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HomeMy WebLinkAboutCommittee of the Whole - 27 Apr 2020 - Agenda - Pdf CITY OF RENTON AGENDA Committee of the Whole Meeting 5:00 PM - Monday, April 27, 2020 VIDEOCONFERENCE 1. King County De-intensification Shelter in Renton Update a) Memo from Mayor to Council 042420 b) Operations Plan and Weekly Update c) Return to Site Plan d) County Version of MOU e) City Version of MOU f) Leo Flor Email on REACH Funding g) Mayor's Letter to Council Regarding REACH h) Mayor's Letter to County After Announcement 2. Community Services Levy Spending Update a) Presentation 3. Affordable Housing Update a) Presentation b) Handout EXECUTIVE DEPARTMENT M E M O R A N D U M DATE: April 24, 2020 TO: Ruth Pérez, Council President Members of Renton City Council FROM: Armondo Pavone, Mayor SUBJECT: Status report on De-Intensification Shelter and potential questions for Councilmembers to consider In anticipation of the Monday, April 27 briefing and discussion at your Committee of the Whole (COW), this memorandum provides you with a status report on the De- Intensification Shelter that has been in operation at the Red Lion Inn (1 South Grady Way) since April 9, 2020. The action to site De-Intensification Shelters in Renton and other cities such as SeaTac and Bellevue came after the local public health officer, Dr. Jeff Duchin, issued a March 31 order authorizing King County to use legally available resources to de-intensify or reduce the social distance among homeless residents in congregate shelters located in Seattle. The Downtown Emergency Service Center (DESC), under a contract with King County, is operating the De-Intensification Shelter at the Red Lion Inn. We have invited DESC Executive Director Daniel Malone to participate in your April 27 briefing. We have also invited a representative from the King County Executive’s Office (DCHS Director Leo Flor), as well as King County Councilmembers Dave Upthegrove and Reagan Dunn. In initial calls with both Executive Dow Constantine and Karan Gill of the Executive’s Office, we were told that the de-intensification shelter would be in use through a 90-day lease, the County would arrange for transportation to take all residents back to their shelters of origin at the end of this period, and security at the shelter would be provided. Our first detailed briefing on the de-intensification shelter operation came on April 3, during a meeting with Karan Gill of the Executive’s Office and DESC’s Executive Director and Deputy Director, Daniel Malone and Nicole Macri (who also serves as a 43rd District State Representative). In our meeting with Karan Gill and DESC representatives, we were told that DESC would arrange three meals per day for shelter residents, security would be on board 24/7, and up to 200 residents would occupy the Red Lion Inn. DESC representative also verbally reaffirmed the commitment to return residents to their shelter of origin and have AGENDA ITEM #1. a) Ruth Pérez, City Council President Members of Renton City Council Page 2 of 4 April 24, 2020 security on-site. DESC expressed openness to a potential partnership with REACH for the use of some rooms at the shelter (we have since been told that will not be occurring). DESC representatives also indicated that while they could not legally prevent shelter residents from leaving and entering the site, and shelter residents would be treated just like any other resident who has the right to get fresh air and tend to essential activities, this was not going to be a homeless population prone to causing major disruptions or problems. Mr. Malone explained that many of the residents would be age 50 and up. Unfortunately, despite the reassurances we were provided, we have encountered significant challenges with the shelter operations, the behavior of some residents, and getting a written agreement with King County that documents the 90-day duration of the shelter and other important details. Let me pause here and note the approach we in Renton have taken with respect to the shelter, and to the potential Assessment and Recovery Center the County explored for the former Sam’s Club location adjacent to City Hall. We have worked hard to not “just say no,” to be a good regional partner, and to do our part during an emergency pandemic we are all enduring together. We continue to take that stance. Our concerns with the shelter operation and efforts to get a written instrument with the County, include the following: • Fencing that was first being constructed might have prevented Renton Regional Fire Authority (RRFA) personnel from accessing the facility in an emergency. RRFA personnel also noted locked doors that could have significantly limited their ability to gain emergency access. Thankfully, these issues have since been resolved. • We have experienced numerous behavioral issues with shelter residents, particularly in the Renton Village development that surrounds the Red Lion Inn and other nearby locations. Numerous instances of everything from litter to graffiti to drug use to defecation to violent behavior have been documented. • Security on site has been lacking and all residents have phones and are free to call 911. As a result, Renton Police Department and RRFA have absorbed first- responder obligations on a regular basis. The RFA has responded to 20 emergency calls; none turned out to be of an emergency nature. Renton PD has averaged two to six calls per day and oftentimes many more than that. Four residents have been trespassed and one resident was arrested. Police officers have typically been cursed at as they do their jobs. • Those residents that have been trespassed—at the request of DESC personnel who have struggled to contain behavioral problems—have not been returned to AGENDA ITEM #1. a) Ruth Pérez, City Council President Members of Renton City Council Page 3 of 4 April 24, 2020 their shelter of origin. We have significant legal concerns that under the terms of the Governor’s Proclamations prohibiting most evictions, we should no longer be trespassing anyone. • Alongside the on-the-ground issues at the shelter itself, our attempts so far to get a written agreement with King County have been unsuccessful. The County expressed major concerns with an initial effort to develop a Temporary Use Permit, so a Memorandum of Understanding was developed and transmitted to the County on April 10. The MOU we received back on April 21, after several requests for a response in writing, lacked any teeth or certainty on the 90-day lease, on the maximum 200 residents, or on the commitment to ensure residents would in fact be transported back to their shelters of origin. The two-and a half weeks since the de-intensification shelter operation began have been a trying time not only for our City, but for businesses and residents who have been impacted. We have fielded dozens of complaints, phone calls, and e-mails; and we understand the frustration expressed in all those communications. We believe in being a good regional partner, but partnerships are a two-way street. The shelter operation at the Red Lion Inn represents a more than tripling of the homeless population we have typically dealt with in Renton, and the City Center location of this shelter has been extremely challenging, unfairly taxing Renton’s public safety resources. It is our belief that Renton has every right to see the shelter properly secured and inappropriate behavior dealt with by the County and DESC. It is also our belief that without a written agreement the shelter operates in violation of the City’s zoning and land use laws. Renton needs and deserves to have a written MOU completed with the County, and for the impacts of this shelter operation to be financially mitigated by the county. Finally, as you prepare for your discussion, we have provided examples of some questions you may wish to pose to County and DESC representatives and County Councilmembers working to assist us. • If the point of this shelter was to provide temporary social distancing for the homeless population and for the lease to be only 90 days, why can’t that be assured in an MOU? • The county has consistently said that shelter residents will be returned to their shelter of origin when the lease expires. Why can’t we get assurances of that happening and transportation being provided in an MOU? AGENDA ITEM #1. a) Ruth Pérez, City Council President Members of Renton City Council Page 4 of 4 April 24, 2020 • What can we do to ensure better security on-site at the shelter so we do not have Renton Police and Renton RFA personnel significantly impacted and regularly responding to 911 calls that use up valuable time and resources? • What can we do to get better assurances that inappropriate behavior won’t be tolerated, and that there will be enforcement and intervention to address acts of poor behavior? • If you trespass residents from the de-intensification shelter, and they are not returned to their shelter of origin, don’t those actions add to Renton’s challenges when we were told that was going to occur? • When can we expect a written MOU with the County so that the City is not forced to consider taking code enforcement action under the City’s zoning and land use laws? • When can we expect a written understanding with the end date of the shelter operation and the plan to return those staying at the Red Lion Inn to their shelters of origins? • We appreciate some funding being provided to REACH, but what can be done to financially mitigate the impact of this shelter operation on Renton and its non-profit providers? AGENDA ITEM #1. a) Renton Red Lion Operations Plan: 1. Description of the De-Intensification Shelter as a voluntary or mandatory commitment facility or both. o The Renton Red Lion Hotel is being used as a shelter de-intensification site. The Downtown Emergency Service Center (DESC) is operating the facility and has approximately 200 shelter guests staying in the hotel. The shelter is a voluntary facility. 2. Description of whether this will be a clean and sober facility or a no barrier facility. o DESC uses a harm reduction approach with shelter guests and discourages substance use. Access to the shelter is behavior based and if guests are not able to follow the expected code of conduct they are asked to leave the hotel. 3. Plan for onsite medical and/or security staff, including plan to meet needs of any individuals with pre-existing mental health or behavior disorders. o The hotel site is fenced and a security guard is on site. DESC is a licensed provider of behavioral health services and is able to provide those services on site if needed. The shelter is staffed 24/7 by DESC staffed trained in behavioral health interventions. 4. Plan for medical transportation. o Clients are responsible for getting themselves to any off site health appointments, although DESC may assist in arranging transportation. Any emergent medical transportation will be managed by local emergency services. To avoid unnecessary calls to 911, DESC staff access a 24/7 nurse consulting phone line to triage medical complaints without burdening first responders unnecessarily. 5. Plan for basic social services and life necessities such as food, water, medicine, laundry, and garbage disposal. o These are all being provided on site and are managed either by DESC or King County. To promote social distancing per CDC guidance, DESC staff are delivering meals and medication to units 3x day. 6. Plan for any behavioral rules to be in place and any penalties for violation. o See Number 2, above. 7. Plan for controlled access in and out of facility. o The site is fenced and DESC staff are on site 24 hours a day. Guests are provided an identification badge which is checked by onsite security officers prior to entering the grounds. Renton Red Lion Weekly Update: 1. How many individuals are housed in the De-Intensification Shelter. o Approximately 200 shelter guests are staying at the Renton Red Lion. 2. How many of those individuals have been diagnosed with COVID-19, and how many are awaiting the results of a COVID-19 test. o No clients have tested positive for COVID-19 at the Red Lion. If a client tests positive for COVID-19 while staying at the Red Lion, they will be referred to County run Isolation and Quarantine sites to ensure that they can recover without risk of exposure to others. Currently, there are no clients with pending tests, although we routinely work with partners to test clients and expect to test frequently at the Red Lion. Those with pending tests will be asked to isolate in their units until results are discovered. If clients do not comply with the isolation request, they will be referred to I&Q. AGENDA ITEM #1. b) Return of Site Plan: Plan for returning each individual housed in the De-Intensification Shelter to his or her place of origin. o During DESC’s use of the Renton Red Lion Hotel the agency will continue to work to place shelter guests into permanent housing. Following the end of the lease period, DESC will shift shelter guests back to DESC’s existing Seattle facilities. Plan for returning to his or her place of origin each individual who departs the De-Intensification Shelter. o As with all shelters, access to the facility is voluntary and shelter stayers are free to depart as they wish. DESC will work with shelter guests to arrange transport if requested. Plan for each individual who tests negative for COVID-19. o Shelter clients will not be asked to leave the Red Lion as the result of a negative test and will continue to access shelter per DESC rules and expectations. AGENDA ITEM #1. c) Page - 1 MEMORANDUM OF UNDERSTANDING BETWEEN KING COUNTY AND THE CITY OF RENTON This Memorandum of Understanding (MOU), dated for reference purposes only as the _____ day of April 2020, is made by and between the City of Renton, a municipal corporation (the CITY), and King County (the COUNTY), both of which are located in and existing under the laws of the State of Washington. The COUNTY and the CITY may also be collectively referred to herein as the “Parties.” RECITALS WHEREAS, the CITY and the COUNTY recognize the ongoing public health emergency in the State of Washington resulting from COVID-19 and the spread of COVID-19 throughout King County, the state, and the United States; and WHEREAS, as a result of the continued spread of COVID-19, declarations and/or proclamations of emergency have been issued by the Governor of the State of Washington, the COUNTY, the CITY, and the federal government; and WHEREAS, COVID-19 is a dangerous contagious disease; and WHEREAS, RCW 70.05.070 (2)-(3) authorizes the Local Health Officer to take a broad range of actions to control COVID-19; and WHEREAS, for the purpose of further reducing the spread of COVID-19, on March 31, 2020, the Local Health Officer, Dr. Jeff Duchin, issued an Order (the March 31 Order) authorizing the COUNTY as well as the local cities and towns, to use legally available resources to de-intensify or reduce the density of existing homelessness shelters and encampments, as well as to provide other essential programs such as food services and sobering centers, address hygiene needs of homeless individuals, such as washing, showers, and toilets, and for increased sanitation services; and WHEREAS, the COUNTY has informed the CITY that the COUNTY leased the Red Lion Hotel & Conference Center (the “PROPERTY”) located at 1 South Grady Way, Renton, for a de-intensification shelter to reduce the spread of COVID-19; and WHEREAS, it is the position of the COUNTY that the March 31 Order authorizes the COUNTY to operate the de-intensification shelter at the PROPERTY; and WHEREAS, it is the position of the CITY that, notwithstanding the March 31 Order, the de-intensification shelter use at the PROPERTY does not comply with the CITY’s zoning and land use laws; and WHEREAS, the COUNTY has been operating the de-intensification shelter at the PROPERTY since April 9, 2020, and the CITY has documented that since operations began, the Renton Police Department and the Renton Regional Fire Authority (RRFA) have received a dramatic increase in the number of service calls from and about the AGENDA ITEM #1. d) Page - 2 PROPERTY, which did not involve an actual medical or fire emergency. Specifically, over a two-week period, the RRFA responded to 18 calls to the PROPERTY and two additional calls in the surrounding area, compared to a total of only one call to the PROPERTY and four total calls in the surrounding area since the start of 2018. Similarly, the Renton Police Department is receiving an average of two to six calls for service per day directly from the PROPERTY, plus increased calls for service in the immediate area surrounding the PROPERTY including the abutting Renton Village development; and WHEREAS, pursuant to the terms of Governor Inslee’s Proclamations 20-19 and 20-19.1 prohibiting most evictions, the COUNTY is limited from taking certain actions to remove or allow the removal of Temporary Residents from the PROPERTY until such Proclamations expire, and the CITY’s police officers are further prohibited from participating in an eviction of Temporary Residents except pursuant to a specific court order; and WHEREAS, the Parties agree that they need not now resolve their differing positions regarding the de-intensification shelter use at the PROPERTY, provided that they enter into a memorandum of understanding that satisfactorily addresses both Parties’ needs regarding the de-intensification shelter at the PROPERTY during the COVID-19 emergency and the transition of the PROPERTY when the COVID-19 emergency ceases; and WHEREAS, the Parties acknowledge that it is the intent of this MOU to lay out the expectations of the Parties; and WHEREAS, the COUNTY acknowledges that nothing in this MOU is intended to preempt or supersede the CITY’s authority under the Renton Municipal Code or other laws except to the extent that the CITY’s actions would directly and expressly conflict with the terms of this MOU; and NOW, THEREFORE, the COUNTY and the CITY agree to the following: 1. The CITY will not take code enforcement action against the PROPERTY, PROPERTY owner, or Temporary Residents on the basis of the PROPERTY being used for purposes that violate CITY zoning and land use laws so long as such uses do not deviate beyond the scope of use described herein. This agreement to refrain from enforcement terminates on July 9, 2020, unless such date is extended in writing by mutual agreement of the Parties and based upon public health requirements to mitigate impacts of the COVID-19 emergency. The CITY’s agreement to temporarily refrain from enforcement shall not act as a permanent waiver of the CITY’s future enforcement rights or in any way vest in the PROPERTY or its owners/tenants the right to continued use in violation of the CITY’S zoning and land use laws; and 2. Except as contemplated by paragraph 1, the COUNTY and its agents and property managers and/or operators will comply with all applicable laws with respect to their operations at the PROPERTY and in the City of Renton; and AGENDA ITEM #1. d) Page - 3 3. The COUNTY agrees that no more than 200 individuals at any one time shall occupy the de-intensification shelter at the PROPERTY. (Such individuals are referred to herein as Temporary Residents); and 4. The COUNTY agrees that it is solely responsible for ensuring services and security measures are provided within the de-intensification shelter building and at the PROPERTY 24 hours a day, seven days a week, to eliminate or, if elimination is not possible, minimize unnecessary emergencies and to protect the surrounding community from undue impacts of the de-intensification shelter use. The COUNTY’s services and security measures shall include, but not be limited to, the following: (a) security staffing on each floor of the building who are trained in conflict resolution and de-escalation tactics and experienced in working with people with behavioral health needs and whose purpose on each floor is to monitor and assist in resolving disputes; (b) 24-hour front desk staffing; (c) the establishment and implementation of practices to limit 9-1-1 calls originating from the PROPERTY to emergency calls only, including 24-hour on-site medical staffing; (d) roaming security on the first floor of the building on the PROPERTY, in the PROPERTY’s parking areas, and at access points to abutting properties including the Renton Village development; and (e) development of a means of identifying Temporary Residents to assist in their return to the PROPERTY if they need assistance while off-PROPERTY or if they have been removed to the SCORE (South Correctional Entity) facility; and 5. The COUNTY agrees to provide meals, basic social services (including counseling, medication, mental health intervention, and access to triage nursing services), and supplies to Temporary Residents and take all reasonable steps to prevent Temporary Residents from utilizing and thereby impacting the availability of similar services offered by the CITY or community organizations to existing populations within the City of Renton; and 6. The COUNTY agrees that on a weekly basis it will deliver to the CITY a written report regarding the de-intensification shelter at the PROPERTY including the following information, at minimum: (a) declaring whether the COUNTY’s use of the PROPERTY is strictly limited and directly required to responding to the COVID-19 emergency; (b) listing the number of Temporary Residents; (c) describing how many Temporary Residents have been diagnosed with COVID-19, and how many are awaiting the results of a COVID-19 test; and (d) identifying any Temporary Residents that have been evicted in accordance with Governor Inslee’s Proclamation 20-19.1; and 7. The COUNTY agrees to comply with applicable state and local building, plumbing, electrical, mechanical, utilities, and fire code requirements during use of the PROPERTY for the de-intensification shelter, and will work cooperatively with the CITY building official and fire marshal to ensure the facility meets reasonable and minimum safety features; and 8. The COUNTY intends and agrees to act in good faith in order to minimize the impact on surrounding uses, natural resources, and critical areas resulting from the COUNTY’s use of the PROPERTY for the de-intensification shelter; and AGENDA ITEM #1. d) Page - 4 9. The COUNTY intends and agrees to act in good faith with respect to the COUNTY’s obligation to pay for any utility fees associated with the use of the PROPERTY for the de-intensification shelter; and 10. When the COVID-19 emergency ceases to exist, the COUNTY shall arrange and pay for transportation to return all Temporary Residents back to the shelter facilities from which they came or otherwise to legally available shelter facilities outside of the City of Renton. In no event shall Temporary Residents who were not residents of the City of Renton at the time of first becoming a Temporary Resident be asked to leave the PROPERTY without being provided free and convenient transportation to alternative available housing arrangements outside of the City of Renton; and 11. The COUNTY may assign any of its obligations under this MOU to another entity, including the operator of the de-intensification shelter at the PROPERTY; provided that in the event of any such assignment, the COUNTY and its assignee are both responsible for the assigned obligation. IN WITNESS WHEREOF, the COUNTY and CITY have executed this Memorandum of Understanding as of the day and year last signed below. KING COUNTY CITY OF RENTON By: By: Anthony Wright, Mayor Armondo Pavone Division Director, Facilities and Management Division Date: Date: Approved as to form: ________________________________ King County Prosecuting Attorney’s Office Shane Moloney City Attorney AGENDA ITEM #1. d) {JEH2134634.DOC;1/00010.900000/ } Page - 1 MEMORANDUM OF UNDERSTANDING BETWEEN KING COUNTY AND THE CITY OF RENTON This Memorandum of Understanding (MOU) is made as of the _______ day of April 2020 between the City of Renton, a municipal corporation (the CITY), and King County (the COUNTY), both of which are located in and existing under the laws of the State of Washington. The COUNTY and the CITY may also be collectively referred to herein as the “Parties.” I. RECITALS WHEREAS, the CITY and the COUNTY recognize the ongoing public health emergency in the State of Washington resulting from COVID-19 and the spread of COVID-19 throughout King County, the state, and the United States; and WHEREAS, as a result of the continued spread of COVID-19, declarations and/or proclamations of emergency have been issued by the Governor of the State of Washington, the COUNTY, the CITY, and the federal government; and WHEREAS, COVID-19 is a dangerous contagious disease; WHEREAS, RCW 70.05.070 (2)-(3) authorizes the Local Health Officer to take a broad range of actions to control COVID-19; WHEREAS, for the purpose of further reducing the spread of COVID-19, the Local Health Officer, Dr. Jeff Duchin, issued an Order authorizing the COUNTY as well as the local cities and towns, to use legally available resources to de-intensify or reduce the density of existing homelessness shelters and encampments, as well as to provide other essential programs such as food services and sobering centers, address hygiene needs of homeless individuals, such as washing, showers, and toilets, and for increased sanitation services; and WHEREAS, the COUNTY has leased the Red Lion Hotel & Conference Center (the “PROPERTY”) located at 1 South Grady Way, Renton, for a de-intensification shelter to reduce the spread of COVID-19; WHEREAS, the parties agree that the COUNTY will comply with the requirements of the Renton Municipal Code (RMC) when the COVID-19 emergency ceases to exist and use of the PROPERTY for temporary de-intensification housing is no longer necessary to maintain public health; and WHEREAS, the Parties acknowledge that it is the intent of this MOU to lay out the expectations of the parties; and WHEREAS, the Parties acknowledge that, after the COVID-19 emergency ceases to exist and use of the PROPERTY for temporary de-intensification housing is no longer necessary to maintain public health, nothing in this MOU preempts or supersedes the AGENDA ITEM #1. e) {JEH2134634.DOC;1/00010.900000/ } Page - 2 CITY’s authority with respect permitting requirements that may apply under the RMC when the temporary de-intensification housing is no longer necessary; and NOW, THEREFORE, the COUNTY and the CITY agree that the following contains principles of understanding between the Parties: II. PRINCIPLES OF UNDERSTANDING 1. The COUNTY agrees to provide security measures at the PROPERTY 24 hours a day, seven days a week; and 2. The COUNTY agrees to provide meals, services, supplies, and counseling as needed to individuals who will be housed at the PROPERTY; and 3. The COUNTY agrees to provide the CITY with a copy of its Renton Red Lion Operations Plan for the temporary housing at the PROPERTY as soon as practicable; and 4. The COUNTY agrees to comply with applicable state and local building, plumbing, electrical, mechanical, utilities, and fire code requirements during use of the PROPERTY for de-intensification housing, and will work cooperatively with the CITY building official and fire marshal to ensure the facility meets reasonable and minimum safety features; and 5. The Parties intend and agree to act in good faith in order to minimize the impact on surrounding uses, natural resources, and critical areas resulting from the COUNTY’s use of the PROPERTY for de-intensification housing; and 6. The Parties intend and agree to act in good faith with respect to the COUNTY’s obligation to pay for any utility fees associated with the use of the PROPERTY for de-intensification housing; and 7. When the COVID-19 emergency ceases to exist and use of the PROPERTY for temporary de-intensification housing is no longer necessary to maintain public health and to control and prevent the spread of COVID-19, the COUNTY shall comply with the CITY’s permitting requirements for any continuing or new use of the PROPERTY. AGENDA ITEM #1. e) {JEH2134634.DOC;1/00010.900000/ } Page - 3 IN WITNESS WHEREOF, the COUNTY and CITY have executed this Memorandum of Understanding as of the day and year first written above. KING COUNTY CITY OF RENTON By:_____________________________ By:______________________________ Anthony Wright, Mayor Armondo Pavone Division Director, Facilities and Management Division Date:___________________ Date:___________________ Approved as to form: s/Howard P. Schneiderman King County Prosecuting Attorney’s Office _____________________ Date /s/Shane Moloney Shane Moloney City Attorney ______________________ Date AGENDA ITEM #1. e) From:Flor, Leonardo To:Armondo Pavone Cc:Robert Harrison; Rider, Kelly; Gill, Karan (EXEC); Putney, April; Ellerbrook, Mark; McLendon, Hedda; Speltz, Kate; Andryszewski, Steve Subject:King County DCHS confirmation of April 27th meeting and response to REACH funding request Date:Thursday, April 23, 2020 9:40:55 PM Dear Mayor Pavone: Good evening, Mr. Mayor. Thank you for your leadership during this unprecedented crisis. Karan Gill relayed to me your office’s request for a King County official to attend a virtual City of Renton meeting at 5:30 PM on Monday, April 27th. I would be happy to join that meeting to provide information and answer questions. Thank you for the invitation and opportunity. This email also responds to impacts that you identified earlier this month in a letter to Executive Constantine and Councilmembers Dunn and Upthegrove. You identified three potential impacts and corresponding requests within the letter, and I am happy to respond to those requests as well as to offer further collaboration with your office on issues and efforts to serve County residents experiencing homelessness. Please note that these requests are in addition to an already provided $20,000 increase in funding to REACH for its use during the COVID-19 response. King County provided that additional funding in March 2020. Your letter requested support for REACH staff to increase their ability to provide additional services as a result of COVID-19, including the ability to implement Public Health guidance and to provide services to an anticipated increase in persons experiencing homelessness in Renton. DCHS will support this request and will contact staff at REACH to execute a contract exhibit to implement this increase. We are at this time able to commit to providing the additional $4,100 per month for an initial period of three months. We will be happy in July 2020 to consider potential extension of this funding depending on funds availability, conditions in the community, and the state of the emergency at that time. For clarity, this response commits to DCHS supporting $12,300 for the use described within this response, which is three months of the requested $4,100 month amount. DCHS staff will contact REACH to implement this commitment. Your letter requested access to an estimated $15,000 in diversion funding to be administered by REACH. The funds would be used to assist households in gaining or maintaining housing or shelter that allows households to implement public health guidance to slow the spread of COVID-19. DCHS will support the amount of this request up to $15,000 after a follow-on conversation with REACH to clarify the type of service to be provided. The clarity is necessary because the term “diversion” carries a specific meaning in homelessness services and describes a particular type of program intended to prevent homelessness (as opposed to services that provide housing to persons who are already using shelter). Assuming that DCHS and REACH staff are able to agree upon the purpose and scope of REACH’s proposed diversion work during this COVID emergency, this response commits to DCHS supporting up to $15,000 of diversion (or a similar scope) funding. Please note that the structure of this agreement may be for reimbursement of actual expenditures up to $15,000, depending on staff discussions AGENDA ITEM #1. f) about how to best proceed. Your letter requested access to 25 rooms at the Red Lion for use by additional Renton residents who need to use them as well as funding for 1.0 FTE caseworkers. There is not available capacity at the Red Lion, and DCHS is unfortunately unable to support this request. If there is interest in King County seeking additional hotel capacity for Renton shelter residents during the COVID-19 emergency in a facility besides the Red Lion hotel, please let me know and King County would be happy to explore that option with your office. Please let me know what additional information or response I may provide. This crisis presents the dual challenges of rapidly changing conditions and what we project to be a months-long response. We remain to ready to both adapt as conditions change as well as being committed to supporting County residents for the duration of this crisis. DCHS stands ready to work with your office and the City of Renton to serve residents experiencing homelessness during this crisis. Thank you again for your leadership, Mr. Mayor. Sincerely, Leo Flor Director | King County Department of Community & Human Services 401 Fifth Ave, Suite 400 | Seattle, WA 98104 | leonardo.flor@kingcounty.gov | 206.477.4384 Scheduling assistance by Melissa Redford | mredford@kingcounty.gov AGENDA ITEM #1. f) The Honorable Dow Constantine King County Executive The Honorable Reagan Dunn King County Councilmember The Honorable Dave Upthegrove King County Councilmember Sent via electronic email As a follow-up to my letter to you of last Thursday, and questions we in Renton had with the De-Intensification Center planned for the Red Lion Inn location, I appreciate that Karan Gill of your staff helped facilitate a conversation with leadership of the Downtown Emergency Service Center (DESC), which will be contracted to run this facility. While that discussion helped clarify a number of questions around the number and types of residents, security, plan for meal delivery, and other details, we believe there are still impacts that will be experienced by our service providers. We also believe there are opportunities at this facility to partner with those same service providers. Specifically, since the activation of the “Stay Home, Stay Healthy” order issued by the Governor, the Renton Ecumenical Association of Churches (REACH) has been working closely with the City of Renton and other partners to de-intensify its own services for homeless individuals and families. REACH’s goal is for clients to have adequate social distance and protect themselves from increased risk of infection. REACH’s shelter and navigation center for families has been relocated and transitioned to a 24/7 model. REACH’s meal program, which serves the chronically homeless and those who have low incomes, has transitioned to a grab-and-go model. We share the desire of King County and others to “socially distance” residents of shelters and other facilities to keep them and our communities safe. That said, a shelter for 200 individuals in the City of Renton would at least triple the homeless population in Renton and place extreme stress on our already thinly stretched resources. To help us prepare adequately for what is to come, and partner with the county while serving those in need in our community, we would like to present a few proposals involving REACH and formally ask for funding assistance from the County to help meet needs: AGENDA ITEM #1. g) King County Executive Dow Constantine King County Councilmember Reagan Dunn King County Councilmember Dave Upthegrove Page 2 of 2 April 8, 2020 20-039 Immediate Impact: 1. The current homeless population in Renton is not served by the de-intensification shelter being placed at the Red Lion or any other shelter. Because they remain in unofficial encampments, their risk for COVID-19 infection and spread is high. We request that 25 rooms at Red Lion be made available for Renton residents who need them. The movement of Renton homeless residents to the Red Lion should be facilitated by the placement of two 0.5 FTE caseworkers at the REACH meal program for the duration of this emergency. Cost: $3,200 per month 2. While DESC explained that the new population in Renton would have space and an estimated three meals at the Red Lion, our experience tells us that a proportion of those moved to Renton will choose to access other available services in Renton, including the REACH meal program and our navigation center/shelter. Due to the COVID-19 measures, REACH’s volunteer numbers have declined and its resources are stretched. For the duration of this emergency, we are asking for funding help with additional staffing (1.5FTE) at REACH service locations. Cost: $4,100 per month Long term Impact: While there is a plan to relocate Red Lion De-Intensification Shelter residents to where they had been residing, some homeless clients/families may choose to remain in Renton. The pull on our limited resources will spike, and we need to be ready. We ask your help in assisting REACH with diversion funding for those who may remain and will need wrap-around services to overcome barriers. Estimated Cost: $15,000 We hope you will consider this request on behalf of the service providers in our community, with a specific focus on REACH, and would be happy to talk further with you about this request. Sincerely, Armondo Pavone Mayor AP:aa c: Renton City Council AGENDA ITEM #1. g) April 2, 2020 The Honorable Dow Constantine King County Executive Sent via electronic email Dear Executive Constantine: Thank you for informing me today about the County’s short-term lease of the Red Lion Inn in Renton for a de-intensification center to social distance those living in homeless shelters. The City of Renton desires to work cooperatively with the County in its efforts to acquire temporary facilities in response to the COVID19 pandemic. We understand that as a community we need to rally behind and support each other during this public health crisis. However, as we do our part, that cooperation also carries an expectation that the County will do its part to mitigate the impact these temporary facilities can have on the communities where they are located. The proposed use of the hotel will be to house homeless individuals from around the County to enable all shelters to meet social distancing requirements. Since these individuals will be free to come and go as they please, we think it is imperative that the County agree to the following: 1) Provide adequate security at the site to maintain safety of the residents, hotel staff and the Renton community. Our police force is already feeling the stress of the pandemic and have moved to a different model of policing during this time. Effectively managing and securing a shelter that could house up to 200 individuals will be critically important to the safety of our residents and our officers. If we end up with new obligations being placed on Renton police officers because of this facility, we would also want to work with the County on FEMA or CARES Act reimbursement funding to help offset those additional costs. 2) Our community expects that people will conduct themselves in a way that does not result in unsafe, destructive or criminal behavior. Our expectations may be different from what these individuals experienced in the communities where they lived before. We want to be sure that our expectations are communicated clearly and regularly to the residents of the temporary facility. 3) When the lease expires, it is our expectation that the individuals who have temporarily relocated to Renton to shelter at the Red Lion Inn will return to their original shelters (or even better, are able to find more permanent or transitional housing). The City is a partner AGENDA ITEM #1. h) King County Executive Dow Constantine Page 2 of 2 April 2, 2020 with REACH to manage the existing overnight shelter, Center of Hope day shelter, and feeding program. These facilities and programs are maxed out during normal times, let alone during this pandemic. We want to avoid a resultant increase in the long-term homeless population when the County closes this temporary shelter at the end of this crisis. An increase would unfairly overwhelm the City’s existing programs and resources. We want to understand clearly the County’s plan in relocating these individuals back to their home base when this pandemic is over. 4) The County needs to provide supportive services to the population that will be staying at the Red Lion. As mentioned, REACH provides services in Renton for our vulnerable homeless population. We are already seeking additional funding to meet the need for increased services and locations that follow distancing guidelines during this public health pandemic. An additional burden on existing resources will only exacerbate the problem. I appreciate the efforts that King County and your office have put forth in responding to this crisis. It has made a marked difference in the region relative to other parts of the United States. Our goal is to continue to be supportive of King County in its efforts to mitigate the crisis, and we are hopeful that the Red Lion Inn lease will end up having a successful outcome for all. Respectfully, Armondo Pavone Mayor AP:aa cc: Renton City Council King County Council Robert Harrison, Chief Administrative Officer Ed VanValey, Police Chief Shane Moloney, City Attorney 20-037 AGENDA ITEM #1. h) Bond Projects Briefing Renton City Council Committee of the Whole April 27, 2020 AGENDA ITEM #2. a) Long Term Sustainability •2016/2017 –Three Steps to Long Term Sustainability •January 2018 thru June 2018 –Citizen Advisory Committee •November 2018 –Council Authorizes Issuing Bonds •March 2019 –$14.5 Million in Bonds Issued •2019 –Five In-progress CIP Projects Re-allocated to Bond Projects •2019 –Staff Recruitment 2 OVERVIEW AGENDA ITEM #2. a) 3 OVERVIEW •43 Deferred Maintenance Projects Identified by Citizen Advisory Committee •2017-2022 (6-Year CIP) •Total $14,466,570 Including Contingency and Inflation AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 1 Sport Court Repairs -Highlands (Tennis) Re-furbish tennis courts $ 100,000 Future Project 2 Sport Court Repairs -Talbot Hill Renovate tennis courts and pickleball court $ 80,000 Future Project 3 Coulon Park Structural Repairs 4 Complete repairs as per Structural Report $ 250,000 Future Project 4 Coulon Parking Lot Repairs -Medium Priority Remove/repave parking areas per Assessment $ 200,000 Future Project 5 Coulon Irrigation System Replacement - Entry Replace existing 50 year old irrigation $ 500,000 Future Project DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP) 4 AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 6 Parking Lot & Drive Repairs -Senior Center Repave parking lot $ 90,000 Current Project Not Bond Eligible TBD CIP Funded TBD On Hold 7 Ballfield Renovation Program -Teasdale Park Renovate infield/outfield $ 150,000 Future Project 8 Playground Replacements - Cedar River Trail Park & Tiffany Park Remove/replace 20 year old play equipment $ 275,000 Complete $204,389 Bond Funded 2019 5 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 9 Lighting System Upgrade 2 Convert to LED Lighting $ 110,000 In Design TBD Bond Funded February 2022 10 Playground Replacements - Teasdale Remove/replace 20 year old play equipment $ 150,000 Complete $178,454 Bond Funded 2019 11 Lighting System Upgrade 3 Convert to LED Lighting $ 110,000 Future Project 12 Pathway, Sidewalk, Patio & Boardwalk Repairs -Cedar River Trail @ Bronson Renovate walk, located within Shoreline Area $ 80,000 Future Project Not Bond Eligible 6 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 13 Coulon Park Structural Repairs 1 Estimated construction scheduled for 2018/2019 at IVAR’S , day moorage, boat launch, wave break, S. waterwalk, N. waterwalk wave break, sailing float & trestle bridge. $ 2,927,898 Complete $2,767,115 Bond Cost Totaled $2,105,263 Jan. 2020 14 Parking Lot & Drive Repairs -Tiffany Park Repave parking lot $ 125,000 Future Project 7 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 15 Pathway, Sidewalk, Patio & Boardwalk Repairs -Cedar River Trail Narco to Ron Regis Park Remove/replace 23 year old trail $ 100,000 Future Project 16 Coulon Park Lighting Repairs LED light Conversion $ 90,000 Current Project Not Bond Eligible Estimated $51,465 CIP Funded June 2020 17 Shoreline & Bank Stabilization -Jones Park Stabilize shoreline with large woody debris and native vegetation. Relocate walk. $ 237,500 Current Project TBD CIP Funded TBD On Hold 8 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 18 Playground Replacements - Kennydale Beach Remove/replace 15 year old play equipment $ 200,000 Future Project 19 Ballfield Renovation Program -Liberty Park Renovate infield/outfield $ 250,000 Future Project 20 Coulon Parking Lot Repairs -High Priority Remove/repave parking areas per Assessment $ 300,000 Future Project 21 Sport Court Repairs -Teasdale Renovate basketball court $ 150,000 Current Project TBD CIP Funded Oct. 2020 9 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 22 Fencing, Guardrails, Bullrails & Railings - Cascade Park Replace chain link fencing with bullrails $ 20,000 Future Project Not Bond Eligible 23 Pathway, Sidewalk, Patio & Boardwalk Repairs -Kiwanis Park Remove walk and install ADA walk from Union Avenue to Activity Center $ 350,000 In Design TBD CIP Funded April 2022 24 Sport Court Repairs -Bocce Courts at Senior Center & Kennydale Lions Park Renovate 30+ year old Bocce Ball Court (R. Center) and basketball court (Kennydale Lions) $ 185,000 Future Project 10 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 25 Phillip Arnold Park Improvements Remove/relocate playground, install new ADA walk, remove closed restroom $ 650,000 In Design TBD Bond Funded Feb. 2022 26 Playground Replacements - Coulon Remove/replace 16 year old play equipment $ 400,000 In Design Not Bond Eligible TBD $605,000 Grant Funded Winter 2020/2021 27 Parking Lot & Drive Repairs -Kiwanis Park Repave parking lot $ 90,000 In Design TBD Bond Funded April 2022 11 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 28 Cedar River Trestle Bridge Structural Repairs Complete repairs per structural review $ 350,000 Bids Received Not Bond Eligible Estimated $588,024 CIP Funded Sept. 2020 29 Ballfield Renovation Program -Kiwanis Park Renovate infield/outfield $ 150,000 In Design TBD Bond Funded April 2022 30 Pathway, Sidewalk, Patio & Boardwalk Repairs -Jones Park Remove/replace heaved and cracked walk $ 75,000 Future Project 12 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 31 Liberty Park Improvements Master Plan from Library to skate park, install new play area/remove 21 year old equipment, install new walks and landscaping, remove shelter $ 1,540,972 Current Project TBD CIP Funded TBD On Hold Except for Play Area 32 Lighting System Upgrade 4 Convert to LED Lighting $ 110,000 Future Project 33 Parking Lot & Drive Repairs -Phillip Arnold Park Repave parking lot $ 125,000 In Design TBD Bond Funded Feb. 2022 13 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 34 Coulon Park Structural Repairs 3 Complete repairs as per Structural Report $ 250,000 Geo-tech Study TBD Bond Funded June 2020 35 Ballfield Renovation Program -Dugouts Renovate Dugouts $ 150,000 In Design TBD Bond Funded April 2022 36 Coulon Park Structural Repairs 5 Complete repairs as per Structural Report $ 250,000 In Design TBD Bond Funded Dec. 2022 37 Pathway, Sidewalk, Patio & Boardwalk Repairs -Cedar River Park, Heritage Park Remove/replace heaved and cracked walks $ 40,000 Future Project 14 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 38 Playground Replacements - Play Area TBD 1 Remove/replace old play equipment $ 150,000 In Design TBD Bond Funded April 2022 39 Playground Replacements - Play Area TBD 2 Remove/replace old play equipment $ 150,000 Future Project 40 Coulon Irrigation System Replacement - North End Replace existing 36 year old irrigation $ 500,000 Future Project 41 Coulon Bathhouse Renovate 50 year old facility $ 605,200 Future Project 42 Coulon Park Structural Repairs 2 Complete repairs as per Structural Report $ 250,000 Future Project 15 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP)AGENDA ITEM #2. a) #Project Project Description Total Capital Cost Projection 2018 Status Actual Cost Estimated Completion 43 Lighting System Upgrade -Kiwanis Park Convert to LED Lighting $ 100,000 In Design TBD CIP Funded Feb. 2022 All Deferred Maintenance Projects Will Cost (2018 Estimate): Contingency and Inflation: $12,966,570 $1,500,000 Total:$14,466,570 16 DEFERRED MAINTENANCE PROJECTS -2017-2022 (6-Year CIP) “The CAC recommends a funding package of $14.5 million for this purpose –to fund the $13 million in existing major maintenance projects, together with a $1.5 million contingency.”AGENDA ITEM #2. a) Completed Bond Projects 17 Summary of Completed Bond Projects •Coulon Structural Repairs at Eight (8) Locations -$2,105,263 •Playground Replacements at Three (3) Parks -$382,843 Tiffany Park $115,278 Cedar River Trail Park $ 89,111 Teasdale Park $178,454 •Building Assessment, Demolition, Design at Philip Arnold Park - $103,933 •Staffing Costs (2019) and Kiwanis Park Title Report -$81,246 AGENDA ITEM #2. a) 18 Estimated Costs (includes staffing costs) to Complete Design/Construction for the following Bond Projects - $13,749,342 •Coulon North Waterwalk Phase I Pilings –$1.5 Million** •Coulon Trestle Bridge –$1.53 Million** •Coulon Rosewall Geotechnical Study –$50,000 •Philip Arnold Park Renovation –$5.5 Million •Kiwanis Park Renovation –$4.2 Million ** Not originally identified as one of the 43 Deferred Maintenance Projects Bond Projects in Design AGENDA ITEM #2. a) 19 Bond Projects Funding Summary Approved Park Bond -$14.5 million Monies Spent through 2019 on Completed Projects (includes staffing costs and Kiwanis Park title report) -$2,673,285 Estimated Costs to Complete Design/Construction for Coulon North Waterwalk Piles, Coulon Trestle Bridge, Philip Arnold Park Renovation and Kiwanis Park Renovation (includes estimated staffing costs) -$13,749,342 Estimated Additional Funding Needed Budgeted thru 6 Year CIP and Other Funding Sources -$1,922,627 AGENDA ITEM #2. a) Completed Bond Projects 20 Coulon Structural Repairs at Eight (8) Locations •Boat Launch •Ivar’s Deck and Stairs •South Waterwalk Grouting •Day Moorage/Finger Piers •Sailing Float •North Waterwalk Wood Timber Removal •Wave Break •Trestle Bridge Temporary Repairs AGENDA ITEM #2. a) Completed Bond Projects 21 Coulon Deck Coulon Stairs Coulon Day Moorage/Finger Piers Coulon Sailing Float AGENDA ITEM #2. a) Completed Bond Projects 22 Playground Replacements at Three (3) Parks Tiffany Park AGENDA ITEM #2. a) Completed Bond Projects 23 Playground Replacements at Three (3) Parks Teasdale ParkCedar River Trail Park AGENDA ITEM #2. a) Completed Bond Projects 24 Building Assessment, Demolition, Design at Philip Arnold Park Building Constructed in 1960’s Improved Safety and View into Park AGENDA ITEM #2. a) Questions? 25 AGENDA ITEM #2. a) SHB 1406 Update Concerning the State Sales Tax Credit for Affordable Housing AGENDA ITEM #3. a) Overview •SHB 1406 •EHB 2797 Update •Policy Choices •Staff Recommendations •Next Steps AGENDA ITEM #3. a) Substitute House Bill 1406 •SHB 1406 was enacted during the 2019 legislative session •Over $500 million in state investment was committed to local governments through a 20-year state sales tax credit •This is a credit against existing sales tax that would stay local rather than being sent to the state -meaning no increase for Renton residents AGENDA ITEM #3. a) Collection of Funds •The state sales tax credit is available to cities and counties for 20 years at either .0073% or .0146% •Rate of local collection depends upon county participation and if the local jurisdiction has adopted a qualifying local tax (QLT) by July 2020 •To collect funds, jurisdictions must pass a Resolution of Intent by January 28, 2020 and an authorizing ordinance by July 28, 2020 AGENDA ITEM #3. a) SHB 1406 –Qualifying Local Tax A qualifying local tax must be either: •10-year property tax levy, subject to voter approval, of up to .50/$1000 •1/10th of 1 cent sales tax, subject to voter approval •Mental health and chemical dependency sales tax •6-year excess property tax levy, subject to voter approval AGENDA ITEM #3. a) Usage of Funds •Funds must be targeted towards assisting people with incomes at or below 60% AMI •For acquisition, construction, or rehabilitation of housing, as well as supporting the maintenance and operations costs of new housing units AGENDA ITEM #3. a) SHB 1406 in Renton .0073% •$236,380/year OR •$4,727,600 over 20 years .0146% •$472,760/year OR •$9,455,200 over 20 years + QLT funds City Collection Rates (based on 2018 estimates)AGENDA ITEM #3. a) SHB 1406 in Renton •Renton City Council passed a Resolution of Intent to authorize the state sales tax credit on August 12, 2019 •In late 2019, polling was conducted on support for a QLT showing potential support for a November 2020 10-year property tax levy Note: Without adopting a QLT, Renton is only eligible to access the .0073% credit AGENDA ITEM #3. a) Engrossed House Bill 2797 •EHB 2797 was introduced and passed in the 2020 legislative session as an amendment to SHB 1406 to extend the timeline to adopt a QLT to December 31, 2021 •The bill was vetoed the governor in April due to concerns over potential fiscal impacts •Therefore, the QLT deadline remains July 28, 2020 -barring Special Session action by the Legislature, which is under discussion AGENDA ITEM #3. a) Policy Choices 1.Should Renton adopt an ordinance to authorize the collection of the .0073% base state sales tax credit? 2.Should Renton commit to pool the base state sales tax credit with SKHHP member cities?AGENDA ITEM #3. a) Issue #1 Should Renton adopt an ordinance to authorize the collection of the .0073% state sales tax credit?AGENDA ITEM #3. a) Issue #1 •An ordinance is required to authorize the collection of the tax and amend Renton Municipal Code •Collection of the sales tax credit begins immediately after authorization Staff recommends adopting the ordinance as soon as possible so the City can begin collecting the funds immediately.AGENDA ITEM #3. a) Issue #2 Should Renton commit to pool the base state sales tax credit with SKHHP member cities?AGENDA ITEM #3. a) Issue #2 •Renton joined SKHHP in May 2019 •The SKHHP Executive Board passed a resolution in November 2019 urging all member cities to pool SHB 1406 funds •So far, six of the nine member cities have passed pooling resolutions Staff recommends that Council pass a resolution to pool SHB 1406 funds to SKKHP.AGENDA ITEM #3. a) PRO CON PRO CON Impacts to Partners Lack of Representation Less Money Partner Pipeline Predictable Revenue More Autonomy Pooling Not Pooling AGENDA ITEM #3. a) Next Steps •Prepare legislation and agenda bill for SHB 1406 ordinance and pooling resolution for Council action •Track EHB 2797 during 2020 Special Session •Monitor progress of HB 1590 –recent legislation that could result result in several hundred thousand dollars a year for affordable housing and homeless efforts in Renton AGENDA ITEM #3. a) Questions? msantosjohnson@rentonwa.gov AGENDA ITEM #3. a) SHB 1406 POLICY OPTIONS FOR COUNCIL Renton City Council passed a Resolution of Intent to authorize the collection of an existing state sales tax credit for affordable housing on August 12, 2019. Staff is looking for direction on next steps. See below for more detail on staff recommended options. ➀PASS AN ORDINANCE TO COLLECT BASE SALES TAX CREDIT (.0073%) To move forward with the collection of SHB 1406 funds,Council must authorize the use of the state sales and use tax credit through an ordinance by July 28,2020.Collection of base sales tax credit begins immediately after authorization by ordinance.This also begins the 20-year “collection clock.” Staff recommends adopting the ordinance as soon as possible so the City can begin collecting funds immediately. 27 April 2020 1 ➁PASS A RESOLUTION TO POOL BASE CREDIT (.0073%) TO SKHHP Renton joined the South King County Housing and Homelessness Partners (SKHHP)through an Interlocal Agreement (ILA)in May 2019.The ILA highlights cooperative action and pooling public and private resources as the most efficient and expeditious way for member cities to address affordable housing needs in South King County. In November,2019,the SKHHP Executive Board passed Resolution 2019-06 urging all member cities to pool the base sales tax credit revenues collected under HB 1406 to SKHHP.So far,six of the nine SKHHP member cities have passed resolutions to pool SHB 1406 funds to SKHHP; two more cities have action pending.All of our partners’resolutions contain provisions to pool their funds only if all SKHHP members choose to do so. SKHHP ’s 2020 draft work plan contains an objective to establish a South King County Affordable Housing Capital Fund in order to leverage 2021 County and State resources to fund a project next year. There are pros and cons to pooling,described on the following page.Staff recommends that Council pass a resolution to pool the base tax credit (.0073)funds to SKHHP. AGENDA ITEM #3. b) POOLING SHB 1406 FUNDS WITH SKHHP PROS CONS Less Autonomy and Renton Control:Decisions for awarding the $1M annually would be made by the SKHHP Executive Board,on which Renton has a seat,rather than Renton awarding its own $236K each year. Competition for Funds:Renton Housing Authority and other Renton projects would have to compete for funding with projects by other entities and in other SKHHP cities. SHB 1406 POLICY OPTIONS FOR COUNCIL 27 April 2020 2 More Money Available:$1M would be annually available for affordable housing projects in South King County by pooling.SKHHP can also bond against its future $20M revenue stream.Rather than access to $236K annually,the City could tap into a potential $1M or greater stream annually; therefore,it is likely that Renton projects will get more money over time.Renton Housing Authority (RHA)will likely be a strong funding candidate as it has a demonstrated history of building projects and competing for and securing resources. Leverage for More Dollars:SKHHP is and will continue to work to leverage private and public funds to bolster the capital fund.One potential leverage is Microsoft match.Microsoft has been asked to match all pooled SKHHP SHB 1406 funds for five years,resulting in potentially $5M more for the SKHHP capital fund. A Seat at the Funding Table:With a capital fund, SKHHP could represent South King County as part of funding coalitions to help allocate county and state resources to support local projects. ARCH—the Eastside’s housing coalition—gives their cities a unique voice at county-and state- level funding forums;with a capital fund,SKHHP can provide this voice for South King County. More Efficient Administration:Rather than all nine SKHHP jurisdictions administering their own funds,the pooled SHB 1406 funds can be administered by SKHHP as one entity.Pooling maximizes efficiency and expedites collective efforts to address affordable housing needs in South King County. Renton is a SKHHP and South King County Leader:Renton was key to the formation of SKHHP and is a recognized leader in the collective effort to address South King County’s affordable housing needs.Renton’s efforts are notable,but regional needs are best addressed collaboratively with other invested partners. Working together is the most effective way to address needs that extend beyond city boundaries. Alternative Funding for Renton Available:House Bill 1590 (HB 1590)–enacted by the 2020 Legislatures and signed by the Governor – enables King County to ‘councilmanically’enact a 1/10th of 1 cent sales tax increase for affordable housing and homelessness.If King County acts by September 30,2020 to access this additional tax, at least 30%of the money collected must be spent in cities with a population over 60,000. City of Renton’s Finance staff estimates this could raise about $850,000 a year in the city. AGENDA ITEM #3. b) NOT POOLING SHB 1406 FUNDS PROS CONS Less Money Overall: Renton projects would not have access to the additional $750K/year in pooled SHB 1406 funds from SKHHP funds. Renton would also not qualify for any potential SHB 1406 matching funds (such as Microsoft) and may not qualify for other leveraged SKHHP funds. Renton projects will likely get less money over time without pooling, given the loss of access to the SKHHP capital funds. No Representation at the Table: Without a SKHHP capital fund, South King County and Renton will not have access to coalition funding forums. Renton would also likely be excluded from voting on the use of the potential SKHHP pooled funds. Renton projects may also be ineligible to apply for other SKHHP funds. Impacts to South King Partner Cities: If Renton decides not to pool funds, other SKHHP cities will need to start over and decide whether to pool their funds without Renton’s participation. Renton and RHA are making a difference, but we will miss the opportunity to help SKHHP create a capital fund to collaboratively address South King County affordable housing needs. SHB 1406 POLICY OPTIONS FOR COUNCIL 27 April 2020 3 More Autonomy and Renton Control: By not pooling, the City gets to decide how to allocate the annual $236K –either to support Renton Housing Authority or other Renton projects. Predictable Funding Source: The City would have a reliable source of funds to support Renton projects annually, potentially being able to support a project each year. The City can also choose to bond against future revenue, but this is less feasible given the amount of the City’s SHB 1506 funds. Existing Partner Pipeline: Renton Housing Authority is an established partner of the City and has an existing pipeline of projects that would benefit from funding. AGENDA ITEM #3. b)