With elections over, Spokane Valley City Council, as its first item of business, addressed its state legislative agenda. Its policy proposals are:

• Support a commonsense and meaningful approach to public safety policies that protect lives and property and do not erode trust in government. revisit public safety policies, particularly related to the crime of possession of a controlled substance, restrictions on vehicular pursuits and increasing investment in alternative response teams.

• Remove barriers to the construction of housing. Revise condominium liability regulations, provide tax incentives, and apply common sense to the state energy and building codes on the cost of construction.

• Amend state law regarding municipal utility taxing authority. Clarify the circumstances under which it is legal for a municipality to impose utility taxes on revenues from a county wastewater treatment system.

• Requesting changes to the Growth Management Act relating to local flexibility, a change to municipal utility taxing authority, and removing barriers to the construction of housing.

• Continue commitment to defending local control and protecting and enhancing local state-shared revenues.

• Respect local decision-making especially management of right-of-way and land use decisions.

• Provide tax relief. With current revenue surpluses, don’t spend it all.

The motion to adopt the City’s legislative agenda passed unanimously.
 

In 2017 the City retained Retail Strategies, a marketing recruiter, to assist in attracting retail businesses to Spokane Valley. Ms. Brookley Valencia and Mr. Scott vonCannon reviewed their activities on the City’s behalf including their successes, future retail pursuits, and current market trends together with discussions with local developers and brokers. The goals of this program are to maximize use of our resources, increase tax revenue, create jobs, and enhance quality of life. Marketing efforts continue.
 

In October 2021, Council began discussing withdrawing from the City of Spokane Tourism Promotion Area (TPA) and forming its own. The City formally terminated its participation in the Spokane County Regional TPA on October 26, 2021, effective December 31, 2022. From August through September of this year City staff and Valley hoteliers worked together to establish the City-wide TPA which Council adopted on September 20th. It will take effect January 1, 2023, The plan for moving forward is currently being formulated.
 

Dan Domrese, City Accounting Manager, presented plans to update the City’s petty cash policies to increase the amounts of cash available at CenterPlace while decreasing the amount available at the City Hall front desk. Consensus was unanimous to place the item on a future agenda.

As part of the Annual Comprehensive Plan Amendment cycle (CPA), for 2022, proposed amendments made prior to November 1st are listed (docketed) for council action. The single item on the docket is:

File No. : CPA-2023-01  Land use map

Applicant:  City

Description: Change land use designation and zoning for 5 parcels totaling 29.51 acres from Single Family Residential 

& Neighborhood Commercial to Parks and Open Space Consensus was reached to move the docket  forward for action.
 

As a contract city, Spokane Valley has contracted with Senske Services for most of its Parks System Maintenance needs since 2005. The contract(s) is competitively bid with each contract having been awarded to Senske. With escalating costs, that process is being re-examined for cost savings. Those changes will be considered as bids are entertained in 2023.
 

In July 2021, the City contracted with a consultant to design the Balfour Park Expansion. It was to be completed in two phases with Phase 1 to include excavation and grading, water, electric and sewer utilities, some of the park pathways and lighting, some landscaping/irrigation and a new restroom building at an estimated cost of $3.1 million. When bids were entertained, they came in at an unacceptable amount of over $5 million. The project has been on hold pending cost-saving cuts. Consensus was reached to authorize staff to finalize a construction contract with agreed reductions in scope and costs. Discussion on costs and scope continue pending the new round of bids.
 

Negotiations have been completed with Spokane County and the Sheriff’s Office on a new 5-year contract, January 1, 2023-December 31,2027, for Police Services in Spokane Valley. While the list of changes is too long to publish here, it can be found in complete form at www.spokanevalley.org. The salient points are outlined below. The most controversial area of the old contract was staffing. That issue is addressed:

• The Sheriff shall provide a quarterly list of commissioned officer positions for the entire Sheriff’s Office showing filled and unfilled positions as well as whether any filled position is still in training.

• The Sheriff and City Manager shall together decide how best to fill current and upcoming vacancies in a manner that is reasonable and fair to each party.

• The Sheriff can only remove the Police Chief for just cause and must consider a formal response from the City Manager. (Requested by Sheriff’s Office)

• The City staff will participate in the Sheriff’s Office Strategic Planning Session.

