FEDRAC MINUTES 7-25-2017 CITY'0i
Federal Allay
City Council
Finance/Economic Development/Regional Affairs Committee
Tuesday,July 25, 2017 Federal Way City Hall
4:30 p.m. SUMMARY MINUTES Hylebos Conference Room
CALL TO ORDER: Committee Chair Duclos called the meeting to order at 4:30 p.m.
COMMITTEE MEMBERS IN ATTENDANCE: Councilmember Honda, Councilmember Moore
COMMITTEE MEMBER EXCUSED:
COUNCILMEMBERS IN ATTENDANCE: Deputy Mayor Burbidge, Councilmember Koppang
STAFF MEMBERS IN ATTENDANCE: Finance Director, Ade Ariwoola; City Attorney, Ryan
Call; Deputy Public Works Director/PAEC Project Director, EJ Walsh; Community
Development Director, Brian Davis; IT Manager, Thomas Fichtner; Public Works Director,
Marwan Salloum; Chief of Police, Andy Hwang; Accounting Supervisor, Chase Donnelly;
Administrative Assistant, Robyn Buck.
OTHERS PRESENT:
PUBLIC COMMENT:
Motion to add CITY OF AUBURN-CITY OF FEDERAL WAY INTERLOCAL AGREEMENT FOR
ESTABLISHING AND MAINTIANING OFFICE SPACE FOR THE PSATT as item B to the agenda
and move subsequent items accordingly; motion seconded and carried 3-0.
APPROVAL OF SUMMARY MINUTES: Motion to approve the June 27, 2017 minutes;
motion seconded and carried 3-0.
CITY OF AUBURN-CITY OF FEDERAL WAY INTERLOCAL AGREEMENT FOR ESTABLISHING
AND MAINTIANING OFFICE SPACE FOR THE PSATT: Presented by City Attorney, Ryan Call
and Chief of Police, Andy Hwang.
Federal Way is financial agent for the PSATT. We pay the lease and the State reimburses us.
The substance for the presented draft will not change, however the amounts for janitorial,
internet and utilities still need to be identified. The agreement is between Auburn and
Federal Way. Reimbursement is fairly quick. The float amount is approximately $5k per
month.
Tuesday,July 25, 2017 Page 1
CITY'0i
Federal Allay
Motion to forward the CITY OF AUBURN-CITY OF FEDERAL WAY INTERLOCAL AGREEMENT
FOR ESTABLISHING AND MAINTIANING OFFICE SPACE FOR THE PSA TT to the August 8,
2017 consent agenda for approval; motion seconded and carried 3-0.
WIFI SITE LEASE — FEDERAL WAY CENTER BUILDING: Presented by It Manager, Thomas
Fichtner.
The building where the Wi-Fi equipment is located is under new ownership, which requires
a new site lease agreement. This is a 5 year lease agreement with two options to renew.
The monthly cost of the lease is in the 2017-18 IT budget.
Motion to forward the proposed Agreement to the August 8, 2017 consent agenda for
approval; motion seconded and carried 3-0.
COPIER/PRINTER MAINTENANCE AMENDMENT 1: Presented by It Manager, Thomas
Fichtner.
This is an amendment to the smaller six year contract that expired in 2016. The
amendment is to increase the "not to exceed by amount" from $19,500 to $48,000 and
extend the contract until 10/31/17. This is basically a stop-gap agreement until a new
vendor is chosen via an RFP. Once the RFP is complete, there may be a need to seek an
increase in the budget for this item in 2018.
Motion to forward the proposed Agreement to the August 8, 2017 consent agenda for
approval; motion seconded and carried 3-0.
ST3 PROGRESS PRESENTATION: Presented by Deputy Public Works Director/PAEC Project
Director, EJ Walsh; Community Development Director, Brian Davis; and Public Works
Director, Marwan Salloum.
Mr. Walsh presented a power point on the ST3 link extension in Federal Way which
summarized the progress thus far. Per our zoning and comprehensive plan, we have input
on what can be built on the surplus properties. ST3 will seek permitting from the City of
Federal Way. The first group of property project sites was presented that the ST3 Board
meeting in May. Formal offers will go out in late July- early August. The second group
property project sites will go to the ST3 Board in August. Federal Way businesses make the
choice to relocate in Federal Way or not. ST3 must follow Federal Relocation Guidelines.
Councilmember Moore inquired as to whether or not the City of Federal Way can be
involved in the decision making process with property owners. The Committee agreed that
a positive outreach to business owners is necessary. This Committee also agreed that
Tuesday,July 25, 2017 Page 2
CITY'0i
Federal Allay
changes in zoning should be included in the planning commission projects for 2018. Council
can vote to have planning commission to change the zoning in downtown. There was a
consensus that there should be a special Council meeting once Council is clear as to what
they would like to see done.
No further action.
INVESTMENT PORTFOLIO MEMORANDUM: Presented by Finance Director, Ade Ariwoola.
Mr. Ariwoola summarized the memo included in the packet. The Reserve Policy is defined
by each fund.
No further action.
PAEC MONTHLY REPORT: Presented by Finance Director, Ade Ariwoola.
The $2.1m NMTC money will be included in the July report. Most likely, $9.18m of the
$13m interfund loan will be what is used.
No further action.
MONTHLY FINANCIAL REPORT - JUNE 2017: Presented by Finance Director, Ade Ariwoola.
Mr. Ariwoola summarized the Monthly Financial Report for June 2017. Notable areas
include:
• Dumas Bay — Doing well. Mr. Ariwoola will bring a 5 year plan to the next FEDRAC.
• Sales Tax — Holding up.
• Utility Tax — Doing well.
• CD Permits and Fees — $33k below 2017 year to date budget because most of the big
construction is complete.
• PAEC— Subsidy is moved into the account as needed.
Motion to forward approval of the lune 2017 Monthly Financial Report to the August 8,
2017 consent agenda for approval; motion seconded and carried 3-0.
VOUCHERS—JUNE 2017: Presented by Finance Director, Ade Ariwoola.
There were no questions on vouchers.
Motion to forward the Vouchers to the August 8, 2017 consent agenda for approval;
motion seconded and carried 3-0.
Tuesday,July 25, 2017 Page 3
CITY'0i
Federal Way
OTHER:
Federal Way was selected as one of three medium sized cities to be part of the pilot
program for the Financial Sustainability Index. Our procedures will be part of the best
practices for other cities.
NEXT MEETING: Tuesday, August 22, 2017 @ 4:30 p.m.
MEETING ADJOURNED: 6:22 p.m.
Tuesday,July 25, 2017 Page 4