2017/03/29 Council Agenda Packet

EVERETT CITY COUNCIL AGENDA ITEM COVER SHEET y PROJECT TITLE: An Ordinance imposing a March 29,2017 Briefmg COUNCIL BILL# egi7C e) local sales and use tax to be Proposed Action Originating Department Finance 'credited against the State Consent Contact Person Susy Haugen Sales and Use Tax for Action Phone Number 425-257-8612 purposes of utilizing Local March 29, 2017 First Reading FOR AGENDA OF March 29,2017 Infrastructure Financing April 5, 2017 Second Reading under Chapter 39.102 of the April 12,2017 Third Reading RCW; and providing for other Public Hearing matters relating thereto Budget Advisory Initialed by: Department Head CAA • Council President Location Preceding Action Attachments Department(s)Approval Ordinance Amount Budgeted -0- Expenditure Required -0- Account Number(s): j Budget Remaining -0- Additional'Required -0- DETAILED SUMMARY STATEMENT: In 2006,the state authorized the Local Infrastructure Financing Tool(LIFT)program,which authorized the imposition of a local sales tax to be credited against the taxes otherwise due to the state,resulting in no net change in tax rate to the taxpayer. The grant funds may be used for debt service or pay-as-you-go public projects that support economic development and job creation. In September of 2007,the City was awarded a grant for public investments at the Riverfront site of up to $500,000 per year for up to 25 years. The proposed ordinance is the final step required to begin receiving grant funds. To date, all capital investments at the Riverfront site have been cash-funded and no debt has been issued. RECOMMENDATION(Exact action requested of Council): Adopt an Ordinance imposing local sales and use tax to be credited against the State Sales and Use Tax for purposes of utilizing Local Infrastructure Financing under Chapter 39.102 of the RCW; and providing for other matters relating thereto. 1