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04/17/2018 09 Yakima Central Plaza; Preliminary Design Adoption and Authorization to Proceed with ConstructionITEM TITLE: BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT 1 Item No. 9. For Meeting of: April 17, 2018 Ordinance adopting the preliminary design for the Yakima Central Plaza and authorizing initiation of all work and documentation necessary to construct the Yakima Central Plaza on City Parking Lot No. 2 SUBMITTED BY: Jeff Cutter, City Attorney SUMMARY EXPLANATION: Over the past several years the City Council has actively considered and investigated opportunities for the construction of a central plaza in the City's downtown core. During the course of those efforts the City Council has selected City Parking Lot No. 2 as the location for a central plaza and has contracted with the professional design firm of Gustafson Guthrie Nichols (GGN) to prepare a preliminary design concept for the plaza. As a result of GGN's initial design work the Council selected the current preliminary design. Despite opposition to the Council's use of Parking Lot No. 2 for another public purpose, the City Council does not believe its policymaking options for the public use of Parking Lot No. 2 are perpetually bound by previous City Ordinances 1719 and 1720, which established a local improvement district (LID) and a parking and business improvement area (PB IA) for the purchase and construction of the existing parking lot. The City Council does believe that it is free to supersede the earlier ordinances and that it may authorize a new public use for the parking lot property consistent with the ordinance attached hereto. The City Council also believes that the past 1992 Yakima County Superior Court case titled Centennial Center Corp. v. City of Yakima and Morrier Bldg., Inc., did not result in an injunction or other final order precluding public use of Parking Lot No. 2 as set forth in the attached ordinance because the Court in that case limited its ruling to the issue of a proposed private use of the parking lot in support of private purposes. With respect to the former and now disestablished Parking and Business Improvement Area No. 1, established by Ordinance 1719, that provided funding for, among other things, the purchase and construction of the parking lot at issue, RCW 35.87A.190 makes it clear that upon disestablishment of an assessment area any assets acquired with assessment proceeds "shall be subject to disposition as the legislative authority shall determine". Similarly, no provision of Washington's statutes on Local Improvement Districts, which formed the basis for Ordinance 1720, provide that a public use financed in part with LID assessments must be perpetually devoted to the initially planned use. 2 In addition to directing the completion of the Plaza preliminary design, the City Council has also approved numerous parking revisions in the downtown core area, contracted with private property owners for the part-time public parking use of nearby private parking Tots and established new parking opportunities on City -owned property near Parking Lot No. 2. These efforts have increased the parking opportunities in the immediate area of the proposed Central Plaza. The City Council has determined that the Yakima Central Plaza will specifically benefit the merchants and property owners located in the downtown core of the City and will attract and increase economic opportunities and growth in the area, as well as providing recreational opportunities for the City's residents and visitors. In addition to the steps already taken by the City Council toward the development of the Downtown Plaza, as recited above, over nine million dollars of privately donated funding has recently been confirmed as having been committed toward the Downtown Plaza construction costs. As a result of these several significant accomplishments the City Council will now consider the attached ordinance to memorialize the intent and provide the specific direction for all necessary and appropriate steps to be taken to complete the Plaza development. These steps would include finalizing the construction plans and specifications for the Central Plaza, obtaining engineering and construction cost estimates, initiating the construction bidding process and finalizing the construction financing plan to begin the construction of the Yakima Central Plaza on City Parcel No. 191319-24507. ITEM BUDGETED: Yes STRATEGIC PRIORITY: Economic Development APPROVED FOR SUBMITTAL: STAFF RECOMMENDATION: Council recommended submission of this Ordinance. BOARD/COMMITTEE RECOMMENDATION: ATTACHMENTS: Description Upload Date d Central Plaza structi Parking Lot #2 4/9/2018 Type Ordinance 3 ORDINANCE NO. 2018 - AN ORDINANCE adopting the preliminary design for the Yakima Central Plaza and authorizing initiation of all appropriate work and documentation necessary to construct the Yakima Central Plaza on Parking Lot No. 2 in the City's downtown core. WHEREAS, in 1974 the City Council established a Parking and Business Improvement Area (Ordinance 1719) and a Local Improvement District (Ordinance 1720), each of which generated assessments from nearby properties for the development of parking and pedestrian improvements within the downtown area generally and specifically contributed to the purchase and development of property into downtown parking facilities, including Parking Lot No. 2; and WHEREAS, the Local Improvement District (LID) assessment collection was long ago fulfilled and the LID debt was retired; the Parking and Business Improvement Area (PBIA) was disestablished in accordance with RCW 35.87A.180 through action of the City Council in 2008; and WHEREAS, over the past several years the City Council has actively considered the construction of a central plaza in the central downtown core of the City; and WHEREAS, the City Council has previously contracted with Gustafson Guthrie Nichols (GGN) for preparation of a design concept for the downtown plaza, has selected a preliminary design for the plaza and has determined the plaza should be constructed on City Parking Lot No. 2, Yakima County Parcel No. 191319-24507, in accordance with the previously selected preliminary design prepared by GGN; and WHEREAS, over the past four years the City Council has approved numerous parking revisions to the existing downtown parking design, has dedicated City -owned property to public parking uses and has negotiated agreements with private parking lot owners to allow public use of private parking spaces during certain hours and times, all for the purpose of increasing parking in the immediate area of the planned Central Plaza; and WHEREAS, the City Council has determined that the Yakima Central Plaza will specially benefit the merchants and property owners located in the downtown core area of the City, will attract economic growth to the City and will provide recreation opportunities for the residents of the City of Yakima as well as visitors to the City; and WHEREAS, the City Council has further determined that with over nine million dollars of private funding that has been committed to the construction of the Yakima Central Plaza it is now appropriate to commence all necessary formal efforts to finalize construction funding and proceed with plans, consistent with the approved preliminary plaza design, to construct the central plaza on City Parcel No. 191319-24507, Now, Therefore, BE IT ORDAINED BY THE CITY OF YAKIMA: Section 1. The City Manager is hereby directed to 1) finalize the construction plans and specifications of the Central Plaza, consistent with the preliminary design documents, for Council approval, 2) obtain engineering and construction cost estimates for the Central Plaza based upon the approved construction plans and specifications, 3) initiate the construction 4 bidding process based upon the Central Plaza construction plans and specifications, and 4) finalize the construction financing plan in preparation for construction of the Yakima Central Plaza on City Parcel No. 191319-24507 consistent with the construction plans and specifications provided by GGN and approved by the City Council. Section 2. To the extent of any inconsistency in direction or purpose between this ordinance and Ordinance No. 1719 and Ordinance No. 1720, said prior ordinances are hereby superseded and repealed. Section 3. This ordinance shall be in full force and effect 30 days after its passage, approval, and publication as provided by law and by the City Charter. PASSED BY THE CITY COUNCIL, signed and approved this 17th day of April, 2018. ATTEST: Kathy Coffey, Mayor Sonya Claar Tee, City Clerk Publication Date: Effective Date: