HomeMy WebLinkAbout09/05/2023 09. Resolution authorizing an application to the Yakima County "Supporting Investments in Economic Development" (SIED) Program on behalf of Yakima Chief Hops for a project at South 3rd Avenue and Division Street 1
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BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 9.
For Meeting of: September 5, 2023
ITEM TITLE: Resolution authorizing an application to the Yakima County
"Supporting Investments in Economic Development" (SIED)
Program on behalf of Yakima Chief Hops for a project at South 3rd
Avenue and Division Street
SUBMITTED BY: *Sy Ruiz, Economic Development Services Assistant
Bill Preston, City Engineer
SUMMARY EXPLANATION:
The City of Yakima has been requested to authorize an application with the Supporting
Infrastructure for Economic Development (SI ED) program to fund a new traffic signal at the
intersection of South 3rd Avenue and Division Street. This project will retain local jobs in Yakima,
address pedestrian safety, and allow for future private development and improvements of the
Yakima Chief Hops campus and operations. The project is requesting $312,500 in grant,
$312,500 in loan and a 20% local match is required.
ITEM BUDGETED: NA
STRATEGIC PRIORITY: Economic Development
APPROVED FOR SUBMITTAL BY THE CITY MANAGER
RECOMMENDATION:
Adopt Resolution.
ATTACHMENTS:
Description Upload Date Type
D Resolution 8/18/2023 Coker Memo
D SIED Application 8/23/2023 Cover Memo
2
RESOLUTION NO. R-2022-
A RESOLUTION authorizing the City of Yakima to support the grant and loan application of
up to $750,000 from the Yakima County Supporting Investments in
Economic Development (SIED) fund to install a traffic signal in the
intersection of S. 3rd Avenue and Division Street for Yakima Chief Hops,
in the City of Yakima.
WHEREAS, the City of Yakima has established that public safety, especially on public
streets, is a Strategic Priority for the City Council; and
WHEREAS, the City Council is committed to assisting existing businesses, supporting
new or existing development as feasible and preservation of the community employment base;
and
WHEREAS, the intersection of Division Street and South 3rd Ave also provides access
to the City arterial street for other industrial land uses both west and east of South 3rd Avenue.
South 3rd Avenue is a Minor Arterial Street with approximately 16,500 average daily vehicle
trips. In this case, the project site is one-half mile north of Nob Hill Boulevard, providing direct
access to 1-82 and improving freight routes to the interstate system.
WHEREAS, the improvement of city streets to improve public safety is a priority. In this
case, the new traffic signal will enable Yakima Chief Hops to retain local jobs in Yakima,
address pedestrian safety, and allow for future redevelopment and improvements of their
Yakima campus and operations; now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
The City Manager is hereby authorized to support the grant application with the Yakima
County "Supporting Investments in Economic Development" program in the amount not to
exceed $750,000, including $312,500 in grant, $312,500 in loan and a 20% in local match, with
all repayment and local match to be paid by the City of Yakima. A copy of the draft grant
application is attached hereto.
ADOPTED BY THE CITY COUNCIL this 5th day of September 2023.
Janice Deccio, Mayor
ATTEST:
Rosalinda Ibarra, City Clerk
3
Yakima County
Supporting Investments in
Economic Development
Committed Private Business
Application for Funding
4
Threshold Requirements
All questions must be fully answered in order to qualify as a complete application. If you need more space for
an answer, please attach additional sheets as needed noting the corresponding section,for example "C2."
Resolution. A resolution or ordinance of the local governmental jurisdiction
authorizing the SIED application is required.
Project Costs. Engineer cost projections for public project costs are required. SIED will
not entertain requests for project cost overruns. For the success of your project,
ensure project cost estimations are realistic.
IJ Local Match. A local match of twenty(20) percent of the SIED request is required.
Local match may be demonstrated as cash or in-kind contribution.
! I Other Funding Sources. In addition to SIED, identify which public sources were
considered to fund this project. Indicate what the outcome was.
LIPlanning. A statement is required from the planning jurisdiction relating to the type of
public facility for which a SIED investment is sought.
Permits. All public and private permits must be received.
Private project description. Job creation and private sector financing must be evident.
Contingency Agreement. A complete Contingency Agreement(form included) is
required for all projects. The Contingency serves as the first level of convincing
evidence that the private sector development will occur.
