Form revised February 6, 2008

Form revised: December 6, 2011

FISCAL NOTE FOR NON-CAPITAL PROJECTS

Department:	Contact Person/Phone:	CBO Analyst/Phone:
Seattle Department of Transportation	Susan Paine 386-4681	Rebecca Guerra 684-5339

Legislation Title:

AN ORDINANCE approving and confirming the plat of “Goodhue” in a portion of Section 19, Township 26 North, Range 4 East, W.M. in King County, Washington with a modified plat condition; waiving the requirement of a surety bond under subsection 23.22.070.C of the Seattle Municipal Code and approving acceptance of an irrevocable standby letter of credit to guarantee completion of required facilities and improvements; and setting a date for completion of required facilities and improvements.

Summary of the Legislation:

This legislation approves a 26 lot subdivision at 13727 Meridian Avenue North in the Haller Lake neighborhood. The Hearing Examiner held a public hearing on April 23, 2009 and issued her approval of the preliminary plat of the subdivision on May 4, 2009, subject to certain conditions that have now been met, subject to City Council approval of a modified condition. The legislation also waives the requirement of a surety bond and approves acceptance of an irrevocable standby letter of credit to guarantee the completion of required improvements.

Background:

This subdivision divides the former Nellie Goodhue School property into 26 lots, which are permitted for development as a Clustered Housing Planned Development subject to terms and conditions of Master Use Permit 3004747. This subdivision is consistent with the area zoning, which is Single Family (SF5000). The Hearing Examiner held a public hearing on April 23, 2009 and made her decision approving the preliminary plat of the subdivision subject to certain conditions on May 4, 2009. The Director of Transportation has recommended that the requirement for the bonding of infrastructure improvements be waived and that acceptance of an irrevocable standby letter of credit, in form approved by the City Attorney, be approved by the City Council. The Department of Transportation and the Department of Planning and Development have determined that all preliminary plat conditions have been satisfied, subject to City Council approval of modification of a preliminary plat condition recommended by the Directors with consent of the subdivider.

Please check one of the following:

__X__ This legislation does not have any financial implications.

Other Implications:

a) Does the legislation have indirect financial implications, or long-term implications?

b) What is the financial cost of not implementing the legislation?

None, although legislation is required per State law.

c) Does this legislation affect any departments besides the originating department?

Seattle City Light and Seattle Public Utilities have easements on the plat.

What are the possible alternatives to the legislation that could achieve the same or similar objectives?

Legislation is required per State law.

d) Is a public hearing required for this legislation?

No. A public hearing is required at the preliminary subdivision stage and this occurred on April 23, 2009 before the Hearing Examiner.

e) Is publication of notice with The Daily Journal of Commerce and/or The Seattle Times required for this legislation?

f) Does this legislation affect a piece of property?

Yes

g) Other Issues: There are 2 issues with this Council Bill that are not typical.

1. There is an approval of a modified preliminary plat condition, as recommended by DPD and SDOT with the written consent of the subdivider. The subdivider’s letter of consent is filed in the Clerk’s File no. 308766.

2. The subdivider is unable to obtain a surety bond to guarantee the completion of the improvements and facilities, as required by SMC 23.22.070.C. The subdivider has, instead, provided an irrevocable standby letter of credit issued by Wells Fargo Bank in the amount of $1,862, 300.00, the amount estimated to be sufficient to complete all improvements required to be provided by the subdivider. Under state law, a municipality is permitted to accept a bond or other secure method of guarantee. The form of the irrevocable standby letter of credit and the financial strength of issuing bank have been approved by the City Attorney’s office, and has been approved by the City Attorney. The Director of Transportation is recommending the waiver of the bond requirement and acceptance of the irrevocable standby letter of credit to guarantee the construction of the facilities and improvements for the Goodhue project.

The acceptance of the alternative financial instrument must be approved by City Council. A copy of the irrevocable standby letter of credit will be filed with the Clerk’s Office.

The subdivision of the parcel is subject to the approval and acceptance of the alternative financial instrument by City Council.

List attachments to the fiscal note below:

Attachment A: Location of Goodhue Plat

Street address: 13727 Meridian Avenue North, Seattle

This drawing is intended for information purposes only and is not intended to modify the description of the property in the legislation.