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Council 10/22/2007
AGENDA RENTON CITY COUNCIL , REGULAR MEETING October 22, 2007 Monday, 7 p.m. • 1. CALL TO ORDER AND PLEDGE OF ALLEGIANCE 2. ROLL CALL 3. PROCLAMATION: Make a Difference Day—October 27, 2007 4. SPECIAL PRESENTATION: Renton River Days Wrap Up Report 5. APPEAL: Committee of the Whole Committee report re: Beclan Place Preliminary Plat INABILITY OF THE CITY COUNCIL TO TAKE TESTIMONY ON APPEALS DURING THE CITY COUNCIL MEETING State law requires that the City establish a process to handle appeals from application of environmental and developmental rules and regulations. The Renton City Council, feeling it was best for the elected representatives to handle the appeals rather than-require citizens to go to court, has retained appellate jurisdiction to itself. The courts have held that the City Council, while sitting as an appellate body, is acting as a quasi- judicial body and must obey rules of procedure of a court more than that of a political body. By City Code, and by State law, the City Council may not consider new evidence in this appeal. The parties to the appeal have had an opportunity to address their arguments to the Planning & Development Committee of the City Council at a meeting previously held. Because of the court requirements prohibiting the City Council from considering new evidence, and because all parties have had an opportunity to address their concerns to the Planning& Development Committee, the City Council may not consider oral or written testimony at the City Council meeting. The Council understands that this is frustrating to citizens and is outside the normal process of open discourse provided to citizenry during the audience comment portion of the City Council meeting. However, this burden of not allowing the Council to be addressed concerning pending appeals is outweighed by the quick, easy, inexpensive and local appeal process provided by the Renton City Council. 6. ADMINISTRATIVE REPORT 7. AUDIENCE COMMENT (Speakers must sign up prior to the Council meeting. Each speaker is allowed five minutes. The comment period will be limited to one-half hour. The second audience comment period later on in the agenda is unlimited in duration.) When you are recognized by the Presiding Officer,please walk to the podium and state your name and city of residence for the record, SPELLING YOUR LAST NAME. NOTICE to all participants: pursuant to state law, RCW 42.17.130, campaigning for any ballot measure or candidate from the lectern during any portion of the council meeting, and particularly, during the audience comment portion of the meeting, is PROHIBITED. (CONTINUED ON REVERSE SIDE) 1 8. CONSENT AGENDA The following items are distributed to Councilmembers in advance for study and review, and the recommended actions will be accepted in a single motion. Any item may be removed for further discussion if requested by a Councilmember. a. Approval of Council meeting minutes of 10/15/2007. Council concur. b. Administrative,Judicial and Legal Services Department recommends approval of an agreement in the amount of$25,500 with Waldron& Company for services related to the recruitment and selection of the Human Resources/Risk Management Administrator position. Council concur. c. Administrative, Judicial and Legal Services Department recommends approval an agreement with King County regarding transfer of properties, effective annexation date and availability of $1.7 million in the event of an affirmative vote for the Benson Hill Communities Annexation. Council concur. (see 10.a.) d. Court Case filed in King County District Court—East Division by Meagan K. Norlin, who seeks compensation in the amount of$196.02 for damage to windshield allegedly caused by errant golf ball from Maplewood Golf Course. Refer to City Attorney and Insurance Services. e. City Clerk submits request from John R. "Barney" Skochdopole for reimbursement in the amount of$259,944 for oversizing a sanitary sewer lift station, serving a new neighborhood across the street from Maplewood Heights Elementary School, at the City's request. Refer to Utilities Committee. f. City Clerk submits the 2006 Washington State Auditor's Office Audit Report for the City of Renton for the period of January 1 through December 31, 2006. Information. g. Community Services Department recommends approval of a contract in the amount of$69,385 with Sun Lighting for the 2007/2008 Holiday Lights Program. Council concur. h. Community Services Department submits CAG-06-165, Tiffany Park Activity Building; and requests approval of the project, authorization for final pay estimate in the amount of$1,125.61, commencement of a 60-day lien period and release of retained amount of$22,577.79 to Danneko Construction, contractor, if all required releases are obtained. Council concur. i. Finance and Information Services Department recommends a public hearing be set on 11/19/2007 to consider the 2008 Revenue Sources and Preliminary Budget, and a public hearing be set on 12/3/2007 to consider the 2008 Budget. Refer to Committee of the Whole; set public hearing dates on 11/19/2007 and 12/3/2007. j. Hearing Examiner recommends approval, with conditions, of the Benson Ridge Preliminary Plat (PP-07-056); nine-lot subdivision totaling 1.72 acres located at 3401 Benson Rd. S. and 3451 Cedar Ave. S. Council concur. k. Transportation Systems Division recommends approval of an addendum to airport lease LAG- 99-003 with Lane Hangar Condominium Owners' Association, to increase the ground rate from $13,597 to $15,181.32 annually, which will remain in effect through 7/31/2010. Council concur. 1. Transportation Systems Division recommends approval of an addendum to airport lease PAG- 001-87 with AT&T, to increase the rate from $10,533.14 to $17,287.33 annually,to remain in effect until 10/31/2012. Council concur. m. Transportation Systems Division recommends approval of the Regional Mobility Grant agreement with Washington State Department of Transportation to accept funds in the amount of $5,500,000 for the Sounder Transit Tukwila Station project. Council concur. (see 10.b.) n. Transportation Systems Division recommends approval of Supplemental Agreement No. 2 to CAG-06-065, agreement with DMJM Harris, in the amount of$433,889 for design services for the stormwater diversion pipe in Shattuck Ave. S. from S. 4th Pl. to S. 7th Pl. Council concur. o. Utility Systems Divisions recommends approval of an agreement with Otto Rosnau& Associates, Inc. in the amount of$79,187 for inspection and material testing services for the Hazen Reservoir project. Council concur. 9. UNFINISHED BUSINESS Topics listed below were discussed in Council committees during the past week. Those topics marked with an asterisk(*)may include legislation. Committee reports on any topics may be held by the Chair if further review is necessary. a. Finance Committee: Vouchers, Issaquah and Kent School District Mitigation Fees,Temporary Finance Analyst Position, Fire Station #11 Fire Sprinkler System Bid Award,Funding for Utilities Capital Expenditures* b. Transportation(Aviation) Committee: Duvall Ave. NE Widening Project Supplemental Agreement (CONTINUED ON NEXT PAGE) 7 10. RESOLUTIONS AND ORDINANCES Resolutions: a. Agreement with King County re: Benson Hill Communities Annexation(see 8.c.) b. Agreement with WSDOT re: Regional Mobility Grant(see 8.m.) c. Misdemeanant Jail Facility Study interlocal agreement(Council approved on 10/15/2007) Ordinance for first reading: Amend 2007 Budget by transferring funds for Utilities Capital Expenditures (see 9.a.) Ordinance for second and final reading: Issuance of three series of water and sewer revenue bonds of the City (1st reading 10/15/2007) 11. NEW BUSINESS (Includes Council Committee agenda topics; call 425-430-6512 for recorded information.) 12. AUDIENCE COMMENT 13. EXECUTIVE SESSION(litigation) 14. ADJOURNMENT COMMITTEE OF THE WHOLE AGENDA (Preceding Council Meeting) Council Chambers 5 p.m. Beclan Place Preliminary Plat Appeal; Utility Revenue Bond Sale Results; Benson Hill Interlocal Agreement Briefing likrr• Hearing assistance devices for use in the Council Chambers are available upon request to the City Clerk • CITY COUNCIL MEETINGS ARE TELEVISED LIVE ON GOVERNMENT ACCESS CHANNEL 21 AND ARE RE-CABLECAST TUES.&THURS.AT 11 AM&9 PM,WED.&FRI. AT 9 AM&7 PM AND SAT.&SUN. AT 1 PM&9 PM CITY COUNCIL October 22, 2007 City Clerk Division Referrals CITY ATTORNEY& INSURANCE SERVICES Court Case filed by Meagan K. Norlin COMMITTEE OF THE WHOLE City of Renton 2008 Budget Interlocal agreement with King County re: Benson Hill Communities Annexation MAYOR AND CITY CLERK WSDOT grant agreement for Sounder Transit Tukwila Station project Interlocal agreement re: Misdemeanant Jail Facility feasibility study Execute supplemental agreement#7 with Berger/Abam, Inc. Contract with ACE Fire Protection, Inc. for Fire Station #11 Fire Sprinkler System UTILITIES COMMITTEE Oversizing reimbursement request by John R. "Barney" Skochdopole ORDINANCE FOR SECOND AND FINAL READING 2007 Budget amend re: Utilities Capital Expenditures fund transfers (1st reading 10/22/2007) 'UBLIC HEARINGS 11/05/2007—Marshall Annexation and future zoning; Duvall Ave. NE &NE Sunset Blvd. 11/19/2007—2008 Revenue Sources and Preliminary Budget 12/03/2007— 2008 Budget RENTON CITY COUNCIL Regular Meeting October 22,2007 Council Chambers Monday, 7 p.m. MINUTES Renton City Hall CALL TO ORDER Mayor Kathy Keolker called the meeting of the Renton City Council to order and led the Pledge of Allegiance to the flag. ROLL CALL OF TONI NELSON, Council President; RANDY CORMAN; DON PERSSON; COUNCILMEMBERS MARCIE PALMER; DENIS LAW; DAN CLAWSON. MOVED BY NELSON, SECONDED BY CORMAN, COUNCIL EXCUSE ABSENT COUNCILMEMBER TERRI BRIERE. CARRIED. CITY STAFF IN KATHY KEOLKER, Mayor; JAY COVINGTON, Chief Administrative ATTENDANCE Officer; ZANETTA FONTES,Assistant City Attorney; BONNIE WALTON, City Clerk;MARTY WINE, Assistant CAO; GREGG ZIMMERMAN, Planning/Building/Public Works Administrator; ALEX PIETSCH, Economic Development Administrator; TERRY HIGASHIYAMA, Community Services Administrator; MIKE WEBBY, Human Resources Administrator; GERALD RERECICH,Recreation Director;PREETI SHRIDHAR, Communications Director; SONJA MEJLAENDER, Community Relations & Event Coordinator; DEPUTY CHIEF ROBERT VAN HORNE and BATTALION CHIEF/SHIFT COMMANDER KRIS HANSON, Fire Department; COMMANDER KATIE MCCLINCY, Police Department. PROCLAMATION A proclamation by Mayor Keolker was read declaring the day of October 27, Make a Difference Day— 2007, to be"Make a Difference Day"in the City of Renton, and urging fellow 10/27/2007 citizens to observe this day by connecting with friends, fellow employees, and relatives, and with religious, school, and civic groups to engage in projects benefiting the community. MOVED BY NELSON, SECONDED BY PALMER, COUNCIL CONCUR IN THE PROCLAMATION. CARRIED. SPECIAL PRESENTATION Community Relations & Event Coordinator Sonja Mejlaender introduced Vicki Community Event: Renton Hart, IKEA Renton River Days Board of Directors Chairman,who presented a River Days Wrap Up Report report on the 2007 City of Renton community festival held during the week of July 25 through July 29. Ms. Hart thanked the City of Renton, sponsors and contributors,the media partners, and the Renton service clubs for their support and assistance. She reviewed the festival events, activities, entertainment, and exhibitions that took place, such as Kids' Day, the Chalk Art Contest,Nibble of Renton, and the Boatstock and Wakeboard Invitational. In conclusion,Ms. Hart expressed her appreciation for the many volunteers who contributed over 7,000 hours in planning for and assisting with the festival. APPEAL Council President Nelson reported that the appeal had been heard during the Committee of the Whole preceding Committee of the Whole meeting and the Committee report will be Report—Appeal: Beclan Place presented at the 11/5/2007 Council meeting. Preliminary Plat, Steve Beck, PP-07-041 ADMINISTRATIVE Chief Administrative Officer Covington reviewed a written administrative REPORT report summarizing the City's recent progress towards goals and work programs adopted as part of its business plan for 2007 and beyond. Items noted included: * Children ages 2 to 8 years, accompanied by an adult, are invited to the annual Boo Carnival on Saturday, October 27, from 10:00 a.m. to 12:30 p.m., for a spirited time of crafts, games, and inflatables. October 22,2007 Renton City Council Minutes Page 369 A community art project entitled Cedar Salmon and sponsored by Friends of the Cedar River Watershed is on display at the Renton Public Library now through November 3. The project involves ten life-sized salmon silhouettes created from cedar planks by local artists,which will be displayed at a series of sites along the salmon's migration route from Puget Sound to the Cedar River Education Center in North Bend. AUDIENCE COMMENT Irene Roberts (Renton),President,National Federation of Business and Citizen Comment: Roberts— Professional Women's Organization-Renton Chapter,presented the 2007/2008 2007/2008 Women of the Year Women of the Year Award to Mayor Keolker for her dedication and leadership Award • toward the betterment of the community. Ms. Roberts encouraged women members of Council and the audience to join the Renton chapter of the organization. Mayor Keolker thanked Ms. Roberts for the award. Citizen Comment: McOmber- Howard McOmber(Renton) invited members of Council and the public to Emergency Preparedness attend an emergency preparedness class being held at the Highlands Neighborhood Center, 800 Edmonds Ave.NE, on November 14, 2007 at 7:00 p.m. Mr. McOmber reflected on last year's power outage and stressed the importance of being prepared during an emergency. Citizen Comment: Puckett— Jerry Puckett(Sea-Tac) expressed his continued support for the proposed Wonderland Estates Mobile annexation of the area surrounding the Wonderland Estates Mobile Home Park. Home Park, Annexation He announced that King County Housing Authority had signed a purchase and sale agreement for the park and inquired about the progress of the annexation effort. CONSENT AGENDA Items on the consent agenda are adopted by one motion which follows the listing. At the request of Councilmember Law, item 8.c. was removed for separate consideration. Council Meeting Minutes of Approval of Council meeting minutes of 10/15/2007. Council concur. 10/15/2007 AJLS: Human Resources/Risk Administrative, Judicial and Legal Services Department recommended approval Management Administrator of an agreement in the amount of$25,500 with Waldron& Company for Recruitment, Waldron & services related to the recruitment and selection of the Human Resources/Risk Company Management Administrator position. Council concur. Court Case: Meagan K. Norlin, Court Case filed in King County District Court—East Division by Meagan K. CRT-07-011 Norlin, who seeks compensation in the amount of$196.02 for damage to windshield allegedly caused by errant golf ball from Maplewood Golf Course. Refer to City Attorney and Insurance Services. Utility: Oversizing City Clerk submitted request by John R. "Barney" Skochdopole for Reimbursement for Sanitary reimbursement in the amount of$259,944 for oversizing a sanitary sewer lift Sewer Lift Station, station, serving a new neighborhood across the street from Maplewood Heights Skochdopole Elementary School, at the City's request. Refer to Utilities Committee. Finance: 2006 State of City Clerk submitted the 2006 Washington State Auditor's Office Audit Report Washington Audit Report for the period of January 1 through December 31, 2006. Information. Community Services: Holiday Community Services Department recommended approval of a contract in the Lights Program, Sun Lighting amount of$69,385 with Sun Lighting for the 2007/2008 Holiday Lights Program. Council concur. October 22,2007 Renton City Council Minutes Page 370 CAG: 06-165, Tiffany Park Community Services Department submitted CAG-06-165, Tiffany Park Activity Activity Building,Danneko Building; and requested approval of the project, authorization for final pay Construction estimate in the amount of$1,125.61, commencement of the 60-day lien period and release of the retained amount of$22,577.79 to Danneko Construction, contractor, if all required releases are obtained. Council concur. Budget: 2008, Annual City of Finance and Information Services Department recommended a public hearing Renton be set on 11/19/2007 to consider 2008 Revenue Sources and Preliminary Budget, and a public hearing be set on 12/3/2007 to consider the 2008 Budget. Refer to Committee of the Whole; set public hearing dates on 11/19/2007 and 12/3/2007. Plat: Benson Ridge,Benson Hearing Examiner recommended approval,with conditions, of the Benson Rd S & Cedar Ave S, PP-07- Ridge Preliminary Plat; nine-lot subdivision totaling 1.72 acres located at 3401 056 Benson Rd. S. and 3451 Cedar Ave. S. Council concur. Airport: Lane Hangar Transportation Systems Division recommended approval of an addendum to Condominium Owners' airport lease LAG-99-003 with Lane Hangar Condominium Owners' Association Lease,Addendum Association,to increase the ground rate from$13,597 to $15,181.32 annually, #3, LAG-99-003 which will remain in effect through 7/31/2010. Council concur. Airport: AT&T Lease, Transportation Systems Division recommended approval of an addendum to Addendum#4, PAG-001-87 airport lease PAG-001-87 with AT&T,to increase the rate from$10,533.14 to $17,287.33 annually, to remain in effect until 10/31/2012. Council concur. Transportation: Sounder Transportation Systems Division recommended approval of the Regional Transit Tukwila Station, Mobility Grant with Washington State Department of Transportation to accept WSDOT Mobility Grant funds in the amount of$5,500,000 for the Sounder Transit Tukwila Station project. Council concur. (See page 372 for resolution.) CAG: 06-065, Rainier Ave S Transportation Systems Division recommended approval of Supplemental Improvements (4th P1 to 7th) Agreement No. 2 to CAG-06-065, agreement with DMJM Harris, in the amount Design,DMJM Harris of$433,889 for design services for the stormwater diversion pipe in Shattuck Ave. S. from S. 4th P1. to SW 7th St. Council concur. Utility: Hazen 565-Zone Utility Systems Division recommended approval of an agreement with Otto Reservoir Inspection Services, Rosnau &Associates, Inc. in the amount of$79,187 for inspection and material Otto Rosnau &Associates testing services for the Hazen 565-Zone Reservoir project. Council concur. MOVED BY NELSON, SECONDED BY PERSSON, COUNCIL APPROVE THE CONSENT AGENDA AS AMENDED TO REMOVE ITEM 8.c. FOR SEPARATE CONSIDERATION. CARRIED. Separate Consideration Administrative, Judicial and Legal Services Department recommended approval Item 8.c. of an agreement with King County regarding transfer of properties, effective Annexation: Benson Hill annexation date and availability of$1.7 million in the event of an affirmative Communities, S 200th St& vote for the Benson Hill Communities Annexation. MOVED BY LAW, 128th Ave SE SECONDED BY CORMAN, COUNCIL REFER CONSENT AGENDA ITEM 8.c. TO COMMITTEE OF THE WHOLE. CARRIED. UNFINISHED BUSINESS Council President Nelson presented a Committee of the Whole report Committee of the Whole recommending concurrence in the staff recommendation to adopt a resolution Finance: Bond Issuance, authorizing the sale of Water and Sewer Revenue and Refunding Bonds, 2007, Utility Capital Projects in the aggregate amount of$9,750,000, specifying the par amount, terms, interest rates,redemption provisions, and insurance language. The Committee further recommended that the resolution be adopted immediately following the adoption of the 2007 Water and Sewer Revenue and Refunding Bonds ordinance. October 22,2007 Renton City Council Minutes Page 371 MOVED BY NELSON, SECONDED BY CLAWSON, COUNCIL CONCUR IN THE COMMITTEE REPORT. CARRIED. (See page 372 for ordinance and resolution.) Finance Committee Finance Committee Chair Persson presented a report recommending approval of Finance: Vouchers Claim Vouchers 265076—265553 and two wire transfers totaling $3,681,922.96; and approval of 133 Payroll Vouchers, one wire transfer, and 680 direct deposits totaling$2,166,325.41. MOVED BY PERSSON, SECONDED BY LAW, COUNCIL CONCUR IN THE COMMITTEE REPORT. CARRIED. Finance: Issaquah and Kent Finance Committee Chair Persson presented a report recommending adoption of School District Impact Fees the 2007 Issaquah School District Capital Facilities Plan, including an impact fee of$6,021 per new single-family unit. The Committee also recommended that the City adopt the 2007-2008—2012-2013 Kent School District Capital Facilities Plan, including an impact fee of$5,110 per new single-family unit and an impact fee of$3,146 per new multi-family unit. The Committee further recommended that an ordinance regarding this matter be prepared and presented for first reading. MOVED BY PERSSON, SECONDED BY LAW, COUNCIL CONCUR IN THE COMMITTEE REPORT. CARRIED. Finance: Temporary Finance Finance Committee Chair Persson presented a report recommending Analyst Position concurrence in the staff recommendation to approve temporarily filling a half time Finance Analyst position with a full time employee effective November 1, 2007, and terminating March 31, 2008. MOVED BY PERSSON, SECONDED BY LAW, COUNCIL CONCUR IN THE COMMITTEE REPORT. CARRIED. Finance: Fund Transfers, Finance Committee Chair Persson presented a report recommending Utilities Capital Expenditures, concurrence in the staff recommendation to approve the ordinance authorizing Budget Amend transfers of$1,800,000 from Water Utility Fund 405 to Fund 425; $963,000 from Wastewater Utility Fund 406 to Fund 426; and $410,000 from Surface Waster Utility Fund 407 to Fund 427. MOVED BY PERSSON, SECONDED BY LAW, COUNCIL CONCUR IN THE COMMITTEE REPORT. CARRIED. (See page 372 for ordinance.) Finance: Fire Station#11 Finance Committee Chair Persson presented a report recommending Sprinkler System Bid Award concurrence in the staff recommendation to award the Fire Sprinkler System for Renton Fire Station#11 project to the lowest bidder, ACE Fire Protection, Inc., in the amount of$28,959.13. The Committee had reviewed the minor informalities associated with the lowest bidder. The Committee further recommended that the Mayor and City Clerk be authorized to the sign the contract. MOVED BY PERSSON, SECONDED BY LAW, COUNCIL CONCUR IN THE COMMITTEE REPORT. CARRIED. Transportation (Aviation) Transportation (Aviation) Committee Chair Palmer presented a report Committee recommending concurrence in the staff recommendation to authorize the Mayor Transportation: Duvall Ave and City Clerk to execute Supplemental Agreement#7 with Berger/Abam,Inc. NE Improvements, in the amount of$386,000, and extend the completion date from April 30, 2007 Berger/Abam Engineers to December 31, 2008. MOVED BY PALMER, SECONDED BY PERSSON, COUNCIL CONCUR IN THE COMMITTEE REPORT. CARRIED. Ms. Palmer noted that due to project delays the effective date for the Merritt II Annexation might have to be extended in order to receive funding from King County. October 22,2007 Renton City Council Minutes Page 372 RESOLUTIONS AND The following resolutions were presented for reading and adoption: ORDINANCES Resolution #3910 A resolution was read authorizing the Mayor and City Clerk to enter into an Transportation: Sounder interlocal cooperative agreement with the Washington State Department of Transit Tukwila Station, Transportation entitled"Public Transportation Regional Mobility Grant WSDOT Mobility Grant Program State Funding Agreement Work by Public Agencies." MOVED BY PERSSON, SECONDED BY PALMER, COUNCIL ADOPT THE RESOLUTION AS READ. CARRIED. Resolution #3911 A resolution was read authorizing the Mayor and City Clerk to enter into an Police: Regional interlocal agreement with the Cities of Des Moines, Federal Way, and Tukwila Misdemeanant Jail Facility, for a feasibility study for the construction and operation of a misdemeanant jail Interlocal Agreement facility. MOVED BY LAW, SECONDED BY NELSON, COUNCIL ADOPT THE RESOLUTION AS READ. CARRIED. The following ordinance was presented for first reading and referred to the Council meeting of 11/5/2007 for second and final reading. Finance: Fund Transfers, An ordinance was read amending the 2007 Budget by transferring funds in the Utilities Capital Expenditures, amount of$3,173,000 from the 2006 year-end fund balance for the purpose of Budget Amend funding capital expenditures by Water, Wastewater, and Surface Water Utilities. MOVED BY PERSSON, SECONDED BY CLAWSON, COUNCIL REFER THE ORDINANCE FOR SECOND AND FINAL READING ON 11/5/2007. CARRIED. The following ordinance was presented for second and final reading and adoption: Ordinance#5313 An ordinance was read authorizing the issuance of three series of water and Finance: Bond Issuance, sewer revenue bonds of the City for the purpose of financing the costs of Utility Capital Projects carrying out certain capital improvements of the waterworks utility and refunding certain outstanding water and sewer revenue bonds of the City, in the aggregate principal amounts of not to exceed $10,000,000, $10,000,000 and $3,000,000, respectively;providing the form, terms and covenants of the bonds; fulfilling the Reserve Requirement; authorizing the appointment of an escrow agent and the execution of an escrow agreement relating to the refunding bonds; and approving the sale and providing for the delivery of the bonds to Seattle- Northwest Securities Corporation, Seattle, Washington. MOVED BY CLAWSON, SECONDED BY PERSSON, COUNCIL ADOPT THE ORDINANCE AS READ. ROLL CALL: ALL AYES. CARRIED. Added In conjunction with the bond ordinance approved above, a resolution was read RESOLUTION #3912 approving the sale of the City's Water and Sewer Revenue and Refunding Finance: Bond Issuance, Bonds, 2007, in the aggregate principal amount of$9,750,000 to provide funds Utility Capital Projects for the purpose of financing the costs of carrying out certain capital improvements of the waterworks utility and refunding certain outstanding water and sewer revenue bonds of the City; and approving the sale of such bonds to Seattle-Northwest Securities Corporation, all in accordance with Ordinance No. 5313 of the City. MOVED BY CLAWSON, SECONDED BY NELSON, COUNCIL ADOPT THE RESOLUTION AS READ. CARRIED. EXECUTIVE SESSION MOVED BY NELSON, SECONDED BY CORMAN, COUNCIL RECESS AND ADJOURNMENT INTO EXECUTIVE SESSION FOR APPROXIMATELY 30 MINUTES TO DISCUSS POTENTIAL LITIGATION WITH NO OFFICIAL ACTION TO BE TAKEN AND THAT THE COUNCIL MEETING BE ADJOURNED WHEN THE EXECUTIVE SESSION IS ADJOURNED. CARRIED. Time: 7:50 p.m. • October 22,2007 Renton City Council Minutes Page 373 Executive session was conducted. There was no action taken. The executive session and the Council meeting adjourned at 7:56 p.m. 6071/4, ,4. id a-e. ?4 Bonnie I. Walton, CMC, City Clerk Recorder: Jason Seth October 22, 2007 RENTON CITY COUNCIL COMMITTEE MEETING CALENDAR Office of the City Clerk COUNCIL COMMITTEE MEETINGS SCHEDULED AT CITY COUNCIL MEETING October 22,2007 I COMMITTEE/CHAIRMAN DATE/TIME AGENDA COMMITTEE OF THE WHOLE MON., 10/29 No Meeting(5th Monday) (Nelson) MON., 11/5 3rd Quarter Financial Report; 6:00 p.m. 2008 Revenue Estimates; Benson Hill Interlocal Agreement COMMUNITY SERVICES MON., 11/5 Catherine Ploue-Smith Appointment to (Corman) 5:30 p.m. Library Board; Community Services Aquatics and Fees (briefing only) FINANCE MON., 11/5 Vouchers (Persson) 5:00 p.m. PLANNING & DEVELOPMENT THURS., 11/1 CANCELLED (Briere) PUBLIC SAFETY MON., 11/5 CANCELLED (Law) TRANSPORTATION (AVIATION) WED., 10/24 Airport Leasing Policy (Palmer) 4 p.m. UTILITIES THURS., 11/1 Conner Homes' Request for Oversizing (Clawson) 3:00 p.m. Reimbursement NOTE: Committee of the Whole meetings are held in the Council Chambers unless otherwise noted. All other committee meetings are held in the Council Conference Room unless otherwise noted. v�Y ® CITY OF RENTON ♦ ® Mayor Kathy Keolker � NTo NOWp radairnat-ixm W herecus, serious social problems concern our nation and threaten its future; and Whereat; connecting with others and working together through volunteer service can bridge the differences that separate people and help solve serious social problems; and W herea4; we, the American people, have a tradition of philanthropy and volunteerism; and Whereat; countless self-sacrificing individuals have touched and enhanced the lives of millions on the annual Make A Difference Day by giving where there was a need, rebuilding what had been torn down, teaching where there was a desire to learn, and inspiring those who had lost hope; and Whereof* USA Weekend Magazine and its affiliate newspapers and The Points of Light Foundation and its affiliate Volunteer Centers have joined to promote an annual national day of doing good that celebrates and strengthens the spirit of volunteer service; and Now Whore-co; volunteer service is an investment in the future we all must share; Nal v, Therefore, I, Kathy Keolker, Mayor of the City of Renton, do hereby proclaim October 27, 2007,to be Mc ke/A Diff ex Da in the City of Renton, Washington, and urge my fellow citizens to observe this day by connecting with friends, fellow employees, and relatives, and with religious, school, and civic groups to engage in projects benefiting our community. In witness whereof, I have hereunto set my hand and caused the seal of the City of Renton to be affixed this 22nd day of October, 2007. i /, 4 :ef /et/trer'ke--L__ yp �y Kathy Keo r , Mayor of the City of Renton, Washington 1055 South Grady Way-Renton,Washington 98057-(425)430-6500/FAX(425)430-6523 E lv T O N AHEAD OF THE CURVE IRs caner contains 50%recycled material,30%cost consumer f 4 I W 3 ail) ..„........._ .....,........... ........® hod, Am. . ... , : river c..) 4 4 ' _ , mi 4 46 oie 011.1 SO. 0 ► days a community family festival 2007 IKEA Renton River ,ZED river .44 = w I N days Ce W 2007 IKEA Renton River Days > ,..„. 31ink .. -, Board of D re cto rs Vi '�,� j r� w' Vicki Hart , Banner Bank, Chairman CI Jerry Kavesh, Renton Western Wear, Vice-Chair • Tim Searing, RSM McGladrey, Festival Treasurer • Sonja Mejlaender, Festival Coordinator • Terry Higashiyama, City of Renton • Bill Hulten, Renton School District • Mark Kotlan, Dunn Lumber • Victor Karpiak, First Savings Bank of Renton • Toni Nelson, Renton City Council Marc Ogren, Accent Print At Bonnie Rerecich, City of Renton KtA �_ : -� river w Suzanne Thompson, McLendon Hardware days essestoramoteargest uu Thanks to the followingCity A., Mk I departments for their support: Vv) vie :` # • Community Services (Park Maintenance, Recreation , Facilities) • Fire • Information Services (Print & Mail Services and Web support) • Mayor's Office • Planning, Building, & Public Works (Street & Sign Shops, Transportation , and Technical Services) • Police K■ river diLeismotsgatoram--' days "JIIl,,, , t Thanks to the following 2007 .... ak festival sponsors : V CO 4 "` 2007 TITLE SPONSOR 0 40:33> ® 2007 CO-SPONSORS ti�Y 0� t • c FIRST SAVINGS BANK INVEST IN POSSIBILITIES Agot;_V-,r--'tel o stfgo • s- river (c © ROTARY CLUB ligliri 01 .z,--_ l days OF RENTON ;K o .a Ju»,7.,948 nenWASTE MANAGEMENT Ce "' ,.r, . Sponsors and New Contributors -Aadiii V i 14% increase in revenue & in-kind sponsor VI) 4 '' 4 contributions from 2006 to 2007. en In 2007, 16 new Event Sponsors: Aces Tennis ,. Qwest Advisory Commission Communications on Diversity Qwest Foundation Boeing Employees Credit Renton-Cuautla Sister Union City Committee - D & N Custom Floors Renton-Nishiwaki & Countertops Sister City Committee r. Era Living - Safeco Insurance Java Trading Company - Seattle Post- w Landmark on the Sound Intelligencer ,. LeafGuard NW & - Southlake Clinic river ABC Seamless Siding - The Seattle Times iw- 1 days W Media Partners L 4 ,Id Print N rt '" Renton Magazine Renton Reporter Seafair Seattle Post-Intelligencer The Seattle Times/SE Living Radio KJR 950 AM KJR 95.7 FM KUBE 93.3 FM KFNK 104.9 FM KHHO 850 AM KNBQ 102.9 AM STAR 101 .5 FM — Parade Announcer, Kent Phillips Web City of Renton Renton Chamber of Commerce Seafair river days .h. - .311,,,, W New Art Grant A Prog ram U ■ In cooperation with Qwest Foundation, the t/) j l jmit Doug Kyes Art Grant Program was created . • Renton schools, PTAs, and teachers were eligible for grants. ■ Eight recipients this year, received a combined $5,000. • Grants awarded will reach over 1 ,300 students in Renton. ■ Projects include a year-long art program, student art fair, r t . . tile mural, totem sculptures, canvas paintings, and a wood _ ,� , p g �� _ _ panel mural. t Kick-OffBanquet W > sponsored by ... illik The Bristol at Southport V4: 4 ...• v)maim '` '6 Banquet Location , -4--' ' Attendees enjoyed a wonderful sunset and view of Lake Washington from the event lawn of The Bristol at Southport. ,f .. 1 Banquet Attendance I Approximately 140 attendees were treated to , ,yJ _: xa Jamaican-inspired buffet, served by Renton Technical College's Culinary Arts students. • Entertainment included live music and ► dancing throughout the evening. 4.1404 ,1tit { i y*i A • 1: Festival Recognition likki - Outstanding Service Cl) iik ii j # Award Recipient Suzanne Thompson Festival Board Member „pop 1 . ■ Old McLendon's Petting Zoo • Piazza and Farmer's Market Renton Chamber of M: Commerce Suzanne at 2004 ;, • Marketing-McLendon Banquet, with King ,. Hardware Parker and husband, , Sister City Committees • Soroptimist International of Renton KLA river p =-_ I days Ce W ■ Sponsor aCr.,„,,,,„, V 444j .. ■ The Sponsor a childprogram , in its fifth — year, raised $865 li CI ....gi,oi.L..644.6-n ehia.y.':,,,� , .. Spans a d ld l tadp---tNTA �: t �a►, ■At $5 a child the f, a..� m Wka for_end matt km spin: i ! CM t="4fe¢.4p.Mie nHd•m In+m b.{WyK.,.a- She;CWcf�vil wq'm contributions sponsored ' 173 children , 44 more than 2006 i ... ,,,- .,,,. . 1 ''''.--";4 , , "e....4.:"...:, y,1 ' : /1 , ,,„- Air e ._ ,. a / is .,-0, +F �I t •. �. r -., '':;:e' 4.`,w , „ ''',.7i, : .. , se -. „,,- .....,t,„„ „"' �...,.,, 1. •.. a � a . [:i . .. ---- -,. ,',-. . _ i .... . .40 46 , • river � �� days , - -- - Free Events and Activities , „ •,. Kids for ,, 4i. A.,..6406. t b I . ' : • Kids' Day, Wizards of the Coast , .„,- ,... • 0 , , ' '.----- -2-- 4 • Pacific Science Center Exhibit, Baze Chiropractic .., ...... . -4 ..... • Face Painting, LeafGuard and ABC Seamless Siding , . • Dizzy's Tumble Bus — over 3,500 kids visited the bus „ , during Kids' Day & the 3 day weekend! .t, ,e- 0 4 ; 1 II II II 11 ow.— ., I or! t .. \,.. 'Alt k - 4 , , S. 4 tor 414tt •- 7 _ +411k , 7 ;.• *r, 44. , _ I - 1/4' '' trr '..1- *,*1' it 413- 1 iftternO) A ., 1 I I 1 ,,,, . , •if V • '*. -4°14, r dmilloirmosomrombommialli ..' , k ,.z..4, „.. •••rC*1 - ',,. .. Free Events and Activities , ,... , , , for Kids - . ,, , . „. . - .. ,„ , / , 31' it • Old McLendon PettingZoo - , ;. � e^ • LEGO Playzone, ' • i D & N Custom Floors & ifo T '' `, Countertops ' .111�5 4ii, t • Strolling Balloon Artist,�� - li. 1 .� WA State Kitchens and k .M Bath ' • Happy Hula Hooping, Back to Health = Chiropractic t 'e"`` • To maker's Workshop p 4` Wizards of the Coast JIM ,,�. • Strolling Stilt DancerZee -virtir: • Inflatables `® . Seattle Post-lntelligencer The Seattle Times Io , Free Events and Activities . . , s;- , • _ _ . 4i,.. _, , ._ r ,--.liifor Kids sf _ , .,,.. .4 i ■ Junk Chimes :z ■ Fire & Police Department Activities 3Y • Chalk Art Contest, Allied Arts , • Caricaturist ■ Pony Rides, Renton Western Wear #` i' • Entertainment, including gymnastics, '' '- Ronald McDonald, youth choir, and more! Kids'• Photo ID Cards, First Financial , . Diversified and BoeingEmployee .. . � s Credit i , p- - Union; over 2, 100 free photo ID cards %+� `-3T � S' ?..` �� . produced x S ■ Children's Arts & Crafts Booth Qwest Communications Kids ' ColoringContest s onsored byRentonicip‘4 o d Arts, . p p Seattle Post-IntellIgencer, V mg4 to -� j �� & The Seattle Times 0 . • Four Categories of winners: ■ 3-6 years old } ■ 7-9 years old _. ; • 10-12 ears old = s • Grand Prize winner received a basket of prizes, including gift certificates to IKEA, Renton Western Wear, 03:Dand tickets to a Seattle Pro river _- daps Sports event • Ce _ .,..,. ... . !II!>1 :...._.1.1 ::..::::::y.,.:':T • : Pony Rides iii....;.(:-.. :::,...,, .. . ,. . .. .. .: .,. .,. ... ... ASIh. 400, sponsored by V "III 4 Renton Western Wear is) c . 4 4 4 lit 4, 38 :4.:- rtg, d e s throughout, - the - - . .- wep ,„ end, with sortie kids ' - . SA= 'S-2* ,--jOSVOriMV 4. edt 11:4::::.-' ailing multiple times. R Five ses each y F horda , ,. .. __ . :g ave rides . : -,,, - :., ' '''.4 : ,„ Over t J,Volunteers.:i.each day . . . . , : , --'''frOrrt-the ' ''. bunt Peak Pony Club ., . ensured riders and ponies had a It Irl-111 1 river safe , fun weekend . ... ....„_, :.„ _ _ •li,,. _ da s r Discover Heart of . . , Renton Parade 4 %, ~; 4 . ■ 125 entries r ,, ■ More than 2,200 s. fit i. •. participants ____ i ' 4 ..e • Manycolorful and -' t,,r ; ii t, uniquefloats, the x r i*4 ,0"..4t •i.I 44144"7,- Seahawks Blue Thunder , . , . Drumline, Renton,s own VPintim lorr -� American Idol, many • community groups, and f A = the Seafair Pirates. T f., �9;1 ■ The Masonic float won ...mi. — the Mayor's Trophy ,A1110,,ii..._ Art Events ,..,... _.... ........ ....,.... v. .0%41.2„„L„ AI ion 111 111 ;n All Teen Musical "Seussical t Ii 11 Art Market ,+� a Alaska USA Federal Credit Union ■ 50 arts and crafts booths } � Chalk Art Contest ? Alred Arts of Renton r r_' ; 1 , ,r • 18 adults and 48 youth participated ir i t • Over $700 in prizes awarded • Free to participants ...„. ...,, ore Art Events .4. ,, „. , , 4e- i Renton Annual Art Show , ',,,,;* V -., -. • 279 entries juried, 143 accepted into show $6,375 of art sold e Quilt Exhibition r TIPCedar River Quilters „ii........ -- sdr-svt • Over 60 items on display, including quilts, {, .�°° .�.?� � ° _mak table runners, placemats, vests, and other quilted gift items T Y.' • Categories for entries: Bed Quilts, Large :;Y N . g AWall Quilt, Small Wall Quilt, Miniature Quilts, -,--:.5414 y. b 1 . and Other Pictured Above: • Other awards given for the Guild Challenge Raffle Quilt from Quilt Show Quilt, the Guild Mystery Quilt, and Mayor's Choice '.'4....,.,-.A..W,".5-1-'01',41* - :...1,...- '' '-'}-.:-'3".:,•:',-:.:•.:...-•. , .; ,,..„..,-, .: vgifidaviv .7 .-----„'----.-------,..- -=--- .... ......„...1(;:rt,:f574‘.1,,,4 _ , p ■ Entertainment .4 : . Y. .,' - , • . '• -- Over 60 different entertainment ., ..,... , .„,,,:•a,._.. , , .._ „ ...;.•.„-ii_ i.-- .. .„: ._,.. . , lig ,. _. r ./ ._ te,,.. ....,,., : „ .„....-- , - . ,: . : ,„ - f.,-.5z,r,„ . r ,,.., . .,.. . enot-_ „is, - '' '-'}-.:-'3".: perform , -� - featuring 550 performers , ,... II at the festival . .:.„ .„... .., „....„„„:„.„,-„„..„,,,.-...„,,,... ... . .. ., . ,..„.. = -2.- .. . ,,. _.,'-r Y Fes- <” -& s < _�?� . mt { »x43`., F. t.y+` x - n � x ; ' rx @ ^+i Y aw • 4 _. y r� e 4 4, Downtown Merchants a/A AM Hosted Two Events U414 ri ri ri Two-Day Antique District Sidewalk Sale t 4 . � A II UNA �}� Seven antique stores participated in 2007 4.'iii river : =_ - days ix W -31 Downtown Merchants > i,... ... . Ask Hosted Two Events V i4 Nim Downtown Window Display Contest 22 merchants participated Prize-Winning Merchants 1st Prize: Downtown Renton Antique Mall 2nd Prize: Renton Fraternal Order of Eagles 3rd Prize: Antique Country Station : � About 350 votes were ' �� : ' cast by the public. . S4_ Io :x ,� Total prizes valued at ... "' 1 r river r75: i4'r• ;. 1 days $625 for winning PAY businesses and voters. Sports Events River Days Fun Run & Walk 1. ,. ... Medical Center • oliance Valley tes-Pr A., dics A Valley _ , e Orthoo Surgeons, Inc. Inc.• . , ' '''' the Coast, , * • tot'ot. Wizards of ssocia i; ,4,.. is...L., - participants . P SIAV 205 Golf , , 4k * Memorial 1 '• 205 i Chastain , . Sam ent Tour _ _ _ nam . - ...._ US Bank .... _ ,. 4 - i 4. i • ef It. ' ,, 4 •+ t .- , co , *4 - '' ' 1 - , , :. . .4 ..:: 1 rl 116 golfers Tournament (29teams) r , . Socce Insurance CO (SCORE) ( .... 14 . ey Safe t ,,-- _ • il East... .. , . .. Club of Rent on Soccer netitors 50 competitors 6 77 teams, . ectators 4,000 spectators ted k - • , )"..`,*'•,4F --'*. '• " 'It* Estimated • , Li. W s Events > 1.61111 U 4 4 Volkssport5K, IOK, & 2OKWaIks 4 Southiake Clinic Interlaken Trailblazers " v.Var 444 296p articipants walked a total of t- r Ag. 3,274 kilometers or 2,034.5 miles '*""*" Tennis Tournaments 1,111,,; : Aces Tennis Approximately 100 participants in Adult Tournament 131 participants in Juniors/Rookie Tournament $250 donated to the Aces Tennis Scholarship Fund . .,. Canoe & Kayak Regatta 1 river 65 participants divalowswinammorsy Ce ,, Boatstock and > .... 3! Wakeboard Invitational V j -6 j i r • Approximately 30 boats featured ■ More than 290 boat rides and 903 passengers A } i. Ilailp v river II.: days . , IX W> La 31Boatstock and L.) � � Wakeboard Invitational j ., rt Cif) Ilk 4 en • 12 wakeboarders Fri competed in this year's ---= invitational . •jk Competitors ranged from amateur to �r � +t( � professional . _ M�WI. ti .._ `� � Vii. _.� � - D t t of emons ra ion ' WakeKite, a new water -R.w -1,47", activity, was featured in y the afternoon . KSA river �-� I days Bfinvy th Club ' s ek AO Annual V .4 mg 41 4 # d ' Elegance 148 BMW cars and 1 BMW motorcycle on display 400 BMW Club members and guests in attendance $ 1 , 500 donation to Renton Lions Club • 4-1:11) T-,. I river „ 9A#‘ '�; f4 2 days n. l'...."1:t DISC ;VE R .. I, _ . II , . t • ,-.,:kr.,;;;•:!1-'-,-.:-;,:,,,: • sKk � ry .xar i x �ti 1 y °'.d "ms' sitioL,„„ Al f! N�.1 "' w;' '•'‘ A ;`S- . s sS - . g�'. d",�. :11 ,.,-;.A.,.,:, . .,,,it'.0.,, -„,,„ 1-,....,,' Iti,F4'' r:' . ',- 'AO.. .: ''''..7;,--,''',„„: .litt-e.' t.,-",. .\7.!' '''''':-,f,'., . ' ' , r ', 4 , . ,iiiiitip. ilL, II 7ywrf' "�.,-Y \ 1 +, a �' 'w, "'�„`. ,aa` AO: ,. ,a. ”" .fix' i['y�p IPJ' {•_��;3 ,�. .i .-:,4,. t '',T^..1.1t 4. v't ,,..a..;.,.-.. ,-,..'„.,,,.P1.1111' $1,),;,_` '',,w "' ..117‘ .. 111,46,6:?': -:10,%,,,- ' .� # s 3,iii �. $ '. -ket F F < tr aS #y e,�J l •' .,i'-Cr''' '- '9 i._ � E., j A '. . . ,?2 A. ' W > m = Community Boo A.A (/)u .: 4 4 • 49 Kids' Day Exhibitors ......., ■ 58 Weekend Exhibitors , ;� �: � ;,.. �. • Best Decorated Booth Contest f �' r• ' Winners: obilio, 4. 1st Place & People's Choice - f - � , Benson Hill Bruins Jr. Football 2nd Place - VFW #1263 3rd Place - Renton 1st United K■ ; � , =� river Methodist Church is days . . . ceW.•• 3!. . ce Ducky Derby ',„.. .. by sponsored RotaryClub of Renton V "4r p ,r i r 4 It + 44 mom Si 44,%,4hrst II 41 wa, „Ise, a li, *** 446 Clo .410 44 it, itavb t 411, *Au job Allii,14 -1 3,937 ducks iifr. ,,41140, iii, floated down the river $20,000 raised to support the Renton community Beneficiaries include: • NW Burn Foundation • The Salvation Army Food Bank ' • Communities In Schools of Renton river -" days • Other area charities Alb> 640k, Festival U Cl) 1111 144 - • Evaluation forms were given to festival 0 attendees, participants, exhibitors, food vendors, entertainers, volunteers, and planning committee members. ■ 250 evaluations were received ■ These "report cards" help festival planners and volunteer committees with new ideas, special features, and improving logistics showcasing Renton at its best. pwaz river 1 days . .. . An Amazing Event Oak alik U 4 44 4 Volunteer Planning and Participation Nii CO it 'ii (Festival Volunteer Program sponsored by Puget Sound Energy) 200 committee volunteers, and 2,500 hours of time planning the festival 650 volunteers during festival week, contributed 7,000 hours aentan Volunteers help set up art shows, sell 4 l todf.a15�` t)` 0 souvenirs, coordinate recreational events, and assist small children through inflatables. During festival weekend , Renton Historical ,, Museum volunteers host an early morning f- = � ri esr coffee, juice and pastry table. w $60,000 Charitable Events & Donations > L. .11M. Ducky Derby, Fun Run, & Golf Tournament Events U ,� • Soccer Tournament ( ) + 1116 4� Communities In Schools of Renton 0 Sam Chastain Memorial Scholarship Fund Mount Peak Pony Club, Key Club, Renton High Cheer Squad And more. . . $20,000 Juried Art Awards, Art Grant, Contest/Event Awards and Prizes Annual Art Show Awards Doug Kyes Art Grant Program Municipal Arts Commission Coloring Contest Prizes Chalk Art & Quilt Show Prizes Ducky Derby Prizes Downtown Merchant Window Display Contest Prizes Fun Run and Golf Tournament Prizes KLA river And more . . . 011 I days apbstmossiontofterb $80,000 Total AM ` Mark Your V N � Calendars . . . 23rd Annual IKEA Renton River Days July 22 -27 , 2008 !. mmems days es �ti O ADMINISTRATIVE, JUDICIAL, AND LEGAL SERVICES DEPARTMENT IP' ,N,vO MEMORANDUM DATE: October 22, 2007 TO: Toni Nelson, Council President Members of the Renton City Council FROM: Kathy Keolker, Mayor Jay Covington, Chief Administrative Officer SUBJECT: Administrative Report In addition to our day-to-day activities, the following items are worthy of note for this week: GENERAL INFORMATION • Bring the whole family to stroll the streets of downtown Renton to enjoy scarecrows and festive fall decorations in business windows and storefronts on display through October 31. • On Saturday, October 27, from 1:00 to 4:00 p.m., enjoy free games, treats, and festive decorations at The Olde Fashion Halloween Party in the Main Street Square (enter at the 200 block of Main Avenue South). Come in costume or make your own there. Also from 1:00 to 4:00 p.m., downtown Renton businesses will host Trick or Treating. Look for the orange "Trick or Treat" signs in storefront windows of participating businesses throughout downtown. COMMUNITY SERVICES DEPARTMENT • A community art project entitled Cedar Salmon and sponsored by Friends of the Cedar River Watershed is on display at the Renton Public Library now through November 3. The project involves ten life-sized salmon silhouettes created from cedar planks by local artists, which will be displayed at a series of sites along the salmon's migration route from Puget Sound to the Cedar River Education Center in North Bend. They will be auctioned off at a fundraising event for the restoration of habitats along spawning streams. The showing at the library will coincide with weekend visits by naturalists on October 13, 20, 21, 27, 28, and November 3 to explain the life cycle of the salmon and the importance of the Cedar River as prime salmon habitat. • Children ages 2 to 8 years, accompanied by an adult, are invited to the annual Boo Carnival on Saturday, October 27, 10:00 a.m. to 12:30 p.m., for a spirited time of crafts, games, and inflatables. Carnival pass for all activities is $6 per child. This event is co-sponsored by Stoneway Concrete. For more information, call 425-430-6700 or visit www.Rentonwa.gov. • StoryBook Theater will present a brand new musical adaptation of the classic fairytale"Chicken Little" at Carco Theatre on Saturday, October 27 and Sunday, October 28 at 11:00 a.m. and 1:00p.m. This hilarious performance is for children ages 3 to 9 and their families. For ticket information, contact Storybook Theatre at 425-827-3123 or visit www.Studio-East.org. • Come and do some pre-holiday shopping at the Holiday Craft Bazaar from 10 a.m. until 4 p.m. this Saturday, October 27, at the Renton Senior Activity Center. Over 60 local vendors will be selling their hand-crafted items. Snacks and beverages will be available for purchase. Administrative Report October 22,2007 Page 2 PLANNINGBUILDING/PUBLIC WORKS DEPARTMENT • Crews working for WSDOT are grading and paving the highway shoulder on southbound SR 167 and will conduct electrical work, weather permitting. Sunday, October 21 through Thursday, October 25, crews will close up to two southbound lanes on SR 167 between I-405 and South 41st Street to pave the roadway. The first lane will close at 8:00 p.m., with all lanes to reopen by 6:00 a.m. each morning. No closures related to this project are scheduled for the I-405 mainline. CITY OF RENTON COUNCIL AGENDA BILL AI#:4111100e Submitting Data: For Agenda of: October 22, 2007 Dept/Div/Board.. AJLS/Mayor's Office Staff Contact Jay Covington Agenda Status Consent X Subject: Public Hearing.. Correspondence.. Executive Search Contract for Human Resources/ Ordinance Risk Management Administrator Resolution Old Business Exhibits: New Business Study Sessions Contract with Waldron& Company Information Recommended Action: Approvals: Legal Dept Council Concur Finance Dept Other Fiscal Impact: Expenditure Required... $25,500 Transfer/Amendment Amount Budgeted $25,500 Revenue Generated Total Project Budget City Share Total Project SUMMARY OF ACTION: Mike Webby, the City's Human Resources/Risk Management Administrator for over 10 years, is retiring in March of next year. The HR/RM Administrator position is critical to the City, and will be more so in 2008 as the HR/RM Department handles recruitments associated with Fire Department early retirements, recruitment and hiring associated with the Benson Hill Annexation, and negotiating new labor agreements. To assist the City in ensuring that we have the most qualified candidates for the position,the Administration proposes hiring Waldron& Company to assist in the recruitment and selection of a candidate for this position. The City has hired Waldron& Company in the past to help successfully fill a number of senior management positions, including our Police and Fire Chiefs, and our Finance & Information Services Administrator. Waldron& Company's fee for this service is $25,000, plus any printing and mailing costs, which should not exceed $500. STAFF RECOMMENDATION: Authorize the Mayor to sign the contract with Waldron & Company in the amount of$25,000 plus expenses for services relating to the recruitment and selection of the Human Resources/Risk iiikatoo Management Administrator position. h_ tlThldron & (omon 101 Stewart,Suite 1200 I (206)441-4144 phone I www.waldronhr.com Seattle,WA 98101 I (206)441-5213 fax October 8, 2007 Mr. Jay Covington Chief Administrative Officer City of Renton 1055 S. Grady Way Renton, WA 98055 Dear Mr. mgton: Thank you for your confidence in Waldron & Company. We are pleased that you have chosen us to conduct the search for your new Human Resources Director. We look forward to working with you again. This letter will serve as a proposed agreement of services to be performed by Waldron & Company for the City of Renton. NEEDS ASSESSMENT & EVALUATION Now As with any leadership transition, we are confident that the City of Renton seeks a recruitment process that assures the thoughtful selection of a Human Resources Director who shares the vision and values of the organization. It has long been one of Waldron& Company's principle tenets in all searches to talk to as many key people as possible to ensure a thorough and comprehensive understanding of all issues and concerns relating to the position to be filled. In order to achieve this end, Waldron& Company will: • Conduct private interviews with the Chief Administrative Officer, Department Administrators, Human Resources staff, union representatives and other key stakeholders as directed. • Conduct a salary survey (if desired) and present the results, along with a recommended salary range, for consideration. • Prepare a comprehensive Position Specification for the position which includes: • A general description of the City of Renton. • The basic function, authority and responsibilities of the Human Resources Director position. • Immediate and long term goals of the City ("Priorities & Issues"), as well as its vision, mission and philosophy. • All qualification requirements including education, experience and personal characteristics. "%me • Salary range, benefits and relocation provision(if any). illaldron b Company �®� We have found that each search process is different and requires an individual approach. We will evaluate the City's situation and needs and work closely with you to develop and design a recruitment strategy to find the right Human Resources Director. The remainder of the project continues with: • The approval of the search timetable including dates of completion for key events, as well as a target for selection and appointment of the new Human Resources Director. • The composition of a recruitment letter that describes the position and invites prospective candidates to apply. • The design of all supplemental screening tools. • The creation of the initial format of the semi-final and final interview processes. CANDIDATE RECRUITMENT STRATEGY Through our extensive executive recruitment experience and community involvement, we at Waldron & Company have developed a unique connection to many individuals in executive leadership positions. Typical activities involved in recruiting candidates include: • Waldron & Company's project team members making direct recruitment calls to our network and prospects. • Utilizing the database and catalogue of contacts that we have compiled over the years to develop a comprehensive list of prospects to be reached through a direct mail campaign. • Planning, developing and placing advertisements in professional publications and on related web-sites targeting qualified individuals. • Distributing position materials and announcements, as well as requests for supplemental ' information. CANDIDATE SCREENING From the resumes we receive, Waldron & Company will identify a group of promising candidates who appear to meet or exceed our profile, then request additional information, including a brief application and responses to supplemental questions, from those individuals. We have found the completed supplemental materials provide: • A good sample of a candidate's writing ability. • An early indicator of the sincerity of his/her interest. • An opportunity to view a candidate's analytical, management and communication styles. • An indicator of his/her philosophy and values. At that time, we bring forward a preliminary pool of the most qualified applicants. Using the application, supplemental questionnaire, resume and other materials submitted by the candidates, we will partner with you to identify the top semi-finalists. This work session provides you with the opportunity to: • Assess the quality of the candidate responses. • Gain initial familiarity with the semi-finalists. • Institute a quality control checkpoint to evaluate the results of the recruitment. • Control the expenses involved in the travel/interview phase of the search. lDaldron&Company ," After the semi-finalists have been identified, the project team from Waldron & Company will conduct personal interviews with the semi-finalist group. FINAL INTERVIEW PROCESS Following Waldron & Company's interviews with the semi-finalists, we will meet with you to present our findings. We will recommend approximately three to five candidates for your consideration as finalists. In preparation for the final interviews we will: • Work closely with you to design the final interview process. • Conduct professional references on each of the finalists that include elected officials, supervisors, peers and subordinates. • Confirm all academic credentials for each finalist. • Provide a comprehensive list of available media articles that reference the candidates. Prior to the final interviews, we will deliver a written report that includes the application, answers to supplemental questions, resume, reference reports and education verifications for each candidate. In addition, we provide our clients with: • A list of suggested interview questions designed to augment questions that you and other participants may wish to ask. • A quantitative/qualitative scoring system to evaluate and compare the merits of each candidate (if desired). • Assistance in making the needed travel arrangements for the final interviews and tours of facilities. • Access to the Waldron& Company project team to act as facilitators during the finalists' interviews. While it is not the policy of Waldron & Company to negotiate the final offer with the selected candidate, the Waldron & Company project team will continue to serve as on-call advisors until a final selection is made and an employment agreement is reached. FEES& EXPENSES Professional Services Fee: Waldron& Company's fee for professional services is $25,000. Project Expenses: Expenses incurred are the responsibility of the City of Renton. A two percent (2% ) administrative charge will be added to all pass through expenses referenced above. No additional cost add-ons are included. Expense items include, but are not limited to: • Newspaper, trade journals and related advertising to announce the position. • Direct mail announcements and regret letters. • Telephone and facsimile expenses. • Delivery expenses. Nirwe • Printing of documents and materials. Waldron G Company �" • Travel and related costs for the consultants assigned to the project. • Travel and related expenses for candidates during the interview process. .44110 Billing: Professional fees are billed in three equal installments during the course of the search. The initial installment is billed at the time the search is assigned to Waldron & Company. The second installment is billed when the recruitment campaign is in the final stages. The final installment is billed at the conclusion of the search. Expenses are billed monthly. Guarantee: Waldron & Company guarantees placement of a qualified candidate. If the selected individual leaves the position or is terminated for any cause within two years from the employment date, we will conduct a replacement search with no additional service fee. The only cost to you would be the expenses related to the additional search. Cancellation: The City of Renton has the right to cancel the search at any time. The City's only obligation to Waldron & Company would be the fees and expenses incurred prior to cancellation. Completion: The final review process shall be completed within six months from the date of contract execution. Indemnification: Waldron & Company shall defend, indemnify and hold the City, its officers, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or suits including attorney fees, arising out of or resulting from the acts, errors or omissions of the Consultant in performance of this Agreement, except for injuries and damages caused by the sole negligence of the City. 4000 ACCEPTED BY: Waldron & Company City of Renton Mr. Ed Rogan Ms. Kathy Keolker Executive Search Practice Leader Mayor Waldron & Company City of Renton Date Date Waldron & Company ,,, CITY OF RENTON COUNCIL AGENDA BILL Al#: ?4? di* 141111.0,1 Submitting Data: For Agenda of: Dept/Div/Board.. AJLS/City Clerk October 22, 2007 Staff Contact Bonnie Walton Agenda Status Consent X Subject: Public Hearing.. CRT-07-011; Court Case Correspondence.. Meagan K. Norlin vs. City of Renton Ordinance Resolution Old Business Exhibits: New Business Notice of Small Claim No. 73-1524, King County Study Sessions District Court Information Recommended Action: Approvals: Refer to City Attorney and Insurance Services Legal Dept Finance Dept Other Fiscal Impact: Expenditure Required... Transfer/Amendment Amount Budgeted Revenue Generated sisot Total Project Budget City Share Total Project SUMMARY OF ACTION: Notice of Small Claim filed in King County District Court-East Division by Meagan K. Norlin, 15300 SE 155th Pl., #D204, Renton, 98058, who seeks $196.02 for damage to vehicle windshield allegedly caused by errant golf ball from Maplewood Golf Course. CITY OF RENTON J r✓(461-1)' 'Cr- � OCT 1 7 2007 RECEIVED n. CITY CLERKS OFFICE ''�.•' Jf'1 ' via eev h'c ed mail Al I, from Pialwili-f Filed �ti� / 'y1 OCT 02 2007 King County District Cour Issaquah Division King County District Court-East Division IMPORTANT: You MUST bring an State of Washington- Issaquah Courthouse original and THREE copies of this 5415 220th Ave.SE form to the court for filing Issaquah,WA 98029 206-205-9200 1 NOTICE OF SMALL CLAIM SMALL CLAIM NO. . NOIZLi N a M CA Gr Iknt K . Giry o f 12ENTVN,W A.-MA PLEWOOI2&DLF couRSE Plaintiff(last name,first,middle initial OR company name) Defendant(last name,first,middle initial OR company name) 1530o se 15544, PL $ D2.04— I O Ss S.Cvg I¢-PctV way (Loom 7 28 Address(no PO Box numbers allowed) vs. Address(no PO Box numbers allowed) K.WIT Ni NAM q 8058 •et�-roN vvxa RI)d55 City Zip City Zip 4-25.3 8102-8 I cSa.nn L) 1412.5 .430 • (aG t 0 ( Ga-M0) Phone(home) Phone(work) Phone(home) Phone(work) 1) I)-61)1 At ' -5 � k-YYN., In Courtroom# 4 D---' j Trial Date Time Xou,the above named Defendant,are hereby directed to appear personally in the King County District Court,East Division,Issaquah Courthouse 5415 220m ve.SE,Issaquah,WA on the above-noted date at the time and location specified. You must be ready for trial and have with you,then and there,all books,papers,and witnesses needed by you to establish your defense to the claim. You are further notified that,in case you do not appear,judgment will be rendered against you for the amount of the claim as stated herein below,and in addition,costs of filing and costs of service of this notice. jAccommodations are available to people with disabilities upon request). Jenr,41-r,,,,„Et\ Date Issued Judge/Clerk State of Washington,County of King CLAIM KEA&AN Nog1N Plaintiff above named,deposes and says Defendant named above owes to the Plaintiff the sum of 14(O. 02 (total amount owing,not including filing and service fees—cannot be more than 54,000),which became due or owing on 071 D I/ISO 7(dd/mm/yyyy). The amount owing is for e Auto Damages—Accident Only Date of Accident: (dd/mm/yyyy) Q Wages Rent ED Damage Deposit Q Loan n Goods&Services Property Damage . Other Descry the Nature of your claim A tj in( là 1• • 2: MON '_. rw S fOit I14 P .ETp DA•M4asif As O. Jarsttl✓T of golf. Batt QQr>1t t 0E- I certify under penalty of perjury under the Laws of the State of Washington that the statements in this form are true and correct. � Dated: 10.2.07 -1 t 1Z OtLA-/�'� Place Signed: ♦ 'L,Jp1 plain City and S ed Court Clerk CITY OF RENTON COUNCIL AGENDA BILL Al#: � e Submitting Data: For Agenda of: October 22, 2007 Dept/Div/Board.. AJLS/City Clerk Staff Contact Bonnie Walton, x6502 Agenda Status Consent X Subject: . Public Hearing.. Request by Conner Homes, Inc. for reimbursement of Correspondence.. City-required oversizing of sanitary sewer lift station for Ordinance new development across from Maplewood Heights Resolution Elementary School. (File No. UC-07-001) Old Business Exhibits: New Business Letter from Conner Homes (10-1-07) Study Sessions Information Recommended Action: Approvals: Legal Dept Refer to Utilities Committee Finance Dept Other Fiscal Impact: Expenditure Required... Transfer/Amendment Amount Budgeted Revenue Generated Total Project Budget City Share Total Project.. SUMMARY OF ACTION: On October 4, 2007, John R. "Barney" Skochdopole, Project Manager, Conner Homes Company, filed a letter requesting reimbursement in the amount of$259,944 for the City-required oversizing of a sanitary sewer lift station serving a new neighborhood(Shy Creek)being developed across from Maplewood Heights Elementary in the Renton Highlands. The Utility Systems Division has since reviewed the request and determined that the request is valid. STAFF RECOMMENDATION: Determine whether the request should be granted, and if so, the dollar amount. cc: Dave Christenson,Utility Systems Supervisor • . . CONNER ,....., October 1, 2007 HOME S Mayor Kathy eolker and City Council Members City of Ren n 1055 Sou -Grady Way - .- Sevent ioor Rent ,yVA 960.55. . Re: Request for Utility Oversizing Reimbursement Dear Madam Mayor and Distinguished Members of the Council, Conner Homes Company is developing a new neighborhood across.from Maplewood Heights Elementary in the Renton Highlands. Part of the necessary improvements for the new neighborhood is a sanitary sewer lift yam,,, station. The City's sanitary sewer comprehensive plan indicated that a larger area including-our new neighborhood was earmarked for lift station service, and accordingly the City required us to install the larger facility. Conner donated the tract of land, and is facilitating the design and construction of the pdrmanent facility to be owned and operated by the City: Per RMC 4-6-010C, please consider this a formal request for reimbursement of the City- required oversizing of the lift station according to the cost differential submitted by the contractor provided below. A lift station recently constructed at Cristelle Ridge in Renton by this contractor, provided the base case for what a lift station simply serving our neighbor would have been contracted for. In addition to that approximately $300,000 amount, Omega Contractors puts forth the following breakdown for the additional work and materials to create the ultimate upsized installation on the site. 2000 man-hours labor©$60/hr $120,000 120 cy structural concrete $ 15,000 Additional rebar $ 6000 7 Ne,,,N Additional transfer pump $ 6000 2 sewage pumps vs grinder pumps $ 16,000 VA . l*Ille 846 108th Avenue NE Bellevue,Washington 98004 425 455 9280 www.connerhomes.corn • Additional grating and supports $ 5000 Raven Coating for wetwell $ 11,000 Wasser Coating for storage area $ 13,000 6" Piping upsize over 2 1/2 &4" $ 7000 Aluminum hatches $ 4000 Motor control center $14,000 Subtotal $217,000 Contingency 10% $ 21,700 $238,700 . WSST 8.9% $ 21,244 Total $259,944 This is the amount requested for reimbursement by the City. We have worked closely with the Public Works Department to get their agreement on the stated amounts. Thank you very much for your attention. If you should have any questions or need anything more from me to process our oversizing reimbursement request, please do not hesitate to call me at 425 646 4438 during business hours or email me at barney a(�connerhomes.com. Otherwise I look forward to your approval, and to getting this important component of the subarea's infrastructure complete and online in the next few months. Respectfully Submitted, Jo n R. "Barney" Skochdopole =roject Manager CONNER HOMES COMPANY cc: Dave Christensen, City Of Renton Public Works, Wastewater Services. Z W • CITY OF RENTON COUNCIL AGENDA BILL AI#: 0I ) Submitting Data: For Agenda of: October 22, 2007 Now Dept/Div/Board.. AJLS/City Clerk Staff Contact Bonnie Walton, City Clerk Agenda Status (x6502) Consent X Subject: Public Hearing.. Washington State Auditor's Office Audit Report for Correspondence.. Period of January 1, 2006 - December 31, 2006 Ordinance Resolution Old Business Exhibits: New Business • Accountability Audit Report (Report No. 73344) Study Sessions • Report on Financial Statements and Federal Single Information X Audit (Report No. 73345) Recommended Action: Approvals: Legal Dept None; Information Only Finance Dept Other Fiscal Impact: N/A Expenditure Required... Transfer/Amendment Amount Budgeted Revenue Generated Total Project Budget City Share Total Project.. SUMMARY OF ACTION: The Washington State Auditor's Office has submitted the City of Renton audit report for the period January 1, 2006 through December 31, 2006. The audit areas examined included legal compliance, internal control, financial areas, and Federal programs. In the areas examined, the audit found the City complied with state laws and regulations, its own policies and procedures, and requirements of federal financial assistance. In addition, the City's financial statements were complete and accurate. I:\AGENDA BILLS PAPERS\AGENDA BILL-St Auditors Report.doc/ Washington State Auditor's Office Accountability Audit Report City of Renton King County - Report Date August 17, 2007 Report No. 73344 . ,. . _ Issue Date c�s� ��'''� Washington .: ; - " `� § ' . gt September 21, 2007 '' 7Ar2!Ilai Scute Auditor ;l 004. ., Bria-rnSonritag' . i_j^ ' O0 �, cFsAQ I -00 r• ': '''% of N-IfiNG.-, 4.4111104 Washington State Auditor Brian Sonntag September 21, 2007 Council City of Renton Renton, Washington Report on Accountability Please find attached our report on the City of Renton's accountability and compliance with state laws and regulations and its own policies and procedures. In addition to this work, we also audit the City's financial statements and compliance with federal laws and regulations. The results of that audit will be included in a separately issued audit report. Sincerely, NS • • BRIAN SONNTAG, CGFM STATE AUDITOR insurance Building,P.O.Box 40021 •Olympia,Washington 98504-0021 •(360)902-0370•(866)902-3900•TDD Relay(800)833-6388 FAX(360)753-0646••http://www.sao.wa.gov Table of Contents City of Renton King County August 17, 2007 Audit Summary 1 Description of the City 2 Audit Areas Examined 4 °err✓ Audit Summary City of Renton King County • August 17, 2007 ABOUT THE AUDIT This report contains the results of our independent accountability audit of the City of Renton. We performed audit procedures to determine whether the City complied with state laws and regulations and its own policies and procedures. We also examined City management's accountability for public resources. Our work focused on specific areas that have potential for abuse and misuse of public resources. Areas examined during the audit were selected using financial transactions from January 1, 2006, through December 31, 2006. RESULTS The City complied with state laws and regulations and its own policies and procedures in the areas we examined. Internal controls were adequate to safeguard public assets. RELATED REPORTS Our opinion on the City's financial statements and compliance with federal program requirements is provided in a separate report, which includes the City's financial statements. CLOSING REMARKS We thank City officials and personnel for their assistance and cooperation during the audit. Washington State Auditor's Office 1 Description of the City City of Renton King County August 17, 2007 ABOUT THE CITY The City of Renton was incorporated in 1901 and is located on the southern shore of Lake Washington, next to the cities of Tukwila and Kent. The City serves about 54,900 residents in King County. It operates under the mayor-council form of government. The City has an independently elected Mayor and seven elected Council Members. The City provides a full range of municipal services including police, court and fire. It operates enterprise funds for water and sewer services and a surface water utility. The City provides library, parks and recreation, and planning and community development services. It also operates its own airport and golf course. It contracts for jail services with King County and Yakima County. AUDIT HISTORY We audit the City annually. No findings have been reported in the past five years. City management has been responsive to past audit recommendations. Audit concerns are generally addressed and resolved prior to the completion of our audit. *taw' ELECTED OFFICIALS • These officials served during the audit period: Mayor Kathy A. Keolker Council: Randy Corman Toni Nelson Terri Briere Dan Clawson Denis Law Marcie Palmer Don Persson APPOINTED OFFICIALS Chief Administrative Officer Jay Covington Financial and Information Service Administrator Michael E. Bailey Fiscal Services Director Linda M. Parks Community Service Administrator Terry Higashiyama Planning, Building, Public Works Administrator Greg Zimmerman Economic Development, Neighborhoods and Strategic Planning Administrator Alex Pietsch Fire Chief I. David Daniels Police Chief Kevin Milosevich Aitowr Human Resources Administrator Michael Webby City Clerk Bonnie Walton Washington State Auditor's Office 2 ADDRESS NIS City 1055 South Grady Way Renton, WA 98057 (425)430-6400 Washington State Auditor's Office 3 Audit Areas Examined City of Renton King County August 17, 2007 In keeping with general auditing practices, we do not examine every portion of the City of Renton's financial activities during each audit. The areas examined were those representing the highest risk of noncompliance, misappropriation or misuse. Other areas are audited on a rotating basis over the course of several years. The following areas of the City were examined during this audit period: ACCOUNTABILITY We evaluated the City's accountability in the following areas: • Cash receipting • Disbursements/expenditures • Small and attractive assets such as • Conflict of interest/ethics laws computers • Courts—financial operations • Contracts/agreements • Police/Sheriff/Jail—financial • Debt/covenants • Restricted funds • Open public meetings/records laws • Procurement (bidding/prevailing wage) w41„,. FEDERAL PROGRAMS We evaluated internal controls and tested compliance with federal program requirements, as applicable, for the City's major federal program, which is listed in the Federal Summary section of the financial statement and single audit report. FINANCIAL AREAS Our opinion on the City's financial statements is provided in a separate report. That report includes the City's financial statements and other required financial information. We examined the financial activity and balances of the City including: • Cash and investments • Long-term debt • Revenues • Overall presentation of the financial • Expenditures/expenses statements • Financial condition • Financial statement preparation kw' Washington State Auditor's Office 4 All . ;441.$0it Op , EQco : , m py ` • Washington State Auditor Brian Sonntag , September 21, 2007 Council City of Renton Renton, Washington Report on Accountability Please find attached our report on the City of Renton's accountability and compliance with state laws and regulations and its own policies and procedures. In addition to this work, we also audit the City's financial statements and compliance with federal laws and regulations. The results of that audit will be included in a separately issued audit report. Sincerely, rrr' 4' c',"-- . BRIAN SONNTAG, CGFM STATE AUDITOR Insurance Building,P.O.Box 40021 •Olympia,Washington 98504-0021 •(360)902-0370•(866)902-3900•TDD Relay(800)833-6388 FAX(360)753-0646•http://www.sao.wa.gov :ABOUT THE STATE AUDITOR S OFFICE �.. The State Auditor's Office is established in the state's Constitution and is part of the executive branch_of state government; The State Auditor'is electedbythe citizens of Washington and serves four-year terms. Outmissionis to work in cooperation with our audit clients:and citizens as an advocate for government accountability:As a elected agency,the State A nuditor's Office has:the independence necessary-to objectively perforrna'udits and investigations. Our audits are designed to complywith professional'standards as well as,to satisfy the requirements of federal,state, and local laws: The State Auditor's Office,:has 300 employees who are located around the state to deliver our services effectively and efficiently. Approximately 65 percent of our staff are certified public accountants or hold other certifications and advanced degrees; Our regular audits look at financial information and compliance with state,federal and local laws on the part of all local governments,including schools, and all state agencies,including institutions of higher education.We also perform fraud and whistleblower investigations. In addition,we have the - authority to conduct performance audits of state agencies and local governments. The results of our audits are widely distributed through a variety of reports, which are availableon our Web site. We continue to refine our,reporting efforts to ensure the results of our audits are useful and understandable. We take, our role as partners in accountability seriously. We provide training and technical assistanceto governments and have an extensive program to coordinate audit efficiency and to ensure high-quality audits. State Auditor Brian Sonntag, CGFM Chief of Staff Ted Rutt Chief Policy Advisor Jerry Pugnetti Director of Administration . Doug Cochran Director of Audit Chuck Pfeil, CPA Director..of Performance Audit Linda Long, CPA, CGFM Director of Special Investigations. Jim Brittain, CPA Directorfor Legal Affair- Jan Jutte. Local.Government Liaison Mike Murphy Communications Director Mindy Chambers Public Records Officer Mary Leider Main number (360) 902=0370 Toll-free hotline for government efficiency - (866) 902-3900 Web Site www.sao.wa.gov (SAO FACTS DOC•Rev.07/07) - - Washington State Auditor's Office Financial Statements and Federal Single Audit;Report City of Renton - , King County 4 Audit Period January 1, 2006 through December 31, 2006 Report No. 73345 Issue Date 4c& Washington September 21, 2007 < G� ' '� tate Auditor Brian Sonntag �NING1 1 • 'mrd E��SIt\1• �� Washington State Auditor Brian Sonntag September 21, 2007 Council City of Renton Renton, Washington Report on Financial Statements and Federal Single Audit Please find attached our report on the City of Renton's financial statements and compliance with federal laws and regulations. We are issuing this report in order to provide information on the City's financial condition. In addition to this work, we look at other areas of our audit client's operations for compliance with state laws and regulations. The results of that audit will be included in a separately issued accountability report. Sincerely, Nov BRIAN SONNTAG, CGFM STATE AUDITOR Insurance Building,P.O Box 40021 •Olympia,Washington 98504-0021 •(360)902-0370•(866)902-3900•TDD Relay(800)833-6388 FAX(360)753-0646•http.