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2018-07-03 Council MIN - Regular Nib, CITY OF Federal Way CITY COUNCIL REGULAR MEETING MINUTES Council Chambers - City Hall July 3, 2018 — 7:00 p.m. 1. CALL MEETING TO ORDER Mayor Ferrell called the meeting to order at 7:04 p.m. City officials in attendance: Mayor Jim Ferrell, Deputy Mayor Susan Honda, Councilmember Lydia Assefa-Dawson,Councilmember Jesse Johnson,Councilmember Hoang Tran,Councilmember Mark Koppang, Councilmember Martin Moore, and Councilmember Dini Duclos. City staff in attendance: City Attorney Ryan Call and City Clerk Stephanie Courtney. 2. PLEDGE OF ALLEGIANCE Mayor Ferrell led the flag salute. 3. MAYOR'S KEY TO THE CITY— SHELLEY PAULS Mayor Ferrell was pleased to present Shelley Pauls with the Key to the City. Ms. Pauls is known throughout the Community for her role in bringing together people to work together on volunteer projects and with her involvement of"We Love Our City" volunteer group. Ms. Pauls thanked Mayor Ferrell and the City Council, she also thanked all the volunteers who come out and show their love for this community. She also thanked her husband Dwight for all his help and support. They love this community and appreciate those who donate and volunteer their time to the projects and programs that make Federal Way a great place to live. At 7:12 p.m. Mayor Ferrell announced the Council would recess for a brief reception to honor Ms. Pauls for approximately fifteen minutes. Mayor Ferrell called the meeting back to order at 7:35 p.m. 4. PRESENTATIONS a. Mayor's Emerging Issues and Report 25th Annual Red, White and Blues Festival Parks Director John Hutton reported the festival begins at 4:00 p.m. at Celebration Park. Parking is limited; he encouraged carpooling and reminded everyone to please leave pets Federal Way City Council Regular Minutes Page 1 of 7 July 3, 2018 at home. They are anticipating a large crowed this year with Special Olympics in town.The festival is free and has a wide range of musical acts and performances along with food vendors and activities for the family. He also noted the weather is projected to be warm, so attendees should prepare for the sun; there will be a misting station for people to cool off. Fireworks Briefing Deputy Chief Kyle Sumpter presented information on the personal use of fireworks within the city limits. He spoke to injuries,fires, noise, and air pollution concerns. Fireworks have been illegal in the city since April 1990, shortly after incorporation. He clarified that any and all fireworks are illegal. Deputy Chief suggested folks attend and enjoy the free community festival and fireworks display. Special Olympics USA Mayor Ferrell reported on the final leg of the Special Olympics Torch Run which came through Federal Way on June 28. He was pleased to attend opening ceremonies with many members of the City Council in Husky Stadium. He feels it was a tremendous honor to be a part of these games and thanked city staff who were involved with the competitions in the city including softball and swimming. b. Council Committee Reports Finance Committee: Chair Duclos reported there is a special meeting on Monday, July 9 at 5:00 p.m. in the Hylebos Conference Room. These special meetings will focus on on revenue options. Lodging Tax Advisory Committee: Chair Moore reported on the recent and upcoming events in the city which have brought visitors from as far away as Egypt. Land Use/Transportation Committee: Chair Koppang reported the committee met last night and discussed repaving and the city overlay program and the self-storage design guidelines. Parks/Recreation/Human Services/Public Safety Committee:Chair Johnson reported last meeting was June 12 where they discussed many issues including an update from the Homelessness Task Force which will continue through December. He noted the next meeting will be July 10. 5. CITIZEN COMMENT Catherine Crawford shared her support for cannabis retail in the city. She feels smart zoning can result in businesses opening in appropriate locations and being well run. Chris Leavitt reminded those present that less than three years ago the city participated in an advisory vote regarding retail cannabis and it resulted with a 61.4% vote against pot sales in Federal Way. Winston Bell works with Federal Way Youth Action Team which was formed in 2016 in response to violence committed in the community. He started a sport mentorship program called Game of Life which helps buildings trust by playing sports. He requested funding assistance from the City of Federal Way and usage of the old Target building. Monica Duran requested assistance in her interactions with Code Enforcement and the Police Federal Way City Council Regular Minutes Page 2 of 7 July 3, 2018 Department; she feels she is getting harassed through her neighbor's complaints. Sarah Carbary announced the Billy McHale's booth at the Red White and Blues Festival will be donating a portion of their proceeds to the Do the Right Thing Program. She also shared regarding multiple events in the area supporting the youth movement. Jack Walsh thanked the Mayor and Council for honoring Shelley Pauls. He spoke against retail cannabis and cited the advisory vote when 62%of the community voiced their strong opinion against retail marijuana in the area. Linda Kochmar spoke regarding the discussion that occurred at the State level during the legalization of marijuana. She shared concerns and suggested the city wait before moving forward to allow issues to be resolved. Jim Stiles referenced the 2015 Advisory Vote and whether or not allowing cannabis would help foster a family-oriented community. Dennis Styles shared that he works with the programs for youth and feels that the cannabis issue should be addressed with families and in the home, not through legislation. Jonte Ausler feels that we cannot leave the raising of the community to the police,that we must reach out and support our community. Lyn ldahosa addressed a report presented at the May Parks, Recreation, Human Services and Public Safety (PRHSPS) Committee meeting; and questioned some of the information contained in the report. She also spoke regarding homeless encampments and youth programs. Damenique Duncan expressed his gratitude for positive teachers and role models in the community. He would like to see the kids taught more life skills. Betty Taylor announced National Night Out is taking place on August 7. She shared it is designed to prevent crime and send a statement to criminals that neighbors are watching out for each other. Gregory Baruso shared regarding the Flavor of Federal Way which will occur August 18 at Town Square Park. This event will feature food vendors and local talent. It is being hosted by the Diversity Commission in partnership with Advancing Leadership. Allison Taylor referenced comments from a previous meeting indicating that she was not mad, but was passionate. She asked Councilmember Duclos to allow online submission of ideas for the upcoming Financial, Economic Development, and Regional Affairs Committee (FEDRAC) revenue meetings. She also expressed aggravation regarding the hasty generalization in regards to pot shops. Letter read into the record by the City Clerk from Roger Flyqare thanked Mayor Ferrell for his reconsideration of renaming S 320th Street. He also announced a planned event for addressing taxes. Letter read into the record by the City Clerk from Chris Nisosia opposing cannabis stores in Federal Way. 6. CONSENT AGENDA a. Minutes: June 19, 2018 Regular and Special Meeting b. Monthly Financial Report— May 2018 Federal Way City Council Regular Minutes Page 3 of 7 July 3, 2018 c. Vouchers—May 2018 DEPUTY MAYOR HONDA MOVED APPROVAL OF CONSENT AGENDA ITEMS A-C AS PRESENTED; COUNCILMEMBER KOPPANG SECOND. The motion passed unanimously as follows: Deputy Mayor Honda yes Councilmember Koppang yes CouncilmemberAssefa-Dawson yes Councilmember Moore yes Councilmember Johnson yes Councilmember Duclos yes Councilmember Tran yes 7. COUNCIL BUSINESS a. Northlake Management District Advisory Committee Appointment COUNCILMEMBER KOPPANG MOVED TO APPOINT DARRON NASH AS A VOTING MEMBER OF THE NORTH LAKE MANAGEMENT DISTRICT ADVISORY COMMITTEE WITH A TERM TO EXPIRE MARCH 15, 2020; COUNCILMEMBER DUCLOS SECOND. The motion passed unanimously as follows: Deputy Mayor Honda yes Councilmember Koppang yes CouncilmemberAssefa-Dawson yes Councilmember Moore yes Councilmember Johnson yes Councilmember Duclos yes Councilmember Tran yes b. Arts Commission Appointment(s) - Clerk's Note: No action was taken on this item. c. Parks and Recreation Commission Appointment COUNCILMEMBER JOHNSON MOVED TO APPOINT BOBBY JENNINGS TO FILL AN ALTERNATE MEMBER POSITION EXPIRING APRIL 30, 2019 ON THE PARKS AND RECREATION COMMISSION; COUNCILMEMBER ASSEFA-DAWSON SECOND. The motion passed unanimously as follows: Deputy Mayor Honda yes Councilmember Koppang yes CouncilmemberAssefa-Dawson yes Councilmember Moore yes Councilmember Johnson yes Councilmember Duclos yes Councilmember Tran yes d. Diversity Commission Appointment COUNCILMEMBER JOHNSON MOVED TO APPOINT MAHJABIN QURESHI AS A VOTING MEMBER OF THE DIVERSITY COMMISSION WITH A TERM TO EXPIRE MAY 31, 2021; COUNCILMEMBER MOORE SECOND. The motion passed unanimously as follows: Deputy Mayor Honda yes Councilmember Koppang yes CouncilmemberAssefa-Dawson yes Councilmember Moore yes Councilmember Johnson yes Councilmember Duclos yes Councilmember Tran yes e. Proposed Repurchase of Vacant Property Adjacent to the Performing Arts & Event Center(The Hotel Property) Federal Way City Council Regular Minutes Page 4 of 7 July 3, 2018 City Attorney Ryan Call presented a brief presentation and background on the proposed repurchase of the hotel pad adjacent to the Performing Arts and Event Center. He noted the contract is clear regarding the terms of the sale and the option to repurchase the property should the construction and development timelines and standards not be met. In June 2017,the City sold 1.86 acres of property to Ottone-Salinas to be developed into a hotel for a purchase price of$2,187,756.The contract included restrictions on the property including specific timelines of construction. The Developer is currently in breach of the contract and the Council has the one-time option to repurchase the property. He noted this is the City's opportunity repurchase the property for the amount it was sold, for the next 30-days. If the City chooses not to purchase the property now,the option to purchase will terminate permanently. Funding would be authorized by a separate resolution which is also on tonight's agenda. The resolution outlines the funding mechanism including$2M from Strategic Opportunities Reserves, and $300,000 from Contingency for Unanticipated Cost Reserve. Councilmembers thanked Mr. Call for the presentation and asked clarifying questions regarding the use of the property and the restrictive easement on the property, the value of the property currently, and if the current owner can sell to a party other than the city. Mr. Call noted the City is currently in negotiations to address the operating easement;the property has not been re-appraised; and the city has the first right of refusal for re- purchase. If the city does not approve the re-purchase,the current owner can market and sell the property with the same conditions and restrictions. The City Attorney Call also answered additional questions regarding the funding of the re- purchase;the repayment and long-term plan for this parcel; and any property taxes for this property. Councilmembers commented on their vision for this area and the importance of the control over this property,which is located by design in very close proximity to the new Performing Arts and Event Center. Council would like to be more involved in a cohesive plan for this property and redevelopment in the future. Finance Director Ade Ariwoola also provided additional background and answered questions regarding the proposed funding and draft resolution (Agenda Item 7f). DEPUTY MAYOR HONDA MOVED TO AUTHORIZE THE USE OF CITY FUNDS NOT TO EXCEED $2,187,756.00 PLUS CLOSING COSTS TO COMPLETE THE CITY'S PURCHASE OF THE 1.86 ACRE PARCEL OF REAL PROPERTY ADJACENT TO THE PERFORMING ARTS AND EVENT CENTER (PARCEL NUMBER 092104-9331)AND AUTHORIZE THE MAYOR TO EXECUTE ALL NECESSARY DOCUMENTS TO ACCOMPLISH SAID PURCHASE;COUNCILMEMBER DUCLOS SECOND. The motion passed unanimously as follows: Deputy Mayor Honday es Councilmember Koppang yes Councilmember Assefa-Dawson yes Councilmember Moore yes Councilmember Johnson yes Councilmember Duclos yes Councilmember Tran yes f. RESOLUTION: Authorizing the Use of Strategic Opportunity Reserve Funds and Contingency for Unanticipated Cost Funds to Fund the Repurchase of Parcel No.092104- 9331 and Closing Costs This item was discussed in connection with the previous item; no additional presentation was given. Federal Way City Council Regular Minutes Page 5 of 7 July 3, 2018 DEPUTY MAYOR HONDA MOVED APPROVAL OF THE PROPOSED RESOLUTION; COUNCILMEMBER DUCLOS SECOND. The motion passed unanimously as follows: Deputy Mayor Honda yes Councilmember Koppang yes CouncilmemberAssefa-Dawson yes Councilmember Moore yes Councilmember Johnson yes Councilmember Duclos yes Councilmember Tran yes g. Council Discussion on Potentially Allowing the Siting of Marijuana Retailers in the City Assistant City Attorney Eric Rhoades gave a brief presentation regarding Washington State excise tax distribution and Federal Way's current position with allowing retailer in the city. He noted the revenue the state has collected each year has increased in the last years. The allocations and appropriations are set at a formula of$6M for the years 2016 and 2017; increased to$15M in the following two years. The appropriation is distributed to the cities and counties that have no ban on marijuana sales. He highlighted neighboring cities distributions and number of licenses allowed, as reported by the Liquor and Cannabis Board reporting in 2016. Federal Way is currently allotted 4 retail license locations, if the city allowed the zoning. The City requested an advisory vote in November 2015 where the results showed residents were opposed to locating marijuana retailers in the city. Councilmembers thanked Mr. Rhoades for the presentation. Discussion and comments were varied including the need for additional revenue;the close location of retailers on the city's borders currently; and the desire to follow the communities response to the advisory vote. DEPUTY MAYOR HONDA MOVED TO SUSPEND COUNCIL RULES AND EXTEND THE MEETING PAST 10:00 P.M.; COUNCILMEMBER MOORE SECOND. The motion passed unanimously as follows: Deputy Mayor Honda yes Councilmember Koppang yes CouncilmemberAssefa-Dawson yes Councilmember Moore yes Councilmember Johnson yes Councilmember Duclos yes Councilmember Tran yes Mayor Ferrell left the room briefly at 9:56 p.m. turning the meeting over to the Deputy Mayor. He returned to chambers at 9:59 p.m. Council continued to debate this issue; including addressing the recent development of King County authorizing a retail store on the very edge of our city in unincorporated King County. Many Councilmembers were supportive of continuing to research and engagement on this issue including hearing from the citizens, and increasing education to our children and students. 8. COUNCIL REPORTS Councilmember Assefa-Dawson recently attended the AWC Conference and enjoyed the sessions she was able to attend. She would like to see the city to focus on implanting ideas in the community that showcase us "Centered on Opportunity". She also thanked Councilmember Koppang for his leadership, and solid voice of reason on the Council. Federal Way City Council Regular Minutes Page 6 of 7 July 3, 2018 Councilmember Johnson marked today as his and Councilmember Tran's 6 month in office. He read a prepared statement and welcomes all feedback. He also noted the top priorities which Council addressed at the annual retreat and the accomplishments and items still outstanding he would like to continue to work towards. He would like to creatively partner with the citizens on these important issues in the near future. Councilmember Tran wished the Mayor, Councilmembers, city staff and the residents of the city a happy and safe fourth of July. Councilmember Koppang appreciates the discussion and input from his colleagues. He reported on his recent attendance at a ground breaking event in the community and his attendance at the Association of Washington Cities(AWC)Conference. He found it very insightful in gaining insight into the successes and challenges of other communities. He is also very thankful for the efforts made by staff and the amazing Parks Department for the 4th of July Festival and the Special Olympics events the next day. Councilmember Moore appreciates the conversations had this evening. He also reported on his attendance at the AWC Conference and especially appreciated a discussion on vacant office buildings in the city. He encouraged citizens to attend his small meet and greet opportunities in the community where various topics such as homelessness; property values, youth involvement, and economic development are discussed. Councilmember Duclos reported the next meeting of the Monday, July 9th at 5 on revenue enhancement—she asked citizens to forward any and all ideas. She spoke on the reasons she chose to local in Federal Way after a short period in Renton. She encouraged citizens to become involved in their community and support small and local businesses. She wished everyone a safe and happy 4th of July, and asked everyone to take care of your pets. Deputy Mayor Honda reported on volunteer city commission interviews this evening and current openings; she encouraged citizens to become engaged and involved. She would like to see a comprehensive list of programs offered to the youth in the city through the city, school district and other community partners. She reported on the citywide National Night Out event at Town Square Park on August 7 for those residents who do not have a neighborhood block party to attend, and she clarified the discussion for marijuana stores was added to the Council agenda by the Finance Committee. She also enjoyed the AWC Conference and discussions with our neighboring cities representatives. 9. ADJOURNMENT There being nothing further on the agenda; Mayor Ferrell adjourned the Regular Meeting at 10:52p.m. Attest: 4 � ► / / `i Al a ie Courtney City Clerk Approved by Council: 0'1,11-21)(' Federal Way City Council Regular Minutes Page 7 of 7 July 3, 2018