HomeMy WebLinkAboutCity Council Meeting - Council - Minutes - 1/7/2020
Approved
Kent City Council
City Council Regular Meeting
Minutes
January 7, 2020
Date: January 7, 2020
Time: 7:00 p.m.
Place: Chambers
1. CALL TO ORDER / FLAG SALUTE
Mayor Ralph called the meeting to order.
2. ROLL CALL
Attendee Name Title Status Arrived
Dana Ralph Mayor Present
Toni Troutner Council President Present
Bill Boyce Councilmember Present
Brenda Fincher Councilmember Present
Satwinder Kaur Councilmember Present
Marli Larimer Councilmember Present
Les Thomas Councilmember Present
Zandria Michaud Councilmember Present
3. AGENDA APPROVAL
Chief Administrative Officer, Derek Matheson removed item 4.A.vii. and
Consent item 8.D "Resolution Recognizing the Kara on the Bluff
Neighborhood" from the agenda.
A. Move to approve the agenda as amended.
RESULT: APPROVED [UNANIMOUS]
MOVER: Toni Troutner, Council President
SECONDER: Les Thomas, Councilmember
AYES: Troutner, Boyce, Fincher, Kaur, Larimer, Thomas, Michaud
4. PUBLIC COMMUNICATIONS
A. Public Recognition
i. Swearing-in of Councilmembers
Judge Michael Frans performed the ceremonial swearing-ins of
Councilmembers Marli Larimer, Zandria Michaud, Bill Boyce and Les Thomas.
ii. Swearing-in of Judge Gipe
Mayor Ralph performed the ceremonial swearing-in of Judge Anthony Gipe.
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 2 of 10
Juge Gipe expressed his support, trust and confidence in Mayor Ralph and
the Council. Judge Gipe appreciates the tremendous support of the Court
staff, including Court Administrator, Margaret Yetter and Judge Frans.
Judge Gipe thanked King County District Court Judge Laurel Gibson and
Steven and Sue Strachan for their support.
iii. Passing of the Gavel to the New Council President
Troutner thanked Debbie Boyce for her support of Councilmember Boyce
during Boyce's term as Council President.
Troutner expressed words of appreciation for the work of Boyce on the
City Council and his service on regional committees.
Boyce expressed words of appreciation.
Mayor Ralph expressed words of appreciation for Councilmember Boyce
and indicated she is looking forward to working with Council President
Troutner.
Councilmember Thomas indicated Boyce and Troutner have set wonderful
examples of leadership for other councilmembers to follow.
iv. Employee of the Month
Mayor Ralph recognized Heather Martin as the City's January Employee of the
Month.
Shawn Gilbertson, Environmental Supervisor, expressed words of
appreciation for Martin and the work that she does for the City.
v. Appointments to the Land Use and Planning Board
Mayor provided information on the appointments to the Land Use and
Planning Board.
vi. Appointments to the Parks and Recreation Commission
Mayor Ralph provided information on the appointments to the Parks and
Recreation Commission
vii. Awards for Torklift Central's 9th Annual Turkey Challenge
Torklift Content Coordinator, Kirsten Stokes expressed appreciation of the
City Council, residents, and businesses that donated to the Turkey
Challenge. Stokes provided details on total food and monetary donations.
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 3 of 10
Stokes recognized the coloring contest winners and presented awards to
the top 5 monetary and food donors.
Mayor Ralph expressed her appreciation of Torklift Central holding this
annual fundraiser.
B. Community Events
Council President Troutner provided information on the upcoming events at
the accesso ShoWare Center. Ticketing information can be found at
accessoshowarecenter.com.
Fincher indicated the next Equity and Inclusion speaker will be Vishavjit
Singh, on February 13, 2020 at 7 p.m. at the Kent Memorial Park Building.
The next open house for the Fourth and Willis roundabout will be held on
January 9, 2020 at 5 p.m. in City Council Chambers.
Fincher provided details on the upcoming Spotlight Series events.
C. Economic and Community Development Update
Chief Economic Development Officer, Bill Ellis presented the Economic and
Community Development Report as follows:
Blue Origin - Ellis detailed the recent Blue Origin ribbon cutting event for
their new headquarters. The building houses approximately 1500 people and
sits on a 30-acre plot of land, and we’re using 13 of those acres for a wildlife
habitat and flood storage, as well as protecting against invasive species. This
is a very sustainable building with better insulation and better energy
consumption than a traditional building.
