City Council Committee Agendas

Mount Vernon City Council Finance Committee Minutes February 26, 2014 Present: Councilmembers Molenaar, Quam, Hulst, Ragan and Urban, Mayor Boudreau Staff present: Finance Director Alicia Huschka, Police Chief Dodd, Fire Chief Hari and City Shop Supervisor Owens 1. January 2014 committee minutes were approved. 2. Financial Update:  Sales tax collection for January 2014 was 7.8% above January 2013 and the February collections are up 8.6% over the same period in 2013 for a combined two month increase of 8.24% compared to January and February 2013. 3. Legislative Update:  Marijuana tax/ funding for cities: The Senate held a hearing on SSB 5887 that aligns medical and recreational marijuana systems and provides first ever marijuana revenue funding to cities and counties.  Infrastructure funding/ PWTF program: The House passed SHB 2244 that moves towards restoring funding to the critical Public Works Trust Fund.  Restoring Liquor Revenue Sharing: Cities couldn’t even get a hearing scheduled in either the House or Senate on bills to slowly bring back revenues to cities. 4. Jail finance committee update- Amendment to Interlocal Agreement needed for:  Distribution of monthly revenue from the 0.3% public safety sales tax: Cities will transfer sales tax to the County by the 20th day of the following month since the State will not remit those funds to the County directly.  Inmate outsourcing reimbursement: until the new jail is constructed the County will reimburse cities for the costs of outsourcing housing of i nmates.  Mark Venn was appointed as Chair of the Jail Finance Committee. 5. Downtown Project Funding: HUD Section 108 Loan requires that the City approve an ordinance to include language pledging the full faith and credit of the City in regards to the loan. This language was included in the HUD Section 108 Loan which Council approved in February 2013; however, HUD has indicated this additional approval is necessary. Administrative review by HUD is on-going and the ordinance will be presented to Council for approval when HUD gives us direction to proceed. 6. New Market Tax Credits Update: Alicia reviewed with the Committee the New Market Tax Credit (NMTC) program, the chronology of events for the City regarding the program, including the filing of an application for $50 million of NMTC’s on September 13, 2013. Alicia stated that the City should hear from the US Treasury by the end of March 2014 on whether we will receive a NMTC award. On January 30, City of Mount Vernon Finance Committee February 26, 2014 Page 2 2014 the City was given notice that we are certified as a Community Development Entity (CDE). Only certified CDE’s may receive an award of NMTC’s. 7. Review of surplus vehicles/ equipment request: Gary Owens reviewed the listed vehicles that he would like to sell at auction. This item is on the City Council agenda for action. 8. Other items:  Committee meeting/ study session structure changes: Mayor Boudreau talked about changes that will be made to these meetings. Adjourned at 6:50 p.m. Submitted by Rebecca J. Wade