State law, including adoption of ordinances, levying of taxes, and appropriation of funds. Budgeted expenses include statewide association dues, training and education, travel reimbursement, supplies and other operating expenses. ii MEN=MidI!ihmm MINI ■■1 ENN E1I M�■ paten �r GOALS/OBJECTIVES: • Integrate the public safety strategy into all facets of City operations, building on a strong community -based approach. • Create a multi -use urban city center that is pedestrian friendly, linked to neighborhoods and parks, and services as the social and economic hub of the City. • Establish Federal Way as an economic leader and job center in South King County by attracting a regional market for high quality office and retail businesses. • Maintain the capital facilities plan and provide financing options for transportation and surface water improvements, parks, recreation, cultural arts and public facilities. • Ensure a responsive service culture within the City organization where employees listen carefully, treat citizens and each other respectfully and solve problems creatively, efficiently, and proactively. • Position Federal Way as a regional leader by working collaboratively with other local and regional jurisdictions in order to leverage resources. • Increase sustainable revenue streams to fully fund the city budget, programs and infrastructure. • Address public safety issues for residents and businesses. • City government will develop a plan to realize our 2030 vision of becoming a tech hub. • Develop a plan to address and prevent homelessness and related issues. HIGHLIGHTS/CHANGES: The City Council's proposed operating budget totals $0.49M in 2023 and $0.49M in 2024. This is a 6.8% or $0.04M decrease to the 2023 proposed budget from the 2022 adjusted budget. Major line item changes include: • Services and Charges: Decrease of $0.03M due to moving South King County Housing & Homelessness Partners contracted services to Community Services budget. EXPENDITURE SUMMARY: Code Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23 Proposed - 22 Ad' Ado ted Adjusted Projected $ Ch % Ch Expenditure Summary: 1XX Salaries & Wages 162,679 178,965 168,512 190,178 190,178 171,224 173,568 (18,953) -10.0% 2XX Benefits 87,040 88,469 120,527 91,748 91,748 105,065 105,956 13,318 14.5% 3XX Supplies 6,756 4,911 6,537 6,537 6,537 6,537 6,537 - 0.0% 4XX Services and Charges 214,844 232,155 235,118 235,118 235,118 205,218 205,218 (29,900) -12.7% Total 1 nditures : $ 471,319 $ 504,501 $ 530,695 $ 523,580 $ 523,580 $ 488,045 $ 491,279 1 $ (35,535) -6.8% 36 CITY OF FEDERAL WAY 2023-24 BUDGET COMMUNITY DEVELOPMENT Brian Davis, Director DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The mission of the Community Development Department is to help maintain and improve the quality of life in Federal Way by managing and fostering the safe, orderly, and beneficial development and implementation of land use, building construction, code enforcement, and community services programs with the input from Federal Way's citizens and within the policy framework provided by the City Council. _ ice;•- . -�--4ti tier �5 - fill .rr . r F - JN V ' --C' s J J `.4. The Community Development Department is organized into four ' divisions. ' The Administrative Division provides the overall _ management and support of the department, accepts passport applications, and manages public records requests. The Permit Center provides discerning customer service throughout an applicant's development process and supports the Planning Commission. 2 The Planning Division administers and enforces land use, subdivision, and environmental codes and policies. In addition, the division performs long-range planning and policy work, including comprehensive plan updates and amendments, code revisions, and annexations, as well as subarea and/or special planning projects. The division also supports the Planning Commission. S The Building Division administers and enforces building codes for construction, mechanical, electrical, plumbing, and signs, including plan review and inspection. In addition, through code compliance, it enforces land use and building code provisions to abate illegal and/or nuisance conditions throughout the city.' The Community Services Division assists our community with providing funding and support for critical services for low- and moderate- income citizens, including administration and operation of the Home Repair Program and Commercial Loan Program. Additionally, the division supports the Human Services Commission and Diversity Commission. GOALS/OBJECTIVES: • Ensure that planning efforts and the regulatory environment provide for a balance between protection of the environment and neighborhoods and accommodating new development to house a growing population and jobs • Strengthen human service agencies and the social wellbeing and economic health of the community by administering and monitoring grants as a CDBG direct -entitlement city DEPARTMENT SUMMARY: Code Item 2020 Actual 2021 Actual 1 2022 2023 Proposed 2024 Proposed 23 Proposed - 22 Ad' 1 I Adopted I Adjuste I Projected $ Ch % Ch Expenditure Summary 71 Administration 494,125 497,651 503,605 549,162 549,162 620,593 632,222 71,431 13.0% 73 Planning 816,841 867,569 804,333 1,264,333 1,264,333 1,386,799 1,400,186 122,466 9.7% 74 Building 1,303,520 1,378,255 1,375,166 1,357,730 1,357,730 1,470,011 1,491,891 112,281 8.3% 83 Community Services 917,560 875,800 975,180 911,305 911,305 1,155,217 1,174,690 243,913 26.8% Subtotal GF Operating Exp.: 1 $ 3,532,046 1 $ 3,619,275 1 $ 3,658,283 1 $ 4,082,529 1 $ 4,082,529 1 $ 4,632,619 1 $ 4,698,989 $ 550,090 13.5% Non -General Fund Operating Expenditure Summary: 104 Sales/Use Tax-Affrd. & 250,000 250,000 125,000 125,000 (125,000) -50.0% 114 Prop 1 Fund 101,472 96,052 109,114 109,114 109,114 120,465 124,925 11,352 10.4% 119 Comm Dev Block Grant 945,084 1,088,917 758,323 2,232,066 2,232,066 858,193 760,717 (1,373,873) -61.6% Subtotal Non-GF Oper. Exp.: $1,046,556 $1,184,969 $ 867,437 $ 2,591,180 $ 2,591,180 $1,103,658 $1,010,643 $ (1,487,522) -57.4% Total Expenditures: 1 $ 4,578,603 1 $ 4,804,244 1 $ 4,525,720 1 $ 6,673,709 1 $ 6,673,709 1 $ 5,736,277 1 $ 59709,632 1 $ (937,431) -14.0% 37 CITY OF FEDERAL WAY 2023-24 BUDGET HIGHLIGHTS/CHANGES: The Department of Community Development overall proposed operating budget totals $5.74M in 2023 and $5.71 M in 2024. This is a 14.0% or $0.94M decrease to the 2023 proposed budget from the 2022 adjusted budget. Major line item changes include: Services and Charges - Decrease of $1.29M due to reduction in one-time Community Development Block Grant projects and one-time COVID Child Care services. EXPENDITURE SUMMARY: Code Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23 Pro osed - 22 Ad' I Adopted Adjusted Projected $ Ch % Ch Expenditure Summary: 1XX Salaries and Wages 2,018,348 2,172,525 2,156,170 2,241,290 2,241,290 2,608,735 2,648,003 367,446 16.4% 2XX Benefits 775,671 804,028 807,974 747,076 747,076 983,176 1,001,518 236,100 31.6% 3XX Supplies 27,658 17,336 21,800 55,700 55,700 24,300 24,300 (31,400) -56.4% 4XX Services and Charges 1,419,810 1,714,827 1,225,350 3,315,218 3,315,218 2,025,016 1,940,761 (1,290,202) -38.9% 5XX Intergovernmental 97,420 92,993 87,350 87,350 87,350 1 92,050 92,050 4,700 5.4% 7XX IDebt Service -Principal 159,000 - 159,000 159,000 159,000 - - (159,000) -100.0% 8XX IDebt Service -Interest 80,696 2,534 68,075 68,075 68,075 - - (68,075) -100.0% 9XX I Internal Service/Other - - - - - 3,000 3,000 3,000 100.0% Total Expenditures: $ 4,578,603 $ 4,804,244 $ 4,525,720 $ 6,673,709 $ 6,673,709 $ 5,736,277 $ 5,709,632 $ (937,431) -14.0% 38 CITY OF FEDERAL WAY 2023-24 BUDGET FINANCE Steve Groom, Finance Director DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The purpose of the Finance Department is to provide accurate financial information from which educated judgments can be made on the financial health of the City and decisions can be made by management regarding City operations. The Finance Department's responsibilities include accounts payable, accounts receivable, payroll, general accounting, financial planning, cash and investment management, cash receipting, business licensing, internal control monitoring, audit, monthly, quarterly and annual financial reporting, budget preparation and financial analysis. GOAL/OBJECTIVES: • Provide timely and accurate accounting and financial reporting to citizens, City Council, and city staff. • Process Payroll semi-monthly accurately and on time. • Ensure proper internal control in City operations to safeguard City resources. • Pay Accounts Payable invoices accurately and timely. • Develop a comprehensive Budget process • Invest city cash to maximize spendable yield, assuring safety and liquidity. HIGHLIGHTS/CHANGES: The Finance proposed operating budget totals $1.33M in 2023 and $1.38M in 2024. This is a 23.6% or $0.25M increase to the 2023 proposed budget from the 2022 adjusted budget. EXPENDITURE SUMMARY: Code Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23 Pro osed - 22 Ad' Ado ted Adjusted I Pro'ected $ Ch % Ch Expenditure Summary: 1XX Salaries & Wages 688,419 722,134 891,080 722,899 722,899 921,907 958,173 199,008 27.5% 2XX Benefits 245,234 262,876 308,023 265,949 265,949 320,878 334,659 54,929 20.7% 3XX Supplies 4,366 5,440 5,620 5,620 5,620 5,620 5,620 - 0.0% 4XX Services and Charges 8,420 62,511 16,796 16,796 16,796 16,796 16,796 0.0% 5XX Intergovernmental 1 76,998 1 75,212 1 66,216 1 66,216 1 66,216 1 66,216 1 66,216 1 0.0% Totalapenclitures: $ 1,023,437 1 $ 1,128,174 1 $1,287,736 1 $1,077,480 1 $1,077,480 1 $1,331,417 1 $1,381,464 1 $ 253,937 23.6% 39 CITY OF FEDERAL WAY 2023-24 BUDGET INFORMATION TECHNOLOGY Thomas Fichtner, Information Technology Director DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: orAmuni ation hardaare supportcomputeriN �databa e �. � I formotion servers Technolo The Information Technology Department provides city-wide information technology needs and services. This includes net ol� � security designing, purchasing, configuring, maintaining, supporting and �j upgrading all data, voice, and video systems; manage contracted software services, staff training; Geographical Information Systems (GIS); Oppli .'atlons de -sign Government Access Channel (GAC) broadcasting; cable; Internet/Intranet services; and mail and duplications. Communication Services include technical services, support, maintenance and enhancements for city telephone systems, cellular phones, pagers, radio equipment, building wiring and all other communications -related needs. GIS services include developing and maintaining the city's spatial database, producing maps, analyzing data, generating reports, providing staff training, and developing user-friendly interfaces. AN, GAC & Cable Rate Services include local government information broadcasting (live -broadcast City Council meetings and taped video programs, as well as news, events, and general city information via billboard -type messages). In addition, the division oversees cable TV franchise agreements and regulations, and is responsible for coordinating and responding to citizens' complaints regarding cable services. Internet, Intranet, & Web Services include developing and maintaining the city's web site, secure fire sharing, email, remote access, and intergovernmental services; providing training for staff; monitoring system security; developing interfaces; and integrating internal systems with Internet services. GOALS/OBJECTIVES: • Streamline City operations through integration and systems automation. ■ Seek new technology and apply where it is cost effective. ■ Improve access to City services and information through online systems. ■ Provide a secure and reliable information technology infrastructure. ■ Provide up-to-date hardware and software tools for staff. DEPARTMENT SUMMARY: Code Item 2020 Actual 2021 Actual 1 2022 2023 Proposed 2024 Proposed 1 23 Proposed - 22 Adj I Adopted Adjusted I Projected $ Ch % Ch Expenditure Summary: 107 Special Contract 6,484 - - 450,000 450,000 (450,000) -100.0% 121 Technology Fee 44,488 48,913 14,300 284,300 284,300 (284,300) -100.0% 502 Information Technology 2,356,522 2,398,821 2,707,608 3,542,008 3,542,008 3,646,229 3,393,541 104,221 2.9% 503 Mail & Duplication 66,332 95,245 185,007 185,007 185,007 154,901 161,901 (30,106) -16.3% Total nclitures: $ 2,473,826 $ 2,542,978 $ 2,906,915 $4,461,315 $4,461,315 $3,801,130 $3,555,442 $ (660,185) 44.8% 40 CITY OF FEDERAL WAY 2023-24 BUDGET HIGHLIGHTS/CHANGES: The Information Technology proposed operating budget totals $3.80M in 2023 and $3.56M in 2024. This is a 14.8% or $0.66M decrease to the 2023 proposed budget from the 2022 adjusted budget. Major line items changes include: • Services and Charges - Increase of $0.05M due to increased cost of IT services, purchase of software, and additional cost for services for Microsoft licenses. • Capital Outlay - Decrease of $0.94M due to less equipment scheduled for replacement, and one-time project completion. EXPENDITURE SUMMARY: Code Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23 Proposed - 22 Ad' Adopted I Adjusted I Projected $ Ch % Ch Expenditure Summary: 1XX Salaries & Wages 721,776 813,294 813,886 883,886 883,886 1,016,399 1,049,234 132,513 15.0% 2XX Benefits 257,292 280,920 282,565 282,565 282,565 378,442 390,919 95,877 33.9% 3XX Supplies 33,191 59,983 66,056 66,056 66,056 66,056 66,056 - 0.0% 4XX Services and Charges 937,913 1,064,783 1,212,055 1,436,355 1,436,355 1,490,555 1,535,555 54,200 3.8% 5XX I Intergovernmental 149,749 165,794 156,778 156,778 156,778 1156,778 - 0.0% 6XX Capital Outlay 373,906 158,203 375,575 1,635,675 1,635,675 �69#2,900356,900 (942,775) -57.6%Total n(litures: $ 2,473,826 $ 2,542,978 $ 2,906,915 $4,461,315 $4,461,315 $3555,442 $ (660.185) -14.8% 41 CITY OF FEDERAL WAY 2023-24 BUDGET LAW DEPARTMENT Ryan Call, City Attorney DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The City Attorney's office is divided into three divisions: Civil, Criminal, and Risk Management. ' The Civil Division provides legal services to the Mayor, City Council, Municipal Court, Boards and Commissions, City management and staff. 2 The Criminal Division assists in providing prosecution, pre -sentencing and sentencing, and providing assistance and safety and the criminal justice system information to domestic violence victims. 3 The evaluates the risk throughout the City. Risk Management Division administers insurance and GOALS/OBJECTIVES: • Provide quality and cost-effective legal advice and services to the Mayor, City Council, Municipal Court, Boards and Commissions and City Departments; • Defend or prosecute all litigation involving the City; • Advise and train City staff to minimize potential litigation. DEPARTMENT SUMMARY: Code Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 I Proposed 23 Pro osed - 22 Adj Adopted Adjusted Projected $ Ch % Ch General Fund Operating Expenditure Summar •: 112 Traffic Safety - 2,269 - - - - - - n/a 51 Civil Legal Svcs 825,669 679,317 974,797 921,433 921,433 980,618 995,113 59,185 6.4% 52 Criminal Prosecution 709,570 768,882 776,142 916,028 916,028 995,576 1,013,080 79,548 8.7% Subtotal Operating ExA: $ 1,535,239 $1,450,468 $1,750,938 $1,837,460 $1,837,460 $1,976,194 $ 2,008,193 $ 138,734 7.6% Non -General Fund Operating Ex enditure Summa . 114 Proposition 1 237,322 247,963 278,996 278,996 279,996 308,209 318,848 29,213 10.5% 501 Risk Management 2,348,831 1,788,325 1,486,275 1,714,379 1,714,379 2,657,763 2,329,131 943,384 55.0% Subtotal Non-GF Oper. Exp.: $ 2,586,153 $ 2,036,288 $1,765,271 $1,993,375 $1,993,375 $ 2,965,972 $ 2,647,979 $ 972,597 48.8% Total nditures: $ 4,121,392 $ 3,486,755 $ 3,516,210 $ 3,830,836 $ 3,830,836 $ 4,942,166 $ 4,656,173 $ 1,111,331 29.0% HIGHLIGHTS/CHANGES: The Law Department's proposed operating budget totals $4.94M in 2023 and $4.66M in 2024. This is a 29.0% or $1.1 M increase to the 2023 proposed budget from the 2022 adjusted budget. Major line item changes include: • Services and Charges - Increase of $0.94M due to increase in insurance premiums and one-time legal settlements. Expenditure Summary: Code Item 2020 Actual 2021 Actual 1 2022 2023 Proposed 2024 Proposed 23 Pro osed - 22 Ad' Adopted I Adjusted Projected $ Ch % Ch Expenditure Summary: 1XX Salaries & Wages 1,138,860 1,185,296 1,214,230 1,338,069 1,338,069 1,400,239 1,430,949 62,170 4.6% 2XX Benefits 382,048 389,472 461,407 424,090 424,090 527,567 538,945 103,477 24.4% 3XX Supplies 2,536 6,584 5,525 5,525 5,525 6,225 6,225 700 12.7% 4XX Services and Charges 2,447,948 1,905,403 1,834,547 2,062,651 2,062,651 3,007,635 2,679,553 944,984 45.8% 5XX Intergovernmental - - 500 500 500 500 500 - 0.0% OXX I Other Financing Use 150,000 - - n/a Total nditures: $ 4,121,392 $ 3,486,755 $ 3,516,210 1 $ 3,830,836 1 $ 3,830,836 $ 4,942,166 1 $ 4,656,173 1 $ 1,111,331 29.0% 42 CITY OF FEDERAL WAY 2023-24 BUDGET MUNICIPAL COURT David Larson, Presiding Judge DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The Municipal Court of the City of Federal Way is organized under RCW 3.50 with jurisdiction over violations of the Federal Way Revised Code and Revised Code of Washington provisions adopted by the City that occur within the boundaries of the City of Federal Way. GOALS/OBJECTIVES: • Provide an accessible forum for individuals to resolve issues. • Provide a forum to settle disputes in a fair, efficient, courteous and dignified way in accordance with due process of law. DEPARTMENT SUMMARY: Code Item 2020 Actual 2021 Actual 1 2022 2023 I Adopted Adjusted I Projec Proposed 2024 Proposed 23 Pro osed - 22 Ad• $ Ch % Ch General Fund Operating Expenditure Summary: 022 1 General Operations �4 ------ 021 (Probation 1,417,982 362,811 1,494,116 376,998 1,433,566 385,340 1,775,540 , 478,385 1,775,540 1,584,120 1,614,396 478,385 423,794 1 434,327 $ (191,420) (54,592) 10.8% 1 -- -11.4% Subtotal Operating Exp:1 $ 1,780,793 $ 1,871,113 $ 1,818,905 $ 2,253,925 $ 2,253,925 $ 2,007,913 1 $ 2,048,723 $ (246,011)' -10.9% Non -General Fund Operating Expenditure Summary: 112 Traffic Safety - 7,577 61,550 61,550 61,550 61,550 61,550 0.0% 114 Proposition 1 175,101 149,723 194,159 194,159 194,159 198,857 202,103 4,698 2.4% Prop 1 and Traffic Safety Fxp: $ 175,101 $ 157,300 $ 255,709 $ 255,709 $ 255,709 $ 260,407 $ 263,653 $ 4,698 1.8% Total F*nclitures: l $ 1,955,894 $ 2,028,413 $ 2,074,615 • $ 2,5099634 $ 2,509,634 $ 2,2689321 1 $ 293129376 $ (241,313) � -9.6% 43 CITY OF FEDERAL WAY 2023-24 BUDGET HIGHLIGHTS/CHANGES: The Municipal Court's proposed operating budget totals $2.27M in 2023 and $2.31 M in 2024. This is 9.6% or $0.24M decrease to the 2023 proposed budget from the 2022 adjusted budget. Major line item changes include: • Services and Charges - Decrease of $267,928 due to elimination of one-time Administrative Office of Courts grant services. EXPENDITURE SUMMARY: Code 2020 Item Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23 Pro osed - 22 Adj Ado ted Adjusted Projected $ Ch % Ch Municipal Court General Fund Operations Expenditure Summary: 1XX Salaries & Wages 896,880 976,835 963,701 1,011,875 1,011,875 1,055,307 1,077,246 $ 43,432 4.3% 2XX Benefits 358,432 373,807 343,216 344,089 344,089 374,265 382,602 30,176 8.8% 3XX Supplies 19,570 7,903 10,050 10,050 10,050 12,950 12,950 2,900 28.9% 4XX Services and Charges 87,674 135,570 116,598 409,526 409,526 141,598 141,598 (267,928) -65.4% 6XX I Capital Outlay 55,427 1 - - - - n/a Subtotal Operating Epp: $ 1,417,982 1 $ 1,494,116 $ 1,433,566 $ 1,775,540 $ 1,775,540 $ 1,584,120 $ 1,614,396 1 $ (191,420) -10.8% Probation Office General Fund Expenditure Summary: 1XX Salaries & Wages 196,188 216,844 214,344 275,694 275,694 244,628 252,261 (31,066) -11.3% 2XX Benefits 87,221 90,109 81,451 113,147 113,147 92,921 95,821 (20,226) -17.9% 3XX Supplies - 995 6,900 6,900 6,900 3,000 3,000 (3,900) -56.5% 4XX Services and Charges 79,402 69,050 82,645 82,645 82,645 83,245 83,245 600 0.7% Subtotal Probation Exp: I $ 362,811 $ 376,998 $ 385,340 $ 478,385 $ 478,385 $ 423,794 $ 434,327 $ (54,592) -11.4% Prop 1 Fund Expenditure Summary: 1XX I Salaries & Wages 131,500 115,295 140,695 140,695 140,695 144,099 146,451 $ 3,404 2.4% 2XX JBenefits 43,601 34,427 53,464 53,464 53,464 54,758 55,652 1,294 2.4% Subtotal Prop 1 : $ 175,101 $ 149,723 $ 194,159 $ 194,159 $ 194,159 $ 198,857 $ 202,103 $ 4,698 2.4% Traffic Safety Fund Expenditure Summary: 4XX I Services and Charges - 7,577 61,550 61,550 61,550 61,550 61,550 0.0% Subtotal Traffic Safety lip: $ - $ 7,577 $ 61,550 $ 61,550 $ 61,550 $ 61,550 $ 61,550 $ 0.0% Total FkWnc6tures: $ 1,955,894 $ 2,028,413 $ 2,074,615 $ 2,509,634 $ 2,509,634 $ 2,268,321 $ 2,312,376 1 $ (241,313) -9.6% 44 CITY OF FEDERAL WAY 2023-24 BUDGET PARKS, RECREATION AND CULTURAL SERVICES John Hutton, Parks Director DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The Parks, Recreation, and Cultural Services Department consists of five divisions: Parks Administration, Parks General Recreation, Federal Way Community Center, Dumas Bay Centre, and Parks Maintenance. The Department's mission is to enrich community life through the provision and stewardship of parks, leisure and cultural experiences. GOALS/OBJECTIVES: • Provide cost-efficient quality recreation and cultural programs to meet the needs of all ages, interests and abilities. • Provide a high quality of maintenance for all park areas and facilities. • Provide a balance of services and programs in parks and facilities for Federal Way's diverse population • Plan and implement ongoing acquisition and development of parks to meet the goals and objectives outlined in the Park Plan updated in 2019. • Promote ongoing public involvement through commissions, volunteers, public outreach and surveys. • Manage and maintain all City buildings and structures. • Promote a culture of teamwork and public service in all parks, recreation, and cultural activities. DEPARTMENT SUMMARY: Code Item 2020 Actual 1 2021 Actual 1 2022 2023 Proposed 2024 Proposed 23 Proposed - 22 Ad' I Adopted I Adjusted I Projected $ Chg % Chg General Fund Operating Expenditure Summary: 310 Administration 395,938 406,609 281,647 841,643 841,643 473,229 481,652 (368,414) -43.8% 33x Maintenance 2,497,587 2,944,293 2,391,575 2,474,401 2,474,401 2,832,440 2,871,652 358,039 14.5% 35x I General Recreation 914,785 1,210,962 1,520,473 1,404,104 1,404,104 1,643,507 1,647,597 239,403 17.1% Subtotal GFOperating Exp.: $ 3,808,310 S 4,561,865 $ 4,193,695 S 4,720,147 S 4,720,147 $ 4,949,176 $ 5,000,901 $ 229,028 4.9% Non -General Fund Operating Expenditure Summary: III I FW Community Center 1,367,316 2,128,650 2,756,334 2,756,334 2,756,334 2,279,893 2,306,857 (476,441) -17.3% Subtotal New Comm Center $ 1,367,316 $ 2,128,650 $ 2,756,334 $ 2,756,334 $ 2,756,334 $ 2,279,893 $ 2,306,857 $ (476,441) -17.3% 114 Prop 1 Fund 111,084 110,719 104,802 104,802 104,802 118,551 121,097 13,749 13.1% Subtotal Prop 1Fund $ 111,084 $ 110,719 $ 104,802 S 104,802 $ 104,802 $ 118,551 $ 121,097 $ 13,749 13.1% 115 PAEC Op erating Fund 1,452,916 1,653,440 2,299,757 2,631,641 2,631,641 2,483,359 2,483,359 (148,282) -5.6% Subtotal 115 PAEC Oper. Fund $ 1,452,916 $ 1,653,440 $ 2,299,757 $ 2,631,641 $ 2,631,641 $ 2,483,359 $ 2,483,359 $ (148,282) -5.6% 189 Parks Reserve - 15,793 15,793 15,793 - (15,793) 100.0% btotal 189 Parks RR Oper. Fund $ $ - $ 15,793 $ 15,793 $ 15,793 $ - $ - $ (15,793) -100.0% 120 Paths & Trails 200,000 - 30,000 30,000 100,000 600,000 70,000 233.3% Subtotal 120 P&T Oper. Fund $ $ 200,000 $ - $ 30,000 $ 30,000 $ 100,000 $ 600,000 $ 70,000 233.3% 303 Parks CIP 217,428 68,735 375,000 595,000 595,000 367,000 767,000 (228,000) -38.3% Subtotal Parks CIP Fund $ 217,428 $ 68,735 $ 375,000 $ 595,000 $ 595,000 $ 367,000 $ 767,000 $ (228,000) -38.3% 402 Dumas Bay Ccntrc 602,682 632,483 930,210 1,000,110 1,000,110 764,097 773,784 (236,014) -23.6% 505 Bldg & Furnishings 555,315 1,185,961 594,127 594,127 594,127 789,772 664,772 195,645 32.9% Enterprise Fund Oper $ 1,157,997 $ 1,818,444 $ 1,524,337 $ 1,594,237 $ 1,594,237 $ 1,553,869 $ 1,438,556 $ (40,369) 2.5% Total Expenditures:Expenditures:1 $ 8,115,052 1 $ 10,541,853 $11,269,719 $12,447,955 $12,447,955 $11,851,848 $12,717,771 $ (596,108) -4.8% 45 CITY OF FEDERAL WAY 2023-24 BUDGET HIGHLIGHTS/CHANGES: The Parks Department's proposed operating budget totals $11.85M and $12.72M in 2023 and 2024 respectively. This is a decrease of $0.60M or 4.8% to the 2023 proposed budget from the 2022 adjusted operating budget. Major line item changes include: • Salaries & Wages/Benefits - Net Increase of $0.25M due to adding 3 Parks Maintenance Workers. • Services and Charges - Decrease of $0.18M due to decreasing services due to elimination one-time grant for Performing Arts & Event Center services. • Capital Outlays - Decrease of $0.73M due to less Parks CIP projects, and 2022 capital projects that are not yet carried forward into 2023. EXPENDITURE SUMMARY: Code Item 2020 Actual 2021 Actual 1 2022 2023 Proposed 2024 Proposed 23 Pro osed - 22 Adj I Adopted I Adjusted Projected $ Ch % Ch Expenditure Summary: 1XX Salaries and Wages 3,300,083 4,025,168 4,340,413 4,524,645 4,524,645 4,844,317 4,911,266 319,673 7.1% 2XX Benefits 1,238,723 1,371,143 1,095,039 1,347,259 1,347,259 1,280,354 1,304,329 (66,905) -5.0% 3XX Supplies 476,332 567,675 745,662 745,662 745,662 745,662 745,662 - 0.0% 4XX Services and Charges 2,711,478 3,537,347 4,001,554 4,493,338 4,493,338 4,318,256 4,193,256 (175,082) -3.9% 5XX Intergovernmental 32,732 92,172 50,105 50,105 50,105 50,105 50,105 - 0.0% 6XX I Capital Outlays 1 215,731 1 41,670 1 875,000 1 1,095,000 1,095,000 1 367,000 767,000 (728,000) -66.5% 9XX Internal Services/Othei 139,972 144,265 146,153 146,153 146,153 146,153 146,153 - 0.0% OXX I Other Financing Use - 762,414 15,793 45,793 45,793 100,000 600,000 54,207 118.4% Total ntlitures: $ 8,115,052 $ 10,541,853 $11,269,719 1 $12,447,955 $129447,955 $ 119851,848 $ 12,717,771 $ (596,108) -4.8% 46 CITY OF FEDERAL WAY 2023-24 BUDGET POLICE Andy J. Hwang, Police Chief DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The Police Department provides city-wide community -based law 16ii enforcement services. The department strives to use innovative methods and advanced technology to enhance its efficiency and effectiveness, to provide safety to the Community. The Police Department works cooperatively with local law enforcement agencies such as the Valley Special Weapons and Tactics Team (SWAT); Valley Independent Investigative Team (VIIT) and police dispatch services through Valley Communications. Through teamwork and dedication, the agency remains committed to its new mission of providing the highest quality law enforcement, community education, and support services possible. GOALS/OBJECTIVES: The Federal Way Police Department strives to: - Provide a safe environment through community involvement, innovation, and education. - Be familiar with and practice current and modern law enforcement techniques and tactics. - Maintain a dedicated, well trained, equipped force function with integrity, accountability, and team work. DEPARTMENT SUMMARY: Code Item 2020 Actual 2021 Actual 1 2022 2023 Proposed 2024 Proposed 23 Proposed - 22 Ad' I Adopted I Adjusted Projected $ Ch % Ch Expenditure Summary: 91 Office of the Chief 375,477 383,038 402,109 146,307 146,307 438,140 438,140 291,833 199.5% 92-97 Support Services 6,996,780 6,776,859 7,939,370 8,070,180 8,070,180 8,657,175 9,078,732 586,995 7.3% 11X IFicid Operations 11,333,850 12,494,210 12,150,923 12,432,516 12,432,516 14,977,766 15,735,709 2,545,250 20.5% Subtotal Fx W/O contract $ 18,706,106 $19,654,107 $ 20,492,402 $ 20,649,002 $ 20,649,002 $ 24,073,081 $ 25,252,581 $ 3,424,078 16.6% 98 Jail Services 2,712,884 - - - - - - - n/a 98 Valley Communications 1 2,719,126 1 2,587,211 1 2,748,692 1 2,748,692 2,748,692 1 3,079,131 1 3,300,000 330,439 12.0% Subtotal Fxp Contract 1 $ 5,432,009 1 $ 2,587,211 1 $ 2,748,692 $ 2,748,692 $ 2,748,692 $ 3,079,131 1 $ 3,300,000 $ 330,439 12.0% Non -General Fund Expenditure Summary: 112 Traffic Safety 1,938,474 2,604,496 2,019,227 2,765,031 2,765,031 2,774,920 3,094,030 9,888 0.4% 114 jProp 1 Fund 2,458,749 2,543,491 2,832,128 2,832,128 2,832,128 2,974,715 3,085,654 142,586 5.0% 122 1 Jail Fund - 2,223,602 3,319,584 1,919,584 1,819,584 2,500,000 2,700,000 680,416 37.4% $ 4,397,222 $ 7,371,589 $ 8,170,940 $ 7,416,744 $ 7,416,744 $ 8,249,635 $ 8,879,684 $ 832,891 11.2% Total ixpenckures : 1 $ 28,535,339 1 $ 29,612,907 1 $ 31,412,033 $ 30,814,438 $ 30,814,438 $ 35,401,846 1 $ 37,432,265 $ 4,587,408 14.9% 47 CITY OF FEDERAL WAY 2023-24 BUDGET HIGHLIGHTS/CHANGES: The Federal Way Police Department's primary objective will be to actively address crimes that impact the quality of life for our residents. The Police Department builds relationships with both private and public sector partners and the community itself, to bring every possible resource to bear. The Police Department will maintain its focus of continuing to identify quality individuals to fill anticipated vacancies. The agency will focus on its formal training programs in an effort to keep up with ever changing trends and legal issues. The department will also focus on continued improvement of service delivery, as it conducts a continual review of policies and procedures, as required by CALEA for National Accreditation. The Police Department's proposed operating budget is $35AM in 2023 and $37AM in 2024. This is a 14.9% or $4.6M increase to the 2023 proposed budget from the 2022 adjusted budget. The table below includes General Fund, Traffic Safety Fund, and Proposition Fund. The Major line item changes include: • Salaries & Wages/Benefits — Net Increase of $3.56M due to adding 13 new Police Officer FTE's, 2 new Records Specialists, and 1 Public Records Officer. • Intergovernmental Services — Increase of $O.98M due to increased Valley Communication Services, and increase jail services. EXPENDITURE SUMMARY: Item 2020 Actual 2021 2022 2023 2024 23 Proposed - 22 Ad' $ Ch % ChCode Expenditure Summary: 1XX Salaries & Wages 16,061,832 17,133,287 18,057,400 18,497,356 18,497,356 20,897,629 21,883,895 2,400,273 13.0% 2XX Benefits 5,307,021 5,459,848 6,151,406 5,913,844 5,913,844 7,073,788 7,448,569 1,159,944 19.6% 3XX Supplies 506,599 1,280,264 336,655 836,259 836,259 941,455 941,455 105,196 12.6% 4XX Services and Charges 1,101,509 1,274,033 1,180,724 1,226,724 1,226,724 1,323,724 1,323,724 97,000 7.9% 5XX Intergovernmental 3,997,761 4,314,941 5,668,992 4,168,992 4,168,992 5,148,393 5,556,436 979,401 23.5% 6XX Capital Outlay 86,353 133,678 - 154,406 154,406 - - (154,406) -100.0% 9XX Internal Services/Other 16,857 16,857 16,857 16,857 16,857 16,857 16,857 0.0% OXX Other Financing Use 1,457,406 - - - - 261,329 n/a Total E nditures : $ 28,535,339 $ 29,612,907 $ 31,412,033 $ 30,814,438 $ 30,814,438 $ 35,401,846 $ 37,432,265 $ 4,587,408 14.9% 48 CITY OF FEDERAL WAY 2023-24 BUDGET PUBLIC WORKS DEPARTMENT EJ WALSH, P.E., PUBLIC WORKS DIRECTOR DEPARTMENT OVERVIEW PURPOSE/DESCRIPTION: The Public Works Department is organized into six divisions. 1 The Administrative Division provides the overall management of , Awl the department. 2 The Development Services Division provides the engineering plan reviews, permitting, and inspections of private development and Right of Way projects. 3 The Traffic - Division provides transportation planning, traffic operations, and neighborhood traffic services. 4 The Engineering Division provides city wide engineering support and the feasibility analysis, engineering design, bidding and construction oversight for all capital projects. 5 The Environmental Services Division manages the Solid Waste/Recycling Utility and Surface Water Utility enforcement, water quality, and education functions. 6 The Operations Division manages street and storm water operations and maintenance and the Fleet Maintenance Division which provides oversight on maintenance of all City non - police vehicles and equipment. DEPARTMENT SUMMARY: Code Item 2020 Actual 2021 Actual 2022 2023 Proposed 2024 Proposed 23 Pro osed - 22 Ad' Ado ted Adjusted Pro'ected $ Chg Ch Street Fund Operating Expenditure Summary: 210 Administration 252,976 251,668 284,931 284,931 284,931 315,218 317,110 30,287 10.6% 220 Development Svcs 381,023 327,354 374,048 374,048 374,048 360,636 371,667 (13,412) -3.6% 230A260 Traffic Services 1,448,294 1,403,518 1,400,364 1,508,213 1,508,213 1,594,424 1,604,039 86,211 5.7% 240 Street Services 500,389 565,021 1,018,600 1,018,600 1,018,600 1,133,276 1,164,183 114,676 11.3% 240 Operation Street Services - Operation 1,478,435 1,651,170 1,490,046 1,653,002 1,653,002 1,769,635 1,809,896 116,633 7.1% Subtotal STOperating Fxp.: $ 4,061,117 $ 4,198,731 $ 4,567,989 $ 4,838,794 $ 4,838,794 $ 5,173,188 $ 5,266,894 $ 334,394 6.9 % Non-StreetFund Operating Expenditure Summary: 102 Arterial Street Overlay 1,910,468 2,332,950 3,051,111 2,077,917 2,077,917 1,563,000 1,563,000 (514,917) -24.8% 106 Solid Waste & Recycling 580,419 562,166 545,844 681,624 681,624 641,647 654,343 (39,976) -5.9% 112 Traffic Safety Fund 583,233 729,829 694,741 703,141 703,141 950,265 966,839 247,124 35.1% 116 Solid Waste 10%Utility Tax - 994,212 - 3,418,862 3,418,862 2,200,000 2,300,000 (1,218,862) -35.7% 306 Transportation CIP 6,746,549 7,131,617 7,773,566 26,274,109 26,274,109 19,822,000 38,455,000 (6,452,109) -24.6% 304 Surface Wtr Mgmt CIP 467,283 330,676 1,767,000 4,330,080 4,330,080 3,359,608 1,805,273 (970,472) -22.4% 401 Surface Wtr Mgmt 3,193,455 5,454,458 4,652,652 4,927,652 4,927,652 4,480,333 6,089,726 (447,319) -9.1% 401 Operation Surface Wtr Mgmt - Operation 1,213,663 1,283,513 1,463,377 1,463,377 1,463,377 1,970,275 2,014,574 506,898 34.6% 504 Fleet & Equipment 2,668,595 3,453,012 1,919,901 3,911,401 3,911,401 3,256,067 1,711,734 (655,334) -16.8% Subtotal Non-ST Oper. Fxp.: $17,363,665 $ 22,272,433 S 21,868,192 $ 47,788,163 $ 47,788,163 S 38,243,196 $ 55,560,488 $ (9,544,967) -20.0% Total Expenditures: $ 21,424,781 $ 26,471,164 $ 26,436,182 $ 52,626,958 $ 52,626,958 $ 43,416,384 $ 60,827,382 $ (9,210,573) -17.5% 49 CITY OF FEDERAL WAY 2023-24 BUDGET HIGHLIGHTS/CHANGES: The Public Works proposed operating budget totals $43.42M in 2023 and $60.83M in 2024. This is a 17.5% or $9.21 M decrease to the 2023 proposed budget from the 2022 adjusted budget. Major line item changes include: • Services and Charges — Net decrease of $2.60M due to decreased 304 SWM capital expenditures and 306 Transportation capital expenditures categorized under services and charges instead of capital outlay. • Capital Outlays — Net decrease of $7.08M due to capital projects in 2022 for SWM, transportation, and overlay projects that are not yet carried forward into 2023. EXPENDITURE SUMMARY: Code Item 2020 ctual 2021 Actual 2022 2023 Proposed 2024 Pro osed 23 Poposed - 22 Adj Ado tea I Adjusted Projected $ Chia % Ch Expenditure Summary: 1XX Salaries and Wages 4,727,496 5,176,676 6,574,878 6,745,794 6,745,794 6,689,709 6,816,423 (56,085) -0.8% 2XX Benefits 1,746,596 1,811,492 1,810,553 1,813,301 1,813,301 2,213,068 2,283,676 399,768 22.0% 3XX Supplies 851,581 1,152,755 800,758 972,134 972,134 979,618 976,269 7,484 0.8% 4XX Services and Charges 4,507,351 4,960,741 3,068,584 1 4,852,744 4,852,744 2,254,673 2,254,673 (2,598,071) -53.5% 5XX Intergovernmental 1,357,404 1,268,990 1,021,592 1,011,736 1,011,736 1,075,836 1,075,836 64,100 6.3% 6XX Capital Outlay 6,716,095 7,956,603 10,312,715 33,878,080 33,878,080 26,796,066 43,177,173 (7,082,014) -20.9% 8XX Debt Service -Interest - - 1,922 1,922 1,922 1,922 1,922 - 0.0% 9XX InternalServices/Other 896,772 1 1,098,313 835,180 843,580 843,580 835,180 835,180 (8,400) -1.0% OXX Other Financing Uses 621,487 3,045,594 2,010,000 1 2,507,667 2,507,667 2,570,312 3,406,230 62,645 1 2.5% Total Expenditures: $ 21,424,781 $ 26,471,164 $ 26,436,182 $ 52,626,958 $ 52,626,958 $ 43,416,384 $ 60,827,382 1 $ (9,210,573) -17.5% 50 CITY OF FEDERAL WAY 2023-24 BUDGET Debt e gem III Yri�is y lei 10 1 ALI — 47C 4 CITY OF FEDERAL WAY 2023-24 BUDGET LONG-TERM DEBT Legal Debt Limit. Under RCW 39.36.020(2), the public may vote to approve bond issues for general government in an amount not to exceed 2.5% of the value of all taxable property within the City. Within the 2.5% limit, the City Council may approve bond issues not to exceed 1.5% of the City's assessed valuation. This can be used for any municipal purpose. The voter -approved capacity is generally referred to as unlimited tax general obligation debt, which requires 60% voter approval and the election must have a voter turnout of at least 40% of those who voted in the last State general election. With this vote, the voters approve additional property tax levied above and beyond the constitutional and statutory caps on property tax. In addition to general purpose debt capacity, RCW 39.36.030(4) also allows voters to approve park facilities and utility bond issues, each limited to 2.5% of the City's assessed valuation. Therefore, the City can issue up to a total of 7.5% of the City's assessed valuation in bonds for $1.04 billion. In the table below debt capacity is reflected for the City of Federal Way at December 31, 2021. COMPUTATION OF LMITATION OF INDEBTEDNESS December 31, 2021 General Debt Capacity Excess Levy Excess Levy (Limited) (Unlimited) Open Space Utility Total Debt DESCRIPTION Councilmanic Excess Levy and Park Purposes Capacity Statutory debt limit: I I I I I I (2021 TAV=$14,210,298,330 (A) I I 11.50% A V 100% $ 213,154,475 ' $ (213,154,475)I $ $ I $ --------t----------- 12.50% AV a100% --------------------- - 355,257,458 -------------------------------------- 1 355,257,458 t--- --------------- 355,257,458 -------------------t--------------------- 1 1,065,772,375 Add: - ------t ICash reserved for -------------------------------------------------- Idebt redemption (B) t---------- ---------------------t------------------ 3,192,943 , -1 ----------t------------------ I - -------------------t--------------------- - -------------------t--------------------- I I 3,192,943 Less: !Bonds and COPS outstanding (29,686,656), - I - - I (29,686,656) Remaining Debt Capacity $ 186,660,762 $ 142,102,983 $ 355,257,458 $ 355,257,458 $ 1,039,278,661 Existing Debt Funding. In the table below is the City's general obligation debts outstanding at December 31, 2021. Real Estate Excise Tax and Utility Tax are the two primary sources to meet the City's general obligation debt services. The City has the ability to service its debt, and the City does not issue new debt until an additional source of revenue is identified. SUMMARY OF OUTSTANDING LOANS/BONDS Date of Final Interest Amount Bond Rating 12/31/21 Principal Payment Description I Purpose Issue Maturity , Rates (%) I Issued I Ca, issuance Balance 2023 I 2024 R.O. Bonds (Community Center 2013 12/01/13 12/1/2033 2.67 12,415,000 1 Aa3 8,300,000 600,000 1 620,000 ----------- ---------------------- ----------=------------'-----------t-------------t------------- ------------- --------------t------------ G.O. Bonds SCORE 12/11/19 12/1/2038 2.75-5.00 10,945,000 Aa2 10,175,000 430,000 1 450,000 ---i---------------------- G.O. Bonds PAEC ----r-------------T------------- 12/11/19 12/1/2029 - 1.95-2.65 1 4,840,000 1 Aa2 -- 3,960,000 ---T------------ 465,000 1 475,000 ------ HUD Loan ------------ Section 108 HUD Loan ----------------------•--------- 03/28/19 - 8/1/2035 - 2.54-3.49 11 2,712,000 1 na 2,235,000 159,000 ------------ 1 159,000 1 $ 30,912,000 1 $ 24,670,000 $ 1,654,000 $ L704,000 52 CITY OF FEDERAL WAY 2023-24 BUDGET Lona-term Debt The various components of the city's long-term debt liabilities reflected on the City's financial statements are as follows. General obligation bonds are backed by the City's full faith and credit. Proceeds are typically used for the acquisition or construction of major capital UIV of Fudura1 wdy -Debt Samirw,w - AN F unds facilities or equipment. "Councilmanic Bonds" are ,.GNLOM general obligation bonds issued by City Council SjaDKOW without voter approval. For the two years contemplated in the 2023-24 budget, the City has no "s 10016m voter -approved bonds outstanding or contemplated. s1DA1K — All principal and interest payments on general obligation debts are budgeted in the City's Debt Service Fund. Construction of Federal Way Community Center. In 2013, the City issued $12,415,000 of general obligation refunding bonds with an average interest 201a �du:ne Ltd/cornmuNty Centre rate of 2.67 percent to provide resources to refinance 5axo.ow 2003 GO Federal Way Community Center debt. The s7•o n-wo remaining balance at December 31, 2022 is '6-fo °`' $7,725,000 and will be repaid through 2033.,, Sl�O'YJ 1 SCORE Jail Services contract. The City, in conjunction with the Valley Communications joint venture comprised of several other South King County cities 2019ALMO0ondISCORE) (Auburn, Burien, Renton, SeaTac, Tukwila), built a shared incarceration facility. The total bond in 2009 j'_3.M4L-w was $86.3 million and the City of Federal Way's 5:1,mom portion at that time was $15.5 million. The City Council9 subsequently withdrew from the SCORE (South�� Correctional Entity) interlocal agreement in 2018. In 51•aaa�aoo �n 2019 the City Council authorized bonding for the City ,,tea I I IF]!' -=, portion of the SCORE debt. In 2019, the City issued $10,945,000 of limited tax general obligation bond with interest rates ranging from 2.75 percent to 5.00 percent to refinance the balance on the 2009 SCORE Bond of $12,891,600. The remaining balance at December 31, 2022 is $9,765,000 and will be repaid through 2038. 53 CITY OF FEDERAL WAY 2023-24 BUDGET Performing Arts Center — General Obligation Debt tax general obligation bond with interest rates ranging from 1.95 to 2.65 percent, and a maturity due date of December 1, 2029. Proceeds were used to pay for a portion of the Performing Arts and Events Center and to pay costs of issuing 2019B Bonds. The remaining balance at December 31, 2022 is $3,500,000 and will be repaid through 2029. - In 2019, the City issued $4,840,000 of limited 201,38 LTGo Tam Bond [PAEC) 54?Ufyj.Mn S9,U�}IF,ODG 52 $7,SffIF,{7116 MOW 53,SQ1PW 5t ;s5fwaw 5D 1 Performing Arts Center — HUD Debt. In 2016 the City entered into a Contract Loan Guarantee with Housing Urban Development for development of the 2019-d Section 106 HUD M Federal Way Performing Arts and Events Center. This��,� Section 108 Loan is authorized up to $3,030,000 with, advances of $3,030,000 with a variable rate that�,�, converted to a fixed rate in 2019. The remaining balance at December 31, 2022 is $2,076,000 and will be repaid through 2035. ��,,�„ ��,�■_ s� Interfund Debt. In 2017, the City issued $6,000,000 of limited tax general obligation bond to refinance the 2014 Key Bank Bond Anticipation Note used to City of Federal Waw - InterFund Deb[ purchase the old Target building property. AW09, mandatory balloon payment of $5,016,656 due $WC.W, November 2022 was authorized by City Council in August 2022 to be refinanced using a three-year,¢, interest -only interfund loan from restricted but�,,,s, available balances on deposit in the city's Fleet &1,a,, Equipment, Downtown Redevelopment and Transportation Capital funds. �yo Potential New Debt. The City is currently conducting feasibility and site evaluation studies for the construction of a maintenance and operations facility for Public Works, Surface Water Maintenance and Parks vehicles, materials and staff. Construction of this facility will have to be financed over multiple years. While even estimated figures are unavailable at this time, this budget contemplates the reality of potential new debt service commencing in 2024 coming from both fund balances and on -going revenues in the Real Estate Excise Tax and Surface Water Maintenance funds. Offsetting bond proceeds and construction spending of $32 million are budgeted in 2024 in the Transportation CIP. Financing itself will need to come to city council and may be amended as further details become known so that further phased design, planning, demolition, construction and other steps can proceed methodically and debt service is within forecasted resources. 54 CITY OF FEDERAL WAY 2023-24 BUDGET Capital Expenditures Budgets e r ii;A A i 7 - i � kls�a '+rii{i rlsts� ■;7:Sc4 VAL st}rr 1 ilhrr 55 CITY OF FEDERAL WAY 2023-24 BUDGET SUMMARY OF CAPITAL I. Overview The Capital Investment Plan (CIP) presents current and planned public improvements that are scheduled within the six - year planning horizon in the City's perpetual infrastructure maintenance and replacement program. Project costs are appropriated up to and include 2024. Project costs and the allocation of future resources beyond the current 2023-2024 biennium are proposed as an integral part of the plan and will be reviewed and updated during each subsequent biennium. CIP Programs The Federal Way CIP projects are organized into three program areas: Parks System; Surface Water Management System; and Transportation System. Definition The City defines a CIP Project to be any project that possesses all of the following characteristics: • Exceeds an estimated cost of $25,000; and • Involves new physical construction, reconstruction, replacement of an existing system or acquisition of land or structures; and • Is funded by the City, in whole or in part, or involves no City funds but is the City's responsibility for implementation, such as a 100% grant -funded project. The project budget is an estimate of the resources required to take a project from beginning to completion. The continuation of fully funded projects while affects the work load, are not repeated in the Plan document. III. 2023/24 FUNDING RECOMMENDATION The Proposed Capital Funding Plan totals $70.62 million in 2023/24. a. Implement $1.13M in Parks improvements by using REET and paths and trails levy funding to fund Park CIP projects for 2023/24. b. Implement $4.76M in Surface Water Management improvements by using $3.81VI in user fees from prior years combined with $1.01VI in grants in 2023. c. Implement $64.73M in Transportation improvements & Arterial Street Overlay by providing funding in 2023/24 including $32.0 million in bonds; $10.8 million in grants, $7.9 million in REET, $4.5 million in utility tax, $3.6 million in Sound Transit fees, $3.3 million in mitigation/traffic impact funds, $1.7 million in surface water management fees, , and $0.3 million in LIFT sales tax. 56 CITY OF FEDERAL WAY 2023-24 BUDGET 6 YEAR CAPITAL IMPROVEMENT PLAN PARKS CIP (dollars in thousands) Total Project costs $5.6 Million ■ Redevelopment ■ Neighborhood Parks Total funding sources $2.7 Million ■ REET ■ Paths & Trails Levy IrT-D Thru Pro sed Planned --- Funding Sources By Year 2022 2023 2024 2025 2026 2027 2028 Total Real Estate Excise Tax $ 500 $ 267 1 $ 267 $ 267 I $ 267 , $ 267 $ 267 $ 2,102 Paths & Trails Lev - 100 1 00 -�� 600 Subtotal Ci Sources $ 500 $ 367 1 $ 767 $ 267 $ 267 $ 267 $ 267 $ 2,702 Project By Year: Proj. # Project Name L-T-D Thru 2022 2 024 2025 I I 2026 2027 2028 Total Unfunded 1 1 129 132 Major Maint & hnpr - Existing Park Fac Annual Playground Re & Re 1 Pro ________ 100 400 105 162 105 162 105 -----F----- 162 1 105 105 105 ------- I 162 162 162 730 -- 1,372 ---------- 1 150 Korean Garden - 100 - - - - - 100 1 151 Asphalt Trail Repair 500 ---- ---------- 500 1 152 ---- Steel Lake Dock Replacement - --- 1,500 -- ---------- ---- 1,500 1,500 2 153 SacajaweaTrack Replacement 200 200 200 ----- 2 154 -------- Tennis Court Renovations 500 - ------ - 500 --- 500 2 155 Sacajawea Turf Replacement 700 700 700 Total Project Costs 367 $ 767 $ 3,167 $ 267 $ 267 $ 267 $ 5,602 $ 2,900 Infunded.- - $ $ 2,900 S - $ - S - $ 2,900 $ - Project Impact on M&O Costs $ $ S S - $ - $ $ $ $ - Priority 1 = Projects addressing Safety and Service Priority 2= Projects addressing Park Plan Core Values Priority 3 = Long Range Planning Projects 57 CITY OF FEDERAL WAY 2023-24 BUDGET SWM CIP (dollars in thousands) Total Project Costs 34.8 million Total Funding Sources $20.1 Million ■ Small CIP ■ Other ■ User Fees/Prior Year Funding ■ Grants Sources and Uses I-T-D thru 2022 Proposed -- 2023 i 2024 I Planned 1 : 1 2025 2026 i 2027 i 2028 Total Unfunde User Fee(may-as ou o�/Prior year Funding Bond Proceeds 11 4,499 $ 3,016 I $ 1,497 I $ 917 $ 917 I $ 917 I $ 917 $ 12,680 $ Grants/Contributions Received 1,000 - - 1,000 Grants/Contributions Anticipated - 2,500 3,900 6,400 Misc./Transfers - - - - Total CIP Resources $ 4,499 $ 4,016 I $ 1,497 I $ 3,417 $ 917 1 $ 917 I $ 4,817 $ 20,080 $ No. Pro'ectName I I I Small CIP -- Annual Pro ram $ 600 $ 150 $ 150 $ 150 �1,150 $ 1501$ 150 $ 150 $ 1,500 $ Y r 271 - --- ertW. Hylebos Conservation Propy Acquisition 2,280 1,150 150 150 ---- 1 150 -- --- 150 ---- 5,180 272 South 356th Street Culvert Replacement 60 94 225 1,021 - - 1,400 521 274 South 349th Street Weir Repair - - - - 258 632 890 890 278 West H lebos Educational Center and Trail 110 1,590 1,700 1,700 281 West H lebosTrail (Spring Valle 220 7,580 7,800 3,900 286 2018 Storm Drain CCTVIns ection and Assessmer 600 100 100 100 100 100 100 1,200 - 288 Ifte Rehabilitation Project 884 317 317 317 317 317 317 2,786 - 292 Cold Creek Culvert Replacement 550 50 80 1,150 960 150 860 3,800 21120 293 'Redondo Creek Culvert Replacement at 16th Ave 250 850 - - - - 1,100 - 294 , Citywide Water Quality Monitoring - 100 100 100 100 100 100 600 295 Annual CB Re air 225 75 75 75 75 75 75 675 296 Neighborhood Drainage Program 50 25 25 25 25 25 25 200 m 33rd PIS Drainage lEprovernents - - - - - - 340 340 340 xvc Hidden Pond Feasibility - - 60 - 60 60 xs<c- S 324th St and SR-99 Draian a m roveents 75 275 - 350 - ------ Pipe Ljpsizina at SW Campus Drive, West of9th A -- 30 - ----- 30 - _xvc xxac 'North Fork West H lebos Watershed Trail 500 4,7001 5,200 5,200 xlac SWM Contribution to PW O&M Shop - - I I - - Total Pro ects $ 5,499 $ 3,016 $ 1,497 $ 4,588 $ 6,637 1 $ 1,655 $ 11,919 $ 34,811 $ 14,731 Unfunded Needs $ - $ - $ - $ 1,171 $ 5,720 $ 738 $ 7,102 $ 14,731 $ - Project Impact on M&O Costs $ 10 $ 10 $ 10 $ 10 $ 15 $ 10 $ 10 $ 75 $ - CITY OF FEDERAL WAY 2023-24 BUDGET Transportation CIP Total Project Costs $304.1 Million J 50% ■ Capacity Traffic Flow/Safety ■ Overlay (dollars in thousands) Total Funding Sources $176.5 Million User Fee Misc&Transfers, tW REET Mitigation/TIF 5% `u I -es tax 1% Uti I ityTax 0% ceds Financing Sources LrT-D thru 2022 Proposed 2023 2024 Planned 2025 2026 2027 2028 Total User Fee $ 1,465 $ - $ - $ - $ - $ - $ - $ 1,465 Real Estate Excise Tax 10,013 4,570 1,423 2,373 2,663 2,583 1,163 24,788 Fuel Tax 1,789 811 805 1,055 1,370 2,320 820 8,970 Utah Tax 598 598 Bond Proceeds 32,000 32,000 _ L2PI' Sales Tax _ 900 205 100 1 100 100 100 100 1,605 SWM Transfer 550 350 1450 50 50 5o 50 2550 Misc./Transfers- Utilit Tax 1,402 1,402 Misc./Transfers - Sound Transit 300 300 Misc./Transfers - 102 Overlay45 776 821 Misc./Transfers - Solid Waste UtilityTax 2,200 2,300 2,360 2,360 2,360 2,360 13,940 Misc./Transfers - Xfr 120 Paths and Trails 370 100 470 _ Misc./Transfers - General Fund _ 403 _ 403 Misc./Transfers - Iakehaven 536 536 Misc./Transfers - Verizon 229 30 30 30 30 349 Misc./Transfers - Real Estate Excise Tax 2,133 2,133 Misc./Transfers -Mitigation/Traffic Inolmect Fee 484 180 664 Grants/Contributions Received 29,327 9,195 2,718 1,900 43,140 Mitigation Sound Transit 126 2,474 2,600 Mitigation/Traffic act Funds Received 1,178 2,156 937 906 5,177 Anticipated 19,991 _ - 11,500 31,491 M./Contributions non/Traffic Trapact Fees -Anticipated "10'1,100 Total CIP Resources $ 51,948 $ 22947 $ 41863 $ 29 5 $ 18,073 $ 7,413 $ 4493 $ 176,502 Project By Year: Project Nance OEM 4T-D thto 2022 � 2023 2024 2025 I 1 2026 2027 I I 2028 Total Unfunded 102 1 Annual Asphalt Overlay Program 1,563 1,563 1,563 1,563 1,563 1,563 9,378 116 Overly -Residential 2,200 2,300 2,360 2,360 2,360 2,360 13,940 131 S 320th St @ tat Ave South 150 303 4,409 3,000 7,862 165 SR99HOVL-es PHV 30,376 100 100 30,576 168 SW 336th Wa/SW 340th Street: 26th Place SW -Ho Road 310 7688 7998 7688 177 S320th Street at 1-5 Bridge Widenin 20000 10000 35336 35336 100672 100672 178 Cit wlde Pedestrian Crossing Irovements 1551 - - 160 320 320 320 2,671 - 202 Ada tive Traffic Control S stem_Prjeet Phase I - 20 - - - - - 20 - 204 SR509: SW 312th St-21stAve SW SRTS Project Z746 60 2,806 - 205 207 S 312th St Steel Ialv; Park-28th Ave SSPedestrian and Bicycle Safe Project _____iron___ _______-__-_ Cat Center Access Phase I - Environmental ro update toss m_ - 3,922 _ - 500 1,100 300 2,335 __ - - _______-___ - - ____________ - - - 3,435 4,722 1,235 - -208 213 Street Light I3a Conversion - Variable Lane Use Control j i n 1,970 866 100 11 100 100 too 877 216 Adaptive Traffic Controls stemProject Phase M - 5 - - - _ - - 5 217 47th Ave SW and SW Dash Point Road Co act Roundabout 1,543 10 1,553 219 loth Ave Trail - S 308th Street to S 288th Street 1,000 3,235 635 3,815 8,685 0 Sound Transit 3,730 897 1 198 4,815 223 S 314th St Iniprovenent 100 218 1,050 2,920 4,288 224 SR99 P S 373rd St Roundabout w/Median Control 200 200 540 4,100 5,040 225 21st Ave S 320th St Traffic Signal 200 1,520 1,720 228 Citywide ADA Retrofit 400 250 250 550 550 400 400 2,800 900 229 S 356th St. -1st Ave S - SR 99 500 600 300 10,500 9,500 21,400 230 SR 509 @ 4th Ave. S Co act Roundabout 1,000 1,000 1,000 231 Federal Transit Center 1,000 1,000 1,000 232 SW 344th St. 27th Ave SW ConpactRourodabout 150 920 1,070 233 Adaptive Traffice Signal Control System- City Center Stage 2-Detection Upgrade 75 700 775 234 Citywide Pedestrian Safety System huproveanents, 300 1,436 1,736 235 Cif e RRFB Upgrades 140 690 830 236 Military Rd S: S 320th St - SR 18 Preservation Project 45 1,205 1,250 237 SW King County Regional Trail Plan 50 125 125 300 238 S 288th St - Pac Hwy S. to 34th Ave S Bike & Ped ro-ts 240 1,650 1,910 3,800 239 FiberOpticNetwork Loop -317thto S272nd 126 2,474 2,600 240 SW 340th St - 31st Ave SW - 37th Ave SW 1,805 515 4,400 1,725 8,445 8,445 241 S 348th preservation 90 1026 1,116 610 Joint eeations&Maintenance Facih1X_ 500 2000 32000 - - W - - W 34500 - XXX S 320th St at 21st Ave S Cade Separation 25 200 75 300 Local lPro ram 900 300 300 300 1,800 1,800 __222L _xxx cay_cepter aeenway -- 100 XXX High Friction Surface Treatments 10 3,825 3,835 2,937 - XXX XXX Ctywide Street Vegetation Mana ement Adaptive Traffic Controls atemPhaseN 1st Ave S) - - - 89 450 661 I50 _ 150 150 900 750 900 661 Total Projects Unfunded Needs Project Impact on M&O Costs $ 51,015 $ 120 $ 23,385 1 $ 53 $ 42,118 1 $ 80 $ 68,311 $ 38,526 1 $ 88 $ 29.408 $ 11,115 S 106 $ 41,749 $ 40,336 1 S 99 1 $ 42,I54 $ 37,661 1 $ 107 $ 31,11 $ 127,638 1 S 653 $ 127,638 S 653 59 CITY OF FEDERAL WAY 2023-24 BUDGET Appendices -a n e y`,i *� CITY OF FEDERAL WAY 2023-24 BUDGET CITY OF FEDERAL WAY ORGANIZATION CHART AND OPERATIONS SUMMARY Municipal Court Misdemeanors & Gross Misdemeanors Traffic & Non -traffic Infractions Probation Services Civil Impounds Code Compliance 21 Actual/22 Projected FIE- 16.00/16.00 23/24 Proposed FIE- 16.00/16.00 Community Development * Land Use Management --Permit process * Building Permits & Inspection * Code Compliance * Health & Human Services * Comm. Dev. Block Grin * Neighborhood Development * Passport Services 21 Actual/22 Projected FIE- 26.88/28.80 23/24 Proposed FIE- 28.80/28.80 Economic Development Business Recruitment 21 Actual/22 Projected FIE- 2.00/2.00 23/24 ProposedFIE- 2.00/2.00 CITIZENS OF FEDERAL WAY MAYOR'S OFFICE * City-wide Operations and Budget Administration * Regional Affairs Coordination * Emergency Management *Human Resources *City Clerk 21 Actual/22 Projected FIE- 12.84/12.34 23/24 Proposed FIE- 14.84/14.84 Finance * Accounts Payable * Accounts Receivable * Audit Preparation and Coordination * Banking and Investments * Budget Process and Reporting * Business License * Financial Planning andAnalysis * Financial Reporting * General Accounting * Internal Controls * Payroll * Purchasing 21 Actual/22 Projected F1E- 10.00/9.00 23/24 Proposed FIE- 9.00/9.00 Law * Civil Legal Services and Litigation * Legislative Support * Prosecution * Provide Legal Counsel * Draft Contracts and Ordinances * Negotiate Contracts and Real Estate Transactions * Risk Management 21 Actual/22 Projected FIE- 13.50/13.50 23/24 Proposed FIE- 13.50/13.50 Crime Analysis/Prevention Traffic Safety Educ. & Enfrc. Investigation Patrol Community Safety and Education Programs Field Operation Support Services Animal Control Services Civilian Operation City Council * Represents the People of FW * Adopt Ordinances and Resolutions * Grant Franchises * Levy Taxes and Appropriate Funds * Establish Policies & Guidelines 21 Actual/22 Projected FIE- 4.20/4.20 23/24 Proposed FIE- 4.20/4.20 Public Works * Development Services --Permitting --Inspection * Maint., Operating, & Development of --Public Right -of -Way --Traffic Systems --Surface Water Mgmt. * Solid Waste/Recycling * Fleet Management l Actual/22 Projected FIE- 186.00/186.00 21 Actual/22 Projected FIE- 65.00/65.00 3/24 Proposed FIE- 186.00/186.00 1 23/24 Proposed FIE- 70.00/70.00 Parks, Recreation & Cultural Services * Recr & Athletic Progs * Park maint/operation & Development * Comm Events & Arts * Public Facility Mgt & Development * Open Space Mgmt * Performing Arts and Event Center 21 Actual/22 Projected FIE- 39.96/39.26 23/24 Proposed FIE- 41.26/41.26 Information Technology * Technology Operations -- Customer Support -- Infrastructure Support -- Data and System Security -- Communications -- Technology Refresh * Business Application and Integrations * Geographic Information System Mapping * Audio/Video & Channel 21 * Web/Internet * Safe City 21 Actual/22 Projected FIE- 10.00/10.00 23/24 Proposed FIE- 10.00/10.00 61 CITY OF FEDERAL WAY 2023-24 BUDGET Puget Sound Fsu CITY MAP � .: A1,131ith 7t fir# Qos Moines, s�??nl Y+}i 1 Ab xasrvl at,' FederalOM �Iklkllf Lr,ke '11Ph Si 5W d2Gt11 5, �kF ' 554V �51h r.4 3':.(�I• rII _[ - T MOW Zi 3YI034vI ,,„�, r'7 �I' �ZCOI�e� I r+l 4 •� us SW 344!dl 51 e � Vl ` #i1f, }IorII S1II *. w K ' I444gr el s 3,f'"At,' 1 IJI Milton fe Tent e�lr r � 5 64t Lalre'�. A R6 s Emma' 7 soh tiI oo+lhrlaka i � 3r16v1 fslr Q � I y a: O�—It I ' 6 2na si'I �t _ VWM BL LAk4 'II i SI' 167a Key io Facilliles: Llty Faaluuas ivtty Parks O Flahats P42h,9 Park Panlhet Lnk-9 Park 4 Brooklake Commuonlly Conker 0 Adelaide Pork $ Frehth Lake Park Saoafawea PmHr a Cily Nall ID Alderbrook Park 40 H0FR0g0 Woods Park ID Saghalie Park Q dum0¢ Ray ir,en7rp ID Adclardala Park ig Hyleho# Blueberry Farm 1b Stool Lake Park O Frderal Way Communlly Center & BPA Trall ID Lake Grove Park ID SW 2121h SPartn Courts Q S14pg1 LoKe Arinpx (D Coder Grpwe Park 49 Lakb Kik�arnisy Park 0 Town ,"square Park Cvle6relian Pork ilb Lakota Pork 0 Wodgwood Paik Corono4o Park lb Laurnlwoor, Park 0 Wnmt Campuc Troll W 1}a11ah P'Plnl Highlands Park Q Madrn„o Park CD West Hylahos Wmilends Park & Pum0s Roy COFJITM Pork 0 Mlrrcr Lake Park lb Wlldwood Park CD Durnpi RPk $ancluary Pork 0 Olyrnpm Vigw Prrrk IS Mnrp Park It English Gardons Park It Palmndas Park The City is located in southwestern King County, 25 miles south of downtown Seattle, 8 miles north of downtown Tacoma, and has 8 miles of Puget Sound waterfront. Federal Way has easy access to Sea-Tac International Airport (12 miles) and the Ports of Seattle and Tacoma, connected to primary transportation routes at three exits along Interstate 5, as well as access points to State Highways 18, 509, 161 and Pacific Highway/State Route 99. 62 CITY OF FEDERAL WAY 2023-24 BUDGET BUDGET PROCESS Procedures for Adopting the Original Budget - The City's budget process and the time limits under which the biennial budget must be prepared are defined by the Revised Code of Washington (RCW) 35A.34. These elements, with which the City continues to comply, resulted in the following general work plan and calendar for 2022: During 2022 Jan I Feb I Mar I Apr May Jun Jul I Aug Sep Oct Nov Dec Revenue forecasting Jan. 1 Finance ----------------- ---------- - - ---- ----- Internal Dept Reviews Quarterly All Depts ---------------------------------------------------------- Council Financial Reports Monthly Finance ----------------------------------------------------------- Strategic Planning Feb. 26 City Council , ----------------------------------------------------------------------- 2021 roll-fwd appropriation Apr_6 Finance ---- Senior Staff Budget Kickoff Jul. 1 Finance ------L I ----- I - - ----- ------ ------r----- ----- I I ----- ----- ----- ----- ----- ----- ------r------------------------------ --- - I I ----- 2022 MidYear Report Jul. 20 Finance 2022 Course Corrections Jul. 20 Finance ----------------------------------------------------------------------- Dept HR/PR Staffing Review Jul. -Aug All Depts - - ------------- Policy/Project identification Aug -Oct All Depts ------ I ----- I ----- -- ------------ ----- - ----- ----- ----- - ----- ---- ----------I T I i ----- ----- Revenue forecast final Aug_ 1 Finance Mayor's Budget Sep_ 1 All Depts -- - -- --- County Assessed Value Sep. 25 Co. Assessor; - - --- ---- -- -------- --- ----- Set dates for Nov. Hearings Oct. 5 Finance ---------------------------------------------------------------------- City -Council----Study--Sessions-----Oct. -5,7,12,-14--All Hands - ------------------------------------------- Ad Valorem Rate Hearing Nov. 1 Finance ------F-----F----- - I I I I I I - --I -----I - I I I ----- -- ----- --- ----- - ---- ----- - I I I --------L ----- ----- ----------- Budget Hearings --------------- Nov.1,15-----Finance----- -----------�-----t---- Budget --- - adoption Dec. Finance I--- - ------------------ ---------- - -------------------L ---- ------I---- ------------------- Key Deadlines Key Council Meeting Dates: 9/2S/21 9/30/21 9/20/22 9/26/22 9/29/22 10/4/22 10/18/22 10/18/22 11/1/22 11/1/22 11/15/22 Property tax valuations from County, preliminary proposed tax rate Preliminary Budget filed with City Clerk, post on City website Presentations to City Council Study Session Presentations to City Council Study Session Presentations to City Council Study Session Presentations to City Council Study Session Public Hearing and Ordinances on Ad Valorem Tax Rate 1st Budget Public Hearing 2nd Budget Public hearing Council passes Budget Ordinances adopting Budget and tax rate Budget adoption, and last month of actuals for audit prep Mid -Biennium Review and Modification - The biennial budget statute referenced above requires jurisdictions electing a biennium budget to perform a mid -biennium review and modification of the adopted budget per RCW 35.34.130. The review and modification shall occur no sooner than eight months after the start nor later than conclusion of the first year of the fiscal biennium. Amending the Budget — As described in the Budget Ordinance, the City Council may increase or decrease the appropriation for a particular fund by ordinance approved by a simple majority. The Mayor is authorized to transfer budgeted amounts between departments within any fund. The Department Directors are authorized to transfer budgeted amounts between accounts within a department. 63 CITY OF FEDERAL WAY 2023-24 BUDGET BUDGET POLICIES OPERATING BUDGET A. OVERALL The budget is a performance, financing and spending plan incorporating recommendations from Department Directors, proposed by the Mayor, and approved by City Council. It contains information and data regarding expected revenues, expected expenditures and expected performance. The Finance Department prepares and annually refines written policies and goals to guide the preparation of performance, financing and spending plans for the budget. Adopted budgets will comply with the Council -adopted budget policies and priorities. A comprehensive business plan, the budget should provide the following critical elements: public policies, financial plan, operations guide, and communications device. 4. The City's budget presentation should display the City's service delivery/performance plan in a Council/constituent-friendly format and will use a program -budgeting format to convey the policies for and purposes of City operations. The Finance Department will make available the line -item format materials on request. Decision making for capital improvements will be coordinated with the operating budget to prioritize the City's limited resources for operating and maintaining facilities in conjunction with annual service delivery. Under the Mayor's direction, Department Directors have primary responsibility for: a) formulating budget proposals in line with Mayor and City Council priority direction, and b) implementing those proposals once they are approved. B. FISCAL INTEGRITY 1. The City will maintain the fiscal integrity of its operating, debt service, and capital improvement budgets which provide services and maintain certain public facilities, streets and utilities. It is the City Council's intent to maximize the level of public goods and services while minimizing the level of debt. 2. The City Council will adopt a balanced budget for all funds. Balanced budget for operating funds means ongoing operating program costs do not exceed the amount of ongoing revenues to finance those costs. The ongoing revenue will be identified along with new program costs including impact from new capital projects. Any available carryover balance will only be used to offset one-time or non -recurring costs. Balanced budget for non - operating funds means total resources equal to or exceed total uses. 3. Fund balances in excess of the amount required to maintain reserve policy will be used to fund one-time or non -recurring costs. 4. Infrastructure funded by restricted revenues shall be only for the projects or purpose for which they were intended. C. FUND RESERVES The City shall maintain an operating cash flow reserve of $9 million or 17 % of operating expenditures in the General Fund. The purpose of operating cash flow reserve is to maintain a minimum of two month's operating expenditure in reserve to manage the fluctuation in tax receipts, grant revenues, and general cash flow management. The City shall maintain a Strategic Reserve Fund in order to accommodate unexpected operational changes, legislative impacts, or other economic events affecting the City's 64 CITY OF FEDERAL WAY 2023-24 BUDGET operations which could not have been reasonably anticipated at the time the budget was prepared. Funding shall be $3 million. 3. The City shall maintain a minimum of $1.125 million in the Parks Reserve Fund for the equipment, turf, and other major needs of the City's Park System. 4. The City will maintain a minimum emergency reserve fund for snow and ice removal of $0.5 million in Street Fund. 5. The City will maintain a minimum emergency reserve fund of $0.1 million in Arterial Street Fund for unexpected natural disaster to restore roads to original condition. 6. The City will maintain a minimum cash flow reserve with the Utility Tax Fund in amount equal to $2.5 million ($1.0 million Proposition 1 and $1.5 million Utility tax). 7. The City will maintain a one-year revenue reserve in the fund and may be spent down ONLY upon the Council' s approval. 8. The City will maintain a minimum $0.2 million reserve in the Hotel/Motel Lodging Tax Fund. 9. The City shall maintain a minimum $1.5 million reserve in the Community Center Fund for general capital and equipment needs. 10. The City shall maintain a minimum of $1.2 million contingent reserve in Traffic Safety Fund. 11. The City shall maintain adequate reserve in Debt Service Fund in accordance with the bond ordinance or a minimum of one-year debt service amount. 12. The City shall maintain a reserve for the future general capital needs for the city buildings or other capital projects in Capital Project Reserve Fund. The Finance Director may transfer excess revenue over expenditure in the General fund to this fund for future use of the City. 13. The City shall maintain a minimum of $1.5 million in a reserve for the general capital needs of the building and equipment in Dumas Bay Centre Fund. 14. The City will maintain a reserve in an amount of not less than 13 weeks of budgeted expenses as recommended by our consultant in the Health Insurance Fund. 15. The City will maintain a reserve in an amount of not less than $0.25 million or annual unemployment expenses in the Unemployment Insurance Fund. 16. The City will maintain a reserve in an amount of not less than one year's expenses from the prior year or $0.6 million in Risk Management Fund. 17. The City shall maintain an operating reserve within the Surface Water Management Fund in amount not less than 17% of operating expenses from the prior year. Any excess may be transferred to the Capital Project Fund - SWM for future capital projects. 18. The City shall maintain Emergency/Contingent reserve for unexpected catastrophic events or system failures of not less than $0.5 million in Capital Project Fund -SWM. 19. The City will maintain adequate reserves for capital replacement to replace both hardware and software in the Information System Fund. 20. The City will maintain an adequate reserve to replace copy and mailing equipment in the Mail and Duplication Fund. 21. The City will maintain an adequate reserve to provide for perpetual replacement of city vehicles and other capital equipment in the Fleet and Equipment Fund. 65 CITY OF FEDERAL WAY 2023-24 BUDGET 22. The City will maintain a reserve of not less than $2.0 million for equipment, roof, and other major upgrades to City Buildings other than Community Center, and Dumas Bay Centre. D. REVENUES 1. Revenue estimates shall not assume any growth rate in excess of inflation. Real growth that occurs will be recognized through budgetary adjustments only after it takes place. In the event that revenues are less than expected, it minimizes the likelihood of severe cutback actions which may be profoundly disruptive to the goal of providing a consistent level of quality services. 2. Investment income earned through the City's pooled reserves shall be budgeted in accordance with the council -approved investment policy. E. CONTRACTUAL SERVICES 1. The City will continue to thoroughly investigate the feasibility of contracting certain public services in accordance with Council Resolution No. 92-103. F. MINIMIZATION OF ADMINISTRATIVE COSTS 1. An appropriate balance will be maintained between resources allocated for direct services to the public and resources allocated to assure sound management, internal controls, and legal compliance. G. RETIREMENT 1. The budget shall provide for adequate funding of the City's retirement system. H. MONTHLY REPORT 1. The budget will be produced so that it can be directly compared to the actual results of the fiscal year and presented in a timely monthly report. 2. All budget amendments, both revenues and expenditures, will be noted in the monthly report. MULTI -YEAR ESTIMATES 1. With each budget, the City will update expenditure and revenue projections for the next six years. Projections will include estimated operating costs for capital improvements that are included in the capital budget. 2. This budget data will be presented to elected officials in a form that will facilitate budget decisions, based on a multi -year perspective. J. CITIZEN INVOLVEMENT 1. Citizen involvement shall be encouraged in the budget decision making process through public hearings and study sessions. 2. Involvement shall also be facilitated through City boards, task forces and commissions, which shall serve in advisory capacities to the Mayor and City Council. K. FEES 1. Fees shall be phased toward covering 100% of the cost of service delivery, unless such amount prevents an individual from obtaining an essential service. Fees or service charges should not be established to generate money in excess of the cost of providing service. CITY OF FEDERAL WAY 2023-24 BUDGET Fees may be less than 100% if other factors (e.g. market forces, competitive position, etc.) need to be recognized. L. NONPROFIT ORGANIZATIONS Future funding decisions regarding nonprofit organizations will be based on guidelines, policies and priorities determined by the City Council and availability of financing based on General Fund spending priorities. CAPITAL BUDGET A. FISCAL POLICIES 1. Capital project proposals should include as complete, reliable, and attainable cost estimates as possible. Project cost estimates for the Capital Budget should be based upon a thorough analysis of the project and are expected to be as reliable as the level of detail known about the project. Project cost estimates for the Six -Year City Capital Improvement Plan will vary in reliability depending on whether they are to be undertaken in the first, fifth or sixth year of the Plan. 2. Capital proposals should include a comprehensive resource plan. This plan should include the amount and type of resources required, and the funding and financing strategies to be employed. The specific fund and timing should be outlined. The plan should indicate resources needed to complete any given phase of a project in addition to the total project. 3. All proposals for the expenditure of capital funds shall be formulated and presented to Council within the framework of a general capital budget and, except in exceptional circumstances of an emergency nature, no consideration will be given to the commitment of any capital funds, including reserve funds, in isolation from a general review of all capital budget requirements. 4. Changes in project estimates for the comprehensive resource plan should be fully reported to the City Council for review and approval. Project proposals should indicate the project's impact on the operating budget, including, but not limited to, long-term maintenance costs necessary to support the improvement. At the time of contract award, each project shall include reasonable provision for contingencies: a. The amount set aside for contingencies shall correspond with industry standards and shall not exceed ten (10) percent, or a percentage as otherwise determined by the City Council of the total contract amount. b. Project contingencies may, unless otherwise determined by the City Council, be used only to compensate for unforeseen circumstances requiring additional funds to complete the project within the original project scope and identified needs. C. For budgeting purposes, project contingencies are a reasonable estimating tool. At the time of the contract award, the project's budgeted appropriation, including contingency, will be replaced with a new appropriation equal to the approved project contract contingency developed in the manner described above. The City Administration shall seek ways of ensuring that administrative costs of carrying out the Capital Improvement Plan are kept at appropriate levels. The Annual Capital Budget shall include only those projects which can reasonably be accomplished in the time frame indicated. The detail sheet for each budgeted capital project should include a projected schedule. 67 CITY OF FEDERAL WAY 2023-24 BUDGET Capital projects which are not encumbered or completed during the fiscal year will be rebudgeted or carried over to the next fiscal year except as reported to and subsequently approved by the City Council. All re -budgeted capital projects should be so noted in the Adopted Capital Budget. Similarly, multi -year projects with unencumbered or unexpended funds will be carried over to the subsequent year(s). 10. If a proposed project will cause a direct negative impact on other publicly -owned facilities, improvements to the other facilities will be required as part of the new project and become a part of the new project's comprehensive costs. 11. Capital projects will not be budgeted unless there are reasonable expectations that revenues will be available to pay for them. B. DEBT POLICIES 1. Short-term lines of credit, tax or Revenue Anticipation Notes may be used only when the City's ability to implement approved programs and projects is seriously hampered by temporary cash flow shortages. No long-term debt will be used to finance ongoing operational costs. 2. The Finance Director shall identify alternative sources of funding and shall examine the availability of those sources in order to minimize the level of debt. 3. When possible, the City shall use special assessment, revenue, or other self-supporting bonds instead of general obligation debt. 4. Long term general obligation debt will be incurred based upon the ability of the City to incorporate into a balanced budget. This debt shall be limited to those capital improvements that cannot be financed from existing revenues and with an effort to match repayment of debt by those who benefit from the assets financed. The project should also be integrated with the City's long term financial plan and City Improvement Plan. 5. The maturity date for any debt will not exceed the reasonable expected useful life of the project so financed. 6. Fifty percent (50%) of the principal of any long term indebtedness should be retired over 10 years. Current year revenues shall be set aside to pay for the subsequent year's debt service payments to protect bondholders from revenue volatility. The Finance Director shall encourage and maintain good relations with financial and bond rating agencies, and will follow a policy of full and open disclosure on every financial report and bond prospectus. No bond proceeds will be budgeted without accompanying debt service budgeted concurrently. C. CAPITAL IMPROVEMENT PLAN (CIP) POLICIES Transparency in the Capital Improvement Program is a priority. a. The Capital Improvement Plan shall be provided to the City Council in a timely manner to allow time for the Council members to review the proposal with constituents before it is considered for adoption. b. Council study sessions on the Capital Improvement Plan shall be open to the public and advertised sufficiently in advance of the meetings to allow for the attendance of interested citizens. CITY OF FEDERAL WAY 2023-24 BUDGET C. Prior to the adoption of the Capital Improvement Plan, the City Council shall hold noticed public hearings to provide opportunities for citizens to express their opinions on the proposed plan. d. The City Planning Commission shall review the proposed City Improvement Plan and provide its comments on the Plan's contents before the Council considers the Plan for adoption. 2. All projects included in the Capital Improvement Plan shall be consistent with the City's Comprehensive Plan. The goals and policies for services, facilities, and transportation should be followed in the development of the City Improvement Plan. The Comprehensive Plan service level goals should be called out in the City Improvement Plan. 3. Capital projects shall be financed to the greatest extent possible through user fees and benefit districts when direct benefit to users results from construction of the project. Refer to Debt Policies for further detail. 4. Projects that involve intergovernmental cooperation in planning and funding should be established by an agreement that sets forth the basic responsibilities of the parties involved. 5. The Council will annually review and establish criteria against which capital proposals should be measured. Included among the factors which will be considered for priority - ranking are the following: a. Projects which have a positive impact on the operating budget (reduced expenditures, increased revenues); b. Projects which are programmed in the Six -Year Operating Budget Forecast; C. Projects which can be completed or significantly advanced during the Ten -Year Capital Improvement Plan; d. Projects which can be realistically accomplished during the year they are scheduled; e. Projects which implement previous Council -adopted reports and strategies. .• CITY OF FEDERAL WAY 2023-24 BUDGET CRITERIA FOR DETERMINING PROJECT INCLUSION/PRIORITY (In Priority Order) 1. Projects which are required by statute or by an existing agreement with another agency. 2. Projects which are essential to public health or safety. 3. Projects which are required to perpetually replace or maintain existing infrastructure. 4. Projects which are urgently needed by some other criteria than public health or safety, e.g. environmental or public service. 5. Projects which have exhibited a high degree of public support. 6. Projects which are grant funded and whose maintenance and replacement can be reasonably assured in long-term budgeting. 7. Projects which, if not acted upon now, would result in the irrevocable loss of an opportunity, or other major alternative actions would have to be initiated. 8. Projects which would preserve an existing capital facility, avoiding significantly greater expenses in the future (e.g. continuation of a ten-year cycle street maintenance program). 9. Projects which would result in significant savings to operating costs. 10. Projects which would fulfill a City commitment (evidenced by previous inclusion in the annual CIP and community support) to provide minimal facilities in areas which are deficient according to adopted standards. 11. Projects which would provide significant benefits to the local economy and tax base. 12. Purchase of land for future projects at favorable prices prior to adjacent development. 13. Purchase of land for future City projects (land banking). 14. Projects which would provide new facilities which have minimal or no operating costs or which have operating costs but have been designated as exceptions to the operating cost policy by previous City Council actions. 15. Projects which would be constructed in conjunction with another agency with the other agency providing for the operating costs. 16. Projects which would generate sufficient revenue to be essentially self-supporting in their operation. 17. Projects which would make an existing facility more efficient or increase its use with minimal or no operating cost increase. 18. Projects which would fulfill City commitment (evidenced by previous inclusion in the annual CIP and community support) to provide greater than minimal facilities. 19. Projects which are grant funded but would require increased operating costs in the General Fund, including reserve for eventual replacement. 20. Projects which are not grant funded and would require increased operating costs in the General Fund, and have not been designated as exceptions to the operating cost policy by previous City Council actions. 70 CITY OF FEDERAL WAY 2023-24 BUDGET BASIS OF ACCOUNTING AND BUDGETING Accounting records for the City are maintained in accordance with methods prescribed by the State Auditor under the authority of Washington State law, Chapter 43.09 R.C.W., and in compliance with generally accepted accounting principles as set forth by the Governmental Accounting Standards Board. Basis of Presentation - Fund Accounting The accounts of the City are organized on the basis of funds and account groups. Each fund is a separate accounting entity with a self -balancing group of accounts. There are three broad fund categories, seven generic fund types within those categories and two account groups. A purpose and description of the fund is provided on the fund pages in the Budget by Fund section of this budget document. Basis of Accounting Basis of accounting refers to when revenues, expenditures, expenses, transfers and the related assets and liabilities are recognized and reported in the financial statements. Basis of accounting relates to the timing of the measurements made, regardless of the measurement focus applied. The accrual basis of accounting is used by proprietary fund types. Under this method, revenues are recognized when earned, and expenses are recognized when incurred. The modified accrual basis of accounting is used by governmental, expendable trust and agency funds. Revenues and other financial resources are recognized when they become susceptible to accrual, i.e., when the related funds become both measurable and available to finance expenditures of the current period. To be considered "available", revenue must be collected during the current period or soon enough thereafter to pay current liabilities. Basis of Budgeting The City uses the same revenue and expenditure recognition principles for budgeting as for accounting with the exception of depreciation or amortization expenses in proprietary funds. Balanced Budget The state law prescribes a balanced budget where total expenditures and other uses not to exceed total resources (current revenue plus beginning fund balance). The city's budget policy further requires that expenditures not to exceed revenues. Therefore, a balanced budget for Federal Way must meet both conditions. Budgetary Fund Balances Budgetary fund balance is the difference between current liability and current assets of a fund. This is the amount available for appropriations during the budget period. It is different than the fund equity or the net position reported in the entity -wide financial statements as it does not include capital assets or long-term liabilities that are not available or due within current budget period. Scope of Budget and Fund Descriptions Budgets are adopted for the general, special revenue, and debt service funds on the modified accrual basis of accounting. Certain special revenue and capital project funds, however, are budgeted on a project -length basis. For governmental funds, there are no differences between the budgetary basis and generally accepted accounting principles. Budgets for project/grant related special revenue funds and capital project funds are adopted at the level of the individual project and for fiscal periods that correspond to the lives of projects. Legal budgetary control is established at the fund level; i.e., expenditures for a fund may not exceed the total appropriation amount. The Mayor may authorize transfers of appropriations within a fund, but the City Council must approve by ordinance any increase in total fund appropriations. Any unexpended appropriations for budgeted funds lapse at the end of the year. Appropriations for other special purpose funds that are non -operating in nature, such as capital projects, are adopted on a "project -length" basis and, therefore, are carried forward from year to year without re -appropriation until authorized amounts are fully expended or the designated purpose of the fund has been accomplished. 71 CITY OF FEDERAL WAY 2023-24 BUDGET ACCOUNTING FOR FUNDS The individual funds within each fund type which are included in the City's budget are listed below. General Fund - This fund is used to account for all financial resources except those required to be accounted for in another Fund. Special Revenue Funds - These funds are established to account for proceeds of specific revenue sources that are either designated by policy or are legally restricted to expenditure for specified purposes. Street Fund Arterial Street Fund Utility Tax Fund Utility Tax Proposition 1 Fund Community Development Block Grant Fund Paths and Trails Reserve Fund Technology Fund Jail Fund Community Center Fund Traffic Safety Fund Solid Waste/Recycling Fund Special Contract/Studies Fund Hotel/Motel Lodging Tax Fund Performing Arts & Event Center Fund Affordable & Support. Housing Sales/Use Tax Fund Reserve Funds — These funds are established to account for special reserves set aside to provide the liquidity to respond to economic opportunity and future capital needs. Strategic Reserve Fund Capital Project Reserve Fund Parks Reserve Fund Debt Service Fund - This fund is to account for the accumulation of resources for, and the payment of, general long-term debt principal and interest. Capital Project Funds - These funds account for financial resources to be used for the acquisition or construction of major capital facilities. Downtown Redevelopment Fund Surface Water Management Projects Fund Municipal Facilities Fund Transportation Systems Park Project Fund Performing Arts and Event Center Fund Real Estate Excise Tax Fund Enterprise Fund - This Fund is to account for operations that are normally financed and operated in a manner similar to a private business enterprise where the intent of the governing body is that the costs of providing goods and services to the general public on a continuing basis be financed or recovered primarily through user charges. Surface Water Management Fund Dumas Bay Centre Fund Internal Service Funds - These Funds are established to account for the financing of goods and services provided by one department of the governmental unit to other units on a cost reimbursement basis. Risk Management Fund Information Systems Fund Mail and Duplication Services Fund Fleet and Equipment Fund Buildings and Furnishings Fund Health Self Insurance Fund Unemployment Insurance Fund 72 CITY OF FEDERAL WAY 2023-24 BUDGET EW Distin -Y-u h eBudgct Prcsailation, r°1zU11 Yd City of Federal Way washinaton FOE the Biennium Beyinn in g January- 01, 2021 046�7--� P. Armtw ExecudRT Director The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Distinguished Budget Presentation Award to the City of Federal Way for its biennial budget for the biennium beginning January 1, 2021. The City has earned this award since 1990. The award represents a significant achievement. It reflects the commitment of the governing body and staff to meeting the highest principles in governmental budgeting. In order to receive the budget award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan, and as a communications device. This award is valid for a period of two years only. We believe our current budget continues to conform to program requirements, and we are submitting it to GFOA to determine its eligibility for another award. 73 CITY OF FEDERAL WAY 2023-24 BUDGET '►z.�� fit, OOMd 4 74 COUNCIL MEETING DATE: September 20, 2022 ITEM #: 9b CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: YOUTH COMMISSION REQUIREMENTS POLICY QUESTION: Should the City Council consider revising current Youth Commission Membership requirements (FWRC 2.60.040)? COMMITTEE: N/A MEETING DATE: N/A CATEGORY: ❑ Consent ❑ Ordinance ❑ Public Hearing ® City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Stephanie Courtney City Clerk DEPT: Mayor's Office Background: Following COVID-19 restrictions in 2020, current and ongoing recruitment for the Youth Commission has not resulted in enough applications to effectively accomplish a work plan. While recruitment has been ongoing, 7 voting positions and 3 alternate positions remain open. There have been requests to reconsider the grade -level and residency requirements to include Freshman -Senior applicants, and for students who live within the Federal Way School District boundaries; these modifications would increase the pool of potential applicants. The current membership requirements (most recently updated in 2014) are as follows: Persons appointed to serve on the commission shall reside within the Federal Way city limits, and be a sophomore or junior. Options Considered: 1. Direct staff to prepare an Ordinance to amend FWRC 2.60.040 regarding Youth Commission eligibility requirements. 2. Do not take action, and provide direction to staff. MAYOR'S RECOMMENDATION: N/A MAYOR APPROVAL: N/A Committee Initial/Date COMMITTEE RECOMMENDATION: N/A CLERK A PPROVA L. Initial/Date PROPOSED COUNCIL MOTION: "I move to direct the City Attorney to prepare an Ordinance to amend the grade -level and residency requirements of the Youth Commission " (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED - 4/2019 RESOLUTION # 10aCOUNCIL MEETING DATE: September 20, 2022 ITEM #: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: BALLY'S COMPREHENSIVE PLAN AMENDMENT, REZONE AND DEVELOPMENT AGREEMENT POLICY QUESTION: Should the city council approve a comprehensive plan amendment, rezone, and Development Agreement for property located at 32818 1st Avenue S, parcel number 172104-9038, commonly known as the Former Bally's site, from Office Park (OP) to Multi -Family High -Density Residential (RM1800 one unit per 1,800 square feet). COMMITTEE: NA MEETING DATE: NA CATEGORY: ❑ Consent 0 Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: NATALIE KAMIENIECKI, ASSOCIATE PLANNER DEPT: COMMUNITY DEVELOPMENT Attachments: Bally's Comprehensive Plan Amendment, Rezone and Development Agreement and Ordinance Exhibit A Development Agreement Exhibit B Comprehensive Plan and Zone Map Background: Required public hearing held on August 9, 2022 and continued to September 20, 2022 per FWRC 19.85. MAYOR'S RECOMMENDATION: MAYOR APPROVAL: DIRECTOR APPROVAL: d-12-z PROPOSED COUNCIL MOTION(S): FIRST READING OF ORDINANCE (SEPTEMBER 20, 2022): "I move to forward the proposed ordinance to the October 4, 2022 Council Meeting for second reading and enactment. " SECOND READING OF ORDINANCE (OCTOBER 4, 2022): " I move approval of the proposed ordinance. " (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL # ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING (ordinances only) ORDINANCE # REVISED - 4/2019 RESOLUTION # ORDINANCE NO.22- AN ORDINANCE of the City of Federal Way, Washington, amending the Federal Way Comprehensive Plan, Comprehensive Plan Map, and Zoning Map, changing the Comprehensive Plan designation and zoning of 6.00 acres located at the southeast corner of 11t Avenue South and South 328th Street, parcel number 172104-9038, from Office Park (OP) to Multi Family (RM 1800), and adopting an associated development agreement. (Amending ordinance Nos. 90-43, 95-248, 96-270, 98-330, 00-372,01-405, 03-442, 04-460, 04-461, 04-462, 05-490, 05-491, 05-492, 07-558, 09-614, 10-671, 11-683, 13-736, 13-745, 15-796, 15-798, 18-843, 19-866 and 21-907) WHEREAS, the Growth Management Act of 1990 as amended (Chapter 36.70A RCW or "GMA"), requires the City of Federal Way ("City") to adopt a comprehensive plan including a land use element and land use map, a housing element, a capital facilities plan, a utilities element, and a transportation element and transportation system map(s); and WHEREAS, the GMA also requires the City of Federal Way to adopt development regulations implementing its comprehensive plan; and WHEREAS, the Federal Way City Council adopted its comprehensive plan and land use map (the "Comprehensive Plan") on November 21, 1995, and adopted development regulations and a zoning map implementing the Plan on July 2, 1996; and subsequently amended the comprehensive plan, land use map, and zoning map on December 23, 1998, September 14, 2000, November 1, 2001, March 27, 2003, July 20, 2004, and June 16, 2005, July 16, 2007, June 11, 2009, January 27, 2011, January 23, 2013, August 14, 2013, July 29, 2015, January 26, 2018, October 28, 2018, April 2, 2019, and January 19, 2021; and WHEREAS, pursuant to Federal Way Revised Code ("FWRC") Chapter 19.35, the City may consider Comprehensive Plan amendments utilizing Chapter 19.80 FWRC, Process VI; and WHEREAS, under RCW 36.70A.130, the Comprehensive Plan and development Ordinance No. 22- Page 1 of 20 regulations are subject to continuing review and evaluation, but the Comprehensive Plan may generally be amended no more than one time per year; and WHEREAS, in 2021, the City accepted requests for amendments to the text and maps of the comprehensive plan, the comprehensive plan map, and the zoning map, including a citizen - initiated request regarding parcel 172104-908 ("Bally's Site"), which requested that the City amend the Bally's Site comprehensive plan designation from Office Park to Multi -Family High Density designation, and rezone the Bally's Site from Office Park (OP) to Multi -Family (RM 1800) ("Bally's Proposal"); and WHEREAS, on July 20, 2021, the City's SEPA Responsible Official issued a Determination of Nonsignificance for the proposed comprehensive plan amendment and rezone of the Bally's Site ("SEPA Determination"); and WHEREAS, the SEPA Determination was not timely appealed; and WHEREAS, the City's Planning Commission held public hearings regarding the Bally's Proposal on October 6, 2021 and September 15, 2021 pursuant to FWRC 19.80.190, at the close of which they recommended the City Council approve the comprehensive plan amendment and rezone of the Bally's Site provided the City entered into a development agreement associated with the comprehensive plan amendment and rezone that addressed home ownership opportunities in a future multifamily development at the Bally's Site and WHEREAS, under RCW 36.70B.170, local governments are authorized to enter into development agreements with persons having ownership or control of real property within the local government's jurisdiction; and WHEREAS, pursuant to Chapter 19.85 FWRC, Development Agreements, the City Council may at its discretion utilize development agreements associated with a comprehensive Ordinance No. 22- Page 2 of 20 plan and related zoning change where the project is larger in scope and has potentially larger impacts than normal, or where the City Council may desire to place certain restrictions on the proposal; and WHEREAS, a development agreement has been prepared as set forth in Exhibit A ("Development Agreement"), along with the proposed comprehensive plan amendment and associated rezone which, among other things, addresses home ownership opportunities in a future multifamily development at the Bally's Site; and WHEREAS, on May 10, 2022, the City's SEPA Responsible Official issued an addendum to the SEPA Determination to include the Development Agreement; and WHEREAS, the City Council, through its staff and Planning Commission, received, discussed, and considered the testimony, written comments, and material from the public, and considered the matter at its City Council meetings on August 9, 2022 and September 20, 2022; and WHEREAS, the City Council desires to adopt the proposed comprehensive plan amendment and rezone of the Bally's Property and associated Development Agreement. NOW,` THEREFORE, THE CITY COUNCIL OF THE CITY OF FEDERAL WAY, WASHINGTON, DO ORDAIN AS FOLLOWS: Section 1. Findings and Conclusions. (a) The proposed amendment to the comprehensive plan and zoning designation of the 6.00 acres, parcel 172104-9038, as set forth in Exhibit B attached hereto, and the Development Agreement, as set forth in Exhibit A attached hereto, are consistent with the Council vision for the City of Federal Way, will allow development which is compatible with the surrounding existing multi -family neighborhoods and surrounding multi -family zone designations, and therefore bear a Ordinance No. 22-. Page 3 of 20 substantial relationship to public health, safety, and welfare; are in the best interest of the residents of the City; and consistent with the requirements of RCW 36.70A, the King County Countywide Planning Policies, and the unamended portion of the Plan. Specifically, the proposed comprehensive plan amendment and rezone of the Bally's Property and associated Development Agreement are consistent with the following comprehensive plan goals and policies: Housing Policy (HP) 2 Amend development regulations to accommodate a diverse range of housing forms that are compatible with neighborhood character and create an effective transition between the City Center, business areas, and residential neighborhoods. Housing Goal (HG) 2 Involve the community in the development of new housing to a degree that is consistent with the scale of impact on the surrounding neighborhoods. HP 10 Encourage community input, where appropriate, into the development permit process by providing thorough and timely information to the public. HG 4 Proactively plan for and respond to trends in housing demand. HP 16 Increase capacity and encourage greater diversity of housing types and costs for both infill and new development through various methods, such as inclusionary zoning, density bonuses, and transfer of development rights, cluster housing, cottage housing, garden housing, duplexes, and low to moderate density housing types. Land Use Goal (LUG) 1 Create an attractive, welcoming and functional built environment. Land Use Policy (LUP) 8 Designate and zone land to provide for Federal Way's share of Ordinance No. 22- Page 4 of 20 regionally adopted demand forecasts for residential, commercial, and industrial uses for the next 20 years. LUP 10 Support the continuation of a strong residential community. LUG 4 Provide a wide range of housing types and densities commensurate with market demand, adopted housing targets, and the community's needs and preferences. (b) The proposed amendments to the comprehensive plan map, as set forth in Exhibit B, attached hereto, are compatible with adjacent land uses and will not negatively affect open space, streams, lakes, or wetlands, or the physical environment in general. The amendments will allow for growth and development consistent with the Plan's overall vision and with the Plan's land use element household and job projections, and will allow reasonable use of property subject to constraints necessary to protect environmentally sensitive areas. The amendments, therefore, bear a substantial relationship to public health, safety, and welfare; are in the best interest of the residents of the City; and are consistent with the requirements of RCW 36.70A, the King County Countywide Planning Policies, and the unamended portion of the Plan as specified in Section 1(a). (c) The proposed amendments to the zoning map, set forth in Exhibit B, attached hereto, are consistent with the applicable provisions of the comprehensive plan and the comprehensive plan land use map proposed to be amended in Section 2 below, bear a substantial relation to public health, safety, and welfare, and are in the best interest of the public and the residents of the City. (d) The proposed amendments have complied with the appropriate process under state law and the FWRC. (e) Additional analysis and details supporting the findings and conclusions in this section are contained in the August 2, 2022 Staff Report prepared for the August 9, 2022 City Council Ordinance No. 22- Page 5 of 20 Public Hearing on the Bally's Proposal. Section 2. Comprehensive Plan, Comprehensive Plan Maps, and Zoning Map Amendments Adoption. The 1995 City of Federal Way Comprehensive Plan, as thereafter amended in 1998, 2000, 2001, 2003, 2004, 2005, 2007, 2009, 2010, 2011, 2013, 2015, 2018, 2019, 2021 copies of which are on file with the Office of the City Clerk, the comprehensive plan maps, and the zoning map are amended as set forth in Exhibit B, attached hereto. Section 3. Development Agreement Adoption. The Development Agreement, attached as Exhibit A, is hereby adopted. Section 4. Amendment Authorit . The adoption of plan and map amendments in Section 3 above is pursuant to the authority granted by Chapters 36.70A and 35A.63 RCW, and pursuant to chapter 19.80 FWRC- and chapter 19.85 FWRC. Section 5. Severability. The provisions of this ordinance are declared separate and severable. The invalidity of any clause, sentence, paragraph, subdivision, section, or portion of this ordinance, or the invalidity of the application thereof to any person or circumstance, shall not affect the validity of the remainder of the ordinance, or the validity of its application to other persons or circumstances. Section 6. Savings Clause. The 1995 City of Federal Way Comprehensive Plan, as thereafter amended in 1998, 2000, 2001, 2003, 2004, 2005,2007, 2009, 2010, 2011, 2013, 2015, 2018, 2019, 2021, shall remain in full force and effect until these amendments become operative upon the effective date of this ordinance. Section 7. Ratification. Any act consistent with the authority and prior to the effective date of this ordinance is hereby ratified and affirmed. Section 8. Corrections. The City Clerk and the codifiers of this ordinance are authorized to Ordinance No. 22- Page 6 of 20 make necessary corrections to this ordinance including, but not limited to, the correction of scrivener/ clerical errors, references, ordinance numbering, section/subsection numbers, and any references thereto. Section 9. Effective Date. This ordinance shall take effect and be in force five (5) days after passage and publication, as provided by law. PASSED by the City Council of the City of Federal Way this day of 20 ATTEST: CITY OF FEDERAL WAY: JIM FERRELL, MAYOR STEPHANIE COURTNEY, CMC, CITY CLERK APPROVED AS TO FORM: J. RYAN CALL, CITY ATTORNEY FILED WITH THE CITY CLERK: PASSED BY THE CITY COUNCIL: PUBLISHED: EFFECTIVE DATE: ORDINANCE NO.: Ordinance No. 22- Page 7 of 20 Exhibit A DEVELOPMENT AGREEMENT THIS AGREEMENT is entered into this day of , 2022 (the "Effective Date") by and between FIRST AVENUE SOUTH APARTMENTS LLC, a Washington limited liability company (the "Owner"), and the City of Federal Way, a Washington municipal corporation ("City"). Owner and the City are each a "Party" and collectively the "Parties" to this Agreement. RECITALS A. The Washington State Legislature has authorized the execution of development agreements between a local government and an entity having ownership or control of real property within its jurisdiction, pursuant to RCW 36.70B.170 through 36.7013.210 ("Development Agreement Statute"). This Agreement is authorized pursuant to the Development Agreement Statute and the Federal Way Revised Code ("FWRC" or "Code") Chapter 19.85, as established by Ordinance 02-426. B. Owner owns the property at 32818 1 st Avenue South in Federal Way, Washington (King County Assessor No. 1721049038 and the "Property"), legally described on Exhibit A, which is attached hereto and incorporated herein by reference. C. Owner applied for a Comprehensive Plan land use designation amendment and associated rezone of the Property from Office Park ("OP") to Multifamily Residential RM-1800 zone ("RM-1800") under City File No. 20-103733-00-UP (collectively, the "Rezone"). D. Owner has prepared a conceptual site plan development of the Property dated , 2021 as depicted in Exhibit B ("Conceptual Plan"), which is attached hereto and incorporated herein by reference. The Parties agree the Conceptual Plan is a conceptual guide for the development of the Project as defined in this Agreement, but is not intended to be, nor must it satisfy the requirements of a "Development Plan" as defined in FWRC 19.85.100. E. Redevelopment of the Property consistent with the Conceptual Plan will be a benefit to the City through implementation of the vision of the Comprehensive Plan by, among other reasons, providing new market -rate housing opportunities for City residents. F. Redevelopment of the Property also supports and implements the City's recently adopted Housing Action Plan objectives and strategies, including Objective 1 to "promote new market -rate... construction that expands housing choices" and Objective 2 to "encourage homeownership opportunities and support equitable housing outcomes" by providing new market - rate housing choices for City residents and the potential for future homeownership opportunities. G. The City desires to enter into this Agreement to assure the development of the Property consistent with the Conceptual Plan as a condition of the approval of the Rezone. H. By this Agreement, the Parties intend to set forth their mutual agreement and understandings as they relate to the development of the Property. Ordinance No. 22- Page 8 of 20 Exhibit A NOW THEREFORE, in consideration of the mutual benefits and agreements contained herein, as well as other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows: AGREEMENT 1. Definitions. 1.1. "City Council" means the City Council of the City of Federal Way. 1.2. "Development Regulations" means those sections of the Federal Way Revised Code, Federal Way Zoning and Development Code, Federal Way Comprehensive Plan, Federal Way Zoning Map, and any implementing policies, regulations, procedures or guidelines addressing the zoning, building and site design, utilities, environmental review (including SEPA procedures and substantive authority), transportation concurrency, and any other elements that govern the development of real property within the City. A term defined in the Development Regulations shall have the meaning assigned to it within the Development Regulations, unless otherwise defined herein. 1.3. "Market -rate" means a type of housing available or offered in the open market without public, nonprofit, or similar subsidies; provided however, nothing in this definition shall prohibit housing purchasers from utilizing commercially available affordable housing financing mechanisms for owner financing of individual units, if offered for sale. 1.4. "Owner" means FIRST AVENUE SOUTH APARTMENTS LLC, a Washington limited liability company, and its successors and permitted assigns pursuant to Section 11. 1.5. "Development Director" is the Director of the Department of Community Development. 1.6. "Townhouse" shall have the same meaning as in FWRC 19.05.200, except that it shall expressly exclude zero lot line townhouses as defined in FWRC 19.05.040. 1.7. Each term defined within the Agreement shall have the meaning assigned to it within the Agreement. 2. Purpose. As a condition of the City's approval of the Rezone authorized by Ordinance this Agreement governs Owner's right to develop the Property pursuant to the RM- 1800 zoning subject to the Public Benefits and the Development Regulation modifications defined in Section 3. 3. Project. The Owner shall develop the Property with a Townhouse community generally consistent with the Conceptual Plan (collectively, the "Project") subject to the following conditions: 3.1. Public Benefits. The Project shall provide the following public benefits: Ordinance No. 22- Page 9 of 20 Exhibit A a. Market -rate Townhouses. Development of the Property shall be limited to a Market -rate Townhouse community. Within sixty (60) days of issuance of the Certificate of Occupancy for the final Townhouse in the Project, the Owner shall execute and record a Map in the form required by RCW 64.90.245 and a Declaration in the form required by RCW 64.90.225, to create a residential condominium community that allows each individual Townhouse to be sold as a condominium; provided, however, nothing in this provision shall require Owner to sell any individual Townhouse as a condominium and the Property may operate as a "for rent" apartment community at the sole discretion of Owner. b. Dedicate garage parking. Each Townhouse shall provide privately accessible two (2) stall garage parking, which may be in a tandem configuration. C. Access to open space. Open space provided by the Project shall comply with FWRC 19.205.010 and shall provide access directly to private yards and/or balconies from each Townhouse. d. Amenities building. Owner shall design and construct any permanent leasing or sales office and common amenity building in the Project to be substantially in the same architectural style as the Project's Townhouses. 3.2. Development Regulation Modifications. The Parties agree that the Development Regulations shall apply to the City's review of the Project; provided however; as a component of this Agreement, the City approves the following modifications for the Development Regulations applicable to the Project: a. Parking. Each Townhouse shall have 2 garage parking stalls. Guest parking shall be surface -parked and provided at a 1 stall per 6 dwelling unit ratio. b. Minimum building separation. The minimum required separation between structures shall be 10 feet. 4. Vesting. Except as provided in Sections 4.1 and 4.2, and as may otherwise be prohibited by law, Owner shall be entitled to develop the Project under the Development Regulations and land use controls in effect as of the Effective Date of this Agreement ("Vested Code Provisions"), which shall apply for the Term of this Agreement. 4.1. Exemptions. The following are exempt from vesting under this Agreement: a. Plan review fees, inspection fees, and other land use application fees; b. Connection charges, general facilities charges and monthly service charges; c. Amendments to building, plumbing, fire and other construction codes adopted pursuant to RCW Ch. 19.27 or 19.27A; d. Impact fees authorized by state law; and Ordinance No. 22- Page 10 of 20 Exhibit A e. City enactments that are adopted pursuant to state or federal mandates (such as the City's NPDES Municipal Stormwater Permits) that preempt the City's authority to vest regulations; 4.2. Reserved Rights. Notwithstanding any provision in this Agreement, the City reserves authority pursuant to RCW 36.70B.170(4) to impose new or different Development Regulations to the extent required by a serious threat to public health or safety, as determined by the City Council after written notice and an opportunity to be heard by Owner. 4.3. Future Agreement Modifications, Amendments, and Procedure. Modification and/or amendment of this Agreement shall be governed by the procedures in FWRC 19.85.200—.210. 4.4. Further Discretiona Actions. Owner acknowledges that the Project requires further discretionary review by the City. Nothing in this Agreement shall be construed to limit the authority or obligation of the City to hold legally required public hearings for the Project, or otherwise limit the discretion of the City in reviewing the Project as authorized by the Development Regulations and terms of this Agreement. 5.' Agreement to Run with the Land. The benefits and obligations of this Agreement shall run with the land and continue following the subdivision, leasing, or transfer of ownership to Owner's successors and assigns in accordance with Section 12. 6. Term. The term of this Agreement shall be ten (10) years from the Effective Date of this Agreement ("Expiration Date"). 7. Construction of Documents. In the event there are any conflicts or ambiguities between the terms of the body of this Agreement and the terms in any of the Exhibits, the terms of the body of this Agreement shall control. 8. Recitals. The Recitals are incorporated herein as material terms of this Agreement. 9. Agreement Consistency with RCW 82.02.020. The Owner agrees that the improvements, mitigation payments and dedications established by this Agreement shall be consistent with the requirements of RCW 82.02.020 and mitigate the direct impacts that have been identified as a consequence of the Project. 10. Recording. This Agreement shall be recorded by Owner with the King County Recorder's Office. 11. Binding Effect; Assignability. This Agreement shall bind and inure to the benefit of the Parties hereto and their respective successors, heirs, legatees, representatives, receivers, trustees, successors, transferees and assigns. Owner shall have the right, in its sole discretion, to assign or transfer its rights, in whole or in part, under this Agreement. Owner shall provide City with written notice of any transfer or assignment at least thirty (30) days prior to the closing of any transaction. Ordinance No. 22- Page 11 of 20 Exhibit A 12. ILi retation. This Agreement has been reviewed and revised by legal counsel for both Parties, and no presumption or rule construing ambiguity against the drafter of the document shall apply to the interpretation or enforcement of this Agreement. Nothing herein shall be construed as a waiver of the City's constitutional and statutory powers. Nothing herein shall be construed or implied that the City is contracting away its constitutional and statutory powers, except as otherwise authorized by law. 13. Authority. Each signatory to this Agreement represents and warrants that he or she has full power and authority to execute and deliver this Agreement on behalf of the Party for which he or she is signing, and that he or she will defend and hold harmless the other Parties and signatories from any claim that he or she was not fully authorized to execute this Agreement on behalf of the person or entity for whom he or she signed. Upon proper execution and delivery, this Agreement will have been duly entered into by the Parties, will constitute as against each Party a valid, legal and binding obligation that shall run with the land, and will be enforceable against each Party in accordance with the terms herein. 14. Delays. If either Party is delayed in the performance of its obligations in this Agreement due to Force Maj eure, then performance of such obligation shall be excused for the period of delay. Force Majeure means extraordinary natural events or conditions such as war, riot, labor disputes, pandemic (including but not limited to COVID-19 or its variants) or other similar causes beyond the reasonable control of the obligated party. 15. Notices. All notices, requests, demands, and other communications called for or contemplated by this Agreement shall be in writing, and shall be duly given by mailing the same by certified mail, return receipt requested; or by delivering the same by hand, to the following addresses, or to such other addresses as the Parties may designate by written notice in the manner aforesaid: Owner: FIRST AVENUE SOUTH APARTMENTS LLC C/O Weidner Apartment Homes Attn: Kevin Colard 9757 NE Juanita Drive, Suite 300 Kirkland, WA 98034 Email: kevin@weidner.com And to its Attorney: McCullough Hill Leary, P.S. Attn: Ian Morrison 701 5th Avenue, Suite 6600 Seattle, WA 98104 Phone: 206-812-3380 Email: imorrisonomhseattle.com City of Federal Way: Community Development Director Attn: Brian Davis 33325 8th Ave South Federal Way, WA 98003 Ordinance No. 22- Page 12 of 20 Exhibit A Phone: 253-835-2612 Email: Brian.Dayis�u7cityoffederalway.com And to its Attorney: City Attorney's Office Attn: Kent van Alstyne 33325 8th Ave South Federal Way, WA 98003 Phone: 253-835-2562 Email: Kent.VanAlstyneg?a cityoffederalway.com 16. Dispute Resolution. It is the Parties' intent to work cooperatively and to resolve disputes in an efficient and cost-effective manner. All disputes arising out of or relating to this Agreement shall be resolved as follows: 16.1. Settlement Meeting. If any dispute arises between the parties relating to this Agreement, then the parties shall meet and seek to resolve the dispute, in good faith, within ten (10) days after a Party's request for such a meeting. The City shall send the Community Development Director, or a designee with information relating to the dispute, and Owner shall send an owner's representative or person with technical information or expertise related to the dispute. 16.2. Mediation. If the Parties cannot resolve the issue within ten (10) days then they shall mediate the matter using a mediator from Judicial Dispute Resolution, LLC or if that entity fails or declines to serve, such other similar service or organization as agreed by the parties, or as appointed by the court if the parties cannot agree (collectively "JDR"), within seven (7) days of their failure to agree pursuant to Section 16. L The Parties shall evenly split any fees charged by JDR, regardless of the outcome of the mediation. Each party shall bear its own attorneys' fees in connection with the mediation. If the Parties have still not resolved the matter following the mediation, then and only then shall judicial action be permitted. 17. Governing Law and Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. To the extent permitted, venue for any judicial action arising out of or relating to this Agreement shall lie in King County Superior Court. 18. Specific Performance. The Parties specifically agree that damages are not an adequate remedy for breach of this Agreement and that the Parties are entitled to compel specific performance of all material terms of this Agreement by any Party in default hereof. All terms and provisions of this Agreement are material. 19. Attorneys' Fees. In any judicial action to enforce or determine a party's rights under this Agreement, the prevailing party (or the substantially prevailing party, if no one party prevails entirely) shall be entitled to reasonable attorneys' fees, expert witness fees, and costs, including fees and costs incurred in the appeal of any ruling of a lower court. Ordinance No. 22- Page 13 of 20 Exhibit A 20. No Third -Party Beneficiary. This Agreement is made and entered into for the sole protection and benefit of the parties hereto and their successors and assigns. No other person shall have any right of action based upon any provision of this Agreement. 21. Severability. This Agreement does not violate any federal or state statute, rule, regulation or common law known; but any provision which is found to be invalid or in violation of any statute, rule, regulation or common law shall be considered null and void, with the remaining provisions remaining viable and in effect. 22. Cooperation in Execution of Documents. The Parties agree to properly and promptly execute and deliver any and all additional documents that may be necessary to render this Agreement practically effective. This Paragraph shall not require the execution of any document that expands, alters or in any way changes the terms of this Agreement. 23. Exhibits. This Agreement includes the following exhibits which are incorporated by reference herein: Exhibit A — Legal Description of Property Exhibit B — Conceptual Plan 24. Full Understanding. The Parties each acknowledge, represent and agree that they have read this Agreement; that they fully understand the terms thereof; that they have had the opportunity to be fully advised by their legal counsel and any other advisors with respect thereto; and that they are executing this Agreement after sufficient review and understanding of its contents. 25. No Joint Venture. This Agreement is not intended to and nothing in this Agreement shall create any partnership, joint venture or other arrangement between the Parties. 26. Final and Complete Agreement. This Agreement is integrated and constitutes the final and complete expression of the Parties on all subjects relating to the development of the Property. This Agreement supersedes and replaces all prior agreements, discussions and representations on all subjects discussed herein, without limitation. No Party is entering into this Agreement in reliance on any oral or written promises, inducements, representations, understandings, interpretations or agreements other than those contained in this Agreement and the exhibits hereto. [SIGNATURE PAGE FOLLOWS] Ordinance No. 22- Page 14 of 20 Frhihir A IN WITNESS WHEREOF, the parties have executed this Agreement on the date first set forth above. FIRST AVENUE SOUTH APARTMENTS LLC, a Washington limited liability company By: Name: Its: CITY OF FEDERAL WAY, a Washington municipal code city By: ATTEST: Stephanie Courtney, CMC, City Clerk APPROVED AS TO FORM: J. Ryan Call, City Attorney Jim Terrell, Mayor Ordinance No. 2- Page 15 nf20 Exhibit A STATE OF WASHINGTON ) ss. COUNTY OF ) On this day personally appeared before me to me known to be the of First Avenue South Apartments LLC that executed the foregoing instrument, and acknowledged the said instrument to be the free and voluntary act and deed of said limited liability company, for the uses and purposes therein mentioned, and on oath stated that he/she was authorized to execute said instrument. GIVEN my hand and official seal this day of , 20_ Notary's signature Notary's printed name Notary Public in and for the State of Washington. My commission expires Ordinance No. 22- Page 16 of 20 Exhibit A EXHIBIT A LEGAL DESCRIPTION Lot 1 of the revised King County Short Plat 1075046, Recording #7706100878. Ordinance No. 22- Page 17 of 20 Exhibit A EXHIBIT B CONCEPTUAL PLAN Ordinance No. 22- Page 18 of 20 W WILL City of Federal Way FAw��� Proposed Zoning Map `"_ ml�?ry�OWA 58003 E�xh =1 Ken[ Des �3 Moines f�7f N1.50Hmt `1 i S r _ o F I ivn m•c�a, auA'w liv' 1. ,,. • -_ ��M3 ' 210 • Fede �I W.Y 7nnInY DeYlglutlenf: `•1 . Gov-,. onaar., -•-- F .� A r Po.P�aR :.0 1 J �� NO Mlkton - 1 Edgewood - — • .- ° °-" °-5 Federal Way L Miles