Spokane Valley City Council Regular Meeting – May 12, 2026

The Spokane Valley City Council met on Tuesday, May 12, 2026, at 6:00 p.m. at City Hall. The meeting included a proclamation for National Police Week, a public hearing and first reading of the 2026 budget amendment, a resolution authorizing an opportunity zone application, and presentations on the Parks & Recreation Master Plan and the Affordable Housing Sales Tax RFP. Public comments addressed procedural concerns about the comprehensive plan update, safety issues on North Hoke Road, and appreciation for code enforcement. The budget amendment failed to advance due to a 4-3 vote (needing a supermajority of 5), but was later resubmitted for a future meeting. The opportunity zone resolution passed unanimously.

Proclamation: National Police Week

• Mayor Laura Paddon proclaimed May 10–16, 2026, as National Police Week in Spokane Valley, honoring fallen officers including Sergeant Kenneth Salais and Trooper Marissa Gooding. Police Chief Ellis accepted the proclamation, noting the significance of the week.

Consent Calendar

• The consent agenda, including claim vouchers of $1,368,246.63 and payroll of $801,089.96, was approved unanimously.

Public Comments & Testimony

• Sue Delucie expressed concern about the expedited process for updating the comprehensive plan, citing a lack of public meetings on draft components and insufficient time for comment (100 pages of information at 6 seconds per page). She also requested an update on the stormwater lake in her area.
• Linda Klush criticized the city’s process, stating that official public boards (capital facilities, parks, transportation) should be established for public input, and that the comprehensive plan is being weakened by insufficient public engagement.
• Eric Pittman (Secretary, Heatherwood HOA) acknowledged improvements in clearing campsites and drug activity at the Dream Center, but noted that criminal activity has migrated to North Hoke Road, affecting children’s bus stops. He requested street lighting and mobile surveillance units to deter ongoing drug trafficking, prostitution, and health hazards.
• Ben Lund (local business owner, 34-year resident) praised the code enforcement team for going above and beyond, and presented a plaque of appreciation. He recommended approving vehicle upgrades for code enforcement.

Discussion Items

2026 Budget Amendment (Public Hearing & First Reading)

• Finance Director Chelsie Walls presented the proposed amendment, which affects nine funds with revenue increases of about $5.3 million and expenditure increases of about $7 million. Highlights include:
  • General Fund: $787,000 increase for one-time costs (parking analysis, $75,000 for comprehensive plan updates, $95,000 for SharePoint consulting, $670,000 for ARPA-related contracts, $47,000 for vehicle replacements).
  • Street Fund: $750,000 revenue increase from automated traffic safety cameras (expected operational by September 2026), with $162,000 for a new engineer FTE.
  • Hotel/Motel Tax Fund: $1 million transfer for Sullivan Road improvements related to the ice rink facility.
  • Affordable and Supportive Housing Fund: $2.3 million increase for CHIP grants for Habitat for Humanity and SNAP.
  • Other funds: adjustments for homeless outreach, capital projects, and equipment replacement.
• Councilmember Kelly moved to segregate and vote on each line item individually; that motion failed. The main motion to advance Ordinance 26-007 to a second reading failed 4-3 (needed supermajority of 5).
• Later, Councilmember Kelly moved to amend the agenda to resubmit the budget amendment for a future first reading; that motion passed. The resubmission motion also passed, allowing the item to return at a later meeting.

Resolution 26-006: Opportunity Zone Application Authorization

• Teri Stripes presented the resolution to authorize an application for an opportunity zone designation for Census Tract 123. She answered prior questions: there are 84,000 census tracts nationally, 1,700 in Washington, 143 in Spokane County, and 30 in Spokane Valley (shared with county and Millwood). Tract 123 was selected as the poorest and a USDA-designated food desert; it aligns with previous city investments and goals. More than 50% of opportunity zone investments nationwide are in housing. The resolution passed unanimously.

Draft Parks & Recreation Master Plan 2026 Update

• Parks Director John Bottelli and Nick Chen (Kimley Horn) presented the draft plan, required for grant eligibility. The plan covers 373+ acres of park space, 15 miles of trails, three pools, and 12 parks. Extensive community outreach was conducted. Key themes: affordable recreation programs, aquatic opportunities, nature and open space, family-oriented amenities, and facilities supporting active lifestyles. Capital improvement recommendations are categorized as lifecycle replacement (no expected increase in O&M) and visionary investments (new facilities, likely increasing O&M). Short-term (0-4 years), mid-term (5-9 years), and long-term (10-20 years) priorities are outlined, with total estimated costs not yet finalized. The public comment period runs May 5–26, 2026. Councilmembers discussed the importance of maintenance costs, accessibility, and the need for a pool condition assessment (expected by end of June). No action taken; plan will return for adoption.

Affordable Housing Sales Tax RFP Discussion

• City staff (Eric Robison, Sarah Farr) presented the recommendation from the Housing and Homeless Task Force to issue an RFP for the 1406 fund (affordable and supportive housing sales tax). The fund has collected about $200,000 per year since 2020, with a current balance over $1.2 million. Eligible uses include affordable housing construction, homeownership (up to 80% AMI), rental assistance (up to 60% AMI), operations/maintenance of new units, and administrative costs. Four providers (Family Promise, SNAP, Habitat for Humanity, Community Frameworks) presented to the task force. Council consensus was reached to move forward with an RFP, with suggestions to include: scalable project options, 10% cost share, case management requirements, and potential alignment with the opportunity zone. The RFP is expected to be issued by June 2026 with a 60-day response period.

Key Outcomes

• Consent Agenda approved unanimously.
• 2026 Budget Amendment (Ordinance 26-007): Failed to advance to second reading (4-3 vote; needed 5). Resubmitted for a future meeting.
• Resolution 26-006 (Opportunity Zone Application): Passed unanimously.
• Affordable Housing Sales Tax RFP: Council consensus to proceed; RFP development to begin.
• Advance Agenda: Added discussion on data centers and requested a presentation on the GSI survey data specific to Spokane Valley.
• City Manager: Noted that a revised fireworks code draft will be brought before July 4, and a wildfire safety fair is scheduled for May 16 in Deer Park.