Kent Valley Initiatives - Rally the Valley continues drafting of design
guidelines, standards for new construction, and strategies to accommodate
infill. Upcoming meetings with counterparts in other cities on taking forward
our message and building on what CEO of Blue Origin envisioned: a Silicon
Valley for Space.
Downtown Kent - 2020 - Kent Downtown Partnership’s plans include events,
business workshops, fresh merchant engagement, and a downtown park
fundraiser (Kherson).
Downtown Kent: Disposable Income Comparision of disposable income.
Downtown needs more available disposable income. Issue to consider;
disadvantage downtown Kent business and properties face in terms of
localized disposable income to support. Kent needs more residents
downtown, but also more jobs. Need more to reach a critical mass of activity
in every category. Proximity to high quality jobs is also a motivating factor
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 4 of 10
for housing developers and all the kinds of positive economic activity we will
want if our goal is to continue to grow and bolster our historic commercial
district as a public realm of civic engagement and intense urban activity
sharing our greatest concentration of infrastructure and amenities.
Naden Avenue update - The item on tonight’s Other Business portion of the
agenda is seeking authorization to sign a purchase and sale agreement, not
closing.
5. REPORTS FROM STANDING COMMITTEES, COUNCIL, AND STAFF
A. Mayor's Report
Mayor Ralph provided details of her participation during the recent Grand
Opening of Blue Origin's new Kent headquarters.
B. Chief Administrative Officer's Report
Derek Matheson advised his written report is in today's agenda packet and
there is an Executive session regarding collective bargaining that is expected
to last 10 minutes with action following.
C. Councilmember's Reports
Council President Troutner provided brief overviews of the two workshop
presentations from tonight’s workshop meeting regarding the New
State/Federal Stormwater Permit and Communications Plan for the Plastic
Bags.
Councilmember Boyce announced that he has been elected to serve as the
Vice-Chair on the Sound Cities Association Public Issues Committee that will
hold an orientation in January and then meet in February.
Councilmember Fincher serves on the City’s Arts Commission and advised
the Kent Creates contest has been extended through January 31, 2020.
Fincher also reviewed upcoming Spotlight Series events.
Councilmember Michaud serves on the King County Regional Water Quality
Committee.
Councilmember Kaur serves on the Sound Cities Association Domestic
Violence Regional Task Force that will meet on February 11, 2020.
Councilmember Kaur serves as the Chair of the Puget Sound Clean Air
Agency Advisory Council that will meet on February 27, 2020.
Councilmember Kaur serves on the King County Growth Management
Planning Council that will meet on February 26, 2020.
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 5 of 10
Councilmember Kaur has been appointed to the Association of Washington
Cities ad hoc Equity Work Group Committee that will provide direction to
best implement strategic plans as well as strategies to review programs and
initiatives to ensure equitable access to all members.
Councilmember Larimer serves on the Seattle-King County Advisory Council
for Aging and Disability Services that will meet on January 10, 2020 - a full
day planning session to discuss the legislative agenda.
Councilmember Larimer serves on the King County Affordable Housing
Committee that will meet on January 17, 2020.
Councilmember Thomas serves on the Puget Sound Regional Fire Authority
Governance Board. The next meeting will be held on January 15, 2020 at Fire
Station 78 in Covington.
6. PUBLIC HEARING
None
7. PUBLIC COMMENT
Nancy Simpson, President of Kent Historical Society, provided the Council
with details on the Parade of Christmas Trees.
Mayor Ralph expressed her appreciation of the work of the society
Georgi Murray, a Kent resident, expressed concerns over crime in her
neighborhood in downtown Kent and indicated Kent needs safer
neighborhoods.
Theresa Still, a Kent resident expressed concerns over crime in and
around the area of her home on the west hill of Kent.
Scott Larson, a Kent resident expressed his concerns over crime in the
City of Kent and indicated the City needs to make addressing crime a
priority.
Mayor Ralph indicated she will follow up with tonight's public comment
speakers regarding their concerns.
Dan Streiffert, a Kent resident, spoke regarding the King County Cities
Climate Collaboration (K4C) and requested the City complete a
spreadsheet with 10 categories of climate actions.
Mayor Ralph indicated she will follow up with staff to determine the
resources required to determine what we can dedicate
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 6 of 10
8. CONSENT CALENDAR
RESULT: APPROVED [UNANIMOUS]
MOVER: Toni Troutner, Council President
SECONDER: Les Thomas, Councilmember
AYES: Troutner, Boyce, Fincher, Kaur, Larimer, Thomas, Michaud
A. Approval of Minutes
1. Council Workshop - Workshop Special Meeting - Dec 3, 2019 5:00 PM
2. Committee of the Whole - Committee of the Whole - Special Meeting -
Dec 3, 2019 4:00 PM
3. Council Workshop - Workshop Regular Meeting - Dec 10, 2019 5:00 PM
4. Committee of the Whole - Committee of the Whole - Special Meeting -
Dec 17, 2019 4:00 PM
5. City Council Meeting - City Council Regular Meeting - Dec 10, 2019 7:00
PM
B. Payment of Bills
MOTION: Approve the Payment of Bills received through
December 15, 2019 and paid on December 15, 2020 and
approve the checks issued for payroll 12/1/-2019 and paid on
December 20, 2019.
C. Appoint Joe O'Toole, Dione Dittmar and Reappoint Kathi Jones
to the Land Use and Planning Board - Confirm
MOTION: Confirm the Mayor’s appointment of Joe O’Toole,
Dione Dittmar and reappointment of Kathi Jones to the Land
Use & Planning Board.
D. Emergency Management Performance Grant – E20-171 -
Authorize
MOTION: Authorize the Mayor to accept and sign the
Emergency Management Performance Grant from the
Washington Military Department/Emergency Management
Division and the U.S. Department of Homeland Security, in the
amount of $71,834, sign all necessary grant documents, amend
the budget, and authorize expenditure of the funds in
accordance with final grant terms and conditions acceptable to
the City Attorney.
E. Microsoft Product Licensing 2020 Enterprise Agreement -
Authorize
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 7 of 10
MOTION: Authorize the Mayor approve the purchase of
software through the Cooperative Purchasing Agreement the
state Department of Enterprise Services has with En Pointe
Technologies Sales, a value-added reseller, if those purchases
are within the City’s established budgets and made during the
term of the state contract, which is in effect through April 7,
2020, or any later contract extension the state may authorize,
subject to final terms and conditions acceptable to the
Information Technology Director and City Attorney.
F. King County Parks Property Tax Levy Agreement – Authorize
MOTION: Authorize the Mayor to sign the King County Parks
Property Tax Levy agreement to accept Proposition 1 Parks
Levy funds, amend the budget, and approve the expenditure of
funds, subject to final terms and conditions acceptable to the
City Attorney and Parks Director.
G. Fourth Amendment to the Agreement for Indigent Defense
Services - Authorize
MOTION: Authorize the Mayor to sign the Fourth Amendment
that increases the annual compensation due to Stewart
MacNichols and Harmell, Inc. P.S. under its contract to provide
public defense services by an additional $325,000 in 2020 due
to the volume of criminal case filings and the impacts to case
preparation associated with body worn cameras, subject to
final terms and conditions acceptable to the City.
H. Mutual Aid and Assistance Agreement for Washington State for
Intrastate Water/Wastewater Agency Response Network -
Authorize
MOTION: Authorize the Mayor to sign the Mutual Aid and
Assistance Agreement for Washington State for Intrastate
Water/Wastewater Agency Response Network, subject to final
terms and conditions acceptable to the City Attorney and Public
Works Director.
I. $2.5 Million Transportation Improvement Board Grant Funds
for 76th Avenue - Authorize
MOTION: Authorize the Mayor to sign a grant agreement with
the Washington State Transportation Improvement Board to
obligate $2.5 million of grant funds for the 76th Avenue South
Road Raising Project and amend the budget, and authorize
expenditure of the funds in accordance with final terms and
conditions acceptable to the City Attorney and Public Works
Director.
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 8 of 10
J. Consultant Services Agreement with RH2 Engineering, Inc. for
West Hill Reservoir – Authorize
MOTION: Authorize the Mayor to sign a Consultant Services
Agreement with RH2 Engineering, Inc. for design engineering
services for the West Hill Reservoir Project in an amount not to
exceed $459,949, subject to final terms and conditions
acceptable to the City Attorney and Public Works Director.
K. Appointments to the Parks and Recreation Commission -
Confirm
MOTION: Confirm the Mayor’s appointment of Caitlin Hepwroth
and reappointment of Rick Minutoli and Jennifer Ritchie to the
Kent Parks and Recreation Commission for three-year terms
that will expire on December 31, 2022.
L. Downey and Naden Clearing and Grading Project - Accept as
Complete
MOTION: Authorize the Mayor to accept the Downey and Naden
Clearing and Grading Project as complete and release retainage
to Scarsella Bros., Inc. upon receipt of standard releases from
the State and the release of any liens.
M. Russell Road South/South 196th Street Asphalt Overlay Project
- Accept as Complete
MOTION: Authorize the Mayor to accept the Russell Road
South/South 196th Street Asphalt Overlay Project as complete
and release retainage to Lakeside Industries, Inc. upon receipt
of standard releases from the State and the release of any
liens.
9. OTHER BUSINESS
Economic Development Officer, Bill Ellis provided the Council with the major
deal points of the Purchase and Sale Agreement.
Assistant City Attorney, Christina Schuck provided details on the updated
language in Section 5.7 of the Purchase and Sale Agreement. The update
was not included on the version of the Agreement in today's agenda
packet.
Ellis updated the Council on the ongoing communications with Puget
Sound Energy related to the Naden site.
Ellis advised that the City owes approximately $2 million in bonds for
entire Naden assembly.
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 9 of 10
A. Purchase and Sale Agreement for Naden South Property -
Authorize
MOTION: Authorize the Mayor to sign a Purchase and Sale
Agreement with Hotel Management Services, LLC, setting forth
the terms of a sale and conveyance of a specified portion of the
Naden assemblage property owned by the City for the purpose
of building a Hilton Garden Inn, subject to final terms and
conditions acceptable to the City Attorney and Economic and
Community Development Director.
RESULT: APPROVED [UNANIMOUS]
MOVER: Brenda Fincher, Councilmember
SECONDER: Les Thomas, Councilmember
AYES: Troutner, Boyce, Fincher, Kaur, Larimer, Thomas, Michaud
10. BIDS
Public Works Director, Tim LaPorte provided details on the Armstrong Well 2
Pump Replacement Project bid and requested awarding the bid.
A. Armstrong Well 2 Pump Replacement Project Bid - Award
MOTION: Award the Armstrong Well 2 Pump Replacement
Project bid to Gary Harper Construction Inc. in the amount of
$101,629 and authorize the Mayor to sign all necessary
documents, subject to final terms and conditions acceptable to
the City Attorney and Public Works Director.
RESULT: APPROVED [UNANIMOUS]
MOVER: Les Thomas, Councilmember
SECONDER: Bill Boyce, Councilmember
AYES: Troutner, Boyce, Fincher, Kaur, Larimer, Thomas, Michaud
11. EXECUTIVE SESSION AND ACTION AFTER EXECUTIVE SESSION
At 8:40 p.m., Council went into Executive Session.
At 8:50 p.m., Council reconvened into regular session.
A. Collective Bargaining, RCW 42.30.140(4)(a)
1. Action Following Executive Session: Collective Bargaining
Agreement with Teamsters - Authorize
MOTION: Authorize the Mayor to sign the 2020-2022 Collective
Bargaining Agreement approved and accepted by Teamsters
Local Union #117, and ratify all acts consistent with the
authority of the Agreement and prior to its execution.
Kent City Council City Council Regular Meeting
Minutes
January 7, 2020
Kent, Washington
Page 10 of 10
RESULT: APPROVED [UNANIMOUS]
MOVER: Bill Boyce, Councilmember
SECONDER: Marli Larimer, Councilmember
AYES: Troutner, Boyce, Fincher, Kaur, Larimer, Thomas, Michaud
12. ADJOURNMENT
Mayor Ralph adjourned the meeting.
Meeting ended at 8:53 p.m.
Kimberley A. Komoto
City Clerk
The 9th Annual
Kent Turkey
Challenge
9 Years of Community Service
Overall, the Annual Kent Turkey Challenge has raised over
$175,165
66,139 pounds of foodand
Turkey Challenge Coloring Contest
Winners!
One lucky winner was chosen from each participating school
and one non-school participant to win an electric scooter prize!
Springbrook Elementary
Congratulations
Farhiyo!
Age 11
Non-School Entries
Congratulations
Aria!
Age 9
Families received full Thanksgiving meals including turkeys, pumpkin pie, potatoes, onions, celery, oranges,
apples, milk, eggs, nuts,canned vegetables, soups and fruits
Top 5 Monetary Donators
1.Eberle Vivian
2.Pacific Power Group
3.Pegasus NW, Inc.
4.Chateau at Valley Center,
Residents and Employees
5.Kent United Methodist Church
$4,415
$3,355
$1,875
$1,775
$1,190
Top 5 Food Donators
1.Grass Lake Elementary
2.Seattle/Tacoma KOA
3.Kent CrossFit
4.Anytime Fitness
5.Blinker Tavern
1,863 Items
1,791 Items
1,172 Items
448 Items
436 Items
Thank You! In 2019…
Thank you for your help in reaching our goal that families in our community
will be able to share a Thanksgiving meal with their loved ones!
Economic Development Update
Bill Ellis, Chief Economic Development Officer
January 7th, 2020
Blue Origin Expansion
(Above Photo: Ellen M. Banner / The Seattle Times)
Blue Origin Expansion
Interior view of Blue Origin HQ (Ellen M. Banner / The Seattle Times)
Kent Valley Initiatives –Update
Kent Valley website now live; Kent Valley Trails
Opportunity Study now in final drafting; Rally the Valley
in final Drafting Stages of Standards, Design Guidelines
Downtown Kent –2020
Work Planning with Kent Downtown Partnership
Downtown Kent:
Disposable Income Comparison
Household Avg. Downtown (20 min. walk) is 1/3rd Less than City Avg.
Average: $48,991 Average: $73,493
Based on Walking Distances from 2nd & Meeker.
Naden Ave -Update
Purchase and Sale Agreement; Signature Not Closing.
New Negotiation Phase: Development Agreement
New Marketing Phase: Northern Surplus 5 Acres
Economic Development Developing a Process for future
sale or lease of Remaining Property.
Jobs, Revenue, Activity, Contribution to Downtown Urban
Design, Catalytic to Growth of Kent’s urban core
Thank you.
WEllis@KentWA.gov
253-856-5707
https://youtu.be/1DdkbSplWbA
Spending Comparison within 5-min. Car Ride:
Downtown Kent to Downtown Burien
5 minute drive-time 2nd and Meeker 5 minute drive-time Burien City Hall
Demographic Summary 2019 2024
Population 22,250 23,693
Households 8,943 9,465
Average Household Size 2.47 2.48
Families 5,181 5,513
Median Age 39.0 39.7
Median Household Income $60,222 $72,679
Average
Amount Spent
Total Percent
Total Expenditures $71,937.78 $643,339,579 100.0%
Food $8,501.10 $76,025,358 11.8%
Food at Home $4,987.75 $44,605,445 6.9%
Food Away from Home $3,513.35 $31,419,914 4.9%
Alcoholic Beverages $579.09 $5,178,771 0.8%
Housing $23,237.00 $207,808,530 32.3%
Shelter $18,697.79 $167,214,326 26.0%
Demographic Summary 2019 2024
Population 15,930 16,970
Households 6,351 6,715
Average Household Size 2.34 2.37
Families 3,278 3,497
Median Age 35.3 36.0
Median Household Income $44,807 $55,247
Average
Amount
Spent
Total Percent
Total Expenditures $57,643.07 $366,091,129 100.0%
Food $7,070.73 $44,906,178 12.3%
Food at Home $4,161.60 $26,430,315 7.2%
Food Away from Home $2,909.13 $18,475,863 5.0%
Alcoholic Beverages $451.37 $2,866,660 0.8%
Housing $18,748.40 $119,071,080 32.5%
Shelter $14,982.34 $95,152,832 26.0%
Public Comment - Sign Up Sheet
For the Kent City Council Meeting ot= Januarv 7, 2O2O
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and Address for the record
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Greater Kent Historical Society and Museum
Parade of Christmas Tiees
This yea/s holiday season began with our annual Christmas open house on Sunday, December 1. Vis-
itorc enjoyed talking with Santa and listening to some of his stories of yore while enjoying a mrietyof
refreshment Many "uhs and ahs" were expressed as guests e4plored the twelve different Christmas
trees throughout the house, even a Camation Dairytree!
One tree was unique in that it was decorated with Japanese paper cranes. Memberc of the puyallup
Valley Chapterof the Japanese American Citizens League (JACL) and the White River Buddhist Temple
carefully folded and hung them to s,way in the breeze. Unlike most Christmas decoration* they will
not be put away for another year.
These cranes willjoin 125,000 cranes making theirwayto Washington D.C. in June, ZOZA.These
cranes will rcpresent the 125,000 individuals of Japanese descentwho were forced into American con-
centration camps during WWl, those detained in Department of Justice prisons, and Latin American
Japanese held for prisoner exchanges.
Tsuru means crane and the crane is a rymbol of nonviolence and love. Some of you may recall the
story of "Sadako and the Thousand Cranes." Sadako was a twetve-year-old girl and survivor of the
atomic bombing of Hiroshima. She folded a thousand cranes as a prayer for healing and peace. To-
day the crane represents the struggle against the racial and religious profiling of immigrants, especial-
ly the separation of families and indefinite detention. The crane is now a powerful symbol of hope,
lifg peace and grace. lt offers something positive in a world full of negatMty.
Eileen Yamada Lamphere
PAGE 7
Lastyear,theCityofKentsignedontothe(K4c).This
includes goals for reducing GHGs relative to 2007 levels by 25,soand g0% by 202o,2030 and 2050,
respectively. These ambitious goals are consistent with the goals in the paris Climate Accord.
ln December, the climate Action Plan Toolkit motion passed in King county council ! This motion directs
the county to develop a Toolkit aimed at helping tocat cities put together comprehensive climate actionplans' with the toolkit, our tocal cities won't each have to each invent a climate action plan and yet each
city can assemble a climate plan adjusted for its specific circumstances.
The recent county budget update allocated s85,000 for the Toolkit development. As the Toolkit comes
together, People for Climate Action (PCA) members will need to help cities become aware of the great
resource the Toolkit can become and encourage them to think about how to contribute to i! through
expertise, information-sha ring, and/ or modest fina ncia I contributions.
several of us from the city of Kent have joined the King counth pcA group in support of this. our first
task is to document what climate-related actions the city has already taken, or plans to take. This will be
valuable information for the county in preparing a county ptan of action.
we have created a spreadsheet with 10 categories of climate Actions. we are currently filling this in
with information obtained from the 2015 comprehensive Plan document. we would like this to be
complete by the end of January so it is available for the county consultan! who will start work in
February.
I sent this to Danielle Butsick to review yesterday. She spent a few minutes this AM to add some data
on the current state of these actions. Danielle is obviously very busy, and before asking her for more
time, we want to address this issue to the council and ask for your support.
I believe it would be most expedient if we could schedule a separate meeting with interested members
of the council and staff to discuss this issue in more detait. This is the start of a significant effort for the
city in reducing greenhouse gases. we are willing to contribute considerable time to assist in this effort.
Much of this will be educating the public on the benefits of these actions. I would appreciate your
contacting me about scheduling such a meeting sometime in the next week or two if possible.
The good news is that investing in ctean energy makes good economic sense. All the clean energy ideas
are technologies that follow exponential cost curves. We can save the planet by making smart
investment decisions now.
Dan Streiffert
dan streiffert@hotmail.com
253-796-2203
"l want you to panic. I want you to feelthe fear I feel every day. And then I want
Thunberg
you to act." - Greta
Purchase and Sale Agreement
Naden Ave Site
Bill Ellis, Chief Economic Development Officer
January 7th, 2020
Naden Ave -Update
Purchase and Sale Agreement; Signature Not Closing.
New Negotiation Phase: Development Agreement
Development Agreement is a statutory process
Purchase Price: $2,634,660, depending on final survey
and lot line adjustments
Closing Date –March 25, 2021 or within 30 days of
obtaining all approvals, whichever is earlier
Deal Points
Public Benefit Consideration
•Approximately 2.24 of the 7 surplus acres
•Portion of old Naden Ave in exchange for N. Parcel
Frontage Rd. Improvements
•Portion of hotel property to be purchased by Braintree
and then deeded back to the City for new roadway
•Developer will build WSDOT approved “right-in, right-out”
from site to SR-516 as requirement
•City protections include: franchise approval, project
schedule, bonding for road improvements, review of
financing plan, and the Development Agreement
•Development Agreement will include at minimum specific
hotel and road design, construction timeline, easement to
the City for road
Thank you.
WEllis@KentWA.gov | 253-856-5707
Elevation and Layout Design Subject to Change
Hilton Garden Inn Examples
SeaTac Bothell
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a
Naden Purchase and Sale Agreement Major Deal Points
Hotel Property and Purchase Price (Sections 2-3)
o Approximately 94,000 SF x $28 5p = $2,634,660
Old Naden Avenue (Section 6)
o Conveyed in exchange for road improvements north of the Hotel Property
Deposit (Section 4)
o $100K - refundable under numerous circumstances. Not refundable if Braintree defaults, 8.g., fails to pay permit fees,
makes false representations or assigns its rights in violation of the
Agreement (Section 16)
Timing
o Closing Date - March 25,2O2L or within 30 days after obtaining all
approvals, whichever is earlier (Section 13)
o Checkpoints before Closing Date. Hilton Franchise approval (Section 5.4)
. L2O days, with a discretionary extension. Review period - 270 days (Section 8)
: iUfi :ilT:? Jll"T; llliJii,.'J;'JII"'. Project Schedule in Exhibit J
Protections
o Franchise approval - City's ability to terminate (Section 5,4)
o Project Schedule (Exhibit J). Timelines for design review, civil construction and building permits
o Bonding for road improvements (City's Design and Construction Standards)
o Additional bonding if desired (Section 8.6)
o Review of Braintree's financing plan (Section 9)
o Development Agreement (Section 7)
The Development Agreement ("DA") (Section 7)
o Part 2 of this transaction
o This is a closing condition -if not agreed to or executed; property transaction
does not close and no property rights transfer
o DA itself is a statutory process and requires a public hearing
o Will include terms re:. Specific hotel design. Specific road design. Constructiontimeline
' Easement to the City for the road
1
a
. After closing, DA is recorded against the property - limiting what can
be built (i,e., protects city against transfer to another party who wants
to build something else)
Related Issue - Puget Sound Energy (PSE)
o PSE's involvement key to redevelopment of this entire area
' As neighboring property owner of substation and strip of adjacent -
'
n
" I' X[ | : :H"-i '" :i ;:::ff I ;[ :ffi'Jl ? ff H::'#t in ;;11 ",,intersection is built
Resolving its interference with access rights
Updated Language in Section 5.7
5.7 Schedule for Hotel Project. The City and Braintree shall each proceed with
all necessary due diligence and in good faith in all processes involved in
seeking and obtaining the Approvals required for Braintree's intended use
and entitlement of the Hotel Property, Braintree shall meet the
development milestone schedule set forth in Exhibit J (the "Schedule"). The
City and Braintree agree to promptly and in good faith respond to all
questions and concerns raised by the City and Braintree staff, architects,
engineers and other consultants in order to ensure to the greatest extent
practical that the Hotel Project is designed and permitted on or before the
dates set forth in Exhibit J, If the City is unable to meet a deadline set forth in
Exhibit J, all of the subsequent deadlines shall be extended by a period
pnrral to the Citv's delav. If Braintree is unable to meet the develooment,''''"-'-r
milestone schedule, it may ask the City for an extension of a deadline. This
request for an extension shall be in writing and state the reasons for
seeking the extension, The City shall extend the deadline(s) if Braintree
has commenced and continues in good faith to seek to complete the
task required by a specific milestone. Except for Section 5.4-the City shall
also extend the deadline(s) if performance by a third party is delaying
Flrrinl-raa'c narfnrmrnna a€ r rlarral nmnnl milac{-nna in +ha Qnhar{r rla
Otherwise, if Braintree is not continuing in good faith to complete the
milestone task, the City may elect to terminate this Agreement after
providing Braintree with written notice to complete the specified milestone
within 30 days. The City's election to terminate the Agreement pursuant to
this Section 5.7 will not constitute a default by the City. Further, the
Deposit will be returned to Braintree.
2
ARMSTRONG SPRINGS WELL NO. 2
PUMP & MOTOR REPLACEMENT
Kent City Council
January 7, 2020
Pump BowlsWell Screen
Damaged motor
Damaged screen