Acceptance of Reporting Requirements. The County is required to report annual
information on the use of SIED funds. A signed agreement(form included)to report
the use of SIED funds must accompany the application.
Please submit application to:
Yakima County Development Association
PO Box 1387,Yakima, WA 98907-1387
(10 North 9th Street,Yakima WA 98901)
Application for Funding,2018 Page 2 Yakima County SIED Program
5
REQUEST FOR FUNDING (Funding is awarded 50% Loan and 50%Grant. No more than $1,000,000 total award from
SIED when loan and grant combined.)
Interest rates on loans are established when the County formally approves the project contract by using the County
Interfund Loan Rate, as authorized by law. Loans are given for a term of 10 years and annual payments are made in
equal amounts on June 15t of each year.
An interlocal agreement will be established between the County and the applicant specifying repayment dates and a
loan amortization schedule. Loan payment installments are based on an ordinary annuity, compounded annually.
If an applicant needs additional flexibility on loan repayment schedules they can request a deferral. Interest on loans
will continue to accrue from the date the contract is approved by the County,even if the applicant is granted a
deferral on their first loan payment.
If an applicant requests a deferral of the first loan payment,the applicant must justify the request.
A SIED loan is a general obligation of the jurisdiction receiving the loan. With acceptance of a SIED loan,the
jurisdiction agrees to the terms of the interlocal agreement regardless of the project which prompted the application
for SIED funding.
City of Yakima 91-6001293
Applicant: Tax ID#:
Sy Ruiz Economic Development Services Assistant
Contact: Title:
509-575-6048 sy.ruiz@yakimawa.gov
Phone: Email:
City Hall, 129 North 2nd St. Yakima, WA 98901
Address: City: Zip Code:
Pending
Resolution Number Authorizing this Application for SIED Funding:
I hereby certify that the information given in this application to the Supporting Investments in Economic
Development Board is true and correct to the best of knowledge and belief.
Signature of Responsible Official:
Robert Harrison, City Manager
Printed Name and Title:
Indicate the full terms requested for SIED consideration:
lowest
• Loan Terms Requested:
• A deferral of the first loan payment (up to five years): 3
• Total number of years for repayment: 10
• Please provide justification If requesting a deferral of the first loan payment:
The City of Yakima requests a three-year deferral on the first payment so the private sector development activity being
supported in this application has time for the construction to be completed, and begin generating tax revenues for the
City prior to making the first deferred loan payment.
• Please provide justification if a lower interest rate is requested:
n/a
Application for Funding,2018 Page 3 Yakima County SIED Program
6
Executive Summary
The SIED Advisory Board takes many factors into consideration when making recommendations for funding.This
Project Summary highlights the main factors including: local match,funding from other sources,jobs
created/retained,wage rates,jobs created/retained per SIED dollar invested, new private investment, and new tax
revenues generated.
Traffic Signal at S. 3rd and Division St. - Yakima Chief Hops
Project Title:
Project Summary: Describe the public infrastructure project and the private development that will occur. Explain why
the private development requires the public infrastructure project:
The City of Yakima requests SIED funding to install a traffic signal at the intersection of S 3rd Avenue and Division
Street. Funding for this project anticipates a$312,500 SIED Grant, a$312,500 SIED Loan, and a 20% local match
requirement that the City of Yakima will fulfill in a combination of local funds, in-kind contribution, and staff time costs
that have incurred to date.
A traffic signal is warranted at S 3rd Avenue and Division Street. As the largest supplier of hops in the United States,
Yakima Chief Hops is proud to locate their corporate office at 306 Division Street, both east and west of S 3rd Avenue.
One significant deterrent from further economic investment at this location is the need for a four-way traffic light to
support the crossing of Third Avenue. They own six buildings on the East side of Third Avenue, and their staff and
customers are at a severe safety risk when they need to cross this street. Creating a safe and efficient street network
around the Yakima Chief Hops campus is an essential component of the corporate decision to retain the existing
campus location. The project will retain 134 local jobs in Yakima and address pedestrian safety.
"Safety is Yakima Chief Hop's high priority. Our company takes pride in the fact that we work wisely to keep all of our
employees safe. With a strong focus on the safety of our people, we believe that our current street crossing at Third
Avenue and Division Street is of great importance to our company, our people, and our community."-Ryan Hopkins,
Chief Executive Officer.
