FEDRAC MINUTES 10-27-2015
City Council
Finance/Economic Development/Regional Affairs Committee
Tuesday, October 27, 2015 Federal Way City Hall
4:30 p.m. Hylebos Conference Room
SUMMARY MINUTES
CALL TO ORDER: Committee Chair Duclos called the meeting to order at 4:30 p.m.
COMMITTEE MEMBERS IN ATTENDANCE: Councilmember Duclos, Councilmember
Moore
COMMITTEE MEMBER EXCUSED: Councilmember Celski
COUNCILMEMBERS IN ATTENDANCE: Councilmember Honda, Deputy Mayor Burbidge
arrived at 4:31
STAFF MEMBERS IN ATTENDANCE: Finance Director, Adé Ariwoola; Chief of Staff, Brian
Wilson; City Attorney, Amy Jo Pearsall; Chief of Police, Andy Hwang; Economic
Development Director, Tim Johnson; Accounting Supervisor, Chase Donnelly; IT Manager,
Thomas Fichtner; Economic Development Director, Tim Johnson; Administrative
Assistant, Robyn Buck; and Financial Analyst, Tom Brown;
OTHERS PRESENT: Jerry Knutzen of the Historical Society, Ryan Miller of Hampton Inn
Suites, Jenny Vasquez of Marriott.
AGENDA APPROVAL: Motion to approve the Agenda as presented; motion seconded
and carried 2-0.
APPROVAL OF SUMMARY MINUTES: Motion to approve the September 22, 2015
minutes as presented; motion seconded and carried 2 -0.
Public Comment: Jerry Knutzen of the Historical Society spoke regarding additional
financial support for the Historical Society to cover current operations, services and
expansion. Tuesday, October 29, 2015 Page 1
Traffic Safety Photo Enforcement Program: Presented by Chief of Police, Andy Hwang.
Chief Hwang reported that high volume intersections were picked for Red Light Cameras.
There has been a noticeable reduction of accident and speed related incidents in school
zones. The cameras have improved traffic flow and safety through those intersections.
Using cameras means we do not have to station officers in these intersections. The
cameras are there 24/7, in the chronic high volume locations. Councilmember Honda
wanted to know why there is only one camera at 312th and Pacific Hwy S. According to
analysis and study, another camera was not needed there, said Chief Hwang. Traffic
reports come out bi-annually, but can be produced upon request.
No further action necessary.
Fall Tourism Enhancement Grant (TEG) Awards: Presented by Economic Director, Tim
Johnson.
We are currently in the fall cycle of grant distribution. There is $12,500 left to allocate.
Three applications were submitted; PNW Swimming ($10,000), Center Stage Theater
event for Christmas ($2,000), Pacific Bonsai Forum ($500). Councilmember Honda was
concerned about the lack of parking at the Aquatic Center. Councilmember Duclos would
like the City to partner with King County to find more parking for the PNW swimming
event. Director Johnson promised to look into that and report back to the committee.
Motion to approve and forward the Fall Tourism Enhancement Grant (TEG) Awards to
the November 3, 2015 consent agenda for approval; motion seconded and carried 2-0.
Update on Progress of Tourism Promotion Area (TPA): Presented by Economic Director,
Tim Johnson and Ryan Miller, General Manager of Hampton Inn Suites.
Mr. Miller said there is a $2 maximum fee that can be charged per room per night as
according to state law. This money can be used for marketing and promotion of tourism
for the City. LTAC would like to see this implemented in the City of Federal Way. Mr.
Miller is currently gathering signatures to have the information brought to Council. As of
right now, he has 50.66% signatures of the hotel owners needed to submit the petition
to the City to create a TPA. 75% signatures of the hotel owner are needed for it to be
forwarded to the city. If this passes, funds will not start being collected until summer of
2016. Tukwila and Seattle South Side have created a TPA for their hotels.
No further action necessary Tuesday, October 29, 2015 Page 2
Formation of Hospitality Education and Training Program: Presented by Economic
Director, Tim Johnson and Jenny Vasquez, Manager of Federal Way Marriott Hotel.
Ms. Vasquez presented a brief progress report of plan to develop a program for frontline
hospitality workers. There are currently two subcommittees. One subcommittee would
identify and implement a work plan to teach frontline workers about what the city has to
offer. That way those frontline workers could intelligently recommend Federal Way
places to dine, shop, visit to hotel guests. The second subcommittee would work on
hospitality training program classes offered twice a year to owners, managers, and front
line workers. They are looking to partner with High Line Community College to offer
training classes as they did for Vancouver, BC for the Olympics. There are no costs
identified yet, but some funds have been identified. This would be funded by the lodging
tax dollars.
No further action necessary.
2015-16 Mid-Biennium Budget Adjustment Calendar: Presented by Finance Director,
Adé Ariwoola.
Mr. Ariwoola spoke about the Council meeting dates for the Mid-Biennium Budget
Adjustment. This is not a full blown budget process. The first meeting on the budget will
be November 2, 2015.
No further action necessary.
2015/16 Mid-Biennial Budget Amendment: Presented by Finance Director, Adé
Ariwoola.
These are the changes that will be brought to Council. Major changes in the General
Fund are focused on SCORE, Valley Com, and the King County jail facility.
Motion to approve and forward the 2015/16 Mid-Biennial Budget Amendment to the
November 17, 2015 Council Meeting for the First Reading; motion seconded and carried
2-0.
Tuesday, October 29, 2015 Page 3
Authorizing Finance Director to Certify the Levy to the County Legislators: Presented by
Finance Director, Adé Ariwoola.
The certification of the levy will not happen until sometime in December. The law is
written as either we increase the property tax by 1% or the index, whichever is lower. For
2016, it is less than 1% (.251). In terms of the total revenue for the City, sales tax is up
(majority of it from construction), utility tax is down, REET revenue is very good.
Motion to approve and forward the Authorizing Finance Director to Certify the Levy to
the County Legislators to the December 1, 2015 consent agenda for approval; motion
seconded and carried 2-0.
2016 Property Tax Levy: Presented by Finance Director, Adé Ariwoola.
The proposed property tax levy rate will decrease from $1.248 to $1.191 per $1,000. The
city will not be able to get the 1% increase, but instead get 0.251% increase.
Mr. Ariwoola also spoke about City Service Fees. We have the lowest fees in comparison
to other cities. Most fees have not been raised since 2011. Mr. Ariwoola will compile a
list of fees that should be increased. Even with increasing specific fees by 15-20%, those
fees would still be lower than other cities.
Motion to approve and forward the 2016 Property Tax Levy to the November 17, 2015
Council Meeting for the First Reading; motion seconded and carried 2-0.
Opengov: Presented by Finance Director, Adé Ariwoola and IT Manager, Thomas
Fichtner.
Mr. Fichtner presented the Opengov and Data.gov websites which show how the sites
work/look to the public using real city information. Mr. Ariwoola said that Opengov is
very good from a historical perspective, but not so informative for individual, specific
questions. Cost is estimated to be approximately $15,000 per year (plus $3,000 set up
fee). Currently, citizens are requesting information, but not commenting/complaining on
the use of our website. Our current informational reports are compiled according to
government regulations. It is not presented in a manner that is easy for the public to use.
Councilmember Moore asked about Councilmember Celski’s comment on Opengov and
Mr. Ariwoola read the Councilmember Celski’s comment stating he is in support of
further evaluation of the opengov idea. Councilmember Duclos would like the IT
department to do more exploration and would like to know the Mayor’s perspective.
Tuesday, October 29, 2015 Page 4
No further action necessary.
SCORE – September 2015: Presented by Finance Director, Adé Ariwoola
Mr. Ariwoola reviewed the SCORE Financial Summary for September 2015.
The data shows that based on agency arrest by inmate and residency, Federal Way ADP
is lower in September than previous months, however, we will not see the benefit until
2017. The September ADP is below the 2015 budget. If we continue this, it will serve us
well for 2017.
No further action necessary.
MONTHLY FINANCIAL REPORT – September 2015: Presented by Finance Director, Adé
Ariwoola.
Mr. Ariwoola summarized the Monthly Financial Report for September 2015. Notable
areas include: comparison of what the policy is and where we are in terms of the Fund
Balance. We are within range of what the Council established.
Motion to approve and forward the September 2015 Monthly Financial Report to the
November 3, 2015 consent agenda for approval; motion seconded and carried 2-0.
VOUCHERS - September 2015: Presented by Finance Director, Adé Ariwoola.
There were no comments regarding vouchers.
Motion to approve and forward the September Vouchers to the November 3, 2015
consent agenda for approval; motion seconded and carried 2-0.
NEXT MEETING: Tuesday, November 24, 2015 @ 4:30 pm
MEETING ADJOURNED: 6:28p.m.
Tuesday, October 29, 2015 Page 5