>>> GOOD AFTERNOON, EVERYONE. THE AUGUST 4, 2025 SPECIAL MEETING OF THE SEATTLE CITY COUNCIL WILL COME TO ORDER. IT IS 2:01. I'M SARA NELSON, PRESIDENT OF THE COUNCIL. WILL THE CLERK PLEASE CALL THE ROLL? >> COUNCILMEMBER RIVERA. >> HERE. >> COUNCILMEMBER SAKA. >> HERE. >> COUNCILMEMBER STRAUSS. >> PRESENT. >> COUNCILMEMBER KETTLE. COUNCILMEMBER RINCK. >> PRESENT. >> SEVEN PRESIDENT. >> THANK YOU VERY MUCH. IF THERE IS NO OBJECTION THERE -- AND I'M NOT HEARING ANY OBJECTIONS SO THE COUNCIL RULES ARE SUSPENDED AND WE WILL PROCEED WITH THE HYBRID PUBLIC COMMENT PERIOD. HOW MANY PEOPLE ARE SIGNED UP TODAY? >> WE HAVE THREE IN PERSON AND ONE REMOTE. >> HOW MANY IN PERSON? >> THREE. >> OKAY, WE WILL START WITH IN PERSON AND THEN GO TO THE REMOTE. AND EVERYBODY WILL GET 2 MINUTES. >> THE PUBLIC COMMENT PERIOD WILL BE MODERATED IN THE FOLLOWING MANNER. UP TO 20 MINUTES. SPEAKERS WILL BE CALLED IN THE ORDER TO WHICH THEY REGISTERED MERCHANDISE W. WE'LL BEGIN WITH THE SPEAKERS SIGNED UP IN PERSON AND THEN THE SPEAKER SIGNED UP REMOTELY. SPEAKERS WILL HEAR A CHIME WITH 10 SECONDS LEFT FOR THEIR TIME. THE PUBLIC COMMENT PERIOD IS NOW OPEN AND WE'LL BEGIN WITH THE FIRST PERSON ON THE LIST. >> I WANT TO SPEAK ABOUT AGENDA NUMBER 2, ABOUT TAXES. I TRY AND UNDERSTAND -- >> MADAM CHAIR, I'D LIKE TO MAKE A POINT OF ORDER. >> PLEASE GO AHEAD. >> WE HAVE THE SAME ISSUE MR. ZIMMERMAN CALLS ME OUT ON MY RACE AS -- I WANT HIM ON NOTICE AGAIN WE DO NOT ATTACK THE ETHNICITY OF ANY RACE. THIS IS THE PEOPLE'S HOUSE, SO I WOULD ASK A POINT OF ORDER IF HE CONTINUES HE SPEAK TO THE MATTER ON THE AGENDA AND NOT SPECIFICALLY CALL OUT ANYONE ON THEIR RACE AND ETHNICITY AT THIS TIME, AND THAT HE WOULD BE LOOKING AT A SUSPENSION. >> THANK YOU VERY MUCH, COUNCILMEMBER JUAREZ. IN FACT, THIS DOES CONSTITUTE ABUSE OF LANGUAGE, WHICH IS A DISRUPTIVE BEHAVIOR AGAINST WHICH WE HAVE RULES. >> I DON'T UNDERSTAND. >> THAT IS THE -- >> I NEED A RUSSIAN TRANSLATOR. PLEASE BRING IN RUSSIAN TRANSLATOR. WE'RE TALKING ABOUT I'M AN IMMIGRANT. PLEASE BRING IN RUSSIAN TRANSLATOR. >> PLEASE SPEAK ABOUT SOMETHING ON THE AGENDA OR THE PROGRAM. >> EXACTLY. YOU DON'T GIVE ME A CHANCE. NO PROBLEMO. CAN I SPEAK? THANK YOU VERY MUCH. NUMBER TWO, YOU TALKTING ABOUT TAXES AND MAKES ME SICK BECAUSE I DON'T UNDERSTAND BECAUSE WHY YOU ALL THE TIME TALKING TAXES? IT'S GETTING WORSE, WORSE, AND WORSE. WHY? BECAUSE YOUR TAXES FOR PERSONAL INFORMATION, FOR PERSONAL