Application for Funding,2018 Page 4 Yakima County SIED Program
7
Indicate the Minimum Necessary Total Public Project Infrastructure Costs (no more than$1,000,000 total award from
SIED when loan and grant combined):
312,500
SIED Loan Requested: $
312,500
SIED Grant Requested: $
125,000
Local Match (20%of SIED request): $ _
All Other Funding Sources: $
750,000
Total Public Project Cost: $
$350,000-$400,000 (TPIP/E)
Total Private Investment in Plant/Equipment:$
134
Total Jobs Created/Retained:
62,250 82,563
Median Wage:$ Average Wage:$__�
Health, dental, vision, Rx, life insurance,401(k), IRA, phone and gym stipend, etc
Fringe Benefits Offered:
TPIP/E value +20%
Estimated Assessed Value of the New Plant/Equipment: $
$5,597
Total SIED Request divided by Total Jobs Created/Retained:: $
0.533
Total Private Investment in Plant/Equipment divided by Total SIED Request:$
Other Benefits of the Public Infrastructure Project:
Employee safety is paramount at Yakima Chief Hops. This proposed infrastructure will drastically improve pedestrian
and vehicular safety at the intersection crosswalk between 3rd Ave and Division St.
The private development is a proposed capital expenditure investment for the 306 Division St. property:
1)To install a wrought iron fence along the property line of 306 Division St. It will also include two power-operated
cantilever gates for vehicular traffic and two personnel gates for employee access. Strategic cameras will be added at
the main vehicular entry gate. This project was quoted in the amount of up to$400,000.
Application for Funding,2018 Page 5 Yakima County SIED Program
8
A. Public Sector Project
Al. List all funding sources for the public project and amount. Identify whether the amount has been provided or is
being requested. Provide the status and date the funds were approved or the date that funds are expected to
be approved:
SOURCE STATUS DATE AMOUNT
SIED loan requested Pending 9/5/23 $312,500
SIED grant requested Pending 9/5/23 $312,500
SIED Match-20% Pending 9/5/23 $125,000
$
Total project costs $750,000
Funding to complete the Public Project must be secured within one year of a SIED offer of financial aid
A2. Will this project upgrade an existing public facility or build a new one? Existing Facility
Describe the entire public facility project, including the parts that you are not asking SIED to fund.
The City of Yakima is requesting SIED funding to cover the costs of installing a traffic signal at the intersection of S 3rd
Ave and Division Street. The improvements include the intersection, sidewalks, traffic control, and other related
improvements.
A3. Specifically, for what element(s) of the public project are SIED funds requested?
SIED funds will be used in conjunction with local funds (SIED match)to cover the costs of installing a traffic signal,
including the intersection, sidewalks,traffic control, and related improvements.
Application for Funding,2018 Page 6 Yakima County SIED Program
9
A4. Describe how the public facility project will enhance or encourage other development in the immediate area in
addition to the direct development described in this application section C.
Installing a traffic signal at the South 3rd Avenue and Division Street intersection will provide a safer pedestrian
environment for the existing Yakima Chief Hops Campus and the South 3rd Avenue corridor. This intersection provides
access to city arterial streets for industrial land uses, both west and east of South 3rd Avenue, and has an average of
16,500 daily vehicle trips. This intersection is also one-half mile from Nob Hill Boulevard, providing direct access to 1-82
and improving freight routes to the intersection system from the industrial land. The improvement of this intersection
will enhance public safety as pedestrians also cross this intersection to access buildings owned by Yakima Chief Hops.
These improvements will retain local jobs in Yakima, address pedestrian safety, and allow future redevelopment and
enhancements at the Yakima Chief Hops campus and other industrial land nearby.
A5. List all permits and environmental reviews required for the PUBLIC SECTOR PROJECT and give their current
status (applied for, application being prepared, permit issued, etc.)
ANTICIPATED
PERMIT ISSUER STATUS COMPLETION DATE
n/a
Permits to complete the Public Project must be secured within six months of a SIED offer of financial aid
A6. If environmental permits are not required for the project(e.g., Shorelines Permit, Environmental
Impact Statement, etc.), please explain why they are NOT required.
All of the surrounding land has been previously disturbed.
Application for Funding,2018 Page 7 Yakima County SIED Program
10
A7. Estimated schedule for public project completion. Indicate the month and year when the activities
listed have been, or will be, completed.
