Spokane Valley City Council Regular Meeting – January 13, 2026

The Spokane Valley City Council met on Tuesday, January 13, 2026, at 6:00 PM at City Hall. The meeting began with an invocation (pastor absent), the Pledge of Allegiance, roll call, and approval of the amended agenda. A proclamation declaring January 19, 2026, as Martin Luther King Jr. Day was read. The council then heard public comments, approved the consent agenda, and acted on resolutions and appointments. Presentations covered commute trip reduction, Broadlinc, and several grant opportunities. The meeting adjourned after councilmember reports and city manager comments.

Consent Calendar

• Approved claim vouchers totaling $6,110,343.93 for January 13, 2026.
• Approved payroll for pay period ending December 31, 2025, in the amount of $782,521.62.
• Approved council meeting minutes from November 25, 2025; December 23, 2025; June 3, 2025; February 25, 2025; July 8, 2025; November 18, 2025 (two entries); February 4, 2025; May 27, 2025; December 9, 2025; December 16, 2025; and January 6, 2026.

Public Comments & Testimony

• Roy Cogan (public finance lawyer): Provided an update on bond structuring for the Spokane Valley Performing Arts Center (PAC), noting a feasibility study by Moss Adams (now Baker Tilly) to conclude soon, and that a contingent loan agreement with Spokane County is in place to enhance bond marketability.
• Reverend Genevieve Haywood (United Church of Christ): Introduced her denomination and its values of unity, equality, freedom, and responsibility.
• Brent Weiss (Finance Construction Consultant, PAC): Reported that Phase 1 of the PAC requires $46 million; $18 million has been raised, with $14 million invested. A feasibility study indicates the PAC could service $15–$22 million at 65% capacity. Additional funding sources include New Market Tax Credits (~$3 million) and oral commitments ($3–$5 million).
• Dan Griffith (Building Chair, PAC): Described the PAC’s technical features: a 45,000 sq ft phase 1 (463-seat theater, lobby, scene shop, etc.) and a 15,000 sq ft phase 2 (220-seat black box theater). Construction is 19% complete, with 90% of concrete done.
• Dr. Andrea Olson (30-year resident): Emphasized the PAC’s community benefits, noting 20% of programming will be available for other groups, attracting tourism and spending.
• Yvonne Johnson (Founder, Spokane Valley Summer Theater): Stated the theater needs a permanent home due to Central Valley School District’s increased programming needs. Construction was halted due to escalating costs; $18.4 million raised, all paid in cash. The organization’s income grew 400% in 10 years.
• Susanna Baylon Fries: Urged council to consider the PAC’s economic impact, comparing it to projects like the Fox Theater and Davenport Hotel, and called the council’s decision on a bond a “defining moment.”
• John Grisco (lifelong resident): Asked the council to allow a detailed report from a third party (Roy Kogan) on February 3, 2026, regarding the PAC’s financial forecast.
• Grant Gwynn (Hotel owner, True by Hilton): Supported the PAC, noting it would provide an amenity for hotel guests and attract tour groups, increasing economic activity at Mirabeau Point.
• Andrea Bates (22-year resident): Shared her personal journey from skepticism to support for the PAC, urging the council to “grab the brass ring.”
• Doug Dawson (lifelong resident, SVST participant): Expressed that the PAC is a natural progression for the arts community and would be a loss if not completed.
• Jim Reinicke (resident since 2015): Supported the PAC as a driver of economic development and a reason for families to stay in Spokane Valley.
• Linda Kluska (on Veracrest/24th street issue): Questioned a road connection and stormwater pond, citing a 2018 survey that showed the road did not meet standards. Requested the council deny the road connection.
• Sue Deluki (resident): Thanked the city for a January 8 community meeting and asked the council to commit to requiring the county to clean up the stormwater pond and to deny the road connection at 24th and Veracrest.
• Ben Lund (36-year resident): Raised a concern about Councilmember Merkel’s conduct during meetings, asking the mayor to set firmer boundaries to improve efficiency.
• Keith and Shelley Clark (Church of Jesus Christ of Latter-day Saints): Reported that the Giving Machines campaign raised over $225,000 for seven charities, with 2,282 individual card transactions and 7,820 items purchased. Invited council to a January 29 event on religious freedom.
• Colin Pittman (Director of Education, SVST): Presented a case study from Sandy, Utah, where a $42.7 million bond for the Hale Center Theater was paid off 17 years early, generating $43 million in economic impact in 2023. Noted Sandy’s population (96,000) and theater size (461 seats) are similar to Spokane Valley’s.
• Mike Dolan (resident): Spoke on committee appointments, criticizing the exclusion of Councilmember Merkel and noting Councilmember Yeager is under investigation for social media violations.
• Diana Willheid (resident): Asked why the health board appointment was not listed; was informed that Spokane County removed cities from the board four years ago.

Discussion Items

• Resolution 26-001 – Banking Authority: Presented by Finance Director Chelsea Walls. Resolution updates authorized signatures on city bank accounts due to the change in mayor and deputy mayor. Approved unanimously.
• Mayoral Volunteer Appointments: Mayor Padden nominated Rustin Hall and Amanda Hoffert to the Lodging Tax Advisory Committee (LTAC) and Grant Gwynn, Lee Cameron, and Bernadette Crane to the TPA Commission, all for two-year terms beginning January 1, 2026. Confirmed by voice vote.
• Planning Commission Appointments: Mayor Padden nominated Thomas Dingus and Christopher Paquel for three-year terms. Councilmember Merkel asked about the selection process; Mayor Padden described interviewing all applicants. Approved with one opposed (Councilmember Merkel).
• Mayoral Committee Appointments for Council: The mayor proposed committee assignments, excluding Councilmember Merkel. City Attorney Kelly Conkrite explained that Resolution 24-015 censured and removed Councilmember Merkel from his previous committee through the end of his term, citing violations of the governance manual. Councilmember Merkel argued the exclusion was a “smoke screen.” Approved with one opposed (Councilmember Merkel).
• Admin Report: Commute Trip Reduction (CTR): Adam Jackson (Engineering Manager) and Leanne Yamamoto (Spokane County) presented the interlocal agreement update. The CTR program, mandated by state law, affects 17 work sites in Spokane Valley. The current drive-alone rate is 67.1%, with a goal of 6% reduction. The biennial budget is $650,200, with Spokane Valley’s allocation at $117,589. The program removes 8,300 trips daily. Council asked about employer participation and survey methods. Consensus to bring back the ILA for adoption.
• Admin Report: Broadlinc ILA Discussion: City Manager John Hohman and Ariane Schmidt (Executive Director of Broadlinc) presented. Broadlinc is a Public Development Authority formed by Spokane County to expand broadband in unserved areas. It has secured $90 million in federal grants (BEAD program) for 13 project areas. Membership is open to cities; Spokane Valley would join via ILA. Councilmember Merkel raised concerns about funding stability under the new administration. Mayor Haley and Deputy Mayor Hattenberg supported joining to gain a board seat. Consensus to return for a future presentation detailing benefits to the city and a clearer board seat arrangement.
• Admin Report: Capital Projects Grants Review: Adam Jackson summarized the city’s grant history since 2011: $174 million in total investment, with a 50-50 split between grants and local funds. In 2025, the city received $17 million across seven grants. Success stories include the Pines and Barker grade separation projects. Councilmember Kelly asked about the percentage of capital costs covered by grants; Jackson confirmed ~50%.
• Admin Report: BUILD Grant Opportunity: Jackson presented the Better Utilizing Investments to Leverage Development (BUILD) program. Requesting $24,959,696 for the Sullivan and Trent Interchange project. The city has reduced costs and secured additional funding, leaving an $8 million non-federal match. Councilmember Merkel questioned the project’s priority relative to police hiring; Mayor Padden ruled the question out of order. Councilmember Wick noted that not applying would reflect negatively. Consensus to bring back a motion to apply.
• Admin Report: FMSIB Grant Opportunity: Jackson presented the Freight Mobility Strategic Investment Board (FMSIB) program. The city recommends three projects: Sullivan and Trent Interchange ($8 million), Barker I-90 Interchange design ($2 million), and future phases of Barker and Argonne I-90. Councilmember Wick recused from the selection subcommittee but supported the projects. Consensus to bring back a motion.
• Admin Report: NHFP Grant Opportunity: Jackson presented the National Highway Freight Program (NHFP) with $55 million available over five years. Recommending $3 million for Sullivan and Trent and $2 million for Barker I-90. Councilmember Merkel commented that general fund money is renewable. Consensus to bring back a motion.

Key Outcomes

• Consent Agenda approved unanimously.
• Resolution 26-001 approved unanimously.
• Mayoral Volunteer Appointments (LTAC, TPA) confirmed by voice vote.
• Planning Commission Appointments confirmed (one opposed – Councilmember Merkel).
• Mayoral Committee Appointments approved (one opposed – Councilmember Merkel).
• CTR ILA: Consensus to return with a motion to adopt the two-year interlocal agreement.
• Broadlinc ILA: Consensus to return with a presentation on city benefits and board seat details.
• BUILD Grant: Consensus to bring back a motion to apply for $24,959,696 for the Sullivan and Trent Interchange.
• FMSIB Grant: Consensus to bring back a motion to apply for three projects (Sullivan & Trent, Barker I-90 design, future phases).
• NHFP Grant: Consensus to bring back a motion to apply for $3 million (Sullivan & Trent) and $2 million (Barker I-90).
• Performing Arts Center: Council agreed to schedule a future presentation with staff review of the proposal and bond counsel analysis.
• Fireworks Enforcement: Placed on the advance agenda for a report on possible additional measures.
• Veracrest Road/Stormwater: City Manager will report back on site distance analysis and county schedule for stormwater design.

Councilmember Reports: Councilmember Yeager attended a fire department meeting; Councilmember Merkel expressed skepticism about the $50 million PAC ask; Councilmember Haley reported nothing; Councilmember Wick noted the Human Rights Task Force hate crimes report is available; Councilmember Kelly welcomed a new fire deputy chief and attended a hotel groundbreaking; Deputy Mayor Hattenberg attended the hotel groundbreaking, visited a fentanyl prevention storefront, and met with Cub Scouts; Mayor Padden attended a Safe and Healthy Spokane Task Force meeting and the hotel groundbreaking.

City Manager Comments: Updated on the Veracrest road/stormwater issue (county designing overflow pipe system), thanked police for a retail theft blitz resulting in 34 arrests, and announced an upcoming transportation award for staff member Erica Amston. The meeting was adjourned at approximately 8:10 PM.