Kirkland City Council Regular Meeting - May 2, 2023

The Kirkland City Council held a regular meeting on May 2, 2023, beginning with a study session at 5:30 p.m. followed by the regular meeting at 7:30 p.m. The council addressed a range of topics including the Regional Crisis Response Agency (RACER) update, tax increment financing for the NE 85th Street Station Area, and activation of the former PCC space at Houghton Village. Key actions included approval of $200,000 for additional park features at 132nd Square Park, adoption of the Neighborhood Safety Program projects with $606,000 in funding, authorization of $706,550 for Houghton Village renovations to accommodate Studio East, and a motion to add a state legislative priority regarding the State v. Blake decision. All votes were unanimous except where recusals occurred.

Consent Calendar

• Approved the April 18, 2023 meeting minutes.
• Acknowledged payroll ($4,999,021.99) and bills ($6,397,693.63).
• Acknowledged claims from John Diederichs and Fritchman Landscaping, Inc.
• Approved Resolution R-5590, an interlocal agreement with Redmond for sanitary sewer service on 132nd Avenue NE.
• Approved Ordinance O-4847, repealing the moratorium on personal delivery device dispensers.
• Acknowledged proclamations for Building Safety Month and Bike Everywhere Month.
• Authorized disposal of surplus equipment.
• Acknowledged March 2023 Sales Tax Report and Procurement Report.
• Motion carried 7-0.

Public Comments & Testimony

• Craig Brown (Vice Chair, South Rose Hill Bridal Trails Neighborhood Association): Requested council reject this year's Neighborhood Safety Program (NSP) projects due to per-project budgets exceeding the original $50,000 cap (increased to $100,000 due to COVID skip), and urged consideration of current market costs for future budgets.
• Jeni Craswell and Lynn Juniel (Leadership Eastside): Thanked the city for support and highlighted more than 75 Kirkland residents having completed their programs, including Councilmember Toby Nixon and Studio East founder Lani Brockman.
• James Huff (South Rose Hill representative): Opposed moving forward with the NSP projects as presented, requesting that large projects (>$85,000) be shifted to capital improvement projects rather than using NSP funds, to preserve the program's original intent for smaller neighborhood projects.
• Dan Krehbiel: Spoke against closing Park Lane to traffic, arguing the current hybrid model works and that closures would harm businesses and reduce needed parking.
• Gunnar Nordstrom (business owner, Gunnar Nordstrom Fine Arts): Opposed closure of Park Lane, stating that 100% of business owners on the street do not want it closed, and cited historical analysis that pedestrian malls in Kirkland would not succeed.
• Ron Snell (People for Climate Action Kirkland): Thanked council for expanding legislative advocacy to include sustainability and climate issues, particularly support for HB 1433 (energy labeling) and budget provisions for weatherization and heat pumps.
• Xinyuan Duan (student, Eastside Preparatory School, Sustainability Ambassadors): Presented results from a Town Hall on Bikes event, noting 36 students and 20 adults participated, and urged investment in bike infrastructure to reduce car trips and CO2 emissions.
• Jennifer Tucker (Managing Director, Studio East): Highlighted Studio East's free summer park performances (2,700 attendees in two years), 10,000 field trip students for storybook theater, $60,000 in financial assistance annually, and commitment to inclusion (sensory-friendly and ASL-interpreted shows).
• Kaysy Ostrom (Education Director, Studio East): Described the ArtReach program serving over 700 students at 22 schools, including seven Kirkland schools, and noted that many former students remain engaged in the community.
• Lani Brockman (Founder, Studio East): Stated Studio East wants to remain in Kirkland, emphasized the importance of arts education, and noted that families using the facility generate foot traffic for local businesses.
• David Stewart: Spoke on behalf of Jinko Kumai, an 80+ year old pedestrian killed on 124th Avenue NE on April 4, due to lack of safe walkway. Questioned ownership of the ditch fronting the parcel and asked for immediate action to fill it and provide a temporary walkway.
• Susan Davis (North Rose Hill Neighborhood Chairperson): Criticized the new TIP for omitting a planned sidewalk on 124th Avenue NE and a crosswalk at NE 104th Street. Called for completion of stalled safety projects and noted that the neighborhood safety program's cost estimates (e.g., $385,000 for rapid flashing beacons) are inflated.

Public Hearing – Transportation Improvement Program: Susan Davis also testified during the public hearing, repeating concerns about missing projects. Council deferred action on Resolution R-5589 to a later meeting to review issues raised.