ESTIMATED COMPLETION DATE
(month/year)
Preliminary Engineering Report 03/24
Environmental Review 03/24
All Required Permits Obtained 05/24
Design Engineering 03/24
Land/Right-of-Way Acquisition 03/24
Prepare Bid Documents 05/24
Award Construction Contract 05/24
Begin Construction 06/24
Project Operational 09/24
A8. What other jurisdictions, such as counties, cities, port districts, tribes, state/federal agencies are involved in the
planning, design, financing, construction or operation of this project?
N/A
Please explain how completion of the project is coordinated between other involved parties.
N/A
A9. Will the SIED public facility project be totally maintained by the applicant? If not, whom? Please explain.
The physical improvements constructed in the street right of way for traffic control and safety will be maintained by the
City of Yakima. Removing snow and maintaining sidewalks is the responsibility of the adjoining properties.
Application for Funding,2018 Page 8 Yakima County SIED Program
11
A10. How will this project impact utility rates and public services within the jurisdiction?
There will be no impact on the utility rates. The City of Yakima will supply the necessary public services associated with
this project.
B. Financial Information of SIED Applicant
B1. Other public sources of funding for public economic development projects are listed below and must be
investigated. In addition to SIED, identify which public sources were considered to fund this project. Indicate
what the outcome was.
Federal Grant/Loan Programs: YES NO OUTCOME
Economic Development Administration ❑ 171 l Not Timely
Rural Development 0 Q Not Eligible
FASTACT 0 Q Not Eligible
Other: Q Q
State Grant/Loan Programs:
Transportation Improvement Board Q Not Timely
Community Development Block Grant 0 Q Not Eligible
Public Works Trust Fund Q Not Timely
Department of Ecology Q Q Not Eligible
CERB Q Q Not Timely
RTPO/MPO ❑ Q Not Eligible
Other ❑ a
Other Funding Options:
Revenue Bonds Q Ir l Not Eligible
General Obligation Bonds ❑ Q Not Eligible
LID ❑ Q Not Eligible
ULID Q Q Not Eligible
Other. Q a
Application for Funding,2018 Page 9 Yakima County SIED Program
12
B1 continued: Provide a narrative of the investigation of the above referenced funding sources and the outcomes:
The City believes SIED funds are the most efficient resource to fund this project because of the immediate impact on
the retention of jobs, enabling private investments, and eliminating traffic safety concerns. The public benefit from this
project will have long-term and broad economic implications for the entire City of Yakima, not just the limited immediate
area.
B2. In the context of the local government's overall annual budget, explain the need for SIED assistance. If the
applicant has budget reserves, please explain why these funds are not available for the project.
The City of Yakima does not have funds available to fund the proposed project entirely, and SIED funding is currently
the best option to move forward. Additionally, the City's existing budget for transportation improvements is very limited.
B3. Identify funds (General Fund, Utility Fund, Property taxes, etc.)that are eligible to repay a SIED loan:
The City will utilize a combination of reserves, property taxes, construction sales tax, and retail sales tax to repay the
requested SIED loan funding.
Will a revenue stream be generated that could repay a SIED loan outside of the system's normal operations
and maintenance costs? If yes, please explain:
The public improvements will generate construction sales tax and retail sales tax in the developed area. There are no
anticipated additional revenue sources to pay back the SIED loan.
B4. If the local jurisdiction is not financially contributing to the project, please explain why.
N/A
Application for Funding,2018 Page 10 Yakima County SIED Program
13
C. Private Sector Project Complete Section C and a Contingency Agreement for each
private sector entity.
In order to show that a specific private investment is ready to occur, but will do so only if SIED assistance is made
available to the applicant, SIED requires a signed Contingency Agreement(s) between the applicant and the private
sector representative(s). If a developer is involved, there must also be a signed Contingency Agreement between the
developer and the proposed tenant.
Private Sector Business: Yakima Chief Hops
Contact: Art Ortega Title: Director of Facilities
Phone: 509-840-5270 Email: art.ortega@yakimachief.com
Address: 306 Division St City: Yakima,WA Zip Code: 98902
Cl. Describe the private development that will be supported by the public infrastructure/facility project.
The private development is a capital expenditure investment at the 306 Division St. property. This infrastructure project
is not production-related equipment.
1)To install a wrought iron fence along the property line of 306 Division St. It will also include two power-operated
cantilever gates for vehicular traffic and two personnel gates for employee access. Strategic cameras will be added at
the main vehicular entry gate. This project was quoted in the amount of up to$400,000.
