HomeMy WebLinkAboutEXECUTED.Emerald Downs 2025 PILT MOU MIT.Auburn.KC2025 PILT -Emerald Downs. Property. - -
MEMORANDUM OF UNDERSTANDING
BY AND BETWEEN
KING COUNTY, CITY OF AUBURN
and
THE MUCKLESHOOT INDIAN TRIBE
. This 1V,Iemorandum. of tiTnderstanding-(her-einafter--"MOU"-) is entered into by and betwe®n K:ing County (the - --
"County"), City of Auburn (the "City") and the Muckleshoot Tribe (the "Tribe") as required by RCW
In consideration of the recitals set forth below and the mutual promises and covenants contained in this
Agreement, the County, the City, and the Tribe (collectively "the Parties") agree as follows:
Part 1. RECITALS
1.1 This MOU is the outcome of a good faith negotiation between the Parties for the purpose of
determining a 2025 payment in lieu of leasehold excise tax (hereinafter "PILT") for the Emerald Downs
property (the "Property"), more fully described in Section 1.4;
1.2 The Tribe expresses an interest in applying for a property tax exemption for the Property,
effective only for tax year 2025. The Tribe warrants that it is the sole merriber of Emerald Downs
Racing, LLC, and that Emerald Downs Racing, LLC is the present owner of the Property;
1.3 Before the Tribe may apply to the State Department of Revenue (the "DOW') for a property tax
exemption for tax year 2025, under RCW 82.29A.055, the County, the City and the Tribe are required to
enter into good faith negotiation to determine a payment in lieu of leasehold excise tax (PILT); and
1.4 The Property is currently identified by property tax account numbers: 122104-9002-06, 012104-
9020-072 000460-0039-081, 000460-0040-051,122104-9001-07, 000460-0001-029 158060-0152-0%
158060-0150-01, 158060-0200-01, 000460-0005-082 012104-9027-00, 012104-9047-06, 012104-9035-
00, 012104-9034-013,012104-9033-02, 4200-04328365.
PART 2. AGREEMENT
2.1. King County, the City and the Tribe have agreed to a methodology for the calculation of 2025
PILT. The 2025 PILT is calculated using the previous year's 2024 PILT amounts for each tax account
and adding 3.5 percent to each tax account to factor in the average value change in Auburn commercial
properties for the 2024 assessment year, as determined by the King County Department of Assessments.
1 (MOU King County - City of Auburn - Muckleshoot :Indian Tribe
2.2. The table below sets forth the calculation for the Property's 2025 PILT::
2025 Emerald Downs Properties
Auburn, WA.
PROPERTY TAX PROPOSED AMOUNT UPON
ACCOUNT NUMBER 2025 PILT (due 4/30/25)
122104900206 $170,066.22
012104902007 $60,446.75 .
. 000460003908 $6,952.76
_00046000400
122104900107 $8,702.16
000460000102 $152.35
158060015209 $7,709.98
158060015001 $56,526.83
158060020001 . $3,956.94
000460000508 $4,184:86
012104902700 $710.95
012104904706 $9.51
012104903500 $1,267.90
012104903401 $5,795.61
012104903302 $596.59 -
4200-04328365
(personal property) $14,027.70
Total PILT $ 348,22.4.27
2.3 This MOU is effective upon execution and shall terminate on September 30, 2025.
2.4. The Parties agree that any future PILT agreements will be negotiated separately from this MOU
and must be in writing.
2.5. This MOU is subject to DOR approval. If the DOR approves the Tribe's 2025 application for
property tax exemption, the Tribe agrees to pay the full amount of the 2025 PILT to King County on or
before April 30, 2025. Payment shall be made to King County Treasury, Attention: Treasury Manager,
2018 Jackson St, Rm. 710, Seattle, 'OVA 98104.
2.7. Consistent with state law, the County will distribute the payment to the local taxing districts,
including the City of Auburn, in the same proportion that each district would have shared if a leasehold
excise tax had been levied.
2.8. It is expressly understood and agreed by the Tribe, the City and the County that the parties intend
for this MOU to create a legally binding and enforceable obligation upon the part of all Parties.
2.9. Each signatory below warrants that they are lawfully authorized to sign this MOU on behalf of
the County, and Tribe, and the City, respectively.
20MOU King County - City of Auburn - Muckleshoot Indian Tribe
AGREED to and Signed the date set forth below our signatures
��September 13th, 2024
_ .King County Executive ---
Chair, M,tjtkle loot lndiain Tribe
Mayor, City of Auburn q)g
PR
q•3.zy
Date
August 19, 2024
Date
3JMOU King County - City of Auburn - Muckleshoot Indian Tribe