NEED. SO YOU ACCEPT PEOPLE WHO ARE PURE FASCISTS. WE HAVE THIS RIGHT NOW WHAT HAS COME LIKE A PURE FASCIST. FOR 40 YEAR SHE NEVER SHOW PEOPLE FACES WHEN THEY SPEAK. I NEVER SEE LIKE THIS BEFORE IN MY LIFE. WHY SHE DOING THIS? >> PERSONAL ATTACKS ARE ALSO NOT ALLOWED AGAINST COUNCILMEMBERS. >> HOW YOU HAVE A COUNCIL WHO HAVE SOMETHING WHICH IS PROBABLY NEVER FASCIST -- >> THIS IS VIOLATION OF OUR COUNCIL RULES. THIS IS ABUSIVE BEHAVIOR. THIS IS YOUR FIRST OFFICIAL WARNING, AND IF YOU CONTINUE WITH THIS, PLEASE -- >> AND I WANT RUSSIAN TRANSLATOR NEXT TIME WHEN SHE SPEAKING. YOU SEE IT? I CAN GO? >> THAT WAS YOUR FIRST WARNING. >> NEXT JORDAN CROWLEY. >> GOOD AFTERNOON, COUNCIL. MY NAME IS JORDAN CROWLEY. >> PAUSE AND PUT THE TIME BACK. COUNCILMEMBER -- I MEAN, MR. ZIMMERMAN, PLEASE BE SEATED. YOU'VE HAD YOUR CHANCE TO SPEAK, DON'T INTERRUPT OTHER PEOPLE. GO AHEAD, PLEASE. >> GOOD AFTERNOON, COUNCIL. MY NAME IS JORDAN CROWLEY. I'M STANDING TODAY IN SUPPORT OF THE PROPOSED CHANGES TO THE TAX. PRIMARILY IT IS NOT A TAX TO SPEND BUT A TAX TO DO. TO DO FOR OUR COMMUNITIES WHAT THE FEDERAL GOVERNMENT WILL NOT. SPEAKING BEFORE KING COUNTY COUNCIL IN JANUARY I SAID KNOWING WHAT AWAITED US AFTER INAUGURATION DAY THAT OUR REGION NEEDED TO PREPARE TO GO IT ALONE. LEADERS LIKE COUNCILMEMBER RINCK RECOGNIZED THE SAME THING. I'M HERE TO ASK THAT EACH OF YOU SUPPORT THE BILL AS PROUDLY AS THE COALITION STANDING BEHIND IT, LET'S SUSTAIN FUNDING FOR CRITICAL PROGRAMS AND DO SOMETHING FOR OUR CITY. THANK YOU. >> NEXT WE HAVE -- >> HI. GOOD AFTERNOON, CHAIR MEMBERS OF THE COUNCIL. THANK YOU SO MUCH FOR THE OPPORTUNITY TO SPEAK BEFORE YOU TODAY. I AM THE DIRECTOR OF ECONOMIC DEVELOPMENT AT THE LATINO COMMUNITY FUND. AND I'M HERE TO SHARE OUR STRONG SUPPORT FOR THE SEATTLE SHIELD PROPOSAL. SMALL BUSINESSES PARTICULARLY IMMIGRANT OWNED BUSINESSES GENERATE OVER $2.3 BILLION IN ANNUAL REVENUE AND CREATE THOUSANDS OF JOBS ACROSS WASHINGTON STATE. THEY'RE ALSO THE ECONOMIC BACKBONE OF OUR BELOVED CITY. IN SEATTLE THEIR IMPACT GOES BEYOND ECONOMICS. THESE BUSINESSES CONTRIBUTE TO THE RICH CULTURAL AND SOCIAL FABRIC THAT MAKES OUR CITY UNIQUE. THEY CREATE JOBS, PROVIDE ESSENTIAL SERVICES AND FOSTER THE SENSE OF COMMUNITY THAT DEFINES OUR NEIGHBORHOODS. LET US NOT FORGET THAT MANY OF TODAY'S CORPORATE GIANTS LIKE AMAZON AND STARBUCKS BEGAN A SMALL LOCAL VENTURES RIGHT HERE IN SEATTLE. WHEN WE INVEST IN THE SMALL BUSINESSES TODAY