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Sent:
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Attachments:
Hollinger, Kristy < khollinger@eaest.com >
Monday, April 20, 2015 11:08 AM
peckassoc@comcast.neU David W. Johnson (djohnson@cojefferson,wa,us); Schipanski,
Rich
RE: Fiscal Issues
Fiscal Comment Responses Memo.pdf
Hi Craig, sorry we lost you there at the end of the call. Attached is the document we discussed this morning, in a memo
format.
Also, I checked the comment assignments and confirmed that TENW was assigned responsibility for responding to
comments about Duckabush Road. Craig, do you know the status of Mike Reed's proposal for responding to comments,
is that already finalized? We want to make sure that he adds baseline traffic counts to Duckabush Road to his scope of
work. Let me know if you would like me to discuss with Mike.
Also, for everyone's reference, I checked the transportation report from the Draft SEIS, and it looks like the trip
distribution assumes only 3 percent of trips would go to Duckabush Road - so around 120 trips per day.
Thank you,
Kristy
Kristy M. Hollinger
Planner
EIT
EA Engineering, Science and Technology, lnc., PBC
2200 Sinh Ave, Suite 707 | Seattle, WA 98121
(t) 206.452.5350 ext. 1726 | (f) 206.443.7646
khollinser@eaest.com
http://www.eaest.com
^.fl euto." printing, think about ENVTRoNMEI{TAL responsibility
From: peckassoc@comcast.net Imailto:peckassoc@comcast.net]
Sent: Monday, April 20, 2015 9:46 AM
To: Hollinger, Kristy
Cc: David W. Johnson (djohnson @co.jefferson.wa. us); Schipanski, Rich
Subject: Re: Fiscal Issues
My phone connection stopped.
Although I think we were almost finished with our discussion
lf there is more - please advise.
Thank you,
Have a good week.
1
Craig
From: "Kristy Hollinger" <khollinqer@eaest.com>
To: "David W. Johnson (diohnson@co.iefferson.wa.us)" <diohnson@co.iefferson.wa.us>,
"peckassoc@comcast.net" <peckassoc@comcast.net>
Sent: Monday, April 20, 2015 8:16:02 AM
Subject: Fiscal lssues
Hi David and Craig,
Attachedisabrief overviewoffiscalcommentsraisedontheDraftSEIS,andissueswhichneedtobeaddressed. Thisis
for your review before Craig sends along to Garth. I have also attached the report which could possibly serve as a
starting point for answering these issues, if it is updated and expanded.
We will talk to you soon,
Kristy
Kristy M. Hollinger
Planner
@b
EA Engineering, Science and Technology, Inc., PBC
2200 Sixth Ave, Suite 707
(t) 206.452.5350 exl. 1726
Seattle, WA 98121
(f) 206.443.7646
khollinger@eaest.com
http://www.eaest.com
$ a"ro." printing, think about ENVIRoNMENTAL responsibility
2
EA Engineering, Science,
and Technology, lnc., PBC
2200 Sixth Avenue, Suite 707
Seattle, WA 98121
Telephone: 206.452.5350
Fax: 206.443.7646
Memorandum
To:
From:
Date:
Sublect:
David Johnson and Craig Peck
Kristy Hollinger and Rich Schipanski
EA Engineering, Science, and Technology, lnc., PBC.
April20,2015
Proposed Amendment Final SEIS - Response to Fiscal Gomments
Following is an overuiew of fiscal-related comments (tax and job issues/ that were raised on the
Draft SE/S, together with a summary of items which will need to be addressed by a technical
expeft. As dlscussed, we assume that Craig will coordinate with Gafth Mann in order to obtain
resolution on these issues.
A number of fiscal-related comments were raised on the Draft SEIS regarding the project's
potential impact to the community in relation to taxes generated v. burdens, as well as potential
costs to the community resulting from low wage jobs. Below are examples of representative
comments:
Letter 38, Comment 24 -'Sfafe taxes collected mostly go to Olympia and County seat
(port Townsend). These entities have free reign as to where and how it's spent, and
citizens of Binnon bear brunt of traffic and safety. Levies attached to our property taxes
will not be available until Phase 4 and Full Build Out are achieved"
a
a Letter 7, Comment 6 - "Local govemment and all county taxpayers will experience high
taxes/fewer se/'vices" "Developer does not pay sufficient taxes to cover costs of
infrastructure and public services needed by the resort itself , resort members, and resort
employees"
Letter 8 Comment 5 - "\y'y'hat costs will be put to the area and state citizens? For
instance, road repair from additionaltraffic the resort will bring. Utility costs. Medical
facilities. Taxation."
a
Letter 9, CommentlT - "revealthe true impacts on the local economy from the
proposed MPR during construction and operation"
Letter 9, Comment 18 - "A study of fiscal and economic impacts of destination resort in
Oregon concluded that, after subtracting the costs for services from the gross property
and room tax revenue generated by the study resort, only a modest net surplus
remained. When cost of capitalfacilities including roads, schools, fire and police
stations, and others is also accounted for, the net cost to local taxpayers is substantial
even after accounting for all known payments the resort would be required to make"
Letter 7, Comment 6 - "Developer to identify frue cosfs of infrastructure and public
serylces duing and after construction and arrange to pay those cosfs, above what is
paid in faxes, to local and county govemment."
Letter 7, Comment 10 - "Taxpayers will subsidize road improvement and repairfor
heavy equipment. Developer to prepare analysis of true costs of road imprcvement and
repair and make provisions to pay for those services to state and local government
entities."
Letter 7, Comment 1 - "lt [resort] may raise utility rates for south county
Letter 7, Comment 37 - "Developer to present agreement with PUD for public review,
including possibility of rateincreases for all rate payers".
Letter 7, Comment I - "prepare a report of the services used by employees with wages
below the Binnon AMI and an estimate of the cosf of those servlces. Developer to pay
forcosfs of seryrbes fo fhese employees provided by tax funded entities."
Letter30, Comment 5 - "The promised jobs would likely pay poorly, and not enable
workers to be financially independent. We would end up suppofting them through our
community services. "
Letter 40, Comment 6- Most of the jobs will be below family wage so there will be a
high rate of povefty. Most of the jobs are seasona/, minimum wage, and paft time. Could
leave more people added to the community in poverty, on Medicaid, and straining limited
local resources. Most construction jobs will go with the large company hired to build
resoft. Might not hire locally.
ln order to adequately respond to these comments in the Final SEIS, and ensure a defensible
document, we recommend having a consultant address the following issues:
ldentify/quantify the tax revenue that could be generated by the operation and
construction of the resort, employees and visitors.
ldentify how will this tax revenue be distributed locally (i.e. what is Jefferson County's
capture rate).
ldentify the tax burden (cost) that the resort, its employees and visitors will result in, in
terms of additional population placing demands on public infrastructure and public
services (i.e. willthe project cost more than the tax revenue it brings in?)
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a ldentify the impact of jobs that are at or below 80 percent of the AMI in terms of
demand for community/public services that could be generated. (Refer to Letter 7,
Comment 8)
Some of the above identified issues were addressed in a previous report that was prepared:
"Summary of Pleasant Harbor lmpacts: Job Creation and Value Added to National Economy".
This report, however, is undated and authored, and appears to be based on an old phasing
plan, and a7-year build-out, as opposed to 1O-year build-out that is assumed in the Draft SEIS
lf this report is updated to address the fiscal issues, it is essential that it contain information that
is consistent with what is analyzed in the Draft SEIS and the other technical reports which
support the Draft SEIS. ln particular, the estimates of operational and construction employment
must match those in Wright Johnson report of October 2014.