HomeMy WebLinkAboutR-2023-122 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 RESOLUTION NO. R-2023-122
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. 3' 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: PY,In `h��
4.
Rosalinda Ibarra, City Clerk .1%%, S*****
\
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. Aresolution nrordinance ofthe local governmental jurisdiction
authorizing the S8I>application isrequired.
Project Costs. Engineer cost projections for public project costs are required. QEDvviU
not entertain requests for project cost overruns. For the success ofyour project,
ensure project cost estimations are realistic.
Local Match. Alocal match oftwenty (20) percent of the8ED request is required.
Local match may be demonstrated as cash or in -kind contribution.
Other Funding Sources, In addition to SIED, identify which public sources were
considered to fund this project. Indicate what the outcome was.
�Planning, A statement is required from the planning jurisdiction relating to the type of
public facility for which uQEDinvestment issuuQht.
All public and private permits must bereceived.
Private project demcrptkmn`Job creation and private sector financing must beevident.
Contingencv Agreement. Acomplete Contingency Agreement (form included) b
required for all projects. The Contingency serves asthe first level ofconvincing
evidence that the private sector development will occur.
Acceptance of Reporting Requirements. The County isrequired toreport annual
information on the use of SIED funds. A signed agreement (form included) to report
the use ofQEDfunds must accompany the application.
Please submit application to:
Yakima County Development Association
POBox 13D7,Yakima, VVA9O9O7'18Q7
(10 North 9th Street, Yakima WA 98901)
Application for Funding, Jo18 Page Yakima County SIEDProgram
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
Applicant: Tax ID #:
Contact:
Sy Ruiz
91-6001293
Economic Development Services Assistant
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 applica
Development Board is true and correct to
Signature of Responsible Official:
Robert Harrison, City Manager
Printed Name and Title:
n to the Supporting Investments in Economic
edge.and belief.
CITY CONTRACT NO:
RESOLUTION NO:
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 SEED Program
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.
Project Title: Traffic Signal at S. 3nd and Division St. -YakinlB Chief Hops
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 nfYakima requests S|EOfunding hoinstall mtraffic signal otthe intersection of83ndAvenue and Division
Street. Funding for this project anticipates a$312.5OOS|EDGrant, o$312.5UOG|EDLoan, and a2U%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.
Atraffic signal kawarranted atS3ndAvenue and Division Street. Aathe largest supplier ofhops inthe United States,
Yakima Chief Hops ioproud hmlocate their corporate office at3OGDivision Street, both east and west ufG3ndAvenue,
One significant deterrent from further economic investment at this location is the need for a four-way traffic light to
support the crossing ofThird Avenue. They own six buildings onthe East side oyThird Avenue, and their staff and
customers are mtmsevere safety risk when they need tocross this street. Creating osafe 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 isYakima Chief Hop'shigh priority. Our company takes pride inthe fact that wmwork wisely tokeep all ofour
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, Z018
Page Yakima County SIEDPnoguon
Indicate the Minimum Necessary Total Public Project Infrastructure Costs (no more than $1,000,000 total award from
S|EDwhen loan and grant oombined):
SIED Loan Requested:
312,500
8lEDGrant Requested: $ 312.500
125,000
All Other Funding Sources: $
Total Public Project Cost: $
750,00
Total Private Inv
estment entin Plant/Equipment: $ $350.000'$400.000(TzP/E)
134
Total Jobs Created/Retained:Median Wage: $
02.250 Average Wage: $ 82.563
Health, dental, vision, Rx, life insurance, 401 (k), IRA, phone and gym stipend, etc
Fringe Benefits Offered:
TP|P8Evalue +3U%
Estimated Assessed Value of the New Plant/Equipment: $ -'.
Total SIED Request divided by Total Jobs Created/Retained: $
Total Private Investment in Plant/Equipment divided by Total SIED Request: $
Other Benefits of the Public Infrastructure Project:
Employee safety isparamount ntYakima 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:
0.533
1)Tninstall awrought iron fence along the property line of3OGDivision St. Itwill 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, Z018
Page Yakima County BEDProgram
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 naquoabad. Provide the status and date the funds were approved or the date that funds are expected to
be approved:
SOURCE STATUS DATE AMOUNT
Pending 9/5/23 312500
8|EO|oonroqua�ed �_� '
Pending 9/5/23 312500
6|ED grant requested `�� .__----_
8|EDMatch -2O96 Pending 9/5/23 125000
Total project costs
�
750,000
Funding to complete thePublic Project must be secured within one lyear of aS|EDoffer of financial aid
Existing Facility
Describe the entire public facility project, including the parts that you are not asking 8|EOtofund.
The City of Yakima is requesting SI ED 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, Z018
Page Yakima County SiEDPoogpnm
/4. Describe how the public facility project will enhance orencourage other development inthe immediate area in
addition buthe direct development described inthis application section C.
Installing a traffic signal at the South 3nd 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 tocity arterial streets for industrial land uses, both west and east ofSouth 3ndAvenue, and has anaverage of
16.500daily vehicle trips. This intersection iaalso one-half mile from Nob Hill 8nu|evmvd, 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
»/a
Pmmnds to complete the Public Project must bmsecured within six months ofaG|EDoffer offinancial aid
A6. If environmental permits are not required for the project Shorelines Permit, Environmental
Impact Statement, etc.), please explain whv thev are NOT required,
All of the surrounding land has been previously disturbed.
Application for Funding, 2018
Page Yakima County SIEDP/ognzm
AT Estimated schedule for public project completion, Indicate the month and year when the activities
listed have been, or will be, completed.
Preliminary Engineering Report
Environmental Review
All Required Permits Obtained
Design Engineering
Land/Right-of-Way Acquisition
Prepare Bid Documents
Award Construction Contract
Begin Construction
Project Operational
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?
ESTIMATED COMPLETION DATE
(month/year)
03/24
Please explain how completion of the project is coordinated between other involved parties.
AQ. Will the 8|EDpublic facility project betotally maintained bythe applicant? Ifnot, whom? Please explain.
The physical improvements constructed inthe street right ofway for traffic control and safety will bemaintained bythe
City of Yakima. Removing snow and maintaining sidewalks is the responsibility of the adjoining properties.
Application for Funding, 20z8
Page Yakima County SIEDPnognam
A10. How will this project impact utility rates and public services within the jurisdiction?
There will benoimpact on the utility rates. The City of Yakima will supply the necessary public services associated with
this project.
B. Financial Information of SUED Applicant
B1, Other public sources of funding for public economic development projects are listed below and must he
investigated. In addition to G|ED, identify which public sources were considered to fund this project. Indicate
what the outcome was.
Federal Grant/Loan Programs:
Economic Development Administration
Rural Development
FA8l7\CT
State Grant/LonPmgrams:
Transportation Improvement Board
Community Development Block Grant
Public Works Trust Fund
Department ofEcology
CERB
RTPCVK8PO
Other
Other Funding Options:
Revenue Bond
General Obligation Bonds
LID
UL|D
Application for Funding, 2018
OUTCOME
Not Timely
Not Eligible
Not Eligible
Not Timely
Not Eligible
Not Timely
Not Eligible
Not Timely
Not Eligible
Not Eligible
Not Eligible
Not Eligible
Not Eligible
Page Yakima County JIEDProgram
131 continued: Provide a narrative of the investigation of the above referenced funding sources and the outcomes:
The City believes S|EOfunds are the most efficient resource tofund this project because nfthe 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 tomove forward. Additionally, the City's existing budget for transportation improvements is very limited.
B3. Identify funds (General Fund, Utility Fund, Property taxes, ehz)that are eligible horepay aG|EDloan:
The City will utilize a combination of reserves, property taxes, construction sales tax, and retail sales tax to repay the
requested S|EDloan funding.