//www.sao.wa.gov Table of Contents City of Renton King County • January 1, 2006 through December 31, 2006 Federal Summary 1 Independent Auditor's Report on Internal Control over Financial Reporting and on Compliance and Other Matters in Accordance with Government Auditing Standards 2 Independent Auditor's Report on Compliance with Requirements Applicable to its Major Program and Internal Control over Compliance in Accordance with OMB Circular A-133 4 Independent Auditor's Report on Financial Statements 6 Financial Section 8 Federal Summary City of Renton King County January 1, 2006 through December 31, 2006 The results of our audit of the City of Renton are summarized below in accordance with U.S. Office of Management and Budget Circular A-133. FINANCIAL STATEMENTS An unqualified opinion was issued on the financial statements. Internal Control Over Financial Reporting: • Significant Deficiencies: We reported no deficiencies in the design or operation of internal control over financial reporting that we consider to be significant deficiencies. • Material Weaknesses: We identified no significant deficiencies that we consider to be material weaknesses. We noted no instances of noncompliance that were material to the financial statements of the City. FEDERAL AWARDS Nome Internal Control Over Major Programs: • Significant Deficiencies: We reported no deficiencies in the design or operation of internal control over major federal programs that we consider to be significant deficiencies. • Material Weaknesses: We identified no significant deficiencies that we consider to be material weaknesses. We issued an unqualified opinion on the City's compliance with. requirements applicable to its major federal program. We reported no findings that are required to be disclosed under OMB Circular A-133. Identification of Major Programs: The following was a major program during the period under audit: CFDA No. Program Title 20.205 Highway Planning and Construction The dollar threshold used to distinguish between Type A and Type B programs, as prescribed by OMB Circular A-133, was$300,000. The City qualified as a low-risk auditee under OMB Circular A-133. law Washington State Auditor's Office 1 Independent Auditor's Report on Internal Control over Financial Reporting and on Compliance and Other Matters in Accordance with Government Auditing Standards City of Renton King County January 1, 2006 through December 31, 2006 Councij City of Renton Renton, Washington We have audited the financial statements of the governemental activites, the business-type activities, each major fund and the aggregate remaining fund information of the City of Renton, King County, Washington, as of and for the year ended December 31, 2006, which collectively comprise the City's basic financial statements, and have issued our report thereon dated August 17;2007. During the year ended December 31, 2006, the City implemented Governmental Accounting Standards Board Statement 43, Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans, Statement 46, Net Assets Restricted by Enabling Legislation, and Statement 47, Accounting for Termination Benefits. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to the financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. INTERNAL CONTROL OVER FINANCIAL REPORTING In planning and performing our audit, we considered the City's internal control over financial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the City's internal control over financial reporting A control deficiency exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the City's ability to initiate, authorize, record, process or report financial data reliably in accordance with generally accepted accounting principles such that there is more than a remote likelihood that a misstatement of the City's financial statements that is more than inconsequential will not be prevented or detected by the City's internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected by the entity's internal control. Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that 14410 Washington State Auditor's Office 2 • might be significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses, as defined above. COMPLIANCE AND OTHER MATTERS As part of obtaining reasonable assurance about whether the City's financial statements are free of material misstatement, we performed tests of the City's compliance with certain provisions of laws, regulations, contracts and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. This report is intended for the information and use of management, the Council, federal awarding agencies and pass-through entities. However, this report is a matter of public record and its distribution is not limited. It also serves to disseminate information to the public as a reporting tool to help citizens assess government operations. BRIAN SONNTAG, CGFM STATE AUDITOR August 17, 2007 Washington State Auditor's Office 3 Independent Auditor's Report on Compliance with Requirements Applicable to its Major Program and Internal Control over Compliance in Accordance with OMB Circular A-133 City of Renton King County January 1, 2006 through December 31, 2006 Council City of Renton Renton, Washington COMPLIANCE We have audited the compliance of the City of Renton, King County, Washington, with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement that are applicable to its major federal program for the year ended December 31, 2006. The City's major federal program is identified in the Federal Summary. Compliance may, with the requirements of laws, regulations, contracts and grants applicable to its major federal program is the responsibility of the City's management. Our responsibility is to express an opinion on the City's compliance based on our audit. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to the financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the City's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on the City's compliance with those requirements. In our opinion, the City complied, in all material respects, with the requirements referred to above that are applicable to its major federal program for the year ended December 31, 2006. INTERNAL CONTROL OVER COMPLIANCE The management of the City is responsible for establishing and maintaining effective internal control over compliance with requirements of laws, regulations, contracts and grants applicable to federal programs. In planning and performing our audit, we considered the City's internal control over compliance with the requirements that could have a direct and material effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report on internal control over compliance, but not for the purpose of expressing an opinion on the Washington State Auditor's Office 4 'to"''' effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the City's internal control over compliance. A control deficiency in a entity's internal control over compliance exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect noncompliance with a type of compliance requirement of a federal program on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the entity's ability to administer a federal program such that there is a more than remote likelihood that noncompliance with a type-of compliance requirement of a federal program that is more than inconsequential will not be prevented or detected by the entity's internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in a more than remote likelihood that material noncompliance with a type of compliance requirement of a federal program will not be prevented or detected by the entity's internal control. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. This report is intended for the information of management, the Council, federal awarding agencies and pass-through entities. However, this report is a matter of public record and its distribution is not limited. It also serves to disseminate information to the public as a reporting tool to help citizens assess government operations. BRIAN SONNTAG, CGFM STATE AUDITOR August 17, 2007 Nov Washington State Auditors Office 5 '4rr0 Independent Auditor's Report on Financial Statements City of Renton King County January 1, 2006 through December 31, 2006 Council City of Renton Renton, Washington We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund and the aggregate remaining fund information of the City of Renton, King County, Washington, as of and for the year ended December 31, 2006, which collectively comprise the City's basic financial statements as listed on page 8. These financial statements are the responsibility of the City's management. Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund and the aggregate remaining fund information of the City of Renton, as of December 31, 2006, and the respective changes in financial position and,where applicable, cash flows thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. As described in Note 1, during the year ended December 31, 2006, the City implemented Governmental Accounting Standards Board Statement 43, Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans, Statement 46, Net Assets Restricted by Enabling Legislation, and Statement 47, Accounting for Termination Benefits. In accordance with Government Auditing Standards, we have also issued our report on our consideration of the City's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters. The purpose of that report is to describe the scope of.our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. The management's discussion and analysis 'on pages 9 through 23 and budgetary comparison information on pages 80 through 81 are not a required part of the basic financial statements but are supplementary information required by the Governmental Accounting Standards Board. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods ,, AS Washington State Auditor's Office 6 of measurement and presentation of the required supplementary information. However, we did not audit the information and express no opinion on it. - Our audit was performed for the purpose of forming an opinion on the financial statements that collectively comprise the City's basic financial statements. The accompanying Schedule of Expenditures of Federal Awards is presented for purposes of additional analysis as required by U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. This schedule is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. BRIAN SONNTAG, CGFM STATE AUDITOR August 17, 2007 *r' ''err' Washington State Auditor's Office 7 Financial Section City of Renton King County January 1, 2006 through December 31, 2006 REQUIRED SUPPLEMENTAL INFORMATION Management's Discussion and Analysis—2006 BASIC FINANCIAL STATEMENTS Statement of Net Assets—2006 Statement of Activities—2006 Balance Sheet—Governmental Funds—2006 Reconciliation of the Balance Sheet to the Statement of Net Assets—2006 Statement of Revenues, Expenditures and Changes in Fund Balance—2006 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balance of Governmental Funds to the Statement of Activities—2006 Statement of Net Assets—Proprietary Funds—2006 Statement of Revenues, Expenses and Changes in Fund Net Assets—Proprietary Funds—2006 Statement of Cash Flows—Proprietary Funds—2006 Statement of Fiduciary Net Assets—Fiduciary Funds—2006 Statement of Changes in Fiduciary Net Assets—Firemen's Pension Fund—2006 Notes to the Financial Statements—2006 REQUIRED SUPPLEMENTAL INFORMATION Schedule of Revenues, Expenditures and Changes in Fund Balance—Budget to Actual— General Fund—2006 Schedule of Revenues, Expenditures and Changes in Fund Balance—Budget to Actual—Parks Fund—2006 SUPPLEMENTAL INFORMATION Schedule of Expenditures of Federal Awards and Notes—2006 *400 Washington State Auditor's Office 8 2006 Comprehensive Annual Financial Report City of Renton, Washington MANAGEMENT'S DISCUSSION AND ANALYSIS Now The City of Renton's discussion and analysis provides a narrative overview of the City's financial activities for the fiscal year ended December 31, 2006. The intent of the discussion and analysis is to review the City's financial performance as a whole. This Management's Discussion and Analysis (MD&A) combined with the Transmittal Letter, the Financial Statements, and the Notes to the Financial Statements represent the complete 2006 financial activities for the City of Renton. These are all intended to help the reader understand the City's significant financial issues. This MD&A provides an overview of the City's financial records. The data in this financial report also identifies any material deviations from the financial plan and the adopted annual budget. Finally, the intent of the MD&A and other financial information is to isolate and identify individual fund issues or concerns. FINANCIAL INFORMATION Since 2003, the City of Renton prepared its financial records in accordance to what is known as Government Accounting Standards Board Statement 34 (GASB 34) with a phase in of the infrastructure component in 2004. The City's general Government-wide Financial Statements were prepared on the full accrual basis of accounting in conformity with generally accepted accounting principles (GAAP). The City's Fund Financial Statements for its major and non-major governmental funds were prepared on the modified accrual basis of accounting in conformity with GAAP. The City's major and non-major enterprise funds, internal service funds and pension funds were accounted for on the accrual basis. some The City of Renton, along with all cities, counties and other governmental entities in Washington, must comply with the Budgeting, Accounting, and Reporting System (BARS) as defined by the Washington State Office of the Auditor (SAO). The SAO audits the financial records of all cities and other governmental units within the State. The City of Renton's financial system integrates financial and administrative controls that ensure the safeguarding of assets and the reliability of financial reports. These controls are designed to provide: 1. reasonable assurance that transactions are executed in accordance to management understanding and approval; 2. reasonable assurance that transactions are executed in accordance to GAAP principles; 3. accountability for control of assets and obligations; and 4. assurance that sufficient reporting and review exists to provide adequate information for analysis and comparability of data. Internal control is a high priority for the City. The State Office of the Auditor reviews the City's internal controls, and the City receives and takes action on all the recommendations made. Washington State Auditors Office 9 . 2006 Comprehensive Annual Financial Report City of Renton, Washington The City maintains strong budgetary controls in order to ensure compliance with legal provisions **4100 embodied in the annual appropriated budget as approved by the City Council. The City Council must authorize any budget increase or decrease to any fund. Financial Highlights • The City's total assets as of December 31, 2006, exceeded liabilities by over$486 million. • As of December 31, 2006, the City's Governmental Activities reported net assets of$282 million. Of this total, $26 million is defined as unrestricted and can be used for needs the Mayor and Council deem necessary. These monies are intended to provide a cushion against significant economic downturns in revenues and to maintain sufficient working capital and cash flow to meet daily financial needs. • Investments in capital assets comprise $213 million of the $282 million in Governmental Activities net assets. • The business type activities have total net assets of $204 million. Eighty-eight (88%) percent of this total, $180 million, represents the City's investments in capital assets. An unrestricted balance of $20 million remains and is used to meet day to day cash flow requirements and to ensure we can meet all obligations of the utilities and other funds if the revenues do not meet expectations. • The City's total outstanding long-term debt as of December 31, 2006, was $96 million. Of this amount, $41.4 million are revenue bonds and PWTF loans dedicated to the water works projects. Another $1.4 million is for outstanding bonds for Senior Housing. These bonds have a special taxing authority. The Golf Course has $3.09 million outstanding in debt service. Employee leave balances total $4.6 million. The balance of$45.5 million of our debt is dedicated for general governmental purposes, including the purchase of City Hall, the construction of the downtown parking garage and a replacement of a fire station (our share of a regional E-911), Communications Center, and other small projects, including municipal-bonds sold for fire equipment. OVERVIEW OF THE FINANCIAL STATEMENTS This discussion and analysis provides an introduction and overview to the City of Renton's basic financial statements. The basic financial statements are comprised of three components: 1. Government-wide Financial Statements; 2. Fund Financial Statements; and 3. Notes to the Financial Statements. The graphic representation below illustrates the required components of the City's annual financial report and how the required parts are arranged and relate to one another. This illustration helps explain the City's financial presentation in 2006. This graphic representation should be used in conjunction with the following explanations to help guide the reader in understanding the financial condition of the City of Renton. Washington State Auditors Office 10 2006 Comprehensive Annual Financial Report City of Renton, Washington Figure 1 401000' REQUIRED COMPONENTS OF THE ANNUAL FINANCIAL REPORT Management Discussion oand Analysis 9 (required supplementary information) (new) c � (Government-wide Financial Statements(new) Fund Financial Statements(refocused) La- Notes Notes to the Financial Statements ' (expanded/restructured) o Required Supplementary\ " = vInformation z a (other than MD&A) In addition to the required components shown in Figure 1, the City's annual report also includes other voluntary supplementary information. The most significant section is the Combining Statements. These provide Balance Sheets, Statement of Revenues, Expenditures, and Changes in Fund Balances with Budget to Actual comparisons, Statement of Net Assets, and Cash Flows for all Non-Major Funds. The next section of information, the Statistical Section, provides a ten-year view of the City's Revenue, Expenditures, Debt Obligations, and Debt Capacity, the City's largest taxpayers, and those entities with.the largest employment within the City of Renton. This section provides a long- term perspective on the City's economy. BASIC FINANCIAL STATEMENTS Government-wide Financial Statements provide readers with a broad overview of the City of Renton's finances in a manner similar to a private sector business. They provide both short-term and long-term information about the City's overall financial status. The government-wide statements distinguish between functions of the City that are principally supported by taxes and intergovernmental revenues (referred to as "governmental activities") from functions that are intended to recover all or a significant portion of their costs through user fees and charges (referred to as "business-type activities.") The governmental activities of the City include a full range of local government services provided to the public such as police and fire protection; road maintenance and construction; community planning and economic development; libraries, parks and recreational opportunities; and other community services. The business-type activities of the City include water, sewer, surface water, solid waste management and services, golf course, and airport. err Washington State Auditor's Office 11 2006 Comprehensive Annual Financial Report City of Renton, Washington The Statement of Net Assets presents information on all of the City's assets and liabilities with the difference between the two reported as net assets. This statement combines and consolidates governmental funds' current financial resources (short term available resources) with capital assets and long-term obligations, which is primarily debt. The Statement of Net Assets serves a purpose similar to that of the Balance Sheet of a private-sector business. Over time, increases or decreases in net assets may serve as one indicator of whether the financial position of the City is improving or deteriorating. Other indicators to consider when evaluating the financial position of the City includes changes to the property tax base, general economic conditions as demonstrated through business licenses fees or sales tax revenue, and the condition of the City's infrastructure (roads, drainage systems, bridges, water infrastructure.) The Statement of Activities focuses upon both the gross and net cost of various activities that are provided by the government's general tax and other revenues. This is intended to summarize and simplify the user's analysis of cost to various governmental services and/or subsidy to various business-type activities. By separating program revenue from general revenue, users of the financial statements can identify the extent to which each program relies on taxes for funding. The Governmental Activities reflect the City's basic functions: General Government, Security of Person and Property, Physical Environment, Mental and Physical Health, and Culture and Recreation. Property, sales, and utility taxes finance the majority of these functions. All changes in net assets are reported using accrual basis of accounting, which is similar to the accounting used in the private sector. The accrual basis of accounting requires that revenues are reported when earned and expenses are reported when incurred, no matter when the revenue will , 4.00 actually be received or the obligation will be paid. For example, property taxes are shown as a receivable as revenue even though some amount of these taxes will not be available to the City for several years. All unpaid vendor obligations are illustrated as an accounts payable obligation as of December 31. Fund Financial Statements The City uses funds to ensure and demonstrate fiscal integrity and compliance with finance related legal requirements with a focus on Major Funds. A fund is a group of related accounts that is used to maintain control over resources that have been segregated for specific activities and objectives. There are three types of funds: governmental, proprietary, and fiduciary. A Major Fund has three elements as defined by GASB 34: • Total assets, liabilities, revenues, or expenditures of that individual governmental or enterprise funds are at least ten percent (10%) of the corresponding total (assets, liabilities, etc.) for all funds of that category or type(i.e., governmental, proprietary, or fiduciary); and • Total assets, liabilities, revenues, or expenditures/expenses of the individual government fund or enterprise funds are at least five percent (5%) of the corresponding total for all governmental and enterprise funds combined; or • Any other governmental or enterprise fund that the government's officials believe is particularly important. Governmental Funds present most of a government's tax-supported activities. The Proprietary Funds describe and financially manage the government's business-type activities where all or part ' Washington State Auditor's Office 12 2006 Comprehensive Annual Financial Report City of Renton, Washington of the activities' costs are supported by fees and charges that are paid directly by those who benefit *r" from the activities. Fiduciary Funds control resources held by the government as a trustee or agent for parties outside of the government. The resources of Fiduciary Funds cannot be used to support the government's own programs. Governmental Funds The Governmental Fund Balance Sheet and Governmental Fund Statement of Revenues, Expenditures, and Changes in Fund Balances present separate columns of financial data for the General, Parks, and Municipal Facilities CIP Funds (new major fund in 2006). These comprise the City's major governmental funds. Data from the remaining governmental funds are combined and presented in a single, aggregated column in the fund statements. Individual fund data for each of the non-major governmental funds is provided in the form of combining statements. Governmental Funds are used to account for essentially the same functions reported as governmental activities in the Government-wide Financial Statements. The focus of governmental Fund Financial Statements is on near-term inflows and outflows of available resources and on balances of resources available at the end of the fiscal year. Such information is useful in evaluating whether there are more or less financial resources that can be spent in the near future to finance City services. Because the focus of governmental Fund Financial Statements is a narrower view than that of the Government-wide Financial Statements, it is useful to compare information presented for governmental funds with similar information presented for governmental activities in the Government-wide Financial Statements. This gives the reader a better understanding of the long- *row term impact of the government's near-term financing decisions. The Governmental Fund Balance Sheet and the Governmental Fund Statement of Revenues, Expenditures, and Changes in Fund Balances provide reconciliation to the governmental activities column in the government-wide statements to facilitate this comparison. The City maintains budgetary controls over its governmental funds. Budgetary controls ensure compliance with legal provisions embodied in the annual appropriated budget. Governmental fund budgets are established in accordance with state law and are adopted on a fund level. General Fund budget variances are reviewed later in this discussion and analysis. Proprietary Funds These types of funds consist of two types of funds: Enterprise and Internal Service. They have always been operated as private business activity. Enterprise Funds are used to report the same functions as business-type activities in the Government-wide Financial Statements. Internal Service Funds are used to report activities that provide supplies and services to various City departments and to accumulate and allocate the associated costs of providing these services to the various functions. The revenues and expenses of internal service funds that are duplicated in other funds are eliminated in the government-wide statements. Because the remaining balances primarily benefit governmental, rather than business-type activities, they have been included within Governmental Activities in the Government-wide Statements. The City of Renton has two major proprietary funds: Waterworks Utility (water, wastewater, and stormwater) and Solid Waste. All other activities are combined in Other Enterprise Funds. Governmental Activities Internal Service Funds are reported separately in this section. Washington State Auditor's Office 13 2006 Comprehensive Annual Financial Report City of Renton, Washington The Proprietary Fund Balance Sheet and the Proprietary Fund Statement of Revenues, Expenses, and Changes in Fund Equity present separate columns of financial data for the Waterworks Utility and Solid Waste. Data from the remaining Enterprise Funds are combined and presented in a single, aggregated column in the fund statements. Governmental Activities Internal Service Funds are reported separately in this section. Proprietary Fund statements provide the same type of information as the Government-wide Financial Statements, only in more detail, since both apply the accrual basis of accounting. In comparing the total assets and total liabilities between the two statements, only slight differences will be noticed. One notable difference is that the "due from other funds" (asset) and the "due to other funds" (liability) in the proprietary fund statements are combined in a single line called "internal balances" in the asset section of the Government-wide Statement of Net Assets. Fiduciary Funds Fiduciary Funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reported in the Government-wide Financial Statements because the resources of those funds are not available to support the City's own operations. All of the City's fiduciary activities are reported in a separate Statement of Fiduciary Net Assets and a Statement of Changes in Fiduciary Net Assets. Notes to the Financial Statements The notes provide additional information that is essential to a full understanding of the data provided, and are an integral part of the Government-wide and Fund Financial Statements. Combining statements for non-major Governmental and Enterprise Funds, as well as Internal Service Funds, are presented immediately following the required supplementary information on pensions. GOVERNMENT-WIDE FINANCIAL ANALYSIS Statement of Net Assets Changes in Net Assets may serve as a useful indicator of a government's financial position. The overall financial position has improved for the City of Renton over the prior year. Changes in Net Assets from 2005 to 2006 shows an increase in total net assets of$27.9 million. Washington State Auditor's Office 14 2006 Comprehensive Annual Financial Report City of Renton, Washington Table 1 is a condensed version of the Government-wide Statement of Net Assets. Noliw Table 1 NET ASSETS Total Total Governmental Governmental Business-type Business-type Primary Primary Activities Activities Activities Activities Government Government 2005 2006 2005 2006 2005 2006 Current and other assets $69,083,752 $89,914,383 $27,021,623 $38,029,290 $96,105,375 $127,943,673 Capital assets(net of accumulated depreciation) 234,312,957 253,366,212 219,207,529 213,959,532 453,520,486 467,325,744 TOTAL.ASSETS $303,396,709 $343,280,595 $246,229,152 $251,988,822 $549,625,861 $595,269,417 Long term liabilities $34,448,776 $51,093,508 $47,794,739 $44,994,968 $82,243,515 $96,088,476 Other liabilities 7,799,762 10,620,578 1,509,414 2,564,530 9,309,176 13,185,108 TOTAL LIABILITIES $42,248,538 $61,714,086 $49,304,153 $47,559,498 $91,552,691 $109,273,584 NET ASSETS Invested in capital assets, net of related debt $203,297,293 $209,964,556 $171,827,746 $181,515,939 $375,125,039 $391,480,495 Restricted 28,578,305 42,261,663 3,555,690 3,555,690 32,133,995 45,817,353 Unrestricted 29,272,573 29,340,290 21,541,563 19,357,695 50,814,136 48,697,985 TOTAL NET ASSETS $261,148,171 $281,566,509 $196,924,999 $204,429,324 $458,073,170 $485,995,833 The majority of the City's net assets (81%) are investments in capital assets (e.g., streets, drainage, construction in progress, buildings, equipment, water and sewer pipes) less any related outstanding debt used to acquire these assets. The City's capital assets are used to provide services to citizens. It should be noted that although the investment in capital assets is reported net of related debt, resources needed to repay this debt must be provided from other sources since the capital assets themselves cannot be used to liquidate these liabilities. w Investments in capital assets net of related debt increased from 2005 to 2006 by $16.4 million.• In 2006, the City issued $17,980,000 Limited Tax obligation bonds. The proceeds of the bonds were used to finance the construction of South Lake Washington infrastructure improvements. Chart 1 CATEGORIES OF NET ASSETS $525,000,000 $450,000,000 $375,000,000 Il$300,000,000 $225,000,000 . -_:- III$150,000,000 . II 111 $75,000,000 11 Il ti H it a. C •Unrestncted = c o f o f v o ? f .? W T ? nj T,> v a� ■Restricted N u F H o p N a o Q o III Invested in capital assets Cl • Washington State Auditors Office 15 2006 Comprehensive Annual Financial Report City of Renton, Washington Restricted assets, representing resources that are subject to external restrictions on how they may be 41a00 - used, equate to nine percent (9%) of total net assets, up from seven percent (7%) in 2005. The remaining balance(unrestricted net assets)of$48.7 million may be used to meet the City's ongoing - obligations. Chart 1 provides a graphical comparison of the three categories of net assets for 2005 - and 2006. As of December 31, 2006, the City reports positive balances in all three categories of net assets, for the government as a whole, as well as for separate governmental and business-type activities. Statement of Change in Net Assets The City's total net assets (before prior period adjustments and changes in accounting principles) increased in 2006 by $27.9 million. Governmental activities generated seventy percent (73%) of this total or$20.4 million, while business-type activities generated $7.5 million of this total. Chart 2 below illustrates the various sources and amounts of revenue received by the government as a whole. Table 2 follows the chart. This is a condensed version of the Statement of Activities for the City. Comparable data is available and provided in the 2006 Annual Report. Chart 2 2006 TOTAL REVENUES BY SOURCE Interest/Investment earnings 3% Miscellaneous Business I% Taxes Excise Taxes 0 Charges for Services 7% 5.( r 7,-„„..,,,,,, 45% Sales Taxes ""'---_ Af ' vtivirit/sprV '"',„ ' .- , -::._--:' :,,,,,' /j Property Taxes 1u.-. . , ._ 15% Capital Grants/Contribution Operating Grants& 8% Contributions 3% Washington State Auditor's Office 16 2006 Comprehensive Annual Financial Report City of Renton, Washington Table 2 CHANGE OF NET ASSETS Total Primary Total Primary Governmental Governmental Business-Type Business-Type Government Government Activities 2005 Activities 2006 Activities 2005 Activities 2006 2005 2006 REVENUES: Program revenues: Charges for services $27,101,167 $31,340,523 $40,029,830 $40,056,079 $67,130,997 $71,396,602 Operating grants&contributions 4,979,601 4,596,836 196,974 77,688 5,176,575 4,674,524 Capital grants&contributions 1,227,503 5,909,870 5,101,699 6,317,203 6,329,202 12,227,073 GENERAL REVENUES. Property taxes 21,523,818 23,600,131 21,523,818 23,600,131 Sales taxes 18,910,823 20,869,595 18,910,823 20,869,595 Business taxes 10,643,068 11,219,303 10,643,068 11,219,303 Other taxes 6,938,265 7,718,945 6,938,265 7,718,945 'Penalties and interest 49 3,799 49 3,799 Interest and investment earnings 1,449,001 3,251,975 458,797 881,486 1,907,798 4,133,461 Miscellaneous 1,958,217 689,243 639,646 282,808 2,597,863 972,051 TOTAL REVENUES $94,731,512 $109,200,220 $46,426,946 $47,615,264 $141,158,458 $156,815,484 PROGRAM EXPENSES GOVERNMENTAL ACTIVITIES: General government services $21,137,856 $19,977,086 $21,137,856 $19,977,086 Judicial 1,380,816 1,434,134 1,380,816 1,434,134 Security of persons and property 29,496,791 30,749,762 29,496,791 30,749,762 Physical environment 2,208,340 2,618,832 2,208,340 2,618,832 Transportation 4,183,880 15,798,138 4,183,880 15,798,138 Economic environment 5,899,796 6,372,118 5,899,796 6,372,118 Mental and physical health 300,171 295,072 300,171 295,072 Culture and recreation 9,744,692 9,695,924 9,744,692 9,695,924 Interest on long-term debt 1,710,346 1,772,370 1,710,346 1,772,370 Business-type activities Water $25,884,227 $27,220,132 25,884,227 27,220,132 Airport 1,226,810 1,196,363 1,226,810 1,196,363 Solid waste 9,327,525 9,706,016 9,327,525 9,706,016 Golf 2,132,077 2,056,874 2,132,077 2,056,874 TOTAL EXPENSES $76,062,688 $88,713,436 $38,570,639 $40,179,385 $114,633,327 $128,892,821 Increase in net assets before transfers $18,668,824 $20,486,784 $7,856,307 $7,435,879 $26,525,131 $27,922,663 Transfers (9,300) (68,446) $9,300 $68,446 0 0 Increase in net assets 18,659,524 20,418,338 7,865,607 7,504,325 26,525,131 27,922,663 Net Assets-beginning 242,488,646 261,148,171 189,059,392 196,924,999 431;548,038 458,073,170 Net Assets-ending $261,148,171 $281,566,509 $196,924,999 $204,429,324 $458,073,170 $485,995,833 Seventy percent (70%) of the City of Renton's total revenue activities are for general governmental activities such as providing police, fire, parks, libraries, recreational, building safety, and planning services. Chart 3 The largest business type activities 2006 COMPARISON OF TOTAL GOVERNMENTAL vs include water, sewer, surface water, solid BUSINESS TYPE EXPENSES waste, and golf activities. Business Type Governmental Governmental Activities Analysis Activities Activities 31% & 69% Governmental activities cost a total of $89 million in 2006, up $12.6 million from 2005. Of this amount, $42 million �W-. �� was paid for either by those who directly benefited from the programs or by other governments and organizations that subsidized certain programs with grants Washington State Auditor's Office 17 2006 Comprehensive Annual Financial Report City of Renton, Washington and contribution. The net expense (total expenses less program revenues) of$47 million was the cost of governmental services City taxpayers primarily paid through various taxes. Chart 4 portrays the cost of each of the City's major governmental programs along with each program's generated revenues (fees and intergovernmental revenues specifically related to that program.) Chart 4 GOVERNMENTAL ACTIVITIES PROGRAM REVENUES AND EXPENSES 2005 vs 2006 $30,000,000 $25,500,000 III Expenses $21,000,000 ■Revenues $16,500,000 $12,000,000 $7,500,000 $3,000,000 -$1,500,000 • 05 G¢cGlxob V�`c�° ry,00�5ryo0JS,,\rJ jticl c•'• d0' \Vo \3 0a o 04 � { NSe \ axJ ob., J,0 ,`0 ,90 4„. S 44.0 C„ ¢, �eotOcSeobO tiS� `.s NIS 4 4 ro coo coo tioo� boob ooSw °b 4. 4. �cp '1,0 ryOO� ryOOb�GOJ ti ry '12 CO Chart 5 depicts the sources of revenues that fund governmental activities. Approximately fifty- seven percent (57%) is from various taxes. Charges for services, grants, and interest earnings generate forty-two percent (42%) of total revenue for general governmental activities. Washington State Auditor's Office 18 2006 Comprehensive Annual Financial Report City of Renton, Washington `+fir Chart 5 GOVERNMENTAL ACTIVITIES REVENUES BY SOURCE Capital Grants 50/0 Property Taxes Operating Grants 21% 4% Charges for Services 30% t i Miscellaneous 1% Retail Sales Ta Excise Taxes Business Taxes 19% Interest Earnings 7% 10% 3% Business-Type Activities Analysis Charts 6 and 7 present the same information on business-type activities as illustrated for general governmental type activities. Chart 6 shows the expense of each of the City's business-type programs along with each program's generated revenues (fees and intergovernmental revenues specifically related to that program.) Norse Chart 6 MI BUSINESS TYPE ACTIVITIES Expenses PROGRAM REVENUES AND EXPENSES ®Revenues $35,000,000 $30,000,000 min $25,000,000 117. WI $20,000,000 $15,000,000 , $10,000,000 , • $5,000,000 e ■ ■ 2005 2006 2005 Airport 2006 Airport 2005 Solid 2006 Solid 2005 Golf 2006 Golf Waterworks Waterworks Waste Waste Course Course The Waterworks Utility had a positive net change of$6.8 million at the end of 2006 compared to $7.4 million in 2005. The City generated $34 million in various fees for services and other sources from waterworks activities above the $27.2 million in expenses. fir' Washington State Auditor's Office 19 2006 Comprehensive Annual Financial Report City of Renton, Washington 14111104 The Airport's total expenses were$1.2 million. Grant revenues for 2006 were $282,130 with total revenues of$1.2 million. The Solid Waste Utility's revenues were $9.9 million generated from fees for services and $76,293 in grants. The total expenses were $9.7 million. The Golf Course generated a total of$2.3 million in green fees, driving range charges, and other user fees. The total expenses for the Golf Course were $2.1 million. Thus, the Golf Course generated a net asset change of$291,908 for the year. Business-type activities are supported Chart 7 primarily from charges for services. In the BUSINESS TYPE ACTIVITIES City of Renton, $40 million was generated REVENUES BY SOURCES from charges for services in the business-type Interest& activities. These comprise eighty-four Grants Miscellaneous percent (84%) of the total financial support 13°° l for these activities. Grant revenues increased 20.6% or$1.1 million from 2005 to 2006. - Charges for Services 84% FINANCIAL ANALYSIS OF THE GOVERNMENT'S FUNDS Governmental Funds Analysis The focus of the City's governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City's financing requirements. In particular, unreserved fund balance may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year. As of the end of the fiscal year, the City's governmental funds reported combined ending fund balances of$60 million, an increase of$17 million in comparison to last year. Approximately 8% constitutes unreserved, undesignated fund balance, which is available for spending at the government's discretion. The remainder of the fund balance is reserved or designated to indicate that it is not available for new spending because it has already been committed for operating reserves. The General Fund is the chief operating fund of the City. At the end of the current year, unreserved, undesignated fund balance of the general fund was $4.9 million, while total fund balance reached $10.7 million. The fund balance total increased 1.5 million during the fiscal year. Transfers to other funds decreased by $2.6 million in 2007, significantly contributing to this increase. The Parks Fund at year-end had an unreserved, designated fund balance of$1,285,989. The overall fund balance increased $448,175 over the prior year. The Parks Fund received $1.3 million more in *4180 Washington State Auditor's Office 20 • 2006 Comprehensive Annual Financial Report City of Renton, Washington property taxes to help offset the increase in expenditures in the fund for culture and recreation Nap programs. The Municipal Fund was a new major fund in 2007. An increase in revenues of$2.3 in property taxes, as well as increased interest earnings helped contribute toward the overall fund balance increase of 1.9 million. A total of$1.1 million was spent on the Heather Downs. Proprietary Funds Analysis The fund financial statements for the proprietary funds are presented in more detail, but essentially provide the same type of information found in the business-type activities in the government-wide financial statements. Unrestricted net assets in the Waterworks Utility Fund and the Solid Waste Fund were $15 million and $2.5 million respectively. This represents a decrease in Waterworks Utility Fund of$460,600 and an increase in the Solid Waste Fund of$351,483 in unrestricted net assets. Total Net Assets increase in both funds $6.7 million and $347,544 respectfully. Other factors concerning the finances of these two funds have already been addressed in the discussion of business-type activities. CAPITAL ASSET AND DEBT ADMINISTRATION Capital Assets The City of Renton's investment in capital assets, including construction in progress, for its governmental and business-type activities as of December 31, 2006, amounts to $478.4 million as presented on the following table. Table 3 CAPITAL ASSETS • (Net of Accumulated Depreciation) Governmental Activities Business Type Activities Total Activities 1/1/2006 12/31/2006 1/1/2006 12/31/2006 1/1/2006 12/31/2006 Land $81,997,215 $85,936,207 $6,976,321 $6,976,321 $88,973,536 $92,912,528 Construction in progress 15,819,455 24,371,783 2,512,285 4,126,115 18,331,740 28,497,898 Buildings and structures 55,442,027 53,544,216 11,467,501 11,131,546 66,909,528 64,675,762 Other improvements 70,441,585 77,247,581 197,274,995 201,871,536 267,716,580 279,119,117 Machinery and equipment 10,612,674 12,266,422 976,424 956,451 11,589,098 13,222,873 $234,312,956 $253,366,209 $219,207,526 $225,061,969 $453,520,482 $478,428,178 General government infrastructure includes streets, bridges, overlays, and traffic controls. More detail about the City's Capital Assets can be found in Note 5 to the financial statements. Washington State Auditor's Office 21 2006 Comprehensive Annual Financial Report City of Renton, Washington Debt Administration As shown in Table 4, the City's total outstanding debt at December 31, 2006, was $96.1 million. This was a net increase(new issues less principal payments and refundings) of$14.4 million. Table 4 OUTSTANDING DEBT General Activities Business Type Activities Total Activities 1/1/2006 12/31/2006 i/1/2006 12/31/2006 1/1/2006 12/31/2006 General obligation bonds $29,107,664 $46,899,513 $29,107,664 $46,899,513 Revenue debt $35,790,000 $33,840,000 35,790,000 33,840,000 Other long term debt 11,589,783 10,692,018 11,589,789 10,692,018 Employee leave benefits 4,690,510 4,193,995 411,340 462,947 5,101,850 4,656,942 $33,798,174 $51,093,508 $47,791,123 $44,994,965 $81,589,297 $96,088,473 In 2006 the City issued $17,980,000 of Limited Tax General Obligation Bonds. The proceeds of the bonds will be used for the purpose of providing funds for construction of transportation and utility infrastructure and improvements. In addition, the City included $1,315,199 in accreted interest for the 1997 Capital Appreciation Bonds. The Water & Sewer Revenue Bond underlying ratings remain AA- at both rating agencies. More detailed information about the City's long-term debt can be found in Note 14 to the financial statements. FUTURE YEAR'S BUDGETARY IMPACTS The City continues to benefit from progressive economic development activities allowing the City to continue to grow. • Seattle Seahawks moving their headquarters to Renton • Providence Health Systems establishing its offices in the Southgate Office Park, which will employ over 1,000 workers • The Evergreen City Ballet occupying the old McLendon building • Wizards of the Coast have relocated to new offices in Renton • The FAA expanding its facilities in Renton • The Landing project includes Fairfield Residential, a 900 apartment complex • Target will open in October of 2007 • Conner Homes has begun development of 20-acres of luxury lakefront residential property For more information regarding the factors affecting the future year's budgetary impacts, please refer to the Transmittal Letter within this document under: Factors Affecting Financial Condition - Economic Condition and Outlook and Update from Budget Document- Outlook. `ad Washington State Auditor's Office 22 2006 Comprehensive Annual Financial Report City of Renton, Washington 4olrw REQUESTS FOR FINANCIAL INFORMATION This financial report is designed to provide our citizens, creditors, investors, and others interested in the City's finances with a general overview of the City's finances and to show the City's accountability for financial resources it receives. If you have any questions about this report or need additional information, please contact Mike Bailey, Finance and Information Services Administrator, 1055 South Grady Way, Renton, WA 98057 or visit our web site at www.ci.renton.wa.us. itrrw Washington State Auditor's Office 23 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF NET ASSETS December 31,2006 PRIMARY GOVERNMENT. GOVERNMENTAL BUSINESS-TYPE ACTIVITIES ACTIVITIES TOTAL ASSETS Cash and cash equivalents $ 32,835,943 $ 15,969,931 $ 48,805,874 Investments at fair value 38,653,773 1,420,000 40,073,773 Receivables(net of allowance for uncollectibles) 13,388,628 4,800,050 18,188,678 Internal balances 2,749 (2,749) - Inventories - 318,891 318,691 Prepayments 114,038 - 114,038 Other non-current assets 4,919,252 865,242 5,784,494 Restricted assets: Cash and cash equivalents - 1,805,690 1,805,690 Investments at fair value - 1,750,000 1,750,000 Land 85,936',207 6,978,320 92,912,527 Construction in progress 24,371,783 4,128,115 28,497,898 Capital assets(net of accumulated depreciation) 143,058,222 213,959,532 357,017,754 Total assets $ 343,280,595 $ 251,988,822 $ 595,269,417 LIABILITIES Accounts payable and otherliablIttles $ 9,711,138 $ 2,170,529 $ 11,881,667 Interest payable 190,550 174,904 365,454 Unamortized(discount)/premium 648,229 (120,748) 527,481 Unearned revenue 70,681 339,845 410,506 Non-current liabilities: Due within one year 3,994,780 3,024,159 7,018,939 Due In more than one year 47,098,728 41,970,809 89,069,537 Total liabilities $ 61,714,086 $ 47,559,498 $ 109,273,584 NET ASSETS Investment in capital assets, net of related debt $ 209,964,556 $ 181,515,939 $ 391,480,495 Restricted for: Promotional programs 988,260 - 988,260 Construction projects 41,273,403 - 41,273,403 NIS Debt service - 3,555,690 3,555,690 Unrestricted 29,340,290 19,357,695 48,697,985 Total net assets $ 281,566,509 $ 204,429,324 $ 485,995,833 The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 24 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF ACTIVITIES 'rot, ,,, For the Year Ended December-31,2006 Page 1 of 2 ' PROGRAM REVENUES OPERATING CHARGES FOR GRANTS AND CAPITAL GRANT FUNCTIONS/PROGRAMS EXPENSES SERVICES CONTRIBUTIONS &CONTRIBUTIONS Primary government: Governmental activities: General government $ 19,977,086 $ 21,852,465 $ 4,195,348 $ 18,329 Judicial 1,434,134 831,485 - - Security of persons and property 30,749,762 517,151 254,865 - Physical environment 2,618,832 400,798 - - Transportation 15,798,138 1,628,154 - 1,469,926 Economic environment 6,372,118 4,368,399 44,369 4,418,865 Mental and physical health 295,072 - 78,256 2,750 Culture and recreation 9,695,924 1,742,071 23,998 - Interest on long-tern debt 1,772,370 - - - Total governmental activities $ 88,713,436 $ 31,340,623 $ 4,596,836 $ 5,909,870 Business-type activities: Waterworks utility $ 27,220,132 $ 27,036,324 $ 1,395 $ 6,035,073 Airport 1,196,363 909,425 - 282,130 Solid waste utility 9,706,018 9,837,915 76,293 - Golf course 2,056,874 2,272,415 - _ Total business-type activities $ 40,179,385 $ 40,056,079 $ 77,688 $ 6,317,203 Total primary government $ 128,892,821 $ 71,396,602 $ 4,674,524 $ ' 12,227,073 General revenues: Taxes: Property taxes Timber taxes Retail sales taxes Business taxes Excise taxes Penalties and Interest Interest and investment earnings Miscellaneous Transfers Total general revenues and transfers Change In net assets Net assets-beginning Net assets-ending The notes to the financial statements are an integral part of this statement. NNW` Washington State Auditor's Office 25 2006 Comprehensive Annual Financial Report City of Renton, Washington Page 2 of 2 NET(EXPENSE)REVENUE AND CHANGES IN NET ASSETS PRIMARY GOVERNMENT GOVERNMENTAL BUSINESS-TYPE ACTIVITIES ACTIVITIES TOTAL $ 8,089,056 $ 6,089,056 (602,649) (602,849) (29,977,746) (29,977,746) (2,218,034) (2,218,034) (12,700,058) (12,700,058) 2,459,515 2,459,615 (214,066) (214,066) (7,929,855) (7,929,855) (1,772,370) (1,772,370) $ (48,868,207) $ (46,866,207) $ 5,852,660 $ 5,852,660 (4,808) (4,808) 208,192 206,192 215,541 215,541 $ 6,271,585 $ 6,271,585 $ (46,866,207) $ 6,271,585 $ (40,594,622) $ 23,600,131 $ - $ 23,600,131 20,869,595 - 20,869,595 11,219,303 - 11,219,303 7,718,945 - 7,718,945 3,799 - 3,799 3,251,975 861,486 4,133,461 889,243 282,808 972,051 (68,446) - 68,446 - 7 $ 67,284,545 $ 1,232,740 % 68,517,285 $ 20,418,338 $ 7,504,325 $ 27,922,663 $ 261,148,171 $ 196,924,999 $ 458,073,170 $ 281,566,509 $ 204,429,324 $ 485,995,833 The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 26 2006 Comprehensive Annual Financial Report BALANCE SHEET ,r GOVERNMENTAL FUNDS December 31,2006 Page 1 of 4 MUNICIPAL FACILITIES GENERAL PARKS CIP ASSETS Cash&cash equlvatents $ 5,333,644 $ 1,368,825 $ 4,027,976 Investments 3,000,000 - 10,750,000 Receivables(net of allowances) Taxes 414,752 - 472,947 Customer accounts 1,294,924 425,984 Accrued Interest&penalty 99,201 - 311,332 Due from other funds 330 - Due from other governmental units 4,296,279 58,924 11,792 Prepayments 8,000 - - Restricted assets: Advances due from other funds - 63,900 TOTAL ASSETS $ 14,447,130 $ 1,853,733 $ 15637,947 1111119 The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 27 • 2006 Comprehensive Annual Financial Report City of Renton, Washington BALANCE SHEET GOVERNMENTAL FUNDS December 31,2006 Page 2 of 4 OTHER TOTAL GOVERNMENTAL GOVERNMENTAL FUNDS FUNDS ASSETS Cash&cash equivalents S 13,833,927 $ 24,564,372 Investments 15,373,773 29,123.773 Receivables(net of allowances) Taxes 485,536 1,373,235 Customer accounts 679,388 2,400,296 Accrued Interest&penalty 449,220 859,753 Due from other funds 62,898 63,228 Due from other governmental units 4,114,926 8,481,921 Prepayments - 8,000 Restricted assets: Advances due from other funds - 63,900 TOTAL ASSETS $ 34,999,668 $ 66,938,478 The notes to the financial statements are an integral part of this statement. 44111110 Washington State Auditor's Office 28 2006 Comprehensive Annual Financial Report Ciry of Renton, Washington BALANCE SHEET 'fir' GOVERNMENTAL FUNDS December 31,2006 Page 3 of 4 MUNICIPAL FACILITIES GENERAL PARKS CIP LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 849,363 $ 178,340 $ 145,551 Taxes payable 10,567 4,494 - Retainage payable - 367 34,383 Due to other funds 15,000 -Custodial accounts 69,707 39,500 - Deposits 34,739 - - Deferred revenue 803,681 5,687 - Accrued employee wages and leave payable 1,918,978 339,356 - Interfund advances - non-current -Total liabilities $ 3,702,033 $ 567,744 $ 179,934 Fund balances- Reserved for: Advances to other funds $ - $ - $ 63900 Prepaid items 8,000 - - Unreserved,designated for: General fund contingency 5,761,257 - - Special revenue funds contingency - 949,909 - Special revenue funds - 336,080 - Capital project fund - 15,394,113 Unreserved reported in: General fund 4,975,840 - Totalfundbalances $ 10,745,097 $ 1,285,989 $ 15,458,013 TOTAL LIABILITIES AND FUND BALANCES $ 14,447,130 $ 1,853,733 $ 15,637,947 The notes to the financial statements are an integral part of this statement: r Washington State Auditor's Office 29 2006 Comprehensive Annual Financial Report City of Renton, Washington BALANCE SHEET GOVERNMENTAL FUNDS December 31,2006 Page 4 of 4 OTHER TOTAL GOVERNMENTAL GOVERNMENTAL FUNDS FUNDS LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 1,469,163 $ 2,842,417 Taxes payable 1,991 17,052 Retainage payable 308,530 343,280 Due to other funds 37,624 52,824 Custodial accounts - 109,207 Deposits 32,981 67,720 Deferred revenue 7,404 816,772 Accrued employee wages and leave payable 293,964 2,552,296 Interfund advances -non-current 63,900 63,900 Total liabilities $ 2,215,557 $ 6,665,268 Fund balances Reserved for: Advances to other funds $ - $ 63,900 Prepaid items - 8,000 Unreserved,designated for: General fund contingency - 5,761,257 Special revenue funds contingency 941,029 1,890,938 Special revenue funds 2,016,171 2,352,251 Capital project fund 26,758,324 42,152,437 Debt service funds 3,068,587 3,068,587 Unreserved reported In: General fund - 4,975,840 Total fund balances $ 32,784,111 $ 80,273,210 TOTAL LIABILITIES AND FUND BALANCES $ 34,999,668 $ 68,938,478 The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 30 2006 Comprehensive Annual Financial Report City of Renton, Washington RECONCILIATION OF THE BALANCE SHEET fir• TO THE STATEMENT OF NET ASSETS December 31,2006 FUND BALANCES-TOTAL GOVERNMENTAL FUNDS $ 60,273,210 Amounts reported for governmental activities in the statement of net assets are different because: Capital assets used in governmental activities are not financial resources and therefore are not reported In the governmental funds. Capital assets(net)and other non-current assets. $ 258,285,461 The focus of governmental funds is on short-term financing,assets are offset by deferred revenue and are not included in fund balances Deferred revenue $ 748,111 Long-term liabilities,Including bonds payable are not due and payable In the current period and therefore are not reported In the governmental funds Interest payable $ (199,806) Long-term liabilities (51,595,172) Internal service funds are used by management to charge the costs of certain activities to individual funds. Total assets and liabilities of the Internal service funds that are reported with governmental activities,less capital assets reported above. $ 14,056,705 NET ASSETS OF GOVERNMENTAL ACTIVITIES $ 281,566,509 • • The notes to the financial statements are an integral part of this statement. NNW Washington State Auditor's Office 31 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF REVENUES,EXPENDITURES,AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS For the Year Ended December 31,2006 Page 1 of 2 MUNICIPAL FACILITIES GENERAL, PARKS CIP REVENUES Taxes $ 39,260,540 $ 9,503,672 $ 4,514,285 Licenses and permits 3,132,587 - - Intergovernmental revenues 2,846,753 7,331 - Charges for services 2,246,722 2,272,314 - Fines and forfeits 860,819 - _ Interfund revenues 1,791,180 - - Special assessments - - - Contributions 66,781 30,791 23,001 Interest 661,481 47,641 788,103 Miscellaneous revenues 215,804 6,891 - TOTAL REVENUES $ 51,082,667 $ 11,868,640 $, 5,325,389 EXPENDITURES Current: General government $ 10,698,791 $ 2,830,626 $ - Security of persons and properly 31,157,303 - - Physical environment 2,609,452 - _ Transportation - - - Economic environment 4,709,745 481,227 33,969 Mental&physical health 9,231 - - Culture&recreation - 8,108,612 - Capital outlay 80,343 - 2,924,322 Debt service: Principal payment - - - Interest payment + 11111110 TOTAL EXPENDITURES $ 49,264,865 $ 11,420,465 $ 2,958,291 EXCESS(DEFICIENCY)OF REVENUES OVER EXPENDITURES $ 1,817,802 $ 448,175 $ 2,367,098 OTHER FINANCING SOURCES(USES) Proceeds of long-term debt $ - $ - $ - Transfer In - - - Transfer(out) (272,000) - (462,000) Sale of capital assets 1,424 - - TOTAL OTHER FINANCE SOURCES(USES) $ (270,576)$ - $ (462,000) NET CHANGE IN FUND BALANCE $ 1,547,226 $ 448,175 $ 1,905,098 FUND BALANCE JANUARY 1 9,197,871 837,814 13,552,915 FUND BALANCE DECEMBER 31 $ 10,745,097 $ 1,285,989 $ 15,458,013 The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 32 2006 Comprehensive Annual Financial Report City of Renton. Washington STATEMENT OF REVENUES, EXPENDITURES,AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS *re For the Year Ended December 31,2006 Page 2 of 2 OTHER TOTAL GOVERNMENTAL GOVERNMENTAL FUNDS FUNDS REVENUE$ Taxes $ 10,727,070 $ 64,005,567 Licenses and permits 1,829,920 4,962,507 Intergovernmental revenues 6,915,141 9,769,225 Charges for services 2,024,253 8,543,289 Fines and forfeits 45,866 906,885 Interfund revenues 1,051,967 2,843,147 Special assessments 511,932 511,932 Contributions 93,814 214,387 Interest 1,073,457 2,570,682 Miscellaneous revenues 1,213 223,908 TOTAL REVENUES $ 24,274,633 $ 92,551,329 EXPENDITURES Current: General government $ 443,175 $ 13,972,592 Security of persons and property - 31,157,303 Physical environment - 2,809,452 Transportation 5,097,449 5,097,449 Economic environment 294,278 5,519,219 Mental A.physical health - 9,231 Culture 8 recreation 1,825,242 9,933,854 Capital outlay 18,112,860 21,117,525 Debt service: Principal payment 1,503,350 1,503,350 Interest payment 2,129,658 2,129,656 TOTAL EXPENDITURES $ 29,406,010 $ 93,049,631 4411111, EXCESS(DEFICIENCY)OF REVENUES OVER EXPENDITURES $ (5,131,377)$ (498,302) OTHER FINANCING SOURCES(USES) Proceeds of long-term debt $ 18,490,029 $ 18,490,029 Transfer in 2,982,895 2,962,895 Transfer(out) (2,971,341) (3,705,341) Sale of capital assets 12,040 13,464 TOTAL OTHER FINANCE SOURCES(USES) $ 18,493,623 $ 17,761,047 NET CHANGE IN FUND BALANCE $ 13,362,246 $ 17,282,745 FUND BALANCE JANUARY 1 19,421,865 43,010,465 FUND BALANCE DECEMBER 31 $ .32,784,111 $ 60,273,210 The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 33 2006 Comprehensive Annual Financial Report City of Renton, Washington RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES GOVERNMENTAL FUNDS For the Year Ended December 31,2006 NET CHANGES IN FUND BALANCES-TOTAL GOVERNMENTAL FUNDS $ 17,262,745 Amounts reported for governmental activities In the statement of activities are different because: Governmental funds report capital outlays as expenditures: however,in the statement of activities,the cost of those assets are depreciated over their estimated useful lives. Expenditures for capital assets $ 25,035,636 Less current year depreciation (6,671,845) Repayment of long-term debt Is an expenditure in governmen- tal funds,but the repayment reduces long-term liabilities In the statement of net assets. Loan or bond proceeds provide current financial resources to governmental funds,but the repayment reduces long-tens liabilities in the statement of net assets. Principal payments $ 1,503,350 Some revenues or expenditures reported in the statement of activities are not yet available or expensed and therefore are not reported as revenue or expenses In governmental funds $ (19,299,349) Net Pension Obligation over funded f(under funded) 773,166 Internal service funds or activities are used by management tc charge the costs of certain activities to individual funds. The net(expense)of the internal service fund and internal balances reported with governmental activities. $ 1,814,635 CHANGES IN NET ASSETS OF GOVERNMENTAL ACTIVITIES $ 20,418,338 .411110, • The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 34 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF NET ASSETS PROPRIETARY FUNDS December 31,2006 Page 1 of 2 BUSINESS-TYPE ACTIVITIES ENTERPRISE FUNDS GOVERNMENTAL OTHER - TOTAL ACTIVITIES WATERWORKS ENTERPRISE ENTERPRISE INTERNAL SERVICE UTILITY SOLID WASTE FUNDS FUNDS FUNDS ASSETS Current assets: Cash&cash equivalents $ 12,479,315 $ 1,576,549 $ 1,914,067 $ 15,969,931 $ 8,271,571 Investments at fair value 520,000 150,000 750,000 1,420,000 9,530,000 Receivables(net of allowances): Customer accounts 3,165,593 1,132,065 45,529 4,343,187 30,519 Special assessments-current 33,894 - - 33,894 - Interest-investments 57,792 3,082 12,400 73,254 241,027 Due from other funds 56,328 - - 56,328 - Due from other governmental units 197,446 101,930 50,339 349,715 1,876 Inventory of materials and supplies 271,754 - 46,937 318,691 - Prepayments - - - 106,038 Total current assets $ 16,782,122 $ 2,963,606 $ 2,819,272 $ 22,565,000 0 18,181,031 Noncurrent assets: Restricted cash,cash equivalents,and investments at fair value $ 3,114,332 $ - $ 441,358 $ 3,555,690 $ - Speclal assessments deferred 62,968 - - 62,966 - Capital assets(net) 205,585,486 1,313 19,475,168 225,061,967 5,317,155 Deferred charges and other assets 761,729 - 40,547 802,276 Total noncurrent assets 209,524,513 1,313 19,957,073 229,482,899 5,317,155 TOTAL ASSETS $ 226,306,635 $ 2,964,919 $ 22,776,345 $ 252,047,899 $ 23,498,186 The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 35 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF NET ASSETS PROPRIETARY FUNDS December 31,2006 Page 2 of 2 BUSINESS-TYPE ACTIVITIES ENTERPRISE FUNDS GOVERNMENTAL OTHER TOTAL ACTIVITIES WATERWORKS ENTERPRISE ENTERPRISE INTERNAL SERVICE UTILITY SOLID WASTE FUNDS FUNDS FUNDS LIABILITIES Current liabilities: Accounts payable $ 1,148,019 $ 349,787 $ 97,530 $ 1,595,336 $ 1,128,528 Retainage payable 52,481 - 41,634 94,115 - Due to other funds 50,676 - 8,400 59,076 7,855 Accrued Interest payable 161,874 - 13,030 174,904 - Accrued employee wages and benefits payable 181,740 202 51,469 233,411 45,085 Accrued taxes payable 35,147 38,561 30,258 103,966 616 Custodial Accounts 37,919 - 105,783 143,702 - Deferred revenue 280,764 - 59,081 339,845 - Revenue bonds payable $ 1,740,000 $ - $ 285,000 $ 2,025,000 $ - Capital leases payable - - - - - Total current liabilities $ 3,688,620 $ 388,550 $ 692,185 $ 4,769,355 $ 1,182,084 Long-term liabilities: Revenue bonds payable $ 29,010,000 $ - $ 2,805,000 $ 31,815,000 $ - Unamortlzed premium on revenue bonds 468,747 - - 468,747 - Unamortized discount on revenue bonds (401,585) - (272,813) (674,398) - Deferred amount on revenue bond refunding 84,903 - - 84,903 - Accrued employee wages and benefits payable 371,552 18,179 73,217 462,948 314,460 Claims incurred but not reported - - - - 2,627,782 Public works trust fund loan payable 10,692,020 - - 10,692,020 - Total long-term liabilities $ 40,225,637 $ 18,179 $ 2,605,404 $ 42,849,220 $ 2,942,242 TOTAL LIABILITIES $ 43,914,257 $ 406,729 $ 3,297,589 $ 47,618,575 $ 4,124,326 NET ASSETS Investment in capital assets, net of related debt $ 164,143,466 $ 1,313 $ 16,385,168 $ 180,529,947 $ 5,317,155 Restricted 3,114,332 - 441,358 3,555,690 - Unrestricted 15,134,580 2,556,877 2,652,230 20,343,687 14,056,705 TOTAL NET ASSETS $ 182,392,378 $ 2,558,190 $ 19,478,756 $ 204,429,324 $ 19,373,860 'lig' • The notes to the financial statements are an integral part of this statement. '4111104 Washington State Auditor's Office '36 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF REVENUES,EXPENSES,AND CHANGES IN FUND NET ASSETS s4lowe PROPRIETARY FUNDS For the Year Ended December 31,2006 BUSINESS-TYPE ACTIVITIES ENTERPRISE FUNDS GOVERNMENTAL OTHER TOTAL ACTIVrrIES WATERWORKS ENTERPRISE ENTERPRISE INTERNAL SERVICE UTILITY SOLID WASTE FUNDS FUNDS FUNDS OPERATING REVENUES: Charges for services $ 25,982,868 $ 9,904,371 $ 3,181,840 $ 39,069,079 $ 9,449,890 Interdepartmental services 712,956 3,606 - 716,562 - Other services 401,393 76,293 190 477,676 7,901,626 TOTAL OPERATING REVENUES $ 27,097,217 $ 9,984,270 $ 3,182,030 $ 40,283,517 $ 17,351,316 OPERATING EXPENSES: Operations and maintenance $ 4,899,649 $ 575,672 $ 1,490,530 $ 6,965,851 $ 1,343,695 Benefit payments 1,001,583 75,292 344,846 1,421,721 10,918,350 Professional services 264,348 7,962,741 46,738 8,273,827 657,388 Administrative end general 12,060,638 44,632 453,022 12,558,292 1,492,481 Insurance 62,400 - 25,300 87,700 2,159,518 Taxes 1,989,785 1,043,740 10,811 3,044,336 - Depreciation 5,462,690 . 3,939 648,595 8,115,224 '876,839 TOTAL OPERATING EXPENSES $ 25,741,093 $ 9,706,016 $ 3,019,842 $ 38,466,951 $ 17,448,271 OPERATING INCOME(LOSS)- $ 1,356,124 $ 278,254 $ 162,188 $ 1,796,566 $ (96,955) NON-OPERATING REVENUES(EXPENSES): Intergovernmental revenues $ - $ - $ 282,130 $ 282,130 $ 11,183 Interest revenues 653,291 69,290 158,905 881,486 881,292 Gain(loss)on sale of capital assets - 4,009 4,009 86,244 Other non-operating revenues(expenses) 160,233 - 7,039 167,272 458,889 Interest expense (1,428,178) - (167,782) (1,595,960) - Amortization of debt discount and expense (50,862) - (65,613) (116,475) - NON-OPERATING REVENUE NET OF EXPFNSE $ (665,516) $ 69,290 $ 218,688 $ (377,538) $ 1,237,588 INCOME(LOSS)BEFORE CONTRIBUTIONS AND TRANSFERS $ 690,608 $ 347,544 $ 380,876 $ 1,419,028 $ 1,140,633 Capital contributions 6,016,851 - - 6,016,851 - Transfers in(out) 68,446 - - 68,446 674,000 CHANGE IN NET ASSETS $ 6,775,905 $ 347,544 $ 380,876 $ 7,504,325 $ 1,814,633 FUND BALANCE JANUARY 1 $ 175,616,473 $ 2,210,646 $ 19,097,880 $ 196,924,999 $ 17,559,227 NET ASSETS,DECEMBER 31 $ 182,392,378 $ 2,558,190 $ 19,478,756 $ 204,429,324 $ 19,373,860 The notes to the financial statements are an integral part of this statement. *NW Washington State Auditor's Office 37 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF CASH FLOWS PROPRIETARY FUNDS w1 For the Year Ended December 31,2006 Page 1 of 2 BUSINESS-TYPE ACTIVITIES ENTERPRISE FUNDS GOVERNMENTAL OTHER TOTAL ACTIVITIES WATERWORKS ENTERPRISE ENTERPRISE INTERNAL SERVICE • UTILITY SOLID WASTE FUNDS FUNDS FUNDS CASH FLOWS FROM OPERATING ACTIVITIES: Cash received for services $ 28,223,157 $ 9,881,546 $ 3,304,156 5 41,408,859 $ 17,342,303 Cash received from other-funds for services 777,809 - 777,809 - Cash paid to suppliers for goods&services (18,259,034) (9,194,178) (2,043,023) (29,496,233) (3,331,790) Cash paid to other funds for goods&services (53,189) 654 (52,535) - Cash paid to employees (968,511) (71,190) (333,350) (1,373,051) (10,440,402) Other operating receipts P 9 P (347,544) - (347,544) (1,269,500) Other non-operating receipts 160,233 - (156,734) 3,499 - NET CASH PROVIDED(USED)BY OPERATING ACTIVITIES $ 9,880,465 $ 268836 $ 771,703 $ 10,920,804 $ 2,300,811 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Transfers from other funds $ 68,446 $ - $ 282,130 $ 350,576 $ 272,000 NET CASH PROVIDED(USED)BY NONCAPITAL FINANCING ACTIVITIES $ 68,446 $ - $ 282,130 $ 350,578 $ 272,000 CASH FLOWS FROM CAPITAL FINANCING ACTIVITIES: Acquisition&construction of capital assets $ (10,130,051)$ - $ (1,840,220)$ (11,970,271)$ (1,153,134) Capital contributions 6,018,851 - - 8,016,851 - Principal payments on debt (2,569,145) - (285,000) (2,854,145) - Interest payments on debt (1,431,843) - 13,965 (1,417,878) - NET CASH PROVIDED(USED)BY CAPITAL FINANCINGACTIVITIES $ (8,114,188) $ - 5 (2,111,255) $ (10,225,443) $ (1,153,134) CASH FLOWS FROM INVESTING ACTIVITIES: Proceeds from sale of Investments $ 2,139,475 $ - $ - $ 2,139,475 $ - Payments for Investments - - 988,821- 988,821 (394,871) Interest on Investments - 74,013 200,146 274,159. 