2019-02-20 Economic Development Commission PacketCITY OF EDMONDS
ECONOMIC DEVELOPMENT COMMISSION
February 20, 2019
COMMISSIONERS PRESENT
Mary Monroe, Chair
Kimberly Koenig
Darrol Haug
Michael Schindler
Kevin Harris
Neil Tibbott, Councilmember, ex officio
Phil Lovell, Planning Board, ex officio
Greg Urban, Edmonds Chamber, ex officio
COMMISSIONERS ABSENT:
Nicole Hughes, Vice Chair (excused)
Aseem Prakash
Scott Merrick (excused)
Jamie Reece (excused)
Bruce Faires, Port Commissioner, ex-officio
Guests:
Bob McChesney, Port Executive Director
STAFF PRESENT:
Cindi Cruz, Program Coordinator
Economic Development Commission meeting called to order by Mary 6:00 p.m.
Absences: Nicole Hughes, Scott Merrick, Jamie Reece, Aseem Prakash, all excused for work.
1. Approval of Agenda: Kimberly moved to approve agenda, Darrol seconded motion passed.
2. Approval of 1/16/19 EDC Minutes: Kevin moved to approve minutes, Darrol seconded; motion
passed.
3. Audience Comments: Three members of the public were present. Comments consisted of interest
in what the Commission will be working on for the upcoming year.
4. New Business: Due to the potential loss of a quorum of members at 7 p.m. this item was
postponed for work -group updates.
5. Work -group updates: Mary stated that a memo for Mayor and Council to present priorities for
approval will be prepared in March or April.
Priorities: Mary discussed priorities outlined in last meeting and thought most of the items
could belong in the three other work -groups. A work -group could be created if needed
depending on what subjects/projects may come up during the year. Parking issues and the
Civic Field project will be ongoing, Creative District will have a steering committee
created through a public process which may include an EDC member, and collaboration
with outside groups such as Verdant, Swedish, Chamber, Port, EdCC with outreach to these
various groups. Speakers could be invited to EDC meetings from these organizations.
Darrol mentioned that discussion of a preservation zone or historic district in the downtown
core should be focus of one of the groups. Phil stated that next Wednesday, February 27 is
the first hearing on small cell installations at Planning Board. Microcell facilities will be
placed 40-50 feet off the ground throughout the City. The FCC passed a regulation that
municipalities must adopt regulations for small cell installations by 4/14. Greg asked about
meeting mission of EDC and what to do regards to mission from CC/Mayor. Memo will
help clarify.
Development Feasibility: Darrol updated on issues of construction costs and when does a
project pencil out, parking is part of the cost of developing (see attachment regarding
parking requirements).
Approved Meeting Summary
Economic Development
Commission February 20, 2019
Page 1
Arts/Tourism: Kimberly provided update; work -group is researching using trolley for
waterfront shuttle, year round public market, informational marketing and signage on ferry
lane in collaboration with Downtown Alliance. Ferry lane signage would be directing to a
URL in right-of-way of ferry holding lanes. Amy Spain of the Snohomish County Tourism
Bureau had met with Cindi today and reported on the opening of Paine Field for
commercial flights in early March.
Business Attraction: Kevin updated on the work -group meeting discussion of the list
compiled at the January meeting. See attached graphics: relative project perception listing
topics except for Creative District. Discussed NW Innovation Resource Center
presentation at Economic Alliance of Sue, Co forecast meeting earlier today. Mike
mentioned WeWorks facilities office space for entrepreneurs looking for space. City fiber
optic network potential was discussed. Committee will meet to narrow down their priorities
and objectives by March meeting.
Kimberly left meeting at 7 p.m. and meeting was adjourned due to lack of quorum.
Adjourn at 7 p.m.
Next regular meeting: March 20, 2019, 6 PM.
Approved Minutes
Economic Development Commission
February 20, 2019
Page 2
Parking Requirements for Down Town Buildings
Presented to Council by Darrol Haug (acting as a private citizen)
The city has approved the 9-unit development in DT that does not have on site parking. Some have
complained that such a development is not what Edmonds wants but here are some of the detailed
estimates of the impact of 9 units with not parking or 6 units with onsite parking.
The building cost for a unit will be about $200k. The land value must be spread across the build units so
if the land value is in the $800k range then with 9 units the land cost for each is about $90k making to
total unit cost of $290k. Spreading the $800k across 6 units will make the land cost for each of about
$130k or a total cost of $330k. The added $40k will add to the rents needed to pencil the project. So,
we would get 3 less units and the cost per unit will be greater. Doesn't help the affordability issue. If
only 6 units are built, the developer may well charge a renter for parking further complicating the
affordable issue.
Let's look at parking. We will eventually come understanding that we can no longer give away the value
of a parking space. It's free for 3 hours at a time and we have below market rates for selected people.
Employee permits now number 531 and represent a cost of about 25 cents/day. We have 410
residential parking permits in 3 zones that represent a cost of about 7 cents a day. Turns out the area
with the building of 9 units has the least of all residential parking permits. Blue zone has 178, the yellow
zone has 164, and the red zone has 68. Garage parking cost about $40k per stall to build. Westgate is
paying $49k for their underground stalls. The daily cost of a stall amortized over 20 years is more than
$10/day. We give it away for 3-hour increments, 25 cents for employees, and 7 cents for residence.
When we finally put a price on a parking stall that reflects the cost or the market value, the market will
work itself out. I have not asked any building owner about charging for parking, but a google search
showed the range of up to 300/month. That's about the cost to amortize a parking stall in a garage!
The bottom line is someday we will have parking fees that reflect the market value or cost and these
rates could be a benefit for city revenues. But in the future when we have set into motion market rate
pricing of parking, we would love to have a builder "buy" or "rent" a stall from the city.
Darrol Haug
2/20/2019
EDC: Business Attraction Committee — Relative Project Perception
*, \
*
Family Entertainment
Satellite Office (high
effort) *
Small Business HQ
* r
*
HPAthrare Innnvatinn
Co -Working Space
Sate I to Office (low
effo t
*
On -Boarding
Other for Discussion:
- 5G Internet
MakerSpace
Business Exit Interview
*
IMPACT
Draft- For Discussion Only - 2/11/2019
Process: Business Attraction Committee
• Begin with SAP —
augment
ID Ideas/Goals • Discuss and map
for 2019 perception on
'Impact/Effort'
grid
• Base criteria on
Develop and rank
EDC mission and
3-5 basic criteria
agreed -to
principles
to assess each
• Rank ideas
idea/goal
• Present to
Commission
Implement
• Develop work steps
• Assign responsibilities
• Team efforts, not silos
• Report
Draft- For Discussion Only - 2/11/2019