FEDRAC MINS 02-24-2004
City of Federal Way
City Council
Finance/Economic Development/Regional Affairs Committee
Tuesday, February 24, 2004
5:30 p.m.
City Hall
Mt. Baker Conference Room
MINUTES
Committee Members in Attendance: Chair Eric Faison, Member Jeanne Burbidge, and Member Jim Ferrell.
City Council Members in Attendance: Mayor Dean McColgan and Deputy Mayor Linda Kochmar.
Staff Members in Attendance: Iwen Wang, Management Services Director; David Moseley, City Manager;
Derek Matheson, Assistant City Manager; Pat Richardson, City Attorney; Tho Kraus, Finance Manager; Medhi
Sadri, Information Services Manager; Mary-Kate Martin, Building Official; Jason Suzaka, Management Analyst.
Others in Attendance: Federal Way Fire Department Chief Al Church, Federal Way Fire Department
Commissioners Mark Freitas, J. Roger Hershey, John Rickert, and Mark Thompson; Erica Hall, Federal Way
Mirror; Stanley Valdry.
1. CALL TO ORDER
Chair Eric Faison called the meeting to order at 5:30 p.m.
2. PUBLIC COMMENT
None.
Chair Faison announced that Item G is being stricken from tonight’s agenda.
3. COMMITTEE BUSINESS
a) Approval of the January 27, 2004 meeting minutes
Correction: The first paragraph in the public comment should read “minimum” instead of
“minimal.”
Motion to approve the January 27, 2004 meeting minutes as amended. Motion seconded and
carried.
b) Legislative and Regional Affairs Update
Presented by Der ek Math eson
Sales Tax Streamlining: Goal is to change the sourcing provisions from warehousing to point of
delivery (benefiting Federal Way and other cities). The House bill that would have done that is
technically dead, but staff is trying to revive it because it is preferable to the Senate bill. The
Senate bill has been amended in a way that would not benefit the City. The issues being debated
are when it would take effect and how much (if any) mitigation would go to cities that would be
hurt by the changes. A vote is scheduled for tomorrow and staff is trying to amend the bill so
that it is identical to the House bill.
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Transportation: Councilmember Burbidge will be in Olympia tomorrow to speak with legislators
on issues such as local voter appr oved fun din g option s an d state sh ar ed fuel tax r even ues.
Capital Budget: Staff is still trying to get more funding on capital projects such as the police
evidence building and the Twin Lakes Retention Pond.
PSRC bill: Sen. Eide tried to amend in the Senate but was unsuccessful in trying to amend the
bill so that that Federal Way is given an automatic seat on the Council like Kent, Renton, and
Bellevue. The bill was passed, left the Senate, and has been delayed in the House. While Kent
will benefit from the bill, they are staying opposed unless Federal Way is added, since the cities
sh ar e a l obbyi st .
Regional Issues: The big issue right now is in solid waste, and King County’s plan to close
Cedar Hill landfill. Rob VanOrsow is the representative for the City.
c) New City Hall Project Report
Presented by Der ek Math eson
Mr. Matheson reviewed the report with the committee. As of February 12, bids are 26% below
estimates, and staff has not had to touch the 10% contingency. There are still some projects that
need t o be put out for bi d.
Mr. Matheson complimented Steve Ikerd and David Clark for their hard work in bringing the
project along under budget.
d) Interlocal Agreement – Fire Dept. Space in New City Hall
Presented by Mar y-Kate Mar tin an d Der ek Math eson
Ms. Martin reviewed the agreement with the committee. There was some discussion regarding
the amortization clause in the agreement (see pages D4 and D9). If the city needed to terminate
the agreement early they would have to pay some portion of the cost of capital improvements.
Mr. Freitas explained that the primary purpose of the clause is to protect taxpayer money in the
event they need to find another venue for the permit counter. However, they strongly feel that
housing their fire permit staff with the rest of the city’s permit staff is both an efficient use of
taxpayer money as well as a service that has been needed in the community.
Motion to forward the interlocal agreement to full Council for approval. Motion seconded and
carried.
e) Airport Communities Coalition Interlocal Agreement
Presented by David Moseley
Mr. Moseley reviewed the agreement with the committee. Council member Kochmar added that
at the ACC meeting, the ACC Executive Committee stated that whoever is the designee for the
absen t elected r epr esen tative, h e/sh e is expected to vote accor din g to th e wish es of th e elected
representative. She thanked Mr. Moseley and Assistant City Manager Donna Hanson for their
work on the agr eemen t.
Chair Faison mentioned to the FWFD that they would be invited to participate and provide input
on the economic development work plan.
Motion to place the ACC Interlocal Agreement on the March 16, 2004 Council Consent
Agenda. Motion seconded and carried.
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f) Appr oval of Pur ch ase of PCs, Laptops, an d Radios
Presented by Medhi Sadri
Mr. Sadri reviewed the proposal with the committee. He confirmed to the committee that the
rugged laptops the police department is currently using are working very well, much better than
the non-r ugged versions. When asked what the city does with the old PCs after they are replaced,
he replied that the old PCs are typically “tricked down” to the volunteers/interns, and given a life
of another two years. Sometimes they are donated to non-profits or other agencies; however, last
year they had to pay to have them taken away. Most cities use a four-year lifespan as a rule of
thumb. The city has used Compaq computers for the past eight years; this standardization has
greatly helped with maintenance of the PCs.
The committee then asked about the inter-connectivity between the systems used by the city and
th ose in oth er agen cies such as Valleycom an d th e Fir e Depar tmen t. So far th er e h ave been ver y
few problems with other agencies. The Greater Federal Way Emergence Response Team will be
usin g WebEOC as par t of th eir emer gen cy pr epar edn ess plan .
Mr. Sadri also stated th at th e deal th e City r eceives on th e PCs is ver y good wh en compar ed to
th e r etail sector . Th e City pur ch ases busin ess ver sion s of th e PCs because th ey ar e ch eaper an d
do not have all the software that the City does not need.
Motion to award the purchase of rugged laptops to Group Mobile LLC for $40,247.30, 20
Compaq PCs for $30,862.21, 5 Motorola portable and 5 mobile radio units for $27,467.70, and
10 Motorola vehicular radio modems for $26,640.00, and forward the request to full Council
for approval. Motion seconded and carried.
g) Items for Econ omic Wor k Plan
As stated at the beginning of the meeting, this item has been stricken.
h) Final 2003 Financial Report
Presented by Th o Kr aus
Ms. Kraus reviewed the Final 2003 Financial Report with the committee. Among some of the
changes: A lien has been filed against one of the casinos that had not been paying their gambling
taxes, an d th e City r eceived $32,000 from Qwest for the 1% utility tax that had been previously
un collected by th e compan y.
The City has approximately $60.5 million in various investment activities. The return on
in vestmen ts h as been lower in r ecen t year s main ly due to cur r en t low in ter est r ates. Th e
remaining $11.45 million Celebration Park debt has now been paid off.
Motion to accept the financial report and forward to full Council for approval. Motion
seconded and carried.
i) Vouchers
Presented by Th o Kr aus
Ms. Kraus presented the vouch er s for approval.
• Th e cater in g ser vices th r ough Café Pacific on page I30 ar e pass th r ough costs, wh er e th e
customer pays the Parks Department, who in turn pays the vendor.
• Th e Kin g Coun ty Fin an ce Division costs on page I38 ar e for jail ser vices (mon ey used to
pay for housing inmates) and some traffic signal maintenance.
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• The Valleycom charges on page I50 are for its operations – now that the city is a
member, its costs for calls for services are significantly cheaper than when the city was a
subscriber.
• Staff reported that the South 288th project (Voucher #177181 on page I7) is on time and
under budget.
• The Parametrix voucher on page I9 is a pass through charge – it is paid by Christian
Faith Center to the city who in turn pays Parametrix.
Motion to accept the vouchers and forward to full Council for approval. Motion seconded and
carried.
4. OTHER
None.
5. FUTURE AGENDA ITEMS
Chair Faison asked that any agenda items for the March 9 FEDRAC-ED meeting be sent to Patrick
Doherty. There are two types of items – one is things we want to accomplish before the developer’s
forum, the other type is for more general economic development items.
6. NEXT SCHEDULED MEETING
FEDRAC on Economic Development: March 9, 2004 at 5:30 p.m. in the Mt. St. Helens Room.
FEDRAC: March 23, 2004 at 5:30pm in the Mt. Baker Room.
7. ADJOURN
Chair Eric Faison adjourned the meeting at 6:35pm.
Recorded by Jason Suzaka