2019-05-07 Council MIN - Special CITY OF
Federal Way
CITY COUNCIL
SPECIAL MEETING MINUTES
Council Chambers - City Hall
May 7, 2019 — 5:00 p.m.
1. CALL MEETING TO ORDER
Mayor Ferrell called the meeting to order at 5:00 p.m.
City officials in attendance: Mayor Jim Ferrell, Deputy Mayor Susan Honda, Councilmember Lydia
Assefa-Dawson, Councilmember Jesse Johnson, 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.
Mayor Ferrell announced Councilmember Tran is on the phone and will be participating in the meeting
telephonically.
3. STUDY SESSION
a. Sound Transit— Interim Use of Downtown Properties
Economic Development Director Tim Johnson briefed Council on the issue of interim use of
downtown properties. He feels the city needs to examine temporary use opportunities created
by pre-construction of the Federal Way Link Extension (FWLE) Light Rail Station
Development. The area includes 11.6 acres of downtown property and will include:
• Relocation of 6 property owners
• Relocation of 25 businesses
• Loss of 300 full and part-time jobs
• Short term and long term revenue loss (sales tax, REET, property tax)
Mr. Johnson stated beginning the construction in Federal Way(and constructing north)could
be beneficial by attracting investors and developers interested in taking advantage of a
timeframe for Opportunity Zone Financing & New Market Tax Credits.
He stated temporary uses could avoid negative externalities, increase economic and financial
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May 7, 2019
impacts and enhance community engagement. A temporary use would not include new
construction or major renovations; all current city codes would be followed and would be
facilitated through use of existing parking lots and building space. Such uses could include:
parking, rental car facilities, retailers and education or office space.
Mr. Johnson is recommending the Council authorize the Mayor to draft a letter to Sound
Transit CEO and Board to request a meeting to relay and reinforce the values of future
development and discuss short term and long term opportunities for the area.
Councilmembers thanked Mr.Johnson for the information presented. Questions were raised
about residential owners affected, the maintenance and upkeep of the properties, and the
dollar figure for the loss due to construction.
Finance Director Ade Ariwoola stated based on analysis from prior years, he anticipates an
approximate loss of 2.4 million prior to construction, however a substantial gain during and
after construction.
Public Works Direct EJ Walsh spoke to the questions regarding property maintenance. He
clarified right-of-way upkeep is the city's responsibility and private property is the property
owners responsibility. Sound Transit is responsibility for property maintenance once they take
ownership. Prior to closing,the current property owner is notified by code compliance of code
violations and are responsible for making the corrections. He noted there are points of contact
in Public Works, Community Development and the Police Department who work with the
public and Sound Transit on these issues.
Community Development Director Brian Davis spoke regarding Sound Transit acquiring
properties and the current state of buildings and property in this particular area of downtown.
He has encouraged Sound Transit to take down empty buildings once they are vacated as
they are a less attractive nuisance. Empty buildings can become desirable to those wishing to
hide illegal activity.
Director Davis demonstrated to the Council and the audience how to report a code violation
via the city's website which goes directly to the staff members handling these issues.
Sound Transit Liaison Tony Doucette gave background on his position, which is to work
directly with Sound Transit on behalf of the city's interests. He is currently working on the
development agreement which will be coming to the next City Council meeting as an
ordinance.
b. Council Questions/Discussion
Councilmembers thanked Mr.Walsh, Mr. Davis and Mr. Doucette for their presentations and
asked clarifying questions of the team. Council consensus was to draft a letter to send to the
Sound Transit Board of Directors and CEO outlining current concerns and to discuss the
possibility of temporary uses before and during construction.
4. CITIZEN COMMENT
No citizen comment was given.
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May 7, 2019
5. ADJOURNMENT
There being nothing further on the agenda; the Special Meeting was adjourned at 6:09 p.m.
Attest:
li't gAttbI
S -.h.nie Courtney
City Clerk
4
Approved by Council: D5I942011
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May 7, 2019