Will a revenue stream be generated that could repay a SIED loan outside of the system's normaloperations
and maintenance costs? Ifyes, 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 isnot financially contributing tothe project, please explain why,
Application for Funding, 2028
Pogo20 Yakima County fIEDProgram
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
Phone: 509-840-5270
Title: Director of Facilities
Email: art.ortega@yakimachief.com
Address: 306 Division St City: Yakima, WA Zip Code: 98902
C1. 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
C3. Indicate the construction schedule (if applicable) for the proposed private sector project.
Private Facility Construction Begins
Private Facility Construction Completed
Private Facility Operational
(month/year)
TBD
C4 List all permits required for the PRIVATE SECTOR PROJECT and give their current status (applied for
application being prepared, permit issued, etc.)
P2RM|T8ENVI ROM ENTAIL
REVIEW ISSUER
STATUS
ANTICIPATED
COMPLETION
DATE
-- -
Permits tocomplete the Private Project must bosecured within one year ofoG|EDoffer offinancial aid
-� _ '~
C5. What private authorizations remain prior to proceeding with the proposed private developmentproject?
The proposed Capital Expenditure (CapEx) will require approval from the Board of Directors (BOD) of Yakima Chief
Hops. This CapExproject can only start with approval from the BOD.
CG Explain how the private sector is financing their capital investment inthis project.
Capital investment projects will require approval from the Board of Directors (BOD) of Yakima Chief Hops. The8OO
will determine how the investment iofinanced.
Application for Funding, 2028
PagelZ Yakima County SIED Program
CGcontinued: When will private sector financing beinplace?
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 directresult ofthe public
infrastructure project supporting the private development, Retained jobs are defined asjobs that will belost 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.
�------�—�--l#
� U
Job Description
Of Jobs —#
Retained (|n
�FTEs)_'
Of Jobs --
Created Year 1
(in FTEo)]
�# Of
Created by Year
3 (in FTEs)_
'
Current or initial
Hourly
''Local -
Occupational
Hourly Wages�~
�
.~�.^~~.' 37
..
TBD �
TBD
3.145�U0
504�UU
EST '$4O�8
_ EST '$34�G
7
.-_..--.. ._. _
TBD
�
� Oo/�=`'/*.�w'32
����_��
TBD
TBD �
1�40.O00 [ EST '$%1.G3
� 35
Production `�
TBD
TBD
1750O0O _04
' ' EST -$24
�
Sales __-_�-
17
TBD
TBD
1 �450UU � �
' EST � �
i S
Skilled Crafts
TBD /
TBD
� 450UOO � EST -$38O8 ]
' � ___�
��
�
OthersTotals
|
�
8743000 � 1
� 134
a) How many ufthese positions are for seasonal work? GivOenaaponoeinFTE� �
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 ufpersonal/sick time pro -rated baudu[tonhire date. 110hours accrued Vacation, Competitive Wages, bonus
""'"
CO. How were job projections developed? Explain how the projections are noo|iaUc.
Consultation with Lisa G8[Ci8' Chief People (]ffiCe[' who leads the hUnO8n resources division at
Yakima Chief Hops.
Application for Funding, 2018
Page13 Yakima County SIEDPmgmm
CS Will this project move existing jobs from another partnfthacounb? Ifyes, please describe why the project
cannot happen where the jobs are currently located.
No
C1[L Will the private sector project offer expanded employment opportunities bodisadvantaged orunemployed
workers? How will the firm work tohire 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 propooed). Specifically identify where G|EDfunds are proposed hoboused.
Materials must bareproducible /nblack and white and /n8Y/2xYYformat
4,Engineering estimates supporting project costs: Identify whether estimates are from preliminary
engineering ordesign engineering work.
SIED will not entertain requests for additional funding ifprojections 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.
6Business 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 G|EDapp|ioation is considered a public record; howevmr, financial and commercial information
provided bythe private business inexempt from disclosure tothe extent permitted byRCVV42.5G.27O
paragraph(4).
7. Letters mfsupport: Ifapplicable, please include any letters nfsupport for this project from partners urothers
entities inthe community.
