LOCAL IMPROVEMENT DISTRICT OVERVIEW. January 2018
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1 LOCAL IMPROVEMENT DISTRICT OVERVIEW January 2018
2 AGENDA Waterfront Seattle Overview Design Operations & Management Schedule Budget LID Timeline and Legislative Process Waterfront Seattle Local Improvement District Economic Value from Parks What is an LID? How Special Benefit Works Feasibility Study LID formation process 2
3 3
4 WATERFRONT SEATTLE PROGRAM 4
5 5
6 6
7 MARKETFRONT Source: Barbie Hull, courtesy of Pike Place Market PDA 7
8 SEAWALL AND PROMENADE 8
9 URBAN HABITAT 9
10 GREAT PUBLIC SPACES 10
11 EAST-WEST CONNECTIONS 11
12 MOBILITY AND ACCESS 12
13 ACTIVE RECREATION 13
14 PIKE AND PINE STREETS Pike and Pine streets, between First Avenue and Melrose Avenue Pedestrian and streetscape improvements Budget: $20 million (all costs including design, construction, City costs) Funding Source: Waterfront Local Improvement District, partner projects 14
15 PIKE AND PINE STREETS Existing 15
16 PIKE AND PINE STREETS Proposed 16
17 OPERATIONS AND MANAGEMENT Maintenance approach Baseline: City departments Enhanced: Parks/Friends agreement Programming and activation Budget Seattle Parks District: $3.5M/year for Parks staff Friends of Waterfront Seattle: anticipated $1M+/year 17
18 18
19 19
20 CONSTRUCTION SCHEDULE 20
21 OVERALL WATERFRONT INVESTMENTS (INCLUDING UTILITIES AND SEAWALL) 21
22 WATERFRONT SEATTLE FUNDING 22
23 AGENDA Waterfront Seattle Overview Design Operations & Management Schedule Budget LID Timeline and Legislative Process Waterfront Seattle Local Improvement District Economic Value from Parks What is an LID? How Special Benefit Works Feasibility Study LID formation process 23
24 PROJECT PUBLIC BENEFITS 24
25 PROXIMATE PRINCIPLE 25
26 CASE STUDY: HUDSON RIVER PARK (NYC) Park represents 20% of increased property value 26
27 CASE STUDY: MILLENIUM PARK (CHICAGO) $1.4B of direct spending generated in park vicinity 27
28 INCREASE IN LOCAL BUSINESS SALES Doubles near streetscape improvements 100% 90% 80% 70% 60% 50% 48% 40% 30% 20% 10% 15% 7% 22% 0% Improved Not Improved Year 1 Year 2 28
29 CLOSER TO HOME 29
30 CASE STUDY: WATERFRONT REDEVELOPMENT (VANCOUVER, BC) Stanley Park and Coal Harbour responsible for as much as 16% of new property value (<6 blocks) 30
31 CASE STUDY: TOM MCCALL WATERFRONT PARK (PORTLAND) Quality of life improves 31
32 THIS WILL HAPPEN HERE, TOO Source: Downtown Seattle Association 32
33 HR&A VISITATION STUDY 950,000 net new visitors: $ million annual direct spending 33
34 LID PROCESS 34
35 LOCAL IMPROVEMENT DISTRICT Funding tool by which property owners financially contribute to a project that will increase the value of their property Used to fund public projects in State of Washington Governed by specific state and local laws (including special benefit study) 35
36 SPECIAL BENEFIT 36
37 TERMINOLOGY Special benefit: Estimated increase in a property s fair market value as a result of public improvements. Special benefit study: Conducted by an independent appraisal firm to determine the LID boundary and the difference between the fair market value of each property before and immediately after the improvement. Assessment: Portion of the special benefit each property owner will pay. Cannot exceed the amount of the special benefit. Assessment ratio: Portion of the special benefit each property will pay. Same ratio will apply to all assessed properties. (Determined by City Council) 37
38 LEGAL PROTECTIONS AND GUIDELINES Total assessments not more than special benefits Total assessments not more than total cost Assessments are roughly proportionate to each other 38
39 FEASIBILITY STUDY Initial estimate of overall range of total special benefit to determine feasibility Does not include parcel-by-parcel analysis and is not used to determine assessments. Total estimated range in study area: $ million 39
40 LID ANALYSIS AREAS B C D A E 40
41 SPECIAL BENEFIT STUDY AREA 41
42 LID FORMATION PROCESS 42
43 FOR MORE INFORMATION: (206)
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