Drafter
Clerk 05/27/2004
title
AN ORDINANCE relating to real estate asset management and major capital projects development, establishing a real estate and major capital projects review joint advisory group to facilitate coordination and communication between the executive and council; and adding a new chapter to K.C.C. Title 4.
body
PREAMBLE:
The King County budget office projected a thirty-six-million-dollar imbalance in 2002 between ongoing current expense revenues and ongoing base expenditures, which was produced by a need to backfill fourteen million dollars of one time revenues that were unavailable in 2002 and an additional twenty-two million dollars shortfall due to annual growth in expenditures such as wages and benefits that exceeded annual growth in revenues.
King County is projected to have one hundred fifty-eight million dollars in shortfalls between 2002 and 2006.
The metropolitan King County council supported in 2002 a thorough review and cost-benefit analysis of possible efficiencies to provide resources necessary to provide county services and make the best use of county revenues and resources. Due to the projected impacts of ongoing shortfalls in future years, the council wished to evaluate real property resources to ensure that county assets were being put to the highest and best use and that criteria were developed to evaluate the holding of county assets.
The King County council established the properties expert review task force (PERT) in Ordinance 14106 and tasked that body with the proposal of criteria for decision making with regard to county owned real property and capital asset management. The PERT review covered asset acquisition, management, disposition, as well as recommendations about King County code changes, staffing resources and potential contracting that might help the county implement an improved asset management system.
The PERT report recommended the creation of a real estate cabinet that would include members from the executive and legislative branches that would make policy level decisions regarding real estate.
The King County Charter provides for the separation of powers between the executive and legislative branches, stating that the council is the policy determining body and that the executive branch implements those policies under direction of the county executive, who serves as the chief executive officer of the county.
Due to the separation of powers provided for in the King County charter the PERT recommendation to make policy level decisions through a real estate cabinet could blur the division of the branches.
The council reiterated asset management concerns in Ordinance 14199 and directed that capital asset management be an integral part of a requested study of the facilities management division organization structure.
The King County council subsequently approved in Motion 11819 and Motion 11732 the facilities management division reorganization reports, including a recommended method for providing the council timely information for policy-level discussion on major real estate and capital project decisions.
The council requested in Motion 11819 that legislation be formally adopted to create a countywide real estate and major capital projects oversight committee that would be structured to provide coordination and policy-level discussion between the executive and legislative branches of government regarding real estate asset management and major capital projects.
BE IT ORDAINED BY THE COUNCIL OF KING COUNTY:
SECTION 1. The purpose of this ordinance is to establish the real estate and major capital projects review joint advisory group to provide a forum for early policy level dialogue between the executive and the council on major capital project and major real estate matters.
SECTION 2. Codification. Sections 3 through 7 of this ordinance should constitute a new chapter in K.C.C. Title 4.
NEW SECTION. SECTION 3. Establishment and purpose. The King County real estate and major capital project review joint advisory group is hereby established to provide a forum for early policy level dialogue between the executive and the council on major capital project and major real estate matters. The joint advisory group should provide the executive and legislative branches of government an opportunity to explore and discuss emergent projects and issues, as well as ongoing proposals regarding major capital projects and major real estate projects. The items for discussion by the group should exclude major technology projects considered for development and review that are included in the information technology governance processes pursuant to K.C.C. 2.16.0757 and 2.16.0758.
NEW SECTION. SECTION 4. Definitions. The definitions in this section apply throughout this ordinance unless the context clearly requires otherwise.
A. "Designee" means the person appointed by a group member to participate on his or her behalf at any given meeting. A designee may be a councilmember, departmental director, or staff person, as determined by a group member to represent them.
B. "Group" means the real estate and major capital project review joint advisory group established by section 3 of this ordinance.
C. "Major capital project" means a capital project as defined in K.C.C. 4.04.020 that:
1. Has an estimated overall project cost that exceeds ten million dollars; or
2. Has an overall project cost that exceeds ten million dollars and is subject to CIP exceptions notification as described in K.C.C. 4.04.020.O; or
3. Has an overall project cost that exceeds ten million dollars and exhibits major unanticipated changes affecting scope, schedule or liabilities as determined by either the executive or council; or
4. Has significant policy considerations as determined by either the executive or council.
D. "Major real estate project" means any real estate transaction meeting the definitions of county owned real property or surplus property as described in K.C.C. chapter 4.56 that:
1. Has an estimated value that exceeds one million dollars; or
2. Is valued at one million dollars or more and is subject to the processes established in K.C.C. 4.56.070 for acquisition, disposition, lease, sale or transfer of property; or
3. Has significant policy considerations as determined by either the executive or council.
NEW SECTION. SECTION 5. Membership, chairmanship and ex officio members.
A. The group members shall be the chair of the metropolitan King County council, the chairs of the budget and fiscal management committee and the labor, operations and technology committee or their successor committees as defined by the council's organizational motion, and three participants as determined appropriate by the executive, depending on projects to be discussed. Executive participants may include the facilities management director, the department of natural resources director, the department of transportation director, or the office of management and budget director, as assigned by the executive.
B. The chair of the metropolitan King County council and the King County executive, or their designees, shall serve as group co chairpersons.
C. Group members may appoint a designee to participate in any meeting on their behalf.
D. Councilmembers or executive branch persons directly affected by or with specific knowledge of the real estate or major capital project program areas to be discussed at a monthly meeting may be invited by any group member to participate as ex officio members during consideration of that program area.
NEW SECTION. SECTION 6. Responsibilities. The group shall explore and discuss issues surrounding major capital projects and major real estate asset management matters. The group shall provide a forum for early policy level dialogue, discussion and input to ensure timely and informed council decisions. The group shall:
A. Review and discuss policy matters regarding major capital projects;
B. Review and discuss policy matters regarding major real estate asset management;
C. Provide early policy input regarding potential budget initiatives in major capital projects and major real estate matters;
D. Provide early policy input regarding long-term strategic real estate asset management and capital improvement project goals;
E. Discuss significant real estate policy issues related to major capital projects; and
F. Assist coordination of capital project and real estate management matters involving independent elected officials in King County government.
NEW SECTION. SECTION 7. Staffing, rules and procedures.
A. The group shall meet monthly.
B. The council and executive shall jointly staff the committee, splitting the administrative functions equally between the branches of government. The co chairpersons shall determine administrative assignments, and shall rotate assignments to maintain equity in workload. The co chairpersons shall strive to keep administrative functions to a minimum.
C. Group members may bring staff as needed to support the activities of the group.
D. Any major capital project or major real estate project that meets the definitions in section 4 of this ordinance should be added to the group's next monthly meeting agenda.
E. Items for discussion shall be determined and forwarded to group members before each meeting.
F. After each meeting, a list of projects discussed shall be provided to each group member, each King County councilmember and participating staff. The list should include the council district in which the projects are located.
SECTION 8. Enactment. The real estate and major capital projects review joint advisory group shall begin meeting within thirty days of enactment of this ordinance.
SECTION 9. Review. By July 31, 2005, the group shall file with the clerk of the council and the chair of the council's budget and fiscal management committee, or its successor committee, a report for distribution to all councilmembers that reviews the group processes, to include successes and failures. The report is to help determine whether the committee should expire or continue.
SECTION 10. Expiration. The advisory group expires on January 31, 2006. It is the intent of the council to evaluate the continued need of the committee before the committee expires and to consider whether to repeal or continue the committee. Should
the council choose to repeal the group on January 31, 2006, sections 3 through 7 of this ordinance expire.