Application for Funding, 2018
Poyo14 Yakima County SIEDPnogurn
Supporting Investments in Economic Development Reporting Form
City of Yakima
Project Title:
New Traffic Signal atS.3rdand Oivison St'Yakima Chief Hops
Public Infrastructure Project:
New traffic Signal at S. 3rd and Division St. - Yakima Chief Hops
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
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 ofthe oounty'ocomprehensive plan, etcl
3. List onamount oftotal expenditures related bzthe project.
4. List anamount ofexpenditures paid for byS|EDfunding.
5. The applicant must -provide an actual or estimated number of businesses jobs that will be created, attracted,
expanded orretained.
G. 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 ofResponsible Official:
.
Printed Name and Title:
_����,���
Application for Funding, 2018
Yakima County SIED Program
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Report Date: May 15, 2023
Ruiz, -� ��
From: Preston' Bill
Sent: Tuesday, July 11' 2023 10:42AK4
To: Ruiz, Sy
Subject: FVV:3rd &Division Potential Intersection Improvements TENVVDesign Scope of
Work
fyi
From: Chandler VVa|da|<chand|er@tenw.conn>
Sent: Friday, February 1(\20238:17AM
To: Preston, BiU<8iU.PresLon@yakimaxva.Qov>
Cc: Chris Bioket<hicket@tenxv.cono>;Davenport, Joan ^Joan.Dave nport@yakinnawm.gov>
Subject: RE: 3rd&Division ' Potential Intersection Improvements TENVVDesign Scope ofWork
Bill — hopefully this gave you enough information to determine how to move forward with the project.
Please let usknow ifyou have any questions orneed anything else,
Thank you,
Chandler aKdal|Project Mmnogpr
TE ll4O0SE8mStreet, Suite 200 Bellevue YYA980O4
From: Chandler VVa|da|
Sent: Fhday, February3, 2023 11:85AK0
To: Preston, Bill
Cc: Chris Bicket Davenport, Joan
Subject: RE: 3rd & Division - Potential Intersection Improvements - TENW Design Scope of Work
HiBill — Some initial thoughts below.
U. PE (Engineering ' Plans, Specs and Estinnates)= $lOOk'$1SOk—survey, geotech, environmental, landscape, civil,
traffic.
O. ROW /TCE(Temp Construction Easements) =$SOk—Note this isavery broad assumption. Could vary significantly
ornot berequired atall.
O. Construction = $450k-$500k - Traffic Signal Construction assuming minimal hardscape/paving improvements. If
lane widening, utility relocates, power undergroundin0, etc. are required, costs can escalate quickly. Traffic
control during construction can have abig cost impact aswell.
Fl. Construction Admin=$5Ok Assuming anoutside Construction K8anager/|nspeotor.
We would suggest assuming $650-$750k to be conservative.
Thanks!
Chandler a|daU | Project Manager
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. PU ' OSE
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 1-82 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.
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KIMA CHIEFHOPSO
October Ol,202l
Joan Davenport
Community Development Director
City mfYakima
12SN.Second Street, 2"uFloor
Yakima, VVA98903
Please receive this letter as my formal request to be considered as an applicant for Yakima County
SIED Program Investment funds.
Asthe largest supplier ofhops inthe United States, Yakima Chief Hops (YCH)iaproud tolocate 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 four-way traffic light to
support the crossing of Third Avenue. VVecurrently own Gbuildings mnthe East side mfThird
Avenue. Our staff and our customers are currently at a severe safety risk when we need to cross
this street.
Safety bYakima Chief Hops highest priority. Our company takes pride in the fact that we work
wisely to keep all of our employees safe. With astrong focus onthe safety ofour 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 nnyreview ofthe Yakima County S|ED
Program, it seems like this project would be an ideal opportunity to receive support.
Yakima Chief Hops iointerested inapplying for S|EDfunds. Ifthese 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. |can
be reached anytime at ryanl,ho-okins.@vakim.achief.com
Many thanks,
Ryan Hopkins, Chief Executive Officer
FQOA8THE`�
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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