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2024-10-01 Council Packet1 2. of c�,y s Agenda Edmonds City Council REGULAR MEETING COUNCIL CHAMBERS 250 5TH AVE NORTH, EDMONDS, WA 98020 OCTOBER 1, 2024, 7:00 PM REGULAR COUNCIL MEETINGS BEGINNING AT 7:00 PM ARE STREAMED LIVE ON THE COUNCIL MEETING WEBPAGE, COMCAST CHANNEL 21, AND ZIPLY CHANNEL 39. TO ATTEND VIRTUALLY, CLICK ON OR PASTE THE FOLLOWING ZOOM MEETING LINK INTO A WEB BROWSER USING A COMPUTER OR SMART PHONE: HTTPS://ZOOM.US/J/95798484261 BY PHONE: +1 253 215 8782 WEBINAR ID: 957 9848 4261 CALL TO ORDER/FLAG SALUTE LAND ACKNOWLEDGEMENT WE ACKNOWLEDGE THE ORIGINAL INHABITANTS OF THIS PLACE, THE SDOHOBSH (SNOHOMISH) PEOPLE AND THEIR SUCCESSORS THE TULALIP TRIBES, WHO SINCE TIME IMMEMORIAL HAVE HUNTED, FISHED, GATHERED, AND TAKEN CARE OF THESE LANDS. WE RESPECT THEIR SOVEREIGNTY, THEIR RIGHT TO SELF-DETERMINATION, AND WE HONOR THEIR SACRED SPIRITUAL CONNECTION WITH THE LAND AND WATER. 3. ROLL CALL 4. PRESENTATIONS S. 6 7 1. National Arts & Humanities Month Proclamation (5 min) 2. Arbor Day Proclamation 2024 (5 min) 3. Mayor's Finance Update (10 min) APPROVAL OF THE AGENDA AUDIENCE COMMENTS THIS IS AN OPPORTUNITY TO COMMENT REGARDING ANY MATTER NOT LISTED ON THE AGENDA AS CLOSED RECORD REVIEW OR AS A PUBLIC HEARING. SPEAKERS ARE LIMITED TO THREE MINUTES. PLEASE STATE CLEARLY YOUR NAME AND CITY OF RESIDENCE. IF USING A COMPUTER OR SMART PHONE, RAISE A VIRTUAL HAND TO BE RECOGNIZED. IF USING A DIAL - UP PHONE, PRESS *9 TO RAISE A HAND. WHEN PROMPTED, PRESS *6 TO UNMUTE. RECEIVED FOR FILING 1. Written Public Comments (0 min) Edmonds City Council Agenda October 1, 2024 Page 1 8. APPROVAL OF THE CONSENT AGENDA 1. Approval of Committee Meeting Minutes September 17, 2024 2. Approval of Council Special Meeting Minutes September 17, 2024 3. Approval of claim checks and wire payments. 4. Approval of payroll and benefit checks, direct deposit and wire payments. 5. Approval of Proposed Change of Procedure for October 29 Public Hearing on Preliminary Budget 9. COUNCIL BUSINESS 1. Comprehensive Update to Contracting and Purchasing Policies and Procedures (20 min) 2. Policy for Expanding MUGA Boundary (30 min) 3. Legal Assessment Committee Evaluation and Recommendation of City Attorney 2024 (20 min) 4. Flock Camera Presentation (30 min) 10. COUNCIL COMMENTS 11. MAYOR'S COMMENTS ADJOURNMENT Edmonds City Council Agenda October 1, 2024 Page 2 4.1 City Council Agenda Item Meeting Date: 10/1/2024 National Arts & Humanities Month Proclamation Staff Lead: Frances Chapin Department: Mayor's Office Preparer: Carolyn LaFave Background/History National Arts & Humanities Month was established in 1993 and is celebrated every October in the United States. It was initiated to encourage Americans to explore new facets of the arts and humanities in their lives, and to begin a lifelong habit of participation in the arts and humanities. It has become the nation's largest collective annual celebration. Staff Recommendation n/a Narrative Mayor Rosen will read a proclamation in recognition of National Arts and Humanities Month. Attachments: National Arts & Humanities Month Packet Pg. 3 4.1.a PrILIrtamat,10111 City of Edmonds •Office of the Mayor NATIONAL ARTS AND HUMANITIES MONTH - OCTOBER 2024 WHEREAS, cities and states have celebrated the value and importance of culture in the lives of Americans and the health of thriving communities during National Arts and Humanities Month for over 30 years; and WHEREAS, the arts and humanities help tell our stories, building bridges of understanding, sharing experiences across diverse communities, and envisioning possibilities for the future; and WHEREAS, the creative industries remain among the most vital sectors of the American economy, creating jobs and economic activity within their own industry and across sectors, driving tourism, and making communities attractive to business development; and WHEREAS, the nation's arts and culture creative sector is just over a $1.1 trillion dollar industry that supports 5 million jobs representing 4.3% of the nation's economy, a larger share of GDP than sectors such as agriculture, transportation, and utilities; and WHEREAS, the arts & culture sector in Edmonds generates significant revenue and economic activity annually, supporting over 50 arts and culture related nonprofit organizations and programs, and over 100 creative sector businesses in the Downtown Edmonds Creative District, the State's first certified Creative District, which is celebrating its 6th year. NOW, THEREFORE, BE IT RESOLVED, that I MikeTtosen, Mayor, do hereby proclaim October as National Arts and Humanities Month In Edmonds, WA, a city that prides itself on its long and rich history in the arts and call upon our community members to celebrate and promote arts and culture throughout the year in Edmonds, supporting our local artists, cultural organizations and State certified Creative District. Mike Rosen, Mayor — October 1, 2024 Packet Pg. 4 4.2 City Council Agenda Item Meeting Date: 10/1/2024 Arbor Day Proclamation 2024 Staff Lead: Angie Feser Department: Mayor's Office Preparer: Carolyn LaFave Background/History Arbor Day is a day of observance in which individuals and groups are encouraged to plant trees. Today, many countries observe such a holiday. Though usually observed in the spring, the date varies, depending on climate and suitable planting season. Staff Recommendation N/A Narrative Mayor Rosen will read a proclamation recognizing Arbor Day in Edmonds. Attachments: Arbor Day Proclamation 2024 Packet Pg. 5 4.2.a PrIorriamat,10111 City of Edmonds •Office of the Mayor ARBOR DAY 2024 WHEREAS, in 1872, J. Sterling Morton proposed that a special day be designated for the purpose of planting trees; and WHEREAS, this holiday, now called Arbor Day, is observed throughout the nation and the world, and throughout communities in Washington State; and WHEREAS, trees lessen the impacts of urbanization, provide wildlife habitat and contribute many community benefits through improved air quality, stormwater mitigation, and moderated temperatures; and WHEREAS, the City of Edmonds supports the planting, maintenance and preservation of trees throughout our community as an investment in a healthy and sustainable future for all of us; and WHEREAS, the City of Edmonds Citizen Tree Board is giving away more than 100 tree seedlings on October 5t" in celebration of Arbor Month; and WHEREAS, the City of Edmonds, Sound Salmon Solutions Edmonds Stewards, and volunteers from throughout our community are planting more than 150 native trees and shrubs in Pine Ridge Park and Hutt Park on October 26th; NOW, THEREFORE, I, Mike Rosen, Mayor of the City of Edmonds, do hereby proclaim October 1, 2024, as Arbor Day in Edmonds and urge all citizens to recognize and applaud the contributions of our State's greatest natural resource. 011 Mike osen, Mayor — October 1, 2024 Packet Pg. 6 4.3 City Council Agenda Item Meeting Date: 10/1/2024 Mayor's Finance Update Staff Lead: Carolyn LaFave Department: Mayor's Office Preparer: Carolyn LaFave Background/History On July 2, 2024 the council voted to have a Mayor Update as an ongoing item all regular meeting agendas. This was in response to a recommendation from the Mayor's Blue Ribbon Panel. Staff Recommendation No action, informational Narrative The Mayor, or another member of the administration, will answer questions about City finances that have been requested by council in advance and will also share actions related to the fiscal emergency that have transpired since the last update. When there is nothing new to report, this agenda item will be the opportunity to share that there is nothing new to report. Packet Pg. 7 7.1 City Council Agenda Item Meeting Date: 10/1/2024 Written Public Comments Staff Lead: City Council Department: City Council Preparer: Beckie Peterson Background/History N/A Staff Recommendation Acknowledge receipt of written public comments. Narrative Public comments submitted to the web form for public comments <https://www.edmondswa.gov/publiccomment> between September 18, 2024 and September 24, 2024. Attachments: Public Comment October 1, 2024 Packet Pg. 8 7.1.a Edmonds City Council Public Comments — October 1, 2024 Online Form 2024-09-22 10:51 PM(MST) was submitted by Guest on 9/23/2024 1:51:23 AM (GMT- 07:00) US/Arizona FirstName Jennifer LastName Layer Email CityOfResidence Edmonds AgendaTopic Mika's Playground Comments Today I took my 20 month Grandson with his Mom to Mika's Playground for the first time. What a wonderful place for children, Had a great time with him until much older children showed up. We were enjoying a slow ride on the merry go round and a teenager showed up stating he wanted to speed up the ride to scare my grandson. My daughter and I stopped the toy and got off. The same teenager picked up his small basketball as he was digging in the sand and said "is there a basketball hoop here?" We asked the child to give us the ball back. I thought this was supposed to be a place for all children? m E E 0 U a a� •L N O N L rt+ %i 0 rt+ _ d E E 0 U a m E c� r a Packet Pg. 9 8.1 City Council Agenda Item Meeting Date: 10/1/2024 Approval of Committee Meeting Minutes September 17, 2024 Staff Lead: Council Department: City Clerk's Office Preparer: Scott Passey Background/History N/A Recommendation Approval of Council Meeting minutes as part of the Consent Agenda. Narrative Council meeting minutes are attached. Attachments: 2024-09-17 Council PPW Minutes 2024-09-17 Council PSPHSP Minutes 2024-09-17 Council FIN Minutes Packet Pg. 10 8.1.a PARKS & PUBLIC WORKS COMMITTEE MEETING September 17, 2024 Elected Officials Present Staff Present Councilmember Susan Paine (Chair) Rob English, City Engineer Councilmember Michelle Dotsch Angie Feser, Parks, Rec. & Human Serv. Dir. Council President Olson (ex-officio) Jeanie McConnel, Engineering Program Manager Jeff Whatmore, Engineering Technician II Angela Tinker, City Attorney's Office Scott Passey, City Clerk CALL TO ORDER The Edmonds City Council PPW Committee meeting was called to order virtually and in the City Council Conference Room, 121 — 5` Avenue North, Edmonds, at 1:30 pm by Councilmember Paine. 2. COMMITTEE BUSINESS 1. An ordinance of the Citv of Edmonds arantina to New Cinaular Wireless PCS. LLC a Delaware limited liability company, successor in interest to AT&T Wireless Services of Washington, LLC, an Oregon limited liability company, d/b/a AT&T Wireless, its successors and assigns, a nonexclusive master permit agreement to install, operate, and maintain macro wireless telecommunications facilities within a certain designated area of right-of-way, establishing an effective date Ms. Tinker reviewed the franchise, explaining this is a renewal of two 20-year old franchises, combining them into one because the corporate entities are now the same, formally New Cingular Wireless and AT&T Wireless Services of Washington. The franchise authorizes New Cingular Wireless to have macros facilities at the same three locations authorized under the original franchises. New Cingular is not authorized to place more without an amendment. New Cingular Wireless is current on its payments to the City and the City is not aware of any breach. The franchise document was reviewed and updated with the assistance of City staff and included updating insurance in line with WCIA recommendations, indemnity, relocation requirements, fees for use of the right-of-way and fee to allow the City to recover administrative expenses. She highlighted two scrivener errors in the packet that will be corrected if the committee recommends forwarding the franchise to the consent agenda. AT&T agrees these are scrivener's errors. Ms. Tinker responded to questions regarding whether there is a bond requirement and locations where replacement structures are shorter than prescribed in the RCW. Committee recommendation: Consent agenda 2. Public Pedestrian Easement along Sunset Ave N adjacent to 326 Sunset Ave N Mr. Whatmore explained this is related to a permit for demolition of single family to construct a new single family at 326 Sunset Ave N. That process requires the sidewalk frontage be brought be up to City standards and ADA compliance. As this will require the sidewalk be approximately 2 feet on private property, the City is requesting a 2-foot pedestrian easement be granted to the City along the property frontage. Packet Pg. 11 8.1.a 09/17/24 PPW Committee Minutes, Page 2 Mr. Whatmore and Ms. McConnell responded to questions whether other structures on Sunset will be required to dedicate easements, BNSF right-of-way on Sunset, portions of the sidewalk located on private property on the south end of Sunset, whether the right-of-way width is different for a one-way street, location of the pedestrian easement, and width of the right-of-way on Sunset. Committee recommendation: Future consent agenda once the applicant completes additional recording requirements 3. Resolution to Approve Placement of Lien on Civic Park Property Ms. Feser introduced Bill Tsoukalas, Executive Director, Boys & Girls Club of Snohomish County. She explained the Boys & Girls Club currently operates out of an existing building inside Civic Park property via a long standing lease agreement. In February 2023, the lease agreement was renewed and modified to become a ground lease to enable demolition of the existing building and construction of a new building. The ground lease requires any liens on the property via the construction process be reviewed and approved by the city council. A $1 M grant the Boys & Girls Club acquired from Snohomish County ARPA funds requires a lien. The resolution attached to the agenda item is the mechanism to authorize the lien. A leasehold deed of trust from Snohomish County with the required documentation is attached to the resolution. The city attorney has reviewed the resolution and agreement and responded to the council president's questions via email. Ms. Feser and Mr. Tsoukalas responded to questions regarding this being administrative, construction awaiting permits and approval of height and setback variances, scheduling design review and public hearing, and tight timeline to place the lien. Committee recommendation: Consent agenda 4. Council Rules of Procedure Sections 10, 11, 12 and 14 Council President Olson relayed Mr. Passey's suggestion to replace "related materials" with "other City related resources" in Section 12.2. Committee recommendation: Consent agenda 3. ADJOURNMENT The meeting was adjourned at 1:52 pm. Packet Pg. 12 8.1.b PUBLIC SAFETY, PLANNING, HUMAN SERVICES & PERSONNEL COMMITTEE MEETING September 17, 2024 Elected Officials Present Staff Present Councilmember Neil Tibbott (Chair) Michelle Bennett, Police Chief Councilmember Chris Eck Rod Sniffen, Assistant Police Chief Council President Vivian Olson(ex-officio) Jessica Neill Hoyson, HR Director Councilmember Susan Paine Shane Hope, Acting Planning & Dev. Dir. Councilmember Will Chen Angie Feser, Parks, Rec. & Human Serv. Dir. Councilmember Jenna Nand Scott Passey, City Clerk 1. CALL TO ORDER The Edmonds City Council PSPHSP Committee meeting was called to order virtually and in the City Council Conference Room, 121 — 511 Avenue North, Edmonds, at 3:30 pm by Councilmember Tibbott. COMMITTEE BUSINESS 1. Comprehensive Plan Update Ms. Hope relayed a lot of work has been done on the comprehensive plan, a lot of ideas, and significant input, but a lot of things still needed to be done. For example, the draft EIS was expected to be done in August; staff received a preliminary draft but more information was needed related to environmental impacts. Staff is working with the consultant on the DEIS as well as specific aspects of the draft comprehensive plan to make it more readable and remove unnecessary details, action statements and implementation steps from the policies. Language for some elements still needs to be drafted which will require additional planning board and public input and council discussion and direction, issuance of a final EIS, etc. Staff and the consultants are working hard to get the draft comp plan to an appropriate level and enough usable information for the DEIS. The DEIS and draft comprehensive plan are expected to be issued later this month. Ms. Hope did not anticipate the comprehensive plan update would be completed by the State's December 31 deadline. Staff will provide a schedule to council in the future. She will provide further details and there will be time for questions/comments at tonight's special council meeting. In January the State will begin determining which cities and counties have met the deadline. The City is not eligible to obtain State grants and loans until the comprehensive plan update is submitted. Questions and discussion followed regarding support for the goals and policies being more general without a lot of detail, the State's December 31, 2024 deadline to have an adopted comprehensive plan, impact of missing that deadline, the code update that follows the comprehensive plan update, and whether the budget allocated for the comprehensive plan update is adequate. Committee recommendation: Further discussion at 7 pm special council meeting. 2. Update to ECC 2.10.010 - Acting Appointments Ms. Neill Hoyson explained when a director position is vacant, the mayor has the ability to appoint an acting director to perform the director duties while recruitment is underway. The position must be vacant for the mayor make an acting appointment. Vacant usually means the person is no longer on the City's payroll. There have been some situations where a decision has been made to separate employment of a director and they may have been offered a separation agreement. When a person employed in Washington State is over 40 years old, they are allowed 21 days to review the separation agreement Packet Pg. 13 8.1.b 09/17/24 PSPHSP Committee Minutes, Page 2 and once they sign the agreement, they have an additional 7 days to revoke their signature which leads to a 28 day period when the mayor cannot appoint an acting director, but the person who was in that role is no longer performing any director functions. The position is placed on admin leave while reviewing the separation agreement. The proposed update to Section E adds language related to when a position is deemed vacant. Questions and discussion followed regarding the amendment to Section E, the definition of vacant, the need to appoint an acting director, why it is not always ideal to have the next level manager run the department in the interim, a request to clearly identify the amended language when it comes to council, and time period the City could be paying both a director on admin leave and an acting director. Committee recommendation: Consent agenda 3. Update to Promotion Policy - Compensation Ms. Neill Hoyson explained HR will be working on a full policy manual update early next year, but some policies need to be addressed in the interim such as the promotional policy that addresses compensation when an internal applicant has a promotional opportunity. Currently when an employee is promoted, they receive a 5% increase regardless of the increase in responsibility, authority, specialized skill set, etc. The way salary structures are created, there is a 5% difference between each range and a 5% difference between each step within each range so a 5% increase is a one-step increase for an employee. This update will allow the pay increase to reflect an employee's promotion to a much higher level of responsibility. There have been situations where employees have declined promotions because the increased responsibility was not commensurate with the pay increase. With this update, the hiring department would have the ability to submit a request to HR for review by HR and the mayor and the mayor would approve or decline the request for an increase higher than 5%. This update also addresses a situation where an internal applicant is competing against external applicants and allows an internal applicant to negotiate their job offer. She described benefits of promoting from within. Questions and discussion followed regarding how other cities handle internal promotions, the change only applying to non -represented employees but anticipation the unions will request this addition to their contracts in future, ability to be competitive and adequately compensate for a substantial increase in responsibility, how often someone is promoted multiple ranges, a request to clearly identify the new language when it comes to council, and support for preserving institutional knowledge whenever possible via promoting from within. Committee recommendation: Consent agenda 4. Social Worker Supervision Contract Police Chief Bennett explained per RCW the City is required to have a supervisor for the social worker. The contract between the City and Wendy Warman is for 2 hours/month at $90/hour for a total of $180/month, and a not to exceed amount of $2500/year. Funding for this contract is covered by the grant. Committee recommendation: Consent agenda 5. ILA with Edmonds School District Assistant Chief Sniffen relayed the Edmonds Police Department currently provides security services at afterschool and weekend events like football games, dances, and graduations. Several years ago the City and ESD entered into agreement whereby the City provides the staff and bills the District directly for the overtime incurred. This is renewal of a five year agreement. Packet Pg. 14 8.1.b 09/17/24 PSPHSP Committee Minutes, Page 3 Questions and discussion followed regarding this being a win for City and the police department, how this is added to the officers' pay, times when the EPD is unable to fulfill ESD requests for security due to staffing shortages, opportunity to bring the police department closer to the community, and review of the ILA by the city attorney. Committee recommendation: Consent agenda 6. Flock Camera Presentation Police Chief Bennett recognized Crime Analysist Molly Reeves for obtaining a grant to fully fund this program. She reviewed: • What is Flock o Flock is a license plate reading hardware and software network o Flock will cross reference license plates captured against state databases like NCIC o Flock allows agencies to share suspect vehicles with other police departments using Flock o Flock will alert a Police Department within seconds once a missing, wanted or stolen plate is captured on a camera With Flock Safety you get: o Flock Safety provides your police department with indiscriminate evidence from fixed locations. o We provide all of the maintenance so your police department and city staff can focus on keeping your city safe and prosperous o Infrastructure free 0 24/7 coverage o Real-time alerts o Ethically built frock safety 10% Flock devices are currently berg used to solve epprmtimatsly 2,000 crimes per day, accoirrting for 10% of all reported crime in the United States. "W What this is: o License Plate Recognition (LPR) o Gathers objective evidence and facts about vehicles, not people o Alerts police of wanted vehicles o Used to solve crime o Adheres to all state laws What this is not: o Not facial recognition o Not collection of biometric or sensitive information o Not used for tracking speed or parking violations o Data automatically deletes every 30 days Protecting privacy Packet Pg. 15 8.1.b 09/17/24 PSPHSP Committee Minutes, Page 4 o Footage owned by agency/city and will never be sold to private third parties by Flock 0 30-day data retention, then automatically hard deleted o Takes human bias out of crime -solving by detecting only objective data o All data is stored security with end to end encryption of all data Accountability Mechanisms o Search reason and user number saved in indefinitely available audit trail o NOT facial recognition software, NOT collecting biometric information o NOT used for parking enforcement or tolls o Not connected to registration data or 3Id party databases (Carfax, DMV) o Transparency portal (free and optional) Transparency & Insights o Measure ROI and promote the ethical use of public safety technology o Transparent Portal ■ Customizable for each agency ■ Display technology policies ■ Publish usage metrics o Insights Dashboard ■ Measure crime patterns and ROI ■ Audit search history o Examples ■ Morgan Hill PD ■ Vallejo PD Questions and discussion followed regarding demonstration of Flock at the AWC conference showing its effectiveness, what happens if someone obscures or changes their license plate, whether the City would be notified if another government agency wanted to access the City's cameras, current technology (body cameras and in -car cameras with plate readers), funding beyond the 12-month grant, ability to fund a 2-year contract for $131,000, whether there would be an option for renumeration from insurance companies for recovery of stolen vehicles using data collected by a Flock system, and the focus on license numbers and not facial recognition. Committee recommendation: Full council with presentation by Flock 3. ADJOURN The meeting was adjourned at 4:35 pm. Packet Pg. 16 8.1.c FINANCE COMMITTEE MEETING September 17, 2024 Elected Officials Present Staff Present Councilmember Will Chen (Chair) Kim Dunscombe, Acting Finance Dir. Councilmember Jenna Nand Sharon Cates, City Attorney's Office Council President Vivian Olson (ex-officio) Scott Passey, City Clerk Councilmember Susan Paine CALL TO ORDER The Edmonds City Council Finance Committee meeting was called to order virtually and in the City Council Conference Room, 121 — 5` Avenue North, Edmonds, at 5:30 pm by Councilmember Chen. The agenda was modified to discuss Item 2.2 until Ms. Cates arrived. 2. COMMITTEE BUSINESS 2. Auqust 2024 Monthly Financial Report Ms. Dunscombe reported a lot of same themes for revenue and expenses continued in August. She highlighted a new bulleted section, Utility Fund Highlights, related to the 2024 Revenue Bond. Ms. Cates joined the meeting at this point; the committee will continue this discussion following the next agenda item. 1. Comprehensive Update to Contracting and Purchasing Policies and Procedures Ms. Cates explained this is based in part on what other jurisdictions have done; the intent is to provide more context and guidance for City staff doing procurement. Directors and other staff members provided input on this update. The update includes a proposal to increase the contracting limits for directors and mayor which is a decision for council to make. In reference to Councilmember Nand's emailed comments, she explained Washington State law authorizes cities to enter into public works contracts according to certain limits which does not change the City's contracting authority level. She proposed directly quoting state law for those sections to clearly reflect the limits authorized by city council. Questions and discussion followed regarding appreciation for the comprehensive update, concern with increasing the spending authority from $100,000 to $150,000 at a time the City is experiencing financial difficulties, possibly reconsidering an increase in the spending authority when revenue sources have stabilized, council's desire for notice when larger expenditures are occurring, new limits appropriate due to inflation but the City is experiencing exceptional circumstances, increasing spending authority except during times of financial crisis/emergency, ability to update limits when conditions improve, committee members' support for retaining the current limits during 2025 and 2026, voucher approval process, requiring notice to council when contracts over $150,000 or multi -year contracts are significantly modified, adding language to require project numbers, and capabilities of the new ERP related to project tracking. Questions and discussion continued regarding tracking multiyear and multi -department projects, guardrails for creating project numbers for tracking high profile projects, policy language versus practice, including language to give council the option to request project numbers, concern tracking expenditures creates burden on staff, whether to establish a dollar amount for which project tracking would be done, difficulty tracking a project retroactively if a project becomes controversial, accounting for staff time on high profile projects, Ms. Cates conferring with directors regarding appropriate Packet Pg. 17 8.1.c 09/17/24 Finance Committee Minutes, Page 2 language, all capital projects currently have project numbers, operating projects that become significant, ensuring projects such as Landmark are in the CIP/CFP, and whether to include a local newspaper for publication of notice for bids. Committee recommendation: Full council 2. August 2024 Monthly Financial Report (Continued) Ms. Dunscombe continued her review of the report. She highlighted a change on packet page 72 in fund reporting for the utilities and internal service funds from full accrual fund balance to working capital fund balance. She relayed a suggestion from Councilmember Chen to include a column that showed the total fund balance in some manner. Councilmember Chen provided further details on the change in reporting. For enterprise funds and internal service funds which were $112M in the 2024 budget, the reporting was changed in May/June/July from full fund balance (fixed assets plus working capital) to only working capital which significantly reduced the fund balance on the monthly reports. He suggested adding a line with the fixed assets so the total agrees with the adopted budget. Ms. Dunscombe advised the adopted budget for 2025 will use working capital as the beginning fund balance. The only place the full accrual fund balance would be reported is in the annual financial report. Ms. Dunscombe reviewed the General Fund Department Expense Summary, highlighting % spent and plans for a budget amendment in October. She reviewed the Investment Portfolio Summary, pointing out the anticipated federal reduction in the interest rate which will impact investment revenue. Questions and discussion followed regarding using footnotes and definitions to help readers understand the utility fund is only reporting the working capital portion, bond funds increasing revenue in the utility fund, bonds and CDs that mature at the end of the year, trigger point for bond refunding, and what is not reported in the utilities fund balances. Committee recommendation: Received for Filing 3. ADJOURNMENT The meeting was adjourned at 6:47 pm. Packet Pg. 18 8.2 City Council Agenda Item Meeting Date: 10/1/2024 Approval of Council Special Meeting Minutes September 17, 2024 Staff Lead: Council Department: City Clerk's Office Preparer: Scott Passey Background/History N/A Recommendation Approval of Council Meeting minutes as part of the Consent Agenda. Narrative Council meeting minutes are attached. Attachments: 2024-09-17 Council Special Minutes Packet Pg. 19 8.2.a EDMONDS CITY COUNCIL SPECIAL MEETING MINUTES DRAFT MINUTES September 17, 2024 ELECTED OFFICIALS PRESENT Mike Rosen, Mayor Vivian Olson, Council President Neil Tibbott, Councilmember Will Chen, Councilmember Susan Paine, Councilmember Michelle Dotsch, Councilmember Chris Eck, Councilmember Jenna Nand, Councilmember 1. CALL TO ORDER STAFF PRESENT Shane Hope, Acting Planning & Development Dir Mike Clugston, Acting Planning Manager Jeff Taraday, City Attorney Scott Passey, City Clerk The Edmonds City Council special meeting was called to order at 7 pm by Mayor Rosen virtually and in the City Council Conference Room, 121 — 5th Avenue North, Edmonds. 2. AUDIENCE COMMENTS There were no audience comments. 3. COUNCIL BUSINESS 1. DISCUSSION OF FUTURE PROPERTY TAX LEVY IMPLICATIONS OF AN RFA ANNEXATION Councilmember Tibbott explained the council has been considering this question for some time including a robust discussion at the August 16 budget retreat, and soliciting community input at a public hearing, via email and other sources. He recalled when the South County Fire (SCF) fire chief telling the council this was one of most important question for councils to consider before voting to put annexation on the ballot. The Edmonds City Council is at the point where it could make a decision tonight regarding its approach to some, none or all related to annexation. To focus tonight's discussion, he recapped last week's presentation: Fire/EMS Service Options Considered o Join the Regional Fire Authority via annexation o Contract Fire/EMS service with another city o Contract Fire/EMS service with the RFA o Form Edmonds Fire Department The specific question for discussion: If the City of Edmonds joins the RFA via annexation in 2026, should the Edmonds City Council change the amount levied for the General Property tax for 2026? Fire/EMS Contract 2024 — 2026 Funding Edmonds City Council Draft Minutes September 17, 2024 Page 1 Packet Pg. 20 8.2.a 2024 Fire Service Contract Expense $11.SM City EMS Levy I I General Fund 4REFunded with ARPA S4.35 M $1.2 M $6M T,,.­pa,t F-s 2025 Fire Service Contract Expense $12. 1 M (assuming 5%) General Fund $4.4M $1.2M $6.5M (assumingt1%) TianspmtFua 2026 Fire Service Contract Expense $19.5 M (SCF letter 6/18/2024) Ci General Fund ??? $4.44M $1.2M $13.9M Councilmember Tibbott explained in 2022, SCF asked the City to increase its investment in the EMS unit at Station 20. That unit and the personnel required to provide the service cost the City an additional $1M. The council approved that increase and it went into effect in 2023. During 2023, the net effect of union negotiations increased the cost of fire service by $1.5M. The cost of the City's contract with SCF in 2022 was approximately $9M which meant the EMS levy ($4.35M in 2024) and transport fees ($1.2M in 2024) provided slightly more than half the funding. By 2023 those sources provided slightly less than half and the difference was paid out of general fund reserves which cause reserve levels to decrease in 2023. In 2024 the general fund portion of the fire service contract was paid using ARPA funds which is one-time money. In 2025, the contract is expected to go up 5%, the EMS levy and transport fees remain roughly the same and the cost to the general fund is $6.5M; the source of those funds is currently unknown. In 2026 there is the possibility of a contract with SCF or the City will annex into the SCF RFA; that cost is estimated to be $19.5M and the general fund portion would be $13.9M. If the fire service is funded as a contract in 2026, the funding source is unknown. If RFA Annexation 2026 — Taxpayer Impact (2024 valuations) o Annexation taxpayer cost impact on an average home (SCF Fire letter dated February 6, 2024) ■ Scenario 1 "All": The City of Edmonds retains the dollars in its general fund that paid for the fire contract, a total of $5,965,492. ■ Scenario 2 "None": The City of Edmonds reduces its general fund levy by $5,965,492, the amount currently funding the fire contract. ■ Scenario 3 "Some": The City of Edmonds reduces its general property tax levy by a different specific absolute dollar amount. o Calculations based on 2,000 sq. ft. home with $836,183 AV (2024 Valuations) General/Fire Benefit Total Annual Levy EMS Levy Charge Increase Monthly Scenario 1: City does not reduce general levy $ 1,303.36 $ 290.72 $ 71.64 $ 809.24 $67.44 Scenario 2: $5,965,637 general levy reduction $ 978.46 $ 290.72 $ 71.64 $ 484.33 $40.36 (SCF Fire Letter dated February 6, 2024) Councilmember Tibbott continued, the difference between Scenario 1 and 2 above is about $27/month. The question is whether to retain the full amount of the general fund levy, reduce the general fund levy by some amount, or reduce the general fund levy by the entire amount. The $5,965,637 amount has been used over the last three years to fund other portions of the City's municipal responsibilities. He summarized without any reduction in the general fund levy, the increase is $809/year, if the levy is reduced by the entire amount, approximately $6M, the increase is $484.33/year, a difference of $27. Edmonds City Council Draft Minutes September 17, 2024 Page 2 Packet Pg. 21 8.2.a Councilmember Tibbott reiterate the question, whether to reduce the general levy in some amount and if so, what amount, or retain it and use it for general fund expenditures as has been done over the last few years. Despite the fact these funds are already being used, the City will need to adjust its budget even more in the coming years. Mayor Rosen has indicated in working with staff, approximately $4M has been trimmed from the budget. He explained retaining the full amount that is already being used for general fund expenditures and putting forth a very clear proposition for the voters to consider is one way to eliminate ambiguity and address the lack of clarity. The council can then be fully focused on whether joining the RFA is a good idea and how annexation would provide fire and EMS and eliminate the general fund tax question. Councilmember Dotsch asked why a 2,000 square foot home was chosen for the calculation when that is at the lower end rather than an average size. Councilmember Tibbott answered it was intended to be a median priced home which in Edmonds is approximately that size. These are 2024 valuation; the median price in Edmonds is now higher which means the levy amount would be higher. Councilmember Dotsch asked about the benefit charge for apartments and multifamily units. Councilmember Tibbott answered the EMS levy is 6% of the valuation. Mayor Rosen responded the ratios between AV and benefit charge remain the same in this formula. There has been discussion about changing that ratio in future, but that decision has not been made. Property owners would be charged at the current ratio based on the formula displayed. Councilmember Dotsch observed the percentage can go up to 60%. Mayor Rosen agreed. In response to Councilmember Dotsch's question whether apartments or multifamily would be charged more than a residential unit, Councilmember Tibbott advised that will be part of discussion. Negotiations with SCF include a rethinking of commercial parcels in the City that may have more risk and as a result would have a higher benefit charge, but that has not yet been fully vetted. Mayor Rosen advised the fire benefit charge must be the same for all cities within the RFA. Councilmember Chen explained based on his understanding, the assessed value doesn't matter because the way fire services is paid is SCF does an overall assessment and uses the overall assessment of how much money they need divided by the entire assessed value of everyone within SCF to develop a rate and apply the rate to individual homes. The key is the total amount of the assessment. The more important point is the amount Edmonds will be assessed, $19M, how that is determined and whether there is room for a more realistic number. SCF is allowed to assess up to 60% for a benefit charge, a decision that will also impact the per household charge. Councilmember Nand expressed interest in demonstrating to the voters what $5.9M in cuts for 2026 would look like and asked if there was a simple model to show the depths of per capita staffing and program cuts as a hypothetical impact of retaining some, none or all. Mayor Rosen answered that is part of what the council will receive on October 1 with his recommended 2025/2026 budget and the council will determine whether they like those cuts, want more cuts, want different cuts, or want fewer cuts. This reason for this conversation is to make an assumption in the budget if annexation takes place, whether the City is retaining some, none or all of the general fund levy. Councilmember Nand asked if the administration was seeking a motion from the council tonight regarding what underlying assumption the administration will use for the 2025/2026 budget. Mayor Rosen answered yes, recognizing it is conditional because the council has not decided if they want to put annexation on the ballot. If the council decides to put annexation on the ballot, then this decision has already made for purposes of a budget assumption. Councilmember Paine recognized the council's decision is conditional, but it provides abundant and dense information. She thanked Councilmember Tibbott for developing this information to explain to the community what they can expect. She asked why the cost for SCF in 2024 is dramatically higher, Edmonds City Council Draft Minutes September 17, 2024 Page 3 Packet Pg. 22 8.2.a recognizing if the council did nothing, the general fund portion would be approximately $14M. Councilmember Tibbott answered SCF has consistently said their service requirements across the district have increased in ways that the City's previous contract does not address. When that contract was written in 2018 or 2017, it reflected the cost of delivering fire services at that time and incremental increases have occurred due to increases in the union contract and to even out the unit utilization factor. SCF has also said EMS services have increased significantly. Councilmember Tibbott continued, another factor is "shared resources" that SCF provides across the district that the City does not pay for such as education resources or resources to prevent accidents or reduce the use of EMS services. That service is partially funded via a Verdant grant, but at least half is funded by SCF. With the additional services, the increase in EMS calls and increased staffing levels, the full amount the City's would pay would be approximately $14M more. SCF has indicated the other cities in the RFA are paying that amount already via their assessed values. SCF is also planning ahead for future needs, including actively purchasing land, preparing to provide other fire services such as high rise apartment complexes, etc. Councilmember Paine commented that information has not been socialized. That is a significant increase and although not the question the council is addressing tonight, people are relying on the council to vet these numbers and make decisions. She was satisfied this was a good way to start and for the community to have a fuller discussion. Mayor Rosen added SCF also suffered from CPI increasing 21% in 3 years which has impacted their costs. SCF is also experiencing impacts to their staffing models to cover for firefighters experiencing PTSD, transitions, illness, etc. Councilmember Eck thanked Councilmember Tibbott for the work he did and clearly laying out the information. She referred to the Fire/EMS Contract 2024-2026 Funding slide which tells a great story; it shows the City used ARPA funds in 2024 which was one-time money, and the significantly increased costs in 2026. She recognized the importance of discussing the City's financial situation separate from the fire service contract, but they converge from a general fund standpoint. Not only has it been difficult for the City to fund fire/EMS in the past, as the City is trying to right -size its budget, it needs to show residents the implications to the budget of the council not retaining all of the general fund levy such as sacrificing services, staffing, etc. She concluded it is a complicated story, but this bar graph provides a very clear illustration. Councilmember Tibbott explained the EMS levy was intended to cover more of the EMS services. He recalled when he was first on council, the EMS levy and transport fees covered a large percentage of the total amount, more like 60-70%. In 2022, the EMS levy and transport fees paid a little more than half of the fire service contract. The EMS levy can only increase by council action 1 %/year. The EMS levy in 2024 generated $4.35M, $4.4M in 2025 and $4.44M in 2026, but those increases have not kept up with inflation or the increased EMS demand. The State could empower cities to increase the EMS levy by 100-200% so it provided the revenues required for emergency services, but that hasn't happened. Councilmember Nand asked if a motion to express the desire to retain the full general fund levy lift and place the RFA annexation on the ballot would need to specify a certain ballot date. Councilmember Tibbott responded the question before the council is about the levy, not about putting annexation on the ballot. The City is still negotiating with SCF regarding a plan they would approve and that will be brought to the council. The issue for the council to discuss tonight is whether to retain the full levy. Such a motion would solidify the variable for future decisions, remove ambiguity and lets voters know exactly what the council is approving, and it will also help with the budgeting process that the council will begin next month. The upcoming budget will be a biennial budget so it is important for the administration to know what funding is available. Edmonds City Council Draft Minutes September 17, 2024 Page 4 Packet Pg. 23 8.2.a City Attorney Jeff Taraday referred to page 4 of the packet that contains the three scenarios and a sample motion for each. To the extent the council wants to take action, the motions directing the city attorney to draft a resolution would be a step in that direction. Councilmember Nand observed there was no requirement for an if/then statement; if the council places annexation before the voters, then the council intends to levy all, some or none of the general fund levy. Mr. Taraday explained the reason the sample motions direct the city attorney to draft a resolution is because the finer points would be set forth in the resolution. In terms of the bigger picture question of some, none or all, those are the motions he was referencing. COUNCILMEMBER NAND MOVED, SECONDED BY COUNCIL PRESIDENT OLSON, TO DIRECT THE CITY ATTORNEY TO DRAFT A RESOLUTION STATING THAT THE CITY COUNCIL INTENDS TO LEVY THE MAXIMUM ALLOWABLE LEVY AMOUNT FOR COLLECTION IN 2026. Council President Olson acknowledged the cost of fire service will feel impactful to residents regardless of whether the City contracts with the RFA, annexes into the RFA or proceeds with one of the other options which were also very expensive. The cost of fire and EMS was significant enough that the City was already having difficulty affording it. In 2024, the City used $6M in ARPA funds to the close gap in the cost and in 2023 the City closed that gap with reserves. This is not money the City has or can be applied to other things, it is money the City hasn't had. The total gap has been identified to be $22M, but today's conversation is about $6M. The City has been cutting and there will be more cuts. The prospect of cutting $6M is unfathomable and really not possible. This revenue is needed and the council needs to be completely unambiguous, clear and up front regarding their intent related to levy so there are no surprises. As Mayor Rosen said, taking a council vote today is the right thing to do. She supported the motion and thanked everyone involved in putting the packet together which made the topic very straight forward. Councilmember Nand thanked the administration, council leadership and city attorney for their work on the packet. Her personal hope is when voters are faced with the question of annexation, they decide it is worth paying the extra money to maintain levels of service in Edmonds and to support the City retaining its full levy lift in an attempt to forestall unnecessary layoffs and program cuts and be able to provide existing levels of service to the community members. She urged councilmembers to join her in supporting the option to retain all the present levy the City is entitled to collect in light of increasing the tax burden to taxpayers through presenting the question regarding whether to annex into the RFA. Councilmember Dotsch recognized costs have been increasing but there has always been a portion of the general fund that funded the fire/EMS contract. The fact that the City had to use ARPA funds was more due to not having funds left over after unbudgeted items. She was concerned that by retaining these funds in the general fund with no thought as to how it would be spent would be comingling different things. She recalled bringing up that concern at the budget retreat. She preferred to go a different route and be more specific to keep the funds separate from fire/EMS. Councilmember Chen reiterated his prior comments, when it comes down to it, the City will not be able to cut its way out of services and still maintain a sustainable, comfortable level of City services that citizens have become accustomed to. If the City were to refund this $6M, the citizens would have to be asked to approve a levy to fund city operations. Inflation in the past few years has been in double digits, but the property tax levy is only allowed to increase by 1 %. The reality is wages and other costs have increased. This motion is to collect property tax to the maximum value allowed including the $6M, but the City is still talking to SCF about whether to annex in 2026 or possibly extend the contract for a year. He asked if that scenario happens and the City collects the property tax, whether there would be any conflicts. Mayor Rosen responded he was unsure he understood the question, but if the City did not annex and the price stays the same, $19M, then the City will have to come up with that amount somehow either from the general fund, another levy, etc. Edmonds City Council Draft Minutes September 17, 2024 Page 5 Packet Pg. 24 8.2.a Councilmember Chen concluded if the City did not annex and the City continues to collect the $6M, it is business as normal; collect the tax and use it to pay for contracted fire services. Mayor Rosen answered it would not be business as normal; if the City annexes into the RFA, the increased cost is transferred off the City's general fund. Councilmember Chen agreed if the City annexes, the homeowner will pay for fire services on their property tax bill and the City will continue to collect the portion of the property tax that previously was used to pay fire services. He asked if that meant those funds were being collected twice. Mayor Rosen answered if the motion is approved and the City annexes, the City would continue to collect these funds. Councilmember Chen wanted the financial impact to be clear to the council and the citizens. Councilmember Tibbott the discussion is related to retaining the full tax levy which would begin in 2026, not in 2025 or 2024, assuming the City joins the RFA. If the City does not join the RFA, the City is responsible for approximately $14M which is approximately one-third of the total general fund revenues. On top of that, the City pays for police services; those two combined require two-thirds of the total general fund revenues which is not a sustainable model. Councilmember Chen expressed support for collecting the full $6M if the City annexes into the RFA. Either way, the City will have to come up with funds for fire services and other services the City is committed to offering. Councilmember Paine expressed support for the motion for the purpose of giving instruction to the administration about what to anticipate for the budget discussion coming up and providing a signal to the community. It would be very helpful to display what the cuts would look like if the council had to reduce spending by $4M-$6M; it would be pretty dramatic. Mayor Rosen clarified the $4M in cuts he and staff have identified are in this year's budget, not next year's budget. MOTION CARRIED (6-1), COUNCILMEMBER DOTSCH VOTING NO. 2. UPDATED APPROACH TO DRAFT COMPREHENSIVE PLAN Acting Planning & Development Director Shane Hope introduced Acting Planning Manager Mike Clugston. She reviewed: • Overview of process and timeline o Comprehensive plan update process has been underway for more than 2 years o Certain growth, housing and job targets were set for each city and the county to have the capacity to achieve by 2044 • 2044 — Meeting Growth Targets Edmonds is projected to grow by 300M Housing Units 13,000 people over the next twenty ; , years Edmonds currently has capacity for Z0"W_4r000 2,500 jobs. Capacity for more jobs must be added Edmonds has 19,000 housing units 10000 and capacity for 5,000 more. t 5000 increase unit capacity by 4,000 or a total of 9,000 ° Numbers ace roundedfmm the previous sgde Existing Units Current Required Capacity Capacity _______________________________________________________________________________ DataSource: The HousingCharacteristics and Needs in Snohomish[ounty report has been compiled p... entto Imonds Comprehensive Plan Update 1 5 Countywide Planning Policy (CPP) H0-5 • HB 1220 — High Cost Community Impacts Edmonds City Council Draft Minutes September 17, 2024 Page 6 Packet Pg. 25 8.2.a o Edmonds' designation as a "high -cost community" impacts the required allocation for types of housing units o Edmonds needs to plan for: ■ 6,814 units at the low 0-80% AMI (income) level — Low Rise or Mid -Rise Multifamily ■ e.g. walk-up apartment buildings — this is the largest category of need in Edmonds ■ 2,129 units at the moderate <80-120% AMI (income) level — these may be ADUs ■ 126 units at the high income level — these 6,814 2,129 126 Must be low,rise, or mid- ADUs or low-rise, mid- Middle housing or any nse apartments I condos rise apartments/ condos other type 6,814 2,129 = 126 t:s�Qxtz�:� may be moderate density (duplex, quad, Data SourceThe Housing Characteristics and Needs in Snohomish County HO-5 triplex) Existing Housing Capacity per Buildable Lands Report o Edmonds currently has capacity for 5,148 units, Futule Land Supply broken down by the following ■ 201 single family units (do not county towards any of the income levels per HB 1220) ■ 84 middle housing units Mniti- I.rnrily Senior Apartri-11 local 17 39 1S 561 1 0 02" 44 115 7 422 31 S7' Part4ally Used 21 62 O 0 0 62 Hed"Oopwe 1 231 -24 631 3.Sm 340 3,07 City 313 201 0 1 4,"1 371 SM ■ 4,862 multifamily units, senior apartments Figure 1 Source., The Housing Characteristics and Needs in Snohomish County report 2023 (HO 5 Report) ie. Low rise or mid rise ■ Capacity for ADUs had not previously been evaluated o Therefore Edmonds needs to provide a net capacity change of the following: ■ A net increase of at least 1,952 units that are low-rise or mid -rise multifamily apartment category A net increase in at least 2,129 ADUs (or any of the above categories A net increase of at least 42 units that are middle housing (or any of the above categories) Comp plan Update process has assumed three alternatives: o No action (o update): Growth stays mainly in Highway 99 areas ...�. o Alt A: Focused growth, primarily in 4� neighborhood centers, with lesser growth in�' ,.._. neighborhood hubs o Alt B: Distributed growth, more evenly Nede�.rae , spread growth across 4 neighborhood centers —`°- ..tee. and 7 neighborhood hubs ec,CM CeMw f McEkelOebkrl Wpensgn Rve Cemen F Nknww as som ­ l sa,n rewe � • Public process has included o Public engagement opportunities o Planning board meetings o City council meetings Edmonds City Council Draft Minutes September 17, 2024 Page 7 Packet Pg. 26 8.2.a o Work is far along on the draft Environmental Impact Statement (DEIS) and the draft comprehensive plan o State's due date for final comprehensive plan update to be adopted in December 31, 2024 What's changed since comprehensive plan update process began in Edmonds? o New state legislation required greater housing capacity for all cities and counties o Significant loss of staff in City's planning division o Change from prior Planning & Development Directo to new interim director (mid -August 2025) o Need for new interim director to catch up, analyze and identify opportunities for updated approach Updated approach o Remove draft "policies" that are more "action (implementation) steps" than broad policy statements o Adjust or drop some draft policies that are too detailed or not appropriate at this time to be included in draft comprehensive plan update ■ Affects every element of comprehensive plan o Sample Text Changes (Housing Element) ■ Removed/revised policies that are ■ Too detailed for Comp Plan level ■ Beyond city resources ■ Demand a very specific outcome that should be part of the regulatory process ■ Not context -appropriate Removed policies that are action steps, not policies Policy H-3.1 Explore the requirement of an lequal or greale+umber of housing units when the property is redeveloped. Policy H-3.2 Euwutage accessible open snace and shared amenif es w development of housin tresl Policy H-4.1 Policy H-4.1 Partner with the Edmonds Historic Preservation Commission to engage with property owners, developers, preservationists, and community members to gather input and build suppon for historic preservation. the- Pro9ron Pali,+M3 03) P,1 , H-4.3 peNey 4. . . pc.-'H-4,� 17o H-4.3Pro Z �ndditiorml{incentives for homeowners who adopt sustainable design practices, materials and green technologies, in their remodeling projects. Goal H-6. Avoid actions that result in the displacement of existing residents, particularly low-income and marginalized communities. Policy-H'61 Pot ey-H-6:2Policy H-6.1 Explore pakNerpartnershipsand programs to help support renters at risk of displacement and connect them with resources/financing to purchase the homes they live in, such as mobile home communities, condo conversions of apartments, conversions to co-ops. Policy-H s a ,. Goal 14-7. Work towards eliminating racial inequity in housing distribution. Pe4ieyi-1-7:4Policy H7.1 Engage and partner with communities most disproponionatey impacted by housing challenges in the decision -making process to shape/inform strategies, actions, regulations. and resource allocation that address and mitigate their housing -related issues. • Timeline issues o Publication of DEIS and draft comprehensive plan is behind the original schedule by more than a month o Additional info has been needed to prepare DEIS 1i Edmonds City Council Draft Minutes September 17, 2024 Page 8 Packet Pg. 27 8.2.a o Goals and policies for each draft element are being reviewed and as needed, revised. o Narrative background information for some draft elements not yet ready o Comprehensive plan future land use maps not quite ready o Probable release of Draft Comp Plan and draft EIS: Tentative DEIS Publishing September 27 Sept 27 o Public Input to be sought on both documents 0 30-day comment period for DEIS 1 o Planning board and city council meetings needed to review and discuss what has been learned Public comment perii o "Preferred Alternative" to be selected by city council, following presentations and discussion o Changes to draft Comp Plan would then be prepared to include: ■ Preferred alternative and related language neighborhood map changes ■ Changes to Capital projects, based on preferred alternative ■ Other changes to appropriately reflect public comments, planning board recommendations and city council direction ■ Final Environmental Impact Statement (FEIS) to be prepared o Final Comp Plan update to be reviewed and approved with any changes by city council including ■ One or more council meetings ■ Public hearing and adoption (with any changes) ■ City council's schedule will be busy in late 2024 with budget and other issues ■ Adoption is not realistic to accomplish by end of 2024 - but should be as close after as possible ■ In new few days, staff will consult with the mayor and come back to council with specific revised timeline, including dates for: - Publishing documents - Key follow-up meetings and decision points Ms. Hope explained the State's deadline is December 31, 2024. She and the mayor have spoken with the Department of Commerce, but it is not up to them to decide that the state legislation doesn't apply. State law says cities and counties in this region need to adopt their updated comprehensive plan by the end of 2024. It takes a while for all those ordinance and documents, which may be adopted in the last week of 2024, to get shipped off to the Department of Commerce so they can prepare a list of which cities and counties are in compliance with completion. She hoped the City could submit its comprehensive plan by the time that list was put together. She pointed out, more importantly, cities are not eligible for state grants or loans during the period when that deadline has not been met or the city is otherwise found to be out of compliance. It is in everyone's best interest to get the comprehensive plan update completed by the end of 2024 or as soon after as possible, before any of those consequences come to pass. Staff will revise the timeline to be realistic. Councilmember Paine commented the council has already decided on Option B, the more diffuse option for the comprehensive planning. Ms. Hope answered she did not believe there had been a formal decision Edmonds City Council Draft Minutes September 17, 2024 Page 9 Packet Pg. 28 8.2.a by the council. Councilmember Paine suggested checking on that. She recalled from earlier discussions with former Planning & Development Director McLauglin that part of what the consultant would be doing was code synchronization and provide pointers for updating the codes to align with the changes in the RCW and the comprehensive plan. She asked if that would still be done by the consultant. Ms. Hope answered yes, but she has not seen their list yet. The consultant may provide a list but staff may have additional ideas. Councilmember Paine commented that list will be helpful. Ms. Hope commented on what needs to happen next; for example, in next six months after the December 31, 2024 deadline, the middle housing regulations have to be completed. While those amendments are being made, there are other cleanup things that can to be done along with the middle house regulations, items that although they may not be required, would be useful. Councilmember Nand thanked Ms. Hope for this explanation. She was curious during the more abbreviated version of this presentation at today's PSPHSP Committee meeting whether it would be possible to make the legally required updates required by the State mandates and amend the comprehensive plan later in 2025. She referred to the Timeline Issues slide, acknowledging it will not be possible to have a professional product by the deadline. Ms. Hope anticipated having a professional draft product by the end of September, but it will still need thoughtful consideration, tweaking and input from the council and the public. Councilmember Nand asked if there had been changes in the scope of what the consultant was doing now compared to the original contract and whether there had been a corresponding reduction in the price. Ms. Hope answered yes, it is her understanding the professional services consultant's work began with a much higher budget and was reduced by possibly $200,000 which reduced their ability to do some of the work so they are a little behind too. Meanwhile City staff is lower so staff is slower to respond to the consultant as they did their work. She assured everyone is catching up and completion is getting close. Recognizing this is an update of a 20 year plan, Councilmember Nand asked how much is being retained versus how much is new and whole cloth created this year. Ms. Hope answered from her review, it looks like a lot of it is new language, new data, partially because there is new data available and partially because things evolved, legislation has been passed, needs have been recognized, etc. A lot of it is new, but there are still ideas from the past. The format is also very different. She was with Edmonds when the 2015 comprehensive plan was updated which included a different approach; this update has a different look. Rather than trying to reinvent everything, she is looking at the work that has been done, see how that matches up with the general intent of the existing comprehensive plan, recognizing some things have to change to address the new requirements, the City's interest in including a climate element, etc. Councilmember Nand referred to an earlier question from Councilmember Paine, relaying her belief that when the council passed a resolution recognizing pens down and authorizing the consultant to go forward with the public process, the bookends of a preferred alternatives A and B were developed. She asked if it would be possible to truncate the amount of work left to be done if the council picked one of the alternatives and asked the planning department and the consultants to operate off either A or B. Ms. Hope answered yes. Councilmember Nand asked if would be legal to do that in an effort to expedite things. Ms. Hope answered she did not see any reason the council couldn't do that other than scheduling it on a meeting agenda. Councilmember Chen thanked Ms. Hope for stepping in to transition this continuing work and recognized the tremendous work done by staff and the consultants. He asked whether Highway 99 would be included in the comprehensive plan update, recalling the original plan was to leave Highway 99 out of it. He asked her thoughts. Ms. Hope relayed her assumption was a decision had been made, at least for now, not to amend the Highway 99 subarea plan, but some things could be expressed differently or provide additional direction in the draft comprehensive plan. Councilmember Chen asked if that was included in bookend Option B. Ms. Hope agreed. Councilmember Chen relayed his understanding it was probably too late in the Edmonds City Council Draft Minutes September 17, 2024 Page 10 Packet Pg. 29 8.2.a game to revisit decisions that have already been made, commenting it was a missed opportunity. Ms. Hope responded staff could review the Highway 99 subarea plan in a future year if council wished. COUNCIL PRESIDENT OLSON MOVED, SECONDED BY COUNCILMEMBER DOTSCH, TO EXTEND 15 MINUTES. MOTION CARRIED UNANIMOUSLY. Councilmember Dotsch thanked Ms. Hope for coming in and helping, recognizing it is a heavy lift for staff with four openings in the department. In order to do a really good job, she recommended being very careful while going through process. The DEIS should be informing the comprehensive plan and providing critical information on the impact of the bookends or a combination of the bookends. She cited the importance of public input because this is the community's plan and in Washington, public engagement is supposed to be a priority. Having attended most of the public meetings, while very interesting, she didn't think many were given opportunities to have their input noted and included so continuing to engage the public in this process through the end is a critical piece. It is also important to coordinate the comprehensive plan with other things such as capital plans and the budget as well as environmental impacts of where growth and density occur especially in areas that are lacking infrastructure. Council President Olson pointed out hubs & centers and centers were the bookends; the only council decision was that those were the bookends. It is correct there seemed to be a preference for the hubs & centers, but that wasn't a council decision. She cautioned against rushing this process. The DEIS will provide information about impacts to the environment of those two bookends and that needs to inform what happens next. The council may learn some of the centers or hubs are not good ideas to pursue. She personally wanted to have that information and use it rather than skipping that step. She recognized Ms. Hope for the analysis and assessment she has done of where the process is as well as bringing calm to the process. It would be disappointing to miss the deadline, but she appreciated the City cannot circumvent or shortcut public engagement due to its significance and importance. She was confident staff will do their best and Ms. Hope will shepherd it forward as fast as possible. With regard to the Highway 99 subarea plan, the one point that was on everyone's radar was the transition, instead of going straight from 70' to single family. If there was any way do that now or if not, in an update to the comprehensive plan next year, she anticipated that would have council support. Councilmember Tibbott emphasized the importance of the DEIS being well -stated and well put together so the council, planning board and community have something to interact with. He anticipated the community will step up and there will be a robust conversation. He was on the planning board the last time a major update was done and Ms. Hope was in the planning department. A great deal has changed since that time and as a result it makes sense to incorporate new state law, new commitments as a community, the reality of becoming a more urbanized city, etc., and the hubs & centers will be an important part of the discussion. Councilmember Tibbott observed there are natural transition zones in the City, natural because they have aged and are ready to move from a lower to a higher use or density and he was unsure they fall neatly in the identified hubs. He asked how those transition zones, some of which are along SR-104, Highway 99, 76t1i and in Perrinville, would be addressed via the comprehensive plan and how they fit in with the hubs and centers. Ms. Hope answered there are two basic ways that could be handle in the comprehensive plan. The way that might have been done if the process was at that point a few months ago would have been to build it in more explicitly in the land use maps, identify transition zones, etc. Another approach is simply identifying in the comprehensive plan that these are general designations and that transition and other details will be developed via development regulations. Councilmember Tibbott referred to the map with neighborhood residential, neighborhood centers and neighborhood hubs, which has some of the transition zones he was thinking of, but felt they should be shaped differently than the circle shown on the map, more like a worm or caterpillar. Ms. Hope explained the reason these are shown as little blobs is because this is not the zoning code that identifies the exact Edmonds City Council Draft Minutes September 17, 2024 Page 11 Packet Pg. 30 8.2.a location, it is only intended to give some sense of the general area. Councilmember Tibbott thanked the Ms. Hope and the entire planning department for this heavy lift and expressed his appreciation for their investment in this process. Councilmember Eck said it sounds like this is standard industry practice to keep language simplified and higher level. Ms. Hope agreed. Councilmember Eck asked if the details that are being eliminated will be preserved for posterity, recognizing there are some good ideas and things to consider in the future. Ms. Hope responded she has asked the consultant to capture the action steps; some would be high priorities to begin to undertake in 2025 and beyond and others may shelfed for later as resources allow. Councilmember Eck asked whether the council will have access to a redlined versions once the updates are complete so they will be able to see what was removed from the draft. Ms. Hope answered yes for the goals and policies. Councilmember Nand relayed her understanding there were 4,100 banked units resulting from the upzone of Highway 99 that haven't been built yet. She continued to support redistributing the 9,500 units the City has to zone for in Edmonds and it was her understanding that was established in the bookends. Ms. Hope agreed that was also her understanding. Councilmember Nand said the council has heard a lot from the community about the lack of transitional zones and even though that was mentioned in the 2015 comprehensive plan update, it would be great to retain that policy about incorporating transitional zones into the CG zoned area around Highway 99 and to see those policies developed when the planning department is better staffed and under less pressure from the comprehensive plan update. If the planning department has any plans to bring forward the tree code update in 2025, she assured that would make a lot of people happy, including her. ADJOURNMENT With no further business, the Council meeting was adjourned at 8:42 pm. Edmonds City Council Draft Minutes September 17, 2024 Page 12 Packet Pg. 31 8.3 City Council Agenda Item Meeting Date: 10/1/2024 Approval of claim checks and wire payments. Staff Lead: Kimberly Dunscombe Department: Administrative Services Preparer: Nori Jacobson Background/History Approval of claim checks #264295 through #264414 dated September 25, 2024 for $1,629,195.47 and wire payments of $6,105.72 & $4,953.89. Staff Recommendation Approval of claim checks and wire payments. Narrative The Council President shall be designated as the auditing committee for the city council. The council president shall review the documentation supporting claims paid and review for approval by the city council at its next regular public meeting all checks or warrants issued in payment of any claim, demand or voucher. A list of each claim, demand or voucher approved and each check or warrant issued indicating the check or warrant number, the amount paid and the vendor or payee shall be filed in the city council office for review by individual councilmembers prior to each regularly scheduled public meeting. Attachments: Claims 09-25-24 Agenda copy Packet Pg. 32 8.3.a apPosPay Positive Pay Listing Page: 1 9/25/2024 2:44:45PM City of Edmonds Document group: jacobson Vendor Code & Name Check # Check Date Amount 073417 3M COMPANY 264295 9/25/2024 4,436.09 076040 911 SUPPLY INC 264296 9/25/2024 3,483.04 065052 AARD PEST CONTROL 264297 9/25/2024 213.27 078469 AGUIRRE, RAUL 264298 9/25/2024 130.00 001528 AM TEST INC 264299 9/25/2024 330.00 079536 AMANDA HOUGH 264300 9/25/2024 2,800.00 074306 AMWINS GROUP BENEFITS INC 264301 9/25/2024 8,514.47 074718 AQUATIC SPECIALTY SERVICES INC 264302 9/25/2024 3,188.56 079059 ARBANASIN, KIM 264303 9/25/2024 165.11 025217 ARG INDUSTRIAL 264304 9/25/2024 217.06 070305 AUTOMATIC FUNDS TRANSFER 264305 9/25/2024 600.64 002170 BARTON, RONALD 264306 9/25/2024 1,042.46 075217 BASLER, ANTHONY C 264307 9/25/2024 130.00 076260 BELAIR, ROGER 264308 9/25/2024 680.00 074307 BLUE STAR GAS 264309 9/25/2024 7,537.36 077044 BRENT, DARLINE 264310 9/25/2024 74.00 003001 BUILDERS SAND & GRAVEL 264311 9/25/2024 7,519.95 073029 CANON FINANCIAL SERVICES 264312 9/25/2024 2,321.66 067446 CEM CORPORATION 264313 9/25/2024 1,154.31 003510 CENTRAL WELDING SUPPLY 264314 9/25/2024 477.14 074537 CITY OF BELLEVUE 264315 9/25/2024 8,325.04 064369 CODE PUBLISHING LLC 264316 9/25/2024 495.46 073135 COGENT COMMUNICATIONS INC 264317 9/25/2024 661.59 070323 COMCAST BUSINESS 264318 9/25/2024 55.76 006200 DAILY JOURNAL OF COMMERCE 264319 9/25/2024 145.00 067794 DALCOINC 264320 9/25/2024 276.25 047450 DEPT OF INFORMATION SERVICES 264321 9/25/2024 285.00 068654 DIJULIO DISPLAYS INC 264322 9/25/2024 5,627.64 064531 DINES, JEANNIE 264323 9/25/2024 3,340.00 079614 DRY BOX INC 264324 9/25/2024 165.75 076610 EDMONDS HERO HARDWARE 264325 9/25/2024 322.61 078711 EDMONDS ROTARY FOUNDATION 264326 9/25/2024 1,500.00 008688 EDMONDS VETERINARY HOSPITAL 264327 9/25/2024 101.20 008705 EDMONDS WATER DIVISION 264329 9/25/2024 73,476.72 008812 ELECTRONIC BUSINESS MACHINES 264330 9/25/2024 689.66 079644 ELEVATED ADVENTURES LLC 264331 9/25/2024 560.00 009350 EVERETT DAILY HERALD 264332 9/25/2024 270.04 064088 EVERON LLC 264333 9/25/2024 1,817.53 009815 FERGUSON ENTERPRISES INC 264334 9/25/2024 1,545.66 079241 FIREHOSEDIRECT 264335 9/25/2024 217.72 072493 FIRSTLINE COMMUNICATIONS INC 264336 9/25/2024 292.83 079379 FREENOTES HARMONY PARK LLC 264337 9/25/2024 234.84 063137 GOODYEAR AUTO SERVICE CENTER 264338 9/25/2024 601.24 012199 GRAINGER 264339 9/25/2024 3,698.22 074722 GUARDIAN SECURITY SYSTEMS 264340 9/25/2024 69.53 012560 HACH COMPANY 264341 9/25/2024 13,308.30 079012 HARLOWE & FALK LLP 264342 9/25/2024 2,000.00 066575 HERC RENTALS INC 264343 9/25/2024 1,328.61 074966 HIATT CONSULTING LLC 264344 9/25/2024 200.00 078923 HKA GLOBAL INC 264345 9/25/2024 9,240.00 076240 HM PACIFIC NORTHWEST INC 264346 9/25/2024 725.46 067862 HOME DEPOT CREDIT SERVICES 264347 9/25/2024 948.99 061013 HONEY BUCKET 264348 9/25/2024 154.41 Page: 1 Packet Pg. 33 apPosPay Positive Pay Listing 9/25/2024 2:44:45PM City of Edmonds Document group: jacobson Vendor Code & Name Check # Check Date Amount 076488 HULBERT, MATTHEW STIEG 264349 9/25/2024 500.00 069733 ICONIX WATERWORKS INC 264350 9/25/2024 9,793.39 072528 INTERCOM LANGUAGE SERVICES 264351 9/25/2024 130.00 014940 INTERSTATE BATTERY SYSTEMS 264352 9/25/2024 366.82 072627 INTRADO LIFE & SAFETY INC 264353 9/25/2024 537.50 072422 JE HORTON INTERPRETING SVCS 264354 9/25/2024 130.00 076475 JVP LEGAL TRANSLATION SERVICES 264355 9/25/2024 80.00 078250 KAUFER DMC LLC 264356 9/25/2024 300.00 066489 KENT D BRUCE CO LLC 264357 9/25/2024 93.95 079069 KISHA POST 264358 9/25/2024 1,120.00 073840 LANE INTERNATIONAL CORP 264359 9/25/2024 423.17 074158 LASER UNDERGROUND & EARTHWORKS 264360 9/25/2024 68,683.14 074417 LAW OFFICE OF CHRISTIAN SMITH 264361 9/25/2024 900.00 067725 LES SCHWAB TIRE CENTER 264362 9/25/2024 1,016.14 075159 LIFE INSURANCE CO OF NO AMER 264363 9/25/2024 17,121.78 073603 LIGHTHOUSE LAW GROUP PLLC 264364 9/25/2024 52,080.25 074263 LYNNWOOD WINSUPPLY CO 264365 9/25/2024 719.92 075716 MALLORY PAINT STORE INC 264366 9/25/2024 388.85 020039 MCMASTER-CARR SUPPLY CO 264367 9/25/2024 183.43 076264 MONO ROOFTOP SOLUTIONS 264368 9/25/2024 17,380.55 018950 NAPAAUTO PARTS 264369 9/25/2024 79.78 067694 NC POWER SYSTEMS CO. 264370 9/25/2024 5,917.70 024302 NELSON-REISNER 264371 9/25/2024 334.08 074866 NORTHWEST PLAYGROUND EQUIPMENT 264372 9/25/2024 2,088.45 072739 O'REILLYAUTO PARTS 264374 9/25/2024 117.84 076902 OCCUPATIONAL HEALTH CTR OF WA 264373 9/25/2024 246.00 079636 OSPREY CORROSION ENGINEERING 264375 9/25/2024 1,856.00 072507 PEACE OF MIND OFFICE SUPPORT 264376 9/25/2024 336.00 071813 PEACOCK, WILLIAM R 264377 9/25/2024 500.00 079464 PERKINS EASTMAN ARCHITECTS DPC 264378 9/25/2024 15,220.00 028860 PLATT ELECTRIC SUPPLY 264379 9/25/2024 193.70 073231 POLYDYNE INC 264380 9/25/2024 37,004.24 079586 PORCHFEST EDMONDS 264381 9/25/2024 1,500.00 079020 PRECISION LANGUAGE SERVICES 264382 9/25/2024 260.00 062657 REGIONAL DISPOSAL COMPANY 264383 9/25/2024 4,321.80 079653 ROCK PROJECT MGMT SERVICES LLC 264384 9/25/2024 27,595.00 064769 ROMAINE ELECTRIC 264385 9/25/2024 1,139.86 074256 RYDIN DECAL 264386 9/25/2024 824.44 066964 SEATTLE AUTOMOTIVE DIST INC 264387 9/25/2024 1,129.62 066918 SEDOR, NORMAN 264388 9/25/2024 7,000.00 070495 SEPULVEDA, PABLO 264389 9/25/2024 325.00 068132 SHORELINE CONSTRUCTION CO 264390 9/25/2024 928,562.82 036955 SKY NURSERY 264391 9/25/2024 119.11 075590 SMARSH INC 264392 9/25/2024 152.55 075543 SNO CO PUBLIC DEFENDER ASSOC 264393 9/25/2024 38,737.00 037375 SNO CO PUD NO 1 264394 9/25/2024 27,579.13 006630 SNOHOMISH COUNTY 264395 9/25/2024 1,325.00 076433 SNOHOMISH COUNTY 911 264396 9/25/2024 82,827.93 065578 SYSTEMS INTERFACE INC 264397 9/25/2024 65,627.29 040917 TACOMA SCREW PRODUCTS INC 264398 9/25/2024 519.93 065459 THE HERALD SUBSCRIPTION 264399 9/25/2024 307.68 075587 THE UPS STORE #6392 264400 9/25/2024 22.30 072649 THE WIDE FORMAT COMPANY 264401 9/25/2024 232.05 068141 TRANSPO GROUP 264402 9/25/2024 5,910.29 Page: 2 Packet Pg. 34 apPosPay Positive Pay Listing 9/25/2024 2:44:45PM City of Edmonds Document group: jacobson Vendor Code & Name Check # Check Date Amount 079619 UNCOMMON BRIDGES 264403 9/25/2024 1,567.92 071549 UNIVAR SOLUTIONS USA INC 264404 9/25/2024 2,544.45 064423 USA BLUE BOOK 264405 9/25/2024 729.05 044960 UTILITIES UNDERGROUND LOC CTR 264406 9/25/2024 323.40 069751 VESTIS 264407 9/25/2024 372.33 067086 WASHINGTON CRANE AND HOIST CO 264408 9/25/2024 764.66 073552 WELCO SALES LLC 264409 9/25/2024 898.69 069691 WESTERN SYSTEMS 264410 9/25/2024 395.87 049905 WHITNEY EQUIPMENT CO INC 264411 9/25/2024 1,679.60 071634 ZAYO GROUP LLC 264412 9/25/2024 4,174.94 078389 ZENNER USA 264413 9/25/2024 5,207.64 011900 ZIPLY FIBER 264414 9/25/2024 979.26 GrandTotal: 1,629,195.47 Total count: 119 N c m E La a d 3 c c� v d s E 0 0 L Q Q Q Q 0 0 M Q N Ln N C) O 0 E M U c d E s 0 ca Q Page: 3 Packet Pg. 35 8.4 City Council Agenda Item Meeting Date: 10/1/2024 Approval of payroll and benefit checks, direct deposit and wire payments. Staff Lead: Kimberly Dunscombe Department: Administrative Services Preparer: Lori Palmer Background/History Approval of payroll checks #66088 through #66090 for $4,500.42 dated September 20, 2024, direct deposit for $986,022.79 benefit checks #66091 through #66097 and wire payments for $975,894.12 for the pay period of September 1, 2024 through September 15, 2024. Staff Recommendation Approval of payroll and benefit checks, direct deposit and wire payments. Narrative In accordance with the State statutes, City payments must be approved by the City Council. Ordinance #2896 delegates this approval to the Council President who reviews and recommends either approval or non -approval of payments. Attachments: 9-01-2024 through 09-15-2024 payroll earnings summary 09-01-2024 to 09-15-2024 benefit checks summary Packet Pg. 36 Payroll Earnings Summary Report City of Edmonds Pay Period: 1,156 (09/01/2024 to 09/15/2024) Hour Type Hour Class Description Hours Amount 111 ABSENT NO PAY LEAVE 16.00 0.00 112 ABSENT NO PAY NON HIRED 144.00 0.00 120 SICK SICK LEAVE - L & 1 72.00 3,395.25 121 SICK SICK LEAVE 586.25 34,184.30 122 VACATION VACATION 1,300.75 77,616.56 123 HOLIDAY HOLIDAY HOURS 257.00 13,949.49 124 HOLIDAY FLOATER HOLIDAY 52.00 2,633.89 125 COMP HOURS COMPENSATORY TIME 175.50 9,805.86 128 HOLIDAY Holiday Bank WWTP 91.00 4,833.60 131 MILITARY MILITARY LEAVE 24.00 1,342.43 134 MILITARY MILITARY LEAVE -UNPAID 64.00 0.00 135 SICK WASHINGTON STATE SICK LEAVE 4.00 79.36 137 COMP HOURS COMPENSATORY TIME 4.00 394.61 141 BEREAVEMENT BEREAVEMENT 42.00 2,233.25 150 REGULAR HOURS Kelly Day Used 54.00 3,193.04 155 COMP HOURS COMPTIME AUTO PAY 119.63 7,316.09 157 SICK SICK LEAVE PAYOFF 760.40 53,613.92 158 VACATION VACATION PAYOFF 570.11 46,216.96 160 VACATION MANAGEMENT LEAVE 37.00 3,691.99 161 VACATION VACATION PREMIUM PAYOFF 8.00 448.52 190 REGULAR HOURS REGULAR HOURS 16,006.50 915,060.95 194 SICK Emerqency Sick Leave 94.00 5,133.60 195 REGULAR HOURS ADMINISTRATIVE LEAVE 32.00 3,392.32 210 OVERTIME HOURS OVERTIME -STRAIGHT 116.50 7,427.39 215 OVERTIME HOURS WATER WATCH STANDBY 36.00 2,580.29 216 MISCELLANEOUS STANDBY TREATMENT PLANT 7.00 906.99 220 OVERTIME HOURS OVERTIME 1.5 330.00 31,726.01 225 OVERTIME HOURS OVERTIME -DOUBLE 31.00 3,246.84 400 MISCELLANEOUS MISC PAY 0.00 100.00 404 MISCELLANEOUS Medical Opt Out 0.00 600.00 407 MISCELLANEOUS Severence Pay 0.00 118,730.50 410 MISCELLANEOUS WORKING OUT OF CLASS 0.00 2,468.74 411 SHIFT DIFFERENTIAL SHIFT DIFFERENTIAL 0.00 1,970.33 602 COMP HOURS ACCRUED COMP 1.0 81.00 0.00 8.4.a a� _ d 0 L Q. 0 0 0 L Q Q. R 09/19/2024 Packet Pg. 37 Payroll Earnings Summary Report City of Edmonds Pay Period: 1,156 (09101/2024 to 09/15/2024) Hour Type Hour Class Description Hours Amount 604 COMP HOURS ACCRUED COMP TIME 1.5 153.75 0.00 606 COMP HOURS ACCRUED COMP 2.0 3.00 0.00 609 COMP HOURS Commander Standy Accrual 10.00 0.00 901 SICK ACCRUED SICK LEAVE 46.26 0.00 acc MISCELLANEOUS ACCREDITATION PAY 0.00 320.79 acs MISCELLANEOUS ACCRED/POLICE SUPPORT 0.00 261.56 anc REGULAR HOURS Ancilary Duty Pay 0.00 264.19 anc2 REGULAR HOURS Ancilary Duty Pay 0.00 1,617.95 anc3 REGULAR HOURS Ancilary Duty Pay 0.00 1,774.84 boc MISCELLANEOUS BOC II Certification 0.00 237.66 cpl MISCELLANEOUS TRAINING CORPORAL 0.00 226.78 crt MISCELLANEOUS CERTIFICATION III PAY 0.00 118.83 ctr MISCELLANEOUS CTR INCENTIVES PROGRAM 0.00 280.00 det4 MISCELLANEOUS Detective 4% 0.00 1,301.62 ed1 EDUCATION PAY EDUCATION PAY 2% 0.00 928.36 ed2 EDUCATION PAY EDUCATION PAY 4% 0.00 849.10 ed3 EDUCATION PAY EDUCATION PAY 6% 0.00 12,481.78 evap VACATION Exempt Vacation Premium 16.00 1,696.10 fmla ABSENT FAMILY MEDICAL/NON PAID 125.00 0.00 fmlk KELLY DAY Family Medical Leave Kelly Day 35.00 2,265.16 fmly VACATION Family Medical Leave Vacation 8.00 485.90 hol HOLIDAY HOLIDAY 1,364.06 78,352.03 k9 MISCELLANEOUS K-9 Assiqnment 0.00 414.20 Ian MISCELLANEOUS LANGUAGE PAY 0.00 450.00 Iq1 LONGEVITY LONGEVITY PAY 2% 0.00 1,347.39 Ig11 LONGEVITY LONGEVITY PAY 2.5% 0.00 1,022.47 Ig12 LONGEVITY Longevity 9% 0.00 3,750.14 Ig13 LONGEVITY Longevity 7% 0.00 1,210.41 Ig14 LONGEVITY Longevity 5% 0.00 1,158.46 Iq2 LONGEVITY PAY LONGEVITY PAY 4% 0.00 166.92 Iq3 LONGEVITY PAY LONGEVITY 6% 0.00 289.83 Iq4 LONGEVITY Longevity 1% 0.00 1,195.60 Iq5 LONGEVITY Longevity 3% 0.00 4,104.55 Iq7 LONGEVITY Longevity 1.5% 0.00 576.39 09/19/2024 Packet Pg. 38 Hour Type Hour Class Payroll Earnings Summary Report City of Edmonds Pay Period: 1,156 (09/01/2024 to 09/15/2024) Description Hours Amount mels SICK Medical Leave Sick 13.00 789.59 pfmc COMP HOURS Paid Family Medical -Comp Used 3.50 143.06 pfmh HOLIDAY Paid Family Medical Holiday 40.50 2,537.65 pfmp ABSENT Paid Family Medical Unpaid/Sup 130.50 0.00 pfms SICK Paid FAMILY MEDICAL/SICK 49.17 3,229.68 pfmv VACATION Paid Family Medical Vacation 7.33 445.20 phy MISCELLANEOUS PHYSICAL FITNESS PAY 0.00 2,926.50 slw SICK SICK LEAVE ADD BACK 64.23 0.00 st REGULAR HOURS Serqeant Pay 0.00 246.44 str MISCELLANEOUS PSET Serqeant 0.00 246.44 tac MISCELLANEOUS TAC Officer 0.00 207.10 to MISCELLANEOUS Traininq Officer 0.00 207.10 traf MISCELLANEOUS Traffic Officer - Car 0.00 414.20 vap VACATION Vacation Premium 37.50 2,082.60 23,222.44 $1,490,917.65 Total Net Pay: $990,523.21 8.4.a R 09/19/2024 Packet Pg. 39 8.4.b Benefit Checks Summary Report City of Edmonds Pay Period: 1,156 - 09/01/2024 to 09/15/2024 Bank: usbank - US Bank Check # Date Payee # Name Check Amt Direct Deposit 66091 09/20/2024 bpas BPAS 7,418.72 0.00 66092 09/20/2024 epoa2 EPOA-POLICE 8,820.00 0.00 66093 09/20/2024 epoa3 EPOA-POLICE SUPPORT 2,250.00 0.00 66094 09/20/2024 icma MISSIONSQUARE PLAN SERVICES 5,902.51 0.00 66095 09/20/2024 flex NAVIA BENEFIT SOLUTIONS 5,059.21 0.00 66096 09/20/2024 teams TEAMSTERS LOCAL 763 7,042.50 0.00 66097 09/20/2024 teamcom TEAMSTERS LOCAL 763 615.00 0.00 37,107.94 0.00 Bank: wire - US BANK Check # Date Payee # Name Check Amt Direct Deposit 3728 09/20/2024 awc AWC 466,397.13 0.00 3734 09/20/2024 us US BANK 244,493.68 0.00 3735 09/20/2024 mebt WTRISC FBO #N3177B1 175,733.38 0.00 3736 09/20/2024 pb NATIONWIDE RETIREMENT SOLUTION 6,917.45 0.00 3738 09/20/2024 wadc WASHINGTON STATE TREASURER 44,479.54 0.00 3740 09/20/2024 oe OFFICE OF SUPPORT ENFORCEMENT 765.00 0.00 938,786.18 0.00 Grand Totals: 975,894.12 0.00 9/19/2024 Packet Pg. 40 8.5 City Council Agenda Item Meeting Date: 10/1/2024 Approval of Proposed Change of Procedure for October 29 Public Hearing on Preliminary Budget Staff Lead: Council President Olson Department: City Council Preparer: Beckie Peterson Background/History On April 16, 2024 Council approved Section 8 Public Testimony of Council Rules of Procedure. This section provides details for the process used for public hearings. Recommendation Approve allowing questions as well as comments during the public testimony of the October 29, 2024 public hearing on the preliminary 2025-2026 Biennial Budget, as detailed below. Narrative Edmonds City Council will hold a public hearing on the preliminary 2025-2056 Biennial Budget on October 29, 2024. This public hearing is one of three required public hearings related to the budget. Due to several budget changes (biennial, priority -based methodologies, etc.) and fiscal uncertainties, the public may benefit from the option to ask budget -related questions within the public hearing format. As Council approved Rules of Procedures regarding public hearings earlier this year (Section 8 as amended and approved), it will be appropriate to seek council approval to change the procedure for the October 29 public hearing. The proposed procedure would allow individuals up to three minutes for comments or questions related to the proposed 2025-2026 Budget. Following a question, the Mayor or the Acting Finance Director will respond to the question. Prior to closing the public hearing, the presiding officer shall inquire if there are any additional speakers. When it is determined that there is no further public testimony, each councilmember will be allowed three minutes to comment. Attachments: ROP Section 8 approved by Council 4.16.2024 Packet Pg. 41 8.5.a Section 8. Public Testimony. (as amended and approved by Council 4/16/2024) 8.1 Public Hearings. A. Individuals will be allowed three minutes to speak. B. The Presiding Officer may allow time for receipt of written testimony when needed. C. The Clerk Shall be the timekeeper. D. Prior to closing the public hearing, the Presiding Officer shall inquire if there are any additional speakers other than those that have signed up and previously spoken, and if there are, they shall be allowed to testify. 8.2 Other Audience Comment at Regular Meetings A. Audience comments are offered at the beginning of regular meetings. This is an opportunity for members of the public to speak to any topic not listed as a public hearing or closed record review. B. A speaker sign-up form will be at the entry table. C. The procedures for the Public Hearing testimony in 8.1A and C above are generally followed for audience comment; 8.1 D is followed for audience comment as time allows. 8.3 When large numbers of people are signed up to speak on the same topic, the Presiding Officer may request that the group(s) select a limited number of speakers to cover their view and then ask all those who agree with that position to stand at the conclusion of each presentation. 8.4 Public testimony authorized in Section 8.1 and 8.2 may not include comments or g information on any quasi-judicial matter pending before the City Council, or on N any topic for which Council has closed the public record. N 8.5 No person shall be allowed to address the Council while it is in session without the recognition of the Presiding Officer. 8.6 It shall be unlawful for any person in the audience at a Council meeting to do any of the following: Engage in disorderly, disruptive, disturbing, delaying or boisterous conduct, such as, but not limited to, handclapping, stomping of feet, whistling, making noise, use of profane language or obscene gestures, yelling or similar demonstrations, which conduct substantially interrupts, delays, or disturbs the peace and good order of the proceedings of the Council.' 8.7 Persons testifying shall identify themselves for the record as to name, City of residence and any organization represented. 8.8 An instruction notice for speakers will be available at the meeting. Speakers will ' Acosta v. City of Costa Mesa, 718 F.3d 800 (9th Cir. 2013), Id., at 816 Packet Pg. 42 8.5.a be advised by the Presiding Officer that their testimony is being recorded. 8.9 Time cannot be donated by one speaker to another. 8.10 No person may use audience comment to promote or oppose any candidate for public office. In election years, a campaign officially begins when a candidate files their candidacy with the elections office and continues through the election. v N O N Packet Pg. 43 9.1 City Council Agenda Item Meeting Date: 10/1/2024 Comprehensive Update to Contracting and Purchasing Policies and Procedures Staff Lead: Sharon Cates Department: City Attorney's Office Preparer: Scott Passey Background/History The City Council periodically reviews and approves updates to the City of Edmonds Contracting and Purchasing Policies and Procedures to incorporate necessary changes based on new laws or the adoption of new or revised internal procedures. However, these policies have not been given a comprehensive update in many years. City staff, with the assistance of the City Attorney's Office, are proposing such a comprehensive update at this time. Staff Recommendation Staff seeks City Council review and approval of the proposed updated Contracting and Purchasing Policies and Procedures and approval of the proposed Resolution adopting them. Narrative The City Attorney's Office, using other jurisdictions' updated contracting and purchasing policies and procedures as a starting point, has worked with City Directors and other interested City staff to undertake a comprehensive update to the City's Contracting and Purchasing Policies and Procedures. The proposed updated version incorporates information to provide City staff with context for a better understanding of the City's approach to procurement. It also includes recent updates to Washington state law relating to Small Works procedures and Apprenticeship requirements, as well as expanded information on the types of procurement processes available and how to use them. These more comprehensive policies and procedures are intended to provide City staff with a more robust procurement guidance document that will provide answers to common contracting questions and otherwise streamline the City's procurement efforts. The Finance Committee has reviewed the Policies and provided input on a few topics. The Committee's comments and recommendations, and City staff's input on them, are as follows: (1) Section 4.2 ("Authority and Parameters") (and other later sections) - While agreeing in principal that it may be appropriate to increase the current contracting authority dollar limits (Directors, $50,000; Mayor, $100,000) to the higher amounts proposed, due to the City's current financial concerns, the Finance Committee recommends retaining the current amounts and potentially increasing them at the end of the budget biennium (2026). City staff notes: The City Council appropriately manages City procurement through both the budget process and the contracting authority limits, but those limits have not been increased Packet Pg. 44 9.1 since 2009. The significant increase in inflation over the past 4+ years alone would suggest that the proposed increases are warranted to allow City staff to efficiently manage each Department's budgeted funds. The current contracting authority dollar limits create significant extra workload for staff at a time when the City is working on cutting labor costs because more projects/contracts must go through the City Council for approval. This increases congestion on both the Committee agendas, for meetings held only once per month, and regular City Council meeting agendas. This in turn lengthens the project schedules/delays the start of projects for even relatively small matters. (2) Section 4.3 ("Effect of Contract Modifications on Approval and Signature Authority') - The Finance Committee agreed with the proposal of not requiring staff to obtain City Council approval when only the contract time is being revised by a contract modification, but proposed to also add language requiring City staff to bring contract modifications to the City Council for approval when the contract amount goes down, as well as when it goes up. The reasoning is that the Council should be provided information regarding how the funds no longer needed for the contract would be used instead. City staff notes: For Capital projects, the City does occasionally process negative Change Orders (those that decrease the contract price), but this is usually done at project close-out to reconcile the final pay estimate with the adjusted contract amount. Unspent funding for a contract underrun remains in the ending fund balance(s) where the original contract was funded. (3) Section 5.3 ("Multiphase and Multi -Vendor Projects") - This section was added to the Policies to address previously stated Council concerns about procurement done in phases and/or with multiple vendors in which a smaller project ends up becoming larger over time and exceeding the Mayor's contracting authority dollar amount without first obtaining Council approval. The Finance Committee's suggestions included: (a) adding language to provide the City Council with the option to require assignment of a project number to track project expenses for certain high -profile projects in order to stay better informed; and (b) not including such language in the Policies themselves, but in an effort to provide greater transparency, creating an internal practice of staff keeping the City Council more regularly informed on large projects. With regard to the second suggestion, it was noted that including such a policy could result in the City inadvertently violating its own Policies for a variety of reasons, such as staff turnover or the circumstance in which a project that starts small grows over time, requiring staff to do a look -back to calculate costs that had not been tracked previously. City staff notes: Currently all Capital projects have a project number assigned and are the types of high -profile projects that may be of most interest to the City Council. For such projects, the Policies address potential increases in costs in the form of the Management Reserve, allowing up to 10% increases in contract costs through Change Order, with City Council approval needed for costs above that 10% limit. For service contracts, the Policies require City staff to calculate the total cost of the contract over its entire term; to obtain Council approval for those contracts above the Mayor's contracting authority limit, and to bring contract modifications that increase costs above that limit to the Council for approval. In addition, Sections 10.8 ("Change Orders on Public Works Construction Contracts") and 15.3 ("Emergencies") of the Policies require City staff to promptly inform the City Council of increases in contract amounts that would require City Council approval. Packet Pg. 45 9.1 The City Attorney's Office is available to answer questions relating to the proposed Policies. Attachments: 2024 Purchasing Policies 9.25.2024 Resolution Amending Purchasing Policy 9.25.2024 Packet Pg. 46 9.1.a 9.25.2024 City of Edmonds 1)C 1 ,,, L)v Contracting and Purchasing Policies and Procedures October 2024 Packet Pg. 47 9.1.a Table of Contents 1.0 OVERVIEW 1 1.1 Purpose 1 1.2 Objectives 1 1.3 Scope 1 1.4 Controlling Laws 2 1.5 Compliance With Policies 2 2.0 ETHICS OF PROCUREMENT 3 2.1 Conflicts of Interest 2.2 Gifts 2.3 Former Employees as Vendors/Consultants/Contractors 3.0 ACCOUNTABILITY AND COMMUNICATIONS 4 3.1 Record Retention Requirements 4 3.2 Public Disclosure and Documentation of the Procurement Process 4 3.3 Maintaining Confidentiality 4 3.4 Fair, Prudent, and Thorough Evaluation 4 4.0 CONTRACTING AUTHORITY 6 4.1 Contract Approval Levels and Signature Authority 6 4.2 Authority and Parameters 6 4.3 Effect of Contract Modifications on Approval and Signature Authority 6 5.0 DETERMINING CONTRACT VALUE/PURCHASE COST 7 5.1 Use Anticipated Cost 5.2 Include Total Quantity Needed and Costs 5.3 Multi -Phase and Multivendor Projects 5.4 No "Bid Splitting" 6.0 GRANTS AND FEDERAL FUNDING 9 7.0 TYPES OF PROCUREMENT 10 7.1 Categories 7.2 Exclusive Contract Agreements 10 10 8.0 PROCUREMENT OF PRODUCTS 11 8.1 Purchase of Goods, Supplies, Materials, and Equipment 11 8.2 Procurement of Vehicles and Equipment 12 8.3 Procurement of Electronic Data Processing (Computer) and Telecommunications Equipment, Software, or Services 12 8.4 Procurement of Products at Auction 12 8.5 Procurement of Products from Governmental Agencies 12 City of Edmonds Purchasing Policies October 2024 Packet Pg. 48 9.1.a Table of Contents (con't) 9.0 PROCUREMENT OF SERVICES 13 9.1 Purchased Services 9.2 Personal Services 9.3 Architectural, Engineering and Land Surveyor Services (A/E) 13 15 16 10.0 PROCUREMENT OF PUBLIC WORKS 18 10.1 Authorized Public Works Contracting Procedures 18 10.2 Generally Applicable Provisions 18 10.3 Contract or Day Labor Without Bids 20 10.4 Small Works Roster 20 10.5 Unit Priced Contracts 21 10.6 Job Order Contracting 23 10.7 Advertised bids 23 10.8 Change Orders on Public Works Construction Contracts 30 10.8 Final Acceptance of Public Works Projects 30 11.0 PROCUREMENT USING FEDERAL FUNDS 31 11.1 Single Audit Act 31 11.2 Closure 31 11.3 Code of Conduct for Federal Purchases 31 11.4 Product Procurement Thresholds 32 11.5 Services Procurement Thresholds 33 11.6 Public Works Procurement Thresholds 35 12.0 GRANT AGREEMENTS 36 13.0 INTERLOCAL AGREEMENTS 37 14.0 REAL PROPERTY 38 15.0 SOLE SOURCE, SPECIAL MARKET CONDITIONS, AND EMERGENCIES 39 15.1 Sole Source 15.2 Special Market Conditions 15.3 Emergencies 39 39 39 16.0 SALE OR DISPOSAL OF CITY PROPERTY 40 16.1 Authorization 40 16.2 Sale / Disposal / Donation 40 16.3 Trade -Ins 40 16.4 Public Notice of Sale 40 16.5 Conflict of Interest 40 16.6 Inventoried Items 40 City of Edmonds Purchasing Policies October 2024 Packet Pg. 49 9.1.a Table of Contents (con't) 17.0 MISCELLANEOUS 41 17.1 Budget Adjustments 41 17.2 Forms and Templates 41 17.3 Recyclables 41 17.4 Reimbursement of Travel and Meal Expenses 41 17.5 Store -Issued Charge Cards 41 17.6 Purchase Cards 41 17.7 Quick Checks 41 17.8 Early Release 41 17.9 Petty Cash 41 17.10 Finance Committee 41 EXHIBIT 1 — Conflict of Interest Disclosure Form 42 City of Edmonds Purchasing Policies October 2024 Packet Pg. 50 9.1.a 1.0 OVERVIEW The integrity, efficiency, and effectiveness of the City's purchasing functions are critical elements of sound government. These Contracting and Purchasing Policies and Procedures (Purchasing Policies) are based on Revised Code of Washington (RCW) minimum standards, Edmonds City Council adopted resolutions and ordinances, rules and guidelines from the State Auditor's Office (SAO), and recommendations from Municipal Research Services Center (MRSC). They are intended to direct the procurement of goods and services at a reasonable cost and within an open, fair, and documented process, utilizing competitive standards as required by law. 1.1 Purpose The Purchasing Policies explain the responsibilities and establish the rules, procedures, and practices for all employees to follow to procure supplies, materials, equipment, and services. The City of Edmonds will purchase goods and services for the benefit of the public in a manner that results in the best quality for the best value with the most efficient delivery of the same. The Purchasing Policies are intended solely for the benefit of the City. Nothing herein shall be interpreted to create any specially benefited or protected class of persons, or any private cause of action against the City. Adherence to the Purchasing Policies will ensure that public purchases and contracts are open, fair, and at the least cost to the public for value received. To avoid conflicts of interest, procurement will be impartial. Purchases will be made within budget limits and to meet goals and objectives approved in the City's budget. Potential purchases that are not within budget limits will be pre -approved through a budget amendment process unless emergency procurement procedures apply. 1.2 Objectives The objectives of the City's purchasing program are: • To provide a uniform system to obtain supplies, materials, equipment, and services in an efficient and timely manner; • To facilitate responsibility and accountability with the use of City resources; • To ensure equal opportunity and competition among suppliers and contractors; • To promote effective relationships and clear communication between the City and its suppliers and contractors; • To comply with the comprehensive State and Federal procurement statutes which govern expenditures of public funds; • To promote the use of recycled materials and products, and dispose of surplus and scrap materials, with regards to cost savings and the environment to the extent financially feasible. 1.3 Scope The Purchasing Policies apply to purchases of and contracting for: • Supplies, materials, and equipment; • Professional services (including architectural and engineering design services); • Purchased services (non-professional services); • Public works projects. The Purchasing Policies do not apply to the acquisition, sale, or lease of real property, except as described in Section 14.0. If grant or debt funding is involved in the proposed purchase, applicable requirements should be obtained from the funding agency. Such requirements may be more restrictive than the Purchasing Policies. 1.4 Controlling Laws City of Edmonds Purchasing Policies October 2024 Packet Pg. 51 9.1.a Purchases will comply with all relevant Federal, State and City laws, regulations, and policies. If such laws, regulations, or policies — or applicable grant, debt, or other requirements — are more restrictive than the Purchasing Policies, such laws, regulations, policies, and grant, debt, or other requirements should be followed. In the event any bid threshold or other dollar value limits provided in the RCW are different from the values listed within the Purchasing Policies, the RCW limits will control. The City Attorney's Office will be consulted when questions regarding potential conflicts between laws arise. Applicable laws and regulations will be cited throughout the Purchasing Policies. On a case -by -case basis, the City Council may waive any requirement contained in the Purchasing Policies as long as the result complies with applicable state laws. 1.5 Compliance with Policies A violation of any of the provisions of the Purchasing Policies may result in discipline to the individual involved where, in the opinion of the Mayor (in the case of employees) or the City Council (in the case of an elected official or Mayor), such discipline is in the interest of the public and good government. Officers and employees should be aware of possible personal penalties, termination, and financial liability for intentional or willful violation of competitive bidding laws. RCW 39.30.020 states (emphasis added): In addition to any other remedies or penalties contained in any law, municipal charter, ordinance, resolution, or other enactment, any municipal officer by or through whom or under whose supervision, in whole or in part, any contract is made in willful and intentional violation of any law, municipal charter, ordinance, resolution, or other enactment requiring competitive bidding or procurement procedures for consulting, architectural, engineering, or other services, upon such contract shall be held to a civil penalty of not less than three hundred dollars and may be held liable, jointly and severally with any other such municipal officer, for all consequential damages to the municipal corporation. If, as a result of criminal action, the violation is found to have been intentional, the municipal officer shall immediately forfeit his or her office. For purposes of this section "municipal officer" means an "officer" or "municipal officer" as those terms are defined in RCW 42.23.020(2). City of Edmonds Purchasing Policies October 2024 2 Packet Pg. 52 9.1.a 2.0 ETHICS OF PROCUREMENT The City is committed to providing a transparent and equitable process for procurement. Employees participating in a solicitation/award process will be thoughtful of any perceived or actual conflict of interest. Situations defined as prohibited conduct in the Personnel Policies may arise in the procurement context. 2.1 Conflicts of Interest The City maintains the following standards of conduct covering conflicts of interest and governing the performance of its employees engaged in the selection, award, and administration of contracts. No employee or elected official of the City may participate in the selection, award, or administration of a contract supported by a Federal award if they have a real or apparent conflict of interest. Such a conflict of interest would arise when the employee or elected official, any member of his or her immediate family, his or her partner, or an organization which employs or is about to employ any of the parties indicated herein, has a financial or other interest in or a tangible personal benefit from a firm considered for a contract. The City will not accept donations of materials or services in return for a commitment to initiate or continue a purchasing agreement. No employee will participate in a procurement when they are aware of a conflict of interest. See also RCW 42.23.030 and Chapter 3.70 ECC. Employees participating in the selection, award, or administration of a contract must complete and sign a Conflict of Interest Disclosure Form, attached as Exhibit 1. Reasonable Person Standard. The City seeks to avoid situations that involve conflicts of interest or the appearance of such conflicts based on inappropriate opportunities to influence the solicitation and/or award process. The City uses the measure of how a reasonable person would perceive the situation. A reasonable person standard might consider how the situation would appear if covered by a news story or viewed from the perspective of a public interest group. Questions an employee might ask themselves: Could 1 comfortably explain my actions? Would taxpayers believe I was acting in their best interest? 2.2 Gifts Employees and elected officials must neither solicit nor accept gifts, gratuities, favors, or anything of monetary value from existing or potential vendors, contractors, or parties to subcontracts in return for a commitment to initiate or continue a purchasing relationship. However, in accordance with Section 10.15 of the City Personnel Policies, this requirement is waived if the benefit received is not substantial or is of nominal value. These standards of conduct provide for disciplinary actions to be applied for violations of such standards. Employees and elected officials should also refuse offered gifts, meals and invitations to events such as concerts or sporting events, that could reasonably be perceived as: improperly influencing performance of his or her official duties; a reward for awarding a contract; or offered or given to influence, find favor, or with a reasonable expectation of creating an obligation to the giver. Vendors are prohibited from offering gifts during the solicitation and ensuing contract award process. City employees may neither solicit, accept, nor agree to accept any gratuity for themselves, their families, or others that results in their personal gain which may affect their impartiality in making decisions on the job. Discounts or concessions realistically available to the general population, items received that do not result in personal gain, and samples provided for general City use are examples of items that are not considered to be gratuities. Personal judgment should be used and questions regarding particular circumstances should be referred to the employee's manager. Contact the City Attorney's Office for assistance if unusual or unfamiliar circumstances are encountered. 2.3 Former Employees as Vendors/Consultants/Contractors Contact the City Attorney's Office before initiating a contract with former City employees for assistance in determining if doing so would create an actual conflict of interest or the appearance of a conflict of interest. City of Edmonds Purchasing Policies October 2024 3 Packet Pg. 53 9.1.a 3.0 ACCOUNTABILITY AND COMMUNICATIONS City staff involved in procurement and specification development must carefully consider conflicts of interest and other public accountability rules. Consider each of the following: 3.1 Record Retention Requirements The City must maintain records sufficient to detail the history of procurement. These records will include, but are not necessarily limited to, the following: rationale for the method of procurement, selection of contract type, contractor selection or rejection, and the basis for the contract price. All quote/bid documents must be retained as indicated in the State of Washington Retention Schedule and be available for public inspection. 3.2 Public Disclosure and Documentation of the Procurement Process The City's procurement process, including submittals, materials, information, decisions and related written documentation may be public records subject to public disclosure under the Washington Public Records Act (PRA), Chapter 42.56 RCW. 3.2.1 Submittals are subject to disclosure. Certain state law exemptions may apply to documents related to the evaluation and award decision. 3.2.2 Written documentation created by City staff may be subject to disclosure if it pertains to the City's official business, processes, and decisions. Employees should not include remarks or comments in such materials that they would not be comfortable sharing with a public audience. 3.2.3 Keep those written materials that help to document the process and decisions, and clearly organize them so they can be understood in the future. 3.2.4 Important written materials that are significant to documenting the decision and process should be kept pursuant to state records retention laws. If a records request is made, documentation must be retained even if the retention period for said documentation has lapsed. 3.2.5 The City is not required to create summaries or new public records in response to a PRA request. The City is not required to do research or analysis for vendors under the PRA. However, summaries or analyses are subject to disclosure if the City has already created such records. 3.2.6 Further information regarding public disclosure may be obtained from the Public Records Officer and the City Attorney's Office. 3.3 Maintaining Confidentiality Documents, decisions, information and opinions are generally to be kept confidential, except as required to be disclosed under the Public Records Act. Do not share information other than with City staff who are directly involved in the evaluation and selection process. Project managers may contact respondents to City solicitations seeking additional information and clarification regarding vendor submittals, as well as to negotiate a contract. However, conversations or contact with respondents regarding details of the evaluation process should otherwise be limited, and care must be taken to maintain the objectivity of the evaluation process. The City shall take reasonable measures to safeguard protected, personally identifiable information and other information the Federal awarding agency or pass -through entity designates as sensitive or the non -Federal entity considers sensitive consistent with applicable Federal, state, local and tribal laws regarding privacy and obligations of confidentiality. 3.4 Fair, Prudent, and Thorough Evaluation Evaluations of bids and proposals must be fair to all respondents and be thoughtful and deliberative in order to preserve the integrity of the public procurement process. 3.4.1 The project manager and City staff invited to assist in specification development, solicitation efforts, and/or award processes must be considerate of conflicts of interest and other public accountability rules. City of Edmonds Purchasing Policies October 2024 4 Packet Pg. 54 9.1.a 3.4.2 In the event a member of an RFQ/RFP selection committee has a conflict of interest, they must immediately withdraw from the process. If an employee has a conflict or perceived conflict of interest, they should consult with the City Attorney's Office. 3.4.3 Employees should use caution: (a) when discussing any aspect of, or any opinion they might have of, the solicitation process, vendors, bids, or results until the award is complete; and (b) to avoid actions that give, or may be perceived to give, preferential treatment to any vendor. City of Edmonds Purchasing Policies October 2024 5 Packet Pg. 55 9.1.a 4.0 CONTRACTING AUTHORITY 4.1 Contract Approval Levels and Signature Authority The City's authority to contract and be contracted with is vested in the City Council.' The City Council has delegated some of that authority to the Mayor and to Department Directors to procure and execute contracts and amendments at the levels outlined in Sections 8.0, 9.0 and 10.0, below. These approval levels are designed for contracts whose costs are covered by budget appropriations previously approved by the City Council. Contracts requiring additional appropriations must be approved by the Council. 4.2 Authority and Parameters Only authorized employees acting within the scope of their authority may obligate the City in the acquisition of goods and services. A Department Director (or designee), acting within their department budget, is authorized to provide for supplies, materials, equipment, and services purchases within the dollar -value range limits of their contracting authority. Dollar -value ranges indicated pertain to each purchase (including tax, freight, handling and set up costs, if applicable). Purchases may not be broken into multiple purchases to avoid compliance with the Purchasing Policies or state statutes. Procurement of goods or services specifically identified and approved by the City Council during the budget process will not require further Council approval. Employees are prohibited from making purchases for personal use and charging any City vendor account. Any contract that extends beyond the approved budget cycle or which has continuing provisions (indemnities) which impose obligations beyond the budget cycle must receive City Council authorization; provided, that the Mayor (or designees) shall be authorized to execute contracts with indemnity provisions that survive expiration or termination of the contracts if the following conditions are met: (1) City Attorney determines that the indemnity provision is in a standard form that assigns risks in a manner consistent with the costs and purposes of the contract; and (2) the dollar value of the contract is $150,000 or less. 4.3 Effect of Contract Modifications on Approval and Signature Authority If contract cost modifications (i.e., contract amendments, renewals, extensions, change orders), either singly or combined with all previous modifications, pushes the total contract amount over the next authority limit, the contract modification must be approved by that authority. For example, if a Professional Services Agreement is amended to add additional services, which modification increases the contract amount from $85,000 to $151,000, the contract modification will need to be approved by the City Council, which may authorize the Mayor to sign such amendment. In the event contract time only is increased, with no impact to contract cost, City staff are authorized to do so without prior Council approval. RCW 35A.11.010. City of Edmonds Purchasing Policies October 2024 6 Packet Pg. 56 9.1.a 5.0 DETERMINING CONTRACT VALUE / PURCHASE COST 5.1 Use Anticipated Cost The anticipated annual need for a good or services (when it can be reasonably projected) should be used to determine the cost of that good or service, and thus which contract approval level, cost threshold, and other related purchasing requirements apply. Contract value refers to the total aggregate value of the contract including all base periods, plus potential renewal periods. • Example #1: A three-year contract for $40,000 per year is considered a $120,000 contract. • Example #2: A contract is originally routed as a one-year $46,000 contract. If an extension is negotiated for an additional year for another $30,000, the aggregate value of the contract becomes $76,000, which will require a higher level of authorization. • Exception: Computer hardware/software maintenance agreements are treated as stand-alone agreements and do not need to be aggregated to the original hardware/software purchase agreement. 5.2 Include Total Quantity Needed and Costs Requirements for the total quantity of an item (when they can be reasonably projected) should be considered when determining which cost threshold and related purchasing requirements apply. Include costs such as taxes, freight, and installation charges when determining which cost threshold applies. Do not include the value of a trade-in. Trade-in value should be considered, however, to determine the lowest bid when competitive bidding is used. 5.3 Multiphase and Multi -Vendor Projects It is the intent of the City Council to retain oversight of project costs that may reasonably be expected to exceed the Mayor's contracting authority dollar threshold over the course of the project. If a project (e.g., office remodel) is to be completed in phases and/or by multiple vendors, the total accumulated cost for all phases, goods, and services should be considered when determining which cost threshold applies. The standard for determining what would be considered a "project" for this purpose is what a reasonable person would conclude when considering the goods and/or services procured within the context of such procurement. 5.4 No "Bid Splitting" Requirements for goods and services will not be divided into separate units for the purpose of obtaining a lower total cost in order to avoid contract approval levels or competition requirements. For the procurement of goods, if one item being purchased requires another item to "make a whole," the total accumulated costs of the two items (when they can be reasonably projected) should be considered together to determine which approval level and cost threshold apply, unless the two items are not available from a single vendor. State law prohibits municipalities from breaking public works projects into separate phases or parts for the purpose of avoiding compliance with bidding statutes.' For public works projects, all supplies, materials, and equipment purchased separately but as part of a public works project are considered part of the aggregate cost of all phases of a project when determining the applicable bid process to be used. Although state statutes only refer to public works when prohibiting bid splitting, the State Auditor's Office (SAO) has expressed that neither projects nor purchases should be artificially split so that the cost of each contract is below the bid threshold. The SAO has also indicated that the entity should not disaggregate purchases solely for the purpose of getting the individual purchases below bidding requirements.3 2 RCW 35.23.352(1). 3 See 2024 MRSC City Bidding Book, Washington State at page 17. City of Edmonds Purchasing Policies October 2024 7 Packet Pg. 57 9.1.a The Washington Supreme Court' has held that a city may not break a public work into phases for the purpose of estimating the cost of a public works project, even though those phases are performed at different intervals of time. Instead, a city, while completing the actual project in phases, must total the cost of all phases of the public work or purchase. If the aggregate cost exceeds the applicable bid limit, the city must bid each phase of the project even though a single phase may cost less than the bid limit. To avoid bid splitting: • Combine all phases of a public works project when estimating cost. • Combine the total of foreseen identical goods purchased at the same time or within a calendar year's time, in which the cost exceeds competition limits (i.e., office supplies, laundry services, janitorial paper products). • For items that are designed or intended to be used together (i.e., water meters and covers), and the cost exceeds competition limits, these items should be bid together. The law regarding bid splitting is concerned with the avoidance of competitive bidding requirements. Completing projects in phases is not itself prohibited. Public works and other projects that are clearly delineated, such as those separated by years, are listed in the CIP as different projects, etc., will not be considered one project for the purpose of cost estimates. For example, for phases of an ongoing project, such as a street overlay, each year's project phase is handled separately because of budget constraints, rather than to avoid bidding requirements. In addition, if a portion of a project concerns professional services, which are not subject to competitive bidding, that portion would not be included in the cost estimate for the public works project. Provided that the separation of a project into phases is not being done to avoid competitive bidding requirements, such separation would not be in violation of state law. ' National Electrical Contractors Assoc. v. City of Bellevue, 1 Wn.App. 81 (1969). City of Edmonds Purchasing Policies October 2024 $ Packet Pg. 58 9.1.a 6.0 GRANTS AND FEDERAL FUNDING If procurement involves any type of grant or federal funding, consult the appropriate section of the Purchasing Policies before moving forward. These types of purchases often have their own procurement requirements. All grants are different and one size does not fit all. Some grants simply require the City to use its own procurement rules, while others require insertion of their contracting clauses into City contracts. Section 11.0 provides detailed information on the requirements for City procurement when using federal funds Contact the City Attorney's Office as needed for advice on how to proceed. City of Edmonds Purchasing Policies October 2024 g Packet Pg. 59 9.1.a 7.0 TYPES OF PROCUREMENT 7.1 Categories Local government procurement generally falls into the following categories: 7.1.1 Products: Purchases of goods, supplies, materials, equipment, vehicles, and data processing and telecommunications equipment or software that are not connected with a public works project. 7.1.2 Services: • Purchased Services — Services provided by vendors for the routine, necessary, and continuing functions of a local agency, mostly related to physical work. Examples include janitorial, security, delivery, and courier services; herbicide application; recycling and garbage services; data entry; computer hardware and software maintenance; and vehicle inspection, lubrication, and repair. • Professional Services — Includes services considered to be Personal Services and A/E Services: o Personal Services — Services provided by a consultant to accomplish a specific study, project, task, or other work statement, not including professional A/E services. Examples include accounting and financial advising; real estate services; economic analysis and consultation; comprehensive plan consultation not involving A/E services; legal services; utility rate studies; public relations and marketing; and meeting facilitation and training. o Architectural, engineering, and land surveyor services (A/E) — Services provided by consultants for architecture, engineering, land surveying, and landscape architecture services. 7.1.3 Public Works: All work, construction, alteration, repairs, or improvements to physical property, other than ordinary maintenance, that are paid for by a municipality. 7.2 Exclusive Contract Agreements The City may enter into an exclusive contract with a vendor in order to ensure the lowest prices on goods and/or services that are unrelated to A/E services or public works projects requiring competitive bidding. All departments must use the exclusive vendor unless special circumstances occur. For example, in case of emergency or if the vendor does not carry the exact product needed. Exclusive contracts should not be confused with Sole Source procurement (see Section 15.0). City of Edmonds Purchasing Policies October 2024 10 Packet Pg. 60 9.1.a 8.0 PROCUREMENT OF PRODUCTS 8.1 Purchase of Goods, Supplies, Materials, and Equipment 8.1.1 Summary Estimated Cost Approval/Signing Procurement Process Notes Authority $0 — $19,999 Department Director Direct negotiations Obtain a detailed invoice or designee $20,000 — $35,000 Department Director Obtain at least three (3) Obtain a detailed invoice; or designee telephonic or electronic quotes quotes not required if sole from vendors, unless only two source procedures apply possible vendors can be found, (only one vendor can be and complete a vendor quote found) form $35,001 — $75,000 Department Director Obtain at least three (3) written Obtain a detailed invoice; or designee quotes from vendors, unless quotes not required if sole only two possible vendors can source procedures apply be found $75,001 — Department Director Obtain at least three (3) written Obtain a detailed invoice; $150,000 and Mayor or quotes from vendors, unless quotes not required if sole designees only two possible vendors can source procedures apply be found Over $150,000 City Council Competitive bidding is required, City Council must authorize unless sole source procedures the call for bids and award apply the contract 8.1.2 Procedures 8.1.2.1 Purchasing decisions for the purchase of goods, supplies, materials, and equipment that are not connected with a public works project must be approved by a Department Director (or designee), a Department Director and the Mayor (or designees) or the City Council as noted above for each cost range. 8.1.2.2 Purchases costing less than $20,000 do not require quotes; however, the price must be considered fair and reasonable and, to the extent practicable, purchases should be distributed equitably among suppliers. Detailed invoices and documentation of purchasing decisions will be kept in department files. 8.1.2.3 Purchases costing $20,000 to $35,000 require at least three (3) telephone or electronic quotes from vendors (unless available only from one vendor, then use sole source procedures), and completion of the vendor quote form. The number of vendors contacted may be reduced if the item sought is only available from a smaller number of vendors. When fewer than three quotes are requested, or if there are fewer than three replies, a written explanation will be maintained in department files, along with detailed invoices. 8.1.2.4 Purchases costing more than $35,000 up to $75,000 require written quotations from, if possible, at least three (3) vendors (unless the items are from a sole source vendor or if only two possible vendors can be found). The written quotes and detailed invoices will be kept in department files. 8.1.2.5 Purchases costing more than $75,000 up to $150,000 require written quotations from, if possible, at least three (3) vendors (unless the items are from a sole source vendor or if only two possible vendors can be found). The written quotes and detailed invoices will be kept in department files. 8.1.2.6 Purchases costing more than $150,000 must be bid competitively (unless the items are from a sole source vendor). See Bidding Requirements below. If the purchase is not part of a project listed in the most current City Council approved budget or CIP, the City Council must authorize the call for bids for a purchase estimated more than $150,000, as well as award the contract. City of Edmonds Purchasing Policies October 2024 11 Packet Pg. 61 9.1.a 8.1.2.7 Refer to the guidelines on sole source or emergency procedures, as needed. 8.1.2.8 Refer to the federal procurement guidelines if any federal funds will be used for the procurement of products. When soliciting quotes, the City will not inform a vendor of other vendors' quotes. A written record will be made by the City representative of each vendor's quote on the goods, equipment, supplies, or materials, and of any conditions imposed on the quote by such vendor. It is allowable to use criteria other than cost (e.g., qualifications, available staff, delivery timelines, return policies) in making an award to determine whether the vendor is a "responsible" bidder. All quotes/bids must be awarded to the lowest responsible bidder. Whenever there is a reason to believe that the lowest acceptable quote is not the best price attainable, all quotes may be rejected and the City may obtain new quotes. 8.2 Procurement of Vehicles and Equipment 8.2.1 The Mayor (or designee) is authorized to approve the purchase of new vehicles and equipment with a value of less than $250,000 per purchase, provided funds specific to the equipment or vehicle have been budgeted by the City Council. 8.2.2 The City may purchase vehicles and equipment from a cooperative if the City enters into an Interlocal Agreement with the cooperative, and the cooperative has followed all necessary and proper bidding requirements (see Interlocal Agreements at Section 13.0). 8.3 Procurement of Electronic Data Processing (Computer) and Telecommunications Equipment, Software, or Services Recognizing the unique aspects of computer and telecommunications systems, the Washington State legislature established an alternative process for making such purchases that is both competitive and compatible with the needs of municipalities. RCW 39.04.270 allows purchases through use of an alternative competitive negotiation process requiring, at a minimum, the following steps: • A request for proposals (RFP) must be prepared and submitted to an adequate number of qualified sources as determined by the City at its discretion to permit reasonable competition consistent with the requirements of the procurement. • Notice of the RFP must be published in a newspaper of general circulation at least 13 days before the last date on which the proposals will be received. • The RFP must identify significant evaluation factors, including price, and their relative importance. • The City must provide reasonable procedures for technical evaluation of the proposals received, identification of qualified sources, and selection for awarding the contract. • The award must be made to the qualified bidder whose proposal is "most advantageous" to the City with price and other factors considered. • The City may reject all proposals for good cause and request new proposals. 8.4 Procurement of Products at Auction RCW 39.30.045 allows for the purchase of any supplies or equipment at auction rather than through competitive bidding, if the items can be obtained at a competitive price. This authority allows the City to make a purchase on an internet-based auction service, such as eBay, as well as through in -person auctions. The City may also use federal, state, or local governmental auctions. 8.5 Procurement of Products from Governmental Agencies RCW 39.33.010 allows for the purchase of surplus property from other governmental agencies without regard to bid laws. The City may acquire such property from another governmental entity on mutually agreeable terms without soliciting bids/quotations. City of Edmonds Purchasing Policies October 2024 12 Packet Pg. 62 9.1.a 9.0 PROCUREMENT OF SERVICES The first step in successfully contracting for services is to determine the category of service that the City will be contracting for, as there are distinct differences between service types and the manner of solicitation. Distinguishing between services and public works is also important, as services may have different bidding requirements. MRSC uses the terms "purchased services"; "personal services"; and "architecture and engineering services" in its contracting guidelines. Each type is detailed below. Each Department Director (or designee) is authorized to determine the needs of their department in the procurement of services within their budget. Two or more departments may contract with a services vendor or consultant simultaneously, provided that each department meets the procurement obligations set forth in the Purchasing Policies. When soliciting information from potential service providers, the City may solicit a Request for Qualifications (RFQ) as an initial informational submission or together with a Request for Proposals (RFP) in connection with a formal solicitation for services. An RFQ asks an individual or company to submit their general capabilities, list of principal employees, previous projects, and other qualifications to perform a type of service. An RFP asks an individual or company to submit both their qualifications and a proposed scope of services for a specific project, including information on the fee, schedule and deliverables. An RFP should include: • Detailed scope of work describing the project tasks • Estimated budget • Estimated schedule • Evaluation criteria • Instructions regarding submittal information (page limitations, number of copies to be submitted) • Proposal deadline • Copy of agreement for services A Department Director (or designee) may evaluate proposals for smaller projects (less than $100,000), but a review panel of at least three (3) employees is recommended for more complex projects. City staff should review all submittals that were timely received (prior to the proposal deadline) to ensure they comply with the requirements of the RFP. The Director or review panel should then use the evaluation criteria to evaluate each proposal. Once a service provider is selected, City staff may negotiate directly with the service provider on the applicable terms and enter into a Professional Services Agreement for the services. 9.1 Purchased Services Purchased Services refers to services provided by a vendor to accomplish routine, continuing and necessary functions, mostly related to physical activities that: • Follow established or standardized procedures; • Contribute to the day-to-day business operations; • Require completion of assigned and specific tasks; • Require only routine or perfunctory decisions; and • May require payment of prevailing wages. These services are usually repetitive, routine, or mechanical in nature. Purchased Services include but are not limited to delivery and courier services; janitorial services; grounds keeping; pest control; moving services; fire extinguisher inspection; vehicle inspection and repair services; elevator or equipment inspection (but not repair); office furnishings installation and repair services; vehicle towing; services for equipment maintenance and repair (unless considered a public work); operation of a physical plant; security; computer hardware and software maintenance; data entry; key punch services; and computer time-sharing, contract programming, and analysis. City of Edmonds Purchasing Policies October 2024 13 Packet Pg. 63 9.1.a For most purchased services, the main determinant of award is price and there are no bid limits or requirements for advertising, bonds and/or retainage, or depending on the specific facts, prevailing wages. Contractors whose work includes only observing, directing, verifying, and reporting would not have a prevailing wage requirement. There are a number of purchased services, however, that fall into the gray area between purchased services and public works contracting. Purchased service contracts require, on the whole, much less paperwork than public works contracts. If a particular contract falls in the gray area, the conservative approach is to consider it a public works contract. The Washington State Department of Labor & Industries (L&I) considers some service contracts, such as HVAC system maintenance or road striping, to be public works and subject to public works bidding requirements. 9.1.1 Summary Estimated Cost Approval/Signing Procurement Process Notes Authority $0 — $75,000 Department Director or Invitation to Bid when price will Requires completion of a designee must approve be primary basis of award purchased services and, provided funds have contract that describes been budgeted, is RFP if price plus additional services to be performed authorized to sign the qualifications, such as expertise, and purchase price contract experience, and schedule will be considered $75,001 — $150,000 Department Director and Invitation to Bid when price will Requires completion of a Mayor or designees must be primary basis of award purchased services approve and, provided contract that describes funds have been RFP if price plus additional services to be performed budgeted, the Mayor is qualifications, such as expertise, and purchase price authorized to sign the experience, and schedule will be contract considered Over $150,000 City Council to approve RFP and competitive evaluation If not part of a project listed contract and authorize process to ensure vendor has in budget or CIP, a Mayor's signature the necessary expertise summary of the RFP must be approved by Council prior to advertisement 9.1.2 Procedures Procurement of purchased services requires completion of a City purchased services agreement that describes services to be performed and purchase price and adherence to the following procedures: 9.1.2.1 The Department Director (or designee) must approve procurement of purchased services costing up to $75,000, and provided funds have been budgeted, is authorized to sign the contract. 9.1.2.2 The Department Director and the Mayor (or their designees) must approve procurement of purchased services costing more than $75,000 up to $150,000. The Mayor is authorized to sign the contract provided funds have been budgeted. 9.1.2.3 Procurement of purchased services with an estimated fee of over $150,000 requires a focused public solicitation (formal bid / RFP process) to ensure the vendor has the necessary expertise. If the services are not part of a project listed in the most current City Council approved budget or CIP, a summary of the public solicitation must be put on the City Council agenda for approval prior to advertisement. The City Council must approve purchased services contracts costing more than $150,000 and authorize the Mayor to sign the contract. 9.1.2.4 Refer to the guidelines on sole source or emergency procedures, as needed. 9.1.2.5 Refer to the federal procurement guidelines if any federal funds will be used for the procurement of services. City of Edmonds Purchasing Policies October 2024 14 Packet Pg. 64 9.1.a 9.2 Personal Services Personal Services are provided by independent consultants with specialized knowledge, advanced education, professional licensing or certification, and where the primary service provided is mental or intellectual, involving the consistent exercise of judgment and discretion. Personal services involve professional or technical expertise provided by a consultant to accomplish a specific study, project, task, or other work statement. The term encompasses disciplines not specifically related to A/E, including but not limited to attorneys and bond counsel, computer programmers, financial analysts, artists, strategic planners, real estate appraisers and other consultants, and professional trainers. 9.2.1 Summary Estimated Cost Approval/Signing Procurement Process Notes Authority $0 — $75,000 Department Director or Direct negotiations; Expertise, Requires completion of designee must experience, including prior a professional services approve and, provided experience with the city, timeframe agreement that funds have been for completing projects, and the describes services to budgeted, is value of a negotiated agreement are be performed and total authorized to sign the to be considered when choosing a cost contract consultant/firm $75,001 — Department Director Direct negotiations; Expertise, Requires completion of $150,000 and Mayor or experience, including prior a professional services designees must experience with the city, timeframe agreement that approve and, provided for completing projects, and the describes services to funds have been value of a negotiated agreement are be performed and total budgeted, the Mayor is to be considered when choosing a cost authorized to sign the consultant/firm contract Over $150,000 City Council to Requires focused public solicitation If not part of a project approve contract and (Request for Proposals / RFP) to listed in budget or CIP, authorize Mayor's ensure consultant has the necessary a summary of the RFP signature expertise, unless prior relationship must be approved by with City established Council prior to advertisement 9.2.2 Procedures 9.2.2.1 Services anticipated to cost up to $150,000 may be procured through direct negotiations with consultants. Services anticipated to cost more than $150,000 must be procured through a formal bid / RFP process. 9.2.2.2 If negotiating directly, send a written solicitation to one or more qualified firms or individuals describing the needed services. The MRSC Consultant Roster can be used if desired. Request prices, schedules, and qualifications. 9.2.2.3 Expertise, experience, including prior experience with the City, timeframe for completing projects, and the value of a negotiated agreement will be considered when choosing a consultant to perform personal services. 9.2.2.4 Procurement of personal services requires completion of a City professional services agreement that describes services to be performed and purchase price. 9.2.2.5 The Department Director (or designee) must approve procurement of personal services costing up to $75,000, and provided funds have been budgeted, is authorized to sign the contract. 9.2.2.6 The Department Director and the Mayor (or their designees) must approve procurement of personal services costing more than $75,000 up to $150,000. The Mayor is authorized to sign the contract provided funds have been budgeted. City of Edmonds Purchasing Policies October 2024 15 Packet Pg. 65 9.1.a 9.2.2.7 Procurement of personal services with an estimated fee of over $150,000 requires a focused public solicitation (formal proposal / RFP process) to ensure the consultant has the necessary expertise; provided, that in the event that the City has established an ongoing relationship with a consultant and has a basis to determine from experience that the consultant has the necessary expertise, the formal proposal / RFP process need not be undertaken. If the work is not part of a project listed in the most current City Council approved budget or CIP, a summary of the public solicitation must be approved by the City Council prior to advertisement. The City Council must approve personal services contracts costing more than $150,000 and authorize the Mayor to sign the contract. 9.2.2.8 When one project requires contracts with multiple consultants, the purchasing limits apply to the estimated fees for each contract, rather than the cumulative total of all consultants working on the project. 9.2.2.9 Refer to the guidelines on sole source or emergency procedures, as needed. 9.2.2.10 Refer to the federal procurement guidelines if any federal funds will be used for the procurement of services. 9.3 Architectural, Engineering and Land Surveyor Services (A/E) Procurement of A/E services will be in accordance with Chapter 39.80 RCW if no federal funds will be used for the procurement of these services. The statute requires advance notice of the need for professional services (RCW 39.80.030), evaluation of firms' qualifications and performance (RCW 39.80.040), and negotiation with firms in accordance with adjudged qualifications (RCW 39.80.050). If A/E services will be procured using any federal funds, procurement will be in accordance with the more restrictive requirements of 2 CFR 200, and the federal procurement guidelines must be followed (see Section 11.0). A/E purchases will be coordinated through the Department Director to ensure compliance with all applicable Federal and State statutes. Professional architecture and engineering (A/E) services are services provided by any person, other than an employee of the City, that fall under the general statutory definitions of: • Architecture — Chapter 18.08 RCW • Engineering — Chapter 18.43 RCW • Land surveying — Chapter 18.43 RCW • Landscape architecture — Chapter 18.96 RCW 9.3.1 Summary Estimated Cost Approval/SigningApproval/Signing Authority Procurement Process Notes $0 — $75,000 Department Director or Procurement is made Requires completion of a designee must approve through the MRSC A/E professional services advertising of Requests for Consultant Roster contract that describes Qualifications (RFQs) and according to the services to be performed procurement of services and, requirements of Chapter and purchase price provided funds have been 39.80 RCW budgeted, is authorized to sign the contract $75,001 — $150,000 Department Director and Procurement is made Requires completion of a Mayor or designees must through the MRSC A/E professional services approve advertising of RFQs Consultant Roster contract that describes and procurement of services according to the services to be performed and, provided funds have requirements of Chapter and purchase price been budgeted, the Mayor is 39.80 RCW authorized to sign the contract Over $150,000 City Council to approve Requires focused public If not part of a project listed contract and authorize solicitation (RFQ) to in budget or CIP, a Mayor's signature ensure consultant has summary of the RFQ and the necessary expertise, project details must be unless prior relationship approved by Council prior to with City established advertisement City of Edmonds Purchasing Policies October 2024 16 Packet Pg. 66 9.1.a 9.3.2 Procedures 9.3.2.1 A/E consultants are initially selected based on their qualifications, rather than price. The defining characteristic of Chapter 39.80 RCW is its strict insistence on qualification -based selection (QBS) of A/E professionals. In contrast to other contracts, an agency cannot consider price in the selection process for A/E services. It must instead select the most qualified firm, and then negotiate a price for the contemplated work. 9.3.2.2 There are two ways to select an A/E firm based on their qualifications: • MRSC Roster: This process requires the City representative to develop a summary of A/E services to be provided and the criteria used to select the consultant. Selection can be made after reviewing qualifications of Consultants on the MRSC Consultant roster, following the procedures of 39.80 RCW. • RFQ Process: If the project manager does not choose to use the appropriate roster, then a formal Request for Qualifications (RFQ) process must be followed, following the procedures of 39.80 RCW. 9.3.2.3 After the identification of the most qualified A/E consultant, the City will negotiate a contract for a price that the City determines to be fair and reasonable. In making this determination, the City will take into account the estimated value of the services to be rendered, as well as the scope, complexity, and professional nature of the work. If the City is unable to negotiate a satisfactory contract with the consultant at a price the City determines to be fair and reasonable, negotiations will be terminated and the City will begin negotiations with the next highest qualified consultant. 9.3.2.4 Department Directors (or designees) are designated the authority to approve advertising Requests for Qualifications (RFQ) for A/E services when the estimated consultant contract fee up to $75,000, and to approve proceeding with procurement of A/E services using the A/E Consultant Roster, provided funds have been budgeted by the City Council. 9.3.2.5 Department Directors and the Mayor (or their designees) must approve consultant contracts when the estimated consultant contract fee of more than $75,000 up to $150,000 and, provided funds have been budgeted, the Mayor is authorized to sign the contract. 9.3.2.6 Per Resolution 1155 the City utilizes the A/E Consultant Roster maintained by MRSC. Selection of an A/E consultant from the MRSC Consultant Roster may be made if the estimated consultant fee is $150,000 or less. 9.3.2.7 All projects with an estimated A/E consultant fee over $150,000, and projects that are sufficiently complex/unique will require a focused public solicitation advertised as a Request for Qualifications (RFQ) to ensure the A/E consultant has the necessary expertise; provided, that in the event that the City has established an ongoing relationship with a consultant and has a basis to determine from experience that the consultant has the necessary expertise, the formal bid / RFP process need not be undertaken. If the project is not listed in the City's current City Council Approved budget or CIP, a summary of the RFQ and project details must be put on the City Council agenda for approval prior to advertising the RFQ. The City Council must approve A/E Professional Service contracts costing more than $150,000 and authorize the Mayor to sign the contract. 9.3.2.8 A selection panel, with a minimum of three (3) employees, shall be used to select an A/E consultant when the estimated consultant fee exceeds $150,000. A selection panel is optional when the A/E consultant fee is estimated to be $150,000 or less. 9.3.2.9 Purchase of A/E services require completion of a City professional service agreement that describes services to be performed and consultant fee. City of Edmonds Purchasing Policies October 2024 17 Packet Pg. 67 9.1.a 10. PROCUREMENT OF PUBLIC WORKS As defined in RCW 39.04.010, "public works" include all work, construction, alteration, repair, or improvement (other than ordinary maintenance), executed at the cost of the City, or which is by law a lien or charge on any property therein. This includes most work done on City owned structures and facilities. WAC 296-127- 010(7)(b)(ii) defines "ordinary maintenance" as "maintenance work performed by the regular employees of" the City. This means that every time the City calls in a carpenter, plumber, electrician, painter, roofer, elevator repair technician, tree trimmer, fencing company, HVAC repair technician, or equipment operator, the purchase falls under public works procurement rules. In other words, if the City contracts out for maintenance or repairs, the work is a public work for bidding and prevailing wage purposes. 10.1 Authorized Public Works Contracting Procedures Washington State law authorizes cities to enter into public works contracts according to certain limited and defined procedures (see RCW 35A.40.200), each of which is detailed below: • Contract or day labor (City employees) without calling for bids — RCW 35.23.352(1). • Small Works Roster — RCW 35.23.352(4) and RCW 39.04.151-.154. • Unit Priced Contracts — RCW 35.23.352(13). • Job Order Contracting — RCW 39.10.420. • Advertised Bids — RCW 35.23.352(1). Category Cost Approval/SigningApproval/Signing Authority Notes Contract or Day Labor $0 — $75,500 Department Director or Work performed by City Without Bids (single craft) designee may approve use of employees or by contract day labor or contract and may negotiated directly by $0 — $150,000 sign contracts within budget Department Director or (multiple craft designee Small Works Roster $0 — $350,000 Dependent upon cost of Contract to be awarded to contract and budget authority lowest responsible bidder Unit Priced Contracts Applicable cost for Dependent upon cost of Contract to be awarded to initial term not to contract and budget authority lowest responsible bidder exceed three years, plus possible one year extension Job Order Contracting $500,000 maximum Department Director or Procurement pursuant to RCW per work order designee is authorized to sign 39.10.420 contracts within budget Formal Advertised Over $350,000 City Council to approve If not part of a project listed in Bidding contract and authorize budget or CIP, the Council Mayor's signature must approve advertising of call for bids 10.2 Generally Applicable Provisions 10.2.1 Prevailing Wages. Public works projects are governed by prevailing wage requirements, regardless of contract amount. The City is required by RCW 39.12.040 to require contractors to pay prevailing wages on all public works contracts. A "Statement of Intent to Pay Prevailing Wages" must be received from a contractor before any payment is made, and an "Affidavit of Wages Paid" must be received following final acceptance of the work. 10.2.2 Bid Bond Required. Pursuant to RCW 35.23.352 and RCW 35A.40.200, each bid must be accompanied by a bid proposal deposit in the amount of no less than five percent (5%) of the amount of the bid. Acceptable forms of deposit are surety bond provided by a surety company authorized to do business in Washington state, cashier's check, or postal money order. NOTE: The City may waive the bid proposal deposit on bids obtained using the Small Works Roster procedure. City of Edmonds Purchasing Policies October 2024 18 Packet Pg. 68 9.1.a 10.2.3 Performance and Payment Bonds Required. RCW 39.08.010 mandates that the City require payment and performance bonds for every public works contract, except as described below. This ensures that the job will be completed and that all workers, vendors, and subcontractors will be paid. Therefore, the City requires a good and sufficient bond in an amount equal to one hundred percent (100%) of the price specified in the contract, with a surety company authorized to do business in Washington State as surety, conditioned that the winning bidder shall comply with all the statutory requirements of Chapter 39.08 RCW, including the faithful performance of all provision of the contract; the payment of all laborers, material persons, mechanics, and subcontractors; and the payment of all taxes, increases, and penalties incurred on the project. For public works contracts of One Hundred Fifty Thousand Dollars ($150,000) or less, the City may, at the option of the contractor, in lieu of the bond, retain ten percent (10%) of the contract amount for thirty (30) days after final acceptance, or until receipt of all necessary releases from the Department of Revenue, Department of Labor & Industries, and Employment Security Department, and settlement of any liens filed under Chapter 60.28 RCW, whichever is later. RCW 39.08.010(3). The intent of this exception is to assist small contractors who may have difficulty securing bonds. RCW 39.08.015 subjects the City to the claims of laborers, material persons, mechanics, and subcontractors if the required performance and payment bonds are not obtained. 10.2.4 Retainage Required. The City contracts must provide, and the City must reserve, retainage not to exceed five percent (5%) of the contract amount per RCW 60.28.011. The retainage is a trust fund for the protection of workers and the payment of taxes and penalties. Exception: the City may waive the retainage requirements of RCW 60.28.011, thereby assuming liability for contractor's nonpayment of labor, taxes and penalties, for projects awarded under the small works roster process. NOTE: RCW 60.28.011 prohibits agencies from withholding retainage on public works projects funded in whole or in part by federal transportation funds. Instead, agencies must rely on the contractor's bond. 10.2.5 Non -Collusion Affidavit Required. Each bidder is required to warrant that their bid is genuine, and that they have not entered into collusion with other bidders, by submitting with their bid an executed and notarized affidavit on a form approved by the City Attorney's Office. 10.2.6 Determining Lowest Responsible Bidder. The City must either reject all bids or award the contract to the lowest responsible bidder, meaning the bidder who is a registered and/or licensed contractor; who meets the bidder responsibility criteria of RCW 39.04.350 and any supplementary criteria pre -established by the City; and who submitted the lowest responsive bid; provided, that if the City issues a written finding that the lowest bidder has delivered a project to the City within the last three (3) years that was late, over budget, or did not meet specifications, and the City does not find in writing that such bidder has shown how they would improve performance to be likely to meet project specifications, then the City may choose the second lowest bidder whose bid is within five percent (5%) of the lowest bid and meets the same criteria as the lowest bidder. (RCW 35.23.352(2)). If the City awards a project to the second lowest bidder under this section, the City must make an annual report to the department of commerce that includes the total number of bids awarded to certified minority or women contractors and describing how notice was provided to potential certified minority or women contractors. RCW 35.23.352(14). If all bids are rejected, the City may call for new bids. 10.2.7 Award. For contracts up to $150,000, the Mayor (or designee) shall have the authority to award and execute public works contracts that are within the applicable budget. For contracts over $150,000, the City Council must approve the award of a public works contract and authorize the Mayor's signature thereon. 10.2.8 Federal Funding. If a public works project is $250,000 or greater and is funded in whole or in part with federal funds, a formal bid process is required. This threshold is set by the federal government at 2 CFR Section 200.88 and 48 CFR Section 2.101 ("Simplified acquisition threshold") and is subject to periodic adjustment for inflation pursuant to 41 U.S.C. Section 1908. See the Federal Procurement Requirements at Section 11.0 if the public works project is funded, even in part, by federal funds. City of Edmonds Purchasing Policies October 2024 19 Packet Pg. 69 9.1.a 10.3 Contract or Day Labor Without Bids The City may construct any public work by contract or day labor (City employees) without calling for bids whenever the estimated cost of the work or improvement, including the cost of materials, supplies, and equipment, will not exceed $150,000 if more than one craft or trade is involved, or $75,500 if a single craft or trade is involved' or the project is street signalization or street lighting. The City may not divide the project into units of work or classes of work for the purpose of qualifying for job order contracting. The City may, without a contract, have employees perform work which is an accepted industry practice under prudent utility management (meaning utilizing material of a worth not exceeding $300,000, not including equipment as it is defined in RCW 35.23.352(1)). Note that contracting authority dollar limits apply to all City contracts. Work performed within the City by other public employees under an interlocal agreement will be included in the above limits. The City is required to provide a report to the State Auditor's Office (SAO) of the costs of all public works in excess of $5,000 that are not procured by contract (RCW 35A.40.200 and RCW 35.23.352(5)). For any project using City employees in excess of $25,000, the City must publish a description of the project and its estimated cost in the official newspaper at least fifteen (15) days before beginning the work, unless the work is done under a declared emergency, in which case the publication of the description and estimate may be made within seven (7) days after the commencement of the work. (RCW 39.04.020). 10.4 Small Works Roster Resolution 1155, passed November 5, 2007 established a small works roster process to award public works contracts. The City's Small Works Roster process will follow the provisions of RCW 39.04.151 through .154. Department Directors, the Mayor, or their designees, are authorized to proceed with procurement from the Small Works Roster within their contracting authority, provided funds have been budgeted by Council. For any public works project estimated to cost $350,000 or less6, the City may use the Small Works Roster procedure. The City of Edmonds has entered into an agreement with MRSC, under which they will maintain the City's Small Works Roster. Use of the Small Works Roster allows the City to preclude the advertisement requirements and sealed bidding procedures of the formal competitive process. All other bidding procedures and requirements not in conflict remain the same. For all purposes under this section, contractors are considered to be "on the appropriate small works roster" if they are on such roster before the time that the bid solicitation closes. The following small works roster procedures are established for use by the City pursuant to RCW 39.04.152: 10.4.1 Cost. The City need not comply with formal sealed bidding procedures for the construction, building, renovation, remodeling, alteration, repair, or improvement of real property where the estimated cost does not exceed Three Hundred Fifty Thousand Dollars ($350,000.00), which includes the costs of labor, material, equipment and sales and/or use taxes as applicable. Instead, the City may use the Small Works Roster procedures for public works projects as set forth herein. The breaking of any project into units or accomplishing any projects by phases is prohibited if it is done for the purpose of avoiding the maximum dollar amount of a contract that may be let using the Small Works Roster process. 10.4.2 Publication. At least once a year, on behalf of the City, MRSC will publish in a newspaper of general circulation within the jurisdiction, and provide the office of minority and women's business enterprises' directory of certified firms, a notice of the existence of the roster and solicit the names of contractors for the roster. Responsible contractors will be added to appropriate MRSC roster at any time that they submit a written request and necessary records. 10.4.3 Documentation. The City will document its good faith efforts to comply with RCW 39.04.152 as follows: (a) After an award is made, the bid quotations obtained will be recorded, publicly available, and available by request; and (b) Annually, the City will publish a list of small works contracts awarded and contractors contacted for direct negotiation pursuant to RCW 39.04.200. 5 These thresholds are set by state law (RCW 35.32.352) and are subject to adjustment. The threshold in effect at the time of bid solicitation will apply. s This threshold is set by state law (RCW 39.04.152) and is subject to adjustment. The threshold in effect at the time of bid solicitation will apply. City of Edmonds Purchasing Policies October 2024 20 Packet Pg. 70 9.1.a 10.4.4 Invitation for Quotations. The City may contract for Small Works projects by inviting and securing written or electronic quotations from contractors on the appropriate Small Works Roster to assure that a competitive price is established and to award contracts to the responsible bidder with the lowest responsive bid. Contractors must meet the mandatory bidder responsibility criteria in RCW 39.04.350(1) and any pre- established supplementary bidder criteria under RCW 39.04.350(3). A contract awarded from a Small Works Roster need not be advertised. Invitations for quotations must include, at a minimum, an estimate for the scope of work, including the nature of the work to be performed as well as materials and equipment to be furnished. Detailed plans and specifications need not be included. Templates for bid invitations, bidding, and contracting made available by the Department of Enterprise Services or MRSC may be used. Quotations will be invited from all appropriate contractors on the appropriate Small Works Roster that have indicated interest in performing work in the applicable geographic area. 10.4.5 Direct Contractinq with Small, Minority, Women and Veteran -Owned Businesses. Pursuant to RCW 39.04.152(4)(b), for small public works projects with an estimated cost of less than $150,000, not including sales tax, to increase the utilization of small, minority, women, and veteran -owned businesses, direct contracting with small businesses as defined in RCW 39.04.010, before direct contracting with other contractors on the appropriate Small Works Roster, without a competitive process, is hereby authorized as follows: 10.4.5.1 If there are six (6) or more contractors meeting the definition of small business on the applicable roster, the City must direct contract with one of those small businesses on the applicable roster that have indicated interest in performing work in the applicable geographical area. The City must rotate through the contractors on the appropriate small works roster and must, when qualified contractors are available from the roster who may perform the work or deliver the services within the budget described in the invitation for quotations, utilize different contractors on different projects. 10.4.5.2 If there are five (5) or fewer contractors meeting the definition of small business on the applicable roster, the City may direct contract with any contractor on the applicable roster. 10.4.5.3 The City must notify small, minority, women, or veteran -owned businesses on the applicable roster when direct contracting is utilized. 10.4.5.4 In engaging in direct contracting, the City may not favor certain contractors on the appropriate small works roster by repeatedly awarding contracts without documented attempts to direct contract with other contractors on the appropriate small works roster. 10.4.6 Small Public Works under $5,000. For small public works contracts under $5,000, there is no requirement for retainage or performance bonds. Otherwise, Small Works contracts are subject to the performance bond requirements of Chapter 39.08 RCW and the retainage requirements of Chapter 60.28 RCW; provided, however, that the City may reduce or waive retainage requirements set forth in RCW 60.28.011(1)(a), thereby assuming the liability for the contractor's nonpayment of: (a) laborers, mechanics, subcontractors, material persons, and suppliers; and (b) taxes, increases, and penalties pursuant to Titles 50, 51, and 82 RCW that may be due from the contractor for the project. Any such waiver will not affect the rights of the City recover against the contractor for any payments made on the contractor's behalf. For small public works contracts awarded through an invitation for quotation, notice of any retainage reduction or waiver must be provided in the invitation. 10.5 Unit Priced Contracts 10.5.1 General. RCW 35.23.352(13) allows the City to procure public works services with unit priced contracts. A unit priced public works contract, sometimes called an "on -call" public works contract, is a competitively bid contract in which public works are anticipated on a recurring basis to meet the business or operational needs of the City, under which a contractor agrees to a fixed period indefinite quantity delivery of work, at a defined unit price for each category of work. Unit priced contracts must be executed for an initial contract term not to exceed three (3) years, with the City having the option to extend or renew for one (1) additional year. City of Edmonds Purchasing Policies October 2024 21 Packet Pg. 71 9.1.a While traditional public works contracts are awarded for specific projects/scopes with a specific total dollar value, unit priced contracts are not associated with a particular project, do not guarantee any amount of work, and do not establish a total dollar value (although the contract will cap the dollar value at a certain level over the life of the contract). Instead, the City agrees to pay a defined hourly rate or unit price for certain types of anticipated, but unplanned, work or trades over a certain time period. The prices for different tasks may be based upon different units. Commonly used units include: • Weight, such as tons • Surface area, such as square feet or acres • Volume, such as gallons or cubic yards • Length/depth, such as linear feet or vertical linear feet • Time, such as hours • Quantity of items • Lump sum per task When a specific project is identified, individual work orders are authorized based upon either a "not to exceed" time and materials basis, or a negotiated lump sum amount using the previously established unit prices. During the course of a contract, there may be occasions when the original unit prices do not address particular work items that are needed. In those situations, new line items may be added by contract addendum. Unit priced contracts must be awarded to the lowest responsible bidder. Whenever possible, the City must invite at least one proposal from a certified minority or woman contractor who otherwise qualifies. Unit price contractors shall pay prevailing wages for all work that would otherwise be subject to the requirements of chapter 39.12 RCW. Prevailing wages for all work performed pursuant to each work order must be the prevailing wage rates in effect at the beginning date for each contract year. Unit priced contracts must have prevailing wage rates updated annually. Intents and affidavits for prevailing wages paid must be submitted annually for all work completed within the previous 12-month period of the unit priced contract. 10.5.2 Bidding a Unit Priced Contract. The City may use the formal bid or Small Works Roster procedures applicable to the estimated total aggregate "not to exceed" value of the contract. The invitation to bid must: • Include, for purposes of the bid evaluation, estimated quantities of the anticipated types of work or trades. • Specify that the contract will expire when the work orders total the estimated total aggregate "not to exceed" value, including Washington state sales tax, or the contract term expiration date, whichever occurs first. • Specify how work orders will be issued and include a sample work order. • State that there is no minimum volume of work guaranteed. • Specify that prevailing wage rates in effect at the beginning date of the contract year must be applied. • Specify that prevailing wage rates must be updated and Intents and Affidavits submitted to L&I annually (per 12-month contract period). 10.5.3 Unit Priced Systemwide Maintenance and Repair Contracts. Some systemwide maintenance and repair contracts, sometimes referred to as "on call contracts," actually fall under traditional public works contracting as long as the scope is clearly and properly defined. To qualify as a traditional public works contract instead of an on call contract, a systemwide maintenance or repair contract must cover specific activities planned in advance and budgeted (as opposed to on call contracts which cover activities that are not specifically planned and have no set budget). Examples include: • Sewer or storm drain "jetting" (cleaning) up to a certain budget amount, but not an exact number of linear feet • Sidewalk/trail construction or reconstruction in relation to the City's pedestrian master plan (not necessarily a fixed quantity), up to a certain budget amount • Storm pond maintenance • Annual contracts for pavement crack sealing, chip seals, overlays, etc. City of Edmonds Purchasing Policies October 2024 22 Packet Pg. 72 9.1.a These contracts can be structured so that they qualify as public works projects with readily determinable quantities and costs related to a fixed scope. Systemwide maintenance and repair contracts should not cover unanticipated projects or emergency repairs, which would fall under on call contracting. 10.6 Job Order Contracting A "job order contract" is a contract in which the contractor agrees to a fixed period, indefinite quantity delivery order contract, which provides for the use of negotiated, definitive work orders for public works. Pursuant to RCW 39.10.420, all public bodies of the state of Washington are authorized to award job order contracts and use the job order contracting procedure. The City Council has determined that the use of job order contracts will benefit the public by providing an effective means of reducing the total lead time and cost for the construction of public works projects for repair and renovation required at public facilities through the use of unit price books and work orders by eliminating time consuming, costly aspects of the traditional public works process, which requires separate contracting actions for each small project. The maximum total dollar amount that may be awarded under a job order contract is Four Million Dollars ($4,000,000) per year for a maximum of three (3) years. Any unused capacity from the previous year may be carried over for one year and added to the immediately following year's limit. Job order contracts may be executed for an initial contract term of not to exceed two (2) years, with the option of extending or renewing the job order contract for one (1) year. The City may have no more than three (3) job order contracts in effect at any one time. The maximum dollar amount for each work order issued under a job order contract is Five Hundred Thousand Dollars ($500,000), excluding Washington state sales and use tax. All work orders issued for the same project will be treated as a single work order for purposes of the dollar limit on work orders. The City will adhere to all requirements of Chapter 39.10 RCW with regard to its Job Order Contracting program. 10.7 Advertised Bids 10.7.1 Biddina Reauirements The competitive bid process is generally (although not exclusively) used for public works projects. Dollar -value ranges indicated pertain to each purchase or public work (including tax, freight, handling and set up costs, if applicable). Purchases and public works cannot be broken into multiple segments to avoid compliance with State statutes or City policies and procedures. Negotiations on bids are not permitted. Depending on the dollar amounts involved, the City has options as to the procedure for soliciting bids. 10.7.2 Bid Procedures for Advertised Bids A. Authorization for Bids Authorization to call for bids will be approved by the Department Director (or designee) for public works projects estimated at up to $75,000; and by the department director and the Mayor (or their designees) for a public works project costing over $75,000 up to $150,000. If the project is not included in the current City Council Approved budget or CIP, the City Council must authorize the call for bids for a project estimated at over $150,000. B. Publication of Notice RCW 35.23.352(1) sets out the advertising requirements for the public works bidding process. For all contracts that require bids, notice calling for sealed bids will be published in the official newspaper, or a newspaper of general circulation most likely to bring responsive bids at least thirteen (13) days prior to the due date for bids. After proper authorization, the requesting Department Director (or designee) will publish the Advertisement for Bids in the official newspaper. C. Notice Contents Notice (or advertisement) for bids should contain definite specifications and procedures for bidders to use to estimate their bids. A bid notice for public work should include: City of Edmonds Purchasing Policies October 2024 23 Packet Pg. 73 9.1.a Project title; Nature and scope of the work to be done / goods sought; Location(s) where contract documents (plans and specifications) can be reviewed or obtained; • Cost, if any, to obtain a set of contract documents; Place, date, and time that the sealed bids are due; Place, date, and time that sealed bids will be opened (if different from above); • Statement that a bid bond must accompany the bid for public works projects; and • Statement that the City retains the right to reject any and all bids and to waive minor irregularities in the bidding process. In addition, the City may provide evaluation criteria; minimum qualification expectations; date, time, and location of pre -bid conference (if applicable); and name, address, and telephone number of the project contact to assist bidders in preparing responsive submittals. D. Bid Specifications Bid specifications should incorporate a clear and accurate description of the technical requirements for the material, product, or service to be purchased. Such descriptions should not contain features that unduly restrict competition. When it is impractical or uneconomical to make clear and accurate description requirements, a "brand name or equal" description may be used. The responsibility of demonstrating to the City's satisfaction that a product is "equal" to that specified shall be on the vendor proposing the substitution. Requests for approval of substitutions must be made with sufficient time to allow the City to adequately review the proposal, including time for vendors to respond to questions and requests for additional information or clarification. The City has no obligation to accept proposed substitutions. Acceptance of a substitute product proposed as an "equal" to that specified will be made in writing. If this acceptance occurs prior to the bid, other bidders will be notified to the extent practical. E. Bid Submittal and Opening Bids will be submitted as specified in the invitation for bids by the appointed date and time listed in the invitation. Bids are submitted to the City Clerk's Office, where they are time and date stamped and processed. No bids will be opened prior to the predetermined date and time. No bid submitted after the appointed date and time will be accepted. If the bid is a sealed bid, all qualified bids will be opened and read aloud publicly at the appointed time. No City representative will inform a contractor of the terms or amount of any other contractor's bid for the same project prior to the bid opening date and time. A written record will be made of each contractor's bid on a project and of any conditions imposed on the bid. Immediately after an award is made, the bid quotations will be recorded, open to public inspection, and available by telephone inquiry. Original specifications and the original bid responses will be retained for review and audit as required. Pursuant to RCW 39.04.105, within two (2) business days of the bid opening on a public works project that is the subject of competitive bids, the City must provide, if requested by a bidder, copies of the bids the City received for the project. The City must then allow at least two (2) full business days after providing bidders with copies of all bids before executing a contract for the project. F. Evaluation of Bids The requesting Department Director (or designee) will document all bids received and determine the lowest responsible bidder, if any, or may reject all bids. G. Bid Award Unless all bids are rejected, and unless the circumstances of RCW 35.23.352(2) are present, then a winning bid must be awarded to the lowest responsive and responsible bidder by the Department Director (or designee) for a public works project costing less than $75,000; and by the Department Director and the Mayor (or their designees) for a public works project costing $75,000 or more but less than $150,000. The City Council must award bids of $150,000 or more. The City may choose to reject all bids for any reason. The City may not negotiate with any of the bidders. City of Edmonds Purchasing Policies October 2024 24 Packet Pg. 74 9.1.a RCW 35.23.352(2) allows the City to award the contract to the second lowest bidder whose bid is within five percent (5%) of the lowest bid and meets the same criteria as the lowest bidder if the City issues a written finding that: • the lowest bidder has delivered a project to the City within the last three years which was late, over budget, or did not meet specifications, and • the City does not find in writing that such bidder has shown how they would improve performance to be likely to meet project specifications. If the City awards a project to the second lowest bidder under this section, the City must make an annual report to the Washington State Department of Commerce that includes the total number of bids awarded to certified minority or women contractors and describing how notice was provided to potential certified minority or women contractors. RCW 35.23.352(14). H. Considerations for Bid Solicitations The following considerations apply to bid solicitations: Selection of a responsible bidder is based primarily on low bid, after factoring whenever possible such costs as maintenance and operations over the expected period of use. Consideration, however, may also be given for the following: Ability, capacity, expertise and skill of the bidder to perform the contract. Character, integrity, reputation, judgment, experience, and efficiency of bidder. Ability to perform within time specified. Quality of performance of previous contract(s). Other information having a bearing on the decision to award the contract. • Minimum qualifications must be provided to ensure respondents are reasonably qualified. Minimum qualification requirement should be compared against the marketplace to ensure they are not overly restrictive. • To ensure consistency and fair process, the City will use standard forms, documents, contracts, and terms and conditions, when practical. The Public Works and Finance Departments will maintain templates for bid -related documents for use by departments. The City may use an evaluation selection committee to promote an open and proper selection. The requesting Department Director will appoint committee members to act in an advisory capacity. When practical, the City will conduct a pre -bid conference to allow a thorough discussion of the City's expectations, intent, scope, specifications, and terms. Interested companies should be encouraged to attend. Every bidder for a public works contract that is expected to cost One Million Dollars ($1,000,000) or more must submit as part of the bid, or within one (1) hour after the published bid submittal time, the names of the subcontractors with whom the bidder, if awarded the contract, will subcontract for performance of the work of: HVAC (heating, ventilation, and air conditioning); plumbing as described in chapter 18.106 RCW; and electrical as described in chapter 19.28 RCW, or to name itself for the work. The bidder shall not list more than one subcontractor for each category of work identified, unless subcontractors vary with bid alternates, in which case the prime contract bidder must indicate which subcontractor will be used for which alternate. Failure of a bidder to submit as part of the bid the names of such subcontractors or to name itself to perform such work or the naming of two or more subcontractors to perform the same work shall render the bid nonresponsive and, therefore, void. RCW 39.30.060. If no responsive bid is received on the first call the City may re -advertise and make a second call, or without any further call, it may enter into a negotiated contract, purchase the supplies, material or equipment or perform the work or improvement using its own employees. City of Edmonds Purchasing Policies October 2024 25 Packet Pg. 75 9.1.a 10.7.3 Responsible Bidder Criteria A. Mandatory responsible bidder criteria. RCW 39.04.350 outlines the criteria a bidder must meet in order to be considered responsible. The bidder responsibility criteria set forth in this section applies to all public works contracts, no matter the size of the contract or what process is used. The criteria herein shall be used by the responsible Department to establish the minimum requirements for all contractors and subcontractors bidding on City contracts for public work (as those terms are defined in RCW 39.04.010). The bid documents shall set forth the documentation to be submitted by bidders to demonstrate their compliance with the mandatory responsible bidder criteria. To be considered a responsible bidder and qualified to be awarded a City contract for public work, the bidder must: • At the time of bid submittal, have a certificate of contractor registration in compliance with chapter 18.27 RCW, a plumbing contractor license in compliance with Chapter 18.106 RCW, an elevator contractor license in compliance with Chapter 70.87 RCW, or an electrical contractor license in compliance with Chapter 19.28 RCW, as required under the provisions of those chapters; • Have a current state unified business identifier (UBI) number; • If applicable, have: industrial insurance coverage for the bidder's employees working in Washington as required in Title 51 RCW; a state employment security department number as required in Title 50 RCW; and a state excise tax registration number as required in Title 82 RCW; • Not be disqualified from bidding on any public works contract under RCW 39.06.010 or RCW 39.12.065(3); and • If bidding on a public works project subject to the apprenticeship utilization requirements in RCW 39.04.320, not have been found out of compliance by the Washington State Apprenticeship and Training Council for working apprentices out of ratio, without appropriate supervision, or outside their approved work processes as outlined in their standards of apprenticeship under Chapter 49.04 RCW for the one-year period immediately preceding the date of the bid solicitation. • Have received training on the requirements related to public works and prevailing wage under Chapters 39.04 and 39.12 RCW as required in RCW 39.04.350(1)(f). The bidder must designate a person or persons to be trained on these requirements. The training must be provided by the Department of Labor and Industries or by a training provider whose curriculum is approved by the Department. The Department, in consultation with the prevailing wage advisory committee, must determine the length of the training. Bidders that have completed three (3) or more public works projects and have had a valid business license in Washington for three (3) or more years are exempt from this subsection. The Department of Labor and Industries must keep records of entities that have satisfied the training requirement or are exempt and make the records available on its web site. Responsible parties may rely on the records made available by the Department regarding satisfaction of the training requirement or exemption; and Within the three (3) year period immediately preceding the date of the bid solicitation, not have been determined by a final and binding citation and notice of assessment issued by the Department of Labor and Industries or through a civil judgment entered by a court of limited or general jurisdiction to have willfully violated, as defined in RCW 49.48.082, any provision of chapter 49.46, 49.48, or 49.52 RCW. Before award of a public works contract, a bidder shall submit to the city a signed statement in accordance with Chapter 5.50 RCW verifying under penalty of perjury that the bidder is in compliance with the responsible bidder criteria requirement of this section. The City may award a contract in reasonable reliance upon such a sworn statement. City of Edmonds Purchasing Policies October 2024 26 Packet Pg. 76 9.1.a A bidder must verify mandatory responsibility criteria for each first -tier subcontractor, and a subcontractor of any tier that hires other subcontractors must verify mandatory responsibility criteria for each of its subcontractors. Verification shall include that each subcontractor, at the time of subcontract execution, meets the responsibility criteria listed in RCW 39.04.350(1) and ECC 18.00.060. This verification requirement, as well as the mandatory responsibility criteria, must be included in every public works contract and subcontract of every tier. B. Supplemental responsible bidder criteria. In addition to the mandatory bidder responsibility criteria set forth in RCW 39.04.350 and ECC 18.00.060(A), the responsible Department may adopt in connection with a particular project relevant supplemental bidder responsibility criteria which the bidder must meet. Those supplemental criteria, including the basis for evaluation and the deadlines for requesting modification of the supplemental bidder responsibility criteria and for appealing a determination that a low bidder is not responsible under the supplemental bidder responsibility criteria, shall be provided in the invitation to bid or bidding documents. As relevant to a particular project, supplemental bidder responsibility criteria may be included to require that: • The bidder shall not owe delinquent taxes to the Washington State Department of Revenue without a payment plan approved by the Department of Revenue; • The bidder shall not currently be debarred or suspended by the federal government; • The bidder shall have complied with all applicable minority and women's business enterprises, disadvantaged business enterprises, or other similar utilization requirements or goals on federally - funded public works projects with such requirements completed by the bidder within three (3) years of the bid submittal date, unless there are extenuating circumstances acceptable to the City; • The bidder shall not be listed as an ineligible contractor on the federal GSA Excluded Parties List System (EPLS); • If bidding on a public works project subject to the apprenticeship utilization requirements in ECC 18.00.050, the bidder: o shall not have been found out of compliance with apprenticeship requirements of ECC 18.00.050 unless otherwise excepted or waived in writing by the Mayor or the Mayor's designee pursuant to that section for a one (1) year period immediately preceding the date of the bid submittal deadline; and o shall have complied with apprenticeship utilization goals on public works projects having such requirements that were completed by the bidder within a three (3) year period immediately preceding the date of the bid submittal deadline, unless there are extenuating circumstances acceptable to the City; • The bidder shall not have been convicted of a crime involving bidding on a public works contract within five (5) years from the bid submittal deadline; • The bidder's standard subcontract form include the subcontractor responsibility language required by RCW 39.06.020, and the bidder have an established procedure which it utilizes to validate the responsibility of each of its subcontractors. The bidder's subcontract form shall also include a requirement that each of its subcontractors shall have and document a similar procedure to determine whether the sub -tier subcontractors with which it contracts are also "responsible" subcontractors as defined by RCW 39.06.020; • The bidder shall not have a record of excessive claims filed against the retainage or payment bonds for public works projects during the previous three (3) years that demonstrate a lack of effective management by the bidder of making timely and appropriate payments to its subcontractors, suppliers, and workers, unless there are extenuating circumstances acceptable to the City; City of Edmonds Purchasing Policies October 2024 27 Packet Pg. 77 9.1.a The bidder shall have successfully completed projects of a similar size and scope as required by the contract documents for the project. In evaluating whether projects were successfully completed, the City may check owner references for previous projects and evaluate the owner's assessment of bidder performance, including but not limited to quality control, safety record, timeliness of performance, use of skilled personnel, management of subcontractors, availability of and use of appropriate equipment, compliance with contract documents, and management of submittals process, change orders and close-out; • The bidder shall not have had any public works contract terminated for cause by a government agency during the five (5) year period immediately preceding the bid submittal deadline for the project, unless there are extenuating circumstances acceptable to the City; • The bidder shall not have judgments entered by a court of law against the bidder within five (5) years of the bid submittal date that demonstrate a pattern of failing to meet the terms of contracts, unless there are extenuating circumstances acceptable to the City; and • The bidder shall not have a documented pattern of prevailing wage complaints filed against it within five (5) years of the bid submittal date that demonstrates a failure to pay workers prevailing wages, unless there are extenuating circumstances acceptable to the City. 3. Supplemental bidder responsibility criteria may include any other criteria determined by the City to be relevant to the particular project being bid, including but not limited to the ability, capacity and skill of the bidder to perform, the experience and efficiency of the bidder, the financial situation of the bidder, and the performance of the bidder on previous contracts or services. 4. In a timely manner before the bid submittal deadline, a potential bidder may request that the City modify the supplemental bidder responsibility criteria. The City must evaluate the information submitted by the potential bidder and respond before the bid submittal deadline. If the evaluation results in a change of the criteria, the City must publish an addendum to the bidding documents identifying the modified criteria. 5. If the bidder fails to supply information requested concerning responsibility within the time and manner specified in the bid documents, the City may base its determination of responsibility upon any available information related to the supplemental criteria or may find the bidder not responsible. 6. If the City determines a bidder to be not responsible, the City must provide, in writing, the reasons for the determination. The bidder may appeal the determination within the time period specified in the bidding documents by presenting additional information to the City. The City must consider the additional information before issuing its final determination. If the final determination affirms that the bidder is not responsible, the City may not execute a contract with any other bidder until two (2) business days after the bidder determined to be not responsible has received the final determination. 7. The invitation to bid or bidding documents shall specify the times, manner and means of communications, deadlines and determinations required by this section. 10.7.4 Apprentice Requirements The City's apprenticeship requirements will comply with the requirements of RCW 39.04.320. A. Definitions. "Apprentice" means an apprentice enrolled in a state -approved apprenticeship training program. "Contractor" means a person, corporation, partnership, limited liability company, or joint venture entering into a contract with the City to construct a public work. "Labor hours" means the total number of hours worked by workers receiving an hourly wage who are directly employed on the site of the public work and who are subject to state or federal prevailing wage requirements. "Labor hours" shall also include hours worked by workers employed by subcontractors on the site of the public work, and shall include additional hours worked as a result of a contract or project adjustment or pursuant to an agreed -upon change order. City of Edmonds Purchasing Policies October 2024 28 Packet Pg. 78 9.1.a 4. "Estimated cost" means the anticipated cost of a public work, as determined by the City, based upon the expected costs of materials, supplies, equipment, and labor, but excluding taxes and contingency funds. "Public work" refers to all City funded construction projects that constitute a public work pursuant to RCW 39.04.010 as now or hereafter amended and estimated to cost $1,000,000 or more. "State -approved apprenticeship training program" means an apprenticeship program approved or recognized by the Washington State Apprenticeship and Training Council. "Subcontractor" means a person, corporation, partnership, limited liability company, orjoint venture that has contracted with the contractor to perform all or part of the work to construct a public work by a contractor. B. Apprentice utilization. Apprentices shall be utilized for the construction of public works by contractors and subcontractors in accordance with this section. 1. Apprenticeship utilization program requirements. As of July 1, 2024, for all public works contracts awarded with an estimated cost of Two Million Dollars ($2,000,000) or more, all specifications must require that no less than fifteen percent (15%) of the labor hours be performed by apprentices. For contracts advertised for bid on or after July 1, 2026, for all public works contracts awarded with an estimated cost of One Million Five Hundred Thousand Dollars ($1,500,000) or more, all specifications must require that no less than fifteen percent (15%) of the labor hours be performed by apprentices. For contracts advertised for bid on or after July 1, 2028, for all public works contracts awarded with an estimated cost of One Million Dollars ($1,000,000) or more, all specifications must require that no less than fifteen percent (15%) of the labor hours be performed by apprentices. 2. Contract requirements. Contract documents for such public works construction projects shall include provisions detailing the apprentice labor requirements. There must be a specific line item in the contract specifying that apprenticeship utilization goals should be met, monetary incentives for meeting the goals, monetary penalties for not meeting the goals, and an expected cost value to be included in the bid associated with meeting the goals. All contracts must include a provision that a contractor or subcontractor may not be required to exceed these apprenticeship utilization requirements. 3. Monitoring. The City will include an Apprenticeship Utilization Form for contractors to complete when submitting their bid documents, which identifies the intended usage of apprentices by the contractor and any subcontractors. This document will require the identification of individual apprentices by name and Washington State apprenticeship registration number, an estimate of the total apprentice labor hours, and the identification of apprentice hours to be worked by minorities, women, persons with disabilities and disadvantaged youth. This provision is not intended and shall not be used to discriminate against any applicant for training. In addition, the City will require the submittal of an Apprenticeship Verification Form by the contractor at the conclusion of the public works project that will identify the actual work performed by apprentices for the contractor and subcontractors. The City must report apprentice utilization by contractor and subcontractor to the supervisor of apprenticeship at the Department of Labor & Industries by final project acceptance. 4. Failure to meet utilization goal. Failure by a contractor to comply with established apprenticeship requirements, unless otherwise adjusted or waived in writing as set forth below, may be deemed a breach of contract for which the City shall be entitled to all remedies allowed by law under the contract. Failure to comply with the apprenticeship requirements may also be considered evidence bearing on a contractor's qualification for award of future contracts with the City. 5. Adjustment and waiver. The responsible Department Director, or designee, may adjust or waive the requirements of this section for a specific project at any time for the following reasons: The demonstrated lack of availability of apprentices in specific geographic areas; A disproportionately high ratio of material costs to labor hours, which does not make feasible the required minimum levels of apprentice participation; A participating contractor has demonstrated a good faith effort to comply with the requirements of City of Edmonds Purchasing Policies October 2024 29 Packet Pg. 79 9.1.a RCW 39.04.320; or Other criteria the City deems appropriate that are not inconsistent with the purpose and goals of this section, which are subject to review by the City Council. 10.8 Change Orders on Public Works Construction Contracts Approval of change orders on Public Works Construction Contracts shall be in accordance with the following requirements: City Council members shall be notified by e-mail of any change order in excess of $75,000. City Council approval shall be required for: any change order in excess of $150,000; and any change order which puts the total of change orders on a project over the designated management reserve. If City Council approval is required for a change order, but circumstances require a speedier approval, the Mayor is authorized to approve the required work provided that the change order and a written statement of the special circumstances requiring speedier approval is placed on the next City Council agenda for review. 10.9 Final Acceptance of Public Works Projects The Mayor (or designee) is authorized to accept public works projects as complete, and to declare that Final Acceptance has been achieved, after the contractor has completed all tasks and furnished to the City all documentation required by the public works contract and by applicable law. City of Edmonds Purchasing Policies October 2024 30 Packet Pg. 80 9.1.a 11.0 PROCUREMENT USING FEDERAL FUNDS When procuring property and services under a Federal award, the City will follow 2 CFR §200.318 General procurement standards through §200.326 Contract provisions or City of Edmonds Purchasing Policy procedures, whichever is more restrictive. Contracts for more than the federal simplified acquisition threshold currently set at $250,000 must address administrative, contractual, or legal remedies in instances where contractors violate or breach contract terms and provide for such sanctions and penalties as appropriate. For questions on appropriate remedies, sanctions and penalties, contact the City Attorney's Office. Contracts and sub -grants of amounts in excess of $250,000 require that the City comply with all applicable standards, orders or regulations issued pursuant to the Clean Air Act and the Federal Water Pollution Control Act. The City will monitor procurements to avoid duplicative purchases and will continue to enter into inter -entity agreements to realize cost savings for shared goods and services when possible. The tables set forth below outline procurement requirements when using Federal funds in different procurement situations. The City will verify and document that vendors are not suspended or debarred from doing business with the Federal government. Federal guidelines require grant recipients to ensure vendors with contracts or purchases exceeding $25,000 are not suspended or debarred from participating in federal programs. All City purchases and contracts issued from federal resources that exceed $25,000 are subject to these guidelines. Before initiating any purchases or contracts with federal funds that exceed or may potentially exceed $25,000 within the fiscal year, the responsible administrator will verify that the vendor is not listed on the System for Award Management (SAM) exclusion list by checking at www.sam.gov. If the vendor is listed on the exclusion list, the administrator will not complete the purchase or contract with the vendor. If the exclusion list shows no records for the vendor, the administrator will print the screen, retain a copy in the department files, and proceed to process the purchase or contract. NOTE: Washington State Department of Enterprise Services (DES) does not check for suspension or debarment on State bid contracts. 11.1 Single Audit Act — The City, as a recipient of Federal funds, will adhere to the Federal regulations outlined in 2 CFR §200.501 as well as all applicable Federal and State statutes and regulations. 11.2 Closure — A project agreement end date will be established in accordance with 2 CFR §200.309. Any costs incurred after the project agreement end date are not eligible for Federal reimbursement. 11.3 Code of Conduct for Federal Purchases 11.3.1 Purpose — The purpose of the Code of Conduct is to ensure the efficient, fair and professional administration of federal grant funds in compliance with 2 CFR §200.112, 2 CFR §200.318 and other applicable Federal and State standards, regulations and laws. 11.3.2 Application — This Code of Conduct applies to all elected officials, employees or agents of the City of Edmonds engaged in the award or administration of contracts supported by federal grant funds. 11.3.3 Requirements — No elected official, employee or agent of the City of Edmonds will participate in the selection, award or administration of a contract supported by federal grant funds if a conflict of interest, real or apparent, would be involved. Such a conflict would arise when any of the following has a financial or other interest in the firm selected for the award: City of Edmonds Purchasing Policies October 2024 31 Packet Pg. 81 9.1.a • The City elected official, employee, or agent; or • Any member of their immediate family; or • Their partner; or • An organization that employs, or is about to employ, any of the above. The City of Edmonds' elected officials, employees or agents shall neither solicit nor accept gratuities, favors, or anything of monetary value from contractors, potential contractors or subcontractors. 11.3.4 Remedies — To the extent permitted by federal, state or local laws or regulations, violation of these standards may cause penalties, sanctions or other disciplinary actions to be taken against the City of Edmonds' elected officials, employees or agents, or the contractors, potential contractors, subcontractors or their agents. Any potential conflict of interest will be disclosed in writing to the federal awarding agency or pass -through entity in accordance with applicable federal awarding agency policy. 11.4 Product Procurement Thresholds — If any federal funds are used to procure products, the more restrictive of the federal and state or local procurement thresholds must be used as set forth in Table 1: TABLE 1 Product.. Thresholds Very Small Purchase (Federal City: Under $20,000 "micro -purchase") Procedures — Federal: $10,000 or less No required quotes. However, must consider prices reasonable, and to the extent practicable, distribute MUST USE more restrictive $10,000 federal equitably among suppliers threshold 2 CFR 200.320(a) Small Purchase Procedures (Telephone) — City: $20,000 up to $35,000 Obtain/document telephonic quotes from at least Federal: Under $250,000 three (3) qualified vendors MUST USE more restrictive City threshold 2 CFR 200.320(b) instead of "under $250,000" federal threshold Small Purchase Procedures (Written) — City: More than $35,000 but less than $100,000 Obtain/document written quotes from a Federal: Under $250,000 reasonable number of qualified vendors (at least three (3)). MUST USE more restrictive City threshold instead of "under $250,000" federal threshold 2 CFR 200.320(b) Sealed Bids / Competitive Bids (Formal) City: More than $100,000 Federal: $250,000 or more 2 CFR 200.320(c)(1-2) For bids between $100,000 and $249,999, *Cost analysis required MUST USE more restrictive City threshold before receiving bids or proposals — instead of 1250 or more" federal threshold 2 CFR 200.323 For bids $250,000 or more MUST USE more restrictive federal threshold* City of Edmonds Purchasing Policies October 2024 32 Packet Pg. 82 9.1.a 11.5 Services Procurement Thresholds — If any federal funds are used to contract for the services, the more restrictive requirements of 2 CFR Sec. 200 apply as set forth in Table 2: TABLE 2 MethodServices Procurement Federal Requirements Very Small Purchase For Purchased Services costing under $10,000, (Federal "micro -purchase") Procedures no quotes are required. However, must consider (For Purchased Services) price as reasonable, and to the extent practicable, distribute equitably among vendors. 2 CFR 200.320(a) Small Purchase Procedures For Purchased Services costing more than (For Purchased Services) $10,000 up to $100,000: 2 CFR 200.320(b) MUST USE more restrictive federal requirements for procurement of purchased services For procurement of Purchased Services, must obtain/document quotes from a reasonable number of qualified sources (at least three (3)). Sealed / Formal Bids For Purchased Services costing between (For Purchased Services) $100,000 and $250,000: 2 CFR 200.320(c)(1-2) MUST USE more restrictive $100,000 City threshold for procurement of Purchased 'Cost analysis required before Services, rather than $250,000 federal threshold. receiving bids or proposals (2 CFR 200.323) For Purchased Services costing $250,000 or more: MUST USE more restrictive $250,00 federal threshold" Competitive Proposals For Personal Services costing up to $250,000: (For Personal Services) Selection is based on a MUST USE more restrictive City selection determination of the criteria. "most qualified firm" For Personal Services costing $250,000 or more: MUST USE more restrictive $250,000 federal threshold. For procurement of Personal Services, the following tasks must be undertaken: • Must publicize request for proposals soliciting from an adequate number of qualified sources; • Must maintain written method for conducting technical evaluations; • Contract must be awarded to the responsible firm whose proposal is most advantageous to the program City of Edmonds Purchasing Policies October 2024 33 Packet Pg. 83 9.1.a Competitive Proposals For procurement of all A/E services with federal (For A/E Services) funds, the following tasks must be undertaken: Selection is based on a determination of the Must publicize request for proposals most qualified firm" soliciting from an adequate number of qualified sources; • Must maintain written method for conducting technical evaluations; • Contract must be awarded to the responsible firm whose proposal is most advantageous to the program Non -Competitive Proposals Appropriate only when: • Available only from a single source; or • Public emergency exists; or • Expressly authorized by awarding or pass - through agency in response from written request from City of Edmonds; or • After soliciting a number of sources, competition is deemed inadequate. City of Edmonds Purchasing Policies October 2024 34 a� L 3 d 0 L a _ M 0 m .v 0 a a� _ .y ca s 3 a a� _ w c� L y-r _ 0 U O O r �a CL m 0 _ 0 t L Q E 0 U It N O N 49 N N d .2 0 a aM Ca L 3 IL v N O N _ N E t t� R Q Packet Pg. 84 9.1.a 11.6 Public Works Procurement Thresholds — If the City will be applying any federal funds to contract for public works projects, the City must follow the more restrictive of the federal and state or local procurement thresholds as set forth in Table 3: TABLE 3 MethodPublic Works Procurement Thresholds Federal "micro -purchase" Procedures Project cost = $10,000 or less No required quotes. However, must consider price as reasonable, and to the extent MUST USE federal procurement requirements practicable, distribute equitably among suppliers 2 CFR 200.320(a) Limited Public Works Process Procedures Project cost = Between $10,000 and $50,000 — (RCW 39.04.155(3)) — Invite electronic or written quotations from a MUST USE more restrictive City threshold instead of minimum of three (3) qualified contractors "under $250,000" federal threshold from the appropriate small works roster 2 CFR 200.320(b) Small Works Roster Procedures — Invite Project cost = Between $50,000 and $250,000 electronic or written quotations from a minimum of five (5) qualified contractors from MUST USE more restrictive "under $250,000" federal the appropriate small works roster threshold 2 CFR 200.320(c)(1-2) Small Works Roster Procedures — Invite Project cost = Between $250,000 and $350,000 electronic or written quotations from a minimum of five (5) qualified contractors from the appropriate small works roster AND MUST USE more restrictive $250,000 federal threshold instead of City's $350,000 City must also notify the remaining threshold contractors on the appropriate small works roster that quotations are being sought. Refer to "Small Works Roster" section for notice requirements 2 CFR 200.320(c)(1-2) Cost analysis is required before receiving bids or proposals (2 CFR 200.323) Sealed Bids / Competitive Bids (Formal) $350,000 or less (optional) 2 CFR 200.320(c)(1-2) More than $350,000 (required) If cost is above $250,000, cost analysis MUST USE more restrictive $250,000 federal threshold is required before receiving bids or instead of City's $350,000 threshold proposals (2 CFR 200.323) City of Edmonds Purchasing Policies October 2024 35 Packet Pg. 85 9.1.a 12.0 GRANT AGREEMENTS The Mayor is authorized to execute grant agreements for capital projects where the City Council previously authorized the project in the current Capital Improvement Program (CIP) and, forgrowth-related projects, where the scope of the project is substantially consistent with the project description in the Capital Facilities Plan (CFP). All other grant agreements must be approved by the City Council before execution. Once a grant agreement has been properly executed as provided above, the Department Director (or designee) overseeing the capital project may execute documents necessary to implement the grant agreement, including documents necessary for the City to be reimbursed by the granting agency. The Federal Highway Administration, through the State, sometimes authorizes Federal transportation funding to the City of Edmonds for transportation projects. The Code of Federal Regulations, 2 CFR 200.415(a) requires that final fiscal reports or vouchers requesting payment under Federal agreements include the following certification, which, under the this policy, may be signed by the Mayor, Director, or City Engineer, who are hereby authorized to legally bind the City, forthe sole purpose of requesting reimbursement for Federally funded transportation projects, to terms that are consistent with the applicable grant agreement: "By signing this report, I certify to the best of my knowledge and belief that the report is true, complete and accurate, and the expenditures, disbursements and cash receipts are for the purposes and objectives set forth in the terms and conditions of the Federal award. I am aware that any false, fictitious, or fraudulent information, or the omission of any material fact, may subject me to criminal, civil or administrative penalties for fraud, false statements, false claims or otherwise. (U.S. Code Title 18, Section 1001 and Title 31, Sections 3729-3730 and 3801-3812)." City of Edmonds Purchasing Policies October 2024 36 Packet Pg. 86 9.1.a 13.0 INTERLOCAL AGREEMENTS RCW 39.34.030 allows the City to join with other governmental agencies for the purchase of supplies, equipment, or services. This is done by entering into a written Intergovernmental Cooperative Purchasing Agreement (also known as an "Interlocal Agreement"). All Interlocal Agreements must comply with the requirements of Chapter 39.34 RCW and must be either filed with the County Auditor or posted on the City's website or other electronically retrievable public source (RCW 39.34.040). All Interlocal Agreements must be approved by the City Council. Amendments to an Interlocal Agreement that simply extend the term of the agreement may be approved by the Mayor without prior City Council approval. Solicitation of bids/quotations is not required when purchases of materials, supplies, or equipment are made under State standard contracts or similar contracts executed by and through other local governments (also known as "piggybacking"). Prior to making a purchase under such an agreement, the City must ensure that the agency that originally awarded the bid, proposal, or contract followed its own bid law requirements. The originating agency must also have fulfilled one of two additional public notice requirements: (1) posted the bid or solicitation notice on a web site established and maintained by a public agency, purchasing cooperative, or similar service provider, for purposes of posting public notice of bid or proposal solicitations; or (2) provided an access link on the state's web portal to the notice. The City may also make a bid call with another government entity as a joint purchase that complies with the procurement requirements of both jurisdictions. Neither solicitation of bids/quotations nor an Interlocal Agreement is required when purchasing materials, supplies, or equipment from or through the United States of America or any agency thereof. (RCW 39.32.070). All internal procurement approval requirements must be observed and the process must comply with state statutory requirements. City of Edmonds Purchasing Policies October 2024 37 Packet Pg. 87 9.1.a 14.0 REAL PROPERTY Contracts and agreements that relate to real property, other than as described below, must be approved by the City Council. The Mayor is authorized to enter into leases of real property where the rent does not exceed $50,000 total over the term of the lease; provided, that the City Council's approval is required for all leases of real property that are for a term of more than five (5) years. The Mayor, Director of Public Works, Director of Parks, Recreation and Human Services, and Director of Planning and Development are authorized to accept dedications, easements, rights -of -way, fee estates, or other interests in real property for use by or on behalf of the City. Pursuant to this authority, the Mayor and designated Directors are each authorized to sign and accept delivery of real property acquisition documents on behalf of the City. Surplus of Real Property. There are few statutory requirements regarding the disposal of surplus real property. However, Chapter 39.33 RCW addresses intergovernmental property transfers and the transfer of real property originally acquired for public utility purposes. Otherwise, depending on the situation and any relevant requirements of the Edmonds City Code, real estate sale methods to surplus real property may include Requests for Proposals, sealed bids, auction, direct negotiations, real estate brokers/agents, or multiple listing services. See also, Section 16.0 Sale or Disposal of City Property. City of Edmonds Purchasing Policies October 2024 38 Packet Pg. 88 9.1.a 15.0 SOLE SOURCE, SPECIAL MARKET CONDITIONS, AND EMERGENCIES Situations may occur when competition among multiple vendors is not practical. These situations, as outlined in RCW 39.04.280 (Competitive bidding requirements — Exemptions), include: • There is clearly and legitimately only one source capable of supplying the good or service in a timely fashion. • There are special circumstances or market conditions that result in only one appropriate source. • Purchases of insurance or bonds. • Purchases or public works needed in the event of an emergency. 15.1 Sole Source Purchases may be made from a sole source vendor without soliciting other quotes or bids. Sole source purchases are those that are clearly and legitimately limited to a single source of supply, such as licensed or patented goods or services; items that are uniquely compatible with existing equipment, inventory, systems, programs or services; items that meet City standards (such as water meters); and factory authorized warranty services. If, after conducting a good faith review of available resources, the requesting Department Director determines that there is only one source of the required materials, supplies, equipment or service (including public works), a purchase may be awarded without complying with established bid requirements. If the determination of sole source is not clear, the City Attorney's Office should be consulted with regard to whether a vendor can legitimately be defined as sole source. The requesting department will submit a written request for sole source procurement with negotiated contract price, terms, conditions and delivery for approval. The vendor must certify that the City is getting the lowest price offered as compared to similarly situated clients, terms and conditions. Department Directors can approve Sole Source purchases up to $75,000, the Department Director and the Mayor can approve sole source purchases costing over $75,000 up to $150,000. Council must approve sole source purchases costing more than $150,000. Immediately after the award of any sole source purchase, the factual basis for awarding the same must be recorded and open to public inspection. 15.2 Special Market Conditions The City may waive established bidding requirements if an opportunity arises to purchase favorably -priced supplies, materials or equipment unrelated to public works projects that will be sold before the City can conduct the bid process. The City may waive such requirements for contracts for the procurement of parts and services for equipment, and technical support for computer software and hardware, that the City is already using. Other costs associated with a potential purchase, such as the need for additional staff training, may also be considered. Waiver will be authorized by the Mayor (or designee). Immediately after the award of any special market conditions contract, the contract and the factual basis for awarding the same must be recorded and open to public inspection. 15.3 Emergencies In case of unforeseen circumstances beyond the control of the City that present a real and immediate threat to the City's ability to properly perform essential functions, or to City property or the safety of citizens and/or staff, the Mayor (or designee) may waive bid requirements to purchase supplies, materials, equipment or services to stabilize the emergency condition. Purchases must be properly documented as an emergency as soon as possible following the event. Pursuant to the provisions of RCW 39.04.280, within two (2) weeks of confirming the emergency existed, the City Council will adopt a resolution certifying the existence of the emergency. All emergency procurements under this section shall be considered to be in full force and effect until the City Council acts otherwise. City of Edmonds Purchasing Policies October 2024 39 Packet Pg. 89 9.1.a 16.0 SALE OR DISPOSAL OF CITY PROPERTY 16.1 Authorization The Mayor may authorize the sale or disposal of City property, provided that the property is no longer needed and that notice of intention to sell is given as provided in this section. The property will be deemed as surplus or scrap. The Mayor (or designee) is authorized to surplus vehicles and equipment designated for replacement or disposal in accordance with state law, without reference to the provisions of Chapter 3.01 ECC. Permission must be obtained from the grantor before selling or disposing of any property which was purchased with grant funding. Failure to obtain permission could obligate the City to repay grant funding used to purchase the property. 16.2 Sale / Disposal / Donation Sales of surplus items to other governmental agencies may occur via private sale. Other sales of surplus items will be sold via public auction. It is the City's policy to utilize third -party auction services rather than conduct the auction directly. Scrap may be sold via public auction, via private sale at prices established by current market conditions, or may be disposed of if there is not a viable market. The Mayor is authorized to donate items with a nominal value to a charitable organization which is tax exempt pursuant to Internal Revenue Code Section 501(c)(3). 16.3 Trade -Ins Trade-in of old equipment to upgrade similar or reasonably related equipment is permitted when it is in the best interest of the City. The requesting Department Director will be responsible for the sale, trade, or other disposition of surplus property and scrap belonging to the City when used for a trade-in. 16.4 Public Notice of Sale If the City opts not to use a third -party auction service and decides to conduct an auction directly, the notice of intent to sell surplus or scrap property at a public sale must be published once a week for two (2) consecutive weeks in the City's official newspaper immediately prior to the sale. The notice will state the time and place at which the property will be sold. Any other reasonable means to attract potential buyers to the sale may be used in conjunction with the notice posted in the official newspaper. 16.5 Conflict of Interest Because City employees have more information than the general public about City property to be auctioned, and an appearance of fairness is necessary to maintain the public trust, employees, their spouses, and their agents are not permitted to bid on or buy any property auctioned or sold directly by the City. 16.6 Inventoried Items Surplus, scrap, or trade-in of any inventoried item will be confirmed by the employee responsible and approved by the Department Director. Documentation of the transfer of inventoried items will be provided to the Finance Department. Each department will be responsible for storing and retaining an inventory of such property until issued disposition instructions. City of Edmonds Purchasing Policies October 2024 40 Packet Pg. 90 9.1.a 17.0 MISCELLANEOUS 17.1 Budget Adjustments Department Directors (or designees) must ensure that purchases are initiated only when departmental appropriations are sufficient to cover the anticipated cost. Expenditures that exceed departmental appropriations require approval via the Budget Amendment Process. 17.2 Forms and Templates Purchasing forms and templates may be retained in a public directory. 17.3 Recyclables, Noncompostable Food Service Containers, Single -Use Plastic Utensils Every effort will be made to use products made from recycled materials if such products are available, of acceptable quality, and generally priced the same as similar, non -recycled products (Resolution 766). City staff and all parties who contract with the City for provision of public events must comply with Chapter 6.90 ECC ("Noncompostable Food Service Containers Prohibition") and Chapter 6.95 ECC ("Single -Use Plastic Utensils — Prohibition"). 17.4 Reimbursement of Travel and Meal Expenses Reimbursement of travel and meal expenses is governed by the City Personnel Policies, Chapter IX. 17.5 Store -Issued Charge Cards It is sometimes necessary to use store -issued charge cards. Department Directors will request prior approval from the Finance Director or designee before establishing an account. 17.6 Purchase Cards Purchase cards can be issued with the approval of the Finance Director. They are to be used solely for City - authorized business purposes. See Credit Card Policy. 17.7 Quick Checks Quick checks may be issued to avoid incurring penalties, interest, or late charges. Submit requests for quick checks to the Finance Department. Quick checks will be approved by the Finance Director (or designee). Departments should avoid requests for quick checks by informing vendors of invoice deadlines and payment schedules. 17.8 Early Release Any checks requiring an early release must be approved by the Finance Director (or designee). Departments should avoid requests for early release by informing vendors of invoice deadlines and payment schedules. 17.9 Petty Cash Petty cash funds cover minor disbursements. Employees may be reimbursed from petty cash funds for authorized purchases that total less than the established petty -cash limit. 17.10 Finance Committee The Finance Committee, composed of two Council members and the Finance Director, will review and recommend updates to the City's purchasing and accounts payable policies and procedures, as necessary. City of Edmonds Purchasing Policies October 2024 41 Packet Pg. 91 9.1.a EXHIBIT 1 City of Edmonds, WA CONFLICT OF INTEREST DISCLOSURE FORM FOR CITY COUNCIL MEMBERS, MAYOR, DIRECTORS, and STAFF Name (please print) Date Position It is the policy of the City of Edmonds to address how issues of actual, potential and perceived conflicts of interest involving elected officials, directors, and employees of the City should be identified, disclosed and managed. This form is designed to identify and disclose known conflicts in an effort to properly manage them. I have read the City of Edmonds's Conflict of Interest policy and understand that as an employee/Elected Official of the City of Edmonds it is my obligation to act in a manner which promotes the best interests of the City and to avoid conflicts of interest when making decisions and taking actions on behalf of the City of Edmonds. My answers to this disclosure form are correctly stated to the best of my knowledge and belief. Should a possible conflict of interest arise in my responsibilities to the City of Edmonds, I recognize that I have the obligation to notify, based on my position, the appropriate designated individual (Director, Mayor, City Council member), and to abstain from any participation in the matter until the City of Edmonds can determine whether a conflict exists and how that conflict shall be resolved. If any relevant changes occur in my affiliations, duties, or financial circumstances, I recognize that I have a continuing obligation to file an amended "Conflict of Interest Disclosure Form" with the appropriate designated department. I understand that the information on this form is solely for use by the City of Edmonds and is considered confidential information. Release to external parties will be only when required by law. Signature Date Please complete the following questions and submit this form to the Human Resources Director of the City of Edmonds. 1. Are you or a member of your immediate family an officer, director, trustee, partner (general or limited), employee or regularly retained consultant of any company, firm or organization that presently has business dealings with the City of Edmonds or which might reasonably be expected to have business dealings with the City of Edmonds in the coming year? Yes No If yes, please list the name of the company, firm or organization, the position held, and the nature of the business which is currently being conducted with the City of Edmonds or which may reasonably be expected to be conducted with the City of Edmonds in the coming year: 2. Do you or does any member of your immediate family have a financial interest, direct or indirect, in a company, firm or organization which currently has business dealings with the City of Edmonds or which may reasonably be expected to have such business dealings with the City of Edmonds in the coming year? Yes No If yes, please list the name of the company, firm or organization, the nature of the interest and the name of the person holding the interest, and the nature of the business which is currently being conducted with the City of Edmonds or which may reasonably be expected to be conducted with the City of Edmonds in the coming year: City of Edmonds Purchasing Policies October 2024 42 Packet Pg. 92 9.1.a EXHIBIT 1 3. Do you or does any member of your immediate family have a financial or personal interest in an entity in which the City of Edmonds has a financial or other vested interest. Yes No If yes, please provide details below: 4. Have you or an immediate family member accepted gifts, gratuities, lodging, dining, or entertainment that might reasonably appear to influence your judgment or actions concerning the business of the City of Edmonds? Yes No If yes, please provide details below: 5. Do you have any other interest or role in a firm or organization, where that interest or relationship might reasonably be expected to create an impression or suspicion among the public having knowledge of your acts that you engaged in conduct in violation of your trust as a trustee, officer, Director or staff member? Yes No If yes, please provide details below: Please use additional pages as needed. If any material changes to the responses provided on this disclosure form occur, the trustee, officer or employee is required to update the information on this form in writing and submit the update to the City of Edmonds Human Resources Director. Form reviewed by: Remedial Action(s) to be taken: The City of Edmonds will follow up on all recommended actions to ensure compliance. City of Edmonds Purchasing Policies October 2024 43 Packet Pg. 93 9.1.b RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON, TO ADOPT A COMPREHENSIVE UPDATE OF THE CITY OF EDMONDS CONTRACTING AND PURCHASING POLICIES AND PROCEDURES. WHEREAS, the City of Edmonds periodically reviews and amends its Contracting and Purchasing Policies and Procedures ("Policies") to incorporate necessary changes based on new laws or the adoption of new or revised internal procedures; and WHEREAS, the Policies have not undergone a comprehensive update in many years; and WHEREAS, recent updates to Washington State law impact the Policies; and WHEREAS, the City Council has reviewed the proposed comprehensive update to the Policies and has determined it to be appropriate to adopt the proposed Policies to reflect the updates to state law and otherwise provide updated, expanded, and clarified procurement guidance to City staff; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON, DO RESOLVE AS FOLLOWS: The updated version of the City of Edmonds Contracting and Purchasing Policies and Procedures set forth in Attachment A to this Resolution is hereby adopted. RESOLVED this day of ATTEST/AUTHENTICATED: CITY CLERK, SCOTT PASSEY FILED WITH THE CITY CLERK: _ PASSED BY THE CITY COUNCIL: RESOLUTION NO. 2024. APPROVED: MAYOR, MIKE ROSEN Packet Pg. 94 9.2 City Council Agenda Item Meeting Date: 10/1/2024 Policy for Expanding MUGA Boundary Staff Lead: Shane Hope, Interim PDS Director Department: Planning & Development Preparer: Scott Passey Background/History The Municipal Urban Growth Area (MUGA) is a designation that is adopted by Snohomish County through the Snohomish County Tomorrow process to identify the specific unincorporated areas that are associated with a particular city. Each city's designated area for this is its MUGA. Cities are generally able to propose annexation only to areas within their MUGA. Recently, a proposal to expand the Edmonds MUGA into a specific area was brought to the City Council for possible action. During the discussion, it was noted that such an expansion could have financial implications to the City and furthermore, that the current Edmonds Comprehensive Plan does not provide any guidance on how to consider a MUGA expansion. Some City Council members have expressed interest in having a policy, which could be adopted into the Edmonds Comprehensive Plan, to help address this issue. (Under the Growth Management Act, policies in a comprehensive plan have significant weight and local decisions for planning and capital investment must be consistent with those policies.) Staff Recommendation Discuss whether to have a MUGA boundary policy as part of the Comprehensive Plan Update and if so, any direction on the level of detail it should include. Narrative For citywide comprehensive plans, which plan for a twenty-year horizon, policies are usually somewhat general in nature and take into account a range of issues and possibilities that could arise over the long- term. At the same time, comprehensive plan policies should provide direction and not be so broad that they have no substantive meaning. The purpose of the proposed MUGA policy is to help ensure: a) the City Council has the necessary information to decide whether to explore a MUGA boundary change; and b) the City Council is able to move forward and take thoughtful action --including to get additional information or to set conditions and to approve, modify, or reject pursuing the MUGA change. As just a placeholder, the upcoming Draft Comprehensive Plan will have the following language about MUGA expansions: "Consider carefully any proposed changes to the Municipal Urban Growth Area boundaries that would affect Edmonds, taking into account financial and other factors." More specific Packet Pg. 95 9.2 language may be desired that takes into account a range of possible MUGA boundary changes, not just the one that has been discussed recently. Below is draft policy language for the City Council's consideration. If desired, it could be included (with any changes) as a policy in the Land Use Element as part of the Comprehensive Plan Update. The City Council may consider a proposal affecting its Municipal Urban Growth Area boundary after receiving adequate information to determine whether it is in the City's best interest to take action on the proposal. The information should include: (a) whether any other jurisdiction affected by the proposed MUGA boundary change is willing to approve or consider approving the change; (b) an engineering analysis of how the infrastructure of the proposed MUGA expansion area meets or does not meet the City's standards for level of service; and (c) the improvements that may be needed (including any downstream capacity -related improvements) and their cost as estimated by a qualified engineering firm, for the area to meet the City's standards. The City Council may consider the resulting information, along with any other relevant factors, and identify whether additional information should be obtained and/or potential tools, such as an LID process to achieve the infrastructure improvements deemed necessary, be required as part of a City decision to pursue a MUGA boundary change. Note: This draft policy is more detailed than a typical Comprehensive Plan policy, but it still sets reasonable parameters, with some flexibility, for the City Council's process in the future. Packet Pg. 96 9.3 City Council Agenda Item Meeting Date: 10/1/2024 Legal Assessment Committee Evaluation and Recommendation of City Attorney 2024 Staff Lead: Councilmember Michelle Dotsch Department: City Council Preparer: Beckie Peterson Background/History In 2023 Council passed Ordinance 4318, which amended Chapter 2.05, "City Attorney and City Prosecutor," to authorize the creation of a Legal Assessment Committee. Under 2.05.035 "Performance Review', the standing committee undertakes the responsibility of assessing both the city attorney and the city prosecutor's performance on an annual basis. "The legal assessment committee may make a recommendation, from time to time, as needed, to the entire council to either continue with the present professional services contracts, publicize a request for proposed process, or seek to transition towards making either the city attorney or city prosecutor positions as employees of the city administration." The 2024 Legal Assessment Committee, comprised of Councilmember Jenna Nand (chair) and Councilmember Michelle Dotsch, provided Council with their 2024 work plan, approved by Council on July 9, 2024. In that work plan, the Legal Assessment Committee was to do an annual assessment of the City's legal vendors, including the City Attorneys. A list of questions to ask a variety of members of the Edmonds' city government in private interviews was crafted and approved by Council at the July 23, 2024 meeting. Interviews were conducted and a follow-up meeting to discuss the results of the interviews with representatives of the city attorney law firm, Lighthouse, was completed. Recommendation: Based on the responses of the interviewees, the Legal Assessment Committee recommends no specific changes to the relationship with our legal vendor at this time, and to continue with the Legal Assessment Committee's annual assessment of the City Attorney in 2025. Narrative This attached memo is part of the approved work plan to provide council and the public summarized results of the interview process with the committee's recommendation (if any). Both the respondents and the vendor expressed positive feedback with the in -person interview format done this year. Packet Pg. 97 9.3 Attachments: 10.1.2024 Legal Assessment Committee - 2024 City Attorney Evalution and Recommendation Legal Assessment Committee - Approved 2024 Work Plan Addendum 1 Legal Assessment Committee 2024 interview questions final Packet Pg. 98 9.3.a OF LY O� O Edmonds City Council , x9° LEGAL ASSESSMENT COMMITTEE w CITY COUNCIL CONFERENCE ROOM 121- 5TH AVENUE N, EDMONDS, WA 98020 Legal Assessment Committee Evaluation and Recommendation of City Attorney in 2024. COMMITTEE MEMBERS: JENNA NAND (CHAIR), MICHELLE DOTSCH (COUNCIL MEMBER) 1. Annual Evaluation Process of City Attorney for 2024. In performing our evaluation of the present Edmonds City Attorney, Lighthouse Law Group, the Legal Assessment Committee conducted multiple in -person meetings with elected officials, department directors, managers and other city staff members. This group is not meant to be representative of all possible input and was done on a volunteer basis. Members of the Legal Assessment Committee collected feedback on the performance of the city attorney from the above -listed individuals, based on the following criteria: quality of work, subject matter proficiency, communication skills, timeliness, team collaboration, challenges faced, strengths, areas for improvement, and the personal impression of each respondent in their regular interactions with the city attorneys. 2. Annual Assessment Results for the City Attorney in 2024. The interviewees provided general input of positive feedback on the approachability, trustworthiness, and good work done for the City by Lighthouse Law Group. Specifics on quality of work, team collaboration, communication were mostly positive with some respondents recommending improvement. Topics of trustworthiness and integrity, along with working in the best interest of the City, received positive feedback. The longevity of staff at Lighthouse was noted as a plus. Timeliness and prioritization of response was one area for improvement, as well as the request for more advice and interpretation of the laws rather than simply restating applicable RCWs. Another opportunity for improvement: more proficient knowledge and explanation of case law and its impacts on the City. Several expressed the need for more timely and consistent methods to update staff on new or amended state laws to keep Edmonds current with state law, and similar needs were expressed to update the Municipal Court system on new ordinances passed by Council. Due to budget constraints, Lighthouse has been sensitive to the City's desire to minimize spending on legal services and awaits specific direction before providing more comprehensive legal context. Additional suggestions from respondents to the administration and Lighthouse include more robust resources for HR legal advice, contracting additional public disclosure support, and designating one specific staff member for police communication/research. 3. Legal Assessment Committee Recommendation Based on the responses of the interviewees, the Legal Assessment Committee recommends no specific action or changes to the relationship with our legal vendor at this time. Packet Pg. 99 9.3.b OF O Edmonds City Council ' LEGAL ASSESSMENT COMMITTEE o CITY COUNCIL CONFERENCE ROOM 121 - 5TH AVENUE N, EDMONDS, WA 98020 2024 Legal Assessment Committee Work Plan Approved July 9, 2024 COMMITTEE MEMBERS: JENNA NAND (CHAIR), MICHELLE DOTSCH (COUNCIL MEMBER) 1. Annual Assessment of Legal Vendors 1. City Attorneys Assessment: • Invite the following members of Edmonds city government to private interviews with members of the Legal Assessment Committee: • Elected Officials: Mayor, Councilmembers • Administration/Staff who regularly interact with City Attorneys: Directors, Senior Management, Court Staff (e.g. Court Administrator), Police Staff (e.g. Public Information Officer, Domestic Violence Specialist) • Have follow up meeting with a representative of the city attorney firm to discuss results of interview. • Draft a memo to be presented to Council and the public summarizing results of the interview process with the Committee's recommendation (if any). 2. City Prosecutor Assessment: • Invite the following members of Edmonds city government to private interviews with members of the Legal Assessment Committee: • Elected Officials: Mayor, Councilmembers • Administration/Staff who regularly interact with City Attorneys: Directors, Senior Management, Court Staff (e.g. Court Administrator), Police Staff (e.g. Public Information Officer, Domestic Violence Specialist) • Have follow up meeting with representative of the city prosecutor firm to discuss results of interview. • Draft a memo to be presented to Council and the public summarizing results of the interview process with the Committee's recommendation (if any). Packet Pg. 100 9.3.c 2024 Legal Assessment Committee Work Plan, Addendum 1: Annual Assessment of Legal Vendors Questions for private interviews of voluntary Edmonds City Government members: A. City Attorney Assessment (Lighthouse Law Group): 1) What is your general role at the City of Edmonds? Describe what you do. 2) How often (on average) do you have contact with Lighthouse? 3) Please provide your input about the trustworthiness/integrity of Lighthouse? 4) In your opinion, has Lighthouse always acted in the best interests of the City of Edmonds (the municipal corporation)? 5) Please provide input whether Lighthouse's legal advice provided was proven to be accurate. 6) Does Lighthouse possess effective knowledge of Edmonds' municipal code and regulations? 7) Does Lighthouse proactively identify potential legal issues when it is aware of them and make them known to City officials so problems can be avoided? 8) Are City staff and the City Council advised on key changes in municipal law as it pertains to Edmonds? 9) Please comment on whether Lighthouse makes effective use of Executive Sessions to advise the City Council on the status and risks associated with pending or potential litigation? 10) Please comment on the document review and reparation of Lighthouse. Does Lighthouse prepare these documents with the direction and objectives communicated by the City Council, Mayor and/or department directors? 11) Please comment on the cost control/fiscal accountability of Lighthouse. 12) Please comment on the responsiveness/timeliness of Lighthouse communications. Do they follow up in a timely manner when asked for a response? 13) What obstacles, if any, have prevented you from seeking or receiving legal advice from Lighthouse? 14) Are there any areas for improvement for Lighthouse Law that you see? 15) Are there any other comments you would like to share about Lighthouse? B. City Prosecutor Assessment (Walls Law Firm): Questions for private interviews of voluntary Edmonds City Government members: 1) What is your general role at the City of Edmonds? Describe what you do. 2) How often (on average) do you have contact with the Walls Law Firm? 3) Please provide your input about the trustworthiness/integrity of the Walls Law Firm? 4) Has the Walls Law Group been communicative and responsive both in person and via email? Packet Pg. 101 2024 Legal Assessment Committee Work Plan, Addendum 1: 9.3.c 5) How has the Walls Law Group handled sensitive cases such as domestic violence and was their communication with the victims and police timely, sensitive and effective? 6) Do you have confidence in the representation of the Walls Law Firm for our constituents and if not, please elaborate why. 7) Is the representation in court by the Walls Law Firm specific to the case or a one size fits all approach? 8) Do you find the Walls Law Firm to be prepared and timely in its representation before, during and after a case is heard in court? 9) Is the pace of cases currently prosecuted by the Walls Law Firm appropriate for the City of Edmonds? 10) Do you have any concerns about tort liability as a result of using the Walls Law Firm? 11) Is the Walls Law Firm acting efficiently to not let any cases fall through for lack of timely action on their part? 12) Is the Walls Law Firm creating a case hierarchy list and are they handling that list effectively? 13) Are there any areas for improvement for the Walls Law Firm that you see? 14) Are there any other comments you would like to share about the Walls Law Firm? Packet Pg. 102 9.4 City Council Agenda Item Meeting Date: 10/1/2024 Flock Camera Presentation Staff Lead: Assistant Chief Rod Sniffen Department: Police Services Preparer: Alexandra Ehlert Background/History Flock Safety is a technology company that uses multiple platforms to detect and deter crime. The most prevalent platform are small, stationary cameras that are installed along major routes, inroads, parking lots, and other similar locations. These cameras use advanced technology to record vehicle license plates and other vehicle information that is fed to a large cloud -based server. Subscribers to Flock safety can access this database containing our data and that of others (with permission) to identify and locate vehicles that have been stolen or involved in criminal activity to include their ingress or egress from certain locations, larger areas and even entire cities. Edmonds PD received a grant from the Washington Auto Theft Prevention Authority (WATPA), a subcommittee of the Washington Association of Sheriffs and Police Chiefs (WASPC), to pay all costs to install and maintain a series of Flock Safety cameras around the City of Edmonds. The grant covers all installation, maintenance, and data storage for two years. At the end of the grant program, we can continue to fund our subscription to Flock or have the system(s) removed at no cost. Legal approved the grant documents to form on 7/10/24 Staff Recommendation Recommend council approve the Mayor to sign all grant acceptance documents and two-year contract with Flock Safety for this program. Narrative <Type or insert text here> Attachments: Edmonds PD Agreement - WATPA Grant WATPA non -supplanting declaration Packet Pg. 103 9.4.a WASHINGTONAUTO THF.1<iT PREVENTIONAUTHORITV WASHINGTON ASSOCIATION OF SHERIFFS AND POLICE CHIEFS July 9, 2024 Edmonds Police Department 250 5ch Ave N Edmonds, WA 98020 I am pleased to inform you that Washington Auto Theft Prevention Authority (WATPA) Board of Directors has approved the Edmonds Police Department grant application for funding of Equipment & Technology. The award is in the amount of $131,880.00. The grant award is effective June 1, 2024 and expires on June 30, 2025. This award is a one-time event and does not imply or promise availability of funds for replacement or continuation of funding after June 30, 2025. Enclosed is an award agreement. This agreement is to be signed and returned to WATPA. No funds will be reimbursed until the signed agreement is received. Expenditures prior to the award effective date or after the grant expiration date are not authorized and will not be reimbursed. All grant awards are subject to Grant Policies and Procedures of the Washington Auto Theft Prevention Authority. Costs will be paid on a reimbursement basis. Your agency will be reimbursed for actual expenses only up to the limit of the award categories. All grantees must sign the attached non -supplanting agreement before reimbursement can begin. Also, please note that reimbursement requests by grant recipients will only be processed upon receipt of current semi-annual reports by the WATPA office. The semi-annual report form is available on the WATPA website, www.WaAutoTheftPreventionAuthorit. If you have any questions, please contact me at Phone: 253-677-8576 E-mail: bjeter@waspc.org Sincerely, Bryan Jeter, Executive Director Washington Auto Theft Prevention Authority Packet Pg. 104 AGREEMENT BETWEEN EDMONDS POLICE DEPARTMENT AND THE WASHINGTON AUTO THEFT PREVENTION AUTHORITY AUTO THEFT PREVENTION GRANT PROGRAM AWARD AGREEMENT Award Recipient Name and Address: Edmonds Police Department 250 5th Ave N Edmonds, WA 98020 Award Period: Amount Approved 06/1/2024 - 06/30/25 $131,880.00 Funding Authority: WASHINGTON AUTO THEFT PREVENTION AUTHORITY Requests for reimbursement under this agreement are subject to the following Budget: EQUIPMENT & TECHNOLOGY $131,880.00 IN WITNESS WHEREOF, the WATPA and RECIPIENT acknowledge and accept the terms of this AGREEMENT and attachments hereto, and in witness whereof have executed this AGREEMENT as of the date and year last written below. The rights and obligations of both parties to this AGREEMENT are governed by the information on this Award Sheet and other document incorporated herein by reference: Non -Supplanting Declaration. WATPA Name / Bryan Jeter Title: WATPA, Executive Director Date: RECIPIENT Name Title: Date: Packet Pg. 105 9.4.b WATPA Non -supplanting Declaration Supplanting WATPA funds must be used to supplement existing funds for program activities and must not replace those funds that have been appropriated for the same purpose (RCW 46.66.080 (5). Supplanting shall be the subject of application review, as well as pre - award review, post -award monitoring, reimbursement and audit. If there is a potential presence of supplanting, the applicant or grantee will be required to supply documentation demonstrating that the reduction in non-WATPA resources occurred for reasons other than the receipt or expected receipt of WATPA funds. The (Applicant Agency) certifies that any funds awarded through WATPA shall be used to supplement existing funds for program activities and will not replace (supplant) non-WATPA funds that have been appropriated for the purposes and goals of the grant. 1#T (Applicant Agency Chief or designee) understands that supplanting violations may result in a range of penalties, including but not limited to suspension of future funds under this program, suspension or debarment from WATPA grants, recoupment of monies provided under this grant, and civil and/or criminal penalties. Printed Name and Title: Signature: Date: Packet Pg. 106