Before approval of these funds,YCH will need the costs of the property improvements to be discussed with the existing
property owner.
C2. Explain why the private development requires the proposed public infrastructure improvements
described in this application.
The proposed infrastructure improvement will improve pedestrian safety,which has been a significant concern not only
for Yakima Chief Hops employees, customers, vendors, and growers but also for the safety impacts of any pedestrian
who uses the crosswalk at the intersection of S. 3rd Ave and Division St. This public improvement is critical in Yakima
Chief Hops'ability to retain jobs and further develop and improve their campus.
Application for Funding,2018 Page 11 Yakima County SIED Program
14
C3. Indicate the construction schedule(if applicable)for the proposed private sector project.
(month/year)
Private Facility Construction Begins TBD
Private Facility Construction Completed
Private Facility Operational
C4. List all permits required for the PRIVATE SECTOR PROJECT and give their current status (applied for,
application being prepared, permit issued, etc.)
ANTICIPATED
PERMIT/ENVIROMENTAL COMPLETION
REVIEW ISSUER STATUS DATE
TBD -N/A
Permits to complete the Private Project must be secured within one year of a SIED offer of financial aid
C5. What private authorizations remain prior to proceeding with the proposed private development project?
The proposed Capital Expenditure (CapEx)will require approval from the Board of Directors (BOD)of Yakima Chief
Hops. This CapEx project can only start with approval from the BOD.
C6. Explain how the private sector is financing their capital investment in this project.
Capital investment projects will require approval from the Board of Directors (BOD)of Yakima Chief Hops. The BOD
will determine how the investment is financed.
Application for Funding,2018 Page 12 Yakima County SIED Program
15
C6 continued: When will private sector financing be in place?
TBD
Please list financial references that can verify financing sources and capacity for this project.
TBD
C7. List the number of projected jobs to be retained and/or created by the firm as a direct result of the public
infrastructure project supporting the private development. Retained jobs are defined as jobs that will be lost to
the county if the public project is not completed.
Jobs must be expressed in Full Time Equivalents (FTEs) and wage data should exclude fringe benefits.
Management positions should be indicated as an annual salary.
#Of Jobs #Of Jobs #Of Jobs Local
Retained (In Created Year 1 Created by Year Current or initial Occupational
Job Description FTEs) (In FTEs) 3(In FTEs) Hourly Wages Hourly Wages_
Mgmt./Admin* 37 TBD TBD 3,145,000 EST-$40.86
Technical/Prof. 7 TBD TBD 504,000 EST-$34.16
Office/Clerical 32 TBD TBD 1,440,000 EST-$21.63
Production 35 TBD TBD 1,750,000 EST-$24.04
Sales 17 TBD TBD 1,445,000 EST-$40.87
Skilled Crafts 6 TBD TBD 450,000 EST-$36.06
Others
Totals 134 8,743,000
a) How many of these positions are for seasonal work?Give response in FTE: 0
b) What kind of fringe benefits does the company offer to regular full time employees?
Medical, dental, &Vision Insurance, Health Savings Account(HSA), Flexible Savings Account(FSA), Company Paid
Life&AD&D, Voluntary Life and AD&D Insurance, Employee Assistance Program (EAP)- Lifeworks, Calm for Work,
401(k) retirement plan with 6% & Rother option, Education Tuition Assistance Program, 10 Recognized Holidays, 50
hours of personal/sick time pro-rated basd upton hire date. 110 hours accrued Vacation, Competitive Wages, bonus
nnto
C8. How were job projections developed? Explain how the projections are realistic.
Consultation with Lisa Garcia, Chief People Officer, who leads the human resources division at
Yakima Chief Hops.
Application for Funding,2018 Page 13 Yakima County SIED Program
16
C9. Will this project move existing jobs from another part of the county? If yes, please describe why the project
cannot happen where the jobs are currently located.
No
C10. Will the private sector project offer expanded employment opportunities to disadvantaged or unemployed
workers? How will the firm work to hire people from Yakima County?
The proximity to low-income areas offers close job opportunities to disadvantaged and currently unemployed workers.
Since the proposed project is infrastructure, they will continue to follow the company's current hiring process and
practices.
Attachments
1. Resolution: A resolution or ordinance of the local governmental jurisdiction authorizing the SIED application.
2. Plan listing the project: Attach a copy of the section of the comprehensive plan or capital facilities plan that
lists the public project.
3. Site map of the area: Identify the location of the site, public infrastructure and private development project
(existing and/or proposed). Specifically identify where SIED funds are proposed to be used.
Materials must be reproducible in black and white and in 8 1/2 x 11 format.
4. Engineering estimates supporting project costs: Identify whether estimates are from preliminary
engineering or design engineering work.
SIED will not entertain requests for additional funding if projections are insufficient
5. Contingency agreement:A complete Contingency agreement(form included) is required for all projects. The
agreement serves as the first level of convincing evidence that the private sector development will occur.
6. Business plan or year-end financial statements of the Private Sector Business: Attach supporting
information such as a business plan or year-end financial statements (financial statements may be unaudited).
The entire SIED application is considered a public record; however, financial and commercial information
provided by the private business is exempt from disclosure to the extent permitted by RCW 42.56.270
paragraph (4).
7. Letters of support: If applicable, please include any letters of support for this project from partners or others
entities in the community.
Application for Funding,2018 Page 14 Yakima County SIED Program
17
Supporting Investments in Economic Development Reporting Form
City of Yakima
Applicant:
New Traffic Signal at S. 3rd and Divison St-Yakima Chief Hops
Project Title:
New traffic Signal at S. 3rd and Division St. -Yakima Chief Hops
Public Infrastructure Project:
Transportation Improvement Plan
Plan Containing the Project:
750,000
Total Spent on the Project:
625,000
Amount of SIED Funds (loan and grant)spent on the project
1
Estimated Number of Businesses Created or Retained by Project:
134
Estimated Number of Jobs Created or Retained by Project:
Instructions to Preparer:
1. List the public facility project.
2. Indicate where the project is listed (e.g., officially adopted county economic development plan, economic
development section of the county's comprehensive plan, etc.).
3. List an amount of total expenditures related to the project.
4. List an amount of expenditures paid for by SIED funding.
5. The applicant must provide an actual or estimated number of businesses jobs that will be created, attracted,
expanded or retained.
6. Documentation supporting this report must be made available upon request for audit purposes and public
requests.
If awarded SIED funds, I hereby agree to annually report to the SIED Board the use of those funds according to the
instructions above.
Signature of Responsible Official:
Printed Name and Title:
Application for Funding,2018 Page 16 Yakima County SIED Program
8
Attachment 1
Resolution
9
Attachment 2
Plan listing the
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Attachment 4
Cost Estimates
24
Ruiz, Sy
From: Preston, Bill
Sent: Tuesday, July 11, 2023 10:42 AM
To: Ruiz, Sy
Subject: FW: 3rd & Division - Potential Intersection Improvements - TENW Design Scope of
Work
fyi
From: Chandler Waldal<chandler@tenw.com>
Sent: Friday, February 10, 2023 8:17 AM
To: Preston, Bill <Bill.Preston@yakimawa.gov>
Cc: Chris Bicket<bicket@tenw.com>; Davenport,Joan<Joan.Davenport@yakimawa.gov>
Subject: RE: 3rd & Division - Potential Intersection Improvements-TENW Design Scope of Work
Bill—hopefully this gave you enough information to determine how to move forward with the project.
Please let us know if you have any questions or need anything else.
Thank you,
Chandler Waldal I Project Manager
TENW 11400 SE 8rh Street,Suite 200, Bellevue, WA 98004
chondler@tenw.com I Cell: 760-994-7376
From: Chandler Waldal
Sent: Friday, February 3, 2023 11:35 AM
To: Preston, Bill <Bill.Preston@vakimawa.gov>
Cc: Chris Bicket<bicket@tenw.com>; Davenport,Joan<Joan.Davenport@vakimawa,gov>
Subject: RE: 3rd & Division- Potential Intersection Improvements-TENW Design Scope of Work
Hi Bill—Some initial thoughts below .
❑. PE (Engineering - Plans, Specs and Estimates)= $100k-$150k — survey, geotech, environmental, landscape, civil,
traffic.
❑. ROW/TCE (Temp Construction Easements)=$50k—Note this is a very broad assumption. Could vary significantly
or not be required at all.
❑. Construction = $450k-$500k-Traffic Signal Construction assuming minimal hardscape/paving improvements. If
lane widening, utility relocates, power undergrounding, etc. are required, costs can escalate quickly. Traffic
control during construction can have a big cost impact as well.
❑. Construction Admin =$50k -Assuming an outside Construction Manager/Inspector.
