HomeMy WebLinkAboutCity Council Meeting - Council - Minutes - 07/26/2007 Special Kent City Council Meeting
K E N T WASHINGTOIa July 26, 2007
A special meeting of the Kent City Council was called to order at 5:30 p in. by Mayor Cooke.
Councilmembers present: Albertson, Clark, Harmon, O'Brien, Ranmger, Raplee and
Thomas.
Mayor Cooke announced that the subject of this meeting is the Kent Events Center. Chief
Administrative Officer Hodgson updated the Council on actions which have been taken since
May, outlined upcoming target dates, and explained the Public Facilities District process. He
discussed the naming rights issue, noting that at this point the City is at an impasse with
Amiga, since they have asked to reframe their funding method which would result in
providing the city a lower amount of money upfront.
Hodgson then displayed pictures of the design of the building He announced that all permits
are ready and said if Council approves the project tonight, construction could begin this week.
City Attorney Brubaker explained the following key elements of the License Agreement with
the Thunderbirds: arena design, construction change orders, liquidated damages if late
completion, terms and termination, Western Hockey League franchise forfeiture, ticket sales,
concession sales, advertising, scoreboard advertising, luxury suites, club seats, reserved
parking, exclusive team facilities, scheduling other events, and insurance Upon questions
from Councilmembers, Brubaker explained the number of parking spaces available, and
Hodgson explained the naming rights process in the event that Amiga does not come through.
Brad Tong then explained that the Maximum Allowable Construction Cost (MACC)
Agreement includes the cost to construct all of the work that the General Contractor will
perform He pointed out milestone dates and outlined the design and scope of the project.
Hodgson stated that the main driver of the opening date is the availability of steel to the site,
which is scheduled for December 2007.
Finance Director Nachlinger then described the economic benefits to the City, noting that the
direct tax benefit over 30 years is estimated to be $28,849,000. Upon a question from Clark,
he explained how the Public Facilities District operates in regard to the long term debt
Hodgson noted that the total construction cost in May was $67,000,000 and that an increase
in the cost of steel of$2,500,000, an increase in the contingency of$3,500,000, and off site
mitigation and financing costs in the amount of$5,000,000 now brings the total to
$78,000,00 He noted that the $11,000,000 gap can be bridged by delaying the Washington
Avenue Fire Station construction which would save $4,350,000, delaying the Corrections
Facilities Improvements which would save $4,050,000, reducing repayment to the CIP fund in
the amount of$1,500,000, and using the interest earned during construction in the amount of
$1,500,000. He emphasized that even if the Events Center is not built, construction of the
Washington Avenue Fire Station and improvements to the Corrections Facility would come
off the 2008 Capital Improvements Plan because a redeployment plan is being done by the
Fire Department and the funds wouldn't be used in 2008, and the plan for improvements to
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Special Kent City Council Minutes July 26, 2007
the Corrections Facility is being delayed while annexation is being studied. Hodgson then
outlined the next steps to be taken if the project is approved by Council tonight.
Russ Farwell of the Seattle Thunderbirds said they are happy with the partnership and
comfortable with the lease David Cooke of the Citizen's Advisory Committee said that
current figures indicate the Events Center is a paying proposition, and reported that adequate
parking is available. Mike Miller, Citizen's Advisory Committee member, said this is a great
opportunity for the community and noted that the vote by the Committee was unanimously in
support of the Events Center.
Ranniger moved to make letters endorsing the project from Citizen's Advisory Board
members Michelle McDowell and Herb Blackmton, and from Cheri Sayer, a part of the
record. Harmon seconded and the motion carried.
Esther Wissel, 226 Titusville Alley,requested that the Center provide handicapped access to
the restroom facilities. Edwin Thomas, 27239 121"Avenue, opined that the City should have
floated municipal bonds to pay for the Center. There were no further comments from the
audience.
Raplee moved to establish a budget not to exceed $78,600,000 00 for the Kent Events Center
project and to authorize the Mayor to take all acts necessary to construct the project.
Ranniger seconded. O'Brien said the City should have a written agreement with King County
saying they will allow access to the Park and Ride lot and to the Regional Justice Center
garage for parking He also said the Center does not improve the quality of life and objected
to the fact that it was not voted on by the people Raplee, Thomas,Ranniger, Clark,Harmon,
and Albertson spoke in support of the project Mayor Cooke said the Center will be an
economic magnet which she expects to generate more than $1,000,000,000 in overall
economic activity over the next thirty years. Upon a roll call vote, the motion carried with
O'Brien opposed
Raplee moved to authorize the Mayor to enter into a License Agreement with the Seattle
Thunderbirds as anchor tenant, to operate a Western Hockey League franchise in the Kent
Events Center, subject to approval of final terms and conditions of the License Agreement by
the City Attorney Ranniger seconded O'Brien objected to voting on items he did not have a
chance to read in advance. Upon a roll call vote, the motion carried with O'Brien abstaining.
Raplee moved to authorize the Mayor to sign all necessary documents to execute a Maximum
Allowable Construction Cost contract with M A. Mortenson Company, who is the selected
General Contractor/Construction Manager for the Kent Events Center, all within the approved
budget and subject to approval of the final terms and conditions by the City Attorney.
Ranniger seconded. Upon a roll call vote, the motion carried unanimously.
Kent Events Center Flood Storalze Proiect. The bid opening for this project was held on
July 17, 2007, with six bids received The low bid was submitted by Construct Company in
the amount of$664,235.55. The Engineer's estimate was $753,533 55 Raplee moved to
award the contract on the Kent Events Center Floodplam Mitigation to Construct Company,
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Special Kent City Council Minutes July 26, 2007
in the amount of$664,235.55 and authorize the Mayor to sign all necessary documents.
Ranmger seconded. Environmental Engineering Manager Mike Mactutis summarized the
project, and the motion carried.
EXECUTIVE SESSION
CAO Hodgson noted that there will be an Executive Session of approximately ten minutes
regarding the items noted on the agenda, pending litigation and property negotiations, with
action afterward
The meeting recessed to Executive Session at 7:43 and reconvened at 8:05.
ACTION AFTER EXECUTIVE SESSION
Orme/Charter Homes Rezone. Pursuant to the oral decision made on the record by Judge
Jones in the Land Use Petition Act appeal of the City Council's denial of a rezone application
for the Orme/Charter Homes property the Council has been ordered by the court to approve
the upzone applications as recommended by the Hearing Examiner The City Attorney gave
an overview of the matter and Harmon moved to enact Ordinance No 3848 approving the
Orme/Charter Homes rezone request from SR-4 5 to SR-6. Clark seconded and reiterated that
the city is being ordered by the court to take this action The motion then carved 5-1. with
Thomas opposed and Ranmger having an excused absence at the time.
ADJOURNMENT
The meeting adjourned at 8:10 p.m.
Brenda Jacober, CM
City Clerk
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