HomeMy WebLinkAboutItem VIII.B.3WASHINGTON
AGENDA BILL APPROVAL FORM
Agenda Subiect Date:
Resolution No. 3604 4/30/2003
Department: Attachments: Budget Impact:
Resolution 3604
Administrative Recommendation:
City Council adopt Resolution No. 3604.
Background Summary:
Resolution No. 3604 approves an Interlocal Agreement between Pierce County and the City of Auburn
regarding administering funds generated as a result of State of Washington SHB 2060.
CITY COUNCIL\RES 3604
L0505-3
A3.4, O3.11.3
Reviewed by Council & Committees: Reviewed by Departments & Divisions:
[] Arts Commission COUNCIL COMMITTEES: [] Building [] M&O
[] Airport [] Finance [] Cemetery [] Mayor
[] Hearing Examiner [] Municipal Serv. [] Finance [] Parks
[] Human Services [] Planning & CD [] Fire [] Planning
[] Park Board []PublicWorks [] Legal [] Police
[] Planning Comm. [] Other [] Public Works [] Human Resources
Action:
Committee Approval: []Yes []No
Council Approval: []Yes r-INo Call for Public Hearing /
Referred to Until / /
Tabled Until / /
Councilmember: Borden Staff: Krauss
Meeting Date: May 5, 2003 Item Number: VIII.B.3
_~iUBURN * MORE THAN 'YOU IMAGINED
RESOLUTION NO. 3 6 0 4
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF AUBURN, WASHINGTON, AUTHORIZING
THE MAYOR AND CITY CLERK TO EXECUTE
INTERLOCAL AGREEMENT BETWEEN PIERCE
COUNTY AND THE CITY OF AUBURN REGARDING
ADMINISTERING FUNDS GENERATED AS A
RESULT OF STATE OF WASHINGTON SHB 2060
WHEREAS, the Washington State Legislature passed Substitute House
Bill 2060 (SHB 2060) during the 57th Legislative session which became effective
on June 13, 2002; and
WHEREAS, SHB 2060 authorizes a ten dollar surcharge on certain
documents recorded with the auditors office for the purpose of providing funds for
affordable Iow-income housing; and
WHEREAS, the City of Auburn City Council and their counterparts in
Pierce County recognize that additional resources are needed to assist in the
development and preservation of affordable Iow-income housing; and
WHEREAS, it would be beneficial to both the City of Auburn and Pierce
County facilitate additional local housing, and it is appropriate for the City to enter
into an Interlocal Agreement with Pierce County to coordinate on increasing local
housing and policies to promote the same.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
WASHINGTON, HEREBY RESOLVES as follows:
Resolution 3604
April 29, 2003
Page 1
Section 1. That the Mayor and the City Clerk are authorized to execute
an Interlocal Agreement in substantial conformity with the Agreement attached
hereto, marked as Exhibit "A" and incorporated herein by this reference.
Section 2. That the Mayor is authorized to implement such administrative
procedures as may be necessary to carry out the directives of this legislation.
Section 3. That this Resolution shall take effect and be in full force
upon passage and signatures hereon.
Dated and Signed this __ day of ,, 200
CITY OF AUBURN
ATTEST:
PETER B. LEWIS
MAYOR
Danielle E. Daskam,
City Clerk
APPROVED A..,.S TO FpRM: /'~
City Attorney ~
Resolution 3604
April 29, 2003
Page 2
DPJtFT
INTERLOCAL AGREEMENT BETWEEN PIERCE COUNTY AND THE CITY OF
AUBURN REGARDING ADMINISTERING FUNDS GENERATED AS A RESULT OF
STATE OF WASHINGTON SHB 2060
THIS AGREEMENT is entered into this day by and between PIERCE COUNTY, a
political subdivision of the State of Washington (herein referred to as "COUNTY") and the
CITY OF AUBURN, a municipal corporation of the State of Washington (herein referred to as
"CITY").
WHEREAS, the Washington State Legislature passed Substitute House Bill 2060 (SHB
2060) during the 57th Legislative session which became effective on June 13, 2002; and
WHEREAS, SHB 2060 authorizes a ten dollar surcharge on certain documents recorded
with the auditors office for the purpose of providing funds for affordable low-income
housing; and
WHEREAS, the COUNTY and the CITY agree additional resources are needed to assist
in the development and preservation of affordable low-income housing; and
WHEREAS, the COUNTY and the CITY are required to develop an Interlocal
Agreement that is consistent with countywide and local housing needs and policies; and
WHEREAS, the parties are authorized to enter into such agreements by virtue of Chapter
39.34 RCW;
NOW, THEREFORE, in consideration of the terms and conditions contained herein, it is
mutually agreed by and between the COUNTY and the CITY as follows:
SECTION 1. PURPOSE. The purpose of this agreement is to provide for the
implementation of Substitute House Bill 2060 (SHB 2060) and to memorialize the
agreement between the parties relating to administration of the funds generated by the
bill.
COUNTY OBLIGATIONS. The COUNTY shall:
1. Collect the required revenue authorized by SHB 2060 and hold it in a single fund; and
2. Participate in activities in accordance with the attached SHB 2060 Guiding Principles, which
are attached to and incorporated by reference to this Agreement as Exhibit 1; and
3. Disburse funds to designated eligible recipients in accordance with the attached 2060
Guiding Principles; and
4. Provide an annual written summary of funds collected and expended under the terms of this
agreement to all parties.
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 1
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SECTION 3_ CITY OBLIGATIONS. The CITY shall issue a letter of consistency with
their current Comprehensive Land Use Plan for projects that are located within their
jurisdictional boundaries.
SECTION 4_ TERM OF THE AGREEMENT. This Agreement shall commence on
March 3, 2003, or the date of execution of this Agreement by City of Auburn, which ever comes
first, and terminate on the date that all funds have been disbursed after the Washington State
Legislature withdraws its funding for the program established by SHB 2060. This Agreement
shall automatically renew for one (1) year increments beginning January 1 and ending midnight,
December 31, unless terminated by giving ninety (90) days written notice to the other party.
SECTION 5. INDEMNIFICATION AND DEFENSE. The COUNTY shall defend,
indemnify, and save harmless the CITY, its officers, employees, and agents from any and all
costs, claims, judgments, or awards of damages, resulting from the acts or omissions of the
COUNTY, its officers, employees, or agents associated with this Agreement. In executing this
Agreement, the COUNTY does not assume liability or responsibility for or in any way release the
CITY from any liability or responsibility which arises in whole or in part from the existence or
effect of Substitute Housing Bill 2060, ordinances, rules, regulations, resolutions, customs,
policies, or practices. If any cause, claim, suit, action or administrative proceeding is
commenced in which the enforceability and/or validity of any such law, ordinance, rule,
regulation, resolution, custom, policy or practice is at issue, the CITY shall defend the same at its
sole expense, and if judgment is entered or damages are awarded against the CITY, the
COUNTY, or both, the CITY shall satisfy the same, including all chargeable costs and attorney's
service charges.
The CITY shall defend, indemnify and save harmless the COUNTY, its officers,
employees and agents from any and all costs, claims, judgments, or awards of damages, resulting
from the acts or omissions of the CITY, its officers, employees or agents associated with this
Agreement. In executing this Agreement, the CITY do not assume liability or responsibility for
or in any way release the COUNTY from any liability or responsibility which arises in whole or
in part from the existence or effect of COUNTY ordinances, rules, regulations, resolutions,
customs, policies, or practices. If any cause, claim, suit, action, or administrative proceeding is
commenced in which the enforceability and/or validity of any such COUNTY ordinance, rule,
regulation, resolution, custom, policy, or practice is at issue, the COUNTY shall defend the same
at its sole expense, and if judgment is entered or damages are awarded against the COUNTY, the
CITY, or both, the COUNTY shall satisfy the same, including all chargeable costs and attomey's
service charges.