710,153 NET CASH PROVIDED(USED)BY INVESTING ACTIVITIES ', $ 2,139,475 5 74,013 $ 1,188,967 $ 3,402,455 $ 315,282 NET INCREASE(DECREASE)IN CASH& CASH EQUIVALENTS $ 3,974,198 $ 342,649 $ 131,545 $ 4,448,392 $ 1,734,759 CASH&CASH EQUIVALENTS,JANUARY 1 8,505,117 1,233,900 1,782,522 11,521,539 8,536,812 CASH&CASH EQUIVALENTS,DECEMBER 31 $ 12,479,315 $ 1,576,549 $ 1,914,067 $ 15,969,931 $ 8,271,571 The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 38 2006 Comprehensive Annual Financial Report City of Renton,Washington STATEMENT OF CASH FLOWS slow PROPRIETARY FUNDS For the Year Ended December 31,2006 Page 2 of 2 BUSINESS-TYPE ACTIVITIES GOVERNMENTAL ENTERPRISE FUNDS ACTIVITIES OTHER TOTAL INTERNAL WATERWORKS SOLID ENTERPRISE ENTERPRISE SERVICE UTILITY WASTE FUNDS FUNDS FUNDS RECONCILIATION OF OPERATING INCOME (LOSS)TO NET CASH PROVIDED(USED) BY OPERATING ACTIVITIES: Operating income(loss) $ 1,356124 $ 278,254 $ 162,188 $ 1,796,566 5 (96,955) Adjustments to reconcile operating income (loss)to net cash provided(used) by operating activities: Depreciation&amortization of deferred charges $ 5,462,690 $ 3,939 5 648,595 $ 6,115,224 $ B78,839 Other non-operating revenue 160,233 - (156,734) 3,499 545,133 (Increase)decrease in accounts receivable 1,838,896 (102,724) 152,535 1,888,707 (9,013) (Increase)decrease in due from other funds/governmental units 84,853 65,853 (42,633) 88,073 4,849 (Increase)decrease in inventory &prepaid items 29,758 - 6,164 35,922 (10,922) Increase(decrease)in vouchers retainage payable (19,971) 19,628 (16,017) (16,462) 495,371 Increase(decrease)in due to other governmental units (53,189) - 654 (52,535) - Increase(decrease)In'payables &other short-term liabilities 888,040 (314) (1,606) 864,120 6,439 Increase(decrease)in customer deposits - - 16,692 16,692 - Increase(decrease)In deferred revenues 141,959 - (9,631) 132,328 - Increase(decrease)In accrued employee leave benefits 33,072 4,102 11,496 48,670 488,870 r° Total adjustments $ 8,524,341 $ (9,618) - $ 609,515 $ 9,124,238 $ 2,397,566 NET CASH PROVIDED(USED)BY OPERATING ACTIVITIES $ 9,880,465 $ 268,636 $ 771,703 5 10,920,804 $ 2,300,611 NONCASH INVESTING,CAPITAL,AND FINANCING ACTIVITIES Capital disposal and retirement $ 31,237 $ $ - $ 31,237 $ - Contributions of capital assets 8,016,851 - - 8,016,851 - Net amort.bond prem.discount&bond Issue costs 3,931 - 85,005 88,936 - Increase In fair value of investments 29,022 - 2,821 31,843 - Depreciation 5,462,690 3,939 645,887 6,112,496 876,839 • The notes to the financial statements are an integral part of this statement. IlimIr' Washington State Auditor's Office 39 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF FIDUCIARY NET ASSETS FIDUCIARY FUNDS December 31,2006 PENSION TRUST AGENCY FIREFIGHTER'S SPECIAL PENSION DEPOSITS ASSETS Cash&cash equivalents $ 921,296 $ 471,522 Investments at fair value: Federal National Mortgage Association 127,020 - US Treasury Strips 4,316,554 - Receivables(net of allowances) Interest on investments 2,4138,379 TOTAL ASSETS $ 7,863,249 $ 471,522 LIABILITIES Vouchers&contracts payable $ - $ 80,380 Deposits payable 391,142 TOTAL LIABILITIES $ - $ 471,522 NET ASSETS Held Is(rust for pension benefits &other purposes $ 7,883,249 $ The notes to the financial statements are an integral part of this statement. Washington State Auditor's Office 40 2006 Comprehensive Annual Financial Report City of Renton, Washington STATEMENT OF CHANGES IN FIDUCIARY NET ASSETS Irow' . FIREMEN'S PENSION FUND For the Year Ended December 31,2006 PENSION TRUST FIREMEN'S PENSION ADDITIONS: Other contributions: Fire insurance premiums $ 77,821 Investment income Investment earnings 202,598 TOTAL ADDITIONS $ 280,419 DEDUCTIONS: Benefit payments $ 414,281 Medical benefit payments 11,537 Administrative and general 7,216 TOTAL DEDUCTIONS $ 433,034 NET INCREASE(DECREASE) $ (162,615) NET ASSETS-JANUARY 1 $ 8,015,864 NET ASSETS-DECEMBER 31 $ 7,863,249 IOW The notes to the financial statements are an integral part of this statement. NOW Washington State Auditor's Office 41 Preliminary DRAFT, May 22, 2007 2006 Comprehensive Annual Financial Report City of Renton, Washington NOTES TO THE FINANCIAL STATEMENTS *4110 January 1, 2006 through December 31, 2006 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The City of Renton was incorporated on September 6, 1901, and operates under the laws of the State of Washington applicable to a Non-Charter code city with a Mayor/Council form of government. A full-time Mayor and seven part-time Council members serve the City, all elected at large to four-year terms. The City provides the full range of municipal services authorized by state statues, together with a Municipal Airport, a Waterworks Utility, a Solid Waste Utility, and a Municipal Golf Course. The accounting and reporting policies of the City 'related to the funds included in the accompanying financial statements conform to generally accepted accounting principles (GAAP) applicable to state and local governments. GAAP for local governments include those principles prescribed by the Governmental Accounting Standards Board (GASB), the Financial Accounting Standards Board (FASB), when applicable, and the American Institute of Certified Public Accountants (AICPA) pronouncements that have been made applicable by GASB Statements or Interpretations. In accordance with GASB Statement 20 the City has not applied to its enterprise activities FASB Statements and Interpretations, Accounting Principles Board opinions, and Accounting Research Bulletins of the Committee of Accounting Procedure issued after November 30, 1989. The City had implemented all applicable GASB Statements through Statement No. 47 with the exception of Statement No. 45: Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions. During 2006, the City implemented, if applicable, Statement No. 43: Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans, Statement No. 46: Net Asset Restricted by Enabling Legislation — an amendment of GASB Statement No. 34, and Statement No. 47: Accounting for Terminated Benefits. All other applicable statements were,implemented prior to 2006. A. REPORTING ENTITY As required by GAAP the City's financial statements present the City of Renton — the primary government. The City of Renton's Mayor appoints the Governing Board for the Renton Housing Authority, which is not considered a component unit of the City. The City is under no obligation to subsidize, nor does it exercise any other prerequisite for inclusion. The City of Renton has no component units (either blended or discretely presented) included in these statements. Washington State Auditor's Office 42 2006 Comprehensive Annual Financial Report City of Renton, Washington *ow, B. BASIC FINANCIAL STATEMENTS—GASB 34 PRESENTATION The City's basic financial statements include both Government-wide (reporting the City as a • whole) and fund financial statements (reporting the City's major funds). Both the Government- wide and fund financial statements categorize primary activities as either government or business-type. GOVERNMENT-WIDE STATEMENTS In the Government-wide Statement of Net Assets, both the governmental and business-type activities columns (a) are presented on a consolidated basis by column, and (b) are reported on a full accrual, economic resource basis, which recognized all long-term assets and receivables as well as long-term debt and obligations. The City's net assets are reported in three parts — investment in capital assets, net of related debt; restricted net assets; and unrestricted net assets. The City first utilizes restricted resources to finance qualifying activities. The Government-wide Statement of Activities reports both the gross and net cost of each of the City's functions and business-type activities (general government, judicial, security of persons and property, physical environment, transportation, economic environment, mental and physical health, culture and recreation, waterworks utility, airport, solid waste utility, and golf course). General government revenues (property taxes, timber taxes, retail sales and use taxes, business taxes, excise taxes, and other taxes) also support the functions. The Statement of Activities reduces gross expenses (including depreciation) by related program revenues, operating and capital grants and contributions. Program revenues must be directly associated with the function 4rr+, or a business-type activity. Operating grants include operating specific and discretionary (either operating or capital) grants while the capital grants column reflects capital specific grants. General revenues normally cover the net cost, by function or business-type activity. The Government-wide focus is more on the sustainability of the City as an entity and the change in the City's net assets resulting from the current year's activities. FUND FINANCIAL STATEMENTS In the fund financial statements, the financial transactions are recorded in individual funds, each accounted for by a separate set of self-balancing accounts that comprise assets, liabilities, reserves, fund equity, revenues, and expenditures or expenses. The presentation is by major funds in either the governmental or business-type categories. GASB Statement 34 sets forth the minimum criteria for the determination of a major fund. The non-major funds are combined in the fund financial statements and are detailed in the combining section. The governmental major fund statements in the fund financial statement are presented on current financial resources and modified accrual basis of accounting. Since governmental fund statements are presented on a different measurement focus and basis of accounting than the Government-wide statements' governmental column, a reconciliation is presented at the end of Washington State Auditor's Office 43 2006 Comprehensive Annual Financial Report City of Renton, Washington the statement, which briefly explains the adjustments necessary to transform the fund statements into the Government-wide presentation. Internal service funds of a government are presented in summary form as part of the proprietary fund financial statements. Since the principal users of the internal services are the City's governmental activities, financial statements for internal service funds are consolidated into the governmental column when presented at the governmental level. These services are reflected in the appropriate functional activity (general government, judicial, security of persons and property, physical environment, transportation, economic environment, mental and physical health, culture and recreation). Interfund fund activity has been eliminated from the Government-wide financial statements. Exceptions are payments in lieu of taxes, external type transactions within the internal service funds (revenue and expenses for interest or services provided to other governmental organizations), and other charges for waterworks utility or storm water utility. Elimination of these charges would distort the direct cost and program revenues for these functions. The City's fiduciary funds are presented in the fund financial statements. Since the assets are being held for the benefit of a third party and cannot be used for obligations of the City, they are not included in the Government-wide statements. The following describes each fund as presented in the fund financial statements. NeS MAJOR FUNDS GOVERNMENTAL FUNDS GENERAL FUND The General Fund is the primary operating fund of the city. It is used to account for the resources and disbursements of ordinary City operations that are not required to be accounted for in another fund. These include the costs of public safety, building, planning, human services, and general administration. The major sources of revenue are property taxes, utility taxes, and sales taxes. Licenses and permits, charges for services, and fines and forfeits provide additional support. The Community Development Block activities are accounted for within this fund, which is federally funded. PARKS The Parks Fund accounts for the City's parks and recreation programs: operations, maintenance, and improvements for municipal park buildings, and landscaping and street tree functions. Resources are primarily from general tax revenues and charges for services. Washington State Auditor's Office 44 2006 Comprehensive Annual Financial Report City of Renton, Washington MUNICIPAL FACILITIES CONSTRUCTION FUND The Municipal Facilities Construction Fund accounts for the acquisition and development of municipal facilities. Resources included general and special revenue taxes and Council- approved general obligation bonds. ENTERPRISE FUNDS WATERWORKS UTILITY The Waterworks Utility Fund accounts for all operation and capital improvement programs for water, wastewater, and storm water services within the City. The activities primarily supported by user fees include: administration, billings and collections, debt service, engineering and operation, maintenance and repairs. The primary resources for the capital improvement programs are revenue bond proceeds, grants(as available), and utility collection charges. SOLID WASTE Solid waste, recycling, and yard waste collection services for the City are accounted for in this fund, supported entirely by service fees. The expenses include payment to the City's garbage contractor and other service charges. NON-MAJOR FUNDS ARTERIAL STREET FUND The Arterial Street Fund was established pursuant to state law allocating the one-half cent State " Gasoline Tax revenue to cities and towns for construction, improvements, and major repair of streets. STREET FUND The Street Fund was established pursuant to state law to account for maintenance and improvements of the City's street and traffic control systems. Major sources of support are general revenues and state levied taxes on motor vehicle fuels distributed to the City of Renton. LIBRARY FUND The Library Fund accounts for operation of the City's library system, including central and branch facilities. Resources to the fund are mainly general tax revenues and library fines. HOTEL/MOTEL TAX FUND Accounts for monies collected through an increase of one percent in hotel/motel taxes for the purpose of increasing tourism in the City of Renton. PATHS AND TRAILS RESERVE FUND The Paths and Trails Reserve Fund was created for the purpose of planning, accommodating, and establishing and maintaining certain paths and trails within the City of Renton. "fire Washington State Auditors Office 45 2006 Comprehensive Annual Financial Report City of Renton, Washington 1% FOR ART FUND The City of Renton established this fund by contributing one percent of general governmental capital project funding for art projects. CABLE COMMUNICATIONS DEVELOPMENT FUND The Cable Communications Development Fund accounts for funding for promotion and development of cable communications as established by City ordinance. 1997 LIMITED GENERAL OBLIGATION BOND REDEMPTION FUND Accounts for debt service on a Council-approved bond issue, which provided funding for the purchase of Renton City Hall. 1978 LIMITED GENERAL OBLIGATION BOND REDEMPTION FUND This fund accounts for debt service on a Council-approved bond issue, which provided partial funding for construction of the Renton Senior Activity Center. GENERAL GOVERNMENTAL MISCELLANEOUS DEBT SERVICE FUND Accounts for debt service on installment contracts for equipment, City Shop land purchase, the 1984 and 1985 Limited General Obligation Bond issues for equipment and the 1986 Limited Bond issued to finance a community center, library improvements, permanent financing for purchase of a golf course, acquisition of wetland property, and equipment. 1989 UNLIMITED GENERAL OBLIGATION BOND REDEMPTION FUND Accounts for debt service on a voter-approved bond issue, which provided financing to: acquire, construct, rehabilitate, equip and develop low-income housing for the elderly. DOWNTOWN PARKING GARAGE Accounts for resources and expenditures related to the construction of a downtown parking facility. COMMUNITY DEVELOPMENT IMPACT MITIGATION FUND Accounts for monies collected from developers to offset impacts created by their developments to City facilities. FIRE IMPACT MITIGATION FUND Accounts for monies collected from developers to offset impacts created by their developments to City facilities. TRANSPORTATION IMPACT MITIGATION FUND 'Accounts for monies collected from developers to offset impacts created by their developments to City facilities. • LEASED CITY PROPERTIES Accounts for revenue and expenditures related to City property leased to outside entities. Washington State Auditor's Office 46 2006 Comprehensive Annual Financial Report City of Renton, Washington AQUATIC CENTER FUND 'lo"r Accounts for resources and expenditures related to the construction of the Henry Moses Family Aquatic Center. GENERAL GOVERNMENT CAPITAL IMPROVEMENT FUND The General Government Capital Improvement Fund accounts for revenues and expenditures for numerous capital improvements projects, to provide infrastructure necessary for controlled growth, and to address general City needs. Primary resources include: general tax revenues, business licenses fees, federal and state grants, general obligation bond proceeds, and transfers from various cumulative reserve funds. • SOUTH LAKE WASHINGTON INFRASTRUCTURE PROJECT FUND The South Lake Washington Infrastructure Project Fund accounts for the infrastructure improvements at the south end of Lake Washington. Primary resources include: REET, sales tax, grants, and GO Bonds that will provide for the design, construction, labor wages and benefits, and equipment required to implement the project. AIRPORT FUND Provides accounting for revenues and expenses, which provides administration, debt services, operation, capital improvements, and maintenance of the Renton Municipal Airport and Will Rodger-Wily Post Memorial Seaplane Base. Sources of support to the fund are leases, fuel charges, investment interest, and grant funding as available. GOLF COURSE FUND + ,.' The Golf Course Fund was created after the City acquired the Maplewood Golf Course. It accounts for the operation, maintenance, debt service, and capital improvements of the facility. OTHER FUND TYPES INTERNAL SERVICE FUNDS EQUIPMENT RENTAL The Equipment Rental Fund accounts for the costs of maintaining and replacing all City vehicles, computers, and auxiliary equipment except for fire apparatus and replacement of police patrol vehicles. The fund also accounts for communication, data support, and printing services provided to City employees. All equipment costs, including depreciation, are factors in calculating the rates, which are charged to each user department. INSURANCE FUND The Insurance Fund provides accounting for self-insurance services to all City departments, including provisions for losses on property, liability, worker's compensation, unemployment compensation, and the health care program. The Insurance Fund pays expenses and rates are charged to departments based on use and/or coverage requirements. Washington State Auditor's Office 47 2006 Comprehensive Annual Financial Report City of Renton, Washington NINO FIDUCIARY FUNDS Fiduciary funds are used to account for assets held by the City in a trustee capacity or as an agent for individuals, private organizations, other governmental units and/or other funds. The City has one Pension Trust Fund and one Agency Fund. PENSION TRUST FUND FIREMEN'S PENSION FUND The Firemen's Pension Fund accounts for the payment of administrative costs and benefits for retired firefighters and their beneficiaries, who were employed prior to March 1, 1970. Primary revenues sources are general property tax allocations in accordance with actuarial calculations, the fire premium tax, and investment income. AGENCY FUND SPECIAL DEPOSIT FUND The Special Deposit Fund was established for the purpose of holding or retaining cash deposits or other securities pending fulfillment of certain conditions and/or requirements by the depositor. Refunds are made when all obligations have been met and only upon authorization from the transmitting department. C. MEASUREMENT FOCUS AND BASIS OF ACCOUNTING ` Basis of Accounting refers to the point at which revenues or expenditures/expenses are recognized in the accounts and reported in the financial statements. It relates to the timing of the measurement made regardless of the measurement focus applied: 1. Accrual Both governmental and business-type activities in the Government-wide financial statements and the proprietary and fiduciary fund financial statements are presented on the accrual basis of accounting. Revenues are recognized when earned and expenses are recognized when incurred. Substantially all government fund revenues are accrued. Property taxes are billed and collected within the same period in which taxes are levied. Subsidies and grants to proprietary funds, which finance either capital or current operations, are reported as non-operating revenue based on GASB Statement 33. In applying GASB Statement 33 to grant revenues, the provider recognizes liabilities and expenses and the recipient recognizes receivables and revenue when the eligibility requirements, including time requirements, are met. Resources transmitted before the eligibility requirements are met, are reported as advances by the provider and deferred revenue by the recipient. 2. Modified Accrual The governmental funds financial statements are presented on the modified basis of accounting. Under the modified accrual basis of accounting, revenues are recorded when susceptible to accrual: i.e., both measurable and available. "Available" means collectible within the current Washington State Auditor's Office 48 2006 Comprehensive Annual Financial Report City of Renton, Washington 'nrrr period or soon enough thereafter to be used to pay liabilities of the current period. The City considers all revenue reported in the governmental funds to be available if the revenues are collected within sixty days after year-end. Expenditures are generally recognized under the modified accrual basis of accounting when the related liability is incurred. The exception to this general rule is that principal and interest on general obligation long-term debt, if any, is recognized when due. D. ASSETS, LIABILITIES, AND FUND EQUITY 1. Cash and Cash Equivalents The City has defined cash and cash equivalents as cash on hand, demand deposits, and all highly liquid investments (including restricted assets) with maturity of three months or less when purchased. These amounts are classified on the balance sheet or in the statement of net assets as cash and cash equivalents or investments in the various funds. The interest on these investments is prorated to the applicable funds. Included in this category are all funds invested in the Local Government Investment Pool and Municipal Investor Account. Excluded from this category are cash balances held by Fiscal Agents since the City does not have discretionary use of these funds. 2. Investments (refer to Note 3B.) 3. Receivables and Payables—Amounts owed/payable to/by the City at year-end. Taxes receivable consists of property taxes and related interest and penalties (refer to Note 4). Accrued interest receivable consists of amounts earned on investments, notes, and contracts. Accrued interest payable consists of amounts owed on notes, loans, and contracts. Customer accounts receivable/payable consists of amounts owed from/to private individuals or organizations for goods and services. If the transactions are with another governmental unit, it is accounted for within "due from/to other governments." Special assessments are recorded when levied and are liens against the property benefited. Special assessments receivable consist of current and delinquent assessments and related interest and penalties. Deferred assessments consist of special assessments not due within one year. Receivables have been reported net of estimated uncollectible accounts. Because property taxes, special assessments, and utility billings are considered liens on property, no estimated uncollectible amounts are established. Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to either "due to/from other funds" (i.e., the current portion of interfund loans) or "advances to/front other funds" (i.e., the non-current portion of interfund loans). All other outstanding balances between the governmental activities and business-type activities are reported in the Government-wide financial statements as "internal balances" (Refer to Note 10). Igiew Washington State Auditor's Office 49 2006 Comprehensive Annual Financial Report City of Renton, Washington Advances between funds, as reported in the fund financial statements, are offset by a fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources. In the Government-wide financial statements, and proprietary fund types in the fund financial statements, long-term liabilities are reported in applicable governmental activities, business-type activities, or proprietary fund type statement of net assets. Unamortized Premium—the unamortized portion of the excess of bonds proceeds over their face value (excluding accrued interest and issuance costs). Deferred Amount-Refunding — The difference between the carrying amount of redeemed/defeased debt and its reacquisition price. This amount is deferred and amortized over the remaining life of the debt, or the life of the new debt, whichever is shorter. 4. Inventories and prepaid items All City inventories are maintained on a consumption basis of accounting where items are purchased for inventory and charged to the budgetary accounts as the items are consumed. Any material inventories at year-end are included in the balance sheet of the appropriate fund. Inventories are carried at cost on the first in, first out—FIFO basis. Certain payments to vendors reflect costs applicable to future accounting periods and are reported as prepaid items in both the Government-wide and fund statements. 5. Capital Assets and Depreciation (refer to Note 5). 6. Deferred Revenues This account includes amounts recognized as receivables but not revenues in the governmental funds because the revenue recognition criterion has not been met. 7. Custodial Accounts This account reflects the liability for net monetary assets being held by the City in its agency capacity. 8. Compensated Absences The City accrues accumulated unpaid vacation and other leave and associated employee-related costs when earned (or estimated to be earned) by the employee. The non-current portion (the amount estimated to be used in subsequent fiscal years) for governmental funds is maintained separately and represents a reconciling item between the fund and Government-wide presentations. 9. Fund Balance Designations and Reservations In the fund financial statements, governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Designations of fund balance represent tentative management plans that are subject to change. The City has the following reserved or designated fund balances. *400 Washington State Auditor's Office 50 2006 Comprehensive Annual Financial Report City of Renton, Washington ___ Fund Reserved Purpose of Reservation Amount General Fund Prepaid items $8,000 Municipal Facilities Advances to other funds 63,900 TOTAL $71,900 Fund Designated Purpose of Designation Amount General Fund Operating cash reserves $5,761,257 Parks Fund Operating cash reserves 949,909 Parks Fund Special revenue funds 336,080 Municipal Facilities Capital project fund 15,394,113 Street Fund Operating cash reserves 734,828 Library Fund Operating cash reserves 206,201 TOTAL $23,382,388 10. Net Assets (refer to Note 11). 11. Encumbrances An encumbrance system is maintained to account for commitments resulting from approved purchase orders, contracts, and other commitments. Encumbrances remaining at year-end lapse and are canceled. Upon request by the department and approval of the City Council, encumbrances may be re-appropriated in the following year. E. REVENUES, EXPENDITURES, AND EXPENSES I. Program Revenues Program revenues include charges for services to customers for goods and services provided, ire operating grants and contributions, and non-operating grants and contributions within the Government-wide Statement of Activities. Charges for services include business licenses, construction permits, and weapon permits. 2. General Revenues Property taxes, timber taxes, retail taxes, business taxes, excise taxes, and associated penalties and interest, and interest and investment earnings are classified as general revenues within the Government-wide Statement of Activities. 3. Interfund Transfers Permanent reallocation of resources between funds of the reporting entity are classified as interfund transfers. For purposes of the Government-wide Statement of Activities, all interfund transfers between individual governmental funds have been eliminated. 4. Expenditures/Expenses Expenses in the Government-wide Statement of Activities are reported by function as a governmental activity (general government, judicial, security of persons and property, physical environment, transportation, economic environment, culture and recreation, or interest on long- term debt) or business-type activity (waterworks utility, airport, solid waste utility, or golf course). In the fund financial statements, expenditures of governmental funds are classified by: function, debt service principle and interest payments, or purchases of capital items. Proprietary expenditures are classified as operating or non-operating. Washington State Auditors Office 51 2006 Comprehensive Annual Financia!Report City of Renton, Washington 44410 5. Operating and Non-operating Revenues and Expenses Operating revenues and expenses for proprietary funds are those that result from providing services and producing and delivering goods and/or services in connection to the proprietary fund's principle ongoing operations. It includes all revenue and expenses not related to capital and related financing, non-capital financing, or investing activities. All revenues and expenses not meeting this definition are non-operating revenues and expenses. NOTE 2. COMPLIANCE AND ACCOUNTABILITY The City of Renton budgets its funds on the cash basis of accounting at the fund level. Annual appropriated budgets are adopted for governmental funds. Budgets for proprietary funds are "management budgets" and are not legally required to be reported. Included in the Required Supplemental and Combining sections of the CAFR are Schedules of Revenues, Expenditures, and Changes in Fund Balances (Budget to Actual) reporting the Actual Budgetary Basis (cash basis) verses Actual GAAP Basis of Accounting (modified basis) for all legally adopted budgets. There have been no material violations of finance-related legal or contractual provisions, and there have been no expenditures exceeding legal appropriations in any of the funds of the City. A. PROCEDURES FOR ADOPTING THE ORIGINAL BUDGET The City of Renton's budget procedures are mandated by the Chapter 35A.33 of the Revised Code of Washington (RCW). The steps in the budget process are as follows: I. Prior to November 1, the Mayor submits a proposed budget to the City Council. This budget Nittd is based on priorities established by the Council; estimates provided by the City departments during the preceding months; balanced by revenue estimates made by the Mayor. 2. The City Council conducts public hearings on the proposed budget in November and December. 3. The Council makes their adjustments to the proposed budget and adopts, by ordinance, a final balanced budget no later than December 31. 4. The final operating budget, as adopted, is published and distributed within the first four months of the following year. B. AMENDING THE BUDGET 1 The budget, as adopted, constitutes the legal authority for expenditures. Budgets are adopted on the cash basis of accounting; therefore, any comparisons between budget and actual revenues and expenditures are reported under the budgetary basis. The annual budget is adopted with budgetary control at the fund level, so expenditures may not legally exceed appropriations at that level of detail. Transfers or revisions within funds are allowed, but only the City Council has the legal authority to increase or decrease a given fund's annual budget. This is accomplished by City ordinance. The budget was amended thirteen times during 2006. Nod Washington State Auditor's Office 52 2006 Comprehensive Annual Financial Report City of Renton, Washington Original budgeted inflows as compared to the final budgeted inflows are as follows: Increase Original Final (Decrease) Budgeted Budgeted Budgeted Fund Inflows Inflows Inflows General Fund $50,358,513 $50,935,621 $577,108 Park Fund 11,260,376 11,299,136 38,760 Arterial Street Fund 440,000 440,000 0 Street Fund 6,738,878 6,763,878 25,000 Library Fund 1,809,862 1,809,862 0 Hotel/Motel Tax Fund 220,000 242,500 22,500 Paths and Trails Reserve Fund 0 0 0 1%for Art Fund 60,000 60,000 0 Cable Communications Development Fund 38,900 38,900 - 0 Park Memorial Fund 0 0 0 1997 LGO Bond Fund 986,253 986,253 0 1978 LGO Bond Fund 21,000 21,000 0 General Government Miscellaneous Debt Service Fund 1,799,400 1,799,400 0 1989 UGO Bond Redemption Fund 518,400 518,400 0 Special Assessment Debt Fund 9,500 0 (9,500) Community Development Impact Mitigation Fund 255,000 255,000 0 Fire Impact Mitigation Fund 525,000 525,000 0 Transportation Impact Mitigation Fund 600,000 600,000 0 Leased City Properties Fund 904,902 904,902 0 Aquatic Center Fund 0 0 0 Municipal Facilities Construction Fund 2,100,000 2,100,000 0 General Government Capital Improvement Fund 16,597,600 17,552,990 955,390 South Lake Washington Infrastructure Project Fund 0 24,925,587 24,925,587 Airport Fund 1,921,817 1,921,817 0 Solid Waste Utility Fund 9,104,429 9,104,429 0 Golf Course Fund 2,421,880 2,421,880 0 Waterworks Utility Fund 38,014,220 41,594,146 3,579,926 Equipment Repair and Replacement Fund 3,201,900 3,201,900 0 Information Services Fund 3,431,550 3,833,550 402,000 Insurance Fund 3,007,503 3,007,503 0 Medical Insurance Fund 8,961,109 8,961,109 0 TOTAL $165,307,992 $195,824,763 $30,516,771 'w Washington State Auditor's Office 53 2006 Comprehensive Annual Financial Report City of Renton, Washington Original budgeted outflows as compared to the final budgeted outflows are as follows: Increase Original Final (Decrease) Budgeted Budgeted Budgeted Fund Outflows Outflows Outflows General Fund $50,323,513 $51,700,002 $1,376,489 Park Fund 11,260,376 11,433,136 172,760 Arterial Street Fund 440,000 440,000 0 Street Fund 6,738,878 6,791,878 53,000 Library Fund 1,809,862 1,821,929 12,067 Hotel/Motel Tax Fund 220,000 302,500 82,500 Paths and Trails Reserve Fund 0 0 0 1%for Art Fund 60,000 60,000 0 Cable Communications Development Fund 143,900 143,900 0 Park Memorial Fund 0 0 0 1997 LGO Bond Fund 990,300 990,300 0 1978 LGO Bond Fund 21,500 21,500 0 General Government Miscellaneous Debt Service Fund 1,800,800 1,800,800 0 1989 UGO Bond Redemption Fund 518,400 518,400 0 Special Assessment Debt Fund 32,025 68,000 35,975 Community Development Impact Mitigation Fund 0 0 0 Fire Impact Mitigation Fund 525,000 525,000 0 Transportation Impact Mitigation Fund 1,984,800 1,984,800 0 Leased City Properties Fund 896,432 939,248 42,816 Aquatic Center Fund 0 0 0 Municipal Facilities Construction Fund 3,177,000 5,621,096 2,444,096 General Government Capital Improvement Fund 18,283,700 22,093,600 3,809,900 South Lake Washington Infrastructure Project Fund 0 24,925,587 24,925,587 Airport Fund 2,416,800 2,654,043 237,243 Solid Waste Utility Fund 9,510,248 9,670,248 160,000 Golf Course Fund 2,421,880 2,441,880 20,000 Waterworks Utility Fund 39,027,041 47,824,239 8,797,198 Equipment Repair and Replacement Fund 3,255,110 3,255,110 0 Information Services Fund 3,431,550 3,690,550 259,000 Insurance Fund 2,986,001 4,386,001 1,400,000 Medical Insurance Fund 8,773,034 8,773,034 0 TOTAL $171,048,150 $214,876,781 $43,828,631 NOTE 3. DEPOSITS AND INVESTMENTS A. Deposits The City's deposits and certificates of deposit are insured by the Federal Depository Insurance Corporation (FDIC) and the State of Washington Public Deposit Protection Commission (WPDPC) Act of 1969. B. Investments The City invests excess and inactive funds in accordance with the City's Investment Policy (updated and approved on June 5, 2006), which complies with the guidelines within Chapter 35A.40.050 RCW allows for investment of excess cash and inactive cash, directs that the Washington State Auditor's Office 54 2006 Comprehensive Annual Financial Report City of Renton, Washington ,,,,r, responsibility for determining available cash for investment is placed upon the department administering the funds, and allows for pooling of the cash provided that the allocation of income is proportionate to the investment of each fund. Currently, the City invests in obligations of the U.S. Government, U.S. agency issues, Certificates of Deposit with Washington State banks and savings and loan institutions, the State of Washington Local Government Investment Pool (LGIP), and general obligations of Washington State municipalities. The LGIP, managed by the Washington State Office of the Treasurer, is comparable to a Rule 2a7-pools recognized by the Securities and Exchange Commission. A 2a7-like-pool is an external investment pool that is not registered with the SEC as an investment company, but nevertheless has a policy that it will, and does, operate in a manner consistent with the SEC's Rule 2a7 of the Investment Company Act of 1940. Rule 2a7 allows SEC-registered mutual funds to use amortized cost rather than market value to report net assets and compute share prices. Investments are shown on the entity-wide Statement of Net Assets at fair value or for 2a7-like pools at amortized cost, which approximates fair value. Investments are reported within Cash and Investments of Governmental Activities and within Cash and Cash Equivalents or Investments of Business-type Activities. C. Deposit and Investment Schedule As of December 31, 2006, the City of Renton had the following investments: Weighted Average Security Type Cost Fair Value Maturity(in years) US Agencies $2,845,807 $2,823,773 3.364 Certificates of Deposit(within WPDPC) 39,000,000 39,000,000 1.140 Local Governmental Investment Pool(LGIP) 32,130,605 32,130,605 0.003 Municipal Investor Account(MIA) 10,030,148 10,030,148 0.003 TOTAL $84,006,560 $83,984,526 0.644 Credit risk. Credit Risk is the risk that an issuer or other counter party to an investment will not fulfill its obligations. All Agency securities in the City's portfolio are rated "Aaa" by Moody's Investors Service and "AAA" by Standard & Poor — each rating is the highest possible. Certificates of Deposit are insured by the FDIC up to $100,000 and, additionally, by collateral held in a multiple financial institution collateral pool administered by the Washington Public Deposit Protection Commission (WPDPC). The Washington State Local Government Investment Pool (LGIP) is a 2a7-like-pool and is operated in a manner consistent with the SEC's Rule 2a7 of the Investment Company Act of 1940. Washington State Auditor's Office 55 2006 Comprehensive Annual Financial Report City of Renton, Washington Security Type Cost Fair Value Moody's S&P Federal National Mortgage Association $2,845,807 $2,823,773 Aaa AAA Certificates of Deposit(within WPDPC) 39,000,000 39,000,000 unrated unrated Local Governmental Investment Pool(LGIP) 32,130,605 32,130,605 unrated unrated Municipal Investor Account(MIA) 10,030,148 10,030,148 unrated unrated TOTAL $84,006,560 $83,984,526 The City's Investment Policy directs that the standard of prudence for investment activities shall be the Prudent Investor Standard that states: "Investments shall be made with judgment and care, under circumstances then prevailing, which person of prudence, discretion, and intelligence would use in the management of their own affairs, not for speculation, but for investment purposes, considering the probable safety of their capital as well as the probable income to be derived." Custodial credit risk. Custodial credit risk for investments is the risk that, in the event of the failure of the counter party to a transaction, a government will not be able to recover the value of investment or collateral securities that are in the possession of an outside party. All security transactions, including collateral for repurchase agreements, •entered into by the City are conducted on a delivery-versus-payment (DVP) basis. Securities held by a third-party custodian are designated by the City's Finance and Information Services Administrator. Certificates of Deposit are delivered to and held by the Finance Division. Concentration of credit risk. Concentration of credit risk is the risk of loss attributed to the magnitude of a government's investment in a single issuer. The City diversifies its investment instruments to avoid incurring unreasonable risk inherent in over-investing in instruments and issuers as follows: Instrument Issuer Maximum's per Policy Maximum Maximum U.S.Treasuries 100% 100% U.S.Agencies 75% 50% Certificates of Deposit(within WPDPC) 50% 25% Local Governmental Investment Pool(LGIP) 50% 50% Commercial Paper 25% 5% Interest Rate Risk. Interest rate risk is the risk that changes in interest rates over time, adversely affecting the fair value of an investment. The City's portfolio is managed within the parameters established by the Investment Policy, which limits the weighted average maturity of the portfolio to five years. Washington State Auditor's Office 56 2006 Comprehensive Annual Financial Report City of Renton, Washington .'err 0-6 6 months— 1-3 3+ Security Type months 1 year years years Totals US Agencies $0 $0 $0 $2,823,773 $2,823,773 Certificates of Deposit(within WPDPC) 0 31,000,000 8,000,000 0 39,000,000 Local Governmental Investment Pool 32,130,605 0 0 0 32,130,605 (LGIP) Municipal Investor Account(MIA) 10,030,148 0 0 0 10,030,148 TOTAL $42,160,753 $31,000,000 $8,000,000 $2,823,773 $83,984,527 NOTE 4. PROPERTY TAXES The King County Finance Director acts as an agent to collect property taxes levied in the county for all taxing authorities. Taxes are levied annually, January 1, on property value listed as of the prior August 31. Assessed values are established by the King County Assessor at 100 percent of fair market value. A revaluation of all property is required every two years; however, King County has the ability to revalue annually. Property taxes levied by the King County Assessor and collected by the King County Finance Director become a lien on the first day of the levy year and may be paid in two equal installments if the total amount exceeds $30. The first half of real property taxes is due on April 30 and the balance is due October 31. Delinquent taxes bear interest at the rate of 12 percent and are subject to additional penalties if not paid as scheduled. No allowance for uncollectible taxes is established because delinquent taxes are considered fully collectible. *iv At year-end, property taxes are recorded as a receivable with the portion not expected to be collected within 60 days offset by deferred revenue. During the year, property tax revenues are recognized when cash is received. The tax rate for general City operations is limited to $3.375 per $1000 of assessed value (RCW 84.52.043). Of this amount, up to .45 cents per thousand dollars may be designated for contribution to the Firemen's Pension Fund. If a report by a qualified actuary on the condition of the Firemen's Pension Fund establishes that this amount (or portion of) is not necessary to maintain the actuarial soundness of the fund, the amount can be used for any other municipal purpose (RCW 41.16.060). The tax rate limit may be reduced for any of the following reasons: 1. The Levy Limit: the levy limit calculation applies to a taxing district's budget, and not to increases in the assessed value or tax bill of individual properties. Initiative 747 restricts individual taxing districts from collecting, in any year, more than a one percent increase in their regular, non-voted, levy over the highest levy amount since 1985. New construction, annexations, and excess levies approved by the voters are not included in the levy limit calculation. If the assessed valuation increases by more than one percent due to revaluation, the levy rate will be decreased. . low Washington State Auditor's Office 57 2006 Comprehensive Annual Financial Report City of Renton, Washington 2. The One Percent Constitution Limit: The Washington State Constitution limits the regular (non-voted) combined property tax rate applied to an individual's property to one percent ($10 per $1000) on the market valuation. Voters may approve special levies that are added to this figure. If the taxes of all districts exceed this amount, each is proportionately reduced until the total is at or below the one percent limit. 3. The city may voluntarily levy taxes below the legal limit. Special levies approved by the voters are not subject to the above limitations. The City's regular levy for 2006 is $3.04482 and the excess levy for General Obligation Bond debt is $.07088 for a total of$3.1157, per the King County Assessor's 2006 Annual Report. NOTE 5. CAPITAL ASSETS AND DEPRECIATION A. GENERAL POLICES Major expenditures for capital assets, including capital leases and major repairs that increase the useful life, are capitalized. The capitalization threshold applied to the City's assets is $5,000. Maintenance, repairs, and minor renewals are accounted for as expenditures or expenses when incurred. All capital assets are valued at historical cost (or estimated cost, where historical cost is not known/or estimated market value for donated assets /or the lower of cost or fair market value when transferred between proprietary and governmental funds.) The City has acquired certain assets with funding provided by federal financial assistance programs. Depending on the terms of the agreements involved, the federal government could retain an interest in these assets. However, the City has sufficient legal interest to accomplish the purposes for which the assets were acquired, and has included such assets within the applicable statements. The City capitalizes art and historical treasures. Art and historical treasures are expected to be maintained or enhanced over time and thus, are not depreciated. B. GOVERNMENTAL CAPITAL ASSETS Governmental long-lived assets of the City purchased, leased, or constructed are recorded as expenditures in the governmental funds and are capitalized, net of depreciation, in the Government-wide statements. C. PROPRIETARY FUND CAPITAL ASSETS Capital assets of proprietary funds are capitalized in their respective statement of net assets, net of depreciation. Washington State Auditor's Office 58 2006 Comprehensive Annual Financial Report City of Renton, Washington D. DEPRECIATION Niame Depreciation on all depreciable assets is provided on the straight-line basis over the following useful lives: Estimated Type of Asset Service Life Buildings and structures,except utility plant 25-50 years Other improvements 25-50 years Utility plant 25-75 years Machinery and equipment - 3-20 years Infrastructure 25-50 years Depreciation Expense was charged to governmental and business-type activities as follows: Governmental Activities Amount General government $3,329,655 Judicial 0 Security of persons and property 647,608 Physical environment 15,652 Transportation 2,075,736 Economic development 293,107 Culture and recreation 1,256,455 Health and human services 54,598 TOTAL Governmental Activities Depreciation Expense $7,672,811 Business-type Activities Amount Waterworks $5,462,690 Airport 381,043 Solid waste 3,939 Golf course 267,552 TOTAL Business-type Activities Depreciation Expense $6,115,224 Washington State Auditor's Office 59 ,mnrrik . 2006 Comprehensive Annual Financial Report City of Renton, Washington *111110 E. SUMMARY OF CHANGES Beginning Ending Description Balance Increases Decreases Balance GOVERNMENTAL ACTIVITIES Capital assets not being depreciated: Land and land improvements $81,997,215 $3,938,992 $0 $85,936,207 Construction in progress 15,819,455 14,496,673 5,944,345 24,371,783 TOTAL capital not being depreciated $97,816,670 $18,435,665 $5,944,345 $110,307,990 Other capital assets: Buildings and structures $73,605,992 $17,772 $0 $73,623,764 Other improvements 102,371,218 9,673,029 0 112,044,247 Machinery and equipment 23,955,401 4,750,082 1,941,785 26,763,698 TOTAL other capital assets at capitalized cost $199,932,611 $14,440,883 $1,941,785 $212,431,709 Less accumulated depreciation for: Buildings and structures $18,163,965 $1,915,583 $0 $20,079,548 Other improvements 31,929,633 2,867,033 0 34,796,666 Machinery and equipment 13,342,727 2,890,195 1,735,646 14,497,276 TOTAL accumulated depreciation $63,436,325 $7,672,811 $1,735,646 $69,373,490 Governmental activities capital assets,net of $234,312,956 $25,203,737 $6,150,484 $253,366,209 depreciation BUSINESS-TYPE ACTIVITIES Capital assets not being depreciated: Land and land improvements $6,976,321 $0 $0 $6,976,321 Construction in progress 2,512,285 2,860,487 1,246,657 4,126,115 TOTAL capital assets not being depreciated $9,488,606 $2,860,487 $1,246,657 $11,102,436 Other capital assets Buildings and structures $15,032,621 $0 $0 $15,032,621 `' iild Other improvements 259,558,408 10,220,868 31,237 269,748,039 Machinery and equipment 5,729,498 134,965 0 5,864,463 • TOTAL other capital assets at capitalized cost $280,320,527 $10,355,833 $31,237 $290,645,123 Less accumulated depreciation for: Buildings and structures $3,565,120 $335,959 $4 $3,901,075 Other improvements 62,283,413 5,624,327 31,237 67,876,503 Machinery and equipment 4,753,074 154,938 0 4,908,012 TOTAL accumulated depreciation $70,601,607 $6,115,224 $31,241 $76,685,590 Business-type capital assets,net of depreciation $219,207,526 $7,101,096 $1,246,653 $225,061,969 At the end of 2006, 65 projects comprise the Construction in Progress. Upon completion, the projects will be capitalized in the Government-wide statements in their appropriate categories and in the fund statements for proprietary funds, if applicable. Construction commitments at December 31,2006, are as follows: Washington State Auditor's Office 60 2006 Comprehensive Annual Financial Report City of Renton, Washington vim,ie Estimated Future Cost to Remaining Estimated Funding Fund—Funding Source Date Cost Total Cost Required Waterworks—charges for services $3,073,672 $58,340,000 $61,413,672 None Airport—charges for services 1,052,443 7,215,000 8,267,443 None General governmental—taxes,charges for 24,371,783 179,348,000 203,719,783 None services,grants Golf course—charges for services 1,300,000 1,300,000 None NOTE 6. PENSIONS With the exception of firefighters employed prior to March 1, 1970, substantially all City's full- time and qualifying part-time employees participate in one of the following statewide retirement systems administered by the Washington State Department of Retirement Systems, under cost- sharing multiple-employer public employee defined benefit and defined contribution retirement plans. The Department of Retirement Systems (DRS), a department within the primary goyernment of the State of Washington, issues a publicly available comprehensive annual financial report (CAFR) that includes financial statements and required supplementary information for each plan. The DRS CAFR may be obtained by writing to: Department of Retirement Systems, Communications Unit, PO Box 48380, Olympia, WA 98504-8380. The City is the administrator of the Firefighter Pension Plan for all firefighters employed prior to March 1, 1970. The Firefighter Pension Plan is included within the City of Renton's statements limeg, as a pension trust fund. There is no separate GAAP-based audited report. A schedule of employer contributions for six years, prepared by Milliman, Consultants and Actuaries, is included in the Required Supplemental Information section. Additional information from the actuarial report prepared for the Firefighter Pension Plan, by Milliman, Consultants and Actuaries, may be obtained by contacting the City of Renton, Finance Division, 1055 South Grady Way, Renton, WA 98057. The following disclosures are made pursuant to GASB Statement No. 25, Financial Reporting for Defined Benefit Pension Plans and Note Disclosures for Defined Contribution Plans and GASB Statement No. 27,Accounting for Pensions by State and Local Government Employers. Public Employees Retirement System (PERS) Plans 1, 2, and 3 Plan Description PERS is a cost-sharing multiple-employer retirement system comprised of three separate plans for membership purposes: Plans 1 and 2 are defined benefit plans and Plan 3 is a defined benefit plan with a defined contribution component. Membership in the system includes: elected officials; state employees; employees of the Supreme, Appeals, and Superior courts (other than judges currently in a judicial retirement system); employees of legislative committees; community and technical colleges, college and university employees not participating in national higher education retirement programs;judges of district and municipal courts; and employees of local governments. PERS participants, who joined the PERS system by September 30, 1977, are Plan 1 members. Those who joined on or after October 1, 1977; and by either, February 28, 'lira° Washington State Auditor's Office 61 2006 Comprehensive Annual Financial Report City of Renton, Washington 2002 for state and higher education employees, or August 31, 2002 for local government employees, are Plan 2 members unless they exercise an option to transfer their membership to Plan 3. PERS participants joining the system on or after March 1, 2002 for state and higher education employees, or September 1, 2002 for local government employees, have the irrevocable option of choosing membership in either PERS Plan 2 or PERS Plan 3. The option must be exercised within 90 days of employment. An employee is reported in Plan 2 until a choice is made. Employees who fail to choose within 90 days default to PERS Plan 3. PERS defined benefit retirement benefits are financed from a combination of investment earnings and employer and employee contributions. PERS retirement benefit provisions are established in state statute and may be amended only by the State Legislature. Plan 1 retirement benefits are vested after an employee completes five years of eligible service. Plan 1 members are eligible for retirement at any age after 30 years of service, or at age 60 with five years of service, or at age 55 with 25 years of service. The annual benefit is 2 percent of the average final compensation per year of service, capped at 60 percent. The average final compensation is based on the greatest compensation during any 24 eligible consecutive compensation months. If qualified, after reaching age 66, a cost-of-living allowance is granted based on years of service credit and is capped at 3 percent annually. Plan 2 retirement benefits are vested after an employee completes five years of eligible service. Plan 2 members may retire at age 65 with five years of service, or at 55 with 20 years of service, with an allowance of 2 percent of the average final compensation per year of service. The average final compensation is based on the greatest compensation during any eligible consecutive 60-month period. Plan 2 retirements prior to age 65 receive reduced benefits. If Ned retirement is at age 55 or older with 30 years of service, a 3 percent per year reduction applies; otherwise an actuarial reduction will apply. There is no cap on years of service credit; and a cost-of-living allowance is granted (indexed to the Seattle Consumer Price Index), capped at 3 percent annually. Plan 3 has a dual benefit structure. Employer contributions finance a defined benefit component, and member contributions finance a defined contribution component. The defined benefit portion provides a benefit calculation at 1 percent of the average final compensation per year of service. The average final compensation is based on the greatest compensation during any eligible consecutive 60-month period. Effective June 7, 2006, Plan 3 members are vested in the defined benefit portion of their plan after ten years of service; or after five years if twelve months that were earned after age 44; or after five service credit years earned in PERS 2 prior to June 1, 2003. Plan 3 members are immediately vested in the defined contribution portion of their plan. Vested Plan 3 members are eligible to retire with full benefits at age 65, or at age 55 with 10 years of service. Retirements prior to age 65 receive reduced benefits. If retirement is at age 55 or older with at least 30 years if service, a 3 percent per year reduction applies; otherwise an actuarial reduction will apply. The benefit is also actuarially reduced to reflect the choice of a survivor option. There is no cap on years of service credit; and Plan 3 provides the same cost-of- living allowance as Plan 2. The defined contribution portion can be distributed in accordance with an option selected by the member, either as a lump sum or pursuant to other options authorized by the Employee Retirement Benefits Board. Washington State Auditor's Office 62 2006 Comprehensive Annual Financial Report City of Renton, Washington There are 1,181 participating employers in PERS. Membership in PERS consisted of the Nom' following as of the latest actuarial valuation date for the plans of September 30, 2005: Retirees and beneficiaries receiving benefits 68,609 Terminated plan members entitled to but not yet receiving benefits 22,567 Active plan members vested 104,574 Active plan members non-vested 51,004 TOTAL 246,754 Funding Policy Each biennium the state Pension Funding Council adopts Plan 1 employer contribution rates, Plan 2 employer and employee contributions rates, and Plan 3 employer contribution rates. Employee contribution rates for Plan 1 are established by statute at 6 percent for state agencies and local government unit employees, and 7.5 percent for state government elected officers. The employer and employee rates for Plan 2 and the employer contribution rates for Plan 3 are developed by the Office of the State Actuary to fully fund Plan 2 and the defined benefit portion of Plan 3. All employers are required to contribute at the level established by the Legislature. Under PERS 3, employer contributions finance the defined benefit portion of the plan, and member contributions finance the defined contribution portion. The Employee Retirement Benefits Board sets Plan 3 employee contribution rates. Six rate options are available ranging from 5 to 15 percent; two of the options are graduated rates dependent on the employee's age. The methods used to determine the contribution requirements are established under state statute in accordance with Chapters 41.40 and 41.45 RCW. The required contribution rates expressed as a percentage of current-year covered payroll, as of ''ftw" December 31, 2006, were as follows: Contributor PERS Plan 1 PERS Plan 2 PERS Plan 3 Employer* 3.69%** 3.69% 3.69%**** Employee 6.00%*** 3.50% ***** * The employer rates include the employer administration expense fee currently at.18%. ** The employer rate for state elected officials is 5.44%. *** The employee rate for state elected officials is 7.50%. **** Plan 3 defined benefit portion only. ***** Variable from 5.0%minimum to 15.0%maximum based on rate selected by the PERS 3 member. Both the City and the employees made the required contributions. The City's required contributions for years ended December 31, were as follows: Year PERS Plan 1 PERS Plan 2 PERS Plan 3 2006 $50,609 $616,903 $92,216 2005 33,340 367,240 51,521 2004 25,977 252,464 35,737 .'err►° Washington State Auditors Office 63 2006 Comprehensive Annual Financial Report City of Renton, Washington Law Enforcement Officers' and Firefighters' Retirement System(LEOFF) Plans 1 and 2 Plan Description LEOFF is a cost-sharing multiple-employer retirement system comprised of two separate defined benefit plans. LEOFF participants who joined the system by September 30, 1977, are Plan 1 members. Those who joined on or after October 1, 1977, are Plan 2 members. Membership in the system includes all full-time, fully compensated; local law enforcement officers and firefighters. LEOFF membership is comprised primarily of non-state employees, with the exception of the Department of Fish and Wildlife enforcement officers, who were first included prospectively effective July 27, 2003, being an exception. In addition, effective July 24, 2005, current members of PERS who are emergency medical technicians can elect to become members of LEOFF Plan 2. Effective July 1, 2003, the LEOFF Plan 2 Retirement Board was established to provide governance of LEOFF Plan 2. The Board's duties include adopting contribution rates and recommending policy changes to the Legislature for the LEOFF Plan 2 retirement plan. LEOFF defined benefits are financed from a combination of investment earnings, employer and employee contributions, and a special funding situation in which the state pays the remainder through state legislative appropriations. LEOFF retirement benefit provisions are established in state statute and may be amended by the State Legislature. Plan 1 retirement benefits are vested after an employee completes five years of eligible service. Plan I members are eligible for retirement with five years of service at the age of 50. The benefit per year of service calculated as a percent of final average salary is as follows: Percent of Final ‘ftsil Term of Service Average Salary 20 or more years 2.0% 10 but less than 20 years 1.5% 5 but less than 10 years 1.0% The final average salary is the basic monthly salary received at the time of retirement, provided a member has held the same position or rank for 12 months preceding the date of retirement. " Otherwise, it is the average of the highest consecutive 24 months' salary within the last 10 years of service. If membership was established in LEOFF after February 18, 1974, the service retirement benefit is capped at 60 percent of final average salary. A cost-of-living allowance is granted (indexed to the Seattle Consumer Price Index.) Plan 2 retirement benefits are vested after an employee completes five years of eligible service. Plan 2 members may retire at the age of 50 with 20 years of service, or at age 53 with five years of service, with an allowance of 2 percent of the final average salary per year of service. The final average salary is based on the highest consecutive 60 months. Plan 2 retirements prior to age 53 are reduced 3 percent for each year that the benefit commences prior to age 53 and to reflect the choice of a survivor option. There is no cap on years of service credit; and a cost-of- living allowance is granted (indexed to the Seattle Consumer Price Index), capped at 3 percent annually. *2104 Washington State Auditors Office 64 2006 Comprehensive Annual Financial Report City of Renton, Washington There are 376 participating employers in LEOFF. Membership in LEOFF consisted of the "%tow following as of the latest actuarial valuation date for the plans of September 30, 2005: Retirees and beneficiaries receiving benefits 8,723 Terminated plan members entitled to but not yet receiving benefits 577 Active plan members vested 12,348 Active plan members non-vested 3,543 TOTAL 25,191 Funding Policy Starting on July 1, 2000, Plan 1 employers and employees will contribute zero percent as long as the plan remains fully funded. Employer and employee contribution rates are developed by the Office of the State Actuary to fully fund the plan. Plan 2 employer and employees are required to pay at the level adopted by the LEOFF Plan 2 Retirement Board in accordance with Chapter 41.45 RCW. All employers are required to contribute at the level required by state law. The Legislature has the ability, by means of a special funding arrangement, to appropriated money from the state General Fund to supplement the current service liability and fund the prior service cost of Plan 1 and 2 in accordance with the requirements of the Pension Funding Council. However, this special funding situation is not mandated by the state constitution and this funding requirement could be returned to the employers by a change in statute. The required contribution rates expressed as a percentage of current-year covered payroll, as of December 31, 2006, were as follows: Contributor LEOFF Plan 1 LEOFF Plan 2 Employer* .18% 4.90%** Employee .00% 7.85% State N/A 3.13% * The employer rates include the employer administration expense fee currently at.18%. ** The employer rate for ports and universities is 8.03%. Both the City and the employees made the required contributions. The City's required contributions for years ended December 31, were as follows: Year LEOFF Plan 1 LEOFF Plan 2 2006 $2,050 $716,583 2005 2,554 549,001 2004 3,128 433,463 Firefighter's Pension Plan Description The Firefighter's Pension Plan is a closed, single-employer, defined benefit pension plan established in accordance with RCW 41.18 and Renton Municipal Code. This plan provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. This system was established for firefighters employed prior to March 1, 1970, when the LEOFF retirement system was established. The retirement benefits Washington State Auditor's Office 65 2006 Comprehensive Annual Financial Report City of Renton, Washington vest after 20 years of service. Members may retire after 25 years of service regardless of age, '" and after age 50 with 20 or more years of service. At December 31, 2006, there were 42 members in the System: Retirees and beneficiaries receiving benefits 38 Retirees and beneficiaries currently receiving full retirement through LEOFF 4 Active plan members vested 0 Active plan members non-vested 0 TOTAL 42 Funding Policy Under state law, the Firefighter's Pension Plan is provided an allocation of all monies received by the state from taxes on fire insurance premiums; interest earnings; member contributions made prior to the inception of LEOFF; and City contributions required to meet projected future pension obligations. Costs of administering the Firefighter's Pension Plan are paid by the Plan. For 2006, this cost was $7,216. An actuarial valuation is done every two years and was completed as of.January 1, 2007. The Actuarial Valuation of Firefighters' Pension Fund table is reported in the Required Supplemental Information section, and a recap of the Schedule of Funding Progress for the last five valuations is as follows: Unfunded Actuarial Actuarial Actuarial Value of Accrued Accrued Covered UAAL Assets Liabilities Liabilities Payroll as Valuation (rounded Entry Age (UAAL) (rounded a %of Date to (rounded to (rounded Funded to Covered January 1 thousands) thousands) to Ratio thousands) Payroll 1997 $5,238 $6,444 $1,206 81% $260 464% 2001 7,067 6,780 (287) 104% 0 - 2003 9,189 6,472 (2,717) 142% 0 - 2005 7,777 6,254 *(1,523) 124% 0 - 2007 7,847 6,364 (1,483) 123% 0 - *A $29 decrease in the actuarial accrued liabilities was made after the City's financial report was published and before the valuation was released. Significant actuarial assumptions used in the January 1, 2007, valuation include: Valuation date: January 1, 2007 Actuarial cost method: entry age normal Amortization method: 30-year, closed as of January 1, 2000 Remaining amortization period: 23'years Asset valuation method: fair value Actuarial assumptions: 1) investment rate of return — 5%; 2) projected salary increases — 4%; 3) inflation—3%; and, 4) cost-of-living adjustments—based upon salary increase assumption for ' FPF benefits, inflation assumption for LEOFF benefits. Washington State Auditor's Office 66 2006 Comprehensive Annual Financial Report City of Renton, Washington The Annual Required Contribution (ARC) was computed using the Entry Age Normal Cost Method. Under this method the projected benefits are allocated on a level basis as a percentage of salary over the earnings of each individual between entry age and assumed exit age. The amount allocated to each year is called the Normal Cost and the portion of the Actuarial Present Value of all benefits not provided for by future Normal Cost payments is called the Actuarial Accrued Liability. Since all members have already retired, the amount of the Normal Cost is zero. The Unfunded Actuarial Accrued Liability (UAAL) is the Actuarial Accrued Liability minus the actuarial value of the Fund's assets. The following Annual Pension Cost and Net Pension Obligation table presents the annual Normal Cost and the ARC as of January 1, 2007, assuming the UAAL is amortized over a closed 30-year period beginning January 1, 2000. Fiscal Year Fiscal Year Ending Ending Annual required contribution(ARC) 12/31/2005 12/31/2006 12/31/2007 Annual normal cost(BOY) $0 $0 $0 Amortization of UAAL(BOY) (107,622) (107,622) (104,731) Interest to end of year(EOY)* (5,919) (5,919) (5,237) ARC at EOY ($113,541) ($113,541) ($109,968) Interest on NPO ($24,553) ($33,604) ($38,658) Adjustment to ARC (31,545) (44,035) (54,591) Annual pension cost(APC) ($106,649) ($103,110) ($94,035) Employer contributions*** $58,029 $59,068 **$60,000 Change in NPO (164,578) (162,178) (154,035) NPO at BOY prior year ($446,410) ($610,988) ($733,166) NPO at EOY ($610,988) ($773,166) ($927,201) * Assumed interest rate:5.5%in 2005 and 2006, 5.0%in 2007 ** Estimated amount to be replaced at year-end with actual *** Employer contributions are total contributions to the fund net of disbursements for medical and administrative expenses. The Annual Development of Pension Cost is recapped as follows: Fiscal Year Annual Total Change Ending ARC @ Interest on ARC Pension Employer in 12/31 EOY* NPO Adjustment Cost(APC) Contributions NPO 2002 $0 ($3,781) ($4,435) $654 $55,730 $(55,076) 2003 0 (7,088) (8,433) 1,347 63,088 (61,741) 2004 (205,680) (10,790) (13,047) (203,423) 63,151 (266,574) 2005 (113,541) (24,553) (31,545) (106,549) 58,029 (164,578) 2006 (113,541) (33,604) (44,035) (103,110) 59,068 (162,178) 2007 (109,868) (38,658) (54,591) (94,035) 60,000 (154,035) 441.00 Washington State Auditor's Office 67 2006 Comprehensive Annual Financial Report City of Renton, Washington Fiscal Year Amort. Ending of December NPO (Gain)/ Amort. (Gain)/ Ending 31 Balance Loss Factor*** Loss Balance 2002 ($118,095) ($55,730) 14.2105 ($4,435) ($118,095) 2003 (179,836) (63,088) 14.0032 (8,433) (179,836) 2004 (446,410) (268,831) 13.7834 (13,047) (446,410) 2005 (610,988) (171,570) 14.1517 (31,545) (610,988) 2006 (733,166) (172,609) 13.8750 (44,035) (773,166) 2007 (927,201) (189,988) 14.1630 (54,591) (927,201) Three year trend information is recapped as follows: Contribution Net Fiscal Year Annual as a Pension Ending Pension Percentage Obligation December 31 Cost(APC) of APC (NPO) 2005 ($106,549) N/A ($610,988) 2006 (103,110) N/A (773,166) 2007 (94,035)* N/A* (927,201)* *Amounts will be replaced at year-end with actual amounts. Employees are not required to make contributions. The contributions to the System for 2006 include $77,821 from fire insurance premiums and $202,598 of investment income. Benefits and refunds of the defined benefit pension plan are recognized when due and payable in accordance with the terms of the plan. For 2006, $414,281 was paid for benefit payments and $11,537 for medical payments. The Net Pension Obligation moves from ($610,988) to ($773,166) and is included, as an asset, in the City of Renton's Governmental-wide Statement of Net Assets. NOTE 7. OTHER POST EMPLOYMENT BENEFITS In addition to the pension benefits described in Note 6, the City is required to pay post employment benefits in accordance with State statute to all LEOFF 1 (law enforcement officers and firefighters hired prior to October 1, 1977) and Fire Pension (firefighters hired prior to March 1, 1970) retirees. Currently there are 98 LEOFF 1 retirees who receive necessary medical and hospitalization coverage and five retirees who are covered solely by the Fire Pension Plan and receive medical coverage limited to treatment of service-related disabilities only. Expenditures for post employment health care benefits are recognized as retirees report claims. The City does not have a funding policy at this time and no assets are designated for this purpose. During the year, expenditures of $1,151,205 were recognized for post employment health care. State statute provides that the City's responsibility for medical payments of LEOFF I retirees is secondary to any other coverage retirees receive or are eligible to receive. The City recognizes a potential savings exists when retirees utilize Medicare as primary coverage and the City for secondary coverage and ineligible expenses. Therefore, upon reaching age 65, the City requires Washington State Auditor's Office 68 2006 Comprehensive Annual Financial Report City of Renton, Washington the retirees to apply for and utilize Medicare Part B coverage. The City reimburses these Medicare premiums at an average cost of approximately $88.50 per month for 47 LEOFF I retirees and five Fire Pension retirees. NOTE 8. CONTINGENCIES Litigation The City has recorded in its financial statements all material liabilities, including an estimate for situations that are not yet resolved but where, based on available information, management believes it is probable that the City will have to make payment. In the opinion of management, the City's insurance policies and/or self-insurance reserves are adequate to pay all known or pending claims. Contingencies under Grant Provisions The City participates in a number of federal and state assisted programs. These grants are subject to audit by the grantors of their representatives. Such audits could result in requests for reimbursement to grantor agencies for expenditures disallowed under the terms of the grants. The City's management believes that such disallowances, if any, will be immaterial. Bond Indentures The City is in compliance with all significant bond indenture and restrictions. Construction Commitments Refer to Note 5. Nlier NOTE 9. RISK MANAGEMENT • The City of Renton is exposed to various risks of loss related to tort; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The City of Renton protects itself against unforeseen losses by utilizing a three-pronged risk management approach. First, the City self-funds first level losses through its Insurance Fund. Second, excess insurance is purchased to cover medium and large losses. Third, the City reserves the right to utilize the provisions of Chapter 35A.31.060 RCW to fund catastrophic or uninsured losses. This State statute allows cities to levy a non-voted property tax increase to pay for uninsured claims. An analysis of the self-insurance retention levels, limits of insurance, and claims administrator for the major types of coverage are as follows: "erre Washington State Auditor's Office 69 2006 Comprehensive Annual Financial Report City of Renton, Washington Risk Retention Type of Coverage Occurrence Claims Administrator Aggregate Amount Carrier Property $25,000 WA Cities Ins $500,000,000(per WA Cities Ins Authority occurrence subject to Authority sub-limits) Liability 250,000 WA Cities Ins 14,000,000 WA Cities Ins Authority (per occurrence) Authority Auto Liability 250,000 WA Cities Ins 14,000,000 WA Cities Ins Authority (per occurrence) Authority Equipment breakdown 5,000* Arthur J.Gallagher 50,000,000 Zurich Public officers 250,000 WA Cities Ins 10,000,000 WA Cities Ins Authority • Authority Crime 10,000 Arthur J.Gallagher 1,000,000 Travelers Casualty&Surety Airport liability 0 Arthur J.Gallagher 100,000,000 Ace Property& Casualty Underground storage tank 5,000 Arthur J.Gallagher 1,000,000 Commerce& • Industry Worker's comp 350,000 Berkley Risk 1,000,000 Midwest Casualty Employee health 140,000 HIviA,Inc N/A SunLife *There is a 4-hour utility interruption clause,prior to the deductible becoming applicable. During 2006, there were no reductions in insurance coverage, and settlements for the last three years have not exceeded insurance coverage. The City of Renton is a member of the Washington Cities Insurance Authority (WCIA). , IS Utilizing Chapter 48.62 RCW (self-insurance regulation) and Chapter 39.34 RCW (Interlocal Cooperation Act), nine cities originally formed WCIA on January 1, 1981. WCIA was created for the purpose of providing a pooling mechanism for jointly purchasing insurance,jointly self- insuring, and/or jointly contracting for risk management services. WCIA has a total of 121 members. New members initially contract for a three-year term and thereafter automatically renew on an annual basis. A one-year withdrawal notice is required before membership can be terminated. Termination does not relieve a former member from its unresolved loss history incurred during membership. Liability coverage is written on an occurrence basis, without deductibles. Coverage includes general, automobile, police, public officials' errors or omissions, stopgap, and employee benefits liability. Limits are $3 million per occurrence self insured layer, and $12 million per occurrence in the re-insured excess layer with no annual aggregate except $10 million per member for public officials' errors and omissions. The excess layer is insured by the purchase of reinsurance and insurance. Total limits are $15 million per occurrence subject to aggregate sublimits in the excess layers. The Board of Directors determines the limits and terms of coverage annually. Insurance coverage for property, automobile physical damage, fidelity, inland marine, and boiler and machinery are purchased on a group basis. Various deductibles apply by type of coverage. Property insurance and auto physical damage are self-funded from the members' deductible to Washington State Auditor's Office 70 2006 Comprehensive Annual Financial Report City of Renton, Washington $500,000 for all perils other than flood and earthquake, and insured above that amount by the purchase of reinsurance. In-house services include risk management consultation, loss control field services, claims and litigation administration, and loss analyses. WCIA contracts for the claims investigation consultants for personnel issues and land use problems, insurance brokerage and lobbyist services. WCIA is fully funded by its members, who make annual assessments on a prospectively rated basis, as determined by an outside, independent actuary. The assessment covers loss, loss adjustment, and administrative expenses. As outlined in the interlocal agreement, WCIA retains the right to additionally assess the membership for any funding shortfall. An investment committee, using investment brokers, produces additional revenue by investment of WCIA's assets in financial instruments, which comply with all State guidelines. These revenues directly offset portions of the membership's annual assessment. A Board of Directors governs WCIA, which is comprised of one designated representative from each member. The Board elects an Executive Committee and appoints a Treasurer to provide general policy direction for the organization. The WCIA Executive Director reports to the Executive Committee and is responsible for conducting the day-to-day operations of WCIA. The City's Risk Management Program is administered by the Human Resources and Risk Management Administrator, with claims being processed by the independent claims *tor administrators noted above. As of December 31, 2006, the City had accrued the following amounts for outstanding claims: Total Claims Coverage Payable 12/31/2006 Property&liability $537,693 Worker's compensation 765,089 Employee health 1,325,000 TOTAL $2,627,782 Property& Worker's Employee 2006 Liability Compensation Health Totals IBNR claims at beginning of the year $610,044 $765,089 $1,050,700 $2,425,833 Current year and changes in estimates 1,840,667 987,554 2,584,817 5,413,038 Claims payments (1,913,018) (987,554) (2,310,517) (5,211,089) IBNR claims at end of the year $537,693 $765,089 $1,325,000 $2,627,782 Property& Worker's Employee 2005 Liability Compensation Health Totals IBNR claims at beginning of the year $583,617 $695,930 $1,258,170 $2,537,717 Current year and changes in estimates 792,048 418,609 5,222,493 6,433,150 Claims payments (765,621) (349,450) (5,429,963) (6,545,034) IBNR claims at end of the year $610,044 $765,089 $1,050,700 $2,425,833 Nitow Washington State Auditors Office 71 2006 Comprehensive Annual Financial Report City of Renton, Washington NOTE 10. INTERFUND TRANSACTIONS Interfund transactions are classified as follows: 1. Services Provided — Transactions that would be treated as revenues, expenditures, or expenses if they involve external organizations, such as buying goods and services or payments in lieu of taxes, are similarly treated when they involve other funds of the City of Renton. 2. Transfers — Transactions to support the operations of other funds are recorded as "Transfers" and classified with "Other Financing Sources or Uses" in the fund statements. Transfers between governmental or proprietary funds are netted as part of the reconciliation to the Government-wide financial statements. 3. Contributions — Contributions to the capital of enterprise or internal service funds, transfers of capital assets between proprietary and governmental funds, transfers to establish or reduce working capital in other funds, and transfers remaining balances when funds are closed are classified non-operating revenue. 4. Loans/Advances — Loans between funds are classified as interfund loans receivable and payable or as advances to and from other funds in the fund statements. Interfund loans do not affect total fund equity, but advances to other funds are offset by a reservation of fund equity. Loans and advances are subject to elimination upon consolidation. As of December 31, 2006, outstanding interfund balances (resulting from various interfund transactions) were as follows: Receivables Payables Due From Due To Other Other Fund Funds Funds Purpose General fund $330 $15,000 To accrue 2006 interfund services provide,paid for in 2007 Street 47,898 0 To accrue 2006 interfund services provide,paid for in 2007 Hotel/motel 15,000 0 To accrue 2006 interfund services provide,paid for in 2007 General CIP 0 32,038 To accrue 2006 interfund services provide,paid for in 2007 South Lake WA 0 5,586 To accrue 2006 interfund services provide,paid for in 2007 infrastructure Waterworks utility 56,328 50,676 To accrue 2006 interfund services provide,paid for in 2007 Golf 0 5,666 To accrue 2006 interfund services provide,paid for in 2007 Airport 0 2,734 To accrue 2006 interfund services provide,paid for in 2007 Insurance 0 7,855 To accrue 2006 interfund services provide,paid for in 2007 TOTAL* $119,556 $119,555 *Difference is the result of rounding individual fund numbers in the aggregate. Washington State Auditor's Office 72 2006 Comprehensive Annual Financial Report City of Renton, Washington The following is a recap of interfund advances (expected to be paid by 2007): Advances Advances Due From Due To Other Other Fund Funds Funds Purpose Leased property $0 $63,900 Loan from Municipal Facilities to fund Tenant Improvements Municipal facilities 63,900 0 Loan to Leased Property to fund Tenant Improvements TOTAL $63,900 $63,900 Transfers for 2006 were as follows: Transfer Transfer Fund In Out Purpose General $0 $272,000 Contribution for LEOFF 1 LT Care Arterial street 0 440,000 Contribution for CIP Overlay Projects 1%for Art 17,505 0 From Transportation CIP for Art General debt 525,000 0 Contribution in for Fire Impact Debt. SAD/LID 0 68,446 Transfer Fund Balance to Waterwork Close out the SAD/LID Debt Service Fund Fire impact 0 525,000 Contribution for Fire Impact Debt Payments Transportation impact 0 965,000 Contribution to Transportation CIP Transportation CIP 2,360,390 17,505 Contribution for Capital Improvements Contribution for 1%Art project Municipal CIP 0 402,000 Transfer IS Fund Balance Name South Lake WA 0 955,390 Reimbursement for CIP Costs infrastructure Waterworks 68,446 0 Transfer SAD/LID Fund Balance Municipal CIP 60,000 Interfund Loan Correction Leased property services 60,000 0 Interfund Loan Correction Information services 402,000 0 Transfer IS Fund Balance previously in Municipal CIP Fund Insurance fund 272,000 0 From General Fund for LEOFF 1 LT Care TOTAL $3,705,341 $3,705,341 NOTE 11. NET ASSETS The Government-wide and business type fund financial statements utilize a net asset presentation. Net assets are the difference between assets and liabilities. Net assets are categorized as investments in capital assets (net of related debt), restricted, and unrestricted. A. Investment in Capital Assets (net of related debt) is intended to reflect the portion of net assets that are associated with non-liquid, capital assets less outstanding capital asset related debt. The net related debt is the debt less the outstanding liquid assets and any associated unamortized costs. lotere Washington State Auditors Office 73 2006 Comprehensive Annual Financial Report City of Renton, Washington B. Restricted assets are liquid assets (generated from revenues and not bond proceeds), which have third party (statutory, bond covenant, or granting agency) limitations on their use. The City would typically use restricted assets first, as appropriated opportunities arise, but reserve the right to selectively defer the use thereof to a future project or replacement equipment acquisition. Restricted assets are as follows: Fund Purpose Amount Hotel/Motel Tax Tourism $325,404 Arterial Street Road construction 477,844 Cable Communications Cable development 185,012 Community Development Impact Mitigation for park development 895,404 Municipal Facilities Capital projects 15,458,013 Capital Projects General governmental capital projects 8,465,556 South Lake Washington Construction infrastructure for SLW 11,651,706 Fire Impact Mitigation for fire improvements 1,163,853 Transportation Impact Mitigation for transportation projects 3,638,871 Waterworks Debt service reserves 3,114,332 Golf Course Debt service reserves 441,358 TOTAL $45,817,353 C. Unrestricted assets represent unrestricted liquid assets. The City's management may have plans or tentative commitments to expend resources certain purposes in future periods. Further legal action will be required to authorize the actual expenses or expenditures. NOTE 12. PRIOR YEAR RESTATEMENTS The City had no prior period adjustments to beginning fund balances or net assets. NOTE 13. SHORT TERM DEBT Short-term debt is defined as debt with maturity of one year or less from the date of issuance. The City had no short-term debt in 2006. NOTE 14. LONG TERM DEBT The City of Renton's long-term debt consists of General Obligation Debt, repaid mainly from general governmental revenue sources and Proprietary Debt, repaid from proprietary revenues. These debts are accounted for in the following areas: 1) The outstanding general obligation debt is reported in the Government-wide financial statements; 2) The repayment, or debt service of the same, is recorded in the Debt Service Funds; and, 3) The proprietary debt liability and repayment of the same are reported in individual Proprietary Funds. Washington State Auditor's Office 74 2006 Comprehensive Annual Financial Report City of Renton, Washington • Outstanding debt issues as of December 31, 2006, are as follows: Original Issued Maturity Issued Type of Debt Interest Rates Date Date Amount GOVERNMENTAL DEBT: General Obligation Bonds: Limited 1997 GO Bonds 5.55%-5.75% 05/01/97 12/01/17 $14,697,744 2000 GO Valley Comm Bonds 4.30%-5.38% 09/15/00 12/01/15 2,551,600 2001 GO Refunding Bonds 2.10%-5.25% 11/01/01 12/01/17 13,505,000 2001 GO Bonds 5.0%-5.25% 11/01/01 12/01/21 6,000,000 2002 GO Bonds 2.50%-5.00% 7/15/02 12/01/22 3,895,000 2006 GO Bonds 4.25%-5.00% 8/08/06 12/01/28 17,980,000 SUBTOTAL LIMITED GO 58,629,344 Unlimited 1993 GO Refunding Bonds-Senior Housing 5.20%-61.0% 09/01/93 02/01/09 4,270,000 SUBTOTAL UNLIMITED GO 4,270,000 TOTAL GENERAL OBLIGATION BONDS 62,899,344 Installment Contracts: Certificates of Participation 4.51% 09/01/98 06/01/08 278,172 TOTAL INSTALLMENT CONTRACTS 278,172 TOTAL GOVERNMENTAL-TYPE DEBT ISSUANCE 63,177,516 BUSINESS-TYPE DEBT: Revenue Bonds' 1998 Water/Sewer Refunding 4.46% 03/01/98 06/01/13 6,120,000 1999 Golf System Refunding 4.96% 04/01/99 12/01/15 5,040,000 2002 Water/Sewer 4.80% 07/01/02 12/01/22 11,980,000 2003 Water/Sewer Refunding 3.20% 09/15/03 06/01/13 8,035,000 2004 Water/Sewer 4.33% 11/01/04 12/01/27 10,335,000 TOTAL REVENUE BONDS 41,510,000 Public Works Trust Fund Loans: . Sierra Heights Sewer Improvements 2.00% 01/20/92 07/01/12 888,462 Central Renton Sewer Replacement 1.00% 05/04/93 07/01/15 1,631,800 East Renton Interceptor 1.00% 06/07/93 07/01/13 2,542,704 Dayton Avenue NE 2.00% 05/12/94 07/01/14 96,958 NE 27th/Aberdeen Drainage Improvements 1.00% 05/15/95 07/01/15 731,000 East Kennydale Interceptor 2.00% 01/24/98 07/01/16 2,093,740 Honeycreek Interceptor 2.00% 12/04/95 07/01/16 1,840,568 Corrosion Control Treatment Facilities 1.00% 01/06/97 07/01/17 1,106,000 Maplewood Water Treatment Improvement 0.50% 1/22/02 07/01/21 567,831 Construct CT Pipeline for Wells 0.50% 11/5/02 7/1/22 814,527 Maplewood Water Treatment Improvement 0.50% 06/03/04 07/01/24 4,892,500 TOTAL PUBLIC WORKS TRUST FUND LOANS 17,206,090 Leases: Golf Course Operating Lease 3.81% 4/1/03 4/1/06 78,192 TOTAL LEASES 78,192 TOTAL BUSINESS-TYPE DEBT ISSUANCE 58,794,282 TOTAL AMOUNT ISSUED ON OUTSTANDING DEBT AS OF DECEMBER 31,2006 $121,971,798 4111111✓ Washington State Auditor's Office 75 2006 Comprehensive Annual Financial Report City of Renton, Washington 14111110 For outstanding debt additions and retirements are summarized as follows: Balanced Balanced Due Owed Owed Within Type of Debt 01/01/2006 Additions Deductions 12/31/2006 One Year GOVERNMENTAL DEBT: General Obligation Bonds: Limited 1996 GO Bonds $111,670 $0 $111,670 $0 $0 1997 GO Refunding Bonds 429,033 0 429,033 0 0 1997 GO Bonds 2,037,744 0 198,243 1,839,501 693,926 1997 GO Bonds-CAB Long Term Interest 0 1,315,199 0 1,315,199 0 2000 GO Valley Comm Bonds 1,908,000 0 153,000 1,755,000 160,000 2001 GO Refunding Bonds 13,195,000 0 0 13,195,000 75,000 2001 GO Bonds 6,000,000 0 0 6,000,000 0 2002 GO Bonds 3,475,000 0 150,000 3,325,000 150,000 2006 GO Bonds 0 17,980,000 17,980,000 0 SUBTOTAL LIMITED GO 27,156,447 19,295,199 1,041,946 45,409,700 1,078,926 Unlimited 1993 GO Refunding Bonds-Senior Housing 1,870,000 0 430,000 1,440,000 455,000 SUBTOTAL UNLIMITED GO 1,870,000 0 430,000 1,440,000 455,000 TOTAL GENERAL OBLIGATION BONDS 29,026,447 19,295,199 1,471,946 46,849,700 1,533,926 Installment Contracts: Certificates of Participation 81,217 0 31,404 49,813 32,837 TOTAL INSTALLMENT CONTRACTS 81,217 • 0 31,404 49,813 32,837 Employee Leave Benefits(Primarily General Fund 5,341,112 3,566,437 4,713,554 4,193,995 2,428,017 Obligations) TOTAL GENERAL OBLIGATION DEBT 34,448,776 22,861,636 6,216,904 51,093,508 3,994,780 BUSINESS-TYPE DEBT: p Revenue Bonds: *IIS 1998 Water/Sewer Refunding 4,550,000 0 520,000 4,030,000 545,000 1999 Golf System Refunding 3,360,000 0 270,000 3,090,000 285,000 2002 Water/Sewer 11,610,000 0 110,000 11,500,000 110,000 2003 Water/Sewer Refunding 5,935,000 0 1,050,000 4,885,000 1,085,000 2004 Water/Sewer 10,335,000 0 0 10,335,000 0 TOTAL REVENUE BONDS 35,790,000 0 1,950,000 33,840,000 2,025,000 Public Works Trust Fund Loans: Sierra Heights Sewer Improvements 179,500 0 25,642 153,858 25,642 Central Renton Sewer Replacement 803,903 0 87,483 716,420 87,483 East Renton Interceptor 1,076,560 0 134,570 941,990 134,570 Dayton Avenue NE 45,928 0 5,103 40,825 5,103 NE 27th/Aberdeen Drainage Improvements 425,897 0 42,590 383,307 42,590 East Kennydale Interceptor 1,285,398 0 116,855 1,168,543 116,855 Honeycreek Interceptor 1,065,592 0 96,872 968,720 96,872 Corrosion Control Treatment Facilities 592,283 0 49,357 542,926 49,357 Maplewood Water Improvement 484,815 0 30,301 454,514 30,301 Const.CT Pipeline for Wells 728,787 0 42,870 685,917 42,870 Maplewood Water Improvements 4,892,500 0 257,500 4,635,000 257,500 TOTAL PUBLIC WORKS TRUST FUND LOANS 11,581,161 0 889,143 10,692,018 889,143 OPERATING LEASES: Golf Course Cart lease 8,622 0 8,622 0 0 TOTAL OPERATING LEASES 0 0 8,622 0 0 Employee Leave Benefits 385,699 487,123 409,874 462,947 110,016 TOTAL BUSINESS-TYPE DEBT 47,765,482 487,123 3,257,639 44,994,965 3,024,159 GRAND TOTALS $82,214,258 $23,348,759 $9,474,543 $96,088,473 $7,018,939 *.111111111 Washington State Auditor's Office 76 2006 Comprehensive Annual Financial Report City of Renton, Washington DEEP DISCOUNT DEBT The 1997 Limited General Obligation Bond issue included capital appreciation bonds that are issued at a deep discount. The deep-discount debt will mature in the years 2007, 2008, and 2009 with an accreted value of $1,245,000, $1,250,000, and 1,000,000 respectively. The deep- discount debt is reported in the Government-wide financial statements in the amount of $1,839,501, net of the remaining unamortized discount. SPECIAL ASSESSMENT DEBT WITH GOVERNMENTAL COMMITMENT As of December 31, 2006,the City of Renton has no special assessment debt outstanding. DEBT LIMIT CAPACITIES State law provides that debt cannot be incurred in excess of the following percentages of the value of the taxable property of the City: 1.5 percent without a vote of the people provided the indebtedness with a vote is 1 percent or less; 2.5 percent with a vote of the people; 5.0 percent with a vote of the people, provided the indebtedness in excess of 2.5 percent is for utilities; and 7.5 percent with a vote of the people provided the indebtedness in excess of 5.0 percent is for open space development and parks facilities. Table 12 in the Statistical Section shows the computation of legal debt margin for general and special purpose capacities for the City of Renton. ANNUAL DEBT SERVICE REQUIREMENTS The annual debt service requirements to maturity, including principal and interest, for long-term debt as of December 31, 2006, are as follows: Governmental Activities Business-type Activities Year Ending December 31 Principle Interest Principle Interest 2007 $1,566,763 $2,702,284 $2,914,143 $1,619,071 2008 2,079,551 2,698,249 2,994,143 1,527,344 2009 2,205,000 2,549,448 3,074,143 1,440,494 2010 2,269,000 1,975,553 3,154,143 1,348,254 2011-2015 12,934,000 8,253,863 12,923,616 5,308,566 2016-2020 13,305,000 4,849,089 7,625,796 3,656,087 2021-2025 7,405,000 1,912,502 8,406,041 2,006,782 2026-2028 3,820,000 388,250 3,440,000 260,000 TOTAL $45,584,314 $25,329,238 $44,532,025 $17,166,598 AMOUNT AVAILABLE FOR DEBT SERVICE Fund balances that have been reserved for debt repayment are $3,068,584 in the debt service funds. NOTE 15-DEFERRED CHARGES IN PROPRIETARY FUNDS As of December 31, 2006, the Waterworks Utility Fund had deferred charges and other assets in the amount of$761,729 for debt issue costs on the 2002-2004 Revenue Bonds. This amount will be fully amortized by 2022. The Golf Course Fund amount was $40,547 for the 1999 Refunded Bond debt issue costs and discount. This amount will be fully amortized by 2016. Washington State Auditor's Office 77 • 2006 Comprehensive Annual Financial Report City of Renton, Washington NOTE 16. SEGMENT INFORMATION An identifiable activity (or grouping of activities) required to be accounted for separately, which (a) is reported as or within an enterprise fund; (b) for which one or more revenue bonds are outstanding; and, (c) where the revenue stream is pledged for payment of, are required to disclose segment information. The City of Renton has no required segment information to disclose for 2006. NOTE 17. JOINT VENTURES A joint venture is a legal entity or other organization that results from a contractual agreement and that is owned, operated, or governed by two or more participants as a separate and specific activity subject to joint control in which the participants retain (a) an on-going financial interest or (b) an on-going financial responsibility. The City participates in one joint venture. VALLEY COMMUNICATIONS CENTER The "Valley Communications Center" was established August 20, 1976, when an Interlocal Agreement was entered into by four original participating municipal corporations, including the cities of Renton, Kent, Auburn, and Tukwila. Federal Way was formally admitted in 2000. The agreement is sanctioned by the provisions and terms of the Interlocal Cooperation Act pursuant to Chapter 39.34 RCW. The initial duration of the agreement was five years, and thereafter is automatically extended for consecutive five-year periods. The purpose of the joint operation, hereafter referred to as Valley Comm, is to provide improved consolidated emergency communications (dispatch) services for police, fire, and medical aid, to the five participating cities and to several subscribing agencies that include: King County Fire Districts 2, 17 (Black Diamond), 20, 26, 40, 43, 44, 47; City of Pacific Police and Fire Departments; City of Black Diamond Police Department; City of Des Moines Police Department; SeaTac Fire Department; North Highline Fire Department; King County EMS Units; and Vashon Island Fire Department. Separate agreements between Valley Comm and the subscribing agencies have been executed, which set forth conditions of services and rates charged. The City of Renton reports its share of equity interest in the Governmental Activities column within the Government-wide financial statements under non-current assets. The following is condensed (unaudited) financial information as of December 31, 2006, on Valley Comm: Valley Comm Renton Interest • Assets $22,055,273 22.51%* Liabilities 718,868 TOTAL Equity $21,336,405 _ $3,981,550 *After removing$3,642,531 in assets not subject to the equity interest calculations. Washington State Auditor's Office 78 2006 Comprehensive Annual Financial Report City of Renton, Washington Completed Financial Statements for Valley Comm can be obtained from the Valley Communications Center, 23807—98th Avenue South, Kent, WA 98031. NOTE 18. SUBSEQUENT EVENTS The City of Renton, on March 16, 2007, signed an agreement obligating the City of Renton's golf course to purchase, through a capital lease agreement; 50 golf carts. The terms of the agreement commence on June 15, 2007, and consist of 48 monthly payments of$2,022.14 at an interest rate of 5.25%. The final payment to purchase the golf carts is $50. 'taw Washington State Auditor's Office 79 2006 Comprehensive Annual Financial Report City of Renton, Washington SCHEDULE OF REVENUES, EXPENDITURES,AND CHANGES IN FUND BALANCES BUDGET TO ACTUAL-GENERAL FUND For the Year Ended December 31,2006 - ACTUAL BUDGET TO GAAP ACTUAL BUDGETED AMOUNTS BUDGETARY DIFFERENCES GAAP ORIGINAL FINAL BASIS OVER(UNDER) BASIS REVENUES Taxes $ 38,201,658 $ 38,201,658 $ 38,682,760 $ 577,780 $ 39,260,540 Licenses and permits 3,395,598 3,395,598 3,122,817 9,770 3,132,587 Intergovernmental revenues 2,522,657 3,042,325 2,888,949 (42,196) 2,846,753 Charges for services 2,195,500 2,233,190 2,330,797 (84,075) 2,246,722 Fines and forfeits 701,400 701,400 874,303 (13,484) 860,819 Interfund revenues 2,554,400 2,554,400 1,785,150 6,030 1,791,180 Contributions 23,800 25,050 66,781 - 66,781 Interest 649,500 649,500 629,502 31,979 661,481 Miscellaneous revenues 114,000 114,000 215,830 (26) 215,804 TOTAL REVENUES $ 50,358,513 $ 50,917,121 $ 50,596,889 $ 485,778 $ 51,082,667 EXPENDITURES Current: General government $ 10,809,279 $ 11,092,919 $ 10,732,371 $ (33,580) $ 10,698,791 Security of persons and property 31,769,975 32,479,607 31,651,325 (494,022) 31,157,303 Physical environment 2,643,362 2,679,262 2,585,038 24,414 2,609,452 Economic environment 4,763,397 5,031,074 4,685,655 24,090 4,709,745 Mental&physical health 10,600 10,600 9,231 - 9,231 Capital outlay 54,900 116,040 63,394 16,949 80,343 TOTAL EXPENDITURES $ 50,051,513 $ 51,409,502 $ 49,727,014 $ (462,149) $ 49,264,865 EXCESS(DEFICIENCY)OF REVENUES OVER EXPENDITURES $ 307,000 $ (492,381) $ 869,875 $ 947,927 $ 1,817,802 OTHER FINANCING SOURCES(USES) Transfer in $ - $ 18,500 $ - $ - $ - Transfer(out) (272,000) (290,500) (272,000) - (272,000) Sale of capital assets - - 1,424 - 1,424 TOTAL OTHER FINANCE SOURCES(USES) $ (272,000) $ (272,000) $ (270,576) $ - $ (270,576) NET CHANGE IN FUND BALANCE $ 35,000 $ (764,381) $ 599,299 $ 947,927 $ 1,547,226 FUND BALANCE JANUARY 1 $ - $ 764,381 $ 9,769,717 $ (571,846) $ 9,197,871 FUND BALANCE DECEMBER 31 $ 35,000 $ - $ 10,369,016 $ 376,081 $ 10,745,097 Washington State Auditor's Office 80 2006 Comprehensive Annual Financial Report City of Renton, Washington SCHEDULE OF REVENUES, EXPENDITURES,AND CHANGES IN FUND BALANCES BUDGET TO ACTUAL-PARKS FUND For the Year Ended December 31, 2006 ACTUAL BUDGET TO GAAP ACTUAL BUDGETED AMOUNTS BUDGETARY DIFFERENCES GAAP ORGINIAL FINAL BASIS OVER(UNDER) BASIS REVENUES Taxes $ 9,228,676 $ 9,228,676 $ 9,436,591 $ 67,081 $ 9,503,672 Intergovernmental revenues - - 11,085 (3,754) 7,331 Charges for services 1,992,100 2,030,860 2,219,974 52,340 2,272,314 Contributions 2,900 2,900 30,791 - 30,791 Interest 36,700 36,700 47,641 - 47,641 Miscellaneous revenues - - 6,679 212 6,891 TOTAL REVENUES $ 11,260,376 $ 11,299,136 $ 11,752,761 $ 115,879 $ 11,868,640 EXPENDITURES Current General government $ 2,877,408 $ 2,939,408 $ 2,825,323 $ 5,303 $ 2,830,626 Economic environment 564,450 564,450 485,812 (4,585) 481,227 Culture&recreation 7,818,518 7,929,278 8,122,208 (13,596) 8,108,612 Capital outlay - (206) 206 - TOTAL EXPENDITURES $ 11,260,376 $ 11,433,136 $ 11,433,137 $ (12,672) $ 11,420,465 EXCESS(DEFICIENCY)OF REVENUES OVER EXPENDITURES $ - $ (134,000) $ 319,624 $ 128,551 $ 448,175 TOTAL OTHER FINANCE SOURCES(USES) $ - $ - $ - $ - $ - NET CHANGE IN FUND BALANCE $ - $ (134,000) $ 319,624 $ 128,551 $ 448,175 FUND BALANCE JANUARY 1 - 134,000 1,431,865 (594,051) 837,814 FUND BALANCE DECEMBER 31 $ - $ - $ 1,751,489 $ (465,500) $ 1,285,989 w Washington State Auditor's Office 81 MCAG NO.0428 CITY OF RENTON SCHEDULE 16 SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS September 13,2007 FOR THE YEAR ENDED DECEMBER 31,2006 Page 1 of 1 GRANTOR/ CURRENT44111110 PASS-THROUGH GRANTOR FEDERAL OTHER YEAR PROGRAM TITLE CFDA NO. I.D.NO. EXPENDITURES U.S.DEPT OF JUSTICE DIRECT PROGRAM SECURE OUR SCHOOLS 16.710 2004CKWX0528 21,960 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT 16 738 2005DJBX0721 40,036 • TOTAL DEPT OF JUSTICE 61,996 U.S.DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT INDIRECT AWARD FROM KING COUNTY CDBG HOUSING ASSISTANCE PROGRAM 14.218 C05-751 171,004 CDBG PLANNING AND ADMIN 14.218 C05-507 48,015 CDBG VISITING NURSE SERVICES 14.218 C05-859 6,893 CDBG RENTON COMMUNITIES IN SCHOOLS 14.218 C04-871 7,180 CDBG EMERGENCY FEEDING PROGRAM 14.218 C05-865 9,345 CDBG ELDERHEALTH NW CONNECTION PROG 14.218 C05-855 7,176 CDBG DOMESTIC ABUSE WOMENS NETWORK GENERAL 14.218 C04-850 7,910 CDBG CENTRAL HLTH CNTR OF KING CNTY-DENTAL 14.218 C05-845 10,080 CDBG MULTI SERVICE CENTER 14.218 C04-140 48,377 315,979 BROWNFIELDS ECONOMIC DEVELOPMENT GRANT 14 246 BO2SPWA0758 74,468 TOTAL DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 390,447 U.S.DEPT OF TRANSPORTATION INDIRECT AWARD FROM WA STATE DOT MAPLE VALLEY HWY(SR169)HOV LANES&QUEUE JUMP 20.205 STPUL-169(019) 61,888 NE SUNSET BLVD/DUVALL AVE NE INTERSECTION 20 205 STPH-0900(021) 354,580 TOTAL U.S.DEPT OF TRANSPORTATION INDIRECT AWARD FROM WA STATE DOT 416,468 U.S.DEPARTMENT OF TRANSPORTATION/FEDERAL AVIATION ADMIN DIRECT PROGRAM AIRSIDE/LANDSLIDE SEPARATION 20.106 DOT-FAO6NM-0056 150,000 AIRPORT LAYOUT PLAN GRANT 20 106 DOT-FAO5NM-0068 100,489 TOTAL DEPARTMENT OF TRANSPORTATION/FEDERAL AVIATION ADMIN PROGRAM 250,489 TOTAL U.S.DEPARTMENT OF TRANSPORTATION 666,957 FEDERAL EMERGENCY MANAGEMENT INDIRECT AWARD FROM WA STATE MILITARY DEPT DEPT OF HOMELAND SECURITY STATE DOMESTIC PREPAREDNESS PROG 97 004 2004UASI/CBRNE 26,563 SATELITE PHONE GRANT 97.004 FFY04-SHSP-011 7,779 ACTIVE SHOOTER HOSTAGE DRILL 97 004 FFY03S-SHSP-011 2,001 TOTAL CFDA# 36,343 EMERGENCY MANAGEMENT PERFORMANCE GRANT 97 042 E06-378 35,469 ASSISTANCE TO FIRE FIGHTERS GRANT 97 044 EMW2004FG20833 575 SPRINGBROOK FLOODPLAIN MAPPING 97 045 EMS-2004-GR-0029 1,395 HAZERDOUS MATERIAL RESPONSE PLAN 20.703 E06-207 4,969 TOTAL FEDERAL EMERGENCY MANAGEMENT 78,751 FEDERAL EMERGENCY MANAGEMENT INDIRECT AWARD FROM KING COUNTY CITIZEN EMERGENCY REPONSE TRAINING 97.067 FFY05-SHSP-007 2,371 INCIDENT COMMAND SYSTEM TRAINING 97 067 05-SHSPTRN 10,640 13,011 TOTAL FEDERAL ASSISTANCE 1,211,162 The Accompanying Notes to the Schedule of Expenditures of Federal Awards are an Integral Part of this Schedule. NOTES TO THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS NOTE 1-BASIS OF ACCOUNTING The schedule is prepared on the same basis of accounting as the City's financial statements.The City uses the modified accrual basis of accounting for governmental funds and agency funds. The accrual basis of accounting is followed in all Proprietary Funds and Pension Trust Funds NOTE 2-PROGRAM COSTS The amounts shown as current year expenditures represent only federal grant portion of the program costs. Entire program costs,including the City's portion may be more than shown. NOTE 6-NONCASH AWARDS-EQUIPMENT The City received equipment and supplies that were purchased with federal homeland security funds by the state of Washington. The amount reported on the schedule is the value of the property on the date it was received by the state and priced by the stat Washington State Auditor's Office 82 nmmm� fi It op;;".\ t _ Otv ABOUT THE STATE AUDITOR'S OFFICE Nc;, The State Auditor's Office is established in the state's Constitution and is part of the executive _ branch of state government. The,State Auditor is.elected by the citizens of Washington and serves four-year terms. Our mission is to work in cooperation with our audit clients and citizens as an advocate for government accountability.As an elected agency,the State Auditor's Office has the independence necessary to objectively perform audits and investigations. Our audits are designed to comply with ' , professional standards as weft as to satisfy the requirements of federal, state, and local laws. The State Auditor's Office has 300 employees who are located around the state to deliver our services effectively and efficiently. Approximately 65 percent of our staff are certified public accountants,or hold other certifications and advanced degrees: Our regular audits look at financial information and compliance with state,federal and local laws on the,part of all local governments, including schools, and all state agencies, including institutions of higher education.We also perform fraud and whistleblower investigations. In addition,we have the authority to conduct performance audits of state agencies and local governments. "mow The results of our audits are widely distributed through a variety of reports, which are available on - our Web site. We continue to refine our reporting efforts to ensure the results of our audits are useful and understandable. We take our role as partners in accountability seriously. We provide training and technical assistance to governments and have an extensive program to coordinate audit efficiency and to ensure high-quality audits. State Auditor Brian Sonntag, CGFM Chief of Staff Ted Rutt Chief Policy Advisor Jerry Pugnetti _ Director of Administration Doug Cochran Director of Audit Chuck Pfeil, CPA Director of Performance Audit Linda Long, CPA, CGFM Director of Special Investigations Jim Brittain, CPA Director for Legal Affairs Jan Jutte Local Government Liaison Mike Murphy Communications Director Mindy Chambers Public Records Officer Mary Leider Main number (360) 902-0370 Toll-free hotline for government efficiency (866) 902-3900 Web Site www.sao.wa.gov (SAO FACTS DOC-Rev 07/07) CITY OF RENTON COUNCIL AGENDA BILL I AI#: 9,30, 46100,,Submitting Data: For Agenda of: October 22, 2007 Dept/Div/Board.. Community Services Staff Contact Jerry Rerecich, x6615 Agenda Status Recreation Director Consent X Subject: Public Hearing.. Correspondence.. Contract for Holiday Lights Ordinance Resolution Old Business Exhibits: New Business Issue Paper Study Sessions Contract Information Recommended Action: Approvals: Legal Dept X Council concur Finance Dept Other Fiscal Impact: Expenditure Required... $69,385.00 Balance from Rec Div acct... $ 6,985.00 Amount Budgeted $50,000.00 Billed to Ivar's $12,400.00 Total Project Budget.... $69,385.00 City Share Total Project.. $56,985.00 lrin'' SUMMARY OF ACTION: Recently an RFP was issued for the purpose of soliciting a vendor for the 2007/2008 Holiday Lights program. Although there was interest from several vendors, Sun Lighting was the only vendor to submit a proposal, in the amount of$69,385. $62,400 of the amount is funded, and the remainder will be funded from other Recreation Division accounts. STAFF RECOMMENDATION: Approve a contract with Sun Lighting in the amount of$69,385 for holiday lighting. C:\DOCUME--1\BWalton\LOCALS-1\Temp\Agnbill for contract HOLIDAY LIGHTS.doc • �Y ti COMMUNITY SERVICES DEPARTMENT `e'P MEMORANDUM DATE: October 15, 2007 TO: Toni Nelson, Council President Members of the Renton City Council VIA: - ;}+Kathy Keolker, Mayor FROM: Terry Higashi ama, Community Services Administrator STAFF CONTACT: Jerry Rerecic , ecreation Director, x6615 SUBJECT: Issue Paper/Holiday Lights Contract ISSUE: Should the City Council approve the submitted 2007/2008 Holiday Lights contract? BACKGROUND: For many years the City of Renton has approved a Holiday Lighting program at Coulon ,. Beach Park, Piazza Park, and Renton City Hall. The event, which runs annually from December 1 through New Year's Day, includes "Clam Lights" and the Tree Lighting at Piazza Park, and is a welcoming addition to the arrival of the Argosy Christmas Ship. Thousands of participants look forward to the lights each season. A recent RFP resulted in four vendors showing an interest in the project. Three of the four vendors participated in the walk through, and one of the three submitted a proposal. The submitting vendor, Sun Lighting, is the vendor the City of Renton has used for the last two years. The event will be funded by$50,000 from the 2007 budget, and $12,400 billed directly to Ivar's, from the Ivar's Inc. community events fund. The balance will be funded from a Recreation Division account. STAFF RECOMMENDATION: The Renton City Council should approve the proposed contract. GR:maa Enc. cc: Jay Covington,CAO Mike Bailey,F&IS Administrator Noe H:Uerry 07\Issue Paper HOLIDAY LIGHTS.doc <SY City of Renton Community Services Department -Tft4:',a'140, 460,:ito Via.""•g>- § x 5 ,,••. •°T t+:;c'. ..�., u'•"• a�-:t;' '• 4:41tA( a ONT0AvT.A RE ;" THIS AGREEMENT is made as of the day of , 2007, between the CITY OF RENTON, a municipal corporation of the State of Washington, hereinafter referred to as "CITY," and SUN LIGHTING, hereinafter referred to as "CONTRACTOR," to supply and install holiday lighting at Gene Coulon Memorial Beach Park (1201 Lake Washington Blvd. North, Renton, Washington); Piazza Park (233 Burnett Ave. South); and Renton City Hall •ftroli (1055 South Grady Way, Renton, WA). The City and Contractor agree as set forth below: 1. Scope of Services. The Contractor will provide all material and labor necessary to perform all work described in Attachment B, which is attached hereto and incorporated by reference as if fully set forth. 2. Changes in Scope of Services. The City, without invalidating the Contract, may order changes in the Services consisting of additions, deletions or modifications, the Contract Sum being adjusted accordingly. Such changes in the work shall be authorized by written Change Order signed by the City and the Contractor. H:Verry 07\Holiday lights contract 2007.doc City of Renton Contract Agreement Page 2 of 4 3. Time of Performance. The Contractor shall commence performance of the Contract no later than November 16, 2007, and shall complete the full performance of the contract no later than 3:00 p.m., November 28, 2007. For each and every calendar day of delay after the established day of Completion, it is hereby stipulated and agreed that the damages to the City occasioned by said delay will be the sum of Five Hundred Dollars and no cents ($500.00), per calendar day, as liquidated damages (and not as a penalty) for each such day, which shall be paid by the Contractor to the City. 4. Contract Sum. The total amount of this contract is the sum of$69,385.64 (Sixty-Nine Thousand, Three Hundred and Eighty-Five Dollars and Sixty- Four cents), including Washington state sales tax. 5. Method of Payment. Payment by the City for the Services will only be made after the Services have been performed and a voucher or invoice is submitted in the form specified by the City. Payment will be made thirty (30) days after receipt of such voucher or invoice. In the event that the City is late in payment, a twelve percent (12%) per year service charge will be added to the net amount. The City shall have the right to withhold payment to the Contractor for any work not completed in a satisfactory manner until such time as the Contractor modifies such work so that the same is satisfactory. 6. Warranty. The Contractor shall be under the duty to remedy any defects in the work and pay for any damage to other work resulting therefrom, which shall appear within the period of twenty-eight (28) days from the date of final acceptance of the work, unless a longer period is specified. H:\Jerry 07\Holiday lights contract 2007.doc City of Renton Contract Agreement Page 3 of 4 Niud 7. Assignment and Subcontract. The Contractor shall not assign or subcontract any portion of this Contract without express written consent of the City of Renton. 8. Record Keeping and Reporting. The Contractor shall maintain accounts and records which properly reflect all direct and indirect costs expended and services provided in the performance of this Agreement. The Contractor agrees to provide access to any records required by the City. 9. Hold Harmless. The Contractor shall indemnify, defend and hold harmless the City, its officers, agents, employees and volunteers, from and against any and all claims, losses of liability, or any portion thereof, including attorneys' fees and costs, arising from property damage or from injury or death to persons including injuries, sickness, disease or death to Contractor's own employees, or damage to property occasioned by a negligent act, omission or failure of Contractor. The Contractor waives any immunity that may be granted to it under the Washington State Industrial Insurance Act, Title 51 RCW, which waiver has been mutually negotiated. 10. Insurance. The Contractor shall secure and maintain in force throughout the duration of this Contract commercial general liability insurance. A Certificate of Insurance evidencing the Contractor's insurance coverage shall be delivered to the City before executing the Work of this Agreement. City of Renton insurance requirements are listed in Attachment C. 11. Compliance with Laws. The Contractor and all of the Contractor's employees shall perform the services in accordance with all applicable federal, state, county and city laws, codes and ordinances. H:\Jerry 07\Holiday lights contract 2007.doc City of Renton Contract Agreement Page 4 of 4 12. Discrimination Prohibited. The Contractor shall comply with the Fair Practices and Non-Discrimination policies set forth by the law and in the City's Affirmative Action Plan and Equal Employment Program. The Contractor shall complete the "Affidavit of Compliance" included in this Agreement as Attachment A. 13. City of Renton Business License. Prior to signing a contract, the Contractor agrees to purchase a City of Renton Business License and maintain the license in full force and effect throughout the work of the project. The License may be purchased from the City Clerk located in the City of Renton Municipal Building, 1055 S. Grady Way, Renton, WA. This Agreement is entered into as of the day and year written above. CONTRACTOR CITY OF RENTON Signature Signature Printed Name and Title Printed Name and Title Business Name Mailing Address City State Zip Telephone H:\Jerry 07\Holiday lights contract 2007.doc CITY OF RENTON COUNCIL AGENDA BILL AI#: (3 6 (-)O Submitting Data: For Agenda of: October 22, 2007 ‘4160'J Dept/Div/Board.. Community Services, Facilities Staff Contact Michael Nolan, x6608 Agenda Status Consent X Subject: Public Hearing.. Final Pay Estimate Correspondence.. Tiffany Park Activity Building Ordinance Danneko Construction Resolution File No. CAG-06-165 Old Business Exhibits: New Business Final Pay Estimate ( No. 10) Study Sessions Notice of Completion of Public Works Contract Information Recommended Action: Approvals: Council concur Legal Dept Finance Dept Other IFiscal Impact: Expenditure Required... $1,125.61 Transfer/Amendment Amount Budgeted4111101 $500,000.00 Revenue Generated Total Project Budget $491,578.86 City Share Total Project SUMMARY OF ACTION: The Community Services Department submits CAG-06-165, Tiffany Park Activity Building, for final pay estimate and release of retainage. The project started on February 1, 2007, and was completed on September 24, 2007. The contractor, Danneko Construction, fulfilled the terms of their contract by constructing the Tiffany Park Activity Building. STAFF RECOMMENDATION: Approve the project, authorize the final pay estimate in the amount of$1,125.61, commence the 60- day lien period, and release the retained amount of$22,577.79 to Danneko Construction, contractor, once all required releases are obtained. liftrov Rentonnet/agnbill/ bh City of Renton Finance Department PAYMENT TO CONTRACTOR 'ATE: October 16, 2007 TO: Tracy Schuld, Finance Department FROM: Peter Renner CONTRACTOR: Danneko Construction PROJECT NAME: Tiffany Park Activity Building CONTRACT NO.: CAG 06-165 ESTIMATE NO. 10 1. CONTRACTOR EARNINGS THIS ESTIMATE $1,083.36 2. SALES TAX @ 8.9% $96.42 3. TOTAL CONTRACT AMOUNT THIS ESTIMATE $1,179.78 4. EARNINGS PREVIOUSLY PAID CONTRACTOR $427,948.69 5. * EARNINGS DUE CONTRACTOR THIS ESTIMATE $1,029.19 6. SUBTOTAL - CONTRACTOR PAYMENT $428,977.88 7. RETAINAGE ON PREVIOUS EARNINGS $22,523.62 8. ** RETAINAGE ON EARNINGS THIS ESTIMATE $54.17 SUBTOTAL - RETAINAGE $22,577.79 10. SALES TAX PREVIOUSLY PAID $39,926.77 11. SALES TAX DUE THIS ESTIMATE $96.42 12. SUBTOTAL $40,023.19 * (95% x Line 1) ** (RETAINAGE @ 5%) GRAND TOTAL $491,578.86 FINANCE DEPARTMENT ACTION PAYMENT TO CONTRACTOR (LINES 5 AND 11) No. 10 $1,125.61 Account 316.000000.020.5940.0076.62.020053 RETAINED AMOUNT (LINE 8) No. 10 $54.17 Account 316.000000.020.5940.0076.62.020053 TOTAL THIS ESTIMATE: $1,179.78 CHARTER 116, LAWS OF 1965 I,THE UNDERSIGNED DO HEREBY CERTIFY UNDER PENALTY OF PERJURY,THAT THE MATERIALS HAVE -N FURNISHED,THE SERVICES RENDERED OR THE LABOR PERFORMED AS DESCRIBED HEREIN, 1FfAT THATIAM THEAUTHORIZCLAIM ISADTO JUST' ,DUEUTHENTIC AND UNPAID ANDCERTIFY OBLIGATIONTO AGAINSTSAIDCLAIM.THE CITY OF RENTON,AND % SIGNED: STATg 04, State of Washington Reg.No.: 04 Department of Revenue — x Audit Procedures&Administration Date: yea PO Box 47474 ''t zees 0 Olympia,Washington 98504-7474 NOTICE OF COMPLETION OF PUBLIC WORKS CONTRACT From: DEPARTMENT USE ONLY City of Renton Assigned To 1055 South Grady Way Renton, WA 98055-2132 Date Assigned Notice is hereby given relative to the completion of contract or project described below. Description of Contract Construction of a new activity building in Tifffany Park Contractor's Name Danneko Construction Phone No. 425-827-3872 Contractor's Address 10436 NE 112th St., Kirkland, WA 98033 Date Work Commenced Date Work Completed Date Work Accepted February 1, 2007 September 24, 2007 October 22, 2007 Surety or Bonding Co. Traveler's Casualty and Surety Company of America Agent's Address CB&MS of WA, Inc., PO Box 75715 , Seattle, WA 98175 Contract Amount: $ 411,900.00 Amount Disbursed: $ 469,001.07 Additions or Reductions: $ 39,655.67 Amount Retained: $ 22,577.79 Sales Tax: $ 40,023.19 Total: $ $491,578.86 Total $ $491,578.86 By (Disbursing Officer) Phone No: The Disbursing Officer must complete and mail THREE copies of this notice to the Department of Revenue,Olympia, Washington 98504- 7474,immediately after acceptance of the work done under this contract. NO PAYMENTS SHALL BE MADE FROM RETAINED FUND until receipt of Department's certificate,and then only in accordance with said certificate. FORM REV 31 0020(12-92) Notice of Completion,Tiffany doe APP .CATION AND CERTIFICATE FOR I ,YMENT City of menton TO OWNER: PROJECT : APPLICATION NO. : FINAL Distribution to : City of Renton Tiffany Park Activity Building — OWNER 200 Mill Avenue South 0 PERIOD TO: — ARCHITECT Renton,WA 98055 0 — CONTRACTOR PROJECT NO. : CAG 06-165 FROM CONTRACTOR: VIA ARCHITECT: Danneko Construction 10436 NE 112th St Kirkland, WA 98033 CONTRACTOR'S APPLICATION FOR PAYMENT CHANGE ORDER SUMMARY ADDITIONS DEDUCTIONS Application is made for payment,as shown below,in connection with the Contract. Change Orders approved in Continuation Sheet is attached. previous months by owner $ 47,215.67 $ (7,560.00) 1. ORIGINAL CONTRACT SUM $ 41 1,900.00 C.O.'s approved this month Number Date Approved 2. Net change by Change Orders $ 39,655.67 ' $ - $ _ 3. CONTRACT SUM TO DATE $ 451,555.67 (Line 1 +or-Line 2) TOTALS $ 47,215.67 $ (7,560.00) 4. TOTAL COMPLETED&STORED TO DATE $ 451,555.67 Net changes by Change Orders $ 39,655.67 5. RETAINAGE AT 5% $ 22,577.78 The undersigned Contractor certifies that to the best of the Contractor's knowledge,infor- (Based on line 4) mation and belief the Work covered by this Application for Payment has been completed 6. TOTAL EARNED LESS RETAINAGE S 428,977.89 in accordance with the Contract Documents,that all amounts have been paid by the (Line 4 less Line 5) Contractor for Work for which previous Certificates for Payment were issued and payment 7. LESS PREVIOUS CERTIFICATES FOR PAYMENT5 427,948.69 received from the Owner,and that current payment shown herein is now due. (Line 6 from prior Certificate) 8. SUBTOTAL $ 1,029.19 * CONT OR : C"' -` (Line 6 less Line 7) By: .. ''y'.�°-j . < -- --7 C Date: 9. Washington State Sales Tax at 8.9% 96.42 y/e (Based on line 4 less prior certificate's line 4) State of: Washington, County of: King �i1 \ 10. CURRENT PAYMENT DUE $ 1,125.61 Subscribed and swogl.to b,e.f_or, me (Line 8 plus Line 9) this i .Y'�2, day o1 ,it .1:�:A.z..a.'i ,1-`_t'.��. 11. BALANCE TO FINISH,INCLUDING RETAINAGE $ 22,577.78 Notary Public : 'Lyre Ni.,« `ri'-. vvs-cw.l<.�. `: `, (Line 3 less Line 6) My Commission expires : t,..'.;. ;).--), f.)tlo ARCHITECT'S CERTIFICATE FOR PAYMENT AMOUNT CERTIFIED (Attach explanation if amount certified differs from amount applied for) In accordance with the Contract Documents,based on on-site observations and the ARCHITECT: data comprising the above application,the Architect certifies to the Owner that to By: Date: the best of the Architect's knowledge,information and belief the Work has progressed as indicated,the quality of the Work is in accordance with the Contract This Certificate is not negotiable. The AMOUNT CERTIFIED is payable only Documents,and the Contractor is entitled to payment of the AMOUNT CERTIFIED. to the Contractor named herein. Issuance,payment and acceptance of payment are without prejudice to any rights of the Owner or Contractor under this Contract. AIA Document G703' - 1992 Continuation Sheet AIA Document G702,APPLICATION AND CERTIFICATION FOR PAYMENT, APPLICATION NO:FINAL containing Contractor's signed certification is attached. In tabulations below,amounts are stated to the nearest dollar. APPLICATION DATE:09/02/2007 Use Column I on Contracts where variable retainage for line items may apply. PERIOD TO:08/24/2007 ARCHITECT'S PROJECT NO: A B C D E F G H I WORK COMPLETED TOTAL MATERIALS ITEM SCHEDULED FROM PRESENTLY COMPLETED BALANCE TO RETAINAGE DESCRIPTION OF WORK PREVIOUS AND STOREDFINISH (IF VARIABLE NO. VALUE THIS PERIOD STORED(NOT APPLICATION TO DATE (G-C) (C-G) RATE) (D+E) IN D OR E) (D+E+F) 00701 3 General Conditions 23,000.00 0.00 0.00 0.00 23,000.00 100.00 % 0.00 0.00 03300 0 Cast-in-Place Concrete 10,000.00 0.00 0.00 0.00 10,000.00 100.00 % 0.00 0.00 03300 1 Concrete Floor Slab 10,000.00 0.00 0.00 0.00 10,000.00 100.00 % 0.00 0.00 04200 0 Unit Masonry 21,000.00 0.00 0.00 0.00 21,000.00 100.00 % 0.00 0.00 05500 0 Metal Fabrications 5,000.00 0.00 0.00 0.00 5,000.00 100.00 % 0.00 0.00 06100 0 Rough Carpentry 35,000.00 0.00 0.00 0.00 35,000.00 100.00 % 0.00 0.00 06202 3 Interior Finish Carpentry 4,000.00 0.00 0.00 0.00 4,000.00 100.00 % 0.00 0.00 06402 3 Interior Architectural Wood 7,000.00 0.00 0.00 0.00 7,000.00 100.00 % 0.00 0.00 07210 0 Thermal Insulation 5,000.00 0.00 0.00 0.00 5000.00 100.00 % 0.00 0.00 07272 6 Fluid Applied Membrane 21,000.00 0.00 0.00 0.00 21,000.00 100.00 % 0.00 0.00 07411 3 Metal Roof Panels 30,000.00 0.00 0.00 0.00 30,000.00 100.00 % 0.00 0.00 07421 3 Metal Wall Panels 20,000.00 0.00 0.00 0.00 20,000.00 100.00 % 0.00 0.00 08111 HM Doors and Frames 10,000.00 0.00 0.00 0.00 10,000.00 100.00 % 0.00 0.00 08511 3 Aluminum Windows&Glazing 20,000.00 0.00_ 0.00 0.00 20,000.00 100.00 % 0.00 0.00 AIA Document G703" - 1992. Copyright ® 1963, 1965, 1966, 1967,1970, 1978, 1983 and 1992 by The American Institute of Architects. All rights reserved. WARNING: This AIA° Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA® Document, or any portion of it, may result in severe civil and cr' nal penalties, will be prosecuted to the maximum extent possible under the law. This draft was ced by AIA software at 21:55:14 on 02/27/2007 under Order No.10002742471 which ,s on 1 12/11/200 is not for resale. - User Note (42 ..259) _ a ( ( ( , 09290 0 Gypsum Board 5,000.00 0.00 0.00 0.00 5,000.00 100.00 % 0.00 0.00 09300 0 Tiling 11,000.00 0.00 0.00 0.00 11,000.00 100.00 % 0.00 0.00 09612 - 3 Concrete Flooring Treatment 4,000.00 0.00 0.00 0.00 4,000.00 100.00 % 0.00 0.00 09911 3 Interior&Exterior Painting 10,000.00_ 0.00 1083.36 0.00 10,000.00 100.00 % 0.00 54.17 10211 3 Toilet Compartments 5,000.00 0.00 0.00 0.00 5,000.00 100.00 % 0.00 0.00 10280 0 Toilet&Bathroom Accessories 8,000.00 0.00 0.00 0.00 8,000.00 100.00 % 0.00 0.00 22100 0 Plumbing Rough-In 41,000.00 0.00 0.00 0.00 41,000.00 100.00 % 0.00 0.00 22400 0 Plumbing Fixtures&Finishes 31,000.00_ 0.00 0.00_ 0.00 31,000.00 100.00 % 0.00 0.00 23300 HVAC Air Distribution 8,000.00 0.00 0.00 0.00 8,000.00 100.00 % 0.00 0.00 26051 9 Electrical Rough-In 31,000.00 0.00 0.00 0.00 31,000.00 100.00 % 0.00 0.00 26510 0 Lighting Fixtures&Finishes 28,000.00 0.00_ 0.00 0.00 24,000.00 100.00 % 0.00 0.00 28311 1 Communications 4,000.00 0.00 0.00 0.00 4000.00 100.00 % 0.00 0.00 31100 0 Excavation 5,900.00 0.00 0.00 0.00 5,900.00 100.00 % 0.00 0.00 Change Order#1 1,252.35 0.00 0.00 0.00 1,252.04 100.00 % 0.00 0.00 Change Order#2 33,373.58 0.00 0.00 0.00 33,373.54 100.00% 0.00 0.00 Change Order#3 (7,560.00), 0.00 0.00 0.00 (7,560.00), 100.00% 0.00 0.00 Change Order#4 8,121.00 0.00 0.00 0,00 8,121.00 100.00% 0.00 0.00 Change Order#5 1,080.00 0.00 0.00 0.00 1,080.00 100.00% 0.00 0.00 Change Order#6 2,327.72 0.00 0.00 0.00 2,327.72 100.00% 0.00 0.00 Change Order#7 730.00 0.00 0.00 0.00 730.00 100.00% 0.00 0.00 GRAND TOTAL $ 451,555.67 0.00 $ 1083.36 $ 0.00 $ 451,555.67 100.0 % $ 0.00 $ 54.17 AIA Document G703"' - 1992. Copyright C 1963, 1965, 1966, 1967,1970, 1978, 1983 and 1992 by The American Institute of Architects. A11 rights reserved. WARNING: This AIA' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA" Document, or any portion of it, may result in severe civil and criminal 2 penalties, and will be prosecuted to the maximum extent possible under the law. This draft was produced by AIA software at 21:55:14 on 02/27/2007 under Order No.1000274247_1 which expires on 12/11/2007, and is not for resale. User Notes: (4286895254) CITY OF RENTON COUNCIL AGENDA BILL AI it: s I Submitting Data: For Agenda of: October 22, 2007 Dept/Div/Board.. Finance & IS Department Staff Contact Michael E. Bailey, Agenda Status Administrator, x6858 Consent X Subject: Public Hearing.. X Correspondence.. 2008 Preliminary and Final Budget Ordinance Resolution Old Business Exhibits: New Business Study Sessions Information Recommended Action: Approvals: • Refer to Committee of the Whole Legal Dept • Set Public Hearing on 2008 Revenue Sources and Finance Dept X Preliminary Budget for November 19, 2007 Other • Set final Public Hearing on proposed 2008 Budget for December 3, 2007 Fiscal Impact: Expenditure Required... Transfer/Amendment Amount Budgeted Revenue Generated Total Project Budget City Share Total Project.. SUMMARY OF ACTION: In compliance with RCW 35.33.051, the proposed 2008 Preliminary Budget will be submitted to the Mayor, City Council, and City Clerk by November 1, 2007. This agenda bill sets the time and place for two public hearings, November 19 and December 3, 2007. The following Ordinances will be presented in November as part of the 2008 Budget public hearing process: 1. 2008 Budget 2. 2008 Property Tax 3. Proposed Fees and Rate ordinances (prepared by departments implementing fees/rate changes.) STAFF RECOMMENDATION: Set public hearing dates of November 19 and December 3, 2007, to consider the 2008 Budget, and subsequently adopt the ordinances necessary to finalize the 2008 Budget. C:\DOCUME-1\BWalton\LOCALS--1\Temp\2007_Preliminary 2008 Budget Hearings_.doc CITY OF RENTON COUNCIL AGENDA BILL AI#: r:' 1 J Submitting Data: For Agenda of: 10/22/07 Dept/Div/Board.. Hearing Examiner Staff Contact Fred J. Kaufman, ext. 6515 Agenda Status Consent X Subject: Public Hearing.. Correspondence.. Benson Ridge Preliminary Plat Ordinance File No. LUA-07-056, PP, ECF Resolution Old Business Exhibits: New Business Hearing Examiner's Report and Recommendation Study Sessions Information Recommended Action: Approvals: Legal Dept Council Concur Finance Dept Other Fiscal Impact: Expenditure Required... N/A Transfer/Amendment Amount Budgeted Revenue Generated Total Project Budget City Share Total Project SUMMARY OF ACTION: The hearing was held on September 4, 2007. The Hearing Examiner's Report and Recommendation on the Benson Ridge Preliminary Plan was published on September 20, 2007. The appeal period ended on October 4, 2007. No appeals were filed. STAFF RECOMMENDATION: Approve the Benson Ridge Preliminary Plan as outlined in the Examiner's Report and Recommendation. Rentonnet/agnbill/ bh September 20, 2007 •,,4410.,, OFFICE OF THE HEARING EXAMINER CITY OF RENTON Minutes OWNERS: Steve Pelton 3020 Issaquah-Pine Lake Rd SE, #256 Sammamish, WA 98075 Ray Sled 3401 Benson Dr S Renton,WA 98055 APPLICANT: Evergreen Home Investments 3020 Issaquah-Pine Lake Rd SE, #256 Sammamish,WA 98075 CONTACT: Jim Hanson Hanson Consulting 17446 mallard Cove Lane Mt. Vernon, WA 98274 Benson Ridge Preliminary Plat File No.: LUA 07-056, PP, ECF Now LOCATION: 3401 Benson Dr S and 3451 Cedar Ave S SUMMARY OF REQUEST: Approval for subdivision of two parcels of land totaling 1.72 acres into lots suitable for single-family residential development and one tract. SUMMARY OF ACTION: Development Services Recommendation: Approve subject to conditions DEVELOPMENT SERVICES REPORT: The Development Services Report was received by the Examiner on August 28, 2007. PUBLIC HEARING: After reviewing the Development Services Report, examining available information on file with the application, field checking the property and surrounding area; the Examiner conducted a public hearing on the subject as follows: MINUTES The following minutes are a summary of the September 4, 2007 hearing. The legal record is recorded on CD. Nifty, The hearing opened on Tuesday, September 4, 2007, at 9:05 a.m. in the Council Chambers on the seventh floor of the Renton City Hall. Parties wishing to testify were affirmed by the Examiner. Benson Ridge Preliminary Plat File No.: LUA-07-056, PP, ECF September 20, 2007 Page 2 The following exhibits were entered into the record: Exhibit No. 1: Yellow file containing the original Exhibit No. 2: Neighborhood Detail Map application,proof of posting,proof of publication and other documentation pertinent to this request. Exhibit No. 3: Zoning Map Exhibit No.4: Site Conditions (aerial photograph) Exhibit No. 5: Site Plan Exhibit No. 6: Tree Inventory Exhibit No. 7: Landscape Plan Exhibit No. 8: Aerial Photograph of site The hearing opened with a presentation of the staff report by Elizabeth Higgins, Senior Planner, Development Services, City of Renton, 1055 S Grady Way, Renton, Washington 98055. The project consists of two tax parcels that were developed during the 50's and 70's. The properties total approximately 1.72 acres located in the R-8 zone. The Comprehensive Plan designation is Single-Family Residential. The Environmental Review Committee issued a Determination of Non-Significance—Mitigated with 6 mitigation measures. No appeals were filed. The original Geotechnical Report did not include the entire site, a letter from the Geotech Engineer has been requested to verify the recommendations of their original report. The construction would be required to adhere to the most recent Department of Ecology Stormwater Management Manual for Temporary Erosion and Sedimentation Control plan requirements. The project would further comply with the 2005 King County Surface Water Design Manual. Traffic, Fire, and Parks mitigation fees have been assessed on this project. The proposal is to subdivide the two parcels into 9 lots with an average lot size of 8,720 square feet. Due to the critical areas and irregular shape of the parcels,the lots are rectangular in shape with some of them being very irregular in shape. Access would come off of Benson Drive and an access easement on the east side of the property to access Lot 2. There would be a pipestem lot that would provide access to Lot 9 in the southwest corner. Lot 7 would have access from an easement that was granted with the development of the Winsper development, via what is known as Cedar Avenue. The project does meet the requirements of the Comprehensive Plan with regards to the Community Design Element, Housing Element, and the Land Use Element. After deductions,the proposed development would have a net density of 6.1 dwelling units per acre,which is within the allowable density range. Each lot would have enough space to meet the required setbacks. However, the setbacks were not shown on the preliminary plat plan and they have been asked to include the setbacks on the final plat plan. The project would require landscaping along Benson Drive, the public streets and along the private access easement. In addition two trees would be required on each lot. Approval of a detailed landscape plan will be required prior to recording the final plat. Benson Ridge Preliminary Plat File No.: LUA-07-056, PP, ECF September 20,2007 Page 3 The project further meets the subdivision regulations for lot arrangement, lot size, shape and orientation with the exceptions of the irregular shapes of some of the lots. The radius of the corner lots is in compliance. Access, as proposed, appears to be the most likely to ensure the highest safety to pedestrians and vehicles. The topography is steepest on the west side where South 34th Street ends. There are slopes from Benson down to South 34th that are approximately 23%. The project was in compliance with the regulations regarding a Hillside Subdivision. The site is located within the boundaries of the Renton School District and they would be able to accommodate the proposed 3 additional students. Jim Hanson, 17446 Mallard Cove Lane,Mt. Vernon, WA 98274 stated that the applicant was in agreement with the City Staff and would further like to provide some sort of walkway connection between 34th Street and the new City street. The storm drain would be a vault located closer to 34th Street at the end of the right-of-way that could then be incorporated with a walkway, the construction drawings are not yet completed. The fire turnaround at the end of the street proposes that both legs would be inside the north side of Tract A, south side and the radius of both easement. They will provide the City with a drawing showing the entire portion of the turnaround. The landscape drawing being shown today is an older version. The newer version on the board show very little difference other than the landscaping along the access easement is not shown on the revised plan. The City does have a tree plan and trees are shown along Benson, the existing trees along the perimeter of the property'saw be saved and so the revised landscape plan would include a lot of natural landscaping. A through street from 34th Street has been studied by both owners of the property, if a street was built at a 15% grade connecting 34th to Benson there would be in excess of 12 feet of retaining walls on both sides which would prohibit access to those abutting lots from the new street. It was therefore,recommended by City Staff to not make that connection. A water availability letter has been received from Soos Creek. Kayren Kittrick, Development Services stated that Benson Road is a state owned and controlled route. Previously there existed a large driveway and that would be moved to a spot with better visual and a better location and did not add an access. The final design is subject to review by both Kayren's staff and the Fire Department, any turning radii would have to meet the standards. It might make sense to make the entire hammerhead a public access road and have it dedicated to the City. The City would then be in the control of the maintenance and ensure that the Fire Department would be satisfied. The Examiner called for further testimony regarding this project. There was no one else wishing to speak, and no further comments from staff. The hearing closed at 9:49 a.m. FINDINGS, CONCLUSIONS &RECOMMENDATION Having reviewed the record in this matter, the Examiner now makes and enters the following: Benson Ridge Preliminary Plat File No.: LUA-07-056, PP, ECF September 20, 2007 Page 4 FINDINGS: 1. The applicant,Evergreen Home Investments, filed a request for a Preliminary Plat approval. 2. The yellow file containing the staff report,the State Environmental Policy Act(SEPA) documentation and other pertinent materials was entered into the record as Exhibit#1. 3. The Environmental Review Committee(ERC), the City's responsible official issued a Determination of Non-Significance -Mitigated(DNS-M). 4. The subject proposal was reviewed by all depaituients with an interest in the matter. 5. The subject site is located 3401 Benson Drive South and 3451 Cedar Avenue South. The two lots that make up the subject site are located on the west side of Benson Drive South(aka SR 515). The property line dividing the two lots generally aligned with South 34th Street. 6. The map element of the Comprehensive Plan designates the area in which the subject site is located as suitable for the development of single-family uses, but does not mandate such development without consideration of other policies of the Plan. 7. The subject site is currently zoned R-8 (Single Family- 8 dwelling units/acre). 8. The subject site was annexed to the City with the adoption of Ordinance 4476 enacted in October 1994. *4400 9. The subject site is approximately 1.72 acres or 74,862 square feet. The subject site is irregularly shaped with its eastern property line following the angle or slight curved alignment of SR-515. Its western property line jogs to the east near the center of site. 10. Two existing homes that are located on the two lots would be removed if the plat were approved. 11. The subject site slopes downward to the west from approximately 326 feet to 286 feet. The site has an average slope of approximately 23 percent, which bring the site under the Hillside Subdivision regulations. The site contains slopes up to and possibly exceeding 40 percent. These slopes would be preserved in Tract A. 12. A tree inventory identified 127 trees on the subject site. Approximately 17 percent of the trees or approximately 22 trees would be removed to accommodate development if the plat is approved. 13. The applicant proposes dividing the subject site into nine(9) lots and one tract,Tract A. A new generally east to west access road will enter the plat from Benson(SR 515) and run west to a deadend hammerhead turnaround. Lots will be arranged north and south of this road. Proposed Lots 3 and 4 would be directly north of the new road with Proposed Lots 5 and 6 directly south. Proposed Lots 1 and 2, located at the north end of the plat,would be accessed from the hammerhead. Similarly, Proposed Lots 8 and 9 would be accessed from the hammerhead but south of the roadway. Proposed Lot 7 would be located in the southeast corner of the plat with its access across third party property on an existing easement through the Winsper Plat. Tract A, the steep slope, open space tract, would abut the western end of the new deadend roadway. Need 14. The lot layout while described above is hard to visualize. The plat is skewed by its irregular shape and limited access potential. Some of the lots are rectangular and perpendicular to the roadway while some Benson Ridge Preliminary Plat File No.: LUA-07-056, PP, ECF September 20, 2007 Page 5 are irregular trapezoids with odd easements or shared driveways. The proposed lots range in size from approximately 4,851 square feet to 8,584 square feet. 15. While the new roadway would generally be aligned with the eastward extension of South 34th Street, the steep topography at the western edge of the plat presents practical difficulties in extending the roadway into the plat. The option was to create a roadway that intersects Benson(SR 515)to provide most of the access to the subject site. The state has reviewed the proposed access to Benson(SR 515). Staff has recommended that there be no direct access to Benson from any individual lot. As noted five of the lots will gain their access via easement driveways. Staff has reviewed the access and the proposed hammerhead but there were some potential setback issues associated with whether the north and south arms of the hammerhead should be part of the public road or part of the easements. 16. The subject site is located within the Renton School District. The project is expected to generate approximately 5 school age children or 3 new students considering the current two homes on the subject site. These students would be spread across the grades and would be assigned on a space available basis. 17. The density for the plat would be 6.1 dwelling units per acre after subtracting sensitive areas (steep slopes: 3,553 square feet) and roadways (6,710 square feet)from the total acreage. 18. The development will increase traffic approximately 10 trips per unit or approximately 70 trips for the 7 new single-family homes. Approximately ten percent of the trips, or approximately 7 additional peak hour trips will be generated in the morning and evening. 19. Stormwater will be routed to a vault(the original staff report indicated it would be a pond on Tract A). The ERC required compliance with the 2005 King County Manual, Level 2 and also water quality treatment. 20. Sewer will be provided by the City. Domestic water will be provided by the Soos Creek Water District, which apparently has provided a letter showing water availability. CONCLUSIONS: 1. The proposed plat appears to serve the public use and interest. The division will create some odd shaped lots and some less than standard easement driveways but this is due both the irregular shape of the parcel as well as limitations on access due to the parcel's location along a state road,Benson(SR 515). 2. The re-division of these two lots into nine lots will meet the goals and policies of the City to increase density in urban areas. It will also create additional housing opportunities for those seeking detached single-family options. Redevelopment of the site with nine homes will also increase the tax base of the City and help offset some of the impacts of the development on the City. Additionally, the ERC imposed mitigation fees to help offset impacts on particular services of the City including parks, emergency services and transportation. 3. The applicant will have to comply with landscaping requirements along streets and in front yards of all the homes as required by code. liare 4. The entire hammerhead turning areas, subject to staff review, should be in the public domain since four interior homes will take their access from this roadway configuration and emergency access is Benson Ridge Preliminary Plat File No.: LUA-07-056,PP, ECF September 20, 2007 Page 6 dependent on the turnaround areas. The lots and building envelopes may be altered as necessary to accommodate public ownership of the turnaround and appropriate setbacks from the roadway. Appropriate setback is already required from easements in any event. 5. In conclusion,the City Council should approve the Preliminary Plat subject to the conditions noted below. RECOMMENDATION: The City Council should approve the Preliminary Plat subject to the following conditions: 1. Pedestrian access shall be provided across Tract A from the new public street to the end of the public street to the west, South 34th Street. The width and alignment of this walkway shall be approved by the Development Services Division prior to issuance of a construction permit. The walkway shall be constructed prior to recording the Final Plan. The maintenance of the walkway shall be the responsibility of the homeowner's association. 2. A detailed landscape plan shall be submitted to the Development Services Project Manager for review and approval prior to final plat recording. 3. A homeowners' association shall be created concurrently with the recording of the final plat in order to establish maintenance responsibilities for all shared improvements, including,but not limited to landscaping outside lot boundaries,Tract A, and the pedestrian walkway to the property line. A draft of the document shall be submitted to the City of Renton Development Services Division for review and approval by the City Attorney and Property Services section prior to recording of the final plat. 4. A plan of the preliminary plat shall be submitted to the Development Services Division for review indicating the required setbacks for each lot prior to the issuance of construction permits. 5. A note shall be recorded on the face of the plat prohibiting access to lots directly from Benson Dr. S. 6. The applicant shall comply with the conditions imposed by the ERC. 7. The entire hammerhead turning area, subject to staff review, shall be in the public domain and lots may be altered to accommodate this condition. ORDERED THIS 20th day of September 2007. Yom---- � r FRED J.KAUFMAN HEARING EXAMINER Benson Ridge Preliminary Plat File No.: LUA-07-056,PP, ECF September 20,2007 Page 7 Niveme TRANSMITTED THIS 20th of September 2007 to the parties of record: Elizabeth Higgins Kayren Kittrick Steve Pelton 1055 S Grady Way 1055 S Grady Way 3020 Issaquah-Pine Lake Rd SE#256 Renton, WA 98055 Renton,WA 98055 Sammamish,WA 98075 Ray Sled Jim Hanson 3401 Benson Dr S Hanson Consulting Renton,WA 98055 17446 Mallard Cove Lane Mt. Vernon,WA 98274 TRANSMITTED THIS 20th day of September 2007 to the following: Mayor Kathy Keolker Mark Peterson,Fire Jay Covington, Chief Administrative Officer Larry Meckling, Building Official Julia Medzegian, Council Liaison Planning Commission Gregg Zimmerman, PBPW Administrator Transportation Division Alex Pietsch, Economic Development Utilities Division Jennifer Henning, Development Services Neil Watts,Development Services Stacy Tucker,Development Services Janet Conklin, Development Services Renton Reporter Pursuant to Title IV, Chapter 8, Section 100Gof the City's Code, request for reconsideration must be filed in writing on or before 5:00 p.m., October 4,2007. Any aggrieved person feeling that the decision of the Examiner is ambiguous or based on erroneous procedure, errors of law or fact, error in judgment, or the discovery of new evidence which could not be reasonably available at the prior hearing may make a written request for a review by the Examiner within fourteen(14) days from the date of the Examiner's decision. This request shall set forth the specific ambiguities or errors discovered by such appellant, and the Examiner may, after review of the record, take further action as he deems proper. An appeal to the City Council is governed by Title IV, Chapter 8, Section 110,which requires that such appeal be filed with the City Clerk, accompanying a filing fee of$75.00 and meeting other specified requirements. Copies of this ordinance are available for inspection or purchase in the Finance Depac tment, first floor of City Hall. An appeal must be filed in writing on or before 5:00 p.m., October 4,2007. If the Examiner's Recommendation or Decision contains the requirement for Restrictive Covenants,the executed Covenants will be required prior to approval by City Council or final processing of the file. You may contact this office for information on formatting covenants. The Appearance of Fairness Doctrine provides that no ex parte(private one-on-one) communications may occur concerning pending land use decisions. This means that parties to a land use decision may not communicate in private with any decision-maker concerning the proposal. Decision-makers in the land use process include both the Hearing Examiner and members of the City Council. Benson Ridge Preliminary Plat File No.: LUA-07-056, PP, ECF September 20, 2007 Page 8 *40100 All communications concerning the proposal must be made in public. This public communication permits all interested parties to know the contents of the communication and would allow them to openly rebut the evidence. Any violation of this doctrine would result in the invalidation of the request by the Court. The Doctrine applies not only to the initial public hearing but to all Requests for Reconsideration as well as Appeals to the City Council. Project Location: 3401 Benson Dr S and 3451 Cedar Ave S ' Eza.„ ;.,,t ,,1 ..,---J.7,7.- r SWIM 5 T. ' E1�S T�f M 'Lli:. *4461 AI 49 ' tl � iIR1i k , t- s �,�, ( �.�� �. , tit ,,',11,,,N-41,,,,,,.. ,-..:,,,,, ---,' is;, M 1;t:::::1.— goo : u-iit:ri ,,,,,-;4;-.5 s,,. illi-,- i .., SITE h S _.'a.,o . .,. "Note: "applicant"is the project proponent and applicant for the current land use action. References to future responsibilities of the "applicant"should be interpreted to mean future landowner,developer,or project proponent. Development approvals and conditions of approval are associated with the project/property and not individuals. G4 - 20 T23N R5E W 1/2 WI WP 11 __. - -.--7 • irff /1-----7 • r)•/ . 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' o `e 1 C 3 CRONES & ASSOC. 179.19' ' ll ' '' Q I—N— __ _____ ______ --— TN779•26w ,_ ,_ 1 Lb ti4:......t.11... ___....L._,, ._,,,, ••••.,_......e0.1/!0•32-ESoco.e.) 12 °-' _ F1'is ' _ 144), 1 A LAND SURVEYORS - ---_,.. ..- i"-.12""2 4`-1'...1.1 "... \ e, l''.7 " 13000 1900i AVE E 6tarr,ME 11,110,2(AZST 442-4930 -J nor 425.4,72-39.1.1 0 \ \ \ -1 MAIN AVENUE SOUTH - _ _______ , \ As\ t BENSON RIDGE SHORT PLAT Y , . WELLS AVENUE SOUTH TOPOGRAPHY MAP A "' N \ \ ___ _________„ _ z _______ l'' OWN, BY DATE JOB NO. N. CRC , MAY 22,2007 PQM-024-M 7024040 THAT PORTION OF THE _ W__1/4, SW 1/4, SECTION 29 TOWNSHIP 23_ NORTH, RANGE 5_ EAST, W.M. CHID). BY SCALE SHEET 4Re A . 0.441-30 7 Or I CITY OF RENTON COUNCIL AGENDA BILL <. o Submitting Data: Planning/Building/Public Works For Agenda of: Dept/Div/Board.. Transportation Systems Division October 22, 2007 Staff Contact Ryan Zulauf, Airport Manager, Agenda Status x7471 Consent X Subject: Public Hearing.. Correspondence.. AT&T Lease Agreement PAG 001-87, Rate Increase Ordinance and Lease Addendum Resolution Old Business Exhibits: New Business X Issue Paper Study Sessions Addendum to Lease PAG 001-87 Information Recommended Action: Approvals: Legal Dept X Council Concur Finance Dept Other Fiscal Impact: Expenditure Required... Transfer/Amendment Amount Budgeted Revenue Generated $17,287.33 annually Total Project Budget City Share Total Project.. SUMMARY OF ACTION: AT&T leases a right-of-way on the Airport for its fiber-optics line under lease agreement PAG 001-87. Under the provisions of the lease agreement, the City has chosen to adjust the annual lease amount using a current market appraisal study. The annual lease amount will be increased from the current amount of$10,533.14 to $17,287.33, an increase of$6,754.19 annually. The new annual lease amount will be effective November 1, 2007 to October 31, 2012, the expiration date of the lease agreement. STAFF RECOMMENDATION: Approve an increase in the annual lease amount for the AT&T Lease Agreement, PAG 001-87, and authorize the Mayor and City Clerk to sign the lease addendum. II:\File Sys\AIR-Airport,Transportation Services Division\03 Projects\Ol Tasks\Agenda Bills\AT&T Rate Increase 2007\AT&T Rate Increase Ag Bill.doc C.)rc,Y O PLANNING/BUILDING/ PUBLIC WORKS DEPARTMENT sfP� MEMORANDUM DATE: October 22, 2007 TO: Toni Nelson, Council President Members of the Renton City Council VIA: ,i'Kathy Keolker, Mayo FROM: Gregg Zimmerman administrator STAFF CONTACT: Ryan Zulauf, Airport Manager(x7471) SUBJECT: AT&T Lease Agreement PAG 001-87, Rate Increase and Lease Addendum ISSUE: Should the City increase the annual ground lease amount for the lease agreement with the AT&T Corporation? RECOMMENDATION: Approve an increase in the annual lease amount for the AT&T Lease Agreement, PAG 001-87, and authorize the Mayor and City Clerk to sign the lease addendum. BACKGROUND SUMMARY: AT&T leases a right-of-way on the Airport for its fiber-optics line, under lease agreement, PAG 001-87. Under the provisions of the lease agreement, the City has chosen to adjust the annual lease amount using a current market appraisal study. The City gave AT&T 30 days notice of the impending lease amount adjustment. On October 3, AT&T gave its verbal approval of the use of the market appraisal as the method used in calculating the adjustment to the lease amount. The annual lease amount will be increased from the current annual rent of$10,533.14, to $17,287.33, an increase of$6,754.19, annually. The new annual lease amount will be effective November 1, 2007 to October 31, 2012, the expiration date of the lease agreement. cc: Peter Hahn,Deputy PBPW Administrator—Transportation Ryan Zulauf, Airport Manager Connie Brundage,Transportation Administrative Secretary Susan Campbell-Hehr/Carolyn Currie,Airport Secretary Nliture File H\File Sys\AIR-Airport,Transportation Services Division\03 Projects\O1 Tasks\Agenda Bills\AT&T Rate Increase 2007\AT&T Rate Increase Issue Paper doc PAG 001-87 Addendum# ADDENDUM TO PROPERTY LEASE AGREEMENT *6110 (City of Renton to AT&T Corporation) THIS ADDENDUM to Property Lease Agreement PAG 001-87, is effective as of the date of execution by the City of Renton, as indicated on the last page of this addendum. RECITALS: WHEREAS, the AT&T Corporation has a Property Lease Agreement with the City of Renton, PAG-001-87, executed on October 21, 1987; and WHEREAS, the property lease is for a fifteen foot wide corridor along AT&T's fiber optic line, and per section 17, of the original lease, AT&T "will pay an annual fee to the City in the amount of 33% of the official lease rate for the current year." WHEREAS, on November 1, 2002, the land rental rate for the approximately 91,905 square feet of land area leased by the AT&T Corporation was determined to be $0.3473 per square foot per year and continuing until October 31, 2007; and WHEREAS, on November 1, 2007, and for the ensuing five (5)year period, the land rental rate will be adjusted, using a market appraisal study that was conducted on the Airport property, to a rate of$0.57 per square foot per year for the 91,905 square feet of leased area, resulting in an annual rental amount of$17,287.33 (91,905 x $0.57 x 0.33), and continuing until October 31, 2012; and NOW, THEREFORE, IT IS HEREBY AGREED AND COVENANTED BY AND BETWEEN THE CITY OF RENTON AND AT&T CORPORATION AS FOLLOWS: WITNESSETH: 1. Lessor and Lessee agree that the market appraisal study determined that the annual ground rate is to be increased from $0.3473 to $0.57 per square foot per year. 2. The Lessor and Lessee do hereby agree to an annual land rent of$17,287.33 (91,905 x 0.57 x 0.33 = 17,287.33) for the 91,905 square feet identified in Property Lease Agreement PAG 001-87. 3. Lessor and Lessee do hereby agree that the annual land rent rate in Paragraph 2 shall remain in effect until October 31, 2012, and effective as of that date the rental rate shall automatically be readjusted by and between the parties using the increase of the Consumer Price Index, and for each five (5) year period thereafter. Minimum base rental for any period shall not be less than the current annual rental of$17,287.33. Property Lease Agreement 001-87 1 City of Renton to AT&T Corporation PAG 001-87 Addendum# 4. Lessor and Lessee do hereby further agree that the Consumer Price Index information to be used for rental adjustments shall be the Consumer Price Index-Urban (CPI-U) then in effect for all urban consumers, as published by the US Department of Labor for the Seattle-Tacoma Metropolitan Area. 5. Lessor and Lessee do hereby further agree that at least thirty(30) days prior to the Rental Adjustment Date either party shall, if they desire to adjust the base land rental rate for the ensuing five (5) year period by a means other than the Consumer Price Index-Urban, provide to the other party a written request for readjustment of the rental rate pursuant to RCW 14.08.120(5). 6. All other terms and conditions of the original Property Lease Agreement shall remain in full force and effect. AT&T Corporation CITY OF RENTON a Washington Corporation a Municipal Corporation Kathy Keolker Mayor Nrr Title Bonnie Walton City Clerk Date Approved as to legal form City Attorney .r Property Lease Agreement 001-87 2 City of Renton to AT&T Corporation CITY OF RENTON COUNCIL AGENDA BILL AI a: O® / s Submitting Data: Planning/Building/Public Works For Agenda of: Dept/Div/Board.. Transportation Systems October 22, 2007 Staff Contact Juliana Fries, x7232 Agenda Status Consent X Subject: Public Hearing.. Sounder Transit Tukwila Station Correspondence.. Regional Mobility Grant Program State Funding Ordinance Agreement Resolution X Old Business Exhibits: New Business X Issue Paper Study Sessions Regional Mobility Grant Program State Funding Information Agreement Resolution (forthcoming) Six-Year 2008-2013 TIP Project Sheet Recommended Action: Approvals: Legal Dept X Council Concur Finance Dept X Other Fiscal Impact (Fund 317.012239) Expenditure Required... Total Transfer/Amendment Amount Budgeted $5,722,000 (2007) Revenue Generated $ 2,500,000 Total Project Budget $ 54,728,648 City Share Total Project ... $ 0 match required SUMMARY OF ACTION: The Washington State Department of Transportation (WSDOT)has awarded the City of Renton and the City of Tukwila a Regional Mobility Grant in the amount of$5,500,000. Other project partners include Sound Transit, King County Metro, BNSF, Amtrak, and The Boeing Company. The project is to provide a permanent multi-modal transit station to be served by Sounder Commuter Rail, Amtrak Cascades Intercity Rail, and as a regional transit center for bus and rail connections with a 400-stall surface parking lot. Although, Sound Transit is the lead agency for constructing the permanent station, the City of Renton will use approximately$2,500,000 of the grant funding for constructing intermodal connections, such as roadway improvements and non-motorized connections, to provide accessibility to the station and adjacent land uses. These improvements will be constructed as part of the City's SW 27th Street/Strander Boulevard Connection Project. The remaining grant funding will be used to construct other project elements of the Sounder Transit Tukwila Station, such as platforms with canopies, a 400-stall surface parking lot, ticket vending machines, and bicycle lockers and racks. STAFF RECOMMENDATION: Approve the interlocal agreement with the Washington State Department of Transportation for a $5,500,000 grant and adopt the resolution authorizing the Mayor and City Clerk to sign the agreement. 41111.1 H:\File Sys\TED-Transportation Engineering&Design\TED-01 -Financial-Budget-CIP\Strander Mobility grant.doc `S O PLANNING/BUILDING/ r, , PUBLIC WORKS DEPARTMENT • NT4� MEMORANDUM DATE: October 22, 2007 TO: Toni Nelson, Council President Members of the Renton City Council VIA: ,�-- Kathy Keolker, May FROM: Gregg Zimmerm , 1 PW Administrator STAFF CONTACT: Juliana Fries, Transportation Program Development Coordinator(x7232) SUBJECT: Sounder Transit Tukwila Station Regional Mobility Grant Program State Funding Agreement ISSUE: Should the City of Renton sign the Public Transportation - Regional Mobility Grant *tow Program State Funding Agreement with the Washington State Department of Transportation (WSDOT) to accept grant funding for the Sounder Transit Tukwila Station Project? RECOMMENDATION: Approve an interlocal agreement with the Washington State Department of Transportation for a $5,500,000 grant and adopt the resolution authorizing the Mayor and City Clerk sign the agreement. BACKGROUND: The Washington State Department of Transportation (WSDOT) has awarded the City of Renton and the City of Tukwila a Regional Mobility grant in the amount of$5,500,000. Other project partners include Sound Transit, King County Metro, BNSF, Amtrak, and The Boeing Company. The project is to provide a permanent multi-modal transit station to be served by Sounder Commuter Rail, Amtrak Cascades Intercity Rail, and a regional transit center for bus and rail connections and a 400-stall surface parking lot. Although Sound Transit is the lead agency for constructing the permanent rail station, the City of Renton will use approximately$2,500,000 of the grant funding for constructing ___ intermodal connections such as roadway improvements and non-motorized connections Toni Nelson,Council President Members of the Renton City Council October 22,2007 Page 2 to provide accessibility to the station and adjacent land uses. These improvements will be constructed as part of the City's SW 27th Street/Strander Boulevard Connection Project. The remaining grant funding will be used to construct other project elements of the Sounder Transit Tukwila Station, such as platforms with canopies, a 400-stall surface parking lot, ticket vending machines, and bicycle lockers and racks. There is no City match required for the grant. Attachments cc: Peter Hahn,Deputy Administrator PBPW-Transportation Juliana Fries,Transportation Program Development Coordinator Rob Lochmiller,Transportation Project Manager Nancy Violante,FIS Grant Accountant Constance Brundage,Transportation Systems Administrative Secretary 'grid H:\Division\Transport\Planning\Juliana\issue papers\[P Strander-SW 27th Mobility Washington State WI Department of Transportation 1w' Agency and Address Public Transportation City of Renton Regional Mobility Grant Program 1055 South Grady Way State Funding Agreement Renton, WA 98057 Work by Public Agencies Project Title Agreement Number Tukwila Station GCA5264 Location and Description of Work(See also Exhibit"A") The 1-5 corridor from Tukwila to Seattle is severely congested, parking for high capacity transit is very limited and there are few inter-modal connections. This Tukwila Station project will construct: A permanent rail station (two accessible Participating Percentage platforms with canopies)to be served by Sounder Commuter Rail and Amtrak 25.59% Cascades Intercity Rail and a regional Transit Center for bus/rail connections; A 400 stall surface parking lot with inter-modal connections such as roadway improvements and non-motorized connections to help accessibility to the station and the existing adjacent land uses; Ticket vending machines and Maximum Amount Authorized bicycle lockers and racks. This project will provide needed high capacity transit facilities, integrating regional rail and bus services and connecting to major $5,500,000.00 employment centers. Funds will be used to construct the Tukwila commuter rail and intercity rail station, a 400-stall surface parking lot, multi-agency transit center and other inter-modal improvements to improve access to the station. ,,, Project Number The cash flow in Exhibit B (as provided by the project sponsor) supersedes the cash flow in Exhibit A. 2007-B-RMG-004 This AGREEMENT is made and entered into between the STATE OF WASHINGTON,Department of Transportation,hereinafter called the"STATE," and the above named organization,hereinafter called the"AGENCY",collectively referred to as the"PARTIES"and individually referred to as the "PARTY". WHEREAS, pursuant to RCW 47.01.330 the Office of Transit Mobility,hereinafter referred to as the OTM,was established within the STATE to maximize opportunities to use public transortation to improve the efficiency of transportation corridors; WHEREAS, pursuant to RCW 47.66.030 a regional mobility grant program has been established to aid local governments in funding projects such as intercounty connectivity service,park and ride lots,rush hour transit service,and capital projects that improve the connectivity and efficiency of our transportation system; WHEREAS, pursuant to RCW 47.66.040 the department shall select projects based on a competitive process consistent with local,regional,and state transportation plans,local transit development plans and local comprehensive land use plans; WHEREAS, pursuant to chapter 44.48 RCW the Legislative Evaluation and Accountability Program(LEAP)Committee provides analysis and monitoring of state agency expenditures,budgets and related fiscal matters and consults with legislative committees; WHEREAS, pursuant to the Conference Committee Report for Engrossed Substitute House Bill 1094,Laws of 2007 at Section 224(4)the legislature appropriated funds from the STATE multimodal transportation account for the regional mobility grant projects selected by the STATE and as set forth in the LEAP Transportation Document 2007-B,2007-2009 Regional Mobility Grant Program as developed April 20,2007; WHEREAS,the AGENCY is planning the work shown in the caption space above,and in connection therewith,the AGENCY has requested financial assistance for the project or program;and WHEREAS,the AGENCY has requested funds for the above shown project or program,which has been selected by the STATE as a project for funding assistance to be provided as set forth in the LEAP Transportation Document 2007-B,2007-2009 Regional Mobility Grant Program as developed April 20,2007. NOW THEREFORE, in consideration of the terms,conditions,covenants, and performances contained herein,or attached and incorporated and made a part hereof, IT IS MUTUALLY AGREED AS FOLLOWS: a Funding Sources and Amounts Type of — Work (1) Total (2) Federal (3) State 1 (4) Other (5) Local (6) Other Project Funds Funds Funds(OTM) State Funds Funds Funds PE or Design $1,590,000' $1,590,000 Right of Way $8,376,000 $8,376,000 Construction $11,523,000 $5,500,000 $6,023,000 Total Project Cost/Funding $21,489,000 $5,500,000 $15,989,000 IV General Disputes The AGENCY agrees to perform the above described work in accordance The designated representatives herein under Section V, shall use their with the Project Application / Location and Description of Work attached best efforts to resolve disputes between the PARTIES. If the designated hereto as "Exhibit A", except as otherwise provided herein, and made a representatives are unable to resolve a dispute, the responsible project part of this AGREEMENT. The Project Cash Flow is attached hereto as directors of each PARTY shall review the matter and attempt to resolve it. "Exhibit B",and made a part of this agreement. If the project directors are unable to resolve the dispute,the matter shall be reviewed by the department directors of each PARTY or his or her Plans, specifications, and cost estimates shall be prepared by the designee. The PARTIES agree to exhaust each of these procedural AGENCY in accordance with the current State of Washington Standard steps before seeking to resolve disputes in a court of law or any other Specifications for Road, Bridge, and Municipal Construction and adopted forum. design standards, unless otherwise noted. The AGENCY will incorporate the plans and specifications into the AGENCY's project and if the V AGENCY has not yet advertised the resulting project for bid, thereafter Notification advertise the resulting project for bid,and assuming bids are received and a contract is awarded, administer the contract, provided that if the project Any notice required or permitted to be given pursuant to this is of a size which the AGENCY is authorized to perform with its own forces AGREEMENT shall be in writing, and shall be sent postage prepaid by under the laws of the State of Washington, the AGENCY may proceed U.S. Mail, return receipt requested, to the following addresses unless with its own forces. otherwise indicated by the PARTIES to the AGREEMENT: All work performed under this AGREEMENT shall comply with the To the STATE: Stan Allison applicable provisions of state law. WSDOT Public Transportation Division Office of Transit Mobility II 401 Second Avenue South,Suite 400 Time of Performance Seattle,WA 98104 Subject to the AGREEMENT's other provisions,the period of performance To the AGENCY: of the project shall commence on the date of the execution of this Peter Hahn AGREEMENT, defined as the last date of signature of the AGREEMENT City of Renton by a PARTY or the PARTIES through June 30,2009. 1055 South Grady Way Renton,WA 98057 III Payment The STATE,in consideration of the AGENCY'S having faithfully performed the specific Type of Work as shown above under the caption "Type of Work", shall reimburse the AGENCY for the actual costs of that specific VI Type of Work up to the maximum amount of funding authorized by the Audit STATE(OTM)for that specific Type of Work as set forth above under the caption Funding Sources. The AGENCY will comply with Governmental The AGENCY agrees that an audit may be conducted by the STATE,the Accounting Auditing and Financial Reporting Standards and applicable Washington State Auditors Office,and/or any authorized representative(s). state law and local regulations,policies and procedures. No payment will be made for work done prior to execution of this AGREEMENT. During the progress of the work and for a period not less than six(6)years from the date of final payment to the AGENCY,the records and accounts pertaining to the work and accounting thereof are to be kept available for Partial payments shall be made by the STATE, upon receipt of an invoice inspection and audit by the STATE,the Washington State Auditors Office, from the AGENCY,to cover costs incurred. These payments are not to be and/or any authorized representative(s), and copies of all records, more frequent than one (1) per month. It is agreed that any such partial accounts, documents, or other data pertaining to the project will be payment will not constitute agreement as to the appropriateness of any furnished upon request. If any litigation,claim,or audit is commenced,the item and that,at the time of the final audit,all required adjustments will be records and accounts along with supporting documentation shall be made and reflected in a final payment. The AGENCY agrees to submit a retained until all litigation, claim, or audit finding has been resolved even final bill to the STATE within thirty (30) days after the AGENCY has though such litigation,claim, or audit continues past the six-year retention completed work. period The AGENCY agrees that all costs in excess of the amount authorized and the AGENCY's matching funds shall be the responsibility of the AGENCY. VII X Legal Relations Venue No liability shall attach to the AGENCY or the STATE by reason of For the convenience of the PARTIES to this AGREEMENT, it is agreed entering into this AGREEMENT except as expressly provided herein. that any claims and/or causes of action,growing out of this AGREEMENT NNW" or the project or program with which it is concerned,shall be brought only in the Superior Court for Thurston County. VIII Nondiscrimination XI The AGENCY agrees to comply with all applicable state and federal laws, Termination rules, and regulations pertaining to nondiscrimination and agrees to require the same of all subcontractors providing services or performing The Secretary of the Department of Transportation may terminate this any work using funds provided under this AGREEMENT. AGREEMENT if the funding becomes unavailable or if the Secretary determines that it is in the best interest of the STATE. IX Indemnification and Hold Harmless XII State Review of Project The PARTIES agree to the following: The STATE shall review the project identified in this AGREEMENT as Each of the PARTIES,shall protect,defend,indemnify and save harmless Exhibit A, Project Application/Location and Description of Work,at least the other PARTY, its officers, officials, employees, and agents, while semiannually to determine whether the project is making satisfactory acting within the scope of their employment as such, from any and all progress. If the STATE has awarded the project funds,but the AGENCY costs, claims,judgment, and/or awards of damages(both to persons and does not report satisfactory activity within one year of the grant award,the property),arising out of,or in any way resulting from,each of the PARTY's STATE shall review that project to determine whether the grant should be own negligent acts or omissions. No PARTY will be required to indemnify, terminated. defend,or save harmless the other PARTY if the claim, suit, or action for injuries, death, or damages (both to persons and property) is caused by XIII the sole negligence of the other PARTY. Where such claims, suits, or Final Report andFinal Iection actions result from the concurrent negligence of the PARTIES, the PP indemnity provisions provided herein shall be valid and enforceable only to the extent of a PARTY's own negligence. Each of the PARTIES agrees Within ninety (90) days following the completion of the project and that its obligations under the subparagraph extend to any claim, demand submission of the final billing for the project, a final report and/or final and/or cause of action brought by,or on behalf of,any of its employees or inspection shall be submitted to the Public Transportation Director agents. For this purpose, each of the PARTIES, by mutual negotiation, containing the following information: hereby waives, with respect to the other PARTY only, any immunity that would otherwise be available against such claims under the Industrial Capital Projects Insurance provision of Title 51 RCW. In the event of litigation or other 1. A final inspection is required. action brought to enforce the provisions of this section each PARTY shall bear its own attorney fees and costs. XIV Niorpo This indemnification shall survive the termination of this AGREEMENT. Supplement This AGREEMENT may be modified or supplemented only in writing by both PARTIES. IN WITNESS WHEREOF,the PARTIES hereto have executed this AGREEMENT on the day and year last written below. AGENCY STATE Signature: Signature: Printed Name: Kathy Keolker Printed Name: Kathryn W. Taylor Public Transportation Director Title: Mayor- City of Renton Date: Date: APPROVED AS TO FORM ONLY: By: Susan Cruise Assistant Attorney General tate: June 5,2007 aiso Exhibit A Project Application Location and Description of Work 2007-09 Regional Mobility Grant Initial Report Adak Washington State VW Department of Transportation °roject Title and Date ,ilivi ,akwila Station, October 13, 2006 Lead Agency and Project Manager Total Dollar Amount of Grant Request (Name, address, phone &fax number, email address) $5,500,000 City of Renton — Peter Hahn, Deputy PBPW Administrator—Transportation. 1055 South Grady List Agencies Correspondence on Plan Way, Renton, WA 98057 Consistency Phone: 425.430.7242; Fax: 425.430.7376 MPO/RTPO: Puget Sound Regional Council phahnci.renton.wa.us Transit Agency: Sound Transit City of Tukwila—James Morrow, Director of Public Local Jurisdiction: City of Tukwila, City of Renton Works, 6300 Southcenter Blvd, Ste. 101, Tukwila, WA Other: 98188-8548 Phone: 206.431.3660; Fax: 206.431.3665 jmorrow@u,ci.tukwila.wa.us . Project Partners Sound Transit, King County Metro, BNSF, Amtrak and The Boeing Company Summarize the problem in relation to both the local public transportation system and the broader regional transportation system (include the location and the specific congested corridor or situation). Problem: The 1-5 corridor from Tukwila to Seattle is severely congested, parking for high capacity transit is very limited and there are few intermodal connections. .ummarize how the proposed Grant Project addresses the problem and improves the congested corridor/situation. Solutions: The Tukwila Station project will provide additional high capacity transit in the congested 1-5 corridor. The expected ridership in the Tacoma-Seattle corridor is approximately 14,000 per day, taking a significant number of trips and vehicle miles traveled off the 1-5 corridor. This Tukwila Station project will construct: • A permanent rail station (two accessible platforms with canopies)to be served by Sounder Commuter Rail and Amtrak Cascades Intercity Rail and a regional Transit Center for bus/rail connections. • A 400 stall surface parking lot with intermodal connections such as roadway improvements and nonmotorized connections to help accessibility to the station and the existing adjacent land uses. • Ticket vending machines and bicycle lockers and racks. This project will provide needed high capacity transit facilities, integrating regional rail and bus services and connecting to major employment centers. Annually, the Tukwila Station project is estimated to reduce 364,000 vehicle trips and 3,822,000 vehicle miles traveled. Summarize how the grant funds will be used. Funds will be used to construct the Tukwila commuter rail and intercity rail station, a 400-stall surface parking lot, multi-agency transit center and other intermodal improvements to improve access to the station. Estimate on an annual basis the project's reduction in vehicle miles traveled (VMT); reduction of vehicle trips; and as applicable reduction in person hours of delay. Vehicle Miles Traveled (VMT) Vehicle Trip Person Hours of Delay Reduction Reduction Reduction Per Year 3,822,000 Per Year 364,000 Per Year Summarize how success of the project will be measured and reported. fhe following information will be maintained on the project and its associated transit services: project scope, 7 service levels, capital costs, operation and maintenance costs, and ridership patterns. The budget, schedule and progress of the project will be measured and reported monthly as part of a progress report. _Par 1of Funding Sources and Amounts Type of Work Agencies (1) Total (2) Federal (3) State (4) Other (5) Local (6) Other Performing Project Funds Funds Funds(OTM) State Funds Funds Funds % of Total Funding `' PE or Design a. Local Agency $ 1,590,000 $1,590,000 b. Federal $ - 7.40% of total c. Other $ - d. State(OTM) $ - e. Other State $ - f. Total PE/Design Cost/Funding $ 1,590,000 $ - $ - $ - $1,590,000 $ - (a+b+c+d+e) Right of Way g. Local Agency $ 8,376,000 $8,376,000 h. Federal $ - 38.98%of total i. State(OTM) $ - j. Other State $ - k. Total RAN Cost/Funding $ 8,376,000 $ - $ - $ - $8,376,000 $ - (q+h+i+j) Construction I. Local Agency $ 6,023,000 $6,023,000 m. Federal $ - 53.62%of total n. State(OTM) $ 5,500,000 $5,500,000 o. Other State $ - p. Total CN Cost/Funding $ 11,523,000 $ - $5,500,000 $ - $6,023,000 $ - (l+m+n+o) Capital Equipment q. Local Agency $- 0.00%of total Operations/Services r. Local Agency $- 0.00%of total s. Total Project Cost/Funding $ 21,489,000 $ - $5,500,000 $ - $15,989,000 $ - (f+k+p+q+r) Percentage of Total -- 0.00% 25.59% 0.00% 74.41% 0.00% Cost/Funding Describe the financial plan of the project. 2007-09 Cash Flow(expenditures billed to WSDOT): The cities of Renton and Tukwila and Sound Transit Date Planned have a financing plan and budget for the Tukwila Station project. 9/07 $ The$21.5 million total project cost will be funded through existing local Sound Transit funds and grant funding.The$16 million in 12/07 $ matching funds are secured and included in the adopted Sound 3/08 $ Transit budget and Long Range Financial Plan(audited and approved by the FTA).These matching funds are secured and 6/08 $ available to use specifically for the project included in this 9/08 $ application.The cities of Renton and Tukwila are providing station design review and other assistance for the project. 12/08 $ 3/09 $ 2,750,000 This request for$5.5 million in Regional Mobility grant funding is approximately 26%of the$21.5 million total project cost.Without the 6/09 $ 2,750,000 additional$5.5m in grant funding,the permanent Tukwila Station Total 07-09 $ 5,500,000 cannot be built.The partnership between the three public agencies to build Tukwila Station will help make travel in the Puget Sound region easier,faster and more convenient. Projected Carryover $ TOTAL $ 3,000,000 Outline Project Milestones in table below. For example,include if applicable planning,permitting,right *Noe of way,contract advertisement,contract award,groundbreaking,project progress and completion. Project Milestones Scheduled Milestone Outlook (Describe issues,problems&good news Kent) PE-Environmental 2007 ROW acquisition completed __--_- Construction 2009(5 Project Manager � . � � � J� iO� signature and date ` *se Tukwila Station, Cities of Renton and Tukwila Project Title: Tukwila Station Sponsors: Cities of Tukwila and Renton Partners: Sound Transit, King County Metro, BNSF, Amtrak and The Boeing Company Request: $5.5 million for construction Project Description: This project will construct the Tukwila commuter rail and intercity rail station, a 400-stall surface parking lot, multi-agency transit center and includes other intermodal improvements to improve access to the station. Problem Statement: The 1-5 corridor from Tukwila to Seattle is severely congested, parking for high capacity transit is very limited and there are few intermodal connections. • 1-5, from Tukwila to Seattle, is a regional corridor experiencing significant delay and congestion. 1-5 from Tukwila-Seattle is a "bottleneck" on WSDOT's"chokepoints and bottlenecks" map. The list of bottlenecks and chokepoints states traffic speeds on 1-5 NB near the 1-5/1-90 interchange are frequently under 5 mph in the morning peak commute period, making this location the worst bottleneck in the Puget Sound region. There is no, or very limited, room for roadway expansion in this corridor. Additional capacity must be provided by high capacity transit. • By 2030, there will be over 1,400 daily boardings/alightings expected at Tukwila Station. There is a need for additional parking at the station. • There are limited intermodal connections around the station area. Adjacent to the station is the Boeing Longacres facility, which currently has approximately 10,000-12,000 jobs. Solutions: The Tukwila Station project will provide additional high capacity transit in the congested 1-5 corridor. The project is part of the 82-mile long commuter rail corridor in the Puget Sound region, connecting Lakewood, Tacoma, Seattle, and Everett. The expected ridership in the Tacoma-Seattle corridor is approximately 14,000 per day, taking a significant number of commuters off the 1-5 corridor. This Tukwila Station project will construct: • A permanent rail station (two accessible platforms with canopies) to be served by Sounder Commuter Rail and Amtrak Cascades Intercity Rail. • A regional Transit Center for bus/rail connections. There are five King County Metro bus routes that serve the station. Many vanpools and carpools use Tukwila Station parking. • A 400-stall surface parking lot • Intermodal connections such as roadway improvements and nonmotorized connections to help accessibility to the station and adjacent land uses. • Ticket vending machines. • Bicycle lockers and racks. This project will provide needed high capacity transit facilities by integrating regional rail and bus services, and connecting to major employers such as the Boeing Longacres Industrial Park. Annually, the project is estimated to reduce 364,000 vehicle trips and 3,822,000 vehicle miles traveled. Current Conditions: Sound Transit and Amtrak Cascades currently provide passenger rail service in Tukwila at a temporary wooden platform with limited parking. The cities of Tukwila and Renton approved the construction of the temporary wooden commuter rail platforms to allow Sound Transit to provide commuter rail service as soon as possible. All along, the cities Page 1 of 5 Tukwila Station, Cities of Renton and Tukwila of Tukwila and Renton, and Sound Transit, have been planning for a permanent rail station with increased parking and increased Transit-oriented development (TOD) in the area. The wooden platforms and temporary structures features need to be replaced with a permanent platform. The useful life of the wooden platforms is five (5) years. The permanent Tukwila Station has a useful life of 30 years and will last much longer with proper maintenance. The Tukwila Station project is located adjacent to the Boeing Longacres Industrial Park, where the Boeing Customer Service Training Center(CSTC) is headquartered and there are approximately 10,000-12,000 jobs. The Federal Reserve Bank of San Francisco is currently constructing and will soon open its new Seattle branch headquarters within property on the Boeing Longacres site. This 11-acre, 94,000-square-foot development will employ approximately 100 people. Also, the Federal Aviation Administration (FAA) regional offices are located nearby. The future (year 2030) employment totals in this area are estimated to be between 25,655 and 34,538. System Efficiency/ Quantitative Measure of Effectiveness: Ridership: This request will construct the permanent Tukwila Station and add 400 parking spaces for rail passengers. Tukwila Station is expected to serve over 1,400 boardings and alightings per day by 2030. The project is estimated to reduce 364,000 vehicle trips and 3,822,000 vehicle miles traveled per year. Currently, Sounder runs eight trains (four round trips) every weekday in the South Corridor starting in Tacoma and making stops at Puyallup, Sumner, Auburn, Kent, Tukwila and into Seattle. In 2030, the ridership on the Tacoma-Seattle segment is estimated to be 14,000 per day. Amtrak Cascades also provides service at Tukwila. These trains connect to Portland, '411"9 Oregon. Another two round trips will be added to the Tacoma-Seattle commuter rail line in 2007, including one trip that will be in the reverse commute direction. When all track and signal improvements are made in the corridor, 18 trains per day are planned for the Tacoma-Seattle corridor. Trains will run every half-hour during peak commute hours. Sounder also provides special event service to Mariners and Seahawks home games. Almost 4,600 people rode the Tacoma-Seattle trains for the last Seahawks football game, removing thousands of vehicles from the 1-5 corridor. Travel Time Savings: Sounder commuter rail trains travel at speeds reaching 79 mph and the commuter rail travel time from Tukwila to Seattle is 21 minutes. The bus travel time from Tukwila to Seattle is approximately 30 minutes. Compared to bus service, commuter rail from Tukwila to Seattle would experience average travel time savings of 30%. Reliability: Because Sounder Commuter Rail operates in its own exclusive right-of-way, it will offer more reliable connection than buses or driving alone in the peak period. Commuter rail operates in the 95 - 99% on-time range, which is difficult for buses to achieve, especially during periods of congestion, bad weather, or if there is an accident on 1-5. Because of the reliability of rail service and the travel time savings, thousands of people will be taking transit and not driving on the congested 1-5 freeway. Increased Person Throughput: The Tukwila Station and additional 400 parking spaces will add capacity in the 1-5 corridor. Each comfortable, climate-controlled, restroom-equipped Sounder train car has seating for 140 passengers, including up to four passengers in wheelchairs. Other car amenities include worktables, comfortable seating, surge-protected outlets for laptop Noire Page 2 of 5 • Tukwila Station, Cities of Renton and Tukwila computers, overhead storage, and bicycle storage. A 7-car commuter rail train has a seating capacity for nearly 1,000 persons. With six round trips offered each day in 2007, this is potentially 6,000 commuter rail riders that are not driving on 1-5 each weekday. Improved System Continuities/Gap Closure: The project closes a gap and completes the seven stations planned for within the Tacoma-Seattle commuter rail corridor. Along with improving efficiency and system continuity, this project also includes other intermodal access improvements which remove barriers to accessibility. These improvements include improved roadway access to the station with pedestrian and bicycle connections to the station and the Interurban and Green River Trails. The project also removes barriers to intermodal travel by providing convenient ADA accessible connections to local King County Metro bus service and Amtrak intercity rail, carpool and vanpool connections. The Tukwila Station project supports essential transportation linkages by providing the final station in the Tacoma-Seattle commuter rail corridor and providing a key connection to major employment sites. The project connects the cities of Tukwila and Renton to downtown Seattle, Kent, Auburn, Sumner, Puyallup and Tacoma. The project provides essential connections to major employment centers such as the Boeing Longacres Industrial Park (10,000-12,000 jobs) and downtown Seattle (176,883 jobs). Also, the city of Tukwila has transit supportive land use policies. The Puget Sound Regional Council reports that Tukwila has a population of about 15,000 and supports about 47,000 jobs. By 2020, it is expected to grow by 34,300 jobs. The City of Tukwila's Comprehensive Plan includes objectives for locating rail stations and for multi-modal transfer areas for buses, autos, pedestrians and/or rail. The Manufacturing/Industrial Center section of the Comprehensive Plan states that"Regional proposals for commuter rail and local rapid rail systems that include service to and through Tukwila could also provide travel alternatives for area employees and regional travelers." (Tukwila Comprehensive Plan). This project has had extensive planning work completed. The Tukwila Station project is identified in and consistent with Destination 2030, the region's Metropolitan transportation plan. The project was initially included in the TIP/STIP in June of 1998 as part of the overall Seattle- to-Tacoma Commuter Rail project. The Tukwila Commuter Rail Station project is now specifically identified in the TIP and STIP. The project is included in Sound Move, Sound Transit's transportation plan and the city of Renton and Tukwila's transportation plans. The city of Tukwila is planning for the Tukwila Regional Growth Center to become a high- density, regionally oriented, mixed-use center that will contain fixed-rail transit service and other transit services, and pedestrian improvements. The center will include regional employment, limited mixed-use housing, shopping, offices, hotels, and recreational opportunities for business people, residents and visitors. The plan will build connections between the regional growth center and Sound Transit's commuter and light rail stations and create a multi-modal transit center. The future employment totals in this area are estimated to be between 25,655 and 34,538. This project helps connect Tukwila and Renton to major regional attractions such as Safeco Field, Seahawk Stadium and the Tacoma Dome. Mariner and Seahawk games attract 45,000 and 70,000 people respectively, and the Tacoma Dome hosts many popular events and major concerts. Sound Transit provides special service to Mariner and Seahawk games and major concerts. Those special service trains have standing-room only crowds. The last Seahawk trains carried over 4,600 people to/from the game. Page 3 of 5 Tukwila Station, Cities of Renton and Tukwila *4400, Impact on Congested Corridors: The project improves person throughput on one of the most congested corridors in Washington State. 1-5 in the Tukwila-Seattle area is listed as "bottleneck" in WSDOT's"chokepoints and bottlenecks" map. The list of bottlenecks and chokepoints states that traffic speeds on 1-5 NB near the 1-5/1-90 interchange are frequently under 5 mph in the morning peak commute period, making this location the worst bottleneck in the Puget Sound region. Tukwila Station is expected to serve over 1,700 riders per day in 2030 and will provide an alternative to driving the congested 1-5 freeway. With the Regional Mobility grant funds, the parking at Tukwila Station will increase by 400-stalls. The project is estimated to reduce 728,000 vehicle trips and 7.6 million VMT on the congested 1-5 freeway. Within the project area, 1-5 has a V/C ratio exceeding 1.0, indicating capacity deficiencies and congestion. According to the Puget Sound Congestion Management System Baseline System Performance Report, capacity deficiencies are identified where a v/c of 0.9 is exceeded. On such facilities, drivers would see unstable traffic flows, limited vehicle maneuverability, and disruptions caused by any traffic stream shifts, such as vehicles entering from ramps or changing lanes. In the project vicinity, 1-5 has ten lanes (8 general purpose and 2 HOV) and average daily traffic volumes range from 129,000 to 252,000 vehicles. Peak hour v/c ratios for critical segments along 1-5 range up to 1.05. In the AM and PM peak periods, traffic congestion occurs regularly into downtown Seattle. 1-5 is generally congested in the southbound direction during the afternoon peak hour, particularly on the Southcenter hill and near the I-5/1-405/SR 518 interchange. This Tukwila Station project and commuter rail service will provide an alternative to driving the congested 1-5 corridor. System Integration, Multimodal and Regional Integration: Problem: The I-5 corridor from Tukwila to Seattle is severely congested, parking is limited and there are few intermodal connections. Solution: By constructing Tukwila Station, a key intermodal station will be built to serve a major employment center that includes the Boeing CSTC. The project significantly improves regional transportation congestion issues with cost effective solutions. The project serves multiple modes: Intercity Passenger Rail—Amtrak also uses Tukwila Station for their service to Portland, OR. Bus transit— Providing a transit center for five King County Metro bus routes that serve the station. Carpool/vanpool— Providing parking and kiss & ride facilities for carpools and vanpools. Pedestrian — Providing pedestrian improvements connecting to the Green River and Interurban Trails. Bicycle —The station will include bike lockers/racks. The location of Tukwila Station in relation to the Boeing facility and Green River and Interurban Trails make Tukwila Station one of the stations that is most accessed by nonmotorized modes. (Bicyclists are welcome on commuter rail trains. Tie-down spaces for four bicycles are included on each rail car.) Personal Auto—The project will provide 400 spaces of P&R capacity and roadway improvements to access the station. Freight/Rail—The rail improvements going into the station will also benefit freight rail. Approximately 40-50 freight trains use the Tacoma-Seattle tracks per day. Freight/Trucks—The roadway improvements around the station will benefit trucks serving the nearby Boeing facility. The project connects to statewide and regionally significant highways (1-5 and 1-405), five local and express bus routes, park & ride facilities and regional pedestrian and bicycle facilities. Noce' Page 4 of 5 Tukwila Station, Cities of Renton and Tukwila Tukwila Station is also part of the Amtrak Cascades service from Seattle-to-Portland. Sounder commuter rail also serves Safeco Field and Seahawk/Qwest Stadium and the Tacoma Dome. These special trains have standing room only ridership levels. For each home Seahawk game, approximately 4,600 people rode the train to Qwest Field. Sounder commuter rail service at Tukwila Station is closely integrated with King County Metro bus service. Commuter rail passengers will also be able to connect with light rail service, Washington Station Ferries and ferry service to British Columbia, Amtrak service to Portland, Vancouver B.C. and Chicago, major bike and pedestrian trail systems (Green River Trail, Duwamish River Trail, 1-90 Trail). The Tukwila Station project improves connections to multiple jurisdictions: The Sounder Commuter Rail line travels through the most populated corridor in Washington State. This project supports multiple jurisdictions including: Lakewood, South Tacoma, downtown Tacoma, Sumner, Puyalllup, Auburn, Kent, Tukwila, Renton, Seattle, Mukilteo, Edmonds and Everett. The Tukwila Station project also improves connections to critical job opportunities at Boeing facilities, downtown Seattle and Tacoma and other major employment centers. Financial Commitment: The cities of Renton and Tukwila, and Sound Transit, have a financing plan and budget for the Tukwila Station project. The $21.5 million total project cost will be funded through existing local Sound Transit funds and grant funding. The $16 million in matching funds are secured and included in the adopted Sound Transit budget and Long Range Financial Plan (audited and approved by the FTA). These matching funds are secured and available to use specifically for the project included in this application. The cities of Renton and Tukwila are providing station design review and other assistance for the project. This request for$5.5 million in Regional Mobility grant funding is approximately 26% of the $21.5 million total project cost. Without the additional $5.5m in grant funding, the permanent Tukwila Station cannot be built. The partnership between the three public agencies to build Tukwila Station will help make travel in the Puget Sound region easier, faster, and more convenient. Sustainability of Benefits: The Tukwila Station project is a sustainable transportation solution. The purpose of this project is to build a station that is permanent, instead of the temporary wooden platforms that have a very limited useful life. The permanent Tukwila Station itself has an FTA useful life of 30 years and will last much longer with planned maintenace. The station facility, right-of-way and transit benefits will be available for decades to come. Sound Transit has an FTA-approved operations and maintenance plan and funding secured for commuter rail operations through 2040. The commuter rail trains are powered by clean burning diesel. The reduced trips and vehicle miles traveled will have significant air quality benefits. The project is estimated to reduce 22.07 tons of CO, 1.55 tons of NOx, 2.19 tons of VOCs and .02 tons of PM-10. Implementation - Readiness to Proceed: Preliminary engineering and environmental documentation phases are underway. Right-of-way is secured and construction is scheduled to be completed in 2009. Reporting/Measurability: The budget, schedule and progress of the project will be measured and reported on monthly as part of the Sound Transit agency progress report. *4410 Page 5 of 5 'Nome Tukwila Station Vicinity Map -re osier;,;r..0 ¢ —'2 Jr WaY tl Fa�4ifa:^�' v'." 5 2rat 5! • Lr,kg- Fara r r _ 53'dSi ' 900 ,5W Storoe o Of Rd sw Rs Hazc°nut 0 • 0 �sy M p, SfIA4 5t F47 _ "Deal Farr. crt 16 MJaY . C) . 411Grn S4..,... ,. = c - , ,14 ,, Tukwila , , .. Taln,af i---..4, a l _. .. _ Q� Boeing 44 Far.. 5 l ongaras ; '' "a_` inoustna: Park �st I „. Westfreki .2" -- "t" Southcentet , i , 6 x: r r, .. 1 1G :s m tG d } , • i 9 r { L7, _ e Vane •#g' W4r�Dtttrwl yE G S rRoth 0 ,_ ,(fritts x:12008 GoiNie-Map data 0200177SNAVttfir-TF`�ms r`;;^� = Tukwila Station location 0 'w peifillS4-7 f aj j iginif - _. i,,'•1„..,110,441 of! f � ` '�ak-zie1 t. ---'' '' ' . ! - 4gri tieg i t ..,,iinikd .. - ip , it, ,7 ` 1 (411 t ,- aw �, tigio - OOt3°— J_8000 -- 4.7:: a1 ' ipnr,.... .. . ,,.,,,..., ,,,,,,,,, ,., ... . .-. .,, c. imot,,, . . _.. ..... ..;._. . _ _ _. ._.,,,,.. i., aliginthiAllitTiz-Ns �RRk:1�IIIIIL �!� aw m - ——--.--- ligEr--;---,-,,,:!'441 , . ,4.5.r. :'..'''...'6Y,f4V44111\ .... �'fit` ® � s :. � i . � �_ -- . inn LIR '�"_Ai it k '. '•„ ' :Pm-4'.IA 11111/Wkt.Mit l'''' �®mom , ��m ��e � ; ""` • _ �4�■ - A Iia itraii,000 IglibilAtri, \.':: Hill ki NmaRJ�I,_ 'li �' �'I�IPIIIII_fiMmoiltl`lii -I kir \ ' lk rkt4rtz-M1654t, r,-.1101n-;;.:41,1nr,f' Fara �� � ■ � � ���� !IS' L� �l� 11 eirk P1\4 -L\ --,!„.,41%sierrill .f. 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EL eli , i .__ NW ri (i1iIiiL t CITY OF RENTON Comprehensive Plan .s " NS Land Use Map ..: 1.1,11,1fli 11,1,1,1, a,�Y fcunoim�D.,<lopmrnt,NaghI houJt&tio.�i.an I'Innnmg SEATTLE Revisions • „,,'\z I Date File# Description Ord# "3i� MICM N 1/2259 L98-0043 8.4..2...>a.� 1865 00ILA h, H, ��W';\\'yl 1N699 ua....s.mow r+.'n 1874 4 15. ---j �: \ 'm 6/07.1 L99-0092 .4..5.8. .....vm..08 1 Z -i -- ----A �\,, �' 8/1497 L01-075 �w pa..tem.8199 1992 f `\�/ ;--y `�'' .�------\N \r 11n8104 w..rc.w.n„rro.ucm. 2070 i 290%SHOSIAttm.loC.11 ,P, lin�o 1- 1r 20 'a.fhrtl9A......s.Nsinns 2069 City f Tukwila 4441.06e '---11—ni--- ‘, \ + Comprehensive V Plan Map t .,,, C�, }t Ila h." X•t MIGH "�� ! 1 t `t-� - :7 ,t\, December 4,1995 NORTH c_\ �\' r --_ _\`, \ �\,, This is a graphic representation of land U_— �,;:... �i� `�5 � I � � � —� v� use designations adopted by City —,70 �� Ftl 1\\\ Council 12/4/95. z4\ . �� � ';� SEATTLE KING \' \'�' — \v'74---: '''..-...T.' �._ A MIc/H`, �V 'YV A ,] low 01.4,0s, \-, -\V13� ;`1'e17• co COUNTY "Li , � VICINE re* 1 .. \ 1 ' l g i ��4' ti '144. OA.' ", rr ,1)1 1 • IIIA nl ``��,,till1r��ll�� >i- rt z 1 19}b\ llll z 3 Li -___ , \ "''t\T-Emaiit's. P L-, \ t4. �V 4 Y PAIL, ' 6y [f es'_� �,�,, y® �'�,% f� 191 TI'tI 11 / .�'y 1 i Ic11 Peu1r ✓ ILIM l=itAk'ke- / /5\ Z4 i'1 .y N �r � 1 :.r ® ��� \ LI \� l +., r Jac 71::.,--14464,—: ,1'�31 -�( r�5/ua �i � \\� 1— 1\ \ / a' 1\I LDR it rl.,` ,. r 1 :m-5 �'i�10U :!1 ~_ igloo, SEATAC X1 .:~11,--gip*< -�I-t,T i',,�\ \mat �m�7 rli ,ti •� w'<1 t \. s 10:lgi:.Il�i�.mi n 11'1111 'Irki \, in�$1NNi i TA iii.=i - `'-raimilionifialj'I -1/ .'' COMPREHENSIVE .. i� a ,i,=�91- "1.111.41 ;_l ��, Frti40I'Ima �j*\/"�~ \\ pp :119 PIA _ 1 p gli rill I ifitil 11111187 'Maw .„„,44161.s ,fi, Plan 7° 11A, i ::_`l\ gm:H ry LDR `y �, Designations '� iq,R.— \ 1 - Y` Tiic\ LDR-Low Density Residential ,( 'slt Lnr �o/r—g,\. ._=i -v�if l MDR-Medium Density Residential s [_ -/J� I HDR-High Density Residential 4,, \ , 1- j.,, !, g \, TUC ice 7�,1 ' r : 1P-a 0-Office .k 11 ti MUO-Mixed Use Office \� .:;a i I fes, 5-1 �` ''0 RCC-Residential Commercial Center l, �1 N f t I— NCC-Neighborhood Commercial Center - 1 -- .. , 1W �- RC-Regional Commercial �---7 C i c!u;',I • I� RCM-Regional Commercial Mixed Use i- 7±°l¢i 'I, `I �` TUC-Tukwila Urban Center '_. •- ` _T t"1 I I '%' CILI-Commercial Light Industrial �/41-•-7--A 1 --1-1-'5'10,- L �t_i 1 / I TVS-Tukwila Valley South vt I TaCF 1 1 LI-Light Industrial '11 . ;<; i z�1 i en HI-Heavy Industrial = �� ,1____ 1 ..-� _E y,,- 1, ••uwA2Sn 1. LDR :n MIC/L-Manufacturing Industrial Center/Light Industrial *� ��� u �!i� MIC/H-Manufacturing Industrial Center/Heavy Industrial , 1 r =-- Overlays and Sub Areas Offtl ? _�, i /HI 4,\_, I� , Public Recreation Overlay •- �' '` i �I 'l�3 s--'-_ '' 1TVS 1�J\ r;- fes,t:.. -J I Shoreline Overlay `II<;��,( r I I (Approx.200'each side of river) / , ---,..:1, 7: '- f-� /i 1 1 /, Tv ;iII LJI_fihjl —1_11 Nose Manufacturing Industrial Center --/'. := J,,,.....,:.: ii; W I f Boundary f 1, a�l i1 II Tukwila South Master Plan Areas Tukwila Urban Center 4, I 1` ' k MDQ! ING �')�/ KENT Pn!ential Annexation Area � , DR, ,i � Irtn, 'lii'I ��•••�� • - Tukwila CityLimits y YS .:" Ammomm From: Kelly McGourty [KMcGourty@psrc.org] Sent: Thursday, October 05, 2006 4:40 PM To: Overby, Monica; Wolterink, Lisa Subject: PSRC Review for OTM Regional Mobility Grant Program Lisa, Monica- PSRC has reviewed the projects identified below and found them to be consistent with the long range regional transportation plan, Destination 2030. Please feel free to contact me if you have any additional questions. Projects Mountlake Terrace Freeway Station Sounder Station Commuter Parking Expansion Tukwila Station Kelly McGourty Principal Planner Puget Sound Regional Council 1011 Western Avenue, Suite 500 Seattle, WA 98104-1035 (206)464-7892 fax (206)587-4825 Nor 5-irm SOUNDTRANSIT BOARD CHAIR ✓' John W.Ladenburg Pierce County Executive BOARD VICE CHAIRS October 10, 2006 Connie Marshall Bellevue Councilmember Mark Olson Everett Councilmember Gregg Zimmerman,Administrator City of Renton Planning/Building/Public Works Department BOARD MEMBERS Renton City Hall—5t''floor Julie Anderson 1055 South Grady Way Tacoma Councilmember Renton, WA 98057 Mary-Alyce Burleigh Kirkland Councilmember Subject: Letter of Support for City of Renton Regional Mobility Grant Application for Fred Butler Tukwila Station Issaquah Deputy Council President Dow Constantine Dear Mr. Zimmerman: King County Councilmember Sound Transit is pleased to support the Regional Mobility grant application submitted Dave Enslow jointly by the Cities of Renton and Tukwila for the Tukwila Station project. This project Sumner Mayor will construct the Tukwila commuter rail and intercity rail station,a 400-stall surface Doug MacDonald parking lot,multi-agency transit center and other intermodal improvements to improve Washington State Department of Transportation Secretary access to the station.This project will provide the much needed high capacity transit facilities,integrating regional rail and bus services and connecting to major employment Richard Marin centers such as the Boeing Longacres Industrial Park. Edmonds Councilmember Richard McIver ire Sound Transit has budgeted$16 million for Tukwila Station. The$16 million in Seattle Councilmember matching funds are secured and included in the adopted Sound Transit budget and Long Greg Nickels Range Financial Plan(audited and approved by the FTA). These matching funds are Seattle Mayor secured and available to use specifically for the project included in the application. Julia Patterson King County Councilmember Sound Transit is committed to the ongoing cooperation and partnership with the development of Tukwila Station. We believe that the cities of Renton and Tukwila and Larry Phillips p Chair,King County Council the region as a whole will benefit from this project.Therefore, Sound Transit supports this request for Regional Mobility Grant Program funding for this project. Aaron Reardon Snohomish County Executive Sincerely, Ron Sims King County Executive 1,, Claudia Thomas Lakewood Mayor Ii EarlPete von Reichbauer ef Executive Officer Vice Chair,King County Council Cc: Paul Cornish, Sound Transit CHIEF EXECUTIVE OFFICER Lisa Wolterink, Sound Transit Joni Earl Peter Halm,City of Renton limy • C•ntial Puget Sound Regional Transit Authority• Union Station - 401 5.Jackson St.,Seattle,WA 98104-2826• Reception:(206)398-5000 • FAX:(206)398-5499•www.soundtransit.org Exhibit B Project Cash Flow Funding Sources and Amounts Type of Work Agencies (1) Total (2) Federal (3) State (4) Other (5) Local (6) Other ,.. Performing Project Funds Funds Funds(OTM) State Funds Funds Funds %of Total Funding PE or Design a. Local Agency $ 1,590,000 $1,590,000 b. Federal $ - 7.40%of total c. Other $ - d. State(OTM) $ - e. Other State $ - f. Total PE/Design Cost/Funding $ 1,590,000 $ - $ - $ - $1,590,000 $ (a+b+C+d+e) Right of Way g. Local Agency $ 8,376,000 $8,376,000 h. Federal $ - 38.98%of total i. State(OTM) $ - j. Other State $ - k. Total RAN Cost/Funding $ 8,376,000 $ - $ - $ - $8,376,000 $ (g+h+i+j) Construction I. Local Agency $ 6,023,000 $6,023,000 m. Federal $ - 53.62%of total n. State(OTM) $ 5,500,000 $5,500,000 o. Other State $ - p. Total CN Cost/Funding $ 11,523,000 $ - $5,500,000 $ - $6,023,000 $ (l+m+n+o) Capital Equipment q. Local Agency $- 0.00%of total Operations/Services r. Local Agency $- 0.00%of total s. Total Project Cost/Funding $ 21,489,000 $ - $5,500,000 $ - $15,989,000 $ (f+k+p+q+r) Percentage of Total — 0.00% 25.59% 0.00% 74.41% 0.00% Cost/Funding Describe the financial plan of the project. 2007-09 Cash Flow(expenditures billed to WSDOT): The cities of Renton and Tukwila and Sound Transit Date Planned have a financing plan and budget for the Tukwila Station project. The$21.5 million total project cost will be funded through existing 9/07 $ local Sound Transit funds and grant funding.The$16 million in 12/07 $ matching funds are secured and included in the adopted Sound 3/08 Transit budget and Long Range Financial Plan(audited and approved by the FTA).These matching funds are secured and 6/08 $ 260i 00 0 available to use specifically for the project included in this 9/08 $ 3'06,000 application.The cities of Renton and Tukwila are providing station design review and other assistance for the project. 12/08 $ v�006,e).O o This request for$5.5 million in Regional Mobility grant funding is 3/09 $ `7 D Dd•,_000] y approximately 26%of the$21.5 million total project cost.Without the 6/09 $ 2,750,000 additional$5.5m in grant funding,the permanent Tukwila Station Total 07-09 $ 5,500,000 cannot be built.The partnership between the three public agencies to build Tukwila Station will help make travel in the Puget Sound region easier,faster and more convenient. Projected Carryover $ TOTAL $ 3,000,000 CITY OF RENTON, WASHINGTON RESOLUTION NO. A RESOLUTION OF THE CITY OF RENTON, WASHINGTON AUTORIZING THE MAYOR AND CITY CLERK TO ENTER INTO AN INTERLOCAL COOPERTIVE GREEMENT WITH THE WASHINGTON STATE DEPARTMENT OF TRANSPORTATION ENTITLED "PUBLIC TRANSPORTATION REGIONAL MOBILITY GRANT PROGRAM STATE FUNDING AGREEMENT WORK BY PUBLIC AGENCIES". WHEREAS, The City of Renton is participating, along with a number of other jurisdictions, in performing work on the Tukwila Station project, including a permanent rail station, a surface parking lot with intermodal connections, and non-motorized connections, and WHEREAS, a portion of this project will result in improvements to the City's Southwest 127th Street/Strander Boulevard connection project, and WHEREAS, the State of Washington Department of Transportation, through its office of transit mobility, has money available to assist the City and other agencies in funding this project, and WHEREAS, the amount of $5,500,000. will be granted, under this agreement, toward work costing an estimated $21,500,000., and WHEREAS, it is necessary to document the terms and conditions of such grant, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES RESOLVE AS FOLLOWS: SECTION I. The above findings are true and correct in all respects. SECTION H. The Mayor and City Clerk are authorized to enter into an interlocal cooperative agreement with the Washington State Department of Transportation entitled "Public 1 RESOLUTION NO. Transportation Regional Mobility Grant Program State Funding Agreement Work By Public Agencies. PASSED BY THE CITY COUNCIL this day of , 2007. Bonnie I. Walton, City Clerk APPROVED BY THE MAYOR this day of , 2007. Kathy Keolker, Mayor Approved as to form: Now Lawrence J. Warren, City Attorney RES. 13 03:10/15/07:ch Noe 2 CITY OF RENTON PLANNING/BUILDING/PUBLIC WORKS TRANSPORTATION SYSTEMS DIVISION • 2008-2013 SIX-YEAR TIP SW 27th Street/Strander Boulevard Connection Functional Classification: Minor Arterial Fund: 317 Proj. Length: 1.27 miles Proj: 12239, 12240 TIP No. 8 CONTACT: Rob Lochmiller 425.430.7303 DESCRIPTION: STATUS: This project provides a critical four/five-lane arterial that will serve as a connector to West Valley Highway The 30%design includes the environmental documents, base-mapping, road sections, and (SR-181)and East Valley Road,as well as an arterial connector to SR-167 from the south.The project will project phasing. $1,000,000 was received from the General Fund in 2003. Grants have provide a grade-separated crossing at the Union Pacific Railroad (UPRR)and Burlington Northern Santa included:TEA-21 funds of$745,563(2003)and$2,398(2005);federal discretionary funds Fe(BNSF) railroad tracks. Segments 1 and 2 include from West Valley Hwy to East Valley Road. Right- of$679,844 and STP-N funds of$94,420 for Ph. 1, Seg.2a 100%design(2006). Railroad of-way includes: City of Renton-$2.5 million, City of Tukwila-$0.8 million. Donated ROW: Sound Transit- track realignment to be completed in 2009. $55,000(not included). JUSTIFICATION: CHANGES: A new east-west arterial roadway will connect the cities of Renton and Tukwila, and provide significant Ph. 1,Seg. 1,construction is complete,and has been paid with approximately congestion relief to existing arterials The new road will provide direct access to the new Tukwila Station, $3 M in bonds. Both FMSIB and Sound Transit are contributing$4 M each to various a multi-modal center being developed immediately north of the new alignment, and to the Boeing elements of the project.The City was awarded$684,380 of federal discretionary funds($679,844 allocated to-date)and$4.6 M of STP Regional funds. Of the$5.5 M Longacres site. The eventual direct HOV connections to southbound SR-167 will provide significant WSDOT Mobility grant awarded for the Sound Transit station, $2.5M will be used for advantages to HOV and transit usage. By crossing over the UPRR and BNSF railroads, the new arterial the SW 27th project elements directly related to the Sound Transit station. will provide significant benefits to both freight mobility and general motorists. $500,000 Metro mit reserve to be approved by Council. I Funded :1 25,442,649 Unfunded :1 29,285,999 Project Totals Programmed Pre-2008 Six-Year Program ITEM Programmed Spent Pre-2007 2007 Total 2008 2009 2010 2011 2012 2013 EXPENSES: Project Development 70,000 10,000 60,000 10,000 10,000 10,000 10,000 10,000 10,000 Precon Enq/Admin 5,747,559 1,788,759 800,000 3,158,800 110,000 1,086,600 1,616,900 345,300 R-O-W(includes Admin) 3,585,000 2,500,000 1,085,000 _ 800,000 167,000 118,000 Construction Contract 38,095,400 1,200,000 36,895,400 6,770,000_ 7,400,000 4,000,000 18,725,400 Construction Eng/Admin 4,203,400 4,203,400 736,000 800,000 560,000 2,107,400 Other(Ph. 1, Seq. 1) 3,027,289 2,977,289 50,000 TOTAL EXPENSES 54,728,648 7,266,048 2,060,000 45,402,600 8,426,000 8,210,000 1,096,600 1,626,900 5,082,300 20,960,800 SOURCES OF FUNDS: Vehicle Fuel Tax Business License Fee Prop.Fund Bal. &Gen.Fund 2003 665,413 665,413 Grants In-Hand(State&Fed) 13,306,605 743,635 1,496,369 11,066,601 5,725,051 _ 5,341,550_ Mitigation In-Hand 3,057,500 3,057,500 BondsNeh License 3,849,500 2,799,500 1,050,000 50,000 500,000 500,000 Other In-Hand Sound Transit 4,563,631 563,631 4,000,000 1,100,000 868,450 331,550` 700,000 1,000,000 Grants Proposed(T.I.B.) 5,000,000' 5,000,000 500,000 2,500,000 2,000,000 Mitigation Proposed - L.I.D.'s Proposed _ ' Other Proposed (Tukwila Agrem ROW f$l 4,650,949 _ 4,650,949 1,600,949 2,000,000 50,000 500,000 500,000 Undetermined 19,635,050 19,635,050 765,050 1,026,900 882,300 16,960,800 TOTAL SOURCES 54,728,648 7,266,048 2,060,000 45,402,600 8,426,000 8,210,000 1,096,600 1,626,900 5,082,300 20,960,800 SaanO.,Gonnacvon 0&1112007 1238 PM 5-8 FINAL (..t.. (... 2 .. CITY OF MENTON COUNCIL AGENDA BILL AI s: �A h 6 ISubmitting Data: Planning/Building/Public Works For Agenda of: iiiiie Dept/Div/Board.. Transportation Systems Division October 22, 2007 _ Staff Contact Derek Akesson, x7243 Agenda Status Consent X Subject: Public Hearing.. Correspondence.. Rainier Avenue - SW 7th Street to South 4th Place Ordinance Design Contract with DMJM Harris Resolution Old Business Exhibits: New Business X Issue Paper TIP #11 (2007-2012) Study Sessions Supplemental Agreement#2 Vicinity Map Information Recommended Action: Approvals: Council Concur Legal Dept X Finance Dept Fiscal Impact: (Fund 317.12308) , Expenditure Required... $ 433,889 Transfer/Amendment Amount Budgeted $ 2,629,000 Revenue Generated Total Project Budget $ 8,129,000 (2007-2011) City Share Total Project.. SUMMARY OF ACTION: As a part of the Rainier Avenue Improvement Project, DMJM Harris completed a study to determine the feasibility of diverting stormwater to a new 48-inch diameter stormwater pipe in Shattuck Avenue, ikosof thus reducing the acreage draining to the Rainier Avenue Pump Station and eliminating the need to reconstruct the pump station as part of the Rainier Avenue Improvement Project. This would not be possible without the design and construction of the new railroad bridge over Rainier Avenue. When BNSF took over the design and construction of the new bridge, the criteria for the bridge replacement changed. The end result is an increase in track elevation of approximately 3-feet over Rainier Avenue. This eliminated the need to lower the southbound lanes of Rainier Avenue to achieve a 16.5-foot clearance between the lower chord of the bridge and street. Without the need to lower the street, the wet well of the Rainier pump station could remain as it is. The key was to determine if it was feasible to divert the stormwater from the Rainier Avenue Pump Station to Shattuck. The feasibility study determined that this diversion is feasible. The scope of work included in this supplemental agreement is the full design of the stormwater diversion pipe in Shattuck Avenue from South 4th Place to South 7th Street. This is essential to the Rainier Avenue Improvement Project. The scope also includes the design of street improvements on Shattuck Avenue between South 4th Place and Houser Way South, including new sidewalks and traffic lanes underneath the new railroad bridge and sacrificial beams with a vertical clearance warning system on both sides of the new bridge. Due to the track raise at Rainier Avenue, BNSF had to replace the Shattuck Railroad Bridge. As part of the Construction and Maintenance Agreement between the City and BNSF, BNSF requires the City to design, construct, and maintain sacrificial beams adjacent to the Shattuck bridge before Shattuck Avenue South can be reopened to traffic. STAFF RECOMMENDATION: iiiiiAuthorize the Mayor and City Clerk to execute Supplemental Agreement Number 2 to the design contract with DMJM Harris for the Rainier Avenue-SW 7th Street to South 4th Place Project(TIP #11). H:\Divisions\TRANSPORTATIADMIN\Agenda 20071Agenda Bill DMJM Harris Supplement Agreement No 2 doc )1111.00.' I O� PLANNING/BUILDING/a; «� , PUBLIC WORKS DEPARTMENT o MEMORANDUM DATE: October 22, 2007 TO: Toni Nelson, Council President Members of the Renton City Council VIA: -'Kathy Keolker, Mayor FROM: Zimmermad ministrator STAFF CONTACT: Derek Akesson, Transportation Design Project Manager (x7243) SUBJECT: Rainier Avenue - SW 7th Street to South 4th Place Design Contract with DMJM Harris ISSUE: Should Council authorize the Mayor and City Clerk to execute Supplemental Agreement Number 2 to the design contract with DMJM Harris for the Rainier Avenue- SW 7th likope Street to South 4th Place Project (TIP #11)? RECOMMENDATION: Authorize the Mayor and City Clerk to execute Supplemental Agreement Number 2 to the design contract with DMJM Harris for the Rainier Avenue- SW 7th Street to South 4th Place Project(TIP #11). BACKGROUND: As a part of the Rainier Avenue Improvement Project, DMJM Harris completed a study to determine the feasibility of diverting stormwater to a new 48-inch diameter stormwater pipe in Shattuck Avenue, thus reducing the acreage draining to the Rainier Avenue Pump Station and eliminating the need to reconstruct the pump station as part of the Rainier Avenue Improvement Project. This would not have been possible without the design and construction of the new railroad bridge over Rainier Avenue. When BNSF took over the design and construction of the new bridge, the criteria for the bridge replacement changed. The end result was an increase in track elevation of approximately 3-feet over Rainier Avenue. This eliminated the need to lower the southbound lanes of Rainier Avenue to achieve a 16.5-foot clearance between the lower chord of the bridge and street. This added clearance eliminated the necessity of Toni Nelson,Council President Members of the Renton City Council Page 2 of 2 October 22,2007 Nod lowering the street elevation. Without the need to lower the street, the wet well of the Rainier Avenue Pump Station can now remain where it is. The Rainier Avenue Improvement Project will increase the amount of impervious surface along the corridor. This necessitates improvements to the stormwater system along the corridor. Currently, 75 acres drain to the Rainier Avenue Pump Station. The existing pump station, specifically the wet wells, is under-sized for 75 acres of drainage. This is the reason for the localized flooding problems over the years at the Rainier Avenue railroad underpass. The Shattuck diversion will reduce the drainage area to nine acres. The existing pump station can handle this reduced drainage area. Therefore,the pump station will not need to be re-constructed as part of the Rainier Avenue Improvement Project. Without the Shattuck diversion, the Rainier Avenue Pump Station will need to be replaced. Construction of a new pump station along Rainier is expensive. In order to drain 75 acres,the wet wells need to be much larger. With the limited right-of-way additional property would be required for the new wet wells. Additionally, the dry cleaner property at the corner of South 4th Place and Rainier Avenue has contaminated the soils near the existing pump station. Construction of a new pump station in potentially contaminated soils would increase the cost. Therefore, by leaving the pump station as it is and diverting the stormwater to Shattuck, the City will alleviate a flooding problem and save money. The scope of work included in this supplemental agreement is the full design of the stormwater diversion pipe in Shattuck Avenue from South 4th Place to South 7th Street. This is essential to the Rainier Avenue Improvement Project. The scope also includes the design of street improvements on Shattuck Avenue South from South 4th Place to Houser Way South, including new sidewalks and traffic lanes underneath the new railroad bridge and sacrificial beams with a vertical clearance warning system on both sides of the new bridge. Due to the track raise at Rainier Avenue, BNSF had to replace the Shattuck Railroad Bridge. As part of the Construction and Maintenance Agreement between the City and BNSF, BNSF requires the City to design, construct, and maintain sacrificial beams before the street can be reopened to traffic. cc: Peter Hahn,Deputy PBPW Administrator—Transportation Bob Hanson,Transportation Design Supervisor Derek Akesson,Transportation Design Project Manager Connie Brundage,Transportation Administrative Secretary H:\Division.s\TRANSPOR.TAT\ADMIN\Agenda 2007\Issue Paper DMJM Harris supplement 2.doc Washington State F, Department of Transportation '' Supplemental Agreement Organization and Address 'taDMJM HARRIS/AECOM Number 2 10900 NE 8th Street, Suite 750 Bellevue,WA 98004 Original Agreement Number CAG 06-065 Phone: 425-454-5600 Project Number Execution Date Completion Date 2/12/2007 12/31/2008 Project Title New Maximum Amount Payable Rainier Ave. -SW 7th St to S 4th P1 $ 1,261,863.00 Description of Work Rainier Ave./BNSF Improvements Final Design The Local Agency of City of Renton desires to supplement the agreement entered into with DMJM HARRIS/AECOM and executed on 4/17/2006 and identified as Agreement No. CAG 06-065 All provisions in the basic agreement remain in effect except as expressly modified by this supplement. The changes to the agreement are described as follows: `err' Section 1, SCOPE OF WORK, is hereby changed to read: ,See"Exhibit B"attached. I I Section IV, TIME FOR BEGINNING AND COMPLETION, is amended to change the number of calendar days for completion of the work to read: No change in the contract days. III Section V, PAYMENT, shall be amended as follows: The additional services described in "Exhibit B" will increase the maximum amount payable to$1.261.863 from the contract amount of$827.974(sum of original contract plus supplement no. 1). as set forth in the attached Exhibit A, and by this reference made a part of this supplement. If you concur with this supplement and agree to the changes as stated above, please sign in the appropriate spaces below and return to this office for final action. By: By: Consultant Signature Approving Authority Signature Noire DOT Form 140-063 EF Date Revised 9/2005 Kiri► EXHIBIT B City of Renton *4410 Rainier Avenue/BNSF Improvements Supplemental Agreement No. 2 Project Description The City of Renton (City) intends to construct a 48" diameter diversion storm sewer down the side of Shattuck Avenue S. between S 4th Place and S 7th Street in Renton. Once constructed, this new storm drain will provide gravity conveyance for 64 acres of the total 73 acres that currently drains to a pump station on Rainier Avenue near S. 4th Place. In a related project called the BNSF Renton Bridges project, the railroad is replacing bridges at Rainier Avenue and Shattuck Avenue near S. 4th Place. Preliminary interim designs for Shattuck and Rainier are developed to support the bridge design and construction coordination. General Scope The Consultant, DMJM Harris, has completed interim plans for Shattuck Avenue as part of the BNSF Renton Bridges Project. The Shattuck plans were part of the detour design plans for the closure of Rainier Avenue during railroad bridge bridge demolition. The vertical alignment for the roadway under the BNSF bridge, shown in the interim plans will be used as the basis for the final design in this contract. The basemapping produced for Shattuck Avenue for the BNSF Renton Bridges and the Shattuck Avenue Diversion Feasibility Report the will be used for this project. However, additional survey will be needed to determine the as-built location of the bridge improvements and temporary surface overlay installed since the basemap was produced. Stormsewer modeling and analysis will be performed by using the City's stormwater planning SWMM modeling. The modeling will study performance and capacity of the pump station at Rainier Avenue for subbasin runoff diverted off Rainier Avenue. The study will review potential flooding impacts to the city sewer system in key areas due to these alternative subbasin modifications. For this contract the Consultant, DMJM Harris, will be responsible for completing the following major items of work: • Coordinate design and schedule with project impacted utility companies. • Prepare a BNSF permit application • Prepare and submit a SEPA Checklist • Prepare a Cultural Resources Report • Complete Rainier Avenue hydraulic modeling technical report • Prepare a PS&E package as bid documents for roadway and drainage improvements from S. 7th Avenue to S. 4th Place in accordance with the approved Shattuck Ave. Drainage Feasibility Study. Specific Tasks Task 1 - Project Management 1 EXHIBIT B Provide overall project management services including: 1.1 The Consultant will provide project administration including budget, schedule, monthly progress reports and billings. 1.2 The Consultant will provide implementation of an ISO 9001 quality control/assurance program. 1.3 The Consultant shall prepare and execute subconsultant agreements. The Consultant shall manage and coordinate the work performed by the subconsultants. 1.4 The Consultant will provide technical oversight of deliverables. 1.5 The Consultant will coordinate with the City, stakeholders, 3rd parties, and subconsutants as needed for preparation of plans and specs for a bid document set. 1.5.1 All meetings will be held at the City of Renton offices unless otherwise agreed. The Consultant shall provide an agenda prior to each meeting and will be responsible for taking meeting notes of key points and action items and for distribution to the attendees. The Consultant shall prepare meeting materials and distribute project information. Six one and a half hour meetings are assumed. 1.5.2 The Prime consultant shall meet with the project subconsultants on an as needed basis. Meeting notes shall be taken and filed. Six one and a half hour meetings are assumed. 1.5.3 The Prime consultant will coordinate with the companies that manage the fiber optic line crossings and fill out the pipeline crossing application for BNSF coordination 90 days in advance of construction. A $250 BNSF application fee will be paid by the City. Task 2 — Surveying and Utility Location Survey work will be performed by Sub-consultant Perteet. Surveying and Utility Location The basemap used for the Shattuck Diversion Sewer Project will be revised to reflect the placement of the newly constructed railroad bridge and the grading around the new bridge piers. Additionally, the topographical basemap will be revised to include reconstructed pavement elevations and rim adjustments from S. 7th Street to S. 4th Place along Shattuck Avenue as constructed by the BNSF Renton Bridges contract. Abandoned utilities will be added as found in as-built records. ASSUMPTIONS: • Existing control for Shattuck Ave will be supplemented to facilitate the additional survey of Shattuck Ave. between So. Fourth Pl. and So. Seventh Streets. • No utility locates will be required. • Client will provide utility as-built to map utilities. • Survey will be limited to the overlay pavement surface, structure rims, newly constructed railroad bridge and the grading around the new bridge piers. • Survey work will be performed by Sub-consultant Perteet. 2 AMU I\ EXHIBIT B Horizontal and Vertical Control Establish additional horizontal and vertical control as necessary to provide supplemental survey and mapping. Topographic Survey: Consultant will conduct a topographic survey of Shattuck Ave from the north line of South Fourth place to the north line of So. Seventh, locating; surface elevations of the recent pavement overlay, adjusted elevations of utility structure rims/covers, newly constructed RR bridge and changes to grading associated with the construction. Calculations and Basemap: Process field files and merge or replace changed features. Re-contour the DTM; add as-built utility information and up-date basemap. Provide field verification walk-through of basemap and revise as necessary. Deliverables: Updated hard copy and AutoCAD file of basemap. Task 3 — Geotechnical (THIS WORK HAS BEEN COMPLETED IN ADVANCE) Work to be performed by Jacobs Associates (formally Milbor-Pita & Associates, Inc.: 3.2 Field Investigation (Rainier Ave. ESA Phase II) 3.2.1 Mobilization of drill rigs for installing two additional monitoring wells, other than what was provided in addendum #1, for investigation of possible on- site contamination at Rainier Avenue. 3.2.2 Traffic Control and related permit activities for drilling of wells. 3.3 Field Investigation (Shattuck Avenue) 3.3.1 Perform data research of soil conditions and groundwater conditions at Shattuck Avenue. 3.3.2 Perform two additional borings and install water monitoring wells, one boring near S. 7th Street and one near S. 6th Street on Shattuck Avenue. Tasks 3.2 & 3.3 were completed within the original and supplemental budgets for geotechnical services. Task 4 — Drainage This work will be performed by Sub-consultant RoseWater Engineers. The Consultant will produce a Rainier Hydraulic Modeling technical report. The hydrologic and hydraulic modeling prepared for the "SW 7th Street Storm Drainage Improvement Project Pre-Design Analysis" by Gray & Osborne, dated February 2003 will be reviewed. The existing modeling was performed using KCRTS hydrologic software and XP-SWMM hydraulic software. The existing modeling will be modified to reflect known updated drainage patterns, including refined drainage basin boundaries in the 3 EXHIBIT B vicinity of Lithia Dodge and Renton High School. In addition to the updated current Now, conditions model, four alternative subbasin modifications along Rainier Avenue will be modeled. The likely modeling scenarios are as follows: 1. Current condition with the 7th Street improvements, but without the Shattuck Avenue diversion. 2. Future condition with drainage basins diverted to a new storm drain in Shattuck Avenue as proposed in Alternative 1 of Gray & Osborne's report. 3. Same as Scenario 2, with an additional 9 acres diverted to the new storm drain in Shattuck Avenue from Rainier Avenue between S 4th Place and S 3rd Place. 4. Same as Scenario 3, with a portion of Rainier Avenue north of 7th Street diverted to the 7th Street storm sewer. 5. Scenarios 1-4 will be re-run with a future 72-inch diameter downstream pipe improvement between Lind Avenue and the Black River Forebay. All scenarios will be run using future land use conditions as previously modeled by Gray and Osborne. The existing model provided by the City will not be verified except where modified as part of this work and as described above. A report will be prepared to document modifications made to the previous XP-SWMM and KCRTS models and will summarize the results of the modeling scenarios. Changes in headwater conditions will be documented for each model run for the S 7th Street storm system between the outfall at Naches Ave upstream to Burnett Avenue and for the Shattuck Avenue storm system between S 7th Street and S 2nd Street. The volume of water that leaves the storm system during surcharged conditions will be tabulated for each model run. The expected performance of the existing pump station will also be Now analyzed for each diversion scenario, including adequacy of pumping and wetwell capacities. The report will be submitted as a draft for review and comment, then resubmitted as a final version. Two hard copies and an electronic copy (.pdf format) will be prepared for each submittal. An electronic copy of the modeling input and output files will be provided with the final report submittal. The report will be the basis of PS&E as described in Section 10. No improvements to the pump station are assumed for this study. The analysis of the modeling will review sensitive pockets of potential flooding at S 7th Street. The criterion to be used for assessing the performance of the modeled diversion scenarios will be the headwater elevation at S 7th Street and Shattuck Avenue and in the storm sewer system upstream from this node. Task 5 — Environmental (5.4 and 5.5 HAS BEEN COMPLETED IN ADVANCE) Work in 5.4 and 5.5 to be performed by Cooper Zeitz and work in 5.6 to be performed by Widener&Associates: 5.4 Rainier Avenue ESA Phase II: Two additional mobilizations, other than what was provided in addendum #1, will be required to develop and sample two wells to test for VOC's, gasoline range organics and diesel range organics. Normii4 4. EXHIBIT B 5.5 Shattuck Ave.: Two additional mobilizations will be required to develop and sample two wells along the planned route for the new 48-inch bypass sewer line Nui planned from S. 7th Avenue to S. 4th Place. The ASTM Phase I environmental site assessment will not be conducted for properties along the right-of-way as specified in supplemental agreement no. 1 for Shattuck Avenue. Instead, split spoon sampling above the water line for the two wells along Shattuck will be tested for worker safety and potential contaminants. 5.6 Permitting 5.6.1 The Consultant shall complete appropriate SEPA documentation including all needed studies, modeling, and analysis in accordance with State Environmental Policy Act (RCW 43.21 C) and SEPA Rules (WAC 197-11). The Consultant will coordinate with the Renton Planning Department to address comments on the SEPA Checklist and provide support for the SEPA process. 5.6.2 A historic resource inventory will be conducted and a technical report will be prepared in accordance with applicable Washington State Office of Archaeology and Historic Preservation (OAHP) and U.S. Secretary of Interior standards. Task 10 — Roadway PS&E The Consultant will complete final design of the preferred design solution as developed *44001 in the Shattuck Avenue Diversion Feasibility Study. 10.4 Site Visits: The Consultant shall make visits to the site to ascertain design solutions to site design constraints. 10.5 Plans for Shattuck Avenue—S. 4th Place to S. 7th Street: A PS&E package will be provided for the ultimate design for Shattuck Avenue from S. 4th Place to S. 7th Street. Drainage plans will be developed taking into account the low clearance of the BNSF railroad bridge superstructure expected to be in place prior to this project. Funding is expected to come from two sources and quantities will be tracked with two schedules. Monthly standing meetings will be set up with the City to get buy in on design during continuous project development. A City review of plans is expected near 90%to 100% completion of this project to ensure agreements discussed in the monthly meetings are covered. The following sheets are anticipated to be prepared under this scope: 10.5.1 General Plans -The Consultant shall prepare general plan sheets to include a cover sheet, vicinity maps, general notes and index of drawings. (2 sheets are assumed). 10.5.2 Quantity Tabulations -The Consultant shall prepare a quantity tabulation sheet to track the quantities for the two funding sources. The sheet will show scheduling of quantities from S. 4th Pl. to Houser Way S and from Houser Way S. to S. 7th Street. (One sheet is assumed). 10.5.3 Typical Sections -The Consultant shall prepare a typical sections sheet. (2 sheets are assumed). ••vid 5 EXHIBIT B 10.5.4 Roadway *No.✓ Preparation and TESC Sheets -The Consultant shall prepare site preparation that describes the removals necessary to construct the project and identify items to remain that may be within the project limits or require special protection. These plan sheets shall show the project temporary erosion and sediment control. (3 sheets are assumed). 10.5.5 Temporary Traffic Control Plans - The Consultant shall provide temporary traffic control plans. Access to residential and commercial drives will be addressed. (3 sheets are assumed). 10.5.6 Roadway Plan and Control Sheet- The Consultant shall prepare 20 scale roadway plan and control plan sheets that describe the project limits, property boundaries, right-of-way and to indicate the limits and type of pavement to be replaced and to show the replacement of curb, sidewalk and driveway pavement as part of this project. New sidewalk will be placed on both sides of the street from S 4th Place to Houser Way So. and on the west side of Shattuck from Houser Way S. to S. 7th PI. Pavement surfacing will be installed to match existing pavement elevations after installation of the sewer pipe down Shattuck Avenue. Pavement patching of the trench will follow City design guidelines that could trigger additional surfacing. Paving from S. 4th Pl. to Houser Way S. will only include preleveling and will not omit the top surface course to be constructed by others. The property owner of the business on the southwest corner of S. 4th PI. and Shattuck Avenue will be contacted to coordinate drive access at this location. (3 sheets are assumed). N,✓ 10.5.7 Roadway and Paving Details -The Consultant shall prepare a roadway and paving details sheet to show City standards for curbs, curb ramps, sidewalk, and incidental driveway and miscellaneous details. (3 sheets are assumed). 10.5.8 Intersection Detail Sheets - The Consultant shall prepare intersection details sheet for the intersections of Shattuck Avenue and S. 4th Place; Shattuck Avenue and Houser Way S.; and Shattuck Avenue at S. 7th Street. Curb ramps will be added on the south side of the street at S. 7th St. (One sheet is assumed). 10.5.9 Low Clearance Warning System Sheets -A height detection system will be designed for low clearance to the new BNSF railroad bridge. Sheets will show a detailed plan, sections, electrical schematics, wiring diagram and details. A detection system will be designed to precede a sacrificial beam for each direction of traffic. The beam is to be located an adequate distance from the bridge to allow maintenance of the beam. The sacrificial beam is to avoid having flanges that could contribute damage to a vehicle and encourage birds to sit. The structure is to withstand an impact of a 10,000 lb vehicle traveling at 35 mph at the top of the inverted u-shape beam structure. The sacrificial beams are to be solidly anchored by concrete footings in the soft plastic soils known to have a high water table. Electronic sensors and a mechanical clearance device are to be added to the structure crossing over traffic prior to the sacrificial beam. (6 sheets are assumed). 10.5.10 Drainage Plan and Profile Sheets - The Consultant shall prepare drainage plan and profile sheets to show the final diversion sewer and flanking side sewers needed to drain the roadway next to the diversion sewer. Drainage 6 EXHIBIT B lateral profiles and utility relocations shall be provided on these sheets. (4 sheets are assumed to be provided by Rosewater Engineers). Nvid 10.5.11 Drainage and Utility Detail Sheets -The Consultant shall prepare drainage and utility detail sheets for special manholes, trench cross-section, and typical water service relocation and side sewer relocation. (3 sheets are assumed to be provided by Rosewater Engineers). A total of 30 plan sheets are anticipated. 10.6 The Consultant shall prepare technical specifications. 10.7 The Consultant shall prepare an engineer's estimate. (10.8 and 10.9 HAS BEEN COMPLETED IN ADVANCE) BNSF Renton Bridges (Shattuck Avenue and Rainier Avenue Interim Road Improvements) Background: The purpose of this additional work is to provide engineering study and interim PS&E plans along Shattuck Avenue between South 7th Street and South 4th Place and interim roadway improvements along Rainier Avenue to reflect road reconstruction requirement due to construction of BNSF bridges. Due to the critical timing of road closures and railroad bridge construction for Rainier Avenue and Shattuck Avenue, plan sets will be produced for inclusion into the BNSF plan set. lad Interim roadway design will be developed for Rainier Avenue due to the center pier and abutment removal of the BNSF bridge. New pavement and a detour roadway at Shattuck Avenue will be developed for the closure of Rainier Avenue. Plans for Shattuck Avenue are for road reconstruction work between S. 7th Street to S. 4th Place due to construction of the Shattuck BNSF bridge. 10.8 Preliminary Study Complete a preliminary study for construction of road improvements along Shattuck Avenue between South 4th Place and Houser Way South. Analysis will include study of geometrics of a detour route through Shattuck after the superstructure is removed. Design will consider use of this construction for a permanent design with a 20' minimum permanent pavement width and vertical clearance of at least 8' feet as directed by the City of Renton. Temporary paving used for the Shattuck detour will be considered for use as permanent base for the permanent road design. The scope includes: 10.8.1 Site visit 10.8.2 Preliminary conceptual plan and profile layout of alternatives. 10.8.3 Utility coordination with affected utilities and pothole investigation. 10.8.4 BNSF coordination 10.8.5 Scheduling of design and construction up the end of railroad bridge construction expected this year in 2007. 7 EXHIBIT B %%we 10.9 Roadway Reconstruction Plans, Specifications and Cost Estimate The construction documents will be submitted in hard copy format for inclusion into the BNSF plan set. Interim roadway design will be developed for Rainier Avenue due to the center pier removal of the BNSF bridge. New pavement and a detour roadway at Shattuck Avenue will be developed for the closure of Rainier Avenue. Plans for Shattuck Avenue are for several phases of the utility and roadway improvements due to a bypass sewer from S. 7th Street to S. 4th Place and will include interim detour roadways and final configuration of Shattuck Avenue due to construction of the Shattuck Avenue BNSF bridge. Detour plans, if needed, will be the responsibility of the City. Temporary Traffic Control for Rainier and Shattuck will be completed by others. The following sheets and engineering quantities will be prepared as needed: 10.9.1 Civil Roadway Abbreviations and Legend Sheet—The Consultant shall prepare this sheet to include legends, abbreviations and general note information. 10.9.2 Typical Sections for Shattuck Avenue and Rainier Avenue —The Consultant shall prepare typical sections to reflect the pavement reconstruction needed for the removal of the Shattuck and Rainier BNSF railroad bridges. 10.9.3 Site Preparation Plans for Shattuck Avenue and Rainier Avenue (TESC plans by others)—The Consultant shall prepare plans to describe the removals necessary to construct the project and identify items to remain that may be within the project limits or require special protection. 10.9.4 Shattuck Avenue and Rainier Avenue Plan and Profile (20 scale) - The Consultant shall prepare plans that indicate the limits and type of pavement to be placed as part of this project; define the vertical profile and show earthwork quantities. (2 sheets are assumed) 10.9.5 Roadway Details —The Consultant shall prepare details sheets to include concrete barriers, curbs and sidewalk details. 10.9.6 Traffic Signing and Striping —The Consultant shall prepare signing and striping plans for Rainier Avenue and Shattuck Avenue. A total of 11 plan sheets are anticipated. Tasks 10.8 and 10.9 were completed using the DMJM Harris budget allocated toward completing the task work in the first addendum including the Shattuck Avenue Drainage Feasibility Study and 30% plans and remaining budget for original bridge design contract. 10.10 Design Construction Management Support As noted in Task 14, the Consultant shall provide prepare conformed set of project record drawings based on Contractor provided information and from inspection notes. Electronic files will be provided to the City for use with their GIS system. The electronic files will conform to the City's CAD standards. Shop drawings will be reviewed. Liability Provision loopy 8 EXHIBIT B The city agrees that it has requested the consultant to provide a design that will result in substantial non-compliance with current design codes. Specifically, the consultant will prepare a roadway vertical alignment that will provide at least 8' of vertical clearance which is less than 14.5' as required by BNSF and WSDOT design codes. This clearance will be a slight improvement over the existing clearance of 6.5'. The City, therefore, agrees to release the consultant from all claims or damages associated with this design element. Task 13 Quality Control The Consultant shall conduct quality control/assurance for all deliverable work as specified below in accordance with the DMJM HARRIS ISO 9001 procedures. This requirement will apply to all subconsultant deliverable work. The City may request at any time to inspect and verify that the Consultant's work is in compliance with ISO 9001 QC/QA procedures. In general QC reviews of technical work will be performed by senior staff independent of the project. Design Deliverables by the Consultant to the City The Consultant will deliver the following under this Scope of Work: • Invoices and progress reports monthly • Meeting agendas and notes • SEPA Checklist • Updated basemapping • 90% and 100% PS&E for review delivered in hardcopy (2 copies), pdf's and dwg format. • Signed/sealed camera-ready PS&E • Draft Modeling Report (Two printed copies, one electronic pdf copy) • Final Modeling Report (Two printed copies, one electronic pdf copy) • CD with modeling input and output files Design Deliverables by the City to the Consultant The City will furnish the following information and review comments to the Consultant • Review comments for all PS&E packages for review within two weeks of submittal. All time shown is calendar months from NTP. Deliverables Schedule: Deliverables Submittal Date From NTP Rainier Hydraulic modeling technical report 5 weeks 90% Shattuck Ave. Roadway Plans, cost estimate, 10 weeks summary of quantities, contract special provisions. 100% PS&E 13 weeks 9 EXHIBIT B Final Shattuck Avenue Roadway and Drainage plans 16 weeks Now Project PS&E, all-inclusive. Time of Completion The Consultant shall complete the work described within this scope by March 31st, 2008 contingent upon receiving NTP by October 30th, 2007. Task 14 Construction Management This work will be to provide construction management services for the construction contract to complete the Shattuck Avenue South Roadway Improvements (hereinafter called "Project"). These services will include project management, inspection, materials testing, on-call construction verification surveying, and contract administration during the construction of the project, as detailed below. DMJM Harris, Inc. ("Consultant") will provide to the City of Renton, Washington ("Client") construction management services for the project. A detailed scope for the Contract follows: I. INTRODUCTION The following scope of services and associated costs are based upon the assumptions outlined below. Assumptions: • The proposed project team will include a part-time project manager, a full-time ``'"' construction inspector, a part-time documentation specialist, and necessary subconsultants to provide services for materials testing and other supporting tasks as deemed necessary. The level of services is based on a project duration of 3 months, or approximately 70 working days. • Services will be performed in accordance with the Local Agency Guidelines (LAG) and the WSDOT Construction Manual. • Mileage: Mileage will be charged on a round trip basis from our Bellevue office, unless staff is traveling directly to the site from locations closer than Bellevue. At no time will mileage be charged from locations beyond our Bellevue office. • Field office: It is assumed that the Contractor, as a part of his scope, will provide a heated/air-conditioned field trailer/office with, at a minimum, one phone line, one auto-feeding copier (capable of 11x17 copies), 2 office desks with drawers, 2 office chairs, one 8-foot conference table, 8 folding chairs, one 4-drawer file cabinet, and one 4-shelf bookshelf. The Consultant shall provide personal protective equipment, as necessary, for Consultant staff. The Contractor shall add Consultant as additional insured during the course of construction in the event of theft, vandalism, or other incident(s) including 3rd party liability and the Contractor will include the Consultant as an indemnified party under its indemnity obligation in the contract with the Client. 10 EXHIBIT B II. DETAILED SCOPE OF WORK 14.1 — Project Management Provide overall project management, coordination with the Client, monthly progress reports, and invoicing. This effort will include the following elements. 1.1 Organize and layout work for project staff. Prepare project instructions on contract administration procedures to be used during construction. 1.2 Review monthly expenditures, prepare invoice and submit project progress letter to the Client. 1.3 Prepare Construction Work Plan to document processes for change management, submittals, RFI's, etc. Copy of plan to be provided to Client, with applicable sections being forwarded to Contractor. 14.2 —On-Call Construction Surveying The Contractor shall provide construction staking for the project with the exception of those items listed below. Control has been provided in the bid documents. Any re- staking by the Consultant will be considered additional services. 2.1 Quality Control Survey: Perform on-call checks of the proposed construction to ensure conformance with the lines and grades specified in the contract plans. Estimate 10 crew hours and necessary office support for this item of work. 14.3— Preconstruction Services ,,,S 3.1 Preconstruction Conference: The Consultant will prepare an agenda for, distribute notices of, and conduct a preconstruction conference in the Client's offices. The Consultant's project manager, document specialist, and inspector will attend the preconstruction conference. The Consultant will prepare a written record of the meeting and distribute copies of the minutes to all attendees and affected agencies, staff, etc. 3.2 Preconstruction Photos: Preconstruction photographs will include existing condition of the project right-of-way, and all relevant buildings adjoining the site. Photos will be cataloged as to their location, date, and other relevant information. Consultant will provide one set of preconstruction photographs to the Client. 14.4—Community Outreach 4.1 Construction Flyers: Produce and hand distribute flyers that provide information about the project progress, upcoming activities, and contact information. 14.5—Construction Services — Field 14.5.1 Provide the services of one full-time inspector, one part-time documentation specialist, and other tasks necessary to monitor the progress of the work. Inspector shall oversee excavation, utility installation, paving, and other items, as needed, on the project site, and will observe the technical progress of the construction, including providing 11 EXHIBIT B day-to-day contact with the Contractor and the Client. By providing inspection oversight, the Consultant shall assume no responsibility for proper construction techniques or job site safety. The presence of the Consultant's personnel at the construction site is for the purpose of providing to the Client a greater degree of confidence that the completed work will generally conform to the Contract Documents and that the integrity of the design concept as reflected in the Contract Documents has been implemented and preserved by the construction Contractor(s). The Consultant's personnel shall act in accordance with Section 1-05.1 and 1-05.2 of the current WSDOT Standard Specifications. The Consultant will endeavor to protect all parties against defects and deficiencies in the work of the Contractor(s), but cannot guarantee the Contractors' performance and shall not be responsible for construction means, methods, techniques, sequences of procedures, or for safety precautions and programs in connection with the work performed by the construction contractor(s) and any subcontractors. Inspector staff will perform the following duties as a matter of their daily activities: Prepare daily construction reports detailing the contractors operations performed for each day the Consultant is on site; measure the quantities of materials installed, log equipment and staff used, and other associated information. ii. Respond to questions which may arise as to the quality and acceptability of material furnished, work performed, and rate of progress of work performed by the Contractor, including response to related questions from *weadjacent property owners and the general public. iii. Prepare field records and documents to help assure the project is administered in accordance with funding requirements. iv. Provide periodic photographs during the course of construction. Photographs will be in digital format and cataloged by date. v. Coordinate with the contractor-provided surveyor. vi. Coordinate with the Client's utility and traffic signal operations personnel. 14.5.2 Materials Testing: Coordinate and manage materials testing subconsultants for construction services, who will provide materials testing services as required. Coordinate the work of the materials testing technicians and testing laboratories in the observation and testing of materials used in the construction; document and evaluate results of testing; and address deficiencies. 14.5.3 Geotechnical Support: Consultant shall review the Contractor's proposed dewatering plan and provide on-site review of dewatering operations. In addition, Consultant shall provide geotechnical review of existing ground conditions and provide recommendations for the suitability of native soil for re-use as trench backfill, and address other geotechnical concerns. This scope is based on 5 hours of geotechnical oversight and 10 hours of dewatering support. 14.5.4 Punchlist: Upon substantial completion of work, coordinate with the Client and other affected agencies, to perform a project inspection and 12 EXHIBIT B develop a comprehensive list of deficiencies or `punchlist' of items to be completed. A punchlist and Certificate of Substantial Completion will be issued by the Consultant. 14.6 —Construction Services —Office 14.6.1 Document Control. Implement tracking procedure for documents, including submittals, RFI's, change orders, pay estimates, issues, and design changes. The Client will be updated with copies of the project documentation log. 14.6.2 Project Coordination: Liaison with Client on a regular basis to discuss project issues and status. Coordinate with utilities and community outreach issues. 14.6.3 Plan Interpretations: Provide technical interpretations of the drawings, specifications, and contract documents, and evaluate requested deviations from the approved design or specifications 14.6.4 Weekly Meetings: Lead bi-weekly meetings, including preparation of agenda, meeting minutes, and distribution of minutes to attendees. Outstanding issues to be tracked. Contractor to provide a 3-week schedule of upcoming work at each meeting. 14.6.5 Initial Schedule Review: Perform detailed schedule review of contractor provided CPM for conformance with the contract documents. 14.6.6 Monthly Pay Requests: Prepare monthly requests for payment, review with the Client and contractor and recommend for approval. Utilize Client provided format for pay estimates, or Consultant format. 14.6.7 Monthly Schedule Review: At the monthly cutoff, review contractor's updated schedule and compare with field-observed progress, as described in Section 1-08 of the Special Provisions. In addition, perform schedule analysis on contractor provided CPM updates and review schedule for delays and impacts. Coordinate with Contractor in the development of recovery schedules, as needed, to address delays caused by either events or issues within the Contractor's control or other events or issues beyond the Contractor's control. 14.6.8 Record Drawings: Review record drawings prepared by the Contractor and prepare conformed set of project record drawings based on Contractor provided information and from inspection notes. Record drawings to be verified on a monthly basis, as part of the progress payment to the Contractor. Upon project completion, contractor provided markups will be verified for completeness and supplemented with Consultant information and provided to designer for electronic drafting in CAD on a separate layer. Designer to provide final electronic and hard copy file of record drawing to the Client directly, with one electronic and hard copy being provided to the Consultant. 14.6.9 Physical Completion Letter: Following completion of all punchlist work, prepare physical completion letter to the contractor, and recommend that Client accept the project. 13 EXHIBIT B 14.6.10 Project Closeout: Transfer all project documents to the Client for _ore__ permanent storage. 14.7 —Submittal Processing 14.7.1 Submittals: Coordinate review process for shop drawings, samples, traffic control plans, test reports, and other submittals from the Contractor for compliance with the contract documents. Key submittals will be transmitted to the Designer for their review. Submittals shall be logged and tracked. 14.7.2 Request for Information (RFI): Review and respond to RFI's, or obtain input from the Designer. RFI's shall be logged and tracked. 14.7.3 Record of Materials (ROM): Develop ROM for use on the project, based on the contract specifications and WSDOT/LAG requirements. 14.8 —Change Orders 14.8.1 Change Orders: Develop change orders, provide technical assistance to negotiate change orders, and assist in resolution of disputes which may occur during the course of the project. A total of 20 man-hours have been included in the cost for services. Additional effort will be considered additional services. (Note: Change orders that may affect project performance, or significantly modify the design, will be transmitted to the Designer for review and concurrence.) 14.9—Additional Services The services described under this task, and any other additional services requested by the Client, will be performed only when authorized by the Client. Authorization to perform additional services will be in the form of a supplement to this agreement, specifying the work to be performed, and will become the basis for payment. 14.9.1 Perform a plan and specification review. 14.9.2 Provide claims analysis and assistance in resolving claims that are protracted in nature and beyond the scope of the change order process described herein. Construction Management Deliverables i. Preconstruction Conference minutes ii. Preconstruction meeting agenda and minutes iii. Survey grade sheets, as necessary, provided by QC survey subconsultant iv. Daily Reports v. Test Reports vi. Construction Photographs — 1 set, including preconstruction photographs and video vii. Bi-weekly meeting minutes viii. Certificate of Substantial Completion ix. Monthly contractor pay requests x. Punchlist 14 EXHIBIT B xi. Physical completion letter and recommendation of final acceptance letter xii. All project records at the completion of the contract, including submittals, Nosii RFI's, change orders, correspondence, and other information. xiii. Construction flyers To be provided by Client: Bid tabulation (electronic) Task 15 — Management Reserve The contingency reserve task is a set aside for use by the City for consultant services not included with this proposal that may be needed when design progresses and additional services are needed but not covered in the scope. The task descriptions and allocated budgets will be developed when requested by the City. Supplemental Services Will be negotiated as an addendum to this scope Water Main Relocation Design Services Change orders may be negotiated for the replacement design of the 16" diameter water line from S. 4th PI to S. 7th St. 15 I EXHIBIT B, DMJM HARRIS 1 AECOM City of Renton 1 Rainier Ave✓BNSF Improvements Detailed Labor&Fee Breakdown Final Design TASKS Project Sr.Civil Design Admin OIC Manager Engineer Engineer CADD QA/QC Assistant Direct Labor Rates $ 72.00 $ 55.00 $ 48.00 $ 35.00 $ 34.50 $ 53.00 $ 28.00 Total 1.0 Project Management Project Administration 2 80 24 106 2.0 Survey and Utility Location(Perteet) Survey Support 8 16 24 48 3.0 Geotechnical(Jacobs 8 Associates) Geotechnical Support 8 12 8 2 30 4.0 Drainage(Rosewater) Modeling Support 8 24 8 2 42 5.0 Environmental Permdtinq Support 8 4 2 14 10.0 Roadway PS&E 10 4 Data Collection/Sde Visits 4 4 4 12 10 5 General Plans(2 sheets) 2 12 20 20 54 Summary of Quantities(1 sheet) 2 12 16 20 50 Typical Sechons(2 sheets) 4 24 35 16 79 Roadway Preparation 8 TESC sheets(3 sheets) 12 36 52 36 136 Roadway Plan and Control Sheets(3 sheets) 16 44 60 32 I 152 Temporary Traffic Control Plans(3 sheets) 16 36 52 32 136 Roadway and Paving Details(2 sheets) 8 40 28 24 100 Intersechon Detail Sheets(1 sheet) 4 12 16 12 44 Low Clearance Warning System Sheets(6 sheets) 16 80 84 60 240 Drainage Plan and Profile Sheets(4 by Rosewater) 4 64 4 18 Drainage and Utility Detail Sheets(3 by Rosewater) 4 6 4 4 18 10 6 Specifications 8 44 52 10 7 Estimates 8 16 40 64 10 8 Preliminary Study - 10 9 BNSF Renton Bridges Plan Set - 1��/ 10 10 As-Built Plans 4 8 20 32 12.0 Coordination/Meetings 12 1 City Meetings 36 12 6 54 12 2 Team Coordination Meetings 30 9 9 9 57 12 3 BNSF/Utility Coordination 8 2 10 13.0 Quality Control Checking and Assurance for Submrttals 8 4 55 8 75 14.0 Construction Management(See Appendix D) Desic„n Totals: 2 306 457 462 295 63 38 1,623 Direct Labor Cost $144 $16,830 $21,936 $16,170 $10,178 $3.339 $1,064 69,661 Overhead @ 139.53%DLC $201 $23,483 $30,607 $22,562 $14,201 $4,659 $1,485 $97,197 Fee p30%DLC $43 $5,049 $6,581 $4,851 $3,053 $1,002 $319 $20,898 Total Labor Costs $388 $45.362 $59,124 $43,583 $27,431 $9,000 $2.868 $187,756 Perteet $5,399 Ross Widener 8 Associates $21,240 Rosewater $77,906 Subtotal Subs. $104,544 Reimburseabins Reproduction -Plan Review Sets 60-90-100 $800 -Final Mylars $650 Travel -Milage 400 Miles @.485/mile $194 Misc(FEDEX,Courier,etc) $500 Total Reimbursibles $2,144 Subtotal Design Fee $294,444 Subtotal CM Fee(See Appendix C) $100,000 15.0 Management Reserve(10%of Design and CM fees) $39,444 Total Fee $433,889 Niger City or Renton Rainier Ave/BNSF Imp Fee Estimate 10/12/2007 Ross Widener&Assoc. City of Renton _ Shattuck Avenue Diversion Sewer Detailed Labor&Fee Breakdown Final Design Senior Project Biologist/ Manager Planner Total Hours Hours Task 1 SEPA Checklist Review Existing Environmental Documentation 4 8 Draft SEPA Checklist 12 40 Revised Draft SEPA Checklist 4 24 Final SEPA Checklist 2 8 Respond to Public and Agency Comments 8 16 Task 2 Historic and Cultural Resources APE Development 4 8 SHPO Coordination 6 4 Draft Report 8 24 Revised Report 4 16 Final Report 3 4 Total hours 55 152 Summary Hours Hourly Rate Project Manager 55 $49.00 Project Biologist 152 $31.00 Direct Labor $7,407 Overhead $11,111 Profit $2,222 Copies Travel Cultural Resource Report $500 TOTAL ESTIMATED COST $21,239.60 *Overhead 150 *Profit of Labor 30% Total Fee $21,239.60 of Renton R NSF Imp a Estimate 10/12/2007 1k1- City Renton Shattuck Avenue Diversion Sewer Detailed Labor&Fee Breakdown Pe rteet Final Design-Surveying TASKS Principal 2-Person 3-Person Project Survey/CAD Clerical/Survey Surveyor Sr.PLS PLS Field Crew Field Crew Surveyor Tech Asst. Direct Labor Rates $ 60.10 $ 42.50 $36.06 $ 54.50 $ 72.50 $ 31.50 $ 30.00 $ 21.Q0 Total 1.0 Protect Management Project Administration 2 2 Project Meetings - 3rd Party Coordination(BNSF, WSDOT,R/W) - 2.0 Surveying Research - Horizontal Control - Vertical Control - Topographic Survey 3 11 15 10 2 41 Maintain Basemap - 8.0 Right of Way Attend Public Meetings - Develop ROW Needs - Appraisals - Offers - Acquisitions - 10.0 Roadway PS&E 13.0 Quality Control Checking and Assurance - Design Totals: 2 3 11 15 - - 10 2 43 Direct Labor Cost $120 $128 $397 $818 $300 142, 1,805 Overhead @ 158.01%DLC $190 $202 $627 $1,293 $0 $0 $474 $66 2,852 Fee @30%DLC $36 $38 $119 $245 $0 $0 $90 $13 $542 Total Labor Costs $346 $369 $1,143 $2,356 $0 $0 $864 $121 $5,199 Reimburseables GPS Receivers @$150/day Robotic EDM 1 @$100/day $100 Travel 206 @$0.485/mile $100 Digital Level @$50/day Misc Total Reimburseabels $200 Total Fee $5,399 12000 ROSEWATER City of Renton ENGINEERING CIVIL CONSULTING Shattuck Avenue Diversion Sewer Detailed Labor&Fee Breakdown Final Design -Drainage Engmeeri TASKS Project Project Senior Design ng Tech Project Manager Engineer Consultant Engineer (CAD) Admin Direct Labor Rates $ 46.00 $ 46.00 $ 58.00 $ 31.00 $ 33.50 $ 28.13 Total Task 1 -Final PS&E A. Project administration(5 months) 10 10 20 B.Site visit(up to 4) 12 12 24 C.Meetings with City/coordination with team(4 meetings assumed) 16 12 28 D.Storm drainage design 1 8 16 25 E.Water/sewer relocation design 1 4 12 17 F. Private utility relocation layout/coord. 1 8 16 25 G. Plan/Profile sheets(3 sheets) 1 12 1 36 60 110 H. Lateral profiles(1 sheet) 1 4 16 20 41 I.Details(3 sheets) 1 8 36 48 93 J. Cost Opinion(3 cycles) 1 8 1 20 2 32 K. Special Provisions(3 cycles) 1 12 1 6 20 L.Submit 60%PS&E 1 4 8 4 2 19 M. Submit 90%PS&E 1 4 8 4 2 19 N.Submit 100%PS&E 1 4 8 4 2 19 O.QA/QC Admin.&Reviews 2 8 12 22 Task 2-Hydraulic Modeling and Technical Report A. Review Existing Hydraulic Model 1 4 5 B. Update Hydraulic Model and run 5 alternative scenarios 1 48 49 C. Update Hydrology Model Input 1 8 9 D. Evaluate Pump Station Performance 1 6 7 E. Modeling Report(draft&final) 4 44 8 56 • Design Totals: 59 194 15 206 140 26 640 Direct Labor Cost $2,714 $8,924 $870 $6,386 $4,690 $731 24,315 Overhead @ 189%DLC $5,129 $16,866 $1,644 $12,070 $8,864 $1,382 $45,956 Fee @ 30%DLC $814 $2,677 $261 $1,916 $1,407 $219 $7,295 Total Labor Costs $8,658 $28,468 $2,775 $20,371 $14,961 $2,333 $77,566 .. ... I( (t rroject Name Shattuck Avenue E J Prepared by DMZ Phase Name Construction Services Doe 8/242007 Project/Promo No Checked by Phase No Dale Dave NI Cathy RooS TOTALS WORK HOURS/ Pro)Mgr Res Eng Scheduler Const Eng Doc Spec Inspector Inspector Inspector CODE TASK DOLLARS $4400 $3000 $3900 1 Project Management 26 $917 00 1 1 Project Organization and layout 12 6 2 $46200 $264 3120 $ie 1 2 Monthly Review and Invoicing 1 2 5 $23800 $88 $150 1 3 Construction Work Plan 6 2 3 1 $21)00 $88 $00 $39 2 On-Call Construction Surveying •See aubconsuRant for survey cost 3 Preconstruchon Services 30 $1438 00 3 1 Preconstruchon Conference 24 8 4904 00 $352 $240 $312 32 PreconsWchon Photos 6 $234 00 $234 4 Communrly Outreach 'See Subconsugant"Norton Arnold"for primary cost $306 00 403 Consfmchon Flyer B 1 6 $308 00 $44 $30 $234 6 Construction Services•Field 634 $24,]18.00 5 1 Conslructron Inspection 630 630 •Inspection time based on 70 working days @ 9 hr/day $24570 00 $24 570 5 2 Matenals Testing •Testing to be provided by Kleinfelder 5 3 Geotechnical Support •Geotechnical support to ha provided by Jacobs 54 Punchlisl 2 2 514800 588 $60 e Construction services-Office 168 $6.930.00 6 1 Document Control 32- 2 30 $988 00 $88 $900 6 2 Prosect Coordination 30 30 $1.32000 $1,320 6 3 Plan Interpretations B 6 2 932400 $264 $60 64 Weekly Meetings 50 30 20 $1,92000 $1 320 $600 65 Initial schedule Review 2 2 $8800 $88 _ 6 6 Monthly Pay Requests 20 8 12 371200 $352 $360 _ 61 Monthly schedule Review 2 $8800 $88 68 Record Drawings 4 Z 2 $14800 088 S60 69 Physical Completion Letter 2 $7400 $44 $30 - 6 10 Prosect Closeout 8 2 6 $26800 $88 _ $180 — 1 SubmOlal Processing 40 $1,306.00 _ _ 1 1 Subirutels 5 6 $400 00 $220 3180 12 Request for Information(RFI) 9 5 $340 00 $220 $120 _ 1 3 Record of Materials(ROM) 20 16 $65600 $176 $480 _ _ 8 Change Orders 20 10 6 5 078500 $440 5160 $195_ TOTALS 915 130 121 655 $3519200 $5.12000 $3.81900 $2566200 Direct Salary $35 192 00 Overhead @ 138 19%for Home Office stall 07.90441 OUTSIDE REIMBURSABLE$ SUBCONSULTANTS INTERNAL RATE PAY ITEMS Overhead @ 10512%for Field Office staff $30 08091 Per Diem 08H Pacific-.O!Call Survey $2.500 Plan Copying Note Dave M is Home Office Overhead Once(Traileneleclncaliselupl Kleinfelder-Materials Testing $9,500 Plotting Subtotal 514.01144 Travel Jacobs-Geolech/Dewatering $2.000 CopYing Photo processing Computer ICADD) Fee al 1500% $11,11192 Call Phone $350 Mlleage($0445/mile) Outside Reimbursable$B SubconsulInta $14 810 94 Reproducticn/Photos-Processing Word Proc Internal Rate Pay Items Postage/Delivery MarkuplE1801= Ilnte GRAND TOTAL= S100,000001 Mleagepers vehicle 5250 Total $14.00000 Other Supplies $200 90 Total= Other $10 94 Markup= Estimate Construction Cost $1,000,00000Total= $81094 Cast as a percent of construction Cost 10 0%I CITY OF RENTON PLANNING/BUILDING/PUBLIC WORKS TRANSPORTATION SYSTEMS DIVISION 2007-2012 SIX-YEAR TIP Rainier Avenue -SW 7th St to S 4th PI Functional Classification: Principal Arterial Fund: 317 Proj.Length: 0.3 miles Proj: 12308 RANK: 11 CONTACT: Jason Fritzler 425.430.7243 DESCRIPTION: STATUS: Improvements complete a missing link, remove barriers,eliminate sub-standard conditions,control and 30%design is complete. BNSF has approved a steel thru-plate girder bridge type. consolidate access points to existing major businesses,and provide an enhanced pedestrian Construction funding will be pushed to 2010. The TIB awarded$2,208,000 in environment. Project elements include adding a third NB through-lane,adding a left-turn lane,removing Transportation Partnership Program(TPP)grant funds in November 2003. $300,000 of the BNSF railroad bridge support pier, lowering the roadway to provide standard clearance under the mitigation funds must be dedicated to this project to fulfill the grant requirements. bridge, and widening sidewalks to 10 feet with streetscaping. . JUSTIFICATION: CHANGES: Existing high level of traffic congestion and accidents. Bottleneck including reduction of lanes from three Due to the high volume of traffic on the Rainier Corridor,construction of both railroad to two at S 7th St and the BNSF bridge and support pier just south of S 4th PI. The improvements will bridges(Hardie and Rainier)will occur simultaneously(2007-2008),and Hardie will be enhance traffic flow and reduce accidents. They will provide a missing link on Rainier Ave.with one widened to accommodate detour traffic on Rainier. This will put construction of Rainier into additional northbound(NB)lane. 2009-2010. The 30%design cost estimate is reflected in the programmed funds below. The total project cost has increased approximately$2.4 million. 1 Funded :1 7,231,8191 Unfunded :1 2,057,836 Project Totals Programmed Pre-2007 Six Year Program ITEM Programmed Spent Pre-2006 2006 Total 2007 2008 2009 2010 2011 2012 EXPENSES: Project Development Precon Enq/Admin 1,139,655 289,655 721,000 129,000 129,000 R-O-W(includes Admin) 500,000 150,000 350,000 350,000 Construction Contract Fee 6,500,000 6,500,000 1,500,000 1,500,000 1,750,000 1,750,000 Construction Eng/Admin 650,000 650,000 150,000 150,000 175,000 175,000 Other-BNSF work 500,000 500,000 500,000 TOTAL EXPENSES 9,289,655 289,655 871,000 8,129,000 2,629,000 1,650,000 1,925,000 1,925,000 SOURCES OF FUNDS: Vehicle Fuel Tax 365,000 365,000 100,000 245,000 20,000 Business License Fee 949,900 149,900 800,000 20,000 680,000 100,000 Proposed Fund Balance 3,182,719 181,437 409,600 2,591,682 2,279,000 312,682 Grants In-Hand 2,208,000 3,518 90,000 2,114,482 150,000 1,000,000 964,482 Mitigation In-Hand 526,200 104,700 221,500' 200,000 100,000 100,000 Bonds/L.I.D.'s Formed Other In-Hand Grants Proposed Mitigation Proposed L.I.D.'s Proposed Other Proposed Undetermined 2,057,836 2,057,836 1,217,318 840,518 TOTAL SOURCES 9,289,655 289,655 871,000 8,129,000 2,629,000 1,650,000 1,925,000 1,925,000 R.,me,-RR BrtlQ 08282008 9 b AM 5-11 FINAL SITE MAP SHATTUCK AVENUE E I 'u4 j 4 f'''':1;.'" .::.::.0 nk.. w t� pi k 1 1 .j y' j j_ {p� F F F T g 3& t .- e' RRA!! !�s ~ `4 s r '. •�"? d ,, ' `' [. -,,.i k` „s - ' • t '', ' u ,b . , North x i _ ,p0.1"' S'' p' - t �[} i . *tit.' `� & cif ya':_g r4;.‘,„,,,`Ll'''''i,fig'''.•;-..,*„7."1.x'' `'* Taa„7 „,,,,,t,,,,,,,..4i � � yr: 4 }:.,:-.1 ',P, ] ,I EfiNtit1.1,:c..:::,--"t?-1.444- t`• .,,,.4.,: ?i 0. q � Noy 7'i �{� A - ��^y. )yid] /�`yy■+ s -� a a. ---i-,� � � !. � It � � �� t -s� ab�(ji�2t� i iv- „,,,,iit,„ p. ,.., , k _,g 4 w- . I a A rt 20.,.-... a l h st Pt F a BA 1' .t,T, , a} A I r� tr i tg f a y _ `�.:-;,-*:..-.L.-.-.' �t!r r 4,16,1:44 ;-- ,.,,,,,.. ,-sGx. - t "arm .`'v a Wv,v 1,,,-,.-s M1 & .. Li I ...:1.;,..-4171.-f.'-:',.:,--.,,, klik '� r' ,w t '. �yy ,� su ; ..„ , :.,,,c. , .,‘,. , � ter r T� �� s. 1 .' .7 yea i:„....:' �� ”r 2 ��""� � � � ;�� '� i! i-! �K>�'f¼T'i tM� a ''''*;.'',,'*-,,,'71 3,-, ,�' J a z',1 r » p ill � 3 f4F �,p . #F yam' "" k i3>°t dd� �,r, t `t ax Street improvements — sidewalks, pavement, sacrificial beams burr New 48 inch diameter storm water pipe CITY OF RENTON COUNCIL AGENDA BILL AI #: g,Volie Submitting Data: Planning/Building/Public Works For Agenda of: Dept/Div/Board.. Utility Systems/Water Utility October 22, 2007 Staff Contact Abdoul Gafour(ext. 7210) Agenda Status Tom Malphrus (ext. 7313) Consent X Subject: Public Hearing.. Construction Special Inspection and Material Services Correspondence.. Agreement with Otto Rosenau& Associates, Inc., for Ordinance Hazen Reservoir. Resolution Old Business Exhibits: New Business Issue Paper Study Sessions Construction Special Inspection and Material Services Information Agreement Recommended Action: Approvals: Council Concur Legal Dept X • Finance Dept X Other Fiscal Impact: N/A Expenditure Required $79,187.00 Transfer/Amendment N/A Amount Budgeted $100,000.00 Revenue Generated N/A Total Project Budget $6,500,000.00 City Share Total Project 100% (2007 and 2008 total project budget) Acct.#425.500.018.5960.34.65.055515 SUMMARY OF ACTION: The Water Utility requests approval of the Construction Special Inspection and Material Testing Services Agreement with Otto Rosenau& Associates, Inc., in the amount of$79,187.00, for special inspection services during the construction of the Hazen Reservoir project. The International Building Code requires the Water Utility, as project owner, to engage the services of a special inspection agency for the construction of the Hazen Reservoir project. Services to be provided under this agreement include inspection of concrete and rebar placement, concrete strength testing, and inspection of structural steel construction and welding. STAFF RECOMMENDATION: Approve and execute the Construction Special Inspection and Material Testing Services Agreement with Otto Rosenau& Associates, Inc., in the amount of$79,187.00, for services during the construction of the Hazen Reservoir project. Sissi H:\File Sys\WTR-Drinking Water Utility\WTR-27-Water Project Files\WTR-27-3214 Hazen 565 Zone Reservoir Construction\Speciallnspection\AgendaBillOR.doc\TMtp PLANNING/BUILDING/ PUBLIC WORKS DEPARTMENT Uti � MEMORANDUM DATE: October 11, 2007 TO: Toni Nelson, Council President Members of the Renton City Council VIA: Kathy Keolker, Mayo FROM: Gregg Zimmerma6yeninistrator STAFF CONTACT: Abdoul Gafour, Water Utility Supervisor (ext. 7210) Tom Malphrus, Water Utility Engineer (ext. 7313) SUBJECT: Special Inspection and Material Testing Services Agreement with Otto Rosenau & Associates, Inc., for the Hazen Reservoir Project ISSUE: Should Council approve a Construction Special Inspection and Materials Testing Services Agreement with Otto Rosenau & Associates, Inc., for services related to the construction of the Hazen Reservoir project, in the amount of$79,187.00? RECOMMENDATION: Approve the Construction Special Inspection and Materials Testing Services Agreement with Otto Rosenau& Associates. Inc., for services related to the construction of the Hazen Reservoir project, in the amount of $79,187.00. BACKGROUND SUMMARY: On September 24, 2007, City Council awarded the contract in the amount of $5,404,265.96, for the construction of the Hazen Reservoir to T. Bailey, Inc. Council also approved additional budget appropriation in 2008 to cover all necessary work related with the project, with a total project budget in 2007 and 2008, not exceeding $6,500,000.00. The total project budget included the cost for consultant services for construction special inspection and material testing. The International Building Code (IBC) requires the Water Utility, as project owner, to engage the services of a special inspection agency for the construction of the Hazen Reservoir project. During the bid advertisement for the reservoir construction contract, the Water Utility requested and received proposals from several firms to provide special inspection services. The Water Utility selected Otto Rosenau & Associates, Inc., to . Council/Hazen Special Inspection October 11, 2007 Page 2 of 2 provide this service due to their expertise in this field and their satisfactory past performance on previous Water Utility projects including the Maplewood Water Treatment Plant. Otto Rosenau & Associates, Inc., is a Washington Association of Building Officials registered testing agency, and as such is approved to provide special inspection and materials testing services. Services to be provided under this agreement include, but are not limited to: concrete placement inspection (IBC Section 1704.4); rebar placement inspection (IBC Section 1704.4); concrete air content, slump and compressive strength testing (IBC Section 1704.4); weld inspection (AWWA D100-05), and structural observation (IBC 1709). Funding for this contract is available from the Water Utility 2007 Capital Improvement Program budget (account #425.000500.018.5960.0034.65.055515). The cost for this agreement for construction special inspection and material testing services was included in the additional budget appropriation, which was approved by Council on September 24, 2007. CONCLUSION: Council's approval of the Construction Special Inspection and Materials Testing Services Agreement with Otto Rosenau & Associates, Inc., is needed to assure that the construction of the reservoir meets inspection requirements of the International Building '441010 Code. Construction of the reservoir is scheduled to start in January 2008 and be completed by December 2008. cc: Lys Hornsby,Utility Systems Director File H:\File Sys\WTR- Drinking Water Utility\WTR-27 -Water Project Files\WTR-27-3214 Hazen 565 Zone Reservoir Construction\SpecialInspection\IssuePaperSpecialInsp.doc\TMtp CONSTRUCTION SPECIAL INSPECTION AND MATERIAL TESTING SERVICES AGREEMENT THIS AGREEMENT, made and entered into on this , day of , 2007, by and between the CITY Or RENTON, WASHINGTON, A MUNICIPAL CORPORATION HEREINAFTER CALLED THE "CITY," and the consulting firm Otto Rosenau &Associates,Inc.,whose address is, 6747 Martin Luther King Jr.Way S. Seattle,WA 98118-3216,at which work will be available for inspection, hereinafter called the"CONSULTANT." PROJECT NAME: Special Inspection&Material Testing Services for Hazen Reservoir WHEREAS, the City has not sufficient qualified employees to provide construction special inspection and material testing services within a reasonable time and the City deems it advisable and is desirous of engaging the professional services and assistance of a qualified professional construction special inspection and material testing firm to do the necessary inspection and testing work for the Hazen Reservoir project, and WHEREAS, the Consultant has represented and by entering into this Agreement now represents, that it is in full compliance with the statutes of the State of Washington for the applicable construction special inspection and material testing, has a current valid corporate certificate from the State of Washington or has a valid assumed name filing with the Secretary of State and that all personnel to be assigned to the work required under this Agreement are fully qualified to perform the work to which they will be assigned in a competent and professional manner, and that lks"' sufficient qualified personnel are on staff or readily available to staff this Agreement. WHEREAS, the Consultant has indicated that it desires to do the work set forth in the Agreement upon the terms and conditions set forth below. NOW THEREFORE, in consideration of the terms, conditions,covenants and performances contained herein below, the parties hereto agree as follows: OBJECTIVES AND SCOPE OF WORK The objective of this Agreement is to provide construction special inspection and material testing services during the construction of the Hazen Reservoir project. The scope of work shall include all services necessary to accomplish the work and shall detail the documents to be provided as agreed to under Task Orders Authorized during the duration of this Agreement. 1. The City in entering into this Agreement does not guarantee any specific dollar amount of work during the term of this Agreement. The maximum amount payable under this contract inclusive of all fees and other costs is$79,187.00. l of 14 2. The City will FAX the Consultant a Task Order form requesting services. The request will be made at least twenty-four (24) hours prior to when the services are required to be delivered to the City. The Consultant shall respond in writing (FAX) and by telephone within four (4) hours of the request for„voi construction inspection and testing services, with an acknowledgment of receipt of the request and if agreeable to the Consultant an agreement to provide personnel necessary for the proposed scope of work and a cost estimate for completing the requested services, based upon the rates specified in the attached Exhibit"A" and as shall be detailed on the Task Order form. 3. The Consultant shall initiate the specified work on the date(s) and within the time frame(s) specified on the Task Order and after approval of the Task Order's scope of work,schedule, and estimated cost. 4. The Consultant shall provide the necessary services to the level that is warranted by the specific scope of work of each authorized Task Order. The scope of work shall include all services and materials necessary to accomplish the work as shall be indicated in a format substantially similar to that of the Task Order Authorization attached. The Consultant shall perform all work described in this Agreement and subsequent Task Orders to conform with the policies and standards set forth in Section II and the latest edition and amendments to local and state regulations, guidelines and policies. The Consultant shall prepare such information and studies as it may deem pertinent and necessary, in order to pass judgment in a sound professional manner on the features of the work. The Consultant shall make such minor changes, amendments or revisions in the detail of the work as may be required by the City. This item does not constitute an "Extra Work" item as related in Section VIII of the Agreement. The work shall be verified for accuracy by a complete check by the Consultant and shall be so certified by the Consultant. The Consultant will be held responsible for the accuracy of the work, even though the work has been accepted by the City. II INSPECTION AND TESTING CRITERIA The City will designate the basic premises and criteria for the work needed. Reports, to the extent feasible,shall be developed in accordance with the latest edition and amendments of local and State regulations, guidelines, and specifications, including,but not limited to the following: 1. The latest IBC edition adopted by the City of Renton 2_ All pertinent Washington State legislation. I All pertinent sections of the Washington State Administrative Code (WAC). 2 of 14 III ITEMS TO BE FURNISHED TO THE CONSULTANT BY THE CITY The City will furnish the Consultant with a set of the construction plans and specifications for the Hazen Reservoir project to facilitate the preparation of the estimates within the limits of the assigned work. IV OWNERSHIP OF PRODUCTS AND DOCUMENTS TO BE FURNISHED BY THE CONSULTANT Test data,reports,radiograph films and image,ultrasonic testing graphs, etc. for the work covered by this Agreement shall be furnished by the Consultant to the City upon completion of the various phases of the work. All such material, including working documents, notes, maps, drawings, photographs, photographic negatives, etc. used in the Task Order, shall become and remain the property of the City and may be used by it without restriction; except that, any use of such documents by the City not directly related to the Task Order pursuant to which the documents were prepared by the Consultant shall be without any liability whatsoever to the Consultant. Where possible and feasible all written documents and products shall be printed on recycled paper. Final documents, and interim drafts as feasible, will be printed on both sides of the recycled paper. `NNW V TIME OF BEGINNING AND COMPLETION This agreement shall be in effect until July 1, 2009. The Consultant shall not begin work under the terms of this Agreement until authorized in writing by the City by a Task Order. The time for completion of work performed under this Agreement shall be specified in the Authonzed Task Order and as authorized in writing. If this contract would expire prior to the completion date of any Task Order, then this contract shall be automatically extended to the termination date of the Task Order. Established completion time shall not be extended because of any delays attributable to the Consultant, but may be extended by the City in the event of a delay attributable to the City or because of a delay caused by an act of God or governmental actions or other conditions beyond the control of the Consultant. A supplemental agreement issued by the City is required to extend the established time. Delays attributable to or caused by one of the parties hereto amounting to 30 clays or more affecting the completion of the work may be considered a cause for re negotiation or termination of this Agreement by the other party. 3of14 VI PAYMENT NIS The Consultant shall be paid by the City for completed work for services rendered under this Agreement as provided hereinafter. Such payment shall be full compensation for work performed or services rendered and for all labor, materials, supplies, equipment, and incidentals necessary to complete the work. All billings for compensation for work performed under this Agreement will list actual time (days and/or hours) and dates during which the work was performed and the compensation shall be figured using the rates in Exhibit A. Time&Materials Billing Payment for work accomplished shall be on the basis of the rates in Exhibit A and will be for only those quantities delivered/hours worked. It is assumed that the billing rate for personnel provided covers the overhead and profit margins for the firm. No payment will be made for overhead or profit beyond the rates established in Exhibit A. 1. The billing rates should cover the salary expense for professional and technical personnel and principals for the time they are productively engaged in the work necessary to fulfill the terms of this Agreement. The ,billing rates are set forth in the attached Exhibit "A" and by this reference made a part of this Agreement. The billing rates may be updated annually by written approval of the Planning/Building/Public Works Administrator. 2. The material costs are those costs directly incurred in fulfilling the terms of this Agreement, including, but not limited to travel, reproduction, telephone, supplies, and fees of outside consultants. The material costs will be established for each Task Order which when executed will become a part of this Agreement. Billings for any material costs shall be supported by copies of original bills or invoices. Reimbursement for outside consultants and services shall be no greater than 1.15 times the invoiced amount. 3. The maximum amount payable for completion of all work under this Agreement on a time and materials basis is determined by the total of Authorized Task Orders. 4. Progress payments may be claimed monthly for time and materials actually incurred to date as supported by detailed statements. Final payment of any balance due the Consultant of the gross amount earned per Task Order will be made promptly upon its verification by the City after completion and acceptance by the City of the work for each Task Order under this Agreement. Acceptance, by the Consultant of final payment on the Task Order shall constitute full and final satisfaction of all amounts due or claimed to be due, for the specific Task Order. Payment for extra work performed under this Agreement shall be paid as agreed to by the parties hereto in writing at the time extra work is authorized. (Section VIII "EXTRA WORK"1. 4 of 14 A short narrative progress report shall accompany each voucher for progress payment. The report shall include discussion of any problems and potential causes for delay. Acceptance of such final payment by the Consultant shall constitute a release of all claims of any nature, related to the specific Task Order, which the Consultant may have against the City unless such claims are specifically reserved in writing and transmitted to the City by the Consultant prior to its acceptance_ Said final payment shall not, however, be a bar to any claims that the City may have against the Consultant or to any remedies the City may pursue with respect to such claims that the City may have against the Consultant or to any remedies the City may pursue with respect to such claims. The Consultant and its subconsultants shall keep available for inspection, by the City, for a period of three years after final payment, the cost records and accounts pertaining to this Agreement and all items related to, or bearing upon, these records. If any litigation, claim or audit is started before the expiration of the three-year retention period, the records shall be retained until all litigation, claims or audit findings involving the records have been resolved. The three-year retention period starts when the Consultant receives final payment. VII CHANGES IN WORK The Consultant shall make all such revisions and changes in the completed work for each Task Order as are 4'400' necessary to correct mistakes and blunders appearing therein, when required to do so by the City, without additional compensation. Should the City find it desirable for its own purposes to have previously satisfactorily completed work or parts thereof revised, the Consultant shall make such revisions, if requested and as directed by the City in writing. This work shall be considered as Extra Work and will be paid for as provided in Section VIII. VIII EXTRA WORK The City may desire to have the Consultant perform work or render services in connection with a Task Order Assignment in addition to or other than work provided for by the expressed intent of the Scope of Work of the Task Order. Such work will be considered as Extra Work and will be specified in a written supplement to the Task Order • which will set forth the nature and scope thereof. Work under a supplemental Task Order shall not proceed until authorized in writing by the City. Any dispute as to whether work is Extra Work or work already covered under a Task Order shall be resolved before the work is undertaken. Perfonuance of the work by the Consultant prior to resolution of any such dispute shall waive any claim by the Consultant for compensation as Extra Work. 5of14 IX ' EMPLOYMENT The Consultant warrants that it has not employed or retained any company or person, other than a bona fide employee working solely for the Consultant, to solicit or secure this contract and that he has not paid or agreed to pay any company or person, other than a bona fide employee working solely for the Consultant, any fee, commission,percentage,brokerage fee, gifts or any other consideration, contingent upon or resulting from the award or making of this contract. For breach or violation of this warranty, the City shall have the right to annul this Agreement without liability, or in its discretion to deduct from the Agreement price or consideration or otherwise recover, the full amount of such fee,commission,percentage,brokerage fee, gift or contingent fee. Any and all employees of the Consultant, while engaged in the performance of any work or services required by the Consultant under this Agreement, shall be considered employees of the Consultant only and not of the City and any and all claims that may or might arise under the Workman's Compensation Act on behalf of said employees,while so engaged and any and all claims made by a third party as a consequence of any negligent act or omission on the part of the Consultant's employees, while so engaged on any of the work or services provided to be rendered herein,shall be the sole obligation and responsibility of the Consultant. The Consultant shall not engage, on a full or part-time basis, or other basis, during the period of the contract, any professional or technical personnel who are, or have been at any time during the period of this contract, in the employ of the City except regularly retired employees, without written consent of the public employer of such person. If during the time period of this agreement, the Consultant finds it necessary to increase its professional,technical, or clerical staff as a result of this work, the consultant will actively solicit minorities through their advertisement and interview process. X NONDISCRIMINATION The Consultant agrees not to discriminate against any client, employee or applicant for employment or for services because of race, creed, color, national origin, marital status, sex, sexual orientation, age or handicap except for a bona fide occupational qualification with regard to, but not limited to the following: employment upgrading; demotion or transfer; recruitment or any recruitment advertising; layoff or terminations; rates of pay or other forms of compensation; selection for training; rendition of services. The Consultant understands and agrees that if it violates this Non-Discrimination provision, this Agreement may be terminated by the City and further that the 4400 Consultant shall he barred from performing any services for the. City now or in the future_ unless a showing is made satisfactory to the City that discriminator-practices have terminated and that recurrence of such action is unlikely. 6 of 14 XI TERMINATION OF AGREEMENT Now A. The City reserves the right to terminate this Agreement at any time upon not less than ten (10) days written notice to the Consultant, subject to the City's obligation to pay Consultant in accordance with subparagraphs C and D below. B. In the event of the death of a member, partner or officer of the Consultant, or any of its supervisory personnel assigned to the project, the surviving members of the Consultant hereby agree to complete the work under the terms of this Agreement, if requested to do so by the City. This section shall not be a bar to re-negotiations of this Agreement between surviving members of the Consultant and the City, if the City so chooses. In the event of the death of any of the parties listed in the previous paragraph, should the surviving members of the Consultant, with the City's concurrence, desire to terminate this Agreement, payment shall be made as set forth in Subsection C of this section. C. In the event this Agreement is terminated by the City other than for fault on the part of the Consultant, a final payment shall be made to the Consultant for actual time and material expenses for the work complete at the time of termination of the Agreement. In addition, the Consultant shall be paid on the same basis as above for any authorized extra work completed. No payment shall be made for any work completed after ten (10) days following receipt by the Consultant of the Notice to Terminate. If the accumulated payment made to the Consultant prior to Notice of Termination exceeds the total amount that would be due as set forth herein above, then no final payment shall be due and the Consultant shall immediately reimburse the City for any excess paid. D. In the event the services of the Consultant are terminated by the City for fault on the part of the Consultant, the above stated formula for payment shall not apply. In such an event the amount to be paid shall be determined by the City with consideration given to the actual costs incurred by the Consultant in performing the work to the date of termination, the amount of work originally required which was satisfactorily completed to date of termination, whether that work is in a form or of a type which is usable to the City at the time of termination, the cost to the City of employing another firm to complete the work required and the time which may be required to do so, and other factors which affect the value to the City of the work performed at the time of termination. tinder no circumstances shall payment made under this subsection exceed the amount which would have been made if the formula set forth in subsection C above had been applied. E. In the event this Agreement is terminated prior to completion of the work, the original copies of all reports, documents, radiographs, etc prepared by the Consultant and its subconsultants prior to termination shall become the property of the City for its use without restriction. Such unrestricted use not occurring as a part of this project, shall be without liability or legal exposure to the Consultant. 7 of 14 Airok F. Payment for any part of the work by the City shall not constitute a waiver by the City of any remedies of any type it may have against the Consultant for any breach of this Agreement by the Consultant, or for failure of the Consultant to perform work required of it by the City. Forbearance of any rights under the Agreement will not constitute waiver of entitlement to exercise those rights with respect to any future act or omission by the Consultant. XII DISPUTES Any dispute concerning questions of facts in connection with work not disposed of by agreement between the Consultant and the City shall be referred for determination to the Director of Planning/Building/Public Works or his/her successors and delegees,whose decision in the matter shall be final and conclusive on the parties to this Agreement. In the event that either party is required to institute legal action or proceedings to enforce any of its rights in this Agreement. both parties agree that any such action shall be brought in the Superior Court of the State of Washington, situated in King County. XIII LEGAL RELATIONS The Consultant shall comply with all Federal Government, State and local laws and ordinances applicable to the work to be done under this Agreement. This contract shall be interpreted and construed in accordance with the laws of Washington. The Consultant agrees to indemnify, defend and hold the City and its officers and employees harmless from and shall process and defend at its own expense all claims, demands or suits at law or equity arising in whole or part from the Consultant's errors, omissions, or negligent acts under this Agreement provided that nothing herein shall require the Consultant to indemnify the City against and hold harmless the City from claims, demands or suits based upon the conduct of the City, its officers or employees and provided further that if the claims or suits are caused by or result from the concurrent negligence of (a) the Consultant's agents or employees and (b) the City, its agents, officers and employees, this provision with respect to claims or suits based upon such concurrent negligence shall be valid and enforceable only to the extent of the Consultant's negligence or the negligence of the Consultant's agents or employees except as limited below. The Consultant shall secure general liability, property damage, auto liability, and professional liability coverage in the amount of$1.0 million, with a General Aggregate in the amount of$2.0 million, unless waived or reduced by the City. The Consultant shall submit a completed City of Renton Insurance Information Form, and the Standard Acord Certification Form prior to the execution of the contract. The City of Renton will be named as Additional Insured(s)on (CONTRACTOR'S) policy, with that coverage being primary and non-contributory with any other policy(ies) available to the City. A copy of the endorsement shall be provided to the City. The limits of said insurance shall not, however, limit the liability of Consultant hereunder. All coverages provided by the Consultant shall be in a form, and underwritten by a company acceptable to the City. The City will normally require earners to have minimum A.M. Best rating of A XII_ The Consultant shall keep all 8 of 14 required coverages in full force and effect during the life of this project, and a minimum of forty five days' written notice shall he given to the City prior to the cancellation of any policy. The Consultant shall also submit copies of the declarations pages of relevant insurance policies to the City within 30 days of contract acceptance if requested. 'Fhe Certification and Declaration page(s) shall be in a form as approved by the City. If the City's Risk Manager has the Declaration page(s) on file from a previous contract and no changes in insurance coverage has occurred,only the Certification Form will be required. The Consultant shall verify, when submitting first payment invoice and annually thereafter, possession of a current City of Renton business license while conducting work for the City. The Consultant shall require, and provide verification upon request, that all subponsultants participating in a City project possess a current City of Renton business license. The Consultant shall provide, and obtain City approval of, a traffic control plan prior to conducting work in City right-of-way. The Consultant's relation to the City shall be at all times as an independent contractor. It is further specifically and expressly understood that the indemnification provided herein constitute the Consultant's waiver of immunity under the Industrial Insurance Act, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this agreement. XIV SUBLETTING OR ASSIGNING OF CONTRACTS The Consultant shall not sublet or assign any of the work covered by this Agreement without the express consent of the City. 'err XV ENDORSEMENT OF DATA The Consultant shall place their certification on all inspection and test data furnished by them in accordance with RCW 18.43.070. XVI COMPLETE AGREEMENT This document and referenced attachments contain all covenants, stipulations. and provisions agreed upon by the parties. Later Task Orders will be in writing and executed and will become part of this agreement. No agent, or representative of either party has authority to make, and the parties shall not be bound by or be liable for, any statement, representation, promise, or agreement not set forth herein. No changes. amendments. or modifications of the terms hereof shall be valid unless reduced to writing and signed by the parties as an amendment to this Agreement. The invalidity or unenforceability of any provision in this Agreement shall not affect the other provisions hereof, and this Agreement shall be construed in all respects as if such invalid or unenforceable provision were omitted. 9of 14 XVIII EXECUTION AND ACCEPTANCE This Agreement may be simultaneously executed in several counterparts, each of which shall be deemed to be an original having identical legal effect. The Consultant does hereby ratify and adopt all statements, representations, warranties, covenants, and agreements contained in the Request for Qualifications, and the supporting materials submitted by the Consultant, and does hereby accept the Agreement and agrees to all of the terms and conditions thereof. IN WITNESS WHEREOF,the parties hereto have executed this Agreement as of the day and year first above written. CONSULTANT CITY OF RENTON Si! —t-C(7-(60—k,-NO CA (2-1/0-1 .• ure Date Kathy Keolker,Mayor Date Tar', tom.0 5 nr 4 u 1PA/51 iv c7 ATTEST: type or print name t?' 2 6if2,Eali Title Ned 10 of 14 TASK ORDER AUTHORIZATION City of Renton Project No. %ay Name of Project Master Agreement No. _ Task Order Authorization No. The City desires to authorize engineering services pursuant to the Master Agreement entered into with and executed on and identified as Master Agreement No. All provisions in the Master Agreement remain in effect except as expressly modified by this work Authorization, and are incorporated herein by reference. Scope of Task Order Description Date/ Test Quantity Unit Total Time Method Price* Estimated Required Cost* its ,,, Total Estimated Task Order Cost S *Includes all overhead,profit, taxes and, where applicable,mark-up on subconsuitant's work. If you concur in this Task Order Authorization and agree to the items as stated above,please sign in the appropriate spaces below and return to this office for final action. The maximum amount payable under this work authorization inclusive of all fees and other costs is S All work under this work authorization shall be performed pursuant to the terms, conditions, specifications.and limitations contained in the Master Agreement. Consultant's Signature Approving Authority Date of Authorization: Ikapre I of 14 *4110 G4.0 AFFIDAVIT OF COMPLIANCE O yi'o -R 47,5 -N1/944 t- / ssa c f,q 7-1=-7,5my ,. . hereby confirms and declares that (Name ofcontractor/subcontractoriconsultantlsupplter) I. It is 07—r o ryas --ii AU r- Xis 5G r.: 3 Fs 1__Z-,,i e . policy to offer equal (Name ofcontractor/subcontractor/consultant/supplier) opportunity to all qualified employees and applicants for employment without regard to the race,creed,color, sex,national origin, age, disability or veteran status. H. c,7`%d , ,se",..4 a r /4{s 50c „q 7-4=s �vecomplies with all applicable federal, (Name of contractor/subcontractor/consultant/supplier) state and local laws governing non-discrimination in employment. H. When applicable, a -7-7-e ado s,g 1v4,,, r rf ss c;,9 r,S' Z,v c , will seek out and (Name of contractor/subcontractor consultant/supplier) negotiate with minority and women contractors for the award of subcontracts. J ut,s 1 ?,s CNH N- Pays ,rtO 1JRAcs,i'.&-ti Print Agent/Representative's'hjame and Title . ' LAQ-uc.-a-e/ ---,- .._ Agent 'epresentative's Signature Instructions: This document MUST be completed by each contractor, subcontractor, consultant and/or supplier. Include or attach this document(s) with the contract. 14 of 14 Otto Rosenau & Associates, Incorporated Geotechnical Engineering,Construction Inspection&Materials Testing City of Renton Hazen Reservoir iotime Proposal No 07-721 August 30,2007 Page4of7 Exhibit A _T, -,I, _ i=s '..ts -' :RMA ON STP -41-,e F-:' 'ffs 5.:CHFD..JLE Description of Services Unit Fee I. Labor(Personnel) Rates: Administrative Staff(Daily Report Preparation, Review and Distribution) Hour No Charge Supervisor(Internal Report Review and Inspector Supervision) Hour No Charge Project Manager(If Required) Hour $87.00 Professional Engineer Hour $113.00 Geologist Hour $87.00 Engineering Technician Hour $70.00 Soils/Asphalt Compaction Testing Technician Hour $53.00 Special Inspector: a) Reinforced Concrete(Includes Reinforcing Steel,Anchor Bolts, Holdowns) b) Post-Tensioned Concrete c) Shotcrete d) Reinforced Masonry Hour $51.00 e) Spray-Applied Fireproofing 'Noe f) Lateral Wood/Framing—Nailing, Straps, etc. g) Miscellaneous—Epoxy Grouting, Seismic Ties,etc. Structural Steel and Welding Inspector(AWS-CWI) Hour $56.00 Nondestructive Testing Technician (Ultrasonic, Magnetic Particle, Liquid Penetrant Hour $60.00 Testing) II. Laboratory (Materials) Testing: Soil Grain Size Distribution (Sieve Analysis; D422) Each $80.00 Soil Moisture-Density Relationship(Proctor;D1557) Each $160.00 Asphalt Oil Content by Ignition with Gradation Each $160.00 Asphalt Rice Density(D2041/WSDOT T-209) Each $75.00 Compressive Strength Test Specimens(Cylinders, Grout,and/or Mortar—C39/ Each $16.00 C109/C1019) Fireproofing Density Specimens(E605) Each $60.00 Masonry Prisms/Concrete Masonry Units (C1314) Each $85.00 Shotcrete Test Panel (Includes 4 Cores;Cl 140) Each $160.00 Sawcutting of Test Specimens Each $5.00 III. Miscellaneous/Reimbursable Expenses: Associated Mileage(Within 50 miles radius otherwise$0.60/mile portal to portal) Mile No Charge Cure Box Refundable Deposit(If not damaged or not provided by the Contractor) 1-Time $100.00 ._ Project Associated Reimbursable Items (e.g. Subcontracted Services,Parking Fees, Lot Cost + 2 % loireConsumable Safety Gear,etc.) Final Inspection/Review/Report Hour $75.00 Note: Additional services are available, and will be provided upon request, at our published rates and fees. ....mow. CITY OF RENTON COUNCIL AGENDA BILL AI#: ' C O Submitting Data: AJLS For Agenda of: October 22, 2007 oilarwe Dept/Div/Board.. Mayor's Office Staff Contact Marty Wine, Asst CAO (x6526) Agenda Status Consent X Subject: Public Hearing.. Interlocal Agreement with King County regarding Correspondence.. Benson Hill Communities Annexation Ordinance Resolution X Old Business Exhibits: New Business Issue Paper Study Sessions Benson Hill Communities Interlocal Agreement Information Resolution Recommended Action: Approvals: Ceuccil conoar Legal Dept X /�,�^- _ / / ' to-A4,_;he Finance Dept /` 7D c Other Fiscal Impact: Expenditure Required... Transfer/Amendment Amount Budgeted Revenue Generated $1.7M (2008) Total Project Budget City Share Total Project SUMMARY OF ACTION: The proposed resolution authorizes the Mayor to execute an interlocal agreement with King County. The agreement transfers properties, sets an effective date of annexation, and makes $1.7 million in King County Annexation Initiative funding available for transfer to the City with an affirmative annexation vote. STAFF RECOMMENDATION: Accept the negotiated terms of the Benson Hill Communities Interlocal Agreement and authorize the Mayor and City Clerk to enter into an interlocal agreement with King County. b411001 • Rentonnet/agnbill/ bh C..ti`0. 0 ADMINISTRATIVE, JUDICIAL, AND • 6 en, , LEGAL SERVICES DEPARTMENT MEMORANDUM DATE: October 22, 2006 TO: Council President Toni Nelson Renton City Councilmembers FROM: (Y-w--"Mayor Kathy Keolker STAFF CONTACT: Marty Wine, Assistant Chief Administrative Officer(x6526 SUBJECT: Interlocal Agreement with King County regarding Benson Hill Communities Annexation Area ISSUE Should the City of Renton enter into an interlocal agreement with King County to transfer properties upon annexation, identify an effective date of the annexation, and make available the transfer of King County Annexation Initiative funding to the City upon an affirmative annexation vote? BACKGROUND An election will be held on November 6, 2007, in which registered voters living within the Benson Hill Communities annexation area boundary will vote on whether they wish to annex to the City of Renton. This agreement addresses all County properties and terms related to the Benson Hill Communities Annexation area to allow for the orderly transition of municipal services from the County to the City regarding roads, parks and surface water management properties if residents approve annexation. Interlocal Agreement (ILA) Terms The Administration has been in conversation about the terms for all potential annexation areas since fall of 2005 when King County began discussing the Annexation Initiative with the City of Renton. The Council reviewed the terms for an East Renton ILA and more comprehensive agreement for all PAAs in 2006 and early 2007, and elected to review and receive interlocal agreements for funding as specific proposals for potential annexations were brought forward. King County will move to consider and adopt the agreement after the City of Renton has acted. In summary, the Benson Hill Communities agreement provides for: Council President Toni Nelson Page 2 of 3 October 22,2007 • Transfer of all public records, local park properties (Cascade Park and a greenbelt property), roads,bridges, rights-of-way, surface water management facilities, ''S environmental mitigation sites, street lights, traffic signals and signs, and pavement markings from the County to the City • Transition of municipal services associated with the annexation area(including police, parks, surface water facilities, and general government services) • Payment, should the annexation vote be successful, of$1.7 million from the County to the City of Renton. The source of funding is $250,000 in Real Estate Excise Tax (REET); an equivalent value of$500,000 in road improvements from the County Road Fund; and $900,000 in County Current Expense funds o Funding would be available in two installments: the first when Council approves an ordinance accepting annexation of the area; and the second installment not later than 30 days after the effective date of the annexation o The County will retain $300,000 of the General Fund portion until the City and Renton School district have executed an agreement in which Renton commits to financially support the future operations of the Renton Pool, and the County and Renton School District have executed a lease termination agreement to transfer ownership to the School District • Establishment of an effective date on or before March 1, 2008 • Term of agreement of five years after the effective date of annexation, or if the area is not annexed by March, 2008 and is not re-placed on the ballot in 2008, until December 1, 2008 Fiscal and Operational Impact of Annexation `'d The City Council most recently reviewed the fiscal impacts of the Benson Hill Communities Annexation at its September 21 workshop. The funding that would be made available through this agreement is designed support one-time transition costs related to annexation of the Benson Hill area. Because of the sources of funding available for the County, the City would need to consider the timing of funds and matching one-time costs with one-time revenues to determine specifically what the revenues would pay for. If residents in the Benson Hill area vote yes, the City will be responsible for providing most municipal services to the Benson Hill area(such as police, fire and emergency medical services, street maintenance, parks and recreation, libraries, planning, and zoning and permitting). The City anticipates a February 28, 2008 effective date and March 1, 2008 date as the target date for when most municipal services would begin to be provided. All City of Renton departments have contributed to developing a transition plan and estimate of the impacts of the Benson Hill annexation. The plan was developed to determine how the City will meet first-year and ongoing operating costs, address purchases of one-time needs, and begin capital planning for the area so that the city is prepared if voters approve annexation. After 2008, it is assumed that the service costs of the area would be indivisible from the overall costs for service to be provided to the whole city. Council President Toni Nelson Page 3 of 3 October 22,2007 Departments developed internal plans and worked across departments to develop these plans, Nolo" including identifying cost drivers of potential staffing additions to be made to serve the Benson Hill area at current City of Renton levels. Key findings and assumptions from the transition plan include: • Renton will be able to serve the Benson Hill area operationally and financially if voters approve annexation. • The overall operating cost to extend services to the area in 2008 totals $9.3 million, and operating revenues generated from the area are expected to be $8.5 million. An operating deficit can be addressed by applying for the state sales tax credit, which Renton worked hard to create in the 2005 State Legislative session. • Although the costs exceed the revenues, short-term financial help exists to offset early deficits through the state sales tax credit and gives the City time to plan. • One-time, non-recurring costs related to the annexation for vehicles, equipment, assessments and surveys total $3.0 million. Some costs can be partially offset by King County Annexation Initiative funding, King County Library System agreement transfer revenues, and Real Estate Excise Tax revenues, and the remainder can likely be funded with state sales tax credit funding. • Depaituuents were asked to consider not just serving 16,000 more people, but what it would take to serve a much larger city of 75,000 residents. Each department considered specific drivers of workload that would lead to the need for additional staff or funding to serve the area, but also examined areas where additional staff could provide enhanced services city-wide. 'err' • The focus was on annexation-related additions and not focused on changes to programs or budgets that would ordinarily be handled through the annual budget process. • The City will need to leverage funding from the sales tax credit and Annexation Initiative funding to ease the transition. • Several departments will need budget and FTE authorization immediately to begin the recruitment and equipment ordering process, which can take several months. If voters approve annexation, the Administration will return to Council with a separate ordinance to certify election, accept annexation and set an effective date, and appropriate 2007 and 2008 funds suggested for transfer by the agreement. RECOMMENDATION The Administration recommends that Council authorize the Mayor and City Clerk to enter into an interlocal agreement between the City of Renton and King County relating to the annexation of the Benson Hill Communities Annexation Area. Draft dated 10-18-07 INTERLOCAL AGREEMENT BETWEEN THE CITY OF RENTON AND KING COUNTY, RELATING TO THE ANNEXATION OF THE BENSON HILL COMMUNITIES POTENTIAL ANNEXATION AREA THIS AGREEMENT is made and entered into this day of , 2007. The parties ("Parties") to this Agreement are the City of Renton, a State of Washington municipal corporation("City") and King County, a political subdivision of the State of Washington("County"). WHEREAS, on November 6, 2007, the citizens of the City's Potential Annexation Area generally described in Exhibit A hereto, generally known as the"Benson Hill Communities Potential Annexation Area" (hereinafter the"Annexation Area") will have an opportunity to vote on whether to annex to the City; and WHEREAS, if approved by the voters, annexation of the Annexation Area to the City will become effective on or before March 1, 2008, pursuant to City ordinance; and WHEREAS, as of the date of legal annexation of the Annexation Area, pursuant to state law, the City will own, and have the responsibility for the operation, safety and maintenance of all former County roads,bridges and rights-of-way located within the City limits together with all appurtenances located within such rights-of-way, including but not limited to, drainage facilities, stormwater facilities, environmental mitigation sites and monitoring projects, street lights, traffic signals and traffic signs; and .44.004 WHEREAS, the City and the County desire to facilitate an orderly transition of services, including but not limited to police services, court services and public works services associated with the Annexation Area; and WHEREAS, the City and the County desire to mutually determine the appropriate timing for the transfer of public records; and WHEREAS, it is the policy of the City of Renton to welcome the annexation of areas that desire to become part of the City while maintaining services to current Renton residents; and WHEREAS, upon annexation of the Annexation Area,the County shall make available to the City a one-time payment of funds from its Annexation Incentive Funds to assist with the cost of transitioning services and in consideration of the City relieving the County of the burden of providing public services to the areas to be annexed; and WHEREAS, the City and the County want to ensure a smooth transfer of ownership and maintenance of existing local County park facilities and properties in the Annexation Area; and WHEREAS, the City and the County want to ensure a smooth transfer of ownership and maintenance of existing County surface water facilities and related property interests in the Annexation Area; and Draft dated 10-18-07 1 WHEREAS, all local governmental land use authority and jurisdiction with respect to the lose Annexation Area transfers from the County to the City upon the date of annexation; and WHEREAS, it is the parties' intent by virtue of this Agreement that any and all discretionary decisions with respect to land use and permitting from and after the date of annexation shall be made by the City; and WHEREAS, the parties desire to coordinate in outreach to residents of the Benson Hill Communities PAA in advance of the annexation election; and WHEREAS, the governing bodies of each of the parties hereto have determined to enter into this Agreement as authorized and provided for by the Interlocal Cooperation Act, codified at Chapter 39.34 RCW, and other Washington law, as amended; NOW THEREFORE, in consideration of the mutual terms, provisions and obligations contained herein, it is agreed by and between the City and the County as follows: 1. TERM. This Agreement shall be deemed to take effect following the approval of the Agreement by the official action of the governing bodies of each of the Parties and the signing of the Agreement by the duly authorized representative of each of the Parties, and shall continue in force for a period of five(5) years from the effective date of annexation of the Annexation Area; provided, however,that in the event the annexation measure is rejected by voters at the November 6, 2007 election then this Agreement shall terminate on December 31, 2008. 2. ANNEXATION. The City has taken action to ensure placement on the ballot at the November 6, 2007, election for the registered voters of the Annexation Area to vote on whether to annex to the City. If approved by the voters at said election, the City shall take action by ordinance to ensure that the annexation of the Annexation Area will be effective on or before March 1, 2008. The term "Annexation Area" means the territory generally described in Exhibit A hereto. 3. RECORDS TRANSFER. Upon approval of the annexation by voters and acceptance thereof by the City, the County shall work with the City to transfer to the City public records including but not limited to record drawings or construction drawings that are requested by the City related to transferred facilities and properties within the Annexation Area. The City shall send a written request for records to the director of the County department or division holding such records. Alternately, the City may request in writing that such director schedule a records transfer meeting at which City representatives shall meet with County department representatives in order to review and identify records to be copied and/or transferred consistent with the terms of this Section 3. The request shall provide sufficient detail to allow the County to identify and locate the requested records. The County shall make its best effort to provide the documents within forty-five (45) days of the request. The County may elect to provide original records if available and copies of records will be provided only in cases in which copies are acceptable to the City. The County shall not be required to provide records that are not reasonably available or to create records or compilations that have not already been created. Notwithstanding anything in this section to the Nose Draft dated 10-18-07 2 contrary, sheriff records transfers will be subject to the provisions of Section 9 and Exhibit H. 4. ANNEXATION FUND PAYMENT AND ROAD IMPROVEMENTS CONTRIBUTION. In order to partially offset the City's cost of transitioning and providing services to the Annexation Area, and in consideration of the City relieving the County of the burden of providing local public services (including but not limited to drainage services and operation of local park and recreation facilities) in the Annexation Area, the County will provide the City with a payment from the annexation initiative incentive reserve funds, and shall fund certain roadway improvements in advance of annexation. a. A payment to the City of$950,000 in County General Fund dollars, up to $475,000 of which may be transmitted to the City not later than 30 days following adoption by the City of an ordinance accepting annexation of the Annexation Area effective no later than March 1, 2008 (which action shall be taken after receiving certification that the proposition was approved by voters). The County shall retain $300,000 of the $950,000 until such time as: (i) the City provides the County with a copy of an executed,written agreement between the City and the Renton School District ("District") committing the City to pay the District for support of future operations of the Renton Pool; and (ii) the District and County have executed and recorded a lease termination and asset transfer agreement for the Renton Pool. It is the intent of the parties that, in lieu of transferring the Renton Pool to the City that the Pool will instead be owned and operated by the District from and after the date of annexation with ongoing financial support from the City and that the$300,000 retained by the County with respect to the Renton Pool shall not be payable to the City if the conditions (i) and(ii) set forth in the preceding sentence are not met by June 1, 2008. b. A payment to the City of$250,000 from the County's Real Estate Excise Tax Fund Number 2. The City shall expend the REET dollars consistent with the limitations placed on the use of this fund under King County Code Section 4.32.012 as currently adopted or hereafter amended. Up to half of this amount may be paid in advance of the effective date of annexation, not later than 30 days following adoption by the City of an ordinance accepting annexation of the Annexation Area effective no later than March 1, 2008 (which action shall be taken after receiving certification that the proposition was approved by voters). . c. Completion or commitment of funding towards roadway overlay improvements to be made by the County in the Annexation Area valued at $500,000. The improvements and/or funding commitments shall be made only after the City Council acts to accept annexation of the Annexation Area effective no later than March 1, 2008, following voter approval of annexation. The roadway improvements shall be specifically targeted to roadways with a pavement rating of less than forty percent, and the specific roadway segments to be improved shall be selected and completed by the County Roads Division in consultation with the Director of the City Public Works Department. Such improvements shall to the Draft dated 10-18-07 3 extent practicable be completed prior to the effective date of the annexation,but in any event as soon thereafter as possible. d. No annexation incentive reserve funds shall be payable for any annexation of any portion or all of the Annexation Area with an effective date later than March 1, 2008, or in the event the City does not assume ownership of all Parks Properties, Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties upon annexation as contemplated by Sections 5 and 6 of this Agreement. 5. PARK AND OPEN SPACE FACILITIES AND PROPERTIES The County shall transfer to the City, and the City shall accept, the park and greenbelt properties located in the Annexation Area listed in Exhibit B-1 attached hereto and incorporated herein, which park and greenbelt properties are more generally known as Cascade Park and the"Greenbelt Property." These transfers shall be accomplished through the execution by the County Executive and Mayor of Renton of an intergovernmental transfer agreement in substantially the form as Exhibit C, attached hereto and incorporated herein, which execution shall occur within thirty days of the City Council acting to accept the annexation of areas within which the parks and greenbelt property are included. It is the intent of the parties that transfer of Cascade Park and the Greenbelt Property(hereinafter the "Park Properties") shall occur as nearly as possible on or immediately after the effective date of the annexation of the Benson Hill Communities Potential Annexation Area. Following completion of construction by the County of the Soos Creek regional trail through the Annexation Area, the parties will work to collaboratively identify portions of County park properties adjacent to the Soos Creek regional trail within the Annexation Area that could be developed by the City for local active park and recreation purposes without unduly impacting the use and enjoyment by the public of the Soos Creek regional trail. The parties will work to secure the transfer or long- term lease to the City of such suitable properties for said purposes. 6. TRANSFER OF DRAINAGE-RELATED PROPERTIES AND ROAD-RELATED PROPERTIES TO CITY. a. Transfer of Drainage Facilities and Drainage Facility Property Interests. i. Upon the effective date of annexation for the area in which the"Drainage Facilities"identified in Exhibit D, attached hereto and incorporated herein by reference, are located, those Drainage Facilities which are held by the County as specifically identified in Tables A and C of Exhibit D shall automatically be transferred from the County to the City, and the City shall assume ownership and full and complete responsibility for the *r.., operation, maintenance, repairs, and any subsequent improvements to said Draft dated 10-18-07 4 Drainage Facilities. The Drainage Facilities identified in Table B of Exhibit D shall not be transferred but shall remain in private ownership. The City shall have the right but not the obligation to inspect the facilities identified in Table B from and after the effective date of annexation. ii. The County shall upon the effective date of annexation for the area in which the"Drainage Facility Property Interests" (which property interests are currently held by the County) identified in Exhibit E, attached hereto and incorporated herein by reference, are located, convey by quit claim deed in substantially the form in Exhibit F, attached hereto and incorporated by reference, to the City, and the City shall accept, the Drainage Facility Property Interests, subject to all rights, conditions, covenants, obligations, limitations and reservations of record for such property interests. The City agrees to abide by and enforce all rights, conditions, covenants, obligations, limitations and reservations for the Drainage Facility Property Interests. iii. The County is willing to provide surface water management services and maintenance for the Annexation Area via separate written agreement between the Parties. iv. Both parties will make staff available to identify and review any additional County-owned local drainage facilities, easements, and other property interests within the Annexation Area that should appropriately be conveyed to the City. Such facilities and other property interests include those for which the County's facility acceptance process has not yet been completed, including both projects being constructed by the County as well as projects subject to County approval that are constructed by third parties. Any such additional County-owned drainage properties or other property interests shall be transferred to the City pursuant to this Agreement and upon County approval, including if necessary the adoption of an ordinance authorizing the transfer of King County owned drainage properties and property interests. The transfer of responsibility for drainage facilities shall be documented in writing, including specific facilities transferred and the date of transfer and such documentation signed by the appropriate City representative and the Director of the King County Water and Land Resources Division. b. Transfer of Road-Related Properties. The County shall upon the effective date of annexation convey by quitclaim deed in substantially the form in Exhibit F attached hereto and incorporated herein by reference, to the City, and the City shall accept, the Road-Related Properties identified in Exhibit G, attached hereto and incorporated herein by reference, subject to all rights, conditions, covenants, obligations, limitations and reservations of record for such property interests. The City agrees to abide by and enforce all rights, conditions, covenants, obligations, limitations and reservations , .4400 for the Road Related Properties, and to maintain the use of such properties for Draft dated 10-18-07 5 road-related purposes. In the event the City wishes to sell or convert the Road- Related properties to non-road purposes, it shall first pay the County the fair Now market value for such properties. c. Condition of and Responsibility for Operations, Maintenance, Repairs, and Improvements of Drainage Facilities, Drainage Facility Property Interests, and Road-Related Properties. i. The City will have the opportunity to inspect the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties before accepting ownership, however regardless of such inspection the City has the duty to accept all facilities as specified in this agreement. The County will make its records concerning the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties available to the City and the County personnel most knowledgeable about the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties will be available to jointly inspect the property with City personnel and to provide the City the status of maintenance of such facilities, point out known conditions, including any defects or problems, if any, with the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properites. The City agrees to accept the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties in AS IS condition, and to assume full and complete responsibility for all operations, maintenance, repairs, and improvements of the Drainage 't"' Facilities Drainage Facility Property Interests and Road-Related Properties. ii. King County does not make and specifically disclaims any warranties, express or implied, including any warranty of merchantability or fitness for a particular purpose, with respect to the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties and no official, employee, representative or agent of King County is authorized otherwise. iii. The City acknowledges and agrees that except as indicated in paragraph 6(d)(ii), the County shall have no liability for, and that the City shall release and have no recourse against the County for, any defect or deficiency of any kind whatsoever in the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties without regard to whether such defect or deficiency was known or discoverable by the City or the County. 4440, Draft dated 10-18-07 6 d. Environmental Liability related to the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties. Nord i. "Hazardous Materials" as used herein shall mean any hazardous, dangerous or toxic wastes,materials, or substances as defined in state or federal statutes or regulations as currently adopted or hereafter amended. ii. Nothing in this agreement shall be deemed to waive any statutory claim for contribution that the City might have against the County under federal or state environmental statutes that arises from hazardous materials deposited or released on the Drainage Facilities, Drainage Facility Property Interests or Road-Related Properties by the County during the County's period of ownership. The City may not,however, assert such a claim to the extent that the City creates the need for or exacerbates the cost of remediation upon which a statutory claim for contribution is based as a result of the City performing construction activities on, changing the configuration of, or changing the use of the Drainage Facilities, Drainage Facility Property Interests or Road-Related Properties. iii. If the City discovers the presence of hazardous materials at levels that could give rise to a statutory claim for contribution against the County it shall notify the County in writing within ninety(90) days of discovery. The parties shall make their best efforts to reach agreement as to which party is responsible for remediation under the terms of this Agreement prior to undertaking any remediation. iv. In no event shall the County be responsible for any costs of remediation that exceed the minimum necessary to satisfy the state or federal agency with jurisdiction over the remediation. e. Indemnification related to Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties. i. King County shall indemnify and hold harmless the City and its elected officials, officers, agents or employees, or any of them, from and against any and all claims, actions, suits, liability, loss, costs, expenses and damages of any nature whatsoever, arising from those occurrences related to the Drainage Facilities, Drainage Facility Property Interests and Road- Related Properties that occurred prior to the effective date of annexation, except to the extent that indemnifying or holding the City harmless would be limited by Section 6(d) of this Agreement. In the event that any suit based upon such a claim, action, loss or damage is brought against the City or the City and King County, King County shall defend the same at its sole cost and expense and, if final judgment be rendered against the City and its elected officials, officers, agents and employees or jointly Draft dated 10-18-07 7 against the City and King County and their respective elected officials, Nowie officers, agents and employees, King County shall satisfy the same. ii. The City shall indemnify and hold harmless King County and its elected officials, officers, agents and employees, or any of them, from and against any and all claims, actions, suits, liability, loss, costs, expenses and damages of any nature whatsoever, arising from those occurrences related to the Drainage Facilities, Drainage Facility Property Interests and Road- Related Properties that occur on or after the effective date of annexation, except to the extent that indemnifying or holding the County harmless would be limited by Section 6(d) of this Agreement. In the event that any suit based upon such a claim, action, loss or damage is brought against King County or King County and the City,the City shall defend the same at its sole cost and expense and, if final judgment be rendered against King County and its officers, agents and employees or jointly against King County and the City and their respective officers, agents and employees, the City shall satisfy the same. iii. For a period of three years following transfer, each party to this Agreement shall immediately notify the other of any and all claims, actions, losses or damages that arise or are brought against that Party relating to or pertaining to the Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties. iv. Each Party to this Agreement agrees that its obligations under this paragraph extend to any claim, demand, and/or cause of action brought by or on behalf of any employees, or agents. For this purpose, each Party to this Agreement, by mutual negotiation, hereby waives, with respect to the other party only, any immunity that would otherwise be available against such claims under the Industrial Insurance provisions of Title 51 RCW, but only to the extent necessary to indemnify the other party. f. The provisions of this Section 6 shall survive the expiration or termination of this Agreement. 7. ASSESSMENT OF SURFACE WATER CHARGES FOR DRAINAGE FACILITIES AND DRAINAGE FACILITY PROPERTY INTERESTS. As of the effective date of the annexation, the County's responsibility for surface water management service in the Annexation Area will transfer to the City. The County will not bill for surface water service or charges in the Annexation Area after the annexation effective date and if necessary the County Treasurer will send out amended property tax statements reflecting this transition in service responsibility within 60 days of the annexation effective date. 8. JAIL SERVICES. On and after the date of annexation,the Annexation Area is subject to the existing Interlocal Agreement between King County and the City of Renton for Jail Services. All misdemeanor crimes that occur in the Annexation Area Draft dated 10-18-07 8 416. prior to the date of annexation will be considered crimes within the jurisdiction of King County for the purposes of determining financial responsibility under said **1100 Interlocal Agreement for Jail Services. All misdemeanor crimes that occur in the Annexation Area on or after the date of annexation will be considered crimes within the jurisdiction of the City for purposes of determining financial responsibility under the Interlocal Agreement for Jail Services. 9. POLICE SERVICES. On the effective date of the annexation,police service responsibility within the Annexation Area will be transferred to the City. Criminal cases and investigations pending with the County Sheriff prior to the effective date of the annexation remain the responsibility of the County. The parties shall implement the police transition plan attached hereto at Exhibit H. In addition to the provisions of that transition plan, the parties further agree as follows: a. Sharing of community information: The County agrees to provide community contact lists that the County may have regarding the Annexation Area to the City within 90 days of the City so requesting such information. These lists may include,but are not limited to: members of block watch programs, community groups, and/or homeowner's associations. b. Annexation of Emergency Response (911) Services: The City and County agree to coordinate transfer of emergency response(911) services in the Annexation Area. 10. DISTRICT COURT SERVICES TRANSITION. The County will be responsible for the prosecution of and payment of any fees or assessments associated with misdemeanor criminal cases where the alleged violation occurred prior to the effective date of annexation. The City will be responsible for the prosecution of and payment of court filing fees and other fees associated with misdemeanor criminal cases where the alleged violation occurred on or after the effective date of annexation. 11. STATUS OF COUNTY EMPLOYEES. Subject to City civil service rules and state law, the City agrees to consider the hiring of County employees whose employment status is affected by the change in governance of the Annexation Area,provided that the City's consideration of hiring affected sheriff department employees shall be governed by the provisions set forth in RCW 35.13.360 et seq. The County shall in a timely manner provide the City with a list of those affected employees. 12. COMMUNITY SURVEY. In order to share the City's costs for conducting a community survey to determine interest in annexation and services,the County will upon receipt of written evidence of costs incurred by the City for this purpose pay the City$9,000 towards the cost of the April 2007 community survey commissioned by the City. 13. ADMINISTRATION AND CONTACT PERSONS. The Parties stipulate that the following persons shall be the administrators of this Agreement and shall be the contact person for their respective jurisdiction. Draft dated 10-18-07 9 City of Renton: King County: Nome Mayor Director, Office of Management and Budget City of Renton King County 1055 S Grady Way. 701 5th Avenue Renton, WA 98057 Suite 3200 Seattle,WA 98104 14. COMPLIANCE WITH LAWS. Each Party accepts responsibility for compliance with federal, state, and local laws and regulations. Specifically, in meeting the commitments encompassed in this Agreement, all parties will comply with, among other laws and regulations, the requirements of the Open Meetings Act, Public Records Act, Growth Management Act, State Environmental Policy Act, and Annexation Statutes. The Parties retain the ultimate authority for land use and development decisions within their respective jurisdictions as provided herein. By executing this Agreement, the Parties do not purport to abrogate the decision-making responsibility vested in them by law. 15. INDEMNIFICATION. The following indemnification provisions shall apply to the entirety of this Agreement except for: (1) Section 6 concerning Drainage Facilities, Drainage Facility Property Interests and Road-Related Properties, which Section shall be controlled exclusively by the provisions therein; and(2) Exhibit C relating to the transfer of Park Properties which also contains separate indemnification provisions. a. The County shall indemnify and hold harmless the City and its officers, agents and employees, or any of them from any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever,by reason or arising out of any negligent action or omission of the County, its officers, agents, and employees, or any of them, in performing obligations pursuant to this Agreement. In the event that any suit based upon such a claim, action, loss, or damage is brought against the City, the County shall defend the same at its sole cost and expense, provided that the City retains the right to participate in said suit if any principal of governmental authority is involved, and if final judgment be rendered against the City and its officers, agents, and employees, or any of them, or jointly against the City and County and their respective officers, agents, and employees, or any of them, the County shall satisfy the same. b. The City shall indemnify and hold harmless the County and its officers, agents and employees or any of them from any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever,by reason or arising out of any negligent action or omission of the City, its officers, agents, and employees, or any of them, in performing obligations pursuant to this Agreement. In the event that any suit based upon such a claim, action, loss, or damage is brought against the County, the City shall defend the same at its sole cost and Nose Draft dated 10-18-07 10 expense, provided that the County retains the right to participate in said suit if any principal of governmental authority is involved; and if final judgment be rendered '° against the County and its officers, agents, employees, or any of them, or jointly against the City and County and their respective officers, agents, and employees or any of them, the City shall satisfy the same. c. The City and the County acknowledge and agree that if such claims, actions, suits, liability, loss, costs, expenses and damages are caused by or result from the concurrent negligence of the City, its agents, employees, and/or officers and the County, its agents, employees, and/or officers, this section shall be valid and enforceable only to the extent of the negligence of each party, its agents, employees and/or officers. d. The provisions of this Indemnification Section shall survive the expiration or termination of this Agreement with respect to any event occurring prior to such expiration or termination. 16. GENERAL PROVISIONS. a. Entire Agreement. This Agreement together with all Exhibits hereto contains all of the agreements of the Parties with respect to any matter covered or mentioned in this Agreement and no prior agreements shall be effective for any purpose. b. Filing. A copy of this Agreement shall be filed with the Renton City Clerk and recorded with the King County Auditor. c. Records. Until December 31, 2013, any of either party's records related to any matters covered by this Intergovernmental Agreement not otherwise privileged shall be subject to inspection, review, and/or audit by either party at the requesting party's sole expense. Such records shall be made available for inspection during regular business hours within a reasonable time of the request. Other provisions of this section notwithstanding,police/sheriff records shall be retained according to the state records retention schedule as provided in RCW Title 42 and related Washington Administrative Code provisions. d. Amendments. No provision of this Agreement may be amended or modified except by written agreement signed by the Parties. e. Severability. If one or more of the clauses of this Agreement is found to be unenforceable, illegal, or contrary to public policy, the Agreement will remain in full force and effect except for the clauses that are unenforceable, illegal, or contrary to public policy. f. Assignment. Neither the City nor the County shall have the right to transfer or assign, in whole or in part, any or all of its obligations and rights hereunder without the prior written consent of the other Party. Draft dated 10-1S-07 11 11110e g. Successors in Interest. Subject to the foregoing subsection, the rights and obligations of the Parties shall inure to the benefit of and be binding upon their respective successors in interest,heirs, and assigns. h. Remedies. In addition to any other remedies provided at law, the Parties agree that in the event of a breach of this Agreement, the aggrieved party may seek specific performance. i. Dispute Resolution. The Parties should attempt if appropriate to use a formal dispute resolution process such as mediation, through an agreed-upon mediator and process, if agreement cannot be reached regarding interpretation or implementation of any provision of this Agreement. All costs for mediation services would be divided equally between the Parties. Each jurisdiction would be responsible for the costs of their own legal representation. j. Attorneys' fees. In the event either of the Parties defaults on the performance of any terms of this Agreement or either Party places the enforcement of this Agreement in the hands of an attorney, or files a lawsuit, each Party shall pay all its own attorneys' fees, costs and expenses. k. No waiver. Failure of either the County or the City to declare any breach or default immediately upon the occurrence thereof, or delay in taking any action in connection with, shall not waive such breach or default. 1. Applicable Law. Washington law shall govern the interpretation of this Agreement. King County shall be the venue of any arbitration or lawsuit arising out of this Agreement. m. Authority. Each individual executing this Agreement on behalf of the City and the County represents and warrants that such individuals are duly authorized to execute and deliver the Agreement on behalf of the City or the County. n. Notices. Any notices required to be given by the Parties shall be delivered at the addresses set forth above in Section 13. Any notices may be delivered personally to the addressee of the notice or may be deposited in the United States mail, postage prepaid, to the addresses set forth above in Section 13. Any notice so posted in the United States mail shall be deemed received three (3) days after the date of mailing. o. Performance. Time is of the essence of this Agreement and each and all of its provisions in which performance is a factor. o. Equal Opportunity to Draft. Each party has had opportunity to consult with counsel in connection with the negotiation, execution and delivery of this Agreement. Each of the provisions of this Statement has been reviewed and Draft dated 10-18-07 12 • negotiated, and represents the combined work product of both parties hereto.No presumption or other rules of construction which would interpret the provisions of this Agreement in favor of or against the party preparing the same will apply in connection with the construction or interpretation of any of the provisions of this Agreement. p. Third Party Beneficiaries. This agreement is made and entered into for the sole protection and benefit of the parties hereto. No other person or entity shall have any right of action or interest in this Agreement based on any provision set forth herein IN WITNESS THEREOF, the Parties have executed this Agreement. CITY OF RENTON: KING COUNTY: Kathy Keolker, Mayor Ron Sims, Executive Date: Date: ATTEST: Approved as to Form: City Clerk Sr. Deputy Prosecuting Attorney DATED: Approved as to Form: City Attorney Draft dated 10-18-07 13 STATE OF WASHINGTON) 'tow, ) SS COUNTY OF KING ) On this day of , 2007,before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn personally appeared, to me known to be the individual described in and who executed the forgoing instrument, and acknowledged to me that signed and sealed the said instrument as free and voluntary act and deed for the uses and purposed therein mentioned. WITNESS my hand and official seal hereto affixed the day and year in this certificate above written. Notary Public in and for the State of Washington, residing at City and State My appointment expires STATE OF WASHINGTON) ) SS COUNTY OF KING ) On this day of , 2007,before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn personally appeared, to me known to be the individual described in and who executed the forgoing instrument, and acknowledged to me that signed and sealed the said instrument as free and voluntary act and deed for the uses and purposed therein mentioned. WITNESS my hand and official seal hereto affixed the day and year in this certificate above written. Notary Public in and for the State of Washington,residing at City and State My appointment expires *tape Draft dated 10-18-07 14 Exhibit A Description of Annexation Area *400 BENSON HILL COMMUNITIES ANNEXATION LEGAL DESCRIPTION The lands included within the subject annexation are situated in parts of, Sections 21, 27, 28, 29, 31, 32 and 33 in Township 23 North, and Sections 5 and 6 in Township 22 North, all in Range 5 East, W.M., in King County, Washington, said annexation area being more particularly described as lying within the following described boundary: Beginning at the southeast corner of those lands annexed to the City of Renton under Ordinance No.1961 in the Southeast quarter of said Section 21 said southeast corner also being the point of intersection of the west line of the Southeast quarter of the Southeast quarter of said Section 21 and the southwesterly right of way margin of the City of Seattle Cedar River Pipe Line; Thence southeasterly along said southwesterly margin, crossing SE 160th Street,to the south line of said Southeast quarter; Thence westerly, along said south line to an intersection with the east line of the west half of the Northeast quarter of said Section 28; Thence southerly along said east line, to the northerly right of way margin of SE 164th Street; Thence easterly along said northerly margin to the point of intersection with the northerly extension of the easterly right of way margin of 128th Ave SE; Thence southerly along said northerly extension and the easterly margin thereof to the north line of the south half of said Northeast quarter; Thence easterly along said north line to an intersection with the east line of said Section 28; Thence southerly along said east line, to the northwest corner of"Tract A", Fairwood Park Division 7, as recorded under Volume 116 of Plats, Pages 88 through 90, said records, in said Section 27; Thence generally easterly, southerly, westerly and southerly along the various courses of said"Tract A", to a point on the northerly right of way margin of SE Petrovitsky Road (Petrovitsky Road Revision, Est. 5-28-62), in the Southwest quarter of the Southwest quarter of said Section 27; Draft dated 10-18-07 15 Exhibit A Thence southeasterly perpendicular to the centerline of said SE Petrovitsky Road, a ,. distance of 92' to the southerly margin thereof; 14410 Thence southwesterly, westerly and northwesterly along the various courses of said southerly right of way margin, crossing 128thAvenue SE, to the northwest corner of that portion of 128thAvenue SE dedicated per deed under King County Rec. No. 20000913001594, on the westerly right of way margin of 128thAvenue SE; Thence southeasterly and southerly along said westerly right of way margin, to an intersection with the east line of the west half of the Southeast quarter of said Section 28; Thence southerly along said east line, to the southeast corner of said subdivision said southeast corner also being the northeast corner of the Northwest quarter of the Northeast quarter of said Section 33; Thence southerly along the east line of said subdivision, to the southeast corner thereof, said southeast corner also being the northwest corner of the Southeast quarter of the Northeast quarter of said Section 33; Thence easterly along the north line of said subdivision, to an intersection with the northeasterly right of way margin of a 100' wide Puget Sound Power& Light Transmission Line right of way; Thence southeasterly along said northeasterly right of way margin, to an intersection with Itim ' the northeasterly extension of the southeasterly lines of Lots 2 and 3, King County Short Plat No. 779163R, recorded under King County Rec. No. 8105060679; Thence southwesterly along said extension and the southeasterly lines of said lots, to an intersection with the northeasterly line of Lot 1, King County Short Plat No. C1077001, recorded under King County Rec. No. 7806080590; Thence northwesterly and southwesterly along the northeasterly and northwesterly lines of said Lot 1, to the most westerly corner thereof, said corner also being a point on the south line of Lot 2 of said short plat; Thence westerly along said south line, to the northeast corner of Lot 4, King County Short Plat No. 775088, recorded under King County Rec. No. 7710200755; Thence southwesterly along the east line of said Lot 4 to the southeast corner thereof, said corner also being on the northwesterly line of Boulevard Lane Division No. 2, as recorded under Volume 82 of Plats, Pages 20 and 21, said records; Thence continuing southwesterly along said northwesterly line, and southerly along the westerly line of Boulevard Lane Division 1, as recorded under Volume 80 of Plats, Pages 89 and 90, records of King County, Washington, to the westernmost southwest corner of Noise Draft dated 10-18-07 16 Exhibit A said plat, said southwest corner also being on a line 1073.56 feet north of and parallel with the south line of the Southeast quarter of said Section 33; Nod Thence westerly along said parallel line,to a point 300.00 feet easterly of the west line of said subdivision, as measured perpendicular thereto, said point also being on the north line of Boulevard Lane Park, as deeded to King County under King County Rec. No. 19991011001557; Thence southeasterly along the east line of said park to the point of intersection of a line 422 feet east of and parallel with the west line of said subdivision and a line 300 feet north of and parallel with the south line of said subdivision; Thence continuing southerly along said east line, parallel with the west line of said subdivision, to a point on the northerly right of way margin of SE 192nd Street, said northerly right of way margin being 50 feet northerly of the south line of said Section 33 and the centerline of SE 192nd Street; Thence westerly along the various courses of said northerly right of way margin, crossing 120thAvenue SE, 116 Avenue SE, 114th Place SE and 113th Way SE to its intersection with the easterly right of way margin of State Route 515, said intersection being 40 feet right of Station 270+50 per Washington State Department of Highways, Right of Way Plan SR 515 MP 3.87 to MP 5.15, Renton Vicinity: SE 196th to Carr Road, Sta 257+00 to Sta 283+00, Sheet 2 of 4 Sheets in said Section 32; Thence westerly, crossing State Route 515 (108th Avenue SE), to a point 40 feet left of Station 270+40 per said Right of Way Plan; Thence southerly along the various courses of the westerly right of way margin of State Route 515 (108t Avenue NE), crossing SE 192nd Street, SE 196th Street and SE 199th Street, to the northerly right of way margin of SE 200th Street in the north west quarter of said Section 5; Thence westerly along the various courses of said northerly right of way margin, crossing 106thAvenue SE, 105th Avenue SE and 104th Avenue SE, to its intersection with the existing City of Renton Limits Line as annexed under City of Renton Ordinance No. 3885; Thence northerly, easterly and westerly along the various courses of the existing limits of the City of Renton as annexed under City of Renton Ordinance Nos. 3885 & 3109 to the point where said existing limits as annexed under City of Renton Ordinance No. 3109 leaves the section line common to Sections 5 & 6 and enters said Section 6; Thence northerly along said common section line to its intersection with the existing City of Renton Limits Line as annexed under City of Renton Ordinance No. 3268; Draft dated 10-18-07 17 Exhibit A Thence generally northerly and easterly along the various courses of the existing limits of the City of Renton as annexed under City of Renton Ordinance Nos. (in order from south to north) 3268, 5205, 5041, 3268, 4069, 1743, 4476, 1971, 3864, 1971, 5236, 1971, 3742, 1971, 3108, 1909, 5208, 3730, 2224, 1871 and 1961 to the Point of Beginning; EXCEPT the north 100 feet of the west 230 feet of the South half of the South half of the Northwest quarter of the Southeast quarter of said Section 29,previously annexed to the City of Renton under Ordinance No. 3432. TOGETHER WITH the following: That portion of Lot 3, King County Short Plat 779163R recorded under King County Rec. No. 8105060679, within the South half of the Northeast quarter of the Northeast quarter of said Section 33, if any; and Those portions of the Northeast quarter of said Section 6 and the Northwest quarter of said Section 5, lying southerly, westerly, southerly and westerly of existing City of Renton Limits Line as annexed under City of Renton Ordinance Nos. (in order from north to south): 3268, 3751, and 3109, and lying northerly of the northerly right of way margin of S. 200th Street; and That portion of the Northwest quarter of said Section 5, lying northerly of the northerly right of way margin of S. 200th Street, westerly and southerly of existing City of Renton Limits Line as annexed under City of Renton Ordinance No.3885, and easterly of err existing City of Renton Limits Line as annexed under City of Renton Ordinance No. 3109. Draft dated 10-18-07 18 �rrrr► Exhibit B-1 Parks Properties Description Neiti General Description and Names of County Park and Greenbelt Properties within the Annexation Area Transferring to the City of Renton Name of park Amenities/Facilities Cascade Park 10.94 acre site with 6 playfields, a picnic area and play equipment area Greenbelt Property .57 acres Draft dated 10-18-07 19 Exhibit C `,rr Intergovernmental Land Transfer Agreement Between King County and the City of Renton Relating to the Ownership, Operation and Maintenance of Local Park and Greenbelts Properties This Agreement is made and entered into this day by and between the City of Renton, hereinafter called "City", and King County, hereinafter called "County". WHEREAS the City desires to own, operate, and maintain parks, open space, recreation facilities and programs and other municipal programs, facilities and property inside its boundaries; and WHEREAS the County, under the authority of RCW 36.89.050, King County Resolution 34571 and other federal, state and county laws, has acquired and developed a substantial park, recreation and open space system that depends on the continued operation of its many individual properties and facilities in order to fully serve the needs of the residents of King County and the cities within it; and WHEREAS, the City has committed to annex the area known as the"Benson Hill Communities,"which annexation was approved by the voters at the November 6, 2007, ilow'` election; and WHEREAS the County desires to divest itself of ownership, management, and financial responsibility for local parks in the Benson Hill Communities area, specifically, that park known as "Cascade Park"; and WHEREAS, the County also owns certain undeveloped property within the Benson Hills' Communities area which were acquired to be preserved as a greenbelt, as further described in Exhibit B-2 (the"Greenbelt Property"); and WHEREAS the County is legally restricted from converting Cascade Park and the Greenbelt Property from their current uses without expending funds to replace the converted facilities; and WHEREAS given the legal restriction regarding conversion of Cascade Park and Greenbelt Property(collectively, the"Park Properties" as generally described in Exhibit A), the marketability of the properties is limited and, as a result, the cost of operating the Park Properties is approximately equal to the value of the Park Properties to the County; and WHEREAS to the extent the City provides scholarships, reduced fees or other means of assuring access to parks and recreational programming for City residents, the City has a Arnorn goal of ensuring that such scholarships or other needs-based rates and programs are Draft dated 10-18-07 20 Amok Exhibit C available to all persons desiring to use the park and recreational programs regardless of residency; and *4411 WHEREAS it is in the best interest of the public that the City and the County take those actions necessary to meet those desires and to cooperate in any transition to insure a smooth transition and avoid service disruption in the transfer of the Park Properties; NOW, THEREFORE, in consideration of the mutual promises contained herein and other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the City and the County agree as follows: 1. Conveyance of Title 1.1 Upon the effective date of the annexation by the City of the Benson Hill Communities area, King County shall convey to the City by bargain and sale deed all its ownership interest, and/or, when possible,by assignment, any leasehold interest or shared use responsibility, in Cascade Park, described more fully in Exhibit B-1. 1.2 Upon the effective date of the annexation by the City of the Benson Hill Communities, King County shall convey to the City by quitclaim deed in substantially the form in Exhibit D, attached hereto and incorporated herein by reference, to the City, and the City shall accept,the Greenbelt Property identified in Exhibit B-2 attached hereto and incorporated herein by reference, and which conveyance and acceptance shall be subject to all rights, conditions, covenants, obligations, limitations and reservations of record for such property interests. The City agrees to abide by and enforce all rights, conditions, covenants, obligations, limitations and reservations for the Greenbelt Property. 1.3. The deed for transfer of Cascade Park shall contain the following specific covenants pertaining to use, which covenants shall run with the land for the benefit of the County and the County land that makes up its public park, recreation and open space system. The County and the City agree that the County shall have standing to enforce all of these covenants, which shall be set forth as follows: "The City, as required by RCW 36.89.050, covenants that the Property shall continued to be used for open space, park, or recreation facility purposes or that other equivalent facilities within the County shall be conveyed to the County in exchange therefor." "The City covenants that it shall place the covenants herein in any deed transferring the Property or a portion of the Property for public park, recreation or open space uses." Draft dated 10-18-07 21 Exhibit C "The City covenants that it shall not use the Property in a manner that would _, cause the interest on County bonds related to the Property to no longer be exempt from federal income taxation." "The City covenants that it shall abide by and enforce all terms, conditions and restrictions in King County Resolution 34571, including that the City covenants that the Property will continue to be used for the purposes contemplated by Resolution 34571, that the Property shall not be transferred or conveyed except by agreement providing that such lands shall continue to be used for the purposes contemplated by Resolution 34571, and that the Property shall not be converted to a different use unless other equivalent lands and facilities within the County or City shall be received in exchange therefore." "The City further covenants that it will not limit or restrict access to and use of the Property by non-city residents in any way that does not also apply to city residents. The City covenants that if differential fees for non-city residents are imposed, they will be reasonably related to the cost borne by city taxpayers to maintain, improve or operate the Property for parks and recreation purposes. 1.4 The deed for the Greenbelt Property shall contain the restrictions intended to preserve the use of said property as a greenbelts restricted to use as open space and passive recreation, as were placed on the property at the time of its conveyance to King County, all as more specifically described in said deed. The City covenants that it shall place said restrictions in any deed conveying any or a portion of the Neve Greenbelt Property. 1.4 Transfer of Cascade Park shall include conveyance of the personal property, equipment and supplies listed on Exhibit A-1. The County will leave such existing property, equipment and supplies on site. The City takes such property, equipment and supplies AS IS and WHERE IS and agrees that the County holds no future responsibility with regard to the equipment and supplies or any occurrence related to or resulting from use of the equipment and supplies. 2. Existing Restrictions, Agreements, Contracts or Permits 2.1 The City shall abide by and enforce all terms, conditions, reservations, restrictions and covenants of title at the time of conveyance and/or in the deeds of conveyance. 3. Condition of Premises and Responsibility for Operations, Maintenance,Repairs, Improvements, and Recreation Services 3.1 The City will have the opportunity to inspect Cascade Park and the Greenbelt Property(collectively, the"Park Properties")before accepting ownership; however, regardless of such inspection the City has the duty to accept all facilities and properties as specified in this agreement. The County will make its Draft dated 10-18-07 22 Exhibit C records concerning the Park Properties available to the City, and the County personnel most knowledgeable about the Parks Properties will be available to Neid jointly inspect the property with the City personnel and to point out known defects or problems, if any, with the Park Properties. The City agrees to accept the Park Properties in AS IS condition, and to assume full and complete responsibility for all operations,maintenance, repairs, improvements of, and provision of recreational services at, the Park Properties. 3.2 King County does not make and specifically disclaims any warranties, express or implied, including any warranty of merchantability or fitness for a particular purpose, with respect to the Park Properties, and no official, employee, representative or agent of King County is authorized otherwise. 3.3 The City acknowledges and agrees that except as indicated in paragraph 4.2, the County shall have no liability for, and that the City shall release and have no recourse against the County for, any defect or deficiency of any kind whatsoever in the Park Properties without regard to whether such defect or deficiency was known or discoverable by the City or the County. 4. Environmental Liability 4.1 "Hazardous Materials" as used herein shall mean any hazardous, dangerous or toxic wastes, materials, or substances as defined in state or federal statutes or regulations as currently adopted or hereafter amended. ti„rd 4.2 Nothing in this agreement shall be deemed to waive any statutory claim for contribution that the City might have against the County under federal or state environmental statutes that arises from hazardous materials deposited or released on the Park Properties by the County during the County's period of ownership. The City may not, however, assert such a claim to the extent that the City creates the need for or exacerbates the cost of remediation upon which a statutory claim for contribution is based as a result of the City performing construction activities on the Park Properties, changing the configuration of the Park Properties, or changing the use of the Park Properties. 4.3 If the City discovers the presence of hazardous materials at levels that could give rise to a statutory claim for contribution against the County it shall notify the County in writing within ninety(90) days of discovery. The parties shall make their best efforts to reach agreement as to which party is responsible for remediation under the terms of this Agreement prior to undertaking any remediation. 4.4 In no event shall the County be responsible for any costs of remediation that exceed the minimum necessary to satisfy the state or federal agency with jurisdiction over the remediation. Draft dated 10-18-07 23 Exhibit C 5. Indemnification and Hold Harmless iirw 5.1 King County shall indemnify and hold harmless the City and its elected officials, officers, agents or employees, or any of them, from and against any and all claims, actions, suits, liability, loss, costs, expenses and damages of any nature whatsoever, (i)which are caused by or result from a negligent action or omission of King County, its officers, agents and employees in performing its obligations pursuant to this Agreement, and/or(ii) arising from those occurrences related to the Park Properties that occurred prior to the effective date of conveyance of the Park Properties to the City, except to the extent that indemnifying or holding the City harmless would be limited by Section 4 of this Agreement. In the event that any suit based upon such a claim, action, loss or damage is brought against the City or the City and King County, King County shall defend the same at its sole cost and expense and, if final judgment be rendered against the City and its elected officials, officers, agents and employees or jointly against the City and King County and their respective elected officials,officers, agents and employees, King County shall satisfy the same. 5.2 In executing this Agreement, the County does not assume liability or responsibility for or in any way release the City from any liability or responsibility which arises in whole or in part from the existence or effect of City ordinances, rules or regulations. If any cause, claim, suit, action or administrative proceeding is commenced in which the enforceability and/or validity of any such Nay City ordinance, rule or regulation is at issue, the City shall defend the same at its sole expense and if judgment is entered or damages are awarded against the City, the County or both, the City shall satisfy the same, including all chargeable costs and attorney's fees. 5.3 The City shall indemnify and hold harmless King County and its elected officials, officers, agents and employees, or any of them, from and against any and all claims, actions, suits, liability, loss, costs, expenses and damages of any nature whatsoever, (i) which are caused by or result from a negligent act or omission of the City, its officers, agents and employees in performing obligations pursuant to this Agreement, and/or(ii) arising from those occurrences related to the Park Properties that occurred on or after the effective date of conveyance of the Park Properties_to the City, except to the extent that indemnifying or holding the County harmless would be limited by Section 4 of this Agreement. In the event that any suit based upon such a claim, action, loss or damage is brought against King County or King County and the City, the City shall defend the same at its sole cost and expense and, if final judgment be rendered against King County and its officers, agents and employees or jointly against King County and the City and their respective officers, agents and employees, the City shall satisfy the same. 5.4 Each party to this Agreement shall immediately notify the other of any and all Nowclaims, actions, losses or damages that arise or are brought against that Party Draft dated 10-18-07 24 ANN b. Exhibit C relating to or pertaining to the Park Properties. 5.5 Each party agrees that its obligations under this Section 5 extend to any claim, demand, and/or cause of action brought by or on behalf of any employees, or agents. For this purpose, each party,by mutual negotiation,hereby waives, with respect to the other party only, any immunity that would otherwise be available against such claims under the Industrial Insurance provisions of Title 51 RCW, but only to the extent necessary to indemnify the other party. 6. Audits and Inspections 6.1 Until December 31, 2013, any of either party's records related to any matters covered by this Agreement not otherwise privileged shall be subject to inspection, review, and/or audit by either party at the requesting party's sole expense. Such records shall be made available for inspection during regular business hours within a reasonable time of the request. 7. Waiver and Amendments 7.1 Waiver of any breach of any term or condition of this Agreement shall not be deemed a waiver of any prior or subsequent breach. No term or condition shall be waived, modified or deleted except by an instrument, in writing, signed by the parties hereto. 8. Entire Agreement and Modifications 8.1 The parties to this Intergovernmental Agreement acknowledge that it is a negotiated agreement and that, together with its Exhibits and that certain Agreement dated between the parties entitled INTERLOCAL AGREEMENT BETWEEN THE CITY OF RENTON AND KING COUNTY, RELATING TO THE ANNEXATION OF THE BENSON HILL COMMUNITIES POTENTIAL ANNEXATION AREA, ("Annexation Agreement") sets forth the entire agreement between the parties with respect to the subject matter hereof. There are no understandings or agreements between the parties respecting the subject matter hereof, written or oral, other than as set forth herein and in the Annexation Agreement. 8.2 Each party has had opportunity to consult with counsel in connection with the negotiation, execution and delivery of this Agreement. Each of the provisions of this Statement has been reviewed and negotiated, and represents the combined work product of both parties hereto.No presumption or other rules of construction which would interpret the provisions of this Agreement in favor of or against the party preparing the same will apply in connection with the construction or interpretation of any of the provisions of this Agreement. Draft dated 10-18-07 25 Exhibit C 9. Duration and Authority 9.1 This agreement shall be effective upon signature and authorization by both parties. The terms, covenants, representations and warranties contained herein shall not merge in the deed of conveyance,but shall survive the conveyance and shall continue in force unless both parties mutually consent in writing to termination. 10. Notice 10.1 Any notice provided for herein shall be sent to the respective parties at: King County: City: Kevin Brown Terry Higashiyama Manager, Parks and Recreation Community Services Department Division, DNRP Administrator Suite 700, King Street Center City of Renton 201 S. Jackson Street 1055 S. Grady Way Seattle, WA 98104 Renton, WA 98055-3232 Imre IN WITNESS WHEREOF, the parties have executed this Agreement. King County City of Renton King County Executive City Manager Date Date Approved as to Form: Approved as to Form: King County City Attorney Senior Deputy Prosecuting Attorney Date Date .144110, Draft dated 10-18-07 26 ter► Exhibit C STATE OF WASHINGTON) ) SS COUNTY OF KING ) On this day of , 200 ,before me,the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn personally appeared, to me known to be the individual described in and who executed the forgoing instrument, and acknowledged to me that signed and sealed the said instrument as free and voluntary act and deed for the uses and purposed therein mentioned. WITNESS my hand and official seal hereto affixed the day and year in this certificate above written. Notary Public in and for the State of Washington, residing at City and State My appointment expires wwr� STATE OF WASHINGTON) ) SS COUNTY OF KING ) On this day of , 200 ,before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn personally appeared, to me known to be the individual described in and who executed the forgoing instrument, and acknowledged to me that signed and sealed the said instrument as free and voluntary act and deed for the uses and purposed therein mentioned. WITNESS my hand and official seal hereto affixed the day and year in this certificate above written. Notary Public in and for the State of Washington,residing at City and State My appointment expires Draft dated 10-18-07 27 Exhibit C Nita„. EXHIBIT A King County Local Parks and Greenbelt Property Transferring to the City of Renton (Collectively, the "Park Properties") Name of park or parcel Amenities/facilities Cascade Park (Exhibit B-1) 10.94 acre site with 6 playfields, a picnic area and play equipment area Greenbelt property(Exhibit B-2) .57 acres '41rw` Now Draft dated 10-18-07 28 Exhibit C Exhibit A-1 lord Personal Property, Equipment and Supplies at Cascade Park to be Transferred with Local Parks and Recreation Facilities Properties Garbage cans - Picnic tables - Float line- Bleachers - Irrigation controller— Soccer goals Additional Equipment: Chalk liners - Whiting— Paint liners - Paint- Safety slider bases- Quick couplers - Ballfield Rakes - Infield drag- Flex harrow- Pitching rubbers - Home plates - *4401 Draft dated 10-18-07 29 Exhibit C EXHIBIT B Now Parks Properties Legal Descriptions Part 1: Summary: Funding Sources and Assessor Parcels included within each Park/Property Exhibit B-1: Cascade Park Acquired through Forward Thrust Bonds (assessor parcel #?282305-9085) Exhibit B-2: Greenbelt Property Acquired through dedication. (assessor parcel#746140-0420) Now 'Noir Draft dated 10-18-07 30 ,ars► • Exhibit C Exhibit B-1 Part 2: Detailed Legal Descriptions Cascade Park 282305-9085 That portion of the northwest quarter of the northeast quarter and portion of the northeast quarter of the northwest quarter of Section 28, Township 23 North, Range 5 East,W.M., described as follows: Beginning at the North quarter corner of said Section 28; thence North 89°10'36" West along the North line of said Section 28 a distance of 345 feet to a point on a curve from whence the center bears North 57°20'00" East 360 feet; thence to the left along said curve, 37.32 feet to the true point of beginning, said point being on a line parallel to and 30 feet Southerly of(measured at right angles to) the North line of said Section 28, said point being also on the Westerly boundary of Cascade Vista No. 4, as recorded in Volume 067 of Plats,page 016, records of King County, Washington; thence along said Westerly boundary, and Southerly on said curve 94.63 feet to the point of tangency; thence continuing along said Westerly boundary the following course: South 53°40'00" East 80.00 feet; thence South 36°20'00" West 110.00 feet; Thence South 53°40'00" East 210.00 feet; Thence again along said Westerly boundary of Cascade Vista No. 4, the following two courses, South 53°40'00" East 70.00 feet; thence South 29°40'00" East 77.28 feet to the Westerly boundary of Cascade Vista No. 7 as recorded in Volume 070 of Plats, page 025, records of King County, Washington; thence continuing on the Westerly boundary of said Cascade Vista No. 7 the following courses; South 33°01'27" East 280.48 feet; thence South 9°46'54" East 102.46 feet; thence South 2°04'17"West 145 feet thence South 24°29'38" East 67.08 feet; thence South 2°04'17"West 109.89 feet to the North line of the South 250 feet of the northwest quarter of the northeast quarter of said Section 28, thence North 87°50'48" West, along the North line of said south 250 feet a distance of 236.80 feet to the West line of said Northwest quarter of the Northeast quarter; thence along said North line North 88°41'05" West 130.98 feet to the Easterly boundary of Cascade Hills No. 3. as recorded in Volume 062 of Plats,pages 066 and 067, records of King County, Washington; thence North 27°24'03" West along said Easterly boundary, 452.52 feet; thence North 21°00'00" West along said Easterly boundary 650.00 feet; thence North 0°49'24" East along said Easterly boundary 70.00 feet, to a point on a line parallel to and 30 feet southerly of(Measured at right angles to) the North line of said Section 28; thence South 89°10'36" East, along said parallel line, 287.80 feet, more or less, to the true point of beginning; EXCEPT that portion lying within Pacific Northwest Pipeline right-of-way as described in instrument recorded un Auditor's File No. 4705922; situate in the City of Bellevue, County of King, State of Washington. SUBJECT to: Release of damages agreement recorded under Auditor's File No. 5379187; Drainage agreement recorded under Auditor's File No. 5306612; Easements recorded under Auditor's File Nos. 5412613 and 5667736. Draft dated 10-18-07 31 Exhibit C Exhibit B-2 ___ Greenbelt Property The following greenbelt located within the Benson Hill Communities Annexation area: Tracts A and B, Ruddell's 1st Addition, as recorded in Volume 108 of Plats, pages 018 through 019, records of King County, Washington. (Tax Account 746140-0420) Now Draft dated 10-18-07 32 Exhibit C Exhibit D voiroi AFTER RECORDING RETURN TO: City of RENTON,Washington QUIT CLAIM DEED GRANTOR—KING COUNTY GRANTEE- CITY OF RENTON LEGAL-- TAX NO.—NIA The Grantor, KING COUNTY, WASHINGTON, a political subdivision of the State of Washington, for and in consideration of mutual benefits, receipt of which is hereby acknowledged, conveys and quit claims unto the Grantee, the CITY OF RENTON, a municipal corporation of the State of Washington, those certain real property interests, as legally described in Exhibit A, attached hereto and made a part of this Deed together with any after-acquired title with the Grantor may acquire: Dated this day of , 200 . KING COUNTY, WASHINGTON Nosil BY TITLE STATE OF WASHINGTON ) SS COUNTY OF KING I certify that signed this instrument, on oath stated that he was authorized by the King County Executive to execute the instrument, and acknowledged it as the of King County, Washington to be the free and voluntary act of said County for the uses and purposes mentioned in the instrument. Dated NOTARY PUBLIC in and for the State of Washington, residing at My appointment expires Draft dated 10-18-07 33 . Exhibit D Nome Drainage Facilities to be Transferred to or Subject to Inspection by City of Renton upon Annexation of Benson Hill/Cascade PAA Table A: Stormwater System Facilities to be transferred to City Facility Facility number Facility Name Facility Address Type DR0508 Cascade 5 12143 SE 160th St Channel DR0518 Fall Drainage Improvement 18808 102nd Ave SE Culvert DR0538 Maple Glen Addition R/D Pond 18200 108th Ave SE Regional R/D Cascade Vista Drainage DR0606 Improvement 12700 SE Petrovyski Rd Culvert Enclosed DR0605 Ruddell Drainage Improvement 11100 SE 184th PI Drain DR0508 Cascade 5 12143 SE 160th St Channel DR0518 Fall Drainage Improvement 18808 102nd Ave SE Culvert DR0538 Maple Glen Addition R/D Pond 18200 108th Ave SE Regional R/D Cascade Vista Drainage DR0606 Improvement 12700 SE Petrovyski Rd Culvert Enclosed DR0605 Ruddell Drainage Improvement 11100 SE 184th PI Drain DR0508 Cascade 5 12143 SE 160th St Channel DR0518 Fall Drainage Improvement 18808 102nd Ave SE Culvert Itisre DR0538 Maple Glen Addition R/D Pond 18200 108th Ave SE Regional R/D Cascade Vista Drainage DR0606 Improvement 12700 SE Petrovyski Rd Culvert Enclosed DR0605 Ruddell Drainage Improvement 11100 SE 184th PI Drain DR0508 Cascade 5 12143 SE 160th St Channel DR0518 Fall Drainage Improvement 18808 102nd Ave SE Culvert DR0538 Maple Glen Addition R/D Pond 18200 108th Ave SE Regional R/D Cascade Vista Drainage DR0606 Improvement 12700 SE Petrovyski Rd Culvert Enclosed DR0605 Ruddell Drainage Improvement 11100 SE 184th PI Drain Table B: Commercial Stormwater Facilities to remain in private ownership, but may be inspected by City Facility FACILITY NAME FACILITY ADRESS Number D95122 Spring Glen Court Condos 17115 116th Ave SE D95127 Fred Sargent 10915 SE Petrovitsky D95427 Plastic& Reconstructive Surgeons, Inc 17930 Talbot Rd S D95436 Culver Dental Clinic 16655 108th Ave SE D95437 Valley Dental Center 10700 SE 174th St D95439 Skippers 17808 108th Ave SE Draft dated 10-18-07 34 A. . Exhibit D D95442 Glenview Heights 10405 SE 172nd St D95443 Dr Alan Wilson 17600 Talbot Rd S D95444 Dr Alan Wilson 17600 Talbot Rd S D95445 Valley Trust Credit Union 17620 Talbot Rd S D95449 Children's World Learning Center 11010 SE 176th St D95450 Euro Institute of Skin Care 10904 SE Petrovitsky Rd D95453 Terra Office Bldg 17422 108th Ave SE D95458 Lomas, Richard 17800 Talbot Rd S D95645 Lindberg High School 16426 128th Ave SE D95800 Puget Sound Energy 11426 SE 169th St D95956 McDonalds 17630 108th Ave SE D96165 Wendy's Restaurant 17816 108th Ave SE D96365 Gainsborough Commons Condos 17405 116th Ave SE D96368 Cascade Park Condos 11802 SE Petrovitsky Rd Formerly Childrens World Learning D96374 Center 17906 Talbot Rd S D96398 Kelsey Court Condos 10819 SE 172nd St D96399 Kelsey Court Condos 10819 SE 172nd St D96508 Taco Bell 17809 108th Ave SE D96584 The Madison at Fairwood 17349 120th Ave SE D96585 The Madison at Fairwood 17349 120th Ave SE D96586 The Madison at Fairwood 17349 120th Ave SE D96621 192 Professional Building 19201 108th Ave SE D96670 The Madison At Fairwood 11900 SE 175th St D96677 US Bank 17604 108th Ave SE D96690 Jiffy Lube 17642 108th Ave SE D96694 Dairy Queen 17826 108th Ave SE D96697 Springbrook Church of Christ 10421 SE 192nd St D96706 Panther Creek Estates 19235 108th Ave SE D96713 Vantage Glen Mobile Home Park 18001 108th Ave SE D96722 Vantage Glen Mobile Home Park 18100 107th PI SE D96772 The Madison At Fairwood 11900 SE 175th St D96861 Benson Estates(West) 16818 108th Ave SE D96862 Benson Estates (East) 16818 108th Ave SE D96947 Early Care Montessori 10717 SE 172nd St D97087 Cascade Childrens Montessori 17200 120th Ave SE D97088 Mission Ridge 120th Ave SE & Petrovitsky Rd D97089 Mission Ridge 120th Ave SE &Petrovitsky Rd D97272 Cascade Center 17036 116th Ave SE D97273 Cascade Center 17036 116th Ave SE D97286 North Benson Plaza 10623 SE 176th St D97287 North Benson Plaza Benson Rd & 176th Ave SE D97290 Westview Village 17735 105th PI SE D97291 Westview Village 17735 105th PI SE D97300 Good Shepherd Group Home 16642 113th Ave SE D97362 Good Shepherd Group Home 17019 105th Ave SE D97390 Talbot Center Parking Lot 17820 Talbot Rd S D97439 Cascade Center 17036 116th Ave SE D97440 Westview Village 17735 105th PI SE D97490 Springfield Apts 10815 SE 184th Ln D97497 Early Care Montessori 10717 SE 172nd St Draft dated 10-18-07 35 Exhibit D D97521 Medical Clinic 17910 Talbot Rd S err= D97534 Huntington Heights Condominiums 11002 SE 176th St D98365 Benson Downs 11100 SE 176th St D98505 Morgan Court Condos 18630 108th Ave SE D98540 North Benson Plaza Bldg "N" 17605 108th Ave SE D98622 Belgrove at Renton Phase 1 10836 SE 190th St D98623 Belgrove at Renton Phase 1 10836 SE 190th St D98669 Glacier View Townhomes 17100 114th Ave SE D98670 Glacier View Townhomes 17100 114th Ave SE D98706 Glacier View Townhomes Ph 2 115)0( 170th PI SE D97535 Huntington Heights Condominiums 11002 SE 176th St D97868 Four-Rex 19238 107th Ave SE D97869 Tri-Plex 19226 107th Ave SE D97874 Heron Glen Condos 10824 SE 170th St D97905 Benson Hill Public Storage 10636 SE 174th St D97906 Benson Hill Public Storage 10636 SE 174th St D97925 US Post Office 17200 116th Ave SE D98208 Pebble Cove Apartments 17600 134th Ave SE D98223 Kentucky Fried Chicken 10433 SE Carr Rd D98224 Vista Heights 10600 SE 184th Ln D98225 Vista Heights 2 (tank/swale) 10600 SE 184th Ln Unoccupied building at 10622 SE Carr D98226 Rd 10622 SE Carr Rd D98233 King's Transmission Auto Service Center 10909 SE 176th St D98262 Renton Park Elementary 16828 128th Ave SE Renton Park Elementary School North D98284 Tank 12850 SE 168th St D98309 Village Gate Condominiums 11010 SE 192nd St D98311 Palm Court Condominiums 11014 SE 176th St D98340 Arby's Restaurant 17832 108th Ave SE D98363 Benson Downs 11100 SE 176th St D98364 Benson Downs 11100 SE 176th St Table C: Stormwater Facilities Serving Residential Development to be Transferred to City On publicly Facility owned drainage Number FACILITY NAME FACILITY ADRESS tract?/tract# D90240 Fairwood Park Div 7 17037 134th Ave SE Y-2473360290 D90322 Belterra 10 17617 114th PI SE N D90636 Garden View Estates 18825 111th PI SE N D90802 KCSP 0979061 18851 103rd Ct SE N D90911 Garden View Estates Div 6 18814 110th Ct SE N Allowe D90914 Ruddell's 1st Addition 18401 112th Ave SE Y- 3223059313 Draft dated 10-18-07 36 Exhibit D D91142 Springbrook Terrace 19219 98th PI S Y-7941200230 D91190 Parkridge 10126 SE 200th St Y-6666850150 D91274 Eagle Brook 19197 104th PI SE Y-2141270240 D91366 KCSP 0185005-006 17327 117th Ave SE N D91566 J and M 10304 SE 192nd St N D91671 Hidden Cedars Div II 12218 SE 179th PI Y-3274850370 D91672 Hidden Cedars Div II 12317 SE 179th PI Y-3274850360 D91858 Panther Meadow 19014 102nd Ave SE N D91859 Panther Meadows 10329 SE 190th PI Y-6624300210 D91882 Cougar Meadows 18939 104th PI SE Y- 1778300290 D91898 Chinquapin Ridge 19133 113th Wy SE Y- 1565951020 D91899 Chinquapin Ridge 11207 SE 190th PI N SE 188th PI & 112th PI D91900 Chinquapin Ridge SE N D91915 Orchard Park 17915 112th Ave SE N D91930 Vista Ridge 18631 106th Ave SE Y-8956500210 Y-0743000080, D92060 Benson Woods 18927 111th PI SE 0743000090 D92121 KCSP S89S0354-355 10101 SE 188th St N D92144 SP 0884085 &SP 0385022 16474 111th Ave SE N D92157 KCSP S89S0246 19608 92nd Ave S Y-7931000025 D92182 KCSP 0688002 (Knudson SP) 18004 124th Ave SE N D92207 Benson Glen 16929 109th PI SE Y-8637100450 092208 Benson Glen 17010 110th PI SE Y-8637100470 D92225 Morning Glen 17602 114th PI SE Y-5648600260 Y-2641400650, 092301 Frederick's Place 10215 SE 186th St 2641400640 D92366 Windsor Heights 10200 SE 185th PI Y-9476000210 D92367 Windsor Heights 18500 102nd Ave SE N D92383 Christian Short Plat SP940042 11129 SE 189th PI Y-2698200224 D92520 Emerald Glen Tr B 18545 114th Ave SE Y-2329850270 D92539 Talbot Estates 19222 Talbot Rd S Y-8557200180 Y-2333230360, D92661 Emerald Vista 17653 128th Ave SE 2333230380 D92711 2YR BOND Serenity Ridge Tr A 17935 110th PI SE Y-7697300410 D92712 2 YR BOND Serenity Ridge Tr B 17701 110th PI SE Y-7697300420 D92775 2YR BOND Benson Hill 17671 112th Ave SE N D92776 Kimberly Lane 17222 125th Ave SE Y-3864800140 D92827 2YR BOND Olympic Peak Estates 9401-1/2 S 196th PI Y-6385120280 D92879 2YR BOND West Glen 115XX SE 191st Ct N Draft dated 10-18-07 37 Exhibit E *,r,,,,,. Drainage Facility and Related Property Interests to be Transferred to the City 1. Drainage Related Lands held by King County and Described as Follows: TRACT C, AURIA WOODS, as recorded in Volume 220 of Plats,pages 078 through 082, records of King County, Washington. (Tax Account 030550-0310) TRACT A and B, BENSON WOODS, as recorded in Volume 159 of Plats,pages 041 through 043, records of King County, Washington. (Tax Accounts 074300-0080 and 074300-0090) TRACT D, CHINQUAPIN RIDGE, as recorded in Volume 159 of Plats, pages 056 through 062, records of King County, Washington. (Tax Account 156595-1020) TRACT B, COUGAR MEADOWS, as recorded in Volume 161 of Plats, pages 047 through 051, records of King County, Washington. (Tax Account 177830-0290) TRACT B, EAGLEBROOK, as recorded in Volume 137 of Plats,pages 066 through 067 records of King County, Washington. (Tax Account 214127-0240) TRACT B, EMERALD GLEN, as recorded in Volume 177 of Plats,pages 079 through 081, records of King County, Washington. (Tax Account 232985-0270) Noise TRACTS F AND I, EMERALD VISTA, as recorded in Volume 199 of Plats, pages 058 through 062, records of King County, Washington. (Tax Accounts 233323-0360 & 233323-0380) TRACT C, FAIRWOOD PARK DIV 7, as recorded in Volume 116 of Plats, pages 088 through 090, records of King County, Washington. (Tax Account 247336-0290) TRACTS B and C, FREDERICKS PLACE as recorded in Volume 169 of Plats, pages 030 through 036, records of King County, Washington. (Tax Account 264140-0640 & 264140-0650) TRACTS A and C, HIDDEN CEDARS DIV 2, as recorded in Volume 150 of Plats, pages 037 through 039, records of King County, Washington. (Tax Account 327485- 0370 & 327485-0370) TRACT A, KIMBERLY LANE, as recorded in Volume 207 of Plats,pages 065 through 066, records of King County, Washington. (Tax Account 386480-0140) TRACT C, LARSON PARKE, as recorded in Volume 204 of Plats, pages 069 through 070, records of King County, Washington. (Tax Account 419310-0140) Draft dated 10-18-07 38 Exhibit E TRACT A,MAPLE GLEN ADDITION, as recorded in Volume 105 of Plats, pages 015 through 016, records of King County, Washington. (Tax Account 508970-0780) TRACT A, MORNING GLEN, as recorded in Volume 170 of Plats,pages 012 through 015, records of King County, Washington. (Tax Account 564860-0260) TRACT A, OLYMPIC PEAK ESTATES, as recorded in Volume 223 of Plats,pages 021 through 024,records of King County, Washington. (Tax Account 638512-0280) TRACT A, PANTHER MEADOW, as recorded in Volume 151 of Plats, pages 026 through 028, records of King County, Washington. (Tax Account 662430-0210) TRACT A, PARKRIDGE EAST I, as recorded in Volume 132 of Plats,pages 045 through 046, records of King County, Washington. (Tax Account 666685-0150) TRACTS A and B, SERENITY RIDGE, as recorded in Volume 201 of Plats, pages 061 through 065, records of King County, Washington. (Tax Accounts 769730-0410 & 769730-0420) TRACT A, SPRINGBROOK TERRACE, as recorded in Volume 130 of Plats, pages 059 through 060, records of King County, Washington. (Tax Account 794120-0230) TRACT A, AMENDED PLAT OF SPRINGBROOK TERRACE, as recorded in Volume 131 of Plats, pages 055 through 058, records of King County, Washington (Tax Account 794120-0230) TRACT A, TALBOT ESTATES, as recorded in Volume 172 of Plats,pages 001 through 003, records of King County, Washington(Tax Account 855720-0180) TRACT A, KING COUNTY SHORT PLAT L94S0042- Recording No. 9702119001. Said Short Plat defined as follows: Lot 22 of Garden View Estates. (Tax Account 269820-0224) TRACT B, KING COUNTY SHORT PLAT #L98S0004 Recording No. 20020321900014. Said Short Plat defined as follows: Lot 18, Block 4 of Akers Farms Number 5, according to the plat thereof recorded in Volume 40 of Plats,page 27 in King County, Washington(Tax Account 008700-0304) TRACT A, KING COUNTY SHORT PLAT S89S0246 Recording No. 9305279003. Said Short Plat defined as follows: Parcel A of King County Short Plat 475064 recorded under recording number 7508180367 being a portion of Tract 2 of Springbrook Acre Tracts (Tax Account 793100-0025) The East 168 feet of the East 198 feet of the North half of the North half of the Northeast quarter of the Northwest quarter of the Southeast quarter of Section 32, Township 23 north, Range 5 East., W.M. King County, Washington, EXCEPT the south 15 feet Draft dated 10-18-07 39 Exhibit E thereof Being known as the East 168 feet of Lot 1,Revised King County Short Plat No. 474040, as recorded under King County Recording No. 7705110932 (Tax Account Now- 322305-9313) TRACT A OF KING COUNTY SHORT PLAT 383067 Recording No. 8505301009. Said Short Plat defined as follows: the North half of the Northeast quarter of the Southwest quarter of the Southwest quarter of Section 32, Township 23, Range 5 East, W.M , King County, LESS the West 12 feet thereof deeded to King County by deed recorded under Auditors File No. 1728889. (Tax Account 322305-9333) TRACTS G and I, THRESHOLD 1, as recorded in Volume 164 of Plats,pages 008 through 012, records of King County, Washington. (Tax Accounts 863710-0450 and 863710-0470) TRACT A, VISTA RIDGE, as recorded in Volume 159 of Plats,pages 030 through 032, records of King County, Washington. (Tax Account 895650-0210) TRACT B, WATERSHED TERRACE, as recorded in Volume 215 of Plats, pages 088 through 093, records of King County, Washington. (Tax Account 919770-0240) TRACT B, WILKINS WOOD, as recorded in Volume 232 of Plats, pages 012 through 013, records of King County,Washington. (Tax Account 941595-0110) TRACT A, WINDSOR HEIGHTS, as recorded in Volume 173 of Plats, pages 028 %o' through 030, records of King County, Washington (Tax Account 947600-0210) 2. The following declarations of covenant: Declaration of Covenant filed under recording number 199101089002 Declaration of Covenant filed under recording number 1999111001220 Declaration of Covenant filed under recording number 20040715002034 Declaration of Covenant filed under recording number 20060126000928 Declaration of Covenant filed under recording number 20060112000910 3. The following storm drainage easements: All drainage easements dedicated to King County or the public in the following recorded plats: AKERS FARMS NO. 05, as recorded in Volume 040 of Plats,page 027, records of King County, Washington 44.100, Draft dated 10-18-07 40 Exhibit E AKERS FARMS NO. 06, as recorded in Volume 042 of Plats,page 015,records of King County, Washington AURIA WOODS, as recorded in Volume 220 of Plats,pages 078 through 082, records of King County, Washington BANKERS 1ST ADD PLAT OF, as recorded in Volume 067 of Plats, page 095, records of King County, Washington BELGROVE AT RENTON DIV NO. 2-BSP, as recorded in Volume 222 of Plats, pages 090 through 097, records of King County, Washington BELTERRA NO. 10, as recorded in Volume 117 of Plats,pages 033 through 034, records of King County, Washington BENSON HEIGHTS ADD, as recorded in Volume 048 of Plats,page 098, records of King County, Washington BENSON HILL, as recorded in Volume 192 of Plats, pages011 through 019, records of King County, Washington BENSON TERRACE DIV NO. 01, as recorded in Volume 055 of Plats, page 053, records of King County, Washington BENSON TERRACE DIV NO. 02, as recorded in Volume 061 of Plats, page 037, records of King County, Washington BENSON TERRACE DIV NO. 03, as recorded in Volume 062 of Plats,page 004, records of King County, Washington BENSON TERRACE DIV NO. 04, as recorded in Volume 062 of Plats,page 006, records of King County, Washington BENSON WOODS, as recorded in Volume 159 of Plats,pages 041 through 043, records of King County, Washington BIEGLER-NILLES ADD, as recorded in Volume 052 of Plats,page 048, records of King County, Washington BILL RUTH ADD, as recorded in Volume 102 of Plats, page 023, records of King County, Washington BIRCHWOOD ESTATES, as recorded in Volume 137 of Plats, pages 073 through 075, records of King County, Washington Draft dated 10-18-07 41 Exhibit E BRISTOW ADD, as recorded in Volume 063 of Plats, page 055, records of King County, Washington CASCADE HILLS ADD, as recorded in Volume 059 of Plats, page 037, records of King County, Washington CASCADE HILLS NO. 02, as recorded in Volume 061 of Plats, pages 013 through 014, records of King County, Washington CASCADE HILLS NO. 03, as recorded in Volume 062 of Plats, pages 066 through 067, records of King County, Washington CASCADE HILLS NO. 04, as recorded in Volume 074 of Plats, pages 036, records of King County, Washington CASCADE HILLS NO. 05, as recorded in Volume 072 of Plats, pages 023 through 024, records of King County, Washington CASCADE HILLS NO. 06, as recorded in Volume 074 of Plats, pages 032 through 033, records of King County, Washington CASCADE HILLS NO. 07, as recorded in Volume 079 of Plats, pages 050 through 051, records of King County, Washington CASCADE HILLS NO. 08, as recorded in Volume 080 of Plats,pages 041 through 042, records of King County, Washington CASCADE PARK PH 01, as recorded in Volume 060 of Plats,pages 023 through 026, records of King County, Washington CASCADE VILLAGE DIV NO. 01, as recorded in Volume 066 of Plats,page 043, records of King County, Washington CASCADE VILLAGE DIV NO. 02, as recorded in Volume 067 of Plats, page 017, records of King County, Washington CASCADE VILLAGE DIV NO. 03, as recorded in Volume 069 of Plats, page 016, records of King County, Washington CASCADE VILLAGE DIV NO. 04, as recorded in Volume 070 of Plats,page 015, records of King County, Washington CASCADE VILLAGE DIV NO. 05, as recorded in Volume 071 of Plats, page 060, records of King County, Washington Draft dated 10-18-07 42 Exhibit E CASCADE VISTA ADD, as recorded in Volume 060 of Plats,pages 033 through 035, records of King County, Washington NIS CASCADE VISTA NO. 02, as recorded in Volume 061 of Plats,pages 039 through 040, records of King County, Washington CASCADE VISTA NO. 03, as recorded in Volume 062 of Plats, pages 022 through 023, records of King County, Washington CASCADE VISTA NO. 04, as recorded in Volume 067 of Plats, page 016, records of King County, Washington CASCADE VISTA NO. 05, as recorded in Volume 068 of Plats, page 065, records of King County, Washington CASCADE VISTA NO. 06, as recorded in Volume 066 of Plats,page 045, records of King County, Washington CASCADE VISTA NO. 07, as recorded in Volume 070 of Plats,page 025, records of King County, Washington CASCADE VISTA NO. 08, as recorded in Volume 081 of Plats,page 047,records of King County,Washington CHINQUAPIN RIDGE, as recorded in Volume 159 of Plats,pages 056 through 062, records of King County, Washington CLIFFORD'S 1ST ADD, as recorded in Volume 047 of Plats, page 053,records of King County, Washington COUGAR MEADOWS, as recorded in Volume 161 of Plats, pages 047 through 051, records of King County, Washington COUNTRY SIDE ADD, as recorded in Volume 059 of Plats, page 028,records of King County, Washington DONNYBROOK MANOR ADD, as recorded in Volume 071 of Plats,page 052, records of King County, Washington EAGLEBROOK, as recorded in Volume 137 of Plats,pages 066 through 067,records of King County, Washington EMERALD GLEN, as recorded in Volume 177 of Plats,pages 079 through 080,records of King County, Washington Niad Draft dated 10-18-07 43 Exhibit E EMERAL VISTA, as recorded in Volume 199 of Plats,pages 058 through 062, records of King County, Washington ERICKSENS SPRING GLEN ADD, as recorded in Volume 048 of Plats, page 022, records of King County, Washington FAIRWOOD PARK DIV NO. 07, as recorded in Volume 116 of Plats, pages 088 through 090, records of King County, Washington FREDERICKS PLACE, as recorded in Volume 169 of Plats, pages030 through 036, records of King County, Washington GAINSBOROUGH COMMONS, as recorded in Volume 047 of Plats, pages 053 through 058, records of King County, Washington GARDEN VIEW ESTATES, as recorded in Volume 118 of Plats, pages 007 through 008, records of King County, Washington GLACIER VIEW TOWN HOMES -BSP, as recorded in Volume 225 of Plats, pages 087 through 093, records of King County, Washington GLACIER VIEW TOWN HOMES PH 2, as recorded in Volume 232 of Plats, pages 049 through 052, records of King County, Washington GREEN TRACTS NO. 01, as recorded in Volume 048 of Plats,pages 001 through 002, records of King County, Washington GREEN TRACTS NO. 02, as recorded in Volume 067 of Plats, page 068,records of King County, Washington HERON GLEN, as recorded in Volume 119 of Plats,pages 077 through 079, records of King County, Washington HIDDEN CEDARS DIV NO. 02, as recorded in Volume 150 of Plats, pages 037 through 039, records of King County, Washington HIGGINBOTHAM ADD, as recorded in Volume 065 of Plats,page 083, records of King County, Washington HIGH CHAPARRAL ESTATES, as recorded in Volume 086 of Plats, page 038, records of King County, Washington HI-PARK TRS 1ST ADD, as recorded in Volume 074 of Plats,page 012, records of King County, Washington Draft dated 10-18-07 44 Exhibit E HI-VIEW HEIGHTS ADD, as recorded in Volume 079 of Plats,pages 075 through 076, records of King County, Washington 11.04 HILLTOP HEIGHTS ADD, as recorded in Volume 075 of Plats,pages 079 through 080, records of King County, Washington HUNTINGTON HEIGHTS, as recorded in Volume 115 of Plats,pages 001 through 008, records of King County, Washington J &M, as recorded in Volume 138 of Plats, pages 001 through 003,records of King County, Washington KELSEY COURT PH 01, as recorded in Volume 072 of Plats,pages 095 through 097, records of King County, Washington KELSEY COURT PH 01 REVISED, as recorded in Volume 073 of Plats, pages 042 through 044, records of King County, Washington KELSEY LANE, as recorded in Volume 123 of Plats, pages 087 through 088, records of King County, Washington KENNEDY L J ADD, as recorded in Volume 073 of Plats, page 005,records of King County, Washington KIMBERLY LANE, as recorded in Volume 207 of Plats, pages 065 through 066, records of King County, Washington KING COUNTY SHORT PLAT S89S0354, as recorded in Volume 077 of Plats,page 269, records of King County, Washington KING COUNTY SHORT PLAT, S89S0355, as recorded in Volume 077 of Plats,page 270, records of King County, Washington KING COUNTY SHORT PLAT, S90S0205, as recorded in Volume 107 of Plats,page 173, records of King County, Washington KING COUNTY SHORT PLAT, S90S0211, as recorded in Volume 088 of Plats, page 214, records of King County, Washington KING COUNTY SHORT PLAT, S9150048, as recorded in Volume 102 of Plats,page 289, records of King County, Washington KING COUNTY SHORT PLAT, S91S0089, as recorded in Volume 123, of Plats, pages 113 through 114, records of King County, Washington Draft dated 10-18-07 45 Exhibit E KING COUNTY SHORT PLAT, L94S0042, as recorded in Volume 113 of Plats, pages Now119 through 120, records of King County, Washington KING COUNTY SHORT PLAT, L95S0017, as recorded in Volume 120 of Plats,pages 260 through 261, records of King County, Washington KING COUNTY SHORT PLAT, L95S0024, as recorded in Volume 134 of Plats, pages 120 through 121,records of King County, Washington KING COUNTY SHORT PLAT, L9820004 as recorded in Volume 151 of Plats, pages 036 through 037, records of King County, Washington KING COUNTY SHORT PLAT, L98S0049, as recorded in Volume 131 of Plats, page 049, records of King County, Washington KING COUNTY SHORT PLAT, L0120003, as recorded in Volume 159 of Plats, page 043, records of King County, Washington KING COUNTY SHORT PLAT, L01S0032, as recorded in Volume 186 of Plats, pages 139 through 140, records of King County,Washington KING COUNTY SHORT PLAT, L01 50053, as recorded in Volume 216 of Plats,pages 270 through 271, records of King County, Washington KING COUNTY SHORT PLAT, L02S0019, as recorded in Volume 187 of Plats, page 096 through 097, records of King County, Washington LARSON PARKE, as recorded in Volume 204 of Plats,pages 069 through 070,records of King County, Washington MALABAR HILL DIV NO. 01, as recorded in Volume 070 of Plats,page 074, records of King County, Washington MAPLE GLEN ADD, as recorded in Volume 105 of Plats, pages 015 through 016, records of King County, Washington MELRIDGE ADD, as recorded in Volume 072 of Plats,page 066, records of King County, Washington MORGAN COURT, as recorded in Volume 169 of Plats,pages 038 through 044,records of King County, Washington MORNING GLEN, as recorded in Volume 170 of Plats, pages 012 through 015, records of King County, Washington "wrr Draft dated 10-18-07 46 Exhibit E MORTGAGE MANOR ADD, as recorded in Volume 071 of Plats,page 084,records of King County, Washington Ntad MURRAY MANOR ADD, as recorded in Volume 073 of Plats,pages 001 through 002, records of King County, Washington NORTHWESTERN GARDEN TRACTS DIV NO. 01, as recorded in Volume 045 of Plats,page 047, records of King County, Washington NORTHWESTERN GARDEN TRACTS DIV NO. 02, as recorded in Volume 046 of Plats,page 093, records of King County, Washington NORTHWESTERN GARDEN TRACTS DIV NO. 03, as recorded in Volume 047 of Plats,page 073, records of King County, Washington NORTHWESTERN GARDEN TRACTS DIV NO. 04, as recorded in Volume 047 of Plats,page 074, records of King County, Washington NORTHWESTERN GARDEN TRACTS DIV NO. 05, as recorded in Volume 047 of Plats,page 090, records of King County, Washington NORTHWESTERN GARDEN TRACTS DIV NO. 06, as recorded in Volume 046 of Plats,page 100, records of King County, Washington OLYMPIC PEAK ESTATES, as recorded in Volume 223 of Plats, pages 021 through 024, records of King County, Washington OLYMPIC VISTA ADD, as recorded in Volume 075 of Plats, pages 076 through 078, records of King County, Washington ORCHARD LANE, as recorded in Volume 069 of Plats, page 032, records of King County, Washington ORCHARD PARK NO. 02, as recorded in Volume 161 of Plats, pages 086 through 089, records of King County, Washington PALM COURT, as recorded in Volume 155 of Plats, pages 072 through 079, records of King County, Washington PANTHER LAKE ESTATES, as recorded in Volume 125 of Plats, pages 012 through 013, records of King County, Washington PANTHER LAKE GARDEN TRS, as recorded in Volume 009 of Plats, page 025, records of King County, Washington Draft dated 10-18-07 47 Exhibit E PANTHER MEADOW, as recorded in Volume 151 of Plats, pages 026 through 028, records of King County, Washington Nome PARKRIDGE EAST NO. 01, as recorded in Volume 132 of Plats, pages 045 through 046, records of King County, Washington RENTON PARK ADD, as recorded in Volume 058 of Plats,page 077, records of King County, Washington RENTON PARK DIV NO. 02, as recorded in Volume 071 of Plats, page 093, records of King County, Washington RENTON PARK DIV NO. 03, as recorded in Volume 080 of Plats,pages 095 through 096, records of King County, Washington RENTON PARK DIV NO. 04, as recorded in Volume 086 of Plats, page 068, records of King County, Washington RUDDELL'S 1ST ADD, as recorded in Volume 108 of Plats, pages 018 through 019, records of King County, Washington SCOTTS TERRACE ADD, as recorded in Volume 072 of Plats, pages 039 through 040, records of King County, Washington Now SERENITY RIDGE, as recorded in Volume 201 of Plats, pages 061 through 065, records of King County, Washington SPRING BROOK ACRE TRS, as recorded in Volume 012 of Plats, page 060, records of King County, Washington SPRINGBROOK RANCHETTES ADD, as recorded in Volume 073 of Plats, pages 028 through 029, records of King County, Washington SPRINGBROOK TERRACE, as recorded in Volume 130 of Plats, pages 059 through 060, records of King County, Washington SPRINGFIELD, as recorded in Volume 002 of Plats, pages 095 through 099, records of King County, Washington SPRING GLEN COURT, as recorded in Volume 058 of Plats,pages 026 through 031, records of King County, Washington SPRING LANE ADD, as recorded in Volume 065 of Plats, page 056, records of King County, Washington Draft dated 10-18-07 48 �r. Exhibit E TALBOT ESTATES, as recorded in Volume 172 of Plats,pages 001 through 003, records of King County, Washington THRESHOLD I, as recorded in Volume 164 of Plats,pages 008 through 012,records of King County,Washington VIEW GARDENS ADD, as recorded in Volume 053 of Plats,page 099,records of King County, Washington VIEW GARDENS NO. 02, as recorded in Volume 067 of Plats,page 038, records of King County, Washington VILLAGE GATE, as recorded in Volume 147 of Plats,pages 083 through 086, records of King County, Washington VISTA HILLS ADD, as recorded in Volume 067 of Plats, page 099, records of King County, Washington VISTA RIDGE, as recorded in Volume 159 of Plats,pages 030 through 032,records of King County, Washington VISTA VIEW HEIGHTS, as recorded in Volume 083 of Plats, page 055, records of King County, Washington WALHAVEN - PLAT, as recorded in Volume 063 of Plats, pages 035 through 000, records of King County, Washington WALHAVEN ADD NO. 02, as recorded in Volume 069 of Plats, pages 096 through 097, records of King County, Washington WATERSHED TERRACE, as recorded in Volume 215 of Plats, pages 088 through 093, records of King County, Washington WEST GLEN, as recorded in Volume 231 of Plats,pages 034 through 037, records of King County, Washington WILKINS WOOD, as recorded in Volume 232 of Plats, pages 012 through 013, records of King County, Washington WINDSOR HEIGHTS, as recorded in Volume 173 of Plats, pages 028 through 030, records of King County, Washington Draft dated 10-18-07 49 Exhibit F �.r AFTER RECORDING RETURN TO: City of Renton,Washington QUIT CLAIM DEED GRANTOR—KING COUNTY GRANTEE -CITY OF RENTON LEGAL-- TAX NO.—N/A The Grantor, KING COUNTY, WASHINGTON, a political subdivision of the State of Washington, for and in consideration of mutual benefits, receipt of which is hereby acknowledged, conveys and quit claims unto the Grantee, the CITY OF RENTON, a municipal corporation of the State of Washington, those certain real property interests, as legally described in Exhibit A, attached hereto and made a part of this Deed: Dated this day of , 200_. KING COUNTY, WASHINGTON BY TITLE STATE OF WASHINGTON ) ) SS COUNTY OF KING ) I certify that signed this instrument, on oath stated that he was authorized by the King County Executive to execute the instrument, and acknowledged it as the of King County, Washington to be the free and voluntary act of said County for the uses and purposes mentioned in the instrument. Dated NOTARY PUBLIC in and for the State of Washington, residing at My appointment expires Niw' Draft dated 10-18-07 50 Exhibit G Roads Related Properties Nird Tax Parcel Number Street Address 0087000153 Benson Drvie South and SE 172"'Street, 2823059011 South side of SE Petrovitsky Road,vicinity of 118th Avenue SE and 120th Avenue SE Legal Descriptions Akers Farm 008700-0153 The south one half of the east one half of Lot 13, Block 2, Akers Farms No.5, according to the plat thereof, recorded in Volume 040 of Plats, page 027, records of King County, Washington; LESS road deeded to King County under recording numbers 7607190431 and 7306050286. 282305-9011 That portion of the Southwest quarter of the Southwest quarter of Section 28, Township 23 North, Range 5 East, W.M., King County, Washington, lying Southerly of Petrovitsky Road: EXCEPT the East 80 feet thereof. SUBJECT TO: 1.) An easement with provisions and conditions in favor of Covington-Seattle Ned Transmission line. 2.) Drainage ditch on said premises and other lands as disclosed by instrument recorded May 29, 1953 under auditor's file No. 4349507. 3.) An easement with provision, conditions and covenants as may be set forth therein in favor of Cascade Sewer District, recorded December 13, 1979, under King County Recording No. 7912130118, affecting an area 15 feet in width over easterly portion of said premises and other lands. 4.) Resolution No. 1442 of the Board of Commissioners of Cascade Sewer District establishing latecomers costs due Cascade Sewer District on utility local improvement district No. 39 offsite and onsite, as recorded under auditor's file No. 8105050737, to the record of which reference is hereby made for full particulars, affecting said premises and other lands. 5.) Reservations contained in instrument executed by A.F. Plant and Inez L. Plant,his wife, and Franklin D. Plant and Evelyn Plant,his wife, recorded May 29,1953, under King County Recording No. 4349507 described as follows: Excepting and reserving unto the sellers,their heirs, successors and assigns, forever, all minerals of any nature whatsoever, including coal, iron, natural gas and oil, upon or in said land, together with the use of such of the surface as may be necessary for exploring for the mining or otherwise extracting and carrying away the same;but the sellers, their heirs, successors and assigns shall pay to the purchaser,his heirs, successor and assigns, the market value at the time mining operations are commenced of such portion of the surface as may be used for such operations, or injured thereby, including any improvements thereon. Draft dated 10-18-07 51 Exhibit H Benson Hill/Cascade Potential Annexation Area Police Services Transition Plan 'fir► A. Effective Date: Effective Date of the Annexation Area Annexation B. Desired outcomes 1. The King County Sheriff's Office("KCSO") and City of Renton("City") share a goal to work together to ensure that the transition is conducted in a professional manner, and that there are no breaks in service for the residents of the Annexation Area. C. Roles and responsibilities 1. The KCSO Contracts Unit is responsible for: a. Facilitating the transition process. b. Ensuring that all transition elements are addressed and completed. c. Working with Precinct 3 to address operational components of change. d. Working with non-precinct KCSO units to ensure smooth transition. e. Serving as primary contact for City. 2. The KCSO Precinct 3 is responsible for: a. Ensuring the operations are smoothly transitioned, including sharing of crime information as requested by the City. 3. The City, including its police department, is responsible for: a. Ensuring that the police department is able to provide service in the Now Annexation Area beginning on the effective dates of the annexation. b. Determining the information needed from the KCSO regarding crime, detective cases, or other law enforcement activities. c. Requesting the information identified above in a timely manner. D. Workload 1. Records a. The KCSO will retain all original records for events happening before the effective annexation date in accordance with state records retention schedules. KCSO will provide copies of the records upon written request from the City Police Department, following KCSO protocols. 2. Fingerprinting and Concealed Weapons Permits a. City residents can continue to receive these services at KCSO locations, or may go to the City Police for these services. 3. Sex offender tracking, contacts, and notifications a. From and after the effective date of the annexation, the City will become responsible for holding community meetings for any sex offenders living in the Annexation Area, with the exception of already-scheduled meetings. Further, the City will be responsible for all legally mandated contacts and monitoring. The KCSO retains responsibility for sex offender registration in accordance with applicable statutes. Not.r 4. Investigations Draft dated 10-18-07 52 Exhibit H a. KCSO detectives will continue to handle all investigations that are active at the date of annexation, unless otherwise negotiated with the city. At City's request, the KCSO will arrange for an information exchange with city detectives in order to pass on information regarding any cases that City will investigate. Investigation of criminal matters occurring from and after the date of Annexation will be the responsibility of the City. E. Emergency 9-1-1 Services (Communication& Dispatch) 1. Renton Police will be responsible for ensuring that their communications and dispatch services are prepared to take Annexation Area calls beginning on the effective dates of the annexations. This includes arranging for such 9-1-1 calls to be directed to the proper communications center. Renton Police will provide the E-911 Program Office with at least 30 days advance notice of the effective date of the annexation to allow sufficient time for the E-911 Program Office and Qwest to process E-911 database changes before the effective date of the annexations. 2. The KCSO and the E-911 Program Office will be responsible for discontinuing KCSO communication and dispatch service to the Annexation Area on the effective dates of the annexations. The KCSO and the E-911 Program Office will assist Renton's communications service in making the switch, with Renton having primary responsibility. F. Notification to affected units 1. The KCSO Contracts Unit will notify all KCSO units of the annexations, and will work with them to resolve any concerns. Draft dated 10-18-07 53 CITY OF RENTON,WASHINGTON RESOLUTION NO. A RESOLUTION OF THE CITY OF RENTON, WASHINGTON, AUTHORIZING THE MAYOR AND CITY CLERK TO ENTER INTO AN INTERLOCAL AGREEMENT BETWEEN THE CITY OF RENTON AND KING COUNTY RELATING TO 1'HE ANNEXATION OF THE BENSON HILL COMMUNITIES ANNEXATION AREA. WHEREAS, the City of Renton and King County have the authority under Chapter 39.34 RCW, the Interlocal Cooperation Act, to enter into this Agreement; and WHEREAS, the City has requested that an election be held on the question of annexation of the Benson Hill Communities Annexation Area, with the election to be held on November 6, 2007; and WHEREAS, any annexation would require a number of cooperative actions between the City and the County, including the following: 1) transfer of all roads, bridges, rights-of-way, surface water management facilities, environmental mitigation sites, street lights, traffic signals and signs, and pavement markings; 2) transfer of public records; 3) transition of services associated with the annexation area; 4) transfer of ownership of parks to the City from the County; 5) agreement regarding financial support for the Renton Pool; and WHEREAS, King County has committed to make a $1.7 million payment to the City of Renton should the annexation vote be successful, in order to partially offset the City's cost of transitioning and providing services to the Annexation Area, and in consideration for the City relieving the County of the burden of providing local public services, from sources including $250,000 from real estate excise tax; $950,000 from the County current expense fund; and roadway overlay improvements valued at $500,000; and 1 RESOLUTION NO. WHEREAS, the Agreement would be in effect for five years after the effective date of *01.104 annexation, or if the area is not annexed by March, 2008 and is not re-placed on the ballot in 2008, until December 1, 2008; and WHEREAS, the Agreement provides that if the vote on the annexation question to be held on November 6, 2007, is affirmative, the annexation shall be effective on or before March 1, 2008; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES RESOLVE AS FOLLOWS: SECTION I. The above findings are true and correct in all respects. SECTION H. The Mayor and City Clerk are authorized to enter into an interlocal agreement between the City of Renton and King County relating to the annexation of the Benson Hill Communities Potential Annexation Area. PASSED BY THE CITY COUNCIL this day of , 2007. ''ed Bonnie I. Walton, City Clerk APPROVED BY THE MAYOR this day of , 2007. Kathy Keolker, Mayor Approved as to form: Lawrence J. Warren, City Attorney RES.1302:10/03/07 ,0000 2 APPFZOVED BY COMMITTEE OF THE WHOLE CETI COUNCIL COMMITTEE REPORT Date /0-a -02oo7 October 22, 2007 Water& Sewer Revenue and Refunding Bonds,2007 (October 8, 2007) The Committee of the Whole recommends concurrence in the staff recommendation to adopt a resolution authorizing the sale of Water and Sewer Revenue and Refunding Bonds, 2007 in the aggregate amount of $9,750,000, specifying the par amount, terms, interest rates, redemption provisions, and insurance language. The committee further recommends that the Resolution be adopted immediately following adoption of the 2007 Water and Sewer Revenue and Refunding Bonds ordinance. Toni Nelson, Co i 1 President cc: Mike Bailey,FIS Administrator FINANCE COMMITTEE REPORTAFI MOVED BY CI' COUNCIL October 22,2007 Date /L 'a a-Aoa71 APPROVAL OF CLAIMS AND PAYROLL VOUCHERS The Finance Committee approves for payment on October 22, 2007, claim vouchers 265076-265553 and 2 wire transfers, totaling $3,681,922.96, and 680 direct deposits, 133 payroll vouchers, and 1 wire transfer, totaling $2;166,325.41. Don Persson, Chair Denis Law, Vice-Chair Dan Clawson, Member 1 FINANCE COMMITTEE ` " ®`����� COMMITTEEE REPORT CMCOUNCIL Date /0-2;"g°°7 October 22, 2007 School District Mitigation Fees (Referred September 10, 2007) The Finance Committee recommends that the City adopt the 2007 Issaquah School District Capital Facilities plan,including an impact fee of$6,021 per new single-family unit. The Finance Committee also recommends that the City adopt the 2007-2008—2012-2013 Kent School District Capital Facilities Plan,including an impact fee of$ 5,110 per new single-family unit and an impact fee of$ 3,146 per new multi-family unit. The Finance Committee further recommends that an ordinance regarding this matter be prepared and presented for first reading. (51-- Don — Don Persson, Chair �/l De is W. Law, Vice Chair 411 Dan Clawson, Member cc: Jay-Gewington.. Alex Pietsch Gregg Zimmerman A7771.Olt ! BY "1 FINANCE COMMITTEE UPI COUNCIL COMMITTEE REPORT Date /D-AA-Aoa7 • October 22, 2007 TEMPORARY FINANCE ANALYST POSITION (October 15, 2007) The Finance Committee recommends concurrence in the staff recommendation to approve temporarily filling a half time Finance Analyst position with a full time employee effective November 1, 2007, and terminating March 31, 2008. Don Persson, Chair /v ,,✓ Denis W. Law, Vice Chair Dan Clawson, Member cc: Mike Bailey,FIS Administrator Linda Parks,Fiscal Services Director Nancy Violante,Finance Analyst Supervisor Cindy Zinck,Finance Analyst Supervisor APPfOVED BY FINANCE COMMITTEE CCTV COUNCIL COMMITTEE REPORT Date /4-241,-(D07 October 22,2007 Funding for Utilities Capital Expenditures (October 15,2007) The Finance Committee recommends concurrence in the staff recommendation to approve the ordinance authorizing transfers of$1,800,000 from Water Utility Fund 405 to Fund 425; $963,000 from Wastewater Utility Fund 406 to Fund 426; and $410,000 from Surface Water Utility Fund 407 to Fund 427. Don Persson, Chair 4. , 2-- Denis W. Law, Vice Chair Dan Clawson, Member cc: Gregg Zimmerman,PBPW Administrator Mike Bailey,FIS Administrator Lys Hornsby,Utility Systems Director Nenita Ching,PBPW Principal Financial and Administrative Analyst C (COUNCIL FINANCE COMMITTEE Date /p_as aOD7 COMMITTEE REPORT October 22,2007 Award of Bid, Fire Sprinkler System for Renton Fire Station#11 CAG-07-156 (Referred October 15, 2007) The Finance Committee recommends concurrence in the staff recommendation to award the Fire Sprinkler System for Renton Fire Station #11 Project to the lowest bidder, ACE Fire Protection Inc., in the amount of$28,959.13. The Finance Committee has reviewed the minor informalities associated with the lowest bidder. The Committee further recommends that the Mayor and City Clerk be authorized to sign the contract. Don Persson,Chair tt6pidit.L, LA) Denis W. Law, Vice Chair Dan Clawson, Member cc: Terry Higashiyama Greg Stroh Y I TRANSPORTATION/AVIATION COMMITTEE C OUNC COMMITTEE REPORT COUNCIL Date /4'41'4 4°7 October 22,2007 Duvall Avenue NE Widening Project Contract CAG 03-131 Berger/Abaco Engineers, Inc. Supplemental Agreement#7 (Referred October 15, 2007) The Transportation/Aviation Committee recommends concurrence in the staff recommendation to authorize the Mayor and City Clerk to execute Supplemental Agreement #7 with Berger/Abam, Inc. in the amount of$386,000, and extend the completion date from April 30, 2007 to December 31, 2008. 7)74itiCa‘ / Marcie Palmer, Chair R dy Corm, Vice-Chair ‘71::;;;;A2., Don Persson, Member cc: Gregg Zimmerman,P.E.,PBPW Administrator Peter Hahn,Deputy PBPW Administrator—Transportation Bob Hanson,Transportation Design Supervisor Janes Wilhoit,Project Manager Connie Brundage,Transportation Administrative Secretary Jennifer Jorgenson,Secretary l'dopte �o-Za-.0 O 7 CITY OF RENTON, WASHINGTON RESOLUTION NO. jQio A RESOLUTION OF THE CITY OF RENTON, WASHINGTON AUTORIZING THE MAYOR AND CITY CLERK TO ENTER INTO AN INTERLOCAL COOPERTIVE GREEMENT WITH THE WASHINGTON STATE DEPARTMENT OF TRANSPORTATION ENTITLED "PUBLIC TRANSPORTATION REGIONAL MOBILITY GRANT PROGRAM STATE FUNDING AGREEMENT WORK BY PUBLIC AGENCIES". WHEREAS, The City of Renton is participating, along with a number of other jurisdictions, in performing work on the Tukwila Station project, including a permanent rail station, a surface parking lot with intermodal connections, and non-motorized connections, and WHEREAS, a portion of this project will result in improvements to the City's Southwest 127th Street/Strander Boulevard connection project, and WHEREAS, the State of Washington Department of Transportation, through its office of transit mobility, has money available to assist the City and other agencies in funding this project, and WHEREAS, the amount of$5,500,000. will be granted, under this agreement, toward work costing an estimated $21,500,000., and WHEREAS, it is necessary to document the terms and conditions of such grant, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES RESOLVE AS FOLLOWS: SECTION I. The above findings are true and correct in all respects. SECTION H. The Mayor and City Clerk are authorized to enter into an interlocal cooperative agreement with the Washington State Department of Transportation entitled "Public 1 RESOLUTION NO. Transportation Regional Mobility Grant Program State Funding Agreement Work By Public Agencies. PASSED BY THE CITY COUNCIL this day of , 2007. Bonnie I. Walton, City Clerk APPROVED BY THE MAYOR this day of , 2007. Kathy Keolker, Mayor Approved as to form: Lawrence J. Warren, City Attorney RES. 1303:10/15/07:ch 2 AdoP ied 1D-022- X007 CITY OF RENTON, WASHINGTON RESOLUTION NO. V/ A RESOLUTION OF THE CITY OF RENTON, WASHINGTON AUTHORIZING THE MAYOR AND CITY CLERK TO ENTER INTO AN INTERLOCAL AGREEMENT WITH THE CITIES OF DES MOINES, FEDERAL WAY, AND TUKWILA FOR A FEASIBILITY STUDY FOR THE CONSTRUCTION AND OPERATION OF A MISDEMEANANT JAIL FACILITY WHEREAS, Renton maintains a municipal jail pursuant to R.C.W. 70.48; and WHEREAS, Des Moines, Federal Way, and Tukwila do not maintain municipal jails; and WHEREAS, cities in King County have been informed by the King County Department of Adult and Juvenile Detention that King County will no longer accept misdemeanor inmates from King County cities after December 31, 2012; and WHEREAS, there is inadequate local jail space available to accommodate the misdemeanant inmates from Des Moines, Federal Way, Renton, and Tukwila; and WHEREAS, King County cities have, since 2002, been contracting with counties in Eastern Washington to house misdemeanant inmates at considerable cost for housing and transport; and WHEREAS, the cities of Des Moines, Federal Way, Renton, and Tukwila, desire to participate in efforts to plan effectively to share the use of resources needed by all cities; and WHEREAS, the Cities have agreed on the use of DLR Group, Inc. to perform the feasibility study and have agreed upon the scope of work and contract terms for the study; WHEREAS, through the Interlocal Cooperative Act, R.C.W. 39.34, the cities of Des Moines, Federal Way, Renton, and Tukwila have the authority to engage in cooperative efforts which result in more efficient use of government resources; NOW, THEREFORE, the City Council of the city of Renton, Washington, does resolve as follows: SECTION I. The above findings are true and correct in all respects. 1 RESOLUTION NO. SECTION II. The Mayor and City Clerk are hereby authorized to enter into the Interlocal Agreement between the City of Renton, and the Cities of Des Moines, Federal Way, and Tukwila for the purposes of completing a jail feasibility study. PASSED BY THE CITY COUNCIL this day of , 2007. Bonnie I. Walton, City Clerk APPROVED BY THE MAYOR this day of , 2007. Kathy Keolker, Mayor Approved as to form: Lawrence J. Warren, City Attorney RES. 1304:10/16/07:ch 2 ° Added feso)u-kon to aa- A007-(:51') CITY OF RENTON, WASHINGTON (Q5 re/64 iv d I Al TBorid Qfdman ce) RESOLUTION NO. 3912 :'-+-em 10. opir J A RESOLUTION of the City Council of the City of Renton, Washington, ia,a#U007 approving the sale of the City's Water and Sewer Revenue and Refunding Bonds, 2007, in the aggregate principal amount of $9,750,000 to provide funds for the purpose of financing the costs of carrying out certain capital improvements of the waterworks utility and refunding certain outstanding water and sewer revenue bonds of the City; and approving the sale of such bonds to Seattle-Northwest Securities Corporation, all in accordance with Ordinance No. 5313 of the City. WHEREAS the City Council by Ordinance No. 5313 passed on October 22, 2007 (the "Bond Ordinance"), authorized the issuance and sale of three series of water and sewer revenue bonds of the City in the aggregate principal amounts of not to exceed $10,000,000, $10,000,000 and $3,000,000, respectively (together, the "Bonds") for the purpose of financing the costs of carrying out certain capital improvements of the waterworks utility and refunding certain outstanding water and sewer revenue bonds of the City, and WHEREAS, the Bond Ordinance authorized the City Finance Director to enter into negotiations for the sale of the Bonds and to present a bond purchase agreement to the City Council for approval by resolution, establishing the terms of each series of Bonds, and WHEREAS, Seattle-Northwest Securities Corporation (the "Underwriter") has offered to purchase the first series of Bonds designated the City of Renton, Washington Water and Sewer Revenue and Refunding Bonds, 2007 in the aggregate principal amount of$9,750,000 (the"2007 Bonds") on the terms set forth in the bond purchase agreement attached hereto as Exhibit A hereto (the "Purchase Agreement"), and WHEREAS, it is in the best interests of the City to sell the 2007 Bonds to the Underwriter on the terms and conditions set forth in the Bond Ordinance, this resolution and the Purchase Agreement, and WHEREAS, in accordance with the Bond Ordinance, the City Council wishes to authorize and approve the sale of the 2007 Bonds to the Underwriter and the final principal maturity amounts, interest rates, bond insurance provisions, and redemption rights for the 2007 Bonds, all as set forth herein, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON: Section 1. Definitions. Except as otherwise defined herein, capitalized terms used in this resolution have the meanings set forth in the Bond Ordinance. Section 2. Authorization of Issuance and Sale of the 2007 Bonds. The issuance of the 2007 Bonds, designated as the "City of Renton, Washington Water and Sewer Revenue and Refunding Bonds, 2007," in the aggregate principal amount of$9,750,000, dated as of their date of delivery, is hereby approved. The 2007 Bonds shall be dated the date of their initial issuance and delivery; shall be in the denomination of $5,000 or any integral multiple thereof within a single maturity; shall be numbered separately, in the manner and with any additional designation as the Bond Registrar deems necessary for purpose of identification; shall bear interest from their date (computed on the basis of a 360-day year of twelve 30-day months), payable semiannually on each June 1 and December 1, commencing June 1, 2008, to the maturity or prior redemption of the 2007 Bonds; and shall mature on December 1 in the years and amounts and bear interest at the rates per annum as follows: Maturity Years Interest (December 1) Amounts Rates 2009 $ 15,000 4.00% 2010 15,000 4.00 2011 15,000 4.00 2012 15,000 4.00 2013 20,000 4.00 2014 825,000 4.00 2015 850,000 4.00 2016 875,000 5.00 2017 930,000 5.00 2018 1,285,000 4.00 2019 1,240,000 4.00 2020 1,185,000 4.00 2021 1,215,000 4.00 2022 1,265,000 4.00 If any Bond is duly presented for payment upon maturity and is not paid, then interest thereon shall continue to accrue thereafter at the rate stated therein until such Bond is paid. The 2007 Bonds shall conform in all other respects to the terms and conditions set forth in the Bond Ordinance, except as expressly provided herein. Section 3. Redemption. The 2007 Bonds maturing on or after December 1, 2018 shall be subject to optional redemption prior to maturity on and after December 1, 2017, in whole or in part on any date (maturities to be selected by the City and by lot within a maturity in such manner as the Bond Registrar shall determine), at par plus accrued interest to the date of redemption. Section 4. Insurance. (a) Acceptance of Insurance. In accordance with the offer of the Underwriter to purchase the 2007 Bonds, the City Council hereby approves the commitment of MBIA Insurance Corporation (the "Bond Insurer") to provide a bond insurance policy guaranteeing the payment when due of principal of and interest on the 2007 Bonds (the "Bond Insurance Policy"). The -2- P:\20584 JAR\20584 252 07/10/22 City Council further authorizes and directs all proper officers, agents, attorneys and employees of the City to cooperate with the Bond Insurer in preparing such additional agreements, certificates, and other documentation on behalf of the City as shall be necessary or advisable in providing for the Bond Insurance Policy. (b) Payments Under the Bond Insurance Policy. (1) In the event that, on the second business day, and again on the business day, prior to the payment date on the Bonds, the Bond Registrar has not received sufficient money to pay all principal of and interest on the Bonds due on the second following or following, as the case may be, business day, the Bond Registrar shall immediately notify the Bond Insurer or its designee on the same business day by telephone or telegraph, confirmed in writing by registered or certified mail, of the amount of the deficiency. (2) If the deficiency is made up in whole or in part prior to or on the payment date, the Bond Registrar shall so notify the Bond Insurer or its designee. (3) In addition, if the Bond Registrar has notice that any bondowner has been required to disgorge payments of principal or interest on the Bonds to a trustee in bankruptcy or creditors or others pursuant to a final judgment by a court of competent jurisdiction that such payment constitutes an avoidable preference to such bondowner within the meaning of any applicable bankruptcy laws, then the Bond Registrar shall notify the Bond Insurer or its designee of such fact by telephone or telegraphic notice, confirmed in writing by registered or certified mail. (4) The Bond Registrar is hereby irrevocably designated, appointed, directed and authorized to act as attorney-in-fact for owners of the Bonds as follows: a. If and to the extent there is a deficiency in amounts required to pay interest on the Bonds, the Bond Registrar shall (i) execute and deliver to U.S. Bank Trust National Association, or its successors under the Bond Insurance Policy (the "Insurance Paying Agent"), in form satisfactory to the Insurance Paying Agent, an instrument appointing the Bond Insurer as agent for such owners in any legal proceeding related to the payment of such interest and an assignment to the Bond Insurer of the claims for interest to which such deficiency relates and which are paid by the Bond Insurer, (ii) receive as designee of the respective owners (and not as Bond Registrar) in accordance with the tenor of the Bond Insurance Policy payment from the Insurance Paying Agent with respect to the claims for interest so assigned, and (iii) disburse the same to such respective owners; and b. If and to the extent of a deficiency in amounts required to pay principal of the Bonds, the Bond Registrar shall (i) execute and deliver to the Insurance Paying Agent in form satisfactory to the Insurance Paying Agent an instrument appointing the Bond Insurer as agent for such owner in any legal proceeding relating to the payment of such principal and an assignment to the Bond Insurer of any of the Bonds surrendered to the Insurance Paying Agent of so much of the principal amount thereof as has not previously been paid or for which moneys are not held by the Bond Registrar and available for such payment (but such assignment -3- P:\20584 JAR\20584 252 07/10/22 shall be delivered only if payment from the Insurance Paying Agent is received), (ii) receive as designee of the respective owners (and not as Bond Registrar) in accordance with the tenor of the Bond Insurance Policy payment therefor from the Insurance Paying Agent, and (iii) disburse the same to such owner. (5) Payments with respect to claims for interest on and principal of Bonds disbursed by the Bond Registrar from proceeds of the Bond Insurance Policy shall not be considered to discharge the obligation of the City with respect to such Bonds, and the Bond Insurer shall become the owner of such unpaid Bonds and claims for the interest in accordance with the tenor of the assignment made to it under the provisions of this subsection or otherwise. (6) Irrespective of whether any such assignment is executed and delivered, the City and the Bond Registrar hereby agree for the benefit of the Bond Insurer that: a. They recognize that to the extent the Bond Insurer makes payments, directly or indirectly (as by paying through the Bond Registrar), on account of principal of or interest on the Bonds, the Bond Insurer will be subrogated to the rights of such owners to receive the amount of such principal and interest from the City, with interest thereon as provided and solely from the sources stated in this resolution and the Bonds; and b. They will accordingly pay to the Bond Insurer the amount of such principal and interest (including principal and interest recovered under subparagraph (ii) of the first paragraph of the Bond Insurance Policy, which principal and interest shall be deemed past due and not to have been paid), with interest thereon as provided in this resolution and the Bonds, but only from the sources and in the manner provided herein for the payment of principal of and interest on the Bonds to owners, and will otherwise treat the Bond Insurer as the owner of such rights to the amount of such principal and interest. (c) Rights of Bond Insurer. (1) In connection with the issuance of Future Parity Bonds, the City shall deliver to the Bond Insurer a copy of the disclosure document, if any, circulated with respect to such Future Parity Bonds. (2) The Bond Insurer shall receive copies of the City's audited financial statements and annual budget. (3) Copies of any amendments made to the documents executed in connection with the issuance of the Bonds which are consented to by the Bond Insurer shall be sent to Standard &Poor's Ratings Services, a Division of The McGraw-Hill Companies, Inc. (4) The Bond Insurer shall receive notice of the resignation or renewal of the Bond Registrar and the appointment of a successor, other than the designated state fiscal agent. -4- P:\20584 JAR\20584 252 07/10/22 (5) Any notices required to be given by any party under this resolution shall also be given to the Bond Insurer and sent by registered or certified mail addressed to: MBIA Insurance Corporation, 113 King Street, Armonk, New York 10504, Attention: Surveillance. (6) The City agrees to reimburse the Bond Insurer immediately and unconditionally upon demand, to the extent permitted by law, for all reasonable expenses, including reasonable attorneys' fees and expenses, incurred by the Bond Insurer in connection with (i) enforcement by the Bond Insurer of the City's obligations, or the preservation or defense of any rights of the Bond Insurer, under this resolution and any other document executed in connection with the issuance of the Bonds, and (ii) any consent, amendment, waiver or other action with respect to this resolution or any related document, whether or not granted or approved, together with interest on all such expenses from and including the date incurred to the date of payment at Citibank's Prime Rate plus 3% or the maximum interest rate permitted by law, whichever is less. In addition, the Bond Insurer reserves the right to charge a reasonable fee in connection with its review of any such consent, amendment or waiver, whether or not granted or approved. (7) The City agrees not to use the Bond Insurer's name in any published document including, without limitation, a press release or presentation, announcement or forum without the Bond Insurer's prior consent; provided that the City may use the Bond Insurer's name in any general or particular factual statement to the effect that the Bond Insurer insures certain outstanding City bonds. In the event that the City is advised by counsel that it has a legal obligation to disclose the Bond Insurer's name in any press release, public announcement or other published document, the City shall provide the Bond Insurer with at least three (3)business days' prior written notice of its intent to use the Bond Insurer's name together with a copy of the proposed use of the Bond Insurer's name and of any description of a transaction with the Bond Insurer and shall obtain the Bond Insurer's prior consent as to the form and substance of the proposed use of the Bond Insurer's name and any such description. The foregoing shall not apply to any request for public records duly received by the City pursuant to chapter 42.17 RCW, and the City shall not be obligated to notify the Bond Insurer of its intent to comply with any public disclosure request. (8) The City shall not enter into any agreement nor shall it consent to or participate in any arrangement pursuant to which Bonds are tendered or purchased for any purpose other than the redemption and cancellation or legal defeasance of such Bonds without the prior consent of the Bond Insurer. The provisions of this section shall be in effect only so long as the Bond Insurance Policy is in full force and effect. Section 7. Acceptance of Offer. The City Council hereby finds that the offer of the Underwriter to purchase the 2007 Bonds under the terms set forth in the Purchase Agreement is fair and reasonable and it is in the best interest of the City that the 2007 Bonds shall be sold upon the terms and conditions set forth in the Purchase Agreement and upon the basis of the representations therein set forth. The City Council further finds that all conditions precedent to or concurrent with the acceptance of the Purchase Agreement by the City Council have been met. -5- P:\20584 JAR\20584 252 07/10/22 The City Council hereby accepts the Purchase Agreement and authorizes the City Finance Director to execute the Purchase Agreement and deliver it to the Underwriter. The 2007 Bonds shall be issued and delivered to the Underwriter upon payment of the purchase price specified in the Purchase Agreement. Section 8. Approval of Official Statement. The City Finance Director is authorized and directed to execute and deliver to the Underwriter copies of an official statement for the 2007 Bonds, in substantially the form of the Preliminary Official Statement dated October 17, 2007; provided, however, that the City Finance Director is authorized to supplement or amend the Official Statement as he deems necessary or appropriate. The City Council hereby ratifies the City Finance Director's determination that the Preliminary Official Statement was deemed final for purposes of Rule 15c2-12 promulgated under the Securities Exchange Act of 1934 (except for the omission of certain final pricing, rating and related information as permitted by such rule). Section 9. Further Authority. The City officials, their agents, and representatives are hereby authorized and directed to do everything necessary for the prompt issuance and delivery of the 2007 Bonds and for the proper use and application of the proceeds of such sale. Section 10. Severability. The covenants contained in this resolution shall constitute a contract between the City and the owners of each and every 2007 Bond. If any one or more of the covenants or agreements provided in this resolution to be performed on the part of the City shall be declared by any court of competent jurisdiction to be contrary to law, then such covenant or covenants, agreement or agreements, shall be null and void and shall be deemed separable from the remaining covenants and agreements of this resolution and shall in no way affect the validity of the other provisions of this resolution or of the 2007 Bonds. -6- P:\20584 JAR\20584 252 07/10/22 Section 11. Effective Date. This resolution shall be effective after its passage as provided by law. Passed October 22, 2007. Mayor Attest: City Clerk Approved as to form and legality: K&L PRESTON GATES ELLIS LLP Bond Counsel to the City of Renton By Attachment: Exhibit A—Bond Purchase Agreement -7- P:\20584 JAR\20584 252 07/10/22 EXHIBIT A Bond Purchase Agreement A-1 P:\20584_JAR\20584_252 07/10/22 CERTIFICATE I, the undersigned, Clerk of the City of Renton, Washington (the "City"), DO HEREBY CERTIFY: 1. That the attached Resolution No. 3912 (the"Resolution"), is a true and correct copy of a resolution of the City, as finally adopted at a regular meeting of the City Council of the City(the"City") held on the 22nd day of October, 2007, and duly recorded in my office. 2. That said meeting was duly convened and held in all respects in accordance with law, and to the extent required by law, due and proper notice of such meeting was given; that a quorum of the City Council was present throughout the meeting and a legally sufficient number of members of the City Council voted in the proper manner for the adoption of the Resolution; that all other requirements and proceedings incident to the proper adoption of the Resolution have been duly fulfilled, carried out and otherwise observed, and that I am authorized to execute this certificate. IN WITNESS WHEREOF, I have hereunto set my hand this 22nd day of October, 2007. City Clerk P:\20584 JAR\20584 252 07/10/22 CITY OF RENTON, WASHINGTON ORDINANCE NO. AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, AMENDING THE 2007 BUDGET BY TRANSFERRING FUNDS IN THE AMOUNT OF $3,173,000 FROM THE 2006 YEAR-END FUND BALANCE FOR THE PURPOSE OF FUNDING CAPITAL EXPENDITURES BY WATER, WASTEWATER, AND SURFACE WATER UTILITIES. WHEREAS, subsequent to review and adoption of the 2007 budget a need to fund capital expenditures for the Water, Wastewater, and Surface Water utilities was identified, and WHEREAS, City policy is to reinvest utility revenues into infrastructure improvements, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES ORDAIN AS FOLLOWS: SECTION I. Appropriations in the Water, Wastewater, and Surface Water Utility Operation Funds and Construction Funds are hereby amended as follows: 2007 Original Budget 2007 Adjusted Fund Budget Increase Budget Water Operation Fund expenditure, 405.000000.018.5970.0000.00.000500 $650,000 $1,800,000 $2,450,000 Wastewater Operation Fund expenditure, 406.000000.018.5970.0000.00.000400 $750,000 $963,000 $1,713,000 Surface Water Operation Fund expenditure, 407.000000.018.5970.0000.00.000600 $700,000 $410,000 $1,110,000 Water Construction Fund revenues, 425.000000.000.3970.0000.00.000100 $650,000 $1,800,000 $2,450,000 Wastewater Construction Fund revenues, 426.000000.000.3970.0000.00.000100 $750,000 $963,000 $1,713,000 Surface Water Construction Fund revenues, 427.000000.000.3970.0000.00.000100 $700,000 $410,000 $1,110,000 SECTION H. Funds for the expenditure line items are hereby added to the 2007 budget and hereby removed from the 2006 year-end fund balance of the Operation Funds. 1 ORDINANCE NO. SECTION III. Funds for the revenue line items are hereby added to the 2007 budget of the Construction Funds. SECTION IV. An emergency is hereby declared and this ordinance shall become effective immediately upon its passage and approval. PASSED BY THE CITY COUNCIL this day of , 2007. Bonnie I. Walton, City Clerk APPROVED BY THE MAYOR this day of 2007. Kathy Keolker, Mayor Approved as to form: Lawrence J. Warren, City Attorney ORD:1391:10/09/07:ch Date of Publication: 2