Req. #12517
RESOLUTION NO. 3 7 9 8 1@@
A RESOLUTION relating to the Harold E. LeMay Museum; authorizing the
2 execution of a revised Third Amendment to the Harold E. LeMay
Museum Option Agreement and a revised Third Amendment to the
3 Harold E. LeMay Development Agreement.
4 WHEREAS, on October 2, 2009, the Harold E. LeMay Museum ("LeMay
5 Museum") provided written notice to the City that it intended to close on the
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option to acquire City-owned property on Lots "B" and "C" of the Tacoma
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8 Dome ("Dome"), and
9 WHEREAS, on December 8, 2009, the City Council adopted
10 Resolution No. 37948, authorizing the execution of the Third Amendments to
1 1 both the Harold E. LeMay Museum Option Agreement and to the Development
1 2 Agreement, and
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WHEREAS, as the building design has continued to evolve and the
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needs of the project have changed, the LeMay Museum has requested
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revisions to the Third Amendments of both the Option Agreement and the
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1 7 Development Agreement; Now, Therefore,
18 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF TACOMA:
19 That the proper officers of the City are hereby authorized to execute a
20 revised Third Amendment to the Harold E. LeMay Museum Option Agreement
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resl 2517.doc-JHG/1ad 117
LEG 004 (11/89)
and a revised Third Amendment to the Harold E. LeMay Development Agreement,
said documents to be substantially in the forms of the proposed Third
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3 Amendments on file in the office of the City Clerk.
4 Adopted FEB 0 9 2010
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Mayor
7 Attest:
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9 City Clerk
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I 1 Approved as to form:
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13 Deputy/,, it@ Attorney
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resl 2517.doc-JHC/lad
LEG 004 (11/89)
CITY CLERK USE ONLY
REQUEST FOR Request -7
Tacoma
F-1 ORDINANCE Z RESOLUTION Ord./Res. 379P
1. DATE: January 26, 201 0
2. SPONSORED BY: COUNCIL MEMBER(s) N/A (If no sponso@, 6Ii(4_,15VM'
3a. REQUESTING 4a. CONTACT (for questions): PHONE:
DEPARTMENT/DIVISION/PROGRAM Martha Anderson 253-591-5207
Community & Economic Development
3b. "Do PASS" FROM
Yes 4b. Person Presenting: PHONE:
No Martha Anderson 253-591-5207
FTo Committee as information only
Z Did not go before a Committee
3c. DID THIS ITEM GO BEFORE THE
PUBLIC UTILITY BOARD? 4c. ATTORNEY: PHONE:
F-1 Yes, on Jeff Cape[[ 253-591-5638
ZNot required
N/A
Department Director/Utility Division Budget Officer/Finance Director W44fifieg-
5. REQUESTED COUNCIL DATE: February 9, 201 0
6. SUMMARY AGENDA TITLE: (A concise sentence, as it will appear on the Council agenda.
Authorizing execution of the revised Third Amendment to the Harold E. LeMay Museum Option
Agreement and Development Agreement.
7. BACKGROUND INFORMATION/GENERAL DISCUSSION: (Why is this request necessary? Are there legal
requirements? What are the viable alternatives? Who has been involved in the process?)
On October 2 nd , 2009 the Harold E. LeMay Museum (HELM) provided written notice to the City that it
intended to close on the option to acquire City-owned property on Tacoma Dome Lots B and C. Section
5 of the agreement requires three conditions prior to closing: 1) Complete Design Development
Documents, 2) Raise 75 percent of the identified cost of construction and 3) Own or have control over at
least 600 Museum Quality Vehicles. HELM completed those conditions and desires to close on the
property. As the building design has continued to evolve and the needs of the project have changed
modification to the agreements were necessary. The first attempt to modify was reviewed and approved
by City Council at its December 15, 2009 meeting. The amendments included the following:
- Phase 1 property will adjust to approximately 7+ acres which will include all of Dome Lot B and a major
portion of Dome Lot C for parking, show field and building.
- The perimeter access corridor connecting Dome Lots A and C will change from a 30 foot wide corridor
to a 22 1/2 foot wide corridor. Paving and grading cost will be paid by the City.
- HELM will control approximately 124 parking stalls on Dome Lot C.
- City will be responsible for certain infrastructure improvements including vacating an existing easement
for storm and sanitary in Lot C and relocating storm and sanitary to access road. HELM will be
responsible for extending utilities to serve its project and City will provide access to place utilities.
- Remaining parking in Lot C will remain at current grade. HELM will install barrier berms and
landscaping on its property. City will install berms and landscaping on its property.
- HELM will use parking revenues generated on its property to pay permit fees, utility relocation and
parking improvements. Parking revenues will not be shared with the City.
- HELM will install parking lot catch basin and storm line in Lot C. City and HELM will split the cost.
cotclerk\foriiis\ReqtiestResoltitiotiOrdiiiaiice.doc Office of the City Clerk (0312312009)
CITY CLERK USE ONLY
REQUEST (CONT) Request 12,51:7
Ord/Res 37W
- HELM agrees to not object to the City adding additional parking deck level(s) on Lot A with reasonable
design review rights.
- Building permit fees will be capped at $180,000.
- Construction of show field improvements must be completed within one year of receipt of Certificate of
Occupancy for the Collector Car Center. If show field is not completed property reverts to City until
LeMay is ready to proceed with construction.
- Future encumbrances on the LeMay property are prohibited.
After Council approval of the amendments in December, LeMay representatives contacted the City and
indicated that they objected to the last two requirements and would not sign the agreements. After
further discussions with LeMay the more express requirement to complete construction of the show field
within one year was removed and the prohibition on mortgaging the property was modified to allow
encumbrances (after repayment of a HUD 108 loan obtained through the City) exclusively for financing
expansion or major capital improvements for the Museum but not for commercial purposes, operating
revenues or repairs and maintenance. The amendments before Council now reflect these revisions.
8. LIST ALL MATERIAL AVAILABLE AS BACKUP INFORMATION FOR THE REQUEST AND INDICATE WHERE FILED:
Source Documents/Backup Material Location of Document
Harold E. LeMay Museum Option Agreement and City Clerk's Office
Development Agreements
First Amended Harold E. LeMay Museum Option City Clerk's Office
Agreement and Development Agreements
Second Amended Harold E. LeMay Museum Option City Clerk's Office
Agreement and Development Agreements
Third Amended Harold E. LeMay Museum Option City Clerk's Office
Agreement and Development Agreements approved
December, 2009
Revised Third Amended LeMay Museum Option and City Clerk's Office
Development Agreements
9. WHICHOFTHECITY'SSTRATEGicGOALsDOEsTHISITEMSUPPORT?(CHECKTHEGOALTHATBESTAPPLIES)
A. A SAFE, CLEAN AND ATTRACTIVE COMMUNITY
B. A DIVERSE, PRODUCTIVE AND SUSTAINABLE ECONOMY
C. El A HIGH-PERFORMING, OPEN AND ENGAGED GOVERNMENT
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cotc1erk\forins\ ReqitestResoliitiotiOrdiiia@ice.doc Office of the City Clerk (03123112009)
CITY CLERK USE ONLY
REQUEST (CONT) Request 12517
Ord/Res 3798@
10. IFTHISCONTRACTISFORANAMOUNTOF$200,OOOORLESS,EXPLAINWHYITNEEDSLEGISLATIVEAPPROVAL:
11. FINANCIALIMPACT: F-1 EXPENDITURE E-1 REVENUE
A. Z No IMPACT (NO FISCAL NOTE)
B. YES, OVER $1 00,000, Fiscal Note Attached
C. YES, UNDER$ 1 00,000, (NO FISCAL NOTE)
Provide funding source information below:
FUNDING SOURCE: (Enter amount of funding from each source)
Fund Number & Name: State $ City $ Other $ Total Amount
If an expenditure, is it budgeted? R Yes F-1 No Where? Cost Center:
Acet
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cotclerk\foriits\ReqiiestResoltitiotiOrditialice.doc Office of the City Clerk (031,2312009)
3798t@
Resolution No.
Adopted: FEB 0 9 2010
Maker of Motion: f-
Seconded: \A)
Voice Vote:
MEMBERS AYES NAYS ABSTAIN ABSENT
Mr. Boe
Mr. Campbell
Mr. Fey
Mr. Lonergan
Mr. Manthou
Mr. Mello
Ms. Walker
Ms. Woodards
Mayor trickland VI' T
Roll Call Vote:
MEMBERS AYES NAYS ABSTAIN ABSENT
Mr. Boe
Mr. Campbell
Mr. Fey
Mr. Lonergan
Mr. Manthou
Mr. Mello
Ms. Walker
Ms. Woodards
Mayor Strickland
Occagenda@agenda procedures and formsVesolutionvotingrecorddoc