SECTION 6. NO THIRD-PARTY BENEFICIARY. The COUNTY does not intend
by this Agreement to assume any contractual obligations to anyone other than the CITY, and the
CITY does not intend by this Agreement to assume any contractual obligations to anyone other
than the COUNTY. The COUNTY and the CITY do not intend that there be any third-party
beneficiary to this Agreement.
DRAFT
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 2
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SECTION 7. NON-DISCRIMINATION. The COUNTY and the CITY certify that
they are Equal Opportunity Employers.
SECTION 8. ASSIGNMENT. Neither the COUNTY nor the CITY shall have the right
to transfer or assign, in whole or in part, any or all of its obligations and rights hereunder without
the prior written consent of the other Party.
SECTION 9. NOTICE. Any formal notice or communication to be given by the
COUNTY to the CITY under this Agreement shall be deemed properly given, if delivered, or if
mailed postage prepaid and addressed to:
City of Auburn
25 West Main
Auburn, Washington 98001
Any formal notice or communication to be given by the CITY to the COUNTY under this
Agreement shall be deemed properly given, if delivered, or if mailed postage prepaid and
addressed to:
Pierce County Department of Community Services
8815 South Tacoma Way, Room 202
Lakewood, WA 98499-4588
Attention: Director
The name and address to which notices and communications shall be directed may be
changed at any time, and from time to time, by either the CITY or the COUNTY giving notice
thereof to the other as herein provided.
SECTION 10. COUNTY AS INDEPENDENT CONTRACTOR. COUNTY is, and
shall at all times be deemed to be, an independent contractor. Nothing herein contained shall be
construed as creating the relationship of employer and employee, or principal and agent, between
the CITY and COUNTY or any of the COUNTY's agents or employees. The COUNTY shall
retain all authority for rendition of services, standards of performance, control of personnel, and
other matters incident to the performance of services by COUNTY pursuant to this Agreement.
Nothing in this Agreement shall make any employee of the CITY a COUNTY employee
or any employee of the COUNTY a CITY employee for any purpose, including, but not limited
to, for withholding of taxes, payment of benefits, worker's compensation pursuant to Title 51
RCW, or any other rights or privileges accorded COUNTY or CITY employees by virtue of their
employment.
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 3
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SECTION 1 l. WAIVER. No waiver by a party of any term or condition of this
Agreement shall be deemed or construed to constitute a waiver of any other term or condition or
of any subsequent breach, whether of the same or a different provision of this Agreement.
SECTION 12. ENTIRE AGREEMENT. This Agreement contains all of the
agreements of the Parties with respect to any matter covered or mentioned in this Agreement and
no prior or other agreements shall be effective for any purpose.
SECTION 13. AMENDMENT. Provisions within this Agreement may be amended
with the mutual consent of the parties hereto. No additions to, or alteration of, the terms of this
Agreement shall be valid unless made in writing, formally approved, and executed by duly
authorized agents of both parties.
SECTION 14. NO REAL PROPERTY ACQUISITION OR JOINT FINANCING.
This Interlocal Agreement does not provide for the acquisition, holding or disposal of real
proPerty. Nor does this Agreement contemplate the financing of any joint or cooperative
undertaking. There shall be no budget maintained for any joint or cooperative undertaking
pursuant to this Interlocal Agreement.
SECTION 15. FILING. Copies of this Interlocal Agreement, together with the
resolution of the Pierce County Council and the CITY Council's approving and ratifying this
Agreement, shall be filed with the CITY Clerk, the Pierce County Auditor, and the Secretary of
State of Washington after execution of the Agreement by both parties.
SECTION 16. SEVERABILITY. If any of the provisions contained in this Agreement
are held illegal, invalid or unenforceable, the remaining provisions shall remain in full force and
effect.
IN WITNESS WHERE OF, the parties have caused this Agreement to be executed on this
day of ,20__.
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 4
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Approved as to Form:
PIERCE COUNTY
DEPARTMENT DIRECTOR
Date
DEP. PROSECUTING ATTY
(as to form only)
Date
BUDGET AND FINANCE
Date
COUNTY EXECUTWE
(if over $250,000)
Date
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 5
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EXHIBIT 1:
DRAFT
Attachment to ~qHB 2060-lnterloeal A.reement.
PIERCE COUNTV 2060 COMMITTEE
Guiding Principles for lnterlocal Agreement
Introduction
The provisions of Substitute House Bill 2060 became law in Washington State on June 13, 2002.
The law created a document recording fee on certain documents to be utilized for low-income
housing. Administration of the fund is shared between local governments and the State. The
local portion of 2060 funds is to be administered pursuant to an Inteflocal Agreement between
the County and the Cities and Towns within the Countyl
A 2060 Planning/Implementation group was invited to come together to produce guidelines for
the use of the Pierce County 2060 funds. The Pierce County 2060 group was made up of
representatives of Cities and the County.
As constructed by the Planning/Implementation Committee this plan provides:
· :' Flexible funding to address all eligible activities within the law; and
Funding stability for jurisdictions and opportunities for both urban and rural communities;
and
Operation and maintenance funding for our community's emergency shelter system; and
The opportunity to plan strategic investments in housing through a regional approach.
It is the intent of the Pierce County 2060 Planning/Implementation Committee to provide the
following Guiding Principles to the designated Steering Committee for the implementation of
SHB 2060. It is recognized that the Steering Committee shall be charged with the responsibility
of developing policies and procedures that meet the intent of these guiding principles.
A. Steering Committee
A 2060 Steering committee shall be established and meet semi-annually to distribute funding.
The Steering Committee shall be comprised of one (1) member from each of the three HUD-
CDBG Prime Sponsor federal jurisdictions in Pierce County. They are; the City of Tacoma, the
City of Lakewood and Pierce County. There will be four (4) at-large members appointed by the
Pierce County Association of Cities and Towns. This Committee shall always be composed of
an odd number of representatives in order to facilitate arriving at majority votes on projects.
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 6
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Review Committee
A 2060 Review Cormnittee shall be established to provide expert Project review & analysis for
all applications submitted for consideration. The Review Committee shall be comprised of One
(1) staff representative from each of the following: City of Tacoma, the City of Lakewood and
Pierce County.
C. Fund Availability
On a semi-annUal basis PCCS shall on behalf of Pierce County publish a Notice Of Funds
Availability (NOFA) through its established methods. This notice will set forth the amount of
funds available by category; the duration of funds to be awarded or distributed; the deadline
for submission of funding applications; and any other pertinent information related to the
process and or decisions.
Applications will be distributed to all parties requesting them and as appropriate Pierce
County will make copies of completed applications and/or distribute the accepted
applications to the Review and Steering Committee's for consideration.
The application format for 2060 funds shall be the same as is used by the State of
Washington, Housing Trust Fund or subsequently modified version(s) containing the same
detailed information.
D. Eligible Recipients
Eligible recipients of the funding from 2060 shall be Certified Non-Profit Agencies/Providers
of Affordable Housing, Cities, Towns, the County, and for-profit developers.
E. Fund Distribution
Operating and maintenance funds for local shelters:
Sixteen percent (16%) of the 2060 funds available in any given year shall be designated
for the operation and maintenance of local shelters. In view of Associated Ministries
historic role in serving as the conduit for funding targeted to local shelters it is
recommended that Associated Ministries serve in that same capacity for this fund source.
Therefore these funds would be transferred to Associated Ministries, the local provider of
the State Emergency Shelter Assistance Program to provide operating and maintenance
funds for local shelters.
Notice Of Funding Availability:
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 7
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The remaining 84% of the funds shall be included in the spring and fall NOFA process
addressing the categories of need enumerated herein:
Acquisition, rehabilitation and/or New Construction of housing projects or units
within housing projects that serve clients who have incomes at or below 50% of
the Median income, based on HUD income guidelines for the Pierce County-
Metropolitan Statistical Area (MSA).
Operating and maintenance costs for housing that is in compliance with SHB
2060. [Applicants shall be strongly encouraged to apply to the State Department
of CTED for these dedicated funds.]
Rental Assistance vouchers for housing projects or units within housing projects
that are at or below 50% of median based on HUD income for the Pierce County
MSA and administered by a local housing authority or other local organization
that has an existing rental assistance voucher program consistent with HUD
Section 8.
Availability of Applications:
Applications Available: March October
Applications Due:
Review Committee Meetings:
Steering Committee Meetings:
Decisions announced by:
Funds Available**:
April November
April November
May December
May December
May December
** (After Contracts/Agreements signed).
G. Reporting Requirements:
Recipients of the 2060 funding shall provide quarterly and annual reports detailing their use of
funds on a format acceptable to the Pierce County Department of Community Services.
Pierce County shall provide a written report detailing the uses to which the funds were put and
disseminate the same to all participating jurisdictions and participant/applicants on an annual
basis.
H. Terms and Conditions of Funding:
Funds for emergency shelter operations shall be provided through Associated_Ministries in the
form of a grant with no reversion of asset clauses. Further, Associated Ministries warrants that
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 8
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none of funds covered by this agreement will be expended for administration.
Funds that are provided for operation and maintenance shall be distributed in the form of a grant.
Funding provided to other agencies for acquisition, rehabilitation or new construction (capital
development) shall be distributed in the form of a Loan or Grant at the discretion of the Steering
committee. The reversion of assets clause for proposals funded in this category shall reflect an
amortization over a period of 25-50 years or as determined by the Steering Committee based on
project and need.
I. 2060 Project Review:
The 2060 Implementation Plan will be reviewed after the first full year's operation. The Steering
Committee, Review Committee, with input from non-profits and other interested parties, shall
review program operation and implement any appropriate changes.
J. Measurement System for Allocating Revenue:
The funding available in each round shall be determined by the amount collected in the fund on
the month ending prior to application availability less any prior funding commitments.
K. Default by 2060 Fund Recipient:
When it is discovered thru a recipient of funding from 2060 has misappropriated or misused
funds there shall be a penalty imposed. The restitution imposed shall be designed to insure that
the intended public benefit is preserved; that resources that were targeted to assist are recovered;
· and that the cost to the offending party is sufficient to deter similar acts. The specific amounts
will be set on a case by case basis.
L. Grievance Process:
Applicants who feel they have been treated unfairly in the process or have not had their
applications considered appropriately, shall have the opportunity to present both written and oral
testimony to the Steering Committee. The Steering Committee shall establish a process for
hearing such grievances. Decisions of the Steering Committee shall be final.
M. Geographic Equity:
The Steering Committee shall be responsible for making certain that funds are distributed in a
manner that provides long-term geographic equity. The overall intent is to insure overtime that
all areas of Pierce County receive appropriate levels of funding through this initiative. The
Equity formula shall be based on a 5-year cycle (i.e.: each sub-region shall receive its fair share
of funding every five years.)
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Interlocal Agreement Between
Pierce County and the City of Auburn
Page 9
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For the purposes of the 2060 fund, Pierce County shall be divided into two sub-regions:
TacomaJLakewood and the balance of Pierce County.
Using the US Census, HUD extracts, which provide demographic information on residents by
income, the 84% of the 2060 fund available through the NOFA shall be divided. Taking the
percentage of Pierce County residents who are at or below the 50% of median income standard
and applying it, such that each region receives a portion of the available funding consistent with
their percent of the population at or below the stated standard.
When available the 2000 HUD census extract will be used for determining the equity formula.
Until that time, the 1990 HUD census information shall be used.
N. .Subsidy Per Unit:
The amount of 2060 funding per housing unit shall be set by the Steering Committee at a rate
consistent with rates employed by other similar fund sources within the surrounding geographic
area. A unit shall be defined as a single-family home or a single apartment of any size in a multi-
family complex. For example, a single-family duplex would be considered 2 units.
O. Project Monitoring:
Pierce County shall monitor all projects for compliance with the funding terms and conditions in
the contract(s). Associated Ministries shall be required to provide quarterly and annual reports
on the distribution of the 2060 funds dedicated to shelter operations and maintenance.
Interlocal Agreement Between
Pierce County and the City of Auburn
Page 10
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