Discussion Items

• Regional Crisis Response Agency Update: Executive Director Brooke Buettner reported that in Q1 2023, RACER served 146 people with 313 encounters; 63% of referrals were self-initiated. Of those served, 32% were homeless or unstably housed; 78% white, 22% BIPOC. She described governance structure (Principal's Assembly, Executive Board, Operations Board, Community Advisory Board) and noted a crisis triage facility is slated for 2024. Council expressed support and discussed data collection and equity. Councilmembers Black and Falcone later expressed interest in serving as Kirkland's representative on the Principal's Assembly.
• Tax Increment Financing Update: Consultant Bob Stowe presented the timeline for creating a Tax Increment Area (TIA) near NE 85th Street Station, with a draft ordinance (O-4846) for consideration on May 16. Planning Director Adam Weinstein provided development updates: Rose Hill mixed-use project (PEDCO) expected to submit permits by June; Crescent Lighting site may yield ~600 residential units. The ordinance establishes a 25-year TIA, maximum bond issuance of $18 million in 2025 and $40 million in 2028, and requires commencement of public improvements within 5 years. Council clarified that no new taxes are imposed—only incremental revenue from increased assessed values is captured. Next decision point is bond issuance, to be brought back for council approval.
• Houghton Village / Former PCC Space Renovations: Deputy City Manager Beth Goldberg reviewed options to activate the former PCC space. Following an RFP, Studio East was the sole respondent, proposing $9,500/month rent and pledging to raise $5 million for a permanent home. Staff recommended $706,550 for upgrades (assembly use) using $250,000 from the 2023-2024 budget and REET reserves. Council discussion focused on community benefits, traffic impacts, and need to avoid perceived favoritism. Councilmember Curtis praised the activation potential; Councilmember Falcone framed it as an investment in youth arts.
• 2023 Neighborhood Safety Program: Senior Community Engagement Coordinator Don Robinson presented four top-priority projects (crosswalk/sidewalk at Waverly Way, RRFB at Lake St/10th Ave, RRFB at 124th Ave/Kingsgate Library, walkway completion on 7th Ave). Total cost $632,000 against $700,000 available (combined 2023 and 2022 funding). Staff recommended school zone camera revenue as funding source. Council discussion addressed project cost escalation, fairness, and the need to revisit program criteria. Amendments added a sixth project (23NSP06: sidewalk connection on NE 80th at 126th Ave NE, $31,000).
• 2023 State Legislative Update: Government Affairs Manager Diana Hart summarized session outcomes: housing, behavioral health, reproductive rights, gun safety, and capital budget wins (including funding for Kirkland Performance Center and CKC project). However, the legislature failed to pass a fix for the State v. Blake decision before the July 1 deadline. Councilmember Curtis moved to adopt a new legislative priority urging the governor to convene a special session on the Blake fix, with state solution to include clear definitions and funding for treatment/diversion. The motion passed.

Key Outcomes

• 132nd Square Park Scope Modification (7-0): Approved fiscal note authorizing City Manager to transfer $200,000 from Totem Lake Park project to add safety and functional features (fencing, concrete pathways, door cover, synthetic turf under swings, portable fence, bleachers) at 132nd Square Park. Council acknowledged the unusual process and requested future site visits not serve as decision-making forums.
• Houghton Village Renovations (6-0; Deputy Mayor Arnold recused): Authorized City Manager to expend $706,550 to upgrade former PCC space for Studio East as occupant, using $250,000 from 2023-2024 budget and REET reserves for the balance.
• Neighborhood Safety Program (7-0): Approved staff-recommended projects plus an additional sidewalk connection (23NSP06) at NE 80th and 126th Ave NE, total $606,000, funded by school safety zone camera reserve. Council directed staff to work with neighborhoods on program reforms, including potential separate funding for larger projects.
• State Legislative Priority for Blake Fix (7-0): Motion carried to encourage Governor to call special session; supporting this effort adopted as a new legislative priority.
• Legislative Request Memo for Utility Wraps (7-0): Council directed staff to prepare an LRM proposing incorporation of utility wraps into design guidelines for new development projects in business centers, and also to include options for a program covering existing utility boxes with timelines.
• Transportation Improvement Program: Action on Resolution R-5589 deferred to allow further review of public comments and pending information on short-term safety improvements for 124th Avenue NE.
• Principal's Assembly Representative: Councilmembers Black and Falcone both expressed interest; Mayor Sweet and Deputy Mayor Arnold will decide the appointment.
• Juneteenth Holiday: City Manager noted plans to bring a proposal to designate Juneteenth as a city holiday at a future meeting.