PARTICULARLY THOSE FROM UNDERSERVED COMMUNITIES, WE ARE NOT JUST SUPPORTING THEIR ECONOMIC SURVIVALING, WE ARE NURTURING THE NEXT GENERATION OF ECONOMIC DRIVERS FOR OUR CITY. HOWEVER, MANY SMALL BUSINESSES ARE CURRENTLY STRUGGLING TO SURVIVE. THEY'RE FACING A PERFECT STORM -- INFLATION, RISING OPERATING COSTS, LABOR SHORTAGES, DECLINING FOOT TRAFFIC, AND MOST SIGNIFICANTLY SERIOUS SAFETY CONCERNS. THESE CHALLENGES ARE NOT THEORETICAL. THEY ARE THREATENING LIVELIHOODS. THIS IS WHY WE IRMLY SUPPORT THE SEATTLE INITIATIVE. IT PROVIDES MEANINGFUL TAX RELIEF FOR SMALL AND MICROBUSINESSES WHICH HELPS THEM WEATHER ECONOMIC UNCERTAINTY. IT ALSO PROTECTS CRITICAL INVESTMENTS -- BOTH OF WHICH ARE ESSENTIAL IN BUILDING STRONG NEIGHBORHOODS. I URGE YOU TO SUPPORT IT. THANK YOU FOR YOUR TIME AND LEADERSHIP. THANK YOU. >> THAT'S THE END OF OUR IN-PERSON REGISTERED SPEAKERS. >> THANK YOU VERY MUCH. >> OUR FIRST REMOTE SPEAKER IS HALLIE WILLIS. PLEASE PRESS STAR 6 WHEN YOU HEAR THE PROMPT YOU HAVE BEEN UNMUTED. >> GOOD AFTERNOON, COUNCILMEMBERS. MY NAME IS HALLIE WILLIS. I'M THE POLICY MANAGER FOR SEATTLE TEAM COUNTY COALITION ON HOMELESSNESS AND A MEMBER OF THE SEATTLE HOMELESS COALITION. I'M GLAD TO SUPPORT THE PROGRESSIVE SHIELD SEATTLE PROPOSAL FROM COUNCILMEMBER RINCK AND MAYOR HARRELL. I URGE THE COUNCIL TO GET BACK THE $10 MILLION WE LOST TO IN THE COMMUNITY AND SEND IT TO THE VOTERS. LAST WEEK'S AMENDMENT WEAKENS THE BILL AND DRAMATICALLY EXPANDED ITS PURPOSE. WE URGE YOU TO GET THAT $10 MILLION BACK BY ADJUSTING RATES PAID BY THE BIGGEST BUSINESSES IN OUR COMMUNITY. WE'RE SIMPLY NOT IN A POSITION TO TURN DOWN NEW REVENUE. LASTLY, I WANT TO URGE CAUTION AGAINST SPREADING THESE AND OTHER REVENUES TOO THINLY ACROSS TOO MANY CAUSES. WE URGE YOU TO FOCUS YOUR BUDGET THIS FALL ON MEETING PEOPLE'S BASIC NEEDS -- FOOD, SHELTER, AND HEALTH, ESPECIALLY NOW WE AREN AN ERA OF PROFOUND AND TARGETED ATTACKS ON LOW INCOME PEOPLE. I WANT TO THANK COUNCILMEMBER RINCK AND MAYOR HARRELL FOR PROPOSING THIS REVENUE PACKAGE, AND I URGE ALL OF YOU TO REVIEW THE RECOMMENDATIONS OF THE REVENUE STABILIZATION WORK GROUP AND PUT FORWARD ADDITIONAL REVENUE TO MEET PEOPLE'S NEEDS. THANK YOU. >> THANK YOU. THERE ARE NO ADDITIONAL REMOTE SPEAKERS REGISTERED. >> ALL RIGHT. WE HAVE REACHED THE END OF OUR PUBLIC COMMENT LIST, AND THE PUBLIC COMMENT PERIOD IS NOW CLOSED. LET'S SEE. IF THERE'S NO OBJECTION, THE AGENDA WILL BE ADOPTED. HEARING NO