• Notification requirement now applies to any shift of officers between units or changes in ranks within units regardless of changes to total number of officers.
 

The City’s 2023 budget for Law Enforcement is $27,151,157. Council reached unanimous consensus to move for approval at its next meeting.
 

One of the City’s standing committees is the Governance Manual Committee. The Governance Manual is the rulebook for how the Council conducts its business. At several of its meetings the Committee discussed changes and have arrived at a suggested list:

• Generally, the Manual follows Roberts Rules of Order with local modifications. In the event that the Manual and Roberts Rules conflict, the Manual prevails.

• Retain the “Three Touch” principle. Changes to City Code and like legislation require three Council considerations prior to adoption.

• Formal meetings: Remove the second opportunity for public comment.

• Study Session meetings: Allow a public comment opportunity. (there is none currently)

• Public Comments: Provide for remedies when public comments disregard the decorum of the meeting. 

• Remote participation by a councilmember: Such participation is updated to include ZOOM or other electronic devices that adequately serve the purpose. However, remote participation in an executive session is not permitted.

• Expense reimbursement: A new system of expense reimbursement to facilitate record keeping for travel and ancillary expenses is proposed.

• Executive Sessions: Executive sessions are intended for the conduct of City business which, if open to the public, might offer opportunities for actions disadvantageous to the City. Participants in executive sessions are charged with keeping proceedings in the meeting confidential. A breach of that confidentiality is a breach of trust. The committee is recommending that penalties be prescribed for such a breach. NOTE: This item was postponed for future consideration.
 

Consensus was reached to place the item on the next agenda.
 

City Hall is open for business during normal business hours. The Public is invited to participate in action items or public comment periods in person or via ZOOM. Call 509-720-5000 or www.spokanevalley.org prior to 4:00 p.m. for access instructions

 

After proclamations on Small Business Saturday and Veterans Day, Council conducted a public hearing on its Community Development Block Grant (CDBG) project submittal. The City is a member of the CDBG consortium which receives HUD funding for Spokane County. In this agreement, the City has an automatic set-aside but must apply for its grant under the program. This year, two sidewalk projects were identified for application: 1) 4th Avenue-Eastern Road to Catherine Johnson Apts.; $420,000 and 2) Progress Road-Mission to Broadway; $520,000. Council selected #1 as its priority application for a grant. This public hearing was conducted to solicit public comment on Council’s selections and priorities.
 

The public hearing was immediately followed by Council moving to support the selection of option #1 being the priority option followed by selection #2 as the second priority. The motion to approve the selections as listed passed unanimously.
 

That action was followed by a second public hearing on the City’s 2023 Budget. This hearing was the seventh of eight actions on the budget enroute to final adoption. 
 

The next item of business was the second reading of Ordinance 22-022 amending the 2022 Budget. Since the May 31st, 2022, budget amendment, (the last Council action dealing with the 2022 budget) events have transpired in the normal course of operations that necessitate a second 2022 Budget Amendment. Those changes affect 16 funds resulting in total revenue increases of $8,839,854 and decreases in expenditures of $8,318,416. The affected accounts and balances are covered in Ordinance 22-022. Specific numbers and accounts can be found on the City’s website: www.spokanevalley.org. The motion to approve Ordinance 22-022 passed unanimously.
 

On October 25th, the City Manager presented the City’s 2023 Preliminary Budget (Ordinance 22-023) for Council consideration. That was the fourth of eight budget reviews enroute to final passage.
 

The City budget has two salient parts. Like any business, financial wellbeing depends on cash flow. In City parlance that is demonstrated by: 1) Recurring revenues and expenditures which are the normal sales and property tax collections, paired against the regular expenses of conducting City business, i.e., Public Safety, and 2) Non-recurring expenses such as capital projects like the acquisition of police vehicles or permanent park facilities. 
 

Non-recurring revenues and expenses have largely recovered from the impact of COVID-19. However, the City’s finances are undergoing a new challenge: INFLATION. 

The City’s stable financial condition highlights the consistently prudent management of its revenues and the continuing commitment to fiscal responsibility. That commitment is reflected in the proposed 2023 budget.* Moody’s bond rating service has awarded the City an Aa1 rating, an advancement over last year’s Aa2 rating, which was at that time the highest rating a city of our size could achieve.
 

The City’s full-time employee count will increase in 2023 by 2 to 105.25. 
 

The recurring revenue estimate for 2023 of $56,418,900 is 2.26% greater than the amended 2022 budget of $55,173,500.

The 2023 proposed recurring expenditure total of $52,726,223 is 5.33% greater than the 2022 amended appropriation of $50,058,688.

Budgeted recurring revenues will exceed recurring expenditures by $3,692,677 or 6.55% of recurring revenues.

The motion to approve Ordinance 22-023 adopting the City’s 2023 Budget passed unanimously.

*A more detailed breakdown of this budget analysis can be found at www.spokanevalley.org/agendas
 

A recent street vacation request triggered an analysis of how the City wishes to conduct and pay for property vacations, i.e., should the City be reimbursed for all vacations (yes); should the costs of vacations initiated by the City be borne by the City (yes), should citizen-initiated vacations be paid entirely by the applicant with no administrative fee deduction (yes), and is the formula for compensation fair and accurate (yes, so long as all participants are informed) and the value of property transferred by privately initiated application will be the value assigned by the County Assessor as required by state law. 
 

Resolution 22-020 accomplished all of those concerns and established the City’s process pursuant to state law. Motion to adopt Resolution 22-020 passed unanimously.
 

The City manages its Stormwater Utility Program pursuant to various laws and regulations from the state and county. That program is funded through the collection of 1) Storm and Surface Utility (Utility) fees from developed parcels located within the City, and 2) the Spokane County Aquifer Protection Area (APA) fee.
 

The Utility fee is and has been since 2003 $21 per year on single family residences, duplexes, triplexes, and fourplexes. All other developed property is charged $21 for every 3,160 square feet of measured impervious surface area. The Utility fee will generate about $1.9 million in 2022 for the City. 

The APA fee is imposed on each water meter within the City by meter size. That fee is collected by the County and reapportioned among the various participating municipalities. The fee is expected to generate $460,000 for the City in 2022.
 

The City has recently developed a comprehensive stormwater plan to establish goals, strategies, and solutions for compliance with permit requirements and a sustainable plan for future compliance. This study identified two Levels of Service (LOS), Minimum Required and Pro-Active. Public input was solicited and received for guidance. The Minimum Required LOS would increase the Stormwater Utility Rate by $24 per year to $45. The Pro-Active LOS, if adopted, would increase the rate by $37/year to $58. 
 

The problem facing the City is the Department of Ecology’s (DOE) requirements for stormwater disposal. A majority of Councilmembers felt that adoption of the Minimum rate would place the City in arrears in a short time having to play catch-up with DOE’s changing requirements. With the current inflationary economic situation, this is not an easy choice, however, state regulations leave the City little choice. Therefore, Council has chosen to adopt the Pro-Active level of service going forward. The motion to adopt the Pro-Active level of service effective January 1, 2023, passed 5-2.
 

The above policy change requires amending City Code to conform to requirements of the Spokane Regional Stormwater Manual, National Pollutant Discharge Elimination System Phase II Municipal Stormwater Permit and DOE Underground Injection Control Program. The City must adopt an ordinance by February 3, 2023 that prohibits illicit discharges on public and private properties and authorizes enforcement actions.
 

The Lodging Tax Advisory Committee (LTAC) met on October 20 to review and allocate lodging tax funds collected by hoteliers to benefit attracting tourists to visit and stay in Spokane Valley. That committee consists of five members: two from businesses required to collect the tax, two from businesses in activities authorized to be funded by the tax, and one City Councilmember who acts as the committee chair. There were 16 applicants for the $871,000 available 2023 funds. The distributions were as follows:

Applicant for 2% Tax;  Request; Award

• All Wheels Swap Meet; 6,000; 4,800

• CNC Productions; 10,000; 7,500

• Cody Productions; 10,000; 6,500

• Family Guide; 16,000; 7,000

• Filipino-American NW Assn.; 26,140; 9,000

• Hatch Advertising; 50,010; 17,002

• HUB Sports Center; 55,000; 55,000

• JAKT-Crave; 60,000; 35,000

• JAKT-Farmers Market; 26,000; 11,000

• N American Talk; 40,000; 0-

• NW Winterfest; 55,000; 33,000

• Spokane County Fair & Expo Center; 100,000; 73,000

• Speed & Custom Productions LLC; 10,000; 8,000

• Spokane Valley Summer Theatre; 25,000; 24,000

• Valleyfest; 30,000; 14,800

• Valleyfest Cycle Celebration; 5,000; 4,100

Total; 524,150; 309,702
 

The 1.3% Lodging Tax Fund, specifically for capital projects to attract hotel guests, saw two actions: 1) The fund had an allocation for the City for $3.5 million for an addition to an expo building at the Fairgrounds. The original estimated price was $10 million, however, inflation escalated construction costs to $14 million at which time the City chose not to pursue the project and returned the $3.5 million to the Lodging Tax Fund. 2) In the meantime, the Spokane County applied for $3,250,000 for improvements to the Spokane Indians’ ballpark. $2,000,000 was awarded.
 

City Hall is open for business during normal business hours. The Public is invited to participate in action items or public comment periods in person or via ZOOM. Call 509-720-5000 or www.spokanevalley.org prior to 4:00 p.m. for access instructions

 

This Spokane Valley City Council study session opened with a proclamation of November being Native American Indian Heritage Month.
 

There was one actionable item on the agenda. Each year during the holiday season, Council sets the holiday schedule for its employees at City Hall. The Thanksgiving schedule will close City Hall and CenterPlace at noon Wednesday, November 23rd and the entire day on Friday, November 25th.
 

With Christmas day falling on a Sunday, that holiday will be observed on Monday, December 26th. However, City Hall will also be closed on Friday, December 23rd, to allow staff to prepare for the Christmas festivities. Motion to make it so passed unanimously.
 

In a presentation of an overview of Spokane Regional Emergency Services (SREC), Assistant Police Chief Kevin Richey and Deputy City Manager Eric Lamb covered the mission, history, and service delivery of the organization. SREC was formed in 2019 to improve the county’s emergency service operations and to prepare for advancing technology. 

• It answers emergency and non-emergency calls.

• Manages GIS data to ensure accuracy of critical response.

• It has 23 radio sites, redundant networking core, and a backup communications center.

• Provides support for 4,911 field radios.

• Has processed 5,028 records requests year-to-date.

• Has currently 105 filled positions (137 authorized).

Members and partners include:

• Airway Heights fire and police

• Cheney fire and police

• EWU police 

• Kalispel Tribe Public Safety

• Liberty Lake police

• Spokane County Sheriff

• Spokane County Fire Districts 1,2,4,5,8,9,10,11,12, and 13

• Spokane Fire Department

• Spokane Valley police
 

There is confusion on whether to call Crime Check or 911 to report an incident. Generally, a citizen should call Crime Check:

• To report a crime no longer in progress

• As a victim or witness to a previous crime

• Information about a previous crime

• To add information to an existing crime report
 

911 should be called if/when there is an immediate threat or danger to persons or property. When making a call to 911, share your location and phone number; clearly state your emergency; be prepared to answer questions and follow instructions; if anything changes, be prepared to call back to update.

With recent changes in the Community and Public Works Department, the position of Engineering Manager was left unfilled. In advertising the vacant Engineering Manager position internally, two very well qualified applicants emerged causing a reevaluation of the position. In examining the position requirements, it has been determined that with the current workload and backlog of projects, the position of Engineering Manager should be split into two positions. 
 

The proposed change shifts duties slightly. Both managers would become ‘working’ managers, meaning that each would not only supervise but also deal with individual projects. The proposed change would add one full time employee bringing the City’s total to 104.25. The consolidation will actually reduce the budgetary cost by $60,000 per year. Consensus to proceed with the proposed change was 6-1.
 

City Hall is open for business during normal business hours. The Public is invited to participate in action items or public comment periods in person or via ZOOM. Call 509-720-5000 or www.spokanevalley.org prior to 4:00 p.m. for access instructions.