LYNNWOOD Date: Monday, March 16, 2020 CITY COUNCIL ......Evan Chinn SUMMARY: Otmane Riad has applied for the Diversity, Equity and Inclusion Commission. He interviewed with Mayor Smith

LYNNWOOD Date: Monday, March 16, 2020

CITY COUNCIL Time:7:00 PM

Work Session Place:City Hall Council Chambers

7:00 PM A Comments and Questions on Memo Items

7:05 PM B Interview: Human Services Commission Applicant Kris Hildebrandt

7:15 PM C Interview DEIC Candidate Otmane Riad

7:30 PM D Interview: Ethics Board candidate Dominique Grinnell

7:45 PM E Community Justice Center Funding

8:30 PM F Break

8:40 PM G Continue Discussion Regarding Council Executive Assistant Position

9:00 PM H Executive Session, if needed

9:05 PM I Mayor Comments and Questions

9:10 PM J Council President and Council Comments

Adjourn

Memorandums for Future Agenda Items:

M-1 Contract Amendment Wastewater Treatment Plant Secondary Clarifier Repairs

M-2 Construction Contract Award: 2020 Pavement Rehabilitation and Preservation Project

M-3 Naming Request: Interurban Car 55 at Heritage Park

Memorandums for Your Information:

Contact: Executive Office (425) 670-5001

CITY COUNCIL ITEM A

CITY OF LYNNWOOD

City Council

TITLE: Comments and Questions on Memo Items

DEPARTMENT CONTACT: Nicola Smith, Mayor

DOCUMENT ATTACHMENTS

Description: Type:

No Attachments Available

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CITY COUNCIL ITEM B

CITY OF LYNNWOOD

Parks, Recreation, & Cultural Arts

TITLE: Interview: Human Services Commission Applicant Kris Hildebrandt

DEPARTMENT CONTACT: Lynn D. Sordel

SUMMARY:

Position 2 of the Human Services Commission is currently vacant. The Mayor recommends Ms. Kris

Hildebrandt to fill the vacancy.

ACTION:

Interview Kris Hildebrandt for position #2 of the Human Services Commission for a term expiring

December 31, 2022.

BACKGROUND:

Ms. Hildebrandt submitted her application on November 6, 2019. She was interviewed by Director Sordel on

February 6, 2020 and by the Mayor on February 24, 2020. Ms. Hildebrandt attended a commission meeting

on January 9. Ms. Hildebrandt's residency and voter registration status have been confirmed.

Members of the Human Services Commission serve for three-year terms, per City ordinance.

The present status of the Human Services Commission is as follows:

Position 1-Vanessa Villavicencio-Term Expires December 31, 2022

Position 2-VACANT-Term Expires December 31, 2022

Position 3-Chris Collier-Term Expires December 31, 2020

Position 4-Sandi Farkas-Term Expires December 31, 2020

Position 5-Pam Hurst-Term Expires December 31, 2020

Position 6-Michelle Reitan-Term Expires December 31, 2021

Position 7-Mary Anne Dillon-Term Expires December 31, 2021

ADMINISTRATION RECOMMENDATION:

Interview Kris Hildebrandt.


Description: Type:

Human Services Commission Application Backup Material

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BOARD & COMMISSION APPLICATION Name: Kris Hildebrandt Address: City: Lynnwood State: WA Zip: 98037 Daytime Phone Number: Secondary Phone Number: Email Address: Thank you for your interest in serving on a Lynnwood Board or Commission. Members of each of the panels are appointed for a specific period of time. Some panels may have a residency requirement. To help us get to know you and your interests better, please answer the questions that follow. Please feel free to use an attachment if you need more space than is provided. You may also submit a resume along with your application. 1. Are you a registered voter in the City of Lynnwood? Yes X No If no, are you registered to vote someplace else? Yes No 2. Please place a check next to the Board or Commission that you are interested

in serving on. If you check more than one please prioritize.

Arts Commission Civil Service Commission History & Heritage Board

X Human Services Commission Diversity, Equity & Inclusion Commission Park & Recreation Board Planning Commission Tourism Advisory Committee

3. Why do you want to serve in this position? I would like to serve as a Human Services Commissioner to be part of a team

who studies the residents' changing needs and the community's ability to address their needs. Lynnwood, like many small suburban cities, is reacting to a changing world. Fortunately Lynnwood has a network of relationships that provide resources and services to city residents. As the city's density and demographics change, Lynnwood will need to focus on growing community

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resilience to adapt to urbanization and global change and react to potential natural disasters.

4. What do you perceive as the role of the Board or Commission in the

community? The Human Services Commission is part of the broad effort to achieve

Lynnwood's community vision to be a regional model for a sustainable, vibrant community with engaged citizens and an accountable government. The Commission's specific role is to gather and synthesize information from residents, service providers, and existing data bases; assess outcomes; and make recommendations to the Mayor and City Council.

5. How would you represent the interests of the Community? Commission members have a responsibility to learn about the community by

focus groups, community meetings, attending relevant public and private meetings, gathering information from residents, service providers, and researching best practices in human services.

6. What experience or education do you possess that you believe would be

helpful? My degrees, Master of Public Health, Planning and Administration (School of

Public Health, University of Michigan) and Bachelor of Arts, Urban and Metropolitan Studies (College of Urban Development, Michigan State University), have prepared me for a career and community service volunteer experiences in King and Snohomish Counties. While employed by Group Health Cooperative, I was the Director of Grants and Community Programs at the Group Health Foundation and Community Services Manager. While employed by the Puget Sound Neighborhood Health Center, a Federally Qualified Health Center, I was the Data Analyst and Planner whose main responsibility was to prepare the federal needs assessment to obtain federal funding. My resume was sent via email.

7. What has been your experience with committees or boards in Lynnwood? I served on the Parks & Recreation Board from 2011 to Dec. 2019 (chair from

2016-Dec. 2019) and Visioning Task Force, City of Lynnwood (2009-2010). I also served on Lake Forest Park's Human Services Commission from 1995-2000 (chair from 1996-1999).

8. Is there anything else you would like to tell us? Thank you for reviewing my application. Please submit your application to:

Lynnwood City Hall 18900 44th Ave W, Lynnwood, WA 98036

[email protected] | 425-670-5023

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mailto:[email protected]

CITY COUNCIL ITEM C

CITY OF LYNNWOOD

Human Resources

TITLE: Interview DEIC Candidate Otmane Riad

DEPARTMENT CONTACT: Evan Chinn

SUMMARY:

Otmane Riad has applied for the Diversity, Equity and Inclusion Commission. He interviewed with Mayor

Smith and Staff Liaison Evan Chinn on Monday, March 2 where he displayed a strong desire to serve the

Lynnwood community by membership on the DEIC. He is applying for the 2nd of 2 spots for residents in

Lynnwood's MUGA. He considers himself a proud "Lynnwoodian" and wants to be a communication

channel between the City and the community.

He is at the Work Session to be interviewed.

ACTION:

Interview Mr. Riad for consideration for service on the DEIC.

BACKGROUND:

Otmane wants to give back to the community by serving on the DEIC. He has a desire to help immigrants &

refugees and to be inclusive of the Muslim-American community here in Lynnwood. He has a background in

Law Enforcement from his early adulthood in Morocco. Currently Otmane is a tax professional, husband

and father to two young children.

FUNDING:

None- volunteer position.

KEY FEATURES AND VISION ALIGNMENT:

The DEIC and Otmane are aligned with Lynnwood as a Safe & Welcoming City.


Consider Otmane Riad for a position on the DEIC.


Description: Type:

Otmane Riad DEIC Application Backup Material

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CITY COUNCIL ITEM D

CITY OF LYNNWOOD

Administrative Services

TITLE: Interview: Ethics Board candidate Dominique Grinnell

DEPARTMENT CONTACT: Karen Fitzthum, Acting City Clerk and Chief Procurement

Officer

SUMMARY:

The Board of Ethics currently has a vacancy. The Mayor recommends Ms. Dominique Grinnell for position

2 on this Board.

ACTION:

Interview Ms. Dominique Grinnell for position 2 on the Ethics Board for a 2 year term expiring March 24,

2022.

BACKGROUND:

Ms. Grinnell applied for a vacant position on the Board of Ethics and was interviewed by Mayor Smith

and staff liaison Karen Fitzthum.

Position #2 for this Board is currently vacant, as are both alternative Board positions. .


Interview Ms. Ginnell


Description: Type:

Board of Ethics Application - D. Grinnell Backup Material

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Board and Commission Application

Submission date: 19 February 2020, 3:47PM

Receipt number: 11

Related form version: 1

Question ResponseAll Are WelcomeName Dominique GrinnellAddress , Lynnwood, WA 98036PhoneAlternate PhoneEmail AddressAre you a registered voter in the City ofLynnwood? Yes

Are you a registered voter somewhere else? NoPlease choose the Board or Commission forwhich you are applyingWhy are you interested in serving on this board orcommission?

I am interested in the Ethics Board because nowmore than ever citizens need to b personallyinvolved and take responsibility for the standardsto which our elected officials are held. I have beena volunteer Board member in charitableorganizations and have experience advising andmaking recommendations to senior leadershiparound matters of public representation andethical conduct.

What do you precieve as the role of a board orcommission member?

Educate city officers and employees to performtheir duties in an ethical manner. Administer thefinancial disclosure requirements for city officials,employees, board and commission members,council members, and candidates for city electiveoffice. Administer and enforce the city's lobbyinglaws.

How would you represent the interests of thecommunity?

I would represent the interest of the community byhelping ensure that City decisions are—and areperceived to be—fair, impartial, and made in thebest interests of the public (according tostandards contained in the City’s governmentalethics laws).

List any experiences that may assist you inserving in this role.

Charperson of the Bunche Scholarship, UCLAAlumni Scholarship Board; Boardmember, LiteracySource; Board Member, Heart Touch Foundation

List any other information you would like us toconsider.Optional resume uploadDate 02/19/2020

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CITY COUNCIL ITEM E

CITY OF LYNNWOOD


TITLE: Community Justice Center Funding

DEPARTMENT CONTACT: Sonja Springer, Finance Director and James Nelson, Deputy

Police Chief

SUMMARY:

Police Chief Tom Davis and Deputy Chief James Nelson presented an update on the Community Justice Center project to the City Council at their February 3, 2020 Council meeting.

We have been working with our Financial Advisors, PFM, to develop options to finance the Community Justice Center project. The results of this work is attached and will be presented at the March 16 Council Work Session.

This presentation on March 16 will include the following considerations when making the decision to go forward with funding the Community Justice Center project:

1) How does financing fit within the City's debt capacity?2) Is there adequate debt capacity for future debt plans for other capital projects?3) What are the viable repayment sources for the annual debt payments?4) Could an increase in debt burden ($60 million) lead to a negative action by the rating agency?

The above questions were addressed and three different repayment options were presented and discussed at the February 27 Finance Committee meeting.

POLICY QUESTION(S) FOR COUNCIL CONSIDERATION:

The next step in the Community Justice Center project is authorization of a notice to proceed by the City Council. Currently there are funds available within the City's Criminal Justice Sales Tax Fund (#105) to cover the design and part of the construction costs. The City will need to issue bonds in 2021 to finance the estimated remaining $60 million for the project.

There are three main options to consider for funding the annual debt service payments on the bonds that will be reviewed and discussed at the March 16 Council Work Session.

BACKGROUND:

The following meetings were held regarding the Community Justice Center project:

11/5/18 - Council Presentation by Chief Davis – Criminal Justice Facility Improvements as part of Capital Projects presentation in conjunction with Director Franz.

2/20/19 - City Council presentation by Chief Davis – Lynnwood Community Justice Center.

4/25/19 - Council Finance Committee Meeting to discuss Community Justice Center Financing Considerations

9/9/19 – Council Awards Design Contract to MacKenzie

11/18/19 – Legislative Engagement Council Meeting – Presentation of Community Justice CenterE-1

1/21/20 - Council Finance Committee – Design Options and Costing Update for Community Justice Center

2/3/20 – Council Presentation – Design Options and Costing for Community Justice Center with MacKenzie Project Manager Brett Hanson

2/27/20 – Council Finance Committee Meeting – Funding Options and Bonding Presentation for Community Justice Center

PREVIOUS COUNCIL ACTIONS:

On September 9, 2019 the City Council awarded the Design Contract for the Community Justice Center to MacKenzie.

FUNDING:

There are three main options for funding the annual debt service payments that are estimated to range from $3.08 million to $3.6 million per year, depending upon the length of the bond issue (25 or 30 years) and the interest rate at the time of bond issuance.

Option #1: With a combination of jail cost savings by housing most of the City's inmates in its own jail and the anticipated increased revenue by contracting additional beds to other jurisdictions, as well as using the existing Criminal Justice Tax revenue, the annual debt payment could be covered with no new taxes.

Option #2: The City could request voter approval for a 0.10% public safety sales and use tax which would require a simple majority vote of 50%+ and would generate approximately $2.6 million per year. This would make the City's sales tax rate 10.6%. The difference between the $3.08-$3.62 million annual debt service payment and the $2.6 million annual public safety sales tax could be covered by the existing criminal justice sales tax and jail cost savings as well as jail bed revenues from other jurisdictions.

Option #3: The City could request voter approval for an excess property tax levy to pay the annual debt payments. This would require a 60% approval by the voters and would equate to approximately a $0.45 per $1,000 of assessed value for each property owner, or about $181 per year for a $400,000 home. If the $60 million bond was funded by a property tax levy, it would not reduce the City's debt capacity for other projects as it would be voter approved debt.


Staff recommends that the Council give the notice to proceed into further design and construction of the Community Justice Center and identify a preferred option for funding the annual debt service payments for the $60 million bond issue for the project.


Description: Type:

Debt Overview & Community Justice Center Financing Considerations Backup Material

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© PFM 0

City of Lynnwood, WashingtonDebt Overview & Community Justice Center Financing Considerations

March 11, 2020

PFM Financial Advisors LLC

1200 Fifth AvenueSuite 1220Seattle, WA, 98101

Thomas Toepfer(206) 858-5360

Steven Amano(206) 858-5366

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© PFM 1

Introduction

• City of Lynnwood – Community Justice Center

Existing Debt and Legal Debt Limitation

• Limited Tax General Obligation Bonds

• Public Facilities District Bonds

• General Obligation Debt Capacity

• Debt Capacity Projections

Debt Service Cost Estimates

Identified Sources of Repayment

Funding Alternatives

Projecting S&P Global Scorecard Results

Summary

Outline

C I T Y O F LY N N W O O D , W A S H I N G T O N

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City of Lynnwood – Community Justice CenterBackground The City’s current facility has been in use since 1994 (houses the police department, court, and jail services)

Over the past 20 years, the police department, court and jail have undergone several space needs studies which have indicated significant space needs issues

The City is considering expanding the current justice center site to an adjacent, City owned, lot

If the expansion occurs, the City would continue to have the court and jail co-located on the current site (the current building would be renovated and expanded), while the Police Department would be relocated to the adjacent lot

As part of the justice center expansion, the City is considering a partnership with Community Health Center (CHC), Snohomish, evidenced through shared parking spaces, which would allow CHC to increase accessibility to their facility

• CHC currently neighbors the justice center; lease payments from CHC for parking spaces may help support the project

Updated project costs are estimated to be approximately $63-66 million (including soft costs and inflation)

• The City anticipates $60 million to be the maximum bonding amount

Considerations How does a financing fit within the City’s debt capacity?

Is there adequate capacity for future debt plans for other capital projects?

Are there viable repayment sources?

Could a significant increase in debt burden lead to negative action by the rating agency?

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Series Purpose Issue Size

Delivery Date

Final Maturity

Call Date

Outstanding Coupons

Outstanding Par

LTGO Refunding Bonds, 2012

Refunding of 2008 LTGO Note (Recreation Center) $24,955,000 2/27/2012 12/1/2037 12/1/2022 2.75% - 4.00% $21,275,000

LTGO Bond, 2019To finance the purchase of a building which will be repurposed to house homeless Edmonds School District students and their families

5,100,000 4/2/2019 12/1/2028 Anytime 2.72% (1)5,100,000

Total $26,375,000

Note: Outstanding Bonds as of February 15, 2020

Outstanding Limited Tax General Obligation Bonds

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037

Milli

ons

Limited Tax General Obligation Bonds Debt Service

LTGO 2012 LTGO 2019

(1) Draw capacity; to date, the City has not made any draws on the LTGO Bond, 2019. Draw period expires 10/2/2020.

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Series Purpose Issue Size

Delivery Date

Final Maturity

Call Date

Outstanding Coupons

Outstanding Par

Convention Center Revenue Refunding Bonds, 2015

Current refunding of the Revenue Bonds,2005 (Convention Center) $15,605,000 4/15/2015 12/1/2034 12/1/2024 3.00% - 5.00% $14,570,000

Convention Center Sales Tax RefundingBond, 2015(1)

Current refunding of the Revenue Bonds,2004 Series B (Convention Center) 9,877,100 6/15/2015 12/1/2025 N/A 2.48% 6,517,000

Total $21,087,000

Note: Outstanding Bonds as of February 15, 2020

Outstanding Public Facilities District Bonds

$0.0$0.5$1.0$1.5$2.0$2.5$3.0$3.5

2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034

Milli

ons

Public Facilities District Bonds Debt Service

Revenue Bonds 2015 Sales Tax Bonds 2015

(1) Bank Placement with Pinnacle Public Finance Inc.

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General Obligation Debt Capacity

Non-Voted General Obligation Debt CapacityAssessed Valuation for 2020 Tax Year $7,503,860,299Non-Voted Debt Capacity (1.5% of AV) $112,557,904 Less: Outstanding Non-Voted LTGO Debt(1) (26,375,000)Less: Outstanding Public Facilities Sales Tax Debt(2) (21,087,000)Remaining Non-Voted (LTGO) Debt Capacity $65,095,904

Total General Obligation Debt Capacity for General PurposesAssessed Valuation for 2020 Tax Year $7,503,860,299Total Debt Capacity (2.5% of AV) (3) $187,596,507 Less: Outstanding Voted UTGO Debt -Less: Outstanding Non-Voted LTGO Debt(1) (26,375,000)Less: Outstanding Public Facilities Sales Tax Debt(2) (21,087,000)Total Debt Capacity Remaining $140,134,507As of February 15, 2020

Remaining General Obligation debt capacity is governed by the City’s assessed value

Over the next 6 years (through 2025), approximately $22 million of outstanding general obligation principal will be paid down

(1) Includes $5.1 million related to the LTGO 2019 Bond which closed on April 2, 2019. To date, the City has not made any draws on the LTGO Bond, 2019. Draw period expires 10/2/2020.

(2) The City has pledged its full faith and credit to support the Public Facilities District Bonds, if necessary(3) The City has additional capacity – 2.5% for utility debt and 2.5% for open space/park facilities for a total of 7.5% of AV

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$0

$50

$100

$150

$200

$250

$300

2019 2020 2021 2022 2023 2024 2025 2026 2027

Milli

ons

LTGO 2012 LTGO 2015 (Snohomish County) PFD Revenue Bonds, 2015PFD Sales Tax Bonds, 2015 LTGO 2019 Justice Center BondsNon-Voted Debt Limit (1.5% of AV) Total G.O. Debt Capacity (2.5% of AV)

Debt Capacity Projection (2.0% AV Growth) Assuming annual assessed value growth of 2.0%, the City is projected to have approximately $11 million (9%) of non-

voted (LTGO) debt capacity after the bonds are issued in 2021

• If the City does not draw on the 2019 Bond, it will create an additional $5.1 million of debt capacity

With the pay down of existing principal, and growing assessed value, the City would have approximately $40 million (30%) of available non-voted capacity by 2025

• Non-voted capacity increases to approximately $54 million by 2027

(1) Includes $5.1 million related to the LTGO 2019 Bond which closed April 2, 2019; draw period expires 10/2/2020(2) Assumes Justice Center Bonds are issued in 2021 to fund $60M in project costs; 30-year term; true interest cost

estimated to be 3.60%

Remaining total general obligation debt capacity ($87M)

Remaining non-voted(LTGO) debt capacity ($11M)

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© PFM 7

$0

$50

$100

$150

$200

$250

$300

2019 2020 2021 2022 2023 2024 2025 2026 2027

Milli

ons

LTGO 2012 LTGO 2015 (Snohomish County) PFD Revenue Bonds, 2015PFD Sales Tax Bonds, 2015 LTGO 2019 Justice Center BondsNon-Voted Debt Limit (1.5% of AV) Total G.O. Debt Capacity (2.5% of AV)

Assuming annual assessed value growth of 5.0%, the City is projected to have approximately $14 million (12%) of non-voted (LTGO) debt capacity after the bonds are issued in 2021

• If the City does not draw on the 2019 Bond, it will create an additional $5.1 million of debt capacity

With the pay down of existing principal, and growing assessed value, the City would have approximately $60 million (40%) of available non-voted capacity by 2025

• Non-voted capacity increases to approximately $83 million by 2027

Debt Capacity Projection (5.0% AV Growth)

(1) Includes $5.1 million related to the LTGO 2019 Bond which closed April 2, 2019; draw period expires 10/2/2020(2) Assumes Justice Center Bonds are issued in 2021 to fund $60M in project costs; 30-year term; true interest cost

estimated to be 3.60%

Remaining total general obligation debt capacity ($93M)

Remaining non-voted(LTGO) debt capacity ($14M)

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Debt Service Cost Estimates – Justice Center Bonds

Based on current market rates, a 30-year financing is expected to cost the City approximately $3.08 million in annual debt service payments

• 25-year financing would result in annual debt service payments of approximately $3.36 million

If bond yields increase by 1.0% between today and the time the Justice Center Bonds are issued, the annual debt service payments are estimated to be approximately $3.33 million and $3.62 million for a 30-year and 25-year financing, respectively

Note: In addition to the one-time capital costs associated with expanding the City’s current Community Justice Center, operating a larger facility may result in an incremental increase in maintenance and operation costs

*Assumes Justice Center Bonds are issued in 2021 to finance $60 million of project costs; current market rates; $200k costs of issuance and $5 per $1000 of par amount in UW compensation

Justice Center Bonds (30-year term)

Analysis Avg. Annual Debt Service TIC Total Debt Service

Current* $3,080,000 3.00% $92,000,000

+ 100 bps $3,330,000 3.60% $99,250,000

Justice Center Bonds (25-year term)

Analysis Avg. Annual Debt Service TIC Total Debt Service

Current* $3,360,000 2.75% $83,500,000

+ 100 bps $3,620,000 3.40% $90,000,000

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© PFM 9

Identified Sources of Debt Repayment

2. Designated criminal justice sales tax revenue (Fund 105; estimate: $500,000)

a) Currently, a portion of these revenues are being set aside and used for one time expenditures

b) $500,000 estimate represents approximately 2/3 of 2019 criminal justice sales tax revenues of the City

c) Approximately $2 million of Fund 105 reserves may be available to support debt service payments related to the Justice Center Bonds (the reserves could be used to supplement the annual criminal justice sales tax revenues, if needed)

Note: Estimates; subject to change

Annual Budget Expenditure SavingsAnnual Contract Housing Budget Savings ($1,500,000)Evidence Facility Lease Savings (164,000)Total Savings (1,664,000)

Increased Annual Operating CostsFood 92,000 Supplies 15,000 Staff 209,636 Total Increase $316,636Expenditure Increase (Decrease) ($1,347,364)

1. Net Budget Expenditure Reduction (estimate: $1,347,364)

a) Contract savings – reduce # of contracted beds (SCORE & Yakima County Jail); terminate contract with Snohomish County Jail)

b) Evidence facility lease savings

c) Increased operating costs related to food, supplies, and additional staffing needs (i.e. 2 Custody Officers, 1 – Step 1 and Step 3)

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© PFM 10

Identified Sources of Debt Repayment (cont’d)

3. Increased City of Lynnwood jail bed revenue (total estimate: $1,208,750)a) Annual jail bed revenue of the City is currently estimated to be $160,000 per year(1)

b) With an expanded facility, the City’s jail bed revenue projection assumes 25 beds/day are contracted to local jurisdictions at a rate of $150/day (1 bed ~ $55,000/year; 25 beds ~ $1,368,750/year)

(Note: revenues not available until the jail is online, expected to be in late 2022. Revenues will depend on actual contracted beds)

4. Other sources to be considereda) Leased parking space revenue (total estimate: $153,000; based on 60 parking spaces leased for $7/day)b) Day Reporting – $35/dayc) Electronic Home Detention – $25/dayd) Community Service Application Fee – $30/application fee

(1) Based on historical 4-year averageNote: all figures are estimates; subject to change

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Funding AlternativesUsing conservative interest rate assumptions and depending on the size and term of the borrowing, financing the Community Justice Center Project is expected to cost between $3.33 million and $3.62 million annually

The City may consider one or a combination of the following alternatives:

1. Issue LTGO Bonds: Repayment from identified sources (shown below)

2. Issue LTGO Bonds: Repayment from new voter approved 0.10% public safety sales and use tax (requires simple majority vote)

3. Issue UTGO Bonds: Repayment from a voter approved excess property tax (requires 60% voter approval)• Based on the City’s 2020 assessed value, in order to generate $3.33 million for annual debt service payments,

the required excess levy is approximately $0.45 per $1000 AV(3)

• A $0.45 levy translates to a $181 annual bill to property owners within the City (based on a $400,000 home price)

Repayment Source (estimated)Public safety sales tax(2) $2,600,000Estimated Repayment Sources $2,600,000

(1) Based on current market rates, and current market rates plus a 1.0% interest rate cushion, respectively(2) Based on actual sales tax received from the Transportation Benefit District (TBD) of 0.1% less the 10% share that is

distributed to the County. (3) Assumes a 3.0% delinquency factor

Repayment Sources (estimated)Budget Expenditure Reduction $1,347,364Criminal Justice Tax (Existing) 500,000Contracted Bed Revenue 1,208,750Estimated Repayment Sources $3,056,114

Expenditure Reduction and Bed Revenue not realized until Project is online (may require capitalizing interest)

Funding gap for 30-year debt is approximately $480,000 – $730,000 annually(1)

Shortfall could be funded from jail contract savings

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Projecting S&P Global Scorecard Results

Score Table – City of Lynnwood, WA Weight Adjusted Score Adjusted ScoreInclusive of Community Justice Center Bonds? No Yes

Institutional Framework Score: 10% 3 3Economic Score: 30% 2 2Management Score: 20% 1 1Budgetary Flexibility Score: 10% 1 1Budgetary Performance Score 10% 2 2Liquidity Score: 10% 1 1Debt and Contingent Liability: 10% 2 3Weighted Average Score: 1.70 1.80 Indicative Rating: AA+ AA+

S&P Indicative Rating OutcomesFactor Score Weighted Average Indicative Rating

1.00 - 1.64 AAA1.65 - 1.94 AA+1.95 - 2.34 AA2.35 - 2.84 AA-2.85 - 3.24 A+3.25 - 3.64 A3.65 - 3.94 A-3.95 - 4.24 BBB+4.25 -4.54 BBB4.55 - 4.74 BBB-

Based on FY 2018 financials, the City’s Indicative General Obligation Credit Rating from S&P is AA+

• Consistent with the City’s most recent GO rating review in March 2014

The addition of the Justice Center Bonds impacts the City’s Debt & Contingent Liability Score

• Inclusive of the new debt, the City’s rating is expected to remain within the AA+ category

Note: Based on PFM calculations, actual results may differ

Note: Calculation of General Fund net transfers based on 3-year average

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© PFM 13

Summary

Based on 2020 Assessed Value, the City has sufficient debt capacity to finance $60 million of project costs related to its Community Justice Center expansion project

Using an assumed 2% – 5% assessed value growth rate, the City is projected to have between $11-$14 million of non-voted capacity remaining following the issuance of Justice Center Bonds in 2021(1)

Using LTGO capacity will leave limited flexibility to fund other projects and for emergencies (i.e. repairs), but available capacity will grow as debt is paid off and if property values continue to increase

The City may finance the Justice Center Bonds with several repayment sources:

• Budget expenditure reductions

• Contracted bed revenues (subject to agreements with other jurisdictions)

• Existing criminal justice sales tax

• (Voter approved) public safety sales tax

• (Voter approved) excess property tax levy

• “Banked” capacity

Allowing for a 1.0% interest rate cushion, financing $60 million of project costs is expected to result in annual debt service payments between $3.33 million and $3.62 million (depending on the term)

(1) The City may have an additional $5.1 million in debt capacity if no draws are taken on the 2019 Bond

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PFM Financial Advisors LLC1200 Fifth Avenue | Suite 1220 | Seattle, WA 98101

Thomas Toepfer, Director(206) 858-5360 | [email protected]

Steven Amano, Senior Analyst(206) 858-5366 | [email protected]

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CITY COUNCIL ITEM F

CITY OF LYNNWOOD

City Council

TITLE: Break

DEPARTMENT CONTACT: Christiine Frizzell, Council President


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CITY COUNCIL ITEM G

CITY OF LYNNWOOD

City Council

TITLE: Continue Discussion Regarding Council Executive Assistant Position



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CITY COUNCIL ITEM H

CITY OF LYNNWOOD

City Council

TITLE: Executive Session, if needed



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CITY COUNCIL ITEM I

CITY OF LYNNWOOD

City Council

TITLE: Mayor Comments and Questions



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CITY COUNCIL ITEM J

CITY OF LYNNWOOD

City Council

TITLE: Council President and Council Comments



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CITY COUNCIL ITEM M-1

CITY OF LYNNWOOD


TITLE: Contract Amendment Wastewater Treatment Plant Secondary Clarifier Repairs

DEPARTMENT CONTACT: Cathy Robinson, Interim Procurement Manager

SUMMARY:

The Wastewater Treatment Plant requires repairs. Aqua Tech LLC was awarded a contract to provide repair services for the City. The current contract will be increased for additional repairs and sales tax.

ACTION:

Authorize the Mayor to execute contract amendment #1 with Aqua Tech LLC for Secondary Clarifier repairs for a new contract total of $281,932.84, including sales tax.

BACKGROUND:

The City solicited bids from the Small Works Roster and awarded a contract to the lowest responsible bidder.

FUNDING:

The funding for these services are included in the currently adopted biennium budget.


Approve


Description: Type:

Procurement Report Backup Material

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Procurement Report #3151 – WWTP Secondary Clarifier Repairs

Purpose of Change Order to Contract: Due to Wastewater treatment plant operations, emptying all four tanks, entering and taking accurate measurements was not possible at the time of preparing the solicitation. The shear pin hub assembly was initially manufactured with a 3/4 of an inch pilot. The change order includes additional work to adjust the size of the pilot shafts to match the existing gear assembly of 2-7/8 of an inch. The change order also includes sales tax omitted from the original contract amount.

Estimated Cost: Original Contract Amount: $249,200.00. Revised Contract Amount: $281,932.84, which includes additional work and sales tax.

Advanced Planning: The City solicited work via an ITB on September 9, 2019 with an award to Aqua Tech LLC for the lowest responsible bid of $249,200.00. A contract between the City of Lynnwood and Aqua Tech was fully executed on October 18, 2019.

Method of Procurement: Invitation to Bid (ITB) via the MRSC Small Works Roster

Type of Contract: Services Contract

Term of Contract: Completion and acceptance of the project.

Solicitation: ITB 3151

Record of Negotiation: Acceptance of Lowest Responsible Bid

Recommended Action: Approve Change Order No. 1 with Aqua Tech LLC , for the Secondary Clarifiers project at the wastewater treatment plant, in the amount of $32,732.84 for additional work and sales tax, for a new contract total of $281,932.84

Procurement Officer: Stan Hernandez Date: February 13, 2020

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CITY OF LYNNWOOD

Public Works

TITLE: Construction Contract Award: 2020 Pavement Rehabilitation and Preservation Project

DEPARTMENT CONTACT: David Mach and Nick Barnett

SUMMARY:

The purpose of this agenda item is to contract with Granite Construction Company for the 2020 Pavement Preservation Project. A request for authorization will cover the bid amount of $1,694,742.50 and a

construction contingency. This request is to cover pavement and ramp construction along 68th Ave W (from

approximately 202nd St SW to 196th St SW) and various residential street repair during Summer 2020. This project includes improvements for pavement through full depth repair and mill and overlay. This project also includes curb ramps, pedestrian push buttons, pedestrian signals, and plastic pavement markings.

ACTION:

Authorize the Mayor to enter into and execute on behalf of the City, a contract with Granite Construction Company not to exceed a total contract value of $1,804,000.

BACKGROUND:

The 2017-2022 Pavement Preservation & Rehabilitation Program is a 6-year paving program which covers both design and construction activities focused on preserving the City’s pavement structure and integrity based on the monitored Pavement Condition Index and backlog. In 2018, construction of a chip seal project was completed on 12 lane-miles of roadway through this Program. In 2019, construction was completed

along 188th St SW and a residential cul-de-sac (51st Pl SW) using a combination of full-depth repair and grind and overlay.

This year’s construction project was developed based on an assessment of pavement conditions throughout City of Lynnwood, evaluation of requirements to rehabilitate specific locations and a need to improve existing curb ramps to meet current ADA requirements. The selected street locations include one arterial

(68th Ave W) along with various residential cul-de-sac bulbs that were chip sealed in 2018 and have been unraveling due to turning vehicles in the bulbs. Future chip seal projects will not use this product in high turning areas, like cul-de-sac bulbs. This Project will also include activities to replace bike lane striping

along 188th St SW.

PREVIOUS COUNCIL ACTIONS:

Business Meeting June 10, 2019 90.1-A Construction Contract Award: 2017-2022 Pavement Preservation & Rehabilitation Program – 2019 Overlay and Curb Ramp Project

Business Meeting February 25, 2019 90.1-A Final Acceptance: 2018 Chip Seal Paving Project

Business Meeting April 23, 2018 90.1-B 1) Construction Contract Award; 2) Consultant On-Call Construction Engineering Services Contract: 2017-2022 Pavement Preservation & Rehabilitation Program

Business Meeting July 24, 2017 90.1-N Consultant Contract: 2017-2022 Pavement Preservation & Rehabilitation Program

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Business Meeting April, 11, 2016 90.3-B 1) Ordinance and Financial Plan; 2) Contract: Pavement Management – System Ratings Project

FUNDING:

The project costs are consistent with and contained within the adopted 2019-2020 biennial capital budget. The revenues contributing to Fund 360 for the $1,804,000 originate from the following funds:

• Fund 412, Utilities: $63,000• Fund 150, Transportation Benefit District: $1,741,000

KEY FEATURES AND VISION ALIGNMENT:

The Lynnwood Community Vision states that the City is to “be a welcoming city that builds a healthy and sustainable environment.”

The 2019 Overlay and Curb Ramp project supports that vision and results in an important improvement to the City’s infrastructure that links City of Lynnwood programs, policies, comprehensive plans, mission, and ultimately the Community Vision. This project provides improved streets along with accessible pedestrian amenities and ramps which support the goals of being a welcoming city that builds a healthy and sustainable environment; investing in efficient, local and regional transportation systems; and being responsive to the wants and needs of our citizens.


Description: Type:

Bid Results Summary Backup Material

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PROJECT NAME: 2020 Pavement Preservation Project READER: Marcie MacQuarrie

DATE OF OPENING: 2/26/2020 RECORDER: Ashley Tillery

TIME OF OPENING: 2pm BID #: 3161

ENGINEER'S ESTIMATE: $2,159,359.00 CONTRACT: 3161

BIDDING COMPANY ADDRESS BID SIGNED ADDENDUMS PROJECT TOTAL

SECURITY OFFER RECEIVED 1 BASE BID

1

Cadman Inc Redmond, WA

x x

1,885,480.70$

2

Granite Construction Company Everett, WA x x 1,694,742.50$

3

JB Asphalt Edmonds, WA x x 1,966,114.00$

4

Lakeside Industries Inc Monroe, WA x x 2,227,520.50$

5

Colacurrcio Brothers Construction Inc Blaine, WA x x 1,724,196.00$

6

Award Construction Inc Ferndale, WA x x 1,849,930.50$

7

8

9

10

Note: The following Bid results are for Contractor information only. These results will undergo further review by Lynnwood in

determination of award to the lowest responsive and responsible bidder.

BID RECORDING FORM

EXCEL/BIDS98 Page 1

I:\CAPITAL PROJECTS FILES\PAVEMENT MGMT\PWPM010017-2017-2022 Pavement Program\1.0 PM\1.8 Docs for Construction\2020 Pavement

Preservation Project\Bid Recording 2-26-20

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PROJECT NAME: 2020 Pavement Preservation Project READER: Marcie MacQuarrie

DATE OF OPENING: 2/26/2020 RECORDER: Ashley Tillery

TIME OF OPENING: 2pm BID #: 3161

ENGINEER'S ESTIMATE: $2,159,359.00 CONTRACT: 3161

BIDDING COMPANY ADDRESS BID SIGNED ADDENDUMS PROJECT TOTAL

SECURITY OFFER RECEIVED 1 BASE BID

Note: The following Bid results are for Contractor information only. These results will undergo further review by Lynnwood in

determination of award to the lowest responsive and responsible bidder.

BID RECORDING FORM

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12

13

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EXCEL/BIDS98 Page 2

I:\CAPITAL PROJECTS FILES\PAVEMENT MGMT\PWPM010017-2017-2022 Pavement Program\1.0 PM\1.8 Docs for Construction\2020 Pavement

Preservation Project\Bid Recording 2-26-20

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CITY OF LYNNWOOD

Parks, Recreation, & Cultural Arts

TITLE: Naming Request: Interurban Car 55 at Heritage Park

DEPARTMENT CONTACT: Sarah Olson, Lynn D. Sordel, Fred Wong

SUMMARY:

The Parks, Recreation & Cultural Arts Department proposes renaming the Interurban Trolley Car #55 to the

"Spirit of Walter V. Shannon." This request for an eponym was initiated by long-time trolley docent and

History & Heritage board member Gary Rogers and subsequently recommended by both the History &

Heritage and Parks & Recreation boards. If approved, this name will be formalized in the 2020 History

Month Proclamation and unveiled at the History & Heritage Day Open House on June 13, 2020.

POLICY QUESTION(S) FOR COUNCIL CONSIDERATION:

Should the Council approve the honorary renaming of a park facility, the Interurban Trolley Car #55?

ACTION:

Approve staff to formally name the Interurban Trolley Car #55, "Spirt of Walter V. Shannon" and paint the

name on the forward compartment of the trolley.

BACKGROUND:

In January 2020, the History & Heritage Board received a request to honor Mr. Walter Shannon's

contribution on the City of Lynnwood and Heritage park eponymously by giving Car #55 the name, "Spirit

of Walter V. Shannon." The Board recommended this request be advanced and the Parks & Recreation

Board discussed the request at their March 4, 2020 meeting in which they unanimously approved the matter

be recommended to the City Council per the Public Parks and Parks and Recreation Facilities Guidelines for

Naming Policy.

Mr. Walter Shannon was a motorman for the North Coast Transportation Company that operated the

Interurban Trolley Service between Everett and Seattle. Through Mr. Shannon's professional life and

retirement, he became an historian of the Interurban trolleys collecting photos and artifacts and served the

City of Lynnwood as a restoration consultant to accurately restore Car #55 which is now on display at

Heritage Park. Mr. Shannon's wealth of knowledge contributed to restoration of the Car, development of our

docent program and materials for use in interpretive boards about the Interurban Trolley line, as well as

donated several key items to the restoration including a working bell.

Since Mr. Shannon's passing in 2003, his daughter and son-in-law, Jeanne & Gary Rogers, have been trolley

docents at Heritage Park helping to interpret the area's history and share information about trains and the

Interurban Trolley cars of the early 20th century. The trolley is one the iconic structures at Heritage Park and

serves as a signature interpretive feature of the City's history.

If approved, staff will make this name official as part of the annual History Month Proclamation in May as

well as unveil the new name at the June History & Heritage Days Open House scheduled for Saturday, June

13, 2020.

FUNDING:

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Healthy Communities Program budget will be used for this project which is anticipated to be approximately $200 in supplies and labor.


Approve naming request.


Description: Type:

Trolley Naming Request Backup Material

Park Facility Naming Guidelines Backup Material

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January 14, 2020

History and Heritage Board Members:

Proposal: Name Interurban Car 55 "Spirit of Walter V Shannon"

My name is Gary Rogers and I am the son-in-law of the late Walter V Shannon. Mr.Shannon was an employee of the North Coast Transportation Co. which operated theInterurfaan trolley and bus lines between Bellingham, Mt Vemon, Everett and SeattleWashington. During most of his career with North Coast Lines he was a Motorman andBus Driver. Besides performing his duties while employed by the NCL, and in hisretirement, he was a historian and collector of photos, documents and artifacts of theInterurban back to its start of its service in 1910. When the Interurban discontinuedoperations in Febmary of 1939 Mr. Shannon drove buses for the same company andsubsequently Greyhound until 1955.

When Interurban car 55 was restored by the city of Lynnwood, Mr. Shannon wasconsulted by the restoration contractor to assure accuracy of the restoration. He alsodonated a bell, number box and controller to the project which are installed on car 55.After Mr. Shannon passed away in 2003, his daughter Jeanne Rogers became Executorof his estate. In honor of her father's love and dedication to keep the history of theinterurban alive she organized a car 55 volunteer restoration committee consisting ofretired railroad workers and volunteered to become a Decent at Heritage Park whereInterurban Car 55 is on display. Most of the pictures telling the story of the Interurbanon the wall inside the trolley barn at Heritage Park are from Mr. Shannon's collection.

I'm submitting this letter to the History and Heritage Board of Lynnwood to endorse thisformal request that Interurban Car number 55 be named "Spirit of Walter V Shannon".Mr. Shannon's family would cover ail cost to have his name scripted in 3 inch letters oneach side dose to front of the car (example below). I respectfully request that thisproposal be forwarded to the proper Lynnwood c'rty officials if necessary to obtainapproval.

Sincerely,Gary RogersHistory and Heritage Board MemberDocent Interurban Car 55

SfaWt 0^ 'WfiStW^/ S^iMWM

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Documents

LYNNWOOD Date: Monday, March 16, 2020 CITY COUNCIL ......Evan Chinn SUMMARY: Otmane Riad has applied for the Diversity, Equity and Inclusion Commission. He interviewed with Mayor Smith