OBJECTION, THE AGENDA IS ADOPTED. AND WILL THE CLERK PLEASE READ ITEM 1 INTO THE RECORD? ALL RIGHT, I MOVE TO PASS COUNCIL BILL 121013. IS THERE A SECOND? YOU'RE RECOGNIZED TO ADDRESS THIS ITEM. >> THANK YOU, COUNCIL PRESIDENT. WE ARE HERE AGAIN. I AM FLOODED WITH EMOTION. THE FEDERAL EMERGENCY MANAGEMENT AGENCY HAS, I GUESS, COLLEAGUES, HOW MUCH OF THIS BACKGROUND DO YOU WANT? HOW MUCH DO YOU REMEMBER ALREADY? COUNCIL MEMBER JUAREZ HAS SEEN THIS A NUMBER OF TIMES. THE FEDERAL EMERGENCY MANAGEMENT AGENCY PRODUCED UPDATED MAPS AND ENSURES THE NATIONAL FLOOD INSURANCE PROGRAM IN COMMUNITIES INCLUDING THE CITY ADOPT CODE THAT MEET THE MINIMUM REQUIRED STANDARDS FOR THESE REGULATIONS AS ESTABLISHED BY CONGRESS. I SEE FOLKS FROM SDCI IN THE AUDIENCE. I SAY ALL OF THIS ONLY BECAUSE WE'VE HAD IT WITH US SO MANY TIMES. I AM HAPPY TO MOVE IT FORWARD AGAIN TODAY, THOUGH. FLOODPLAIN REGULATIONS CONTAIN DEVELOPMENT STANDARDS THAT MAKES HOMES, PEOPLE, AND BUILDINGS SAFER FROM FLOODING. IF WE DO NOT EXTEND THIS BILL TODAY, PROPERTY OWNERS IN THE FLOODPLAINS WILL NOT BE ABLE TO PURCHASE NEW FLOOD INSURANCE POLICIES, RENEW EXISTING POLICIES, OR OBTAIN FEDERALLY BACKED LOANS. I'M NOT GOING TO GO THROUGH THE LONG HISTORY OF THIS. ALL IS TO SAY THAT SDCI HAS SPENT A FAIR AMOUNT OF TIME RESOLVING CONCERNS RAISED BY THE COURT AND WITH ESSENTIAL WATERFRONT PIER AND BUSINESS OWNER GROUPS. WITH THE AGREEMENT REACHED, SDCI NEEDS THIS FINAL EXTENSION TO PUBLISH A SEPA ADDENDUM AND CONSIDER ANY PUBLIC COMMENT ON IT BEFORE TRANSMITTING THE PERMANENT LEGISLATION TO ALLOW COUNCIL CONSIDERATION. NOW, APPROVING THE LAST EXTENSION OF THE INTERIM LEGISLATION WILL ALLOW THE DEPARTMENT TIME TO ENSURE THE PERMANENT LEGISLATION HAS APPROPRIATE PUBLIC -- HAS APPROPRIATE TIME IN THE PUBLIC AND FOR COUNCIL REVIEW AND FEEDBACK. SO, COLLEAGUES, I WILL BE URGING AN AYE VOTE TODAY. AND AS IT WAS PUBLISHED AGAIN ON THE AGENDA, NO FAULT OF ANYONE'S, THERE WAS AN ISSUE WITH THE ATTACHMENT. AND SO -- EXCUSE ME, AN ISSUE WITH ONE OF THE DATES THAT WAS SENT IN THERE, NOT THE ATTACHMENT, SO I WILL NEED TO SUSPEND THE RULES AND MOVE AMENDMENT "A" AS DISTRIBUTED. YOU ALL KNOW HOW MUCH I HATE WALK ON AMENDMENTS, AND I REALLY ATTEMPTED TO NOT BRING THIS, BUT IT'S NECESSARY. >> INDEED. SO THIS HAS BEEN MOVED AND SECONDED, AND NOW THERE'S AN AMENDMENT TO THE BILL THAT WAS DISTRIBUTED, AS JUST NOTED AFTER 127B NOON TODAY, SO THE RULES WILL NEED TO BE SUSPENDED IN ORDER TO CONSIDER IT. AND SO I DON'T SEE ANY OBJECTION. THE RULES ARE SUSPENDED IN ORDER TO CONSIDER THIS AMENDMENT. >> THANK YOU. I MOVE TO AMEND COUNCIL BILL 121013 AS RECENTLY DISTRIBUTED ON THE AMENDMENT "A." >> SECOND. >> SO WE WILL HAVE -- COUNCILMEMBER HAS NOTED HE HAS NOT SEEN IT, SO IF ANYBODY ELSE NEEDS TO SEE IT. >> AND COUNCIL PRESIDENT, MAY I? >> ONE MOMENT PLEASE. >> JUST TO DESCRIBE THE AMENDMENT. >> YEAH, I JUST WANTED TO MAKE SURE PEOPLE HAD IT IN THEIR HANDS BEFORE YOU STARTED. GO AHEAD PLEASE. >> IT INADVERTENTLY INCLUDED EFFECTIVENESS STANDARD IN THE BILL. IT WAS A TYPICAL EFFECTIVENESS CLAUSE BUT A 30-DAY EFFECTIVENESS PROVISION WOULD NOT WORK IN THIS CASE BECAUSE IT WOULD ALLOW THE CURRENT REGULATIONS TO LAPSE. THIS AMENDMENT IS ATTACHED THAT IS WITHIN THIS WALK-ON, WOULD ALLOW FOR THE BILL TO BE IMMEDIATELY EFFECTIVE. IS THIS IS THE SAME EFFECTIVENESS LANGUAGE THAT HAS BEEN USED IN THE LAST EIGHT EXTENSIONS. SO DEVIATING FROM THAT WOULD ACTUALLY BE A DEVIATION RATHER THAN -- SO USING THE STANDARD EFFECTIVENESS CLAUSE WOULD BE THE DEVIATION. >> THANK YOU. >> THANK YOU FOR THOSE COMMENTS. AND IN FACT, THE REASON WHY WE ARE HEARING IT TODAY IN A MEETING THAT WAS PRIMARILY CALLED TO THROW SOMETHING ONTO THE BALLOT WAS THAT SO WE COULD PRECISELY AVOID A GAP. SO ARE THERE ANY COMMENTS ON AMENDMENT? "A"? ALL RIGHT, SEEING NONE, WILL THE CLERK PLEASE CALL THE ROLL ON THE ADOPTION OF AMENDMENT "A." >> COUNCILMEMBER RIVERA. >> AYE. >> COUNCILMEMBER SAKA. >> AYE. >> COUNCILMEMBER SOLOMON. >> AYE. >> COUNCILMEMBER STRAUSS. >> AYE. >> COUNCILMEMBER HOLLINGSWORTH? >> YES. >> COUNCILMEMBER JUAREZ. >> AYE. >> COUNCILMEMBER KETTLE? >> AYE. >> COUNCILMEMBER RINCK. >> YES. >> COUNCIL PRESIDENT NELSON. >> AYE. >> ALL IN FAVOR, NONE OPPOSED. >> THE MOTION CARRIES AND AMENDMENT "A" IS ADOPTED, AND SO NOW WE WILL MOVE ONTO THE PUBLIC HEARING. AS PRESIDING OFFICER, I'M NOW OPENING THE PUBLIC HEARING ON COUNCIL BILL 12103. CLERK, HOW MANY PEOPLE ARE SIGNED UP FOR PUBLIC COMMENT TODAY? >> WE HAVE ONE IN-PERSON SPEAKER. >> ALL RIGHT, LET'S CALL ON THAT PERSON AND THEY CAN HAVE, OBVIOUSLY, 2 MINUTES. >> YOU ARE NOW IN VIOLATION OF OUR RULES AGAIN. ABUSIVE BEHAVIOR, WHICH IS DISRUPTIVE BEHAVIOR AND SO I WILL ASK THAT YOU PLEASE BE SEATED AND DISCONTINUE YOUR COMMENTS. >> NO PROBLEM. >> THANK YOU, COUNCIL PRESIDENT. >> SO I CANNOT SPEAK? >> YOU WERE GIVEN A WARNING PRIOR TO THIS ABUSIVE LANGUAGE IN VIOLATION OF OUR RULES, AND WE HAVE BEEN EXTREMELY LENIENT UP TO THIS POINT. PLEASE, YOU'RE WASTING OUR TIME NOW. YOU'RE DISRUPTING OUR PROCEEDINGS, SO PLEASE TAKE A SEAT. ARE THERE ANY FURTHER COMMENTS? >> THAT WAS THE ONLY REGISTERED SPEAKER. >> ALL RIGHT, WELL, WE'VE REACHED THE END OF OUR PUBLIC SPEAKERS PRESENT TO SPEAK AT THIS PUBLIC HEARING, SO THE PUBLIC HEARING ON COUNCIL BILL 121013 IS NOW CLOSED, AND ARE THERE ANY COMMENTS ON THE AMENDED BILL BEFORE WE VOTE? ALL RIGHT, I AM SEEING NO COMMENTS. WILL THE CLERK PLEASE CALL THE ROLL ON THE PASSAGE OF THE BILL AS AMENDED? >> COUNCILMEMBER SAKA. >> AYE. >> COUNCILMEMBER STRAUSS. >> AYE. >> COUNCILMEMBER RINCK. >> YES. >> COUNCIL PRESIDENT NELSON. >> AYE. >> NINE IN FAVOR, NONE OPPOSED. >> OKAY, THANK YOU VERY MUCH. THE BILL PASSES AS AMENDED AND THE CHAIR WILL SIGN IT. WILL THE CLERK PLEASE AFFIX MY SIGNATURE TO THE LEGISLATION ON MY BEHALF? ALL RIGHT, ITEM 2. WILL THE CLERK PLEASE READ ITEM 2 INTO THE RECORD? >> COUNCIL BILL 121028 RELATING TO THE OCCUPATION AND SPECIAL TAX REQUESTING A SPECIAL ELECTION BE HELD CONCURRENT WITH THE NOVEMBER 4, 2025 GENERAL ELECTION. >> THANK YOU, COLLEAGUES. I BELIEVE WE WERE ALL TOGETHER A FEW DAYS AGO. I'LL LET THE SPONSOR OF THE INITIATIVE SPEAK TO IT, SEEING AS YOU ALL WERE IN COMMITTEE WITH ME AND ALL OF US TOGETHER LAST WEEK. THAT SAID, I DO HAVE AS I STATED IN THAT COMMITTEE, A WALK-ON AMENDMENT TODAY REGARDING THE TAX CREDIT, AS I DISCUSSED, THAT NEEDED A LITTLE BIT MORE TIME BETWEEN OUR COMMITTEE AND TODAY. THANK YOU. >> ALL RIGHT, THANK YOU VERY MUCH FOR THOSE COMMENTS. COUNCILMEMBER RINCK AS SPONSOR OF THE BILL YOU'RE RECOGNIZED IN ORDER TO ADDRESS IT. >> THANK YOU, COUNCIL PRESIDENT. COLLEAGUES, TODAY IS A BIG DAY. WHEN THE TRUMP ADMINISTRATION TOOK OFFICE AND KICKED OFF A FLURRY OF EXECUTIVE ORDERS THROWING FEDERAL MONEY, OUR FEDERAL WORKFORCE, AND OUR CIVIL RIGHTS INTO JEOPARDY, THIS BODY RESPONDED BY STANDING UP OUR SELECT COMMITTEE ON FEDERAL ADMINISTRATION AND POLICY CHANGES TO UNDERSTAND WHAT THESE IMPACTS MEAN FOR OUR CITY. AND MONTH AFTER MONTH WE'VE LEARNED IN COMMITTEE ABOUT WHAT'S HAPPENING WITH THINGS LIKE HOUSING CONSTRUCTION, CONCERNS ABOUT MEDICAID REIMBURSEMENT, THE STATE OF GENDER-BASED VIOLENCE SERVICES, IMMIGRATION AND LEGAL DEFENSE, LABOR PROTECTIONS, CHANGES IN S&P, AND THE INCREASING NEED WE'RE SEEING AT FOOD BANKS AND MEAL PROGRAMS. THE TRUMP ADMINISTRATION'S ACTIONS SINCE TAKING OