FEDRAC Signed Minutes 07-23-19CITY Way
City Council
Finance/Economic Development/Regional Affairs Committee
Tuesday, July 23, 2019
4:30 p.m.
Federal Way City Hall
SUMMARY MINUTES Hylebos Conference Room
CALL TO ORDER: Committee Chair Dini Duclos called the meeting to order at 4:30 p.m.
COMMITTEE MEMBERS IN ATTENDANCE: Chair Duclos; Councilmember Assefa — Dawson;
Councilmember Tran.
COUNCILMEMBERS IN ATTENDANCE: Deputy Mayor Susan Honda.
STAFF MEMBERS IN ATTENDANCE: Accounting Manager, Chase Donnelly; City Attorney, Ryan Call;
Dumas Bay Manager, Rob Ettinger; Parks Director, John Hutton; Public Works Director, EJ Walsh;
Administrative Assistant, Dana Almberg.
PUBLIC COMMENT: None
A. APPROVAL OF SUMMARY MINUTES —June 25, 2019 MEETING
Motion made by Councilmember Assefa-Dawson to approve the minutes from June 25, 2019 as
written; motion seconded by Councilmember Tran and carried 3-0.
B. Dumas Bay Janitorial and Housekeeping Services Contract: — Presented by Rob Ettinger.
Dumas Bay Manager Ettinger gave a brief overview that on June 19, 2019 the Dumas Bay Centre
and the City of Federal Way released an RFQ for janitorial and housekeeping services, which closed
on July 3, 20019. Cedar Building Service, Inc. was the lowest responsive bidder. We are seeking
authorization to enter into a service contract for the Dumas Bay Centre janitorial services with
Cedar Building Service, Inc. In accordance with the approved budget this item is funded by Dumas
Bay Centre operational revenue. The associated cost is $522,300 for a 6 year contract.
The Council asked questions regarding the term of the contract. Manager Ettinger stated that the
contract can be terminated sooner if the City chooses. It is more efficient to have a longer lease
than having to come back to Council later to renew.
Motion made by Councilmember Tran to forward Option 1 to the August 13, 2019 consent
agenda for approval; motion seconded by Councilmember Assefa-Dawson and carried 3-0.
C. PAEC 2% FOR THE ARTS PROJECT CLOSEOUT— PAYMENT OF TAXES: Presented by Public Works Director EJ
Walsh.
Director Walsh summarized the background on the payment of the sales tax associated with the
completed project in the amount of $9,778.10. The City Council previously accepted the "Hylebos
Harmonics" project as complete and closed the contract in accordance with regulations from the
State Department of Revenue and State Department of Labor and Industries.
Tuesday, July 23, 2019 Page 1
AFederal Way
After formal acceptance the City submitted the project Notice of Completion of Public Works
Contract to the state Department of Revenue, State Department of Labor and Industries and the
Employment Security Departments.
During their review, the state Department of Revenue determined that the City incorrectly
prepared and documented the required sales tax. Specifically, the tax due was not broken out
separately in the contract from the bid amount. The State Department of Revenue determination
was that the City owes an additional $9,778.10 in sales tax associated with the project. While this
amount is within the overall original project budget and Council authorized limits, since the project
has been accepted and closed out Council must authorize amending the contract and payment of
the sales tax.
Motion made by Councilmember Tran to forward Option 1 to the August 13, 2019 consent
agenda for approval; motion seconded by Councilmember Assefa-Dawson and carried 3-0
D. VOUCHERS 6/16/2019 - 7/15/2019: Presented by Accounting Manager Chase Donnelly.
Manager Donnelly summarized the June 16, 2019 — July 15, 2019 Vouchers and there. were no
questions from the Committee.
Motion made by Councilmember Tran to forward the Vouchers to the August 13, 2019 consent
agenda for approval; motion seconded by Councilmember Assefa-Dawson and carried 3-0.
E. MONTHLY FINANCIAL REPORT — June 2019: Presented by Accounting Manager Chase Donnelly.
Manager Donnelley summarized the June 2019 Monthly Financial Report. Notable areas include:
CD Permits and Fees
• Business License Fees
e Property Tax
Sales Tax
m Probation Revenue
Admissions Tax
• Business License Fees
• Park & General Recreation Funds
• Utility Tax
• Real Estate Excise Tax
® Lakehaven Utility District
Motion made by Councilmember Assefa-Dawson to forward the June 2019 Monthly Financial
Report to the August 13, 2019 consent agenda for approval; motion seconded by Councilmember
Tran and carried 3-0.
Tuesday, July 23, 2019 Page 2
CITY OF
Federal Way
OTHER:
• There was discussion made by the Committee to cancel the August 27, 2019 meeting.
Motion made by Councilmember Assefa-Dawson to cancel the August 27, 2019 Committee
meeting; motion seconded by Councilmember Tran and carried 3-0.
Chair Duclos presented a Memorandum handout titled FEDRAC Quarterly Presentations July 23,
2019 from Economic Development Director, Tim Johnson. This was an informational update to
the Committee on current projects and major reports. Director Johnson plans to give an
update at the September FEDRAC meeting. Below is an overview of the handout on workload.
o Business Inquiries and Activities for: DaVita, IRG reuse of former Weyerhaeuser site,
Neumeier Engineering's, and Advance Engineering and Manufacturing new facility.
o University Initiative
o Sound Transit: Review of development and economic opportunities related to FWLE
o Downtown Development: Downtown Analysis, Market Overview, Conditions and
Considerations Report, Potential opportunities, and Retail Gap Analysis
o Completion of annual visitation of Foreign Consulates
o Tourism Related Tasks: LTAC meetings, Scope of Work improving off season Tourism,
Completion of staff report and approval of Tourism Promotion Area, Contracts and their
reconciliation for LTAC/TEG Grants, Name change ordinance for LTAC and Contract for
LTAC website
NEXT MEETING: Tuesday, September 24, 2019 @ 4:30 p.m.
MEETING ADJOURNED: The meeting was adjourned at 4:57 p.m.
Attest:
Approved by Committee:
l-.,
Dana Almberg, Administr Assistant II Date
Tuesday, July 23, 2019 Page 3