We would suggest assuming$650-$750k to be conservative.
Thanks!
Chandler Waldal I Project Manager
TENW 11400 SE 8+h Street,Suite 200, Bellevue, WA 98004
1
Attachment 5
Contingency
Agreement
26
Supporting Investments in Economic Development(SIED) Board
Contingency Agreement
1. PARTIES
The parties to this Agreement are the City of Yakima, whose address is 129 N. 2nd Street,
Yakima, WA 98901, and Yakima Chief Hops, whose address is 306 Division St, Yakima, WA
98901.
2. PURPOSE
The purpose of this Agreement is to document the intentions of the parties regarding the addition
of a traffic signal at South 3rd Avenue and Division Street in the city of Yakima. A traffic signal
is warranted at S 3rd Avenue and Division Street. This intersection provides access to city
arterial streets for industrial land uses,both west, and east of South 3rd Avenue, and has an
average of 16,500 daily vehicle trips. The intersection also is one-half mile north of Nob Hill
Boulevard,providing direct access to I-82 and improving freight routes to the interstate system
from the industrial land. The improvement of this intersection will improve public safety as
pedestrians also cross this intersection to access buildings owned by Yakima Chief Hops. The
improvements will retain local jobs in Yakima, address pedestrian safety, and allow for future
redevelopment and improvements at the Yakima Chief Hops campus as well as other industrial
land in the vicinity.
3. BACKGROUND
The City of Yakima will install a traffic signal at the intersection of S 3rd Avenue and Division
Street(the "required public improvements")
4. AGREEMENT
A. The City of Yakima agrees to construct the required public improvements provided SEID
funding is approved.
B. Yakima Chief Hops projects 134 permanent jobs will be retained as a result of the public
facilities project.
C. Yakima Chief Hops anticipates the proposed total private investment in the development
project to be approximately$400,000
D. Yakima Chief Hops agrees to contact the local One-Stop Career Center, Job Service
Center, or appropriate Community-Based Organization for assistance filling new
positions.
E. Yakima Chief Hops agrees to provide the City of Yakima with employment and
investment data as requested by SIED.
F. The funding for this project anticipates a$312,500 SIED Grant, a$312,500 SIED Loan,
and a 20% local match requirement that will be fulfilled by the City of Yakima.
27
5. CONTINGENCY
This agreement is contingent upon receipt of the full SIED funding requested by the City of
Yakima.
City of Yakima Date Yakima Chief Hops Date
/1-12e-0 v-71r1/2,723
City Manager Designated Representative
8
Attachment 6
Business
Overview
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Attachment 7
Letter of
Support
toYAKIMA CHIEF HH" 33
October 01, 2021
Joan Davenport
Community Development Director
City of Yakima
129 N. Second Street, 2"d Floor
Yakima, WA 98902
Please receive this letter as my formal request to be considered as an applicant for Yakima County
SIED Program Investment funds.
As the largest supplier of hops in the United States,Yakima Chief Hops (YCH), is proud to locate our
corporate office at the address of 306 Division Street in the City of Yakima. Currently, we are
leasing this office building. In the next twelve months, we will be considering if we will stay at this
location, invest in a complete building upgrade, and continue to increase our office staff here. One
large deterrent from us investing further in this building is the lack of a four-way traffic light to
support the crossing of Third Avenue. We currently own 6 buildings on the East side of Third
Avenue. Our staff and our customers are currently at a severe safety risk when we need to cross
this street.
Safety is Yakima Chief Hops highest priority. Our company takes pride in the fact that we work
wisely to keep all of our employees safe. With a strong focus on the safety of our people, we
believe that our current street crossing at Third Avenue and Division Street is of great importance to
our company, our people and our community. From my review of the Yakima County SIED
Program, it seems like this project would be an ideal opportunity to receive support.
Yakima Chief Hops is interested in applying for SIED funds. If these funds are awarded, Yakima Chief
Hops will continue to grow and enhance the local community that we work in.
Please advise on next steps for us to pursue an application for SIED funds. If you have any further
questions regarding the importance of this, please don't hesitate to reach out to me directly. I can
be reached anytime at ryan.hopkins@yakimachief.com
Many thanks,
Ryan Hopkins, Chief Executive Officer
� g R I A N ® 509 453 4792
• FROM THE
306 DIVISION ST,YAKIMA,WA 98902
PACIFIC NORTHWEST" YAKIMACHIEF.COM