HomeMy WebLinkAbout58 20COUNTY OF JEFFERSON
STATE OF WASHINGTON
In the matter of }
Authorization and Funds Commitment I RESOLUTION NO. 58-20
EDA FY2019 Supplemental Grant
Port Hadlock UGA Sewer Project
WHEREAS, Jefferson County is subject to the planning requirements of the State of
Washington's 1990 Growth Management Act (GMA) which requires that in order for urban
densities and styles of growth to occur, urban levels of services must be provided by
transportation and utility infrastructure; and
WHEREAS, municipal sewer service is a required utility service to be in place under GMA in
order for commercial, industrial, and multi -family housing to expand. Until the sewer is built,
rural zoning remains in place and stifles land use, job creation and capital investment; and
WHEREAS, in 2002 Jefferson County established through an extensive public planning process
an Urban Growth Area (UGA) in the unincorporated Port Hadlock and Irondale area which is the
only UGA in the County outside of its one incorporated city (Port Townsend); and
WHEREAS, the economic health and vitality of the region will be stronger and more resilient
when areas where growth and opportunity can occur are geographically diversified and possible
not only in the City of Port Townsend but also in the unincorporated County as well; and
WHEREAS, the Port Hadlock-Irondale UGA includes adopted commercial, light industrial, and
medium to high -density housing zoning, but under the State's Growth Management Act, must
operate with interim rural low -density zoning until a sewer is built, and this rural zoning stifles
development of properties, businesses and job creation within the UGA; and
WHEREAS, the Port Hadlock UGA sewer will not only "turn on" adopted urban zoning,
allowing for significant economic development, but it will remove restrictions on acreage
currently dedicated to septic systems and reserve drainfields, opening additional acreage within
the UGA to economic development; and
WHEREAS, Jefferson County developed and adopted a Sewer Facility Plan for the Port
Hadlock UGA in 2008 and said Plan was approved by the Washington State Department of
Ecology and Department of Health; and
WHEREAS, Jefferson County has worked since that time to advance the Port Hadlock UGA
Sewer project by spending over $2.5 million of locally derived funds, State revolving loans, and
bonds to pay for necessary items and work including but not limited to:
• Sewer Facility Planning
• Acquisition of all property required to site the treatment and wastewater re -use facilities
• Subsurface exploration and hydro -geologic modeling of the wastewater re -use site
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• NEPA and Section 106 cultural resources permitting work
• Development of wetlands mitigation plans
• Site and sewer design work
• Other special studies required for the advancement of the project
• Public outreach and involvement efforts to engage public input and support; and
WHEREAS, other funding partners including the Washington State Department of Ecology,
U.S. Environmental Protection Agency (EPA), and the U.S. Department of Agriculture — Rural
Development (USDA-RD) have also demonstrated a long-standing commitment to this project
by providing over $500,000 to this project previously, and indicate that they intend to be a part
of additional funding for constructing the Port Hadlock sewer; and
WHEREAS in 2020 the Washington State legislature awarded the County $1.422 million to
complete the design of the Port Hadlock UGA sewer system including updating the design for
the treatment and wastewater re -use facilities and final design of the sewer collection system and
this work is in progress; and
WHEREAS, Jefferson County will continue to work with the State legislative delegation that
has sponsored previous support for the Port Hadlock sewer, most recently including a successful
appropriation of $1.422 million for design and engineering in FY 2020, to secure additional
funding for the project. The delegation has indicated that it will support efforts to secure the
additional funding from the legislature and state agencies to complete this priority project.
WHEREAS, Jefferson County commits to securing additional funding through local sources,
USDA Rural Development, Department of Ecology's Clean Water Program, Washington State's
Public Works Assistance Account and other state and federal programs to fund the residential
capacity within the Hadlock Sewer's Core Area.
WHEREAS, in 2018 property and business owners in the core commercial district of the Port
Hadlock UGA petitioned the Board of County Commissioners to advance the sewer project,
demonstrating interest in and demand for business expansion, increased density and development
in the area, and these same stakeholders have remained engaged in ongoing outreach and
planning efforts to date; and
WHEREAS, this project is Jefferson County's number one priority infrastructure project due to
its critical role in creating the density of service and workforce necessary to support a thriving
rural economy less vulnerable to disasters or disruptions; and
WHEREAS, the Port Hadlock UGA Sewer project is integral to the long-term economic
resilience of this region, and mitigates the County's current economic vulnerability from storms,
high seas or tsunamis; and many jobs will be created by allowing for additional and intensified
land uses, particularly commercial and light industrial, in the service area; and
WHEREAS, it should be noted that the Presidentially Declared disaster (FEMA 4418)
underscored the County's existing efforts to develop other business districts in addition to
downtown Port Townsend, which is endangered by storm surges and sea level rise, to serve its
constituents, and stressed the urgency for the County to advance this critical project; and
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WHEREAS, the Port Hadlock Irondale UGA is currently served by hundreds of aging septic
systems many of which fail before replacement, and this project will retain the jobs that are
currently dependent on aging septic systems, allow for business expansion to create new jobs;
and removing these aging septic systems will also improve water quality in a community
surrounded by marine shorelines, commercial shellfish beds, and the salmon -bearing Chimacum
Creek; and
WHEREAS, the County is applying for a $13,097,000 million grant through the EDA-2019-
DISASTER, FY 2019 EDA Disaster Supplemental, Department of Commerce, Economic
Development Administration (EDA) to develop the sewer infrastructure necessary to allow the
commercial growth, economic development, and associated job retention and creation that the
UGA was intended to promote; and
WHEREAS, the project meets the goals outlined in both the Jefferson County Comprehensive
Plan and the North Olympic Development Council's Comprehensive Economic Development
Strategy (CEDS) and is highlighted as a significant project in the CEDS; and
WHEREAS, the project meets four of the five investment priorities for the Economic
Development Administration:
o Located in an Opportunity Zone;
o Contributes to recovery and resilience,
o Supports workforce development; and
o Improves critical infrastructure; and
WHEREAS, the EDA-eligible project costs are estimated at $16,377,000 to provide sewer
service to the commercial and light industrial zoned land within the UGA Phase I "Core Area";
NOW THEREFORE BE IT RESOLVED that the County commits as matching and
companion funds to the EDA's $13,097,000 million grant the following to fund complete
construction of the Hadlock Sewer Project:
Local matching funds of $3,280,000 million in established Jefferson County revenue
streams, including a combination of capital improvement funds, dedicated Public
Infrastructure Fund sales tax dollars, and sewer connection fees. The County asserts that
these funds will: (i) be committed to the project for the period of performance, (ii) be
available as needed, and (iii) not be conditioned or encumbered in any way that may
preclude its use consistent with the requirements of EDA investment assistance; and
BE IT FURTHER RESOLVED, that this resolution repeals and replaces Resolution 56-20.
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PASSED AND ADOPTED THIS DAY OF 92020.
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Carolyn Gallaway
Deputy Clerk of the Board
JEFFERSON COUNTY
BOARD OF COMMISSIONERS
Greg Brotherton, Chair
Kate Dean, Member
David Sullivan, Member
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