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CITY OF KENT
ECONOMIC DEVELOPMENT CORPORATION MEETING
SEPTEMBER 14, 1984
The regular meeting of the City of Kent Economic Development Corporation was
called to order at 8 A.M. on Friday, September 14, by Chairman Leahy.
PRESENT: Councilmember Tim Leahy, Chairman of the Board
Councilmember Tom Bailey
Councilmember Berne Biteman
Leo Powers, Board Member
Finance Director McCarthy, Treasurer
City Administrator Richard Cushing
Steve DiJulio, General Counsel
William Tonkin, Roberts & Shefelman, Bond Counsel
City Clerk Marie Jensen, Secretary
Bailey moved to approve the minutes of the August 3, 1984 meeting. Powers
seconded. Motion carried.
DiJulio noted that George Mack had prepared Resolution No. 1984-8, which
amends Resolution 1984-7, changing the amount from $2,800,000 to $3 million
for Northwest Aluminum Products, Inc. Bailey moved to adopt Resolution
1984-8. Biteman seconded. Motion carried.
DiJulio noted that the hearing examiner had scheduled a public hearing for
September 19 for the conditional use application filed by Northwest Aluminum.
He pointed out that the staff had recommended that the application be denied,
but that this would have no effect on this Board.
The next item on the agenda was an application from Associated Grocers, Inc.
Mr. Pooley explained that Associated Grocers had been looking for a location
to expand their operations. They plan to buy the Tradewell Warehouse in Kent
to be utilized for general distribution of non-food items. He noted that
about 135 employees would initially be moved to the Kent facility and that
eventually there would be approximately 200 employees. Pooley stated that
Associated Grocers now did a business of about $87 million in general
merchandise, supplying about 300 stores in the State of Washington. Bill
Tonkin noted that this application was for the acquisition of an existing
facility with some modifications planned. He stated that Associated Grocers'
attorney was aware that this type of application was a little different in
that there were some special requirements under the recent amendments to the
Industrial Development Bond Law. He specifically noted that when an existing
facility is acquired, an amount equal to 15 percent of the cost of the
building has to be used to rehabilitate the building. He noted that the bond
counsel would address this as the process evolves.
Biteman moved to adopt Resolution 1984-9 of the City of Kent Economic
Development Corporation determining to sell bonds to provide funds in the
amount of $10 million to finance an industrial development facility for
Associated Grocers, Inc. Powers seconded. Bailey noted that he would not
participate inasmuch as he was a stockholder in Pacific/Gamble/Robinson.
• Motion carried with Bailey not participating.
It was noted that information items were included in the packet for this
meeting as follows:
1 . Implementation of provisions of the Federal Deficit Reduction Act of 1984.
2. Governor Spellman's executive order on state administration of Industrial
Revenue Bond ceiling control .
DiJulio noted that we are proceeding with our review of applications and we do
not expect that the Cap will be a problem since Governor Spellman was
anticipating going with first come, first served basis without specifying Caps
to certain jurisdictions.
DiJulio noted that the Mayor had received a letter from D. R. Traylor of the
Seattle/King County Economic Development Council asking that Kent provide
funds in the 1985 budget in support of SKCEDC. DiJulio stated that he would
try to arrange for a representative from SKCEDC to attend a future meeting in
Kent to comment on the recent changes in the Economic Development Councils in
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the state. Cushing determined that Kent had budgeted $2,650, based on 10
cents per capita in the 1985 budget to support SKCEDC. He noted also that
another organization was being formed at the state level to do the regional
marketing.
Cushing noted that a letter had been received from the president of the
Suburban Cities Association asking for recommendations to the King County
Economic Development Council . He noted that we should try to make such a
recommendation. Biteman stated that he was interested, inasmuch as he had
been involved in the earlier formation. It was noted that Kent's last
recommendation, Milt Douglas, was appointed to the County Economic Development
Corporation.
Cushing noted that the Pacific Northwest Trade Expo would be held in Tacoma
October 2 - October 4.
Change of Meeting Date
By mutual agreement, the meeting date for this corporation was changed to the
first Thursday of each month. The next meeting will be on Thursday, October
4, 1984 at 8 a.m, in the second floor conference room of the Kent City Hall .
The meeting was adjourned at 8:22 a.m.
Marie Je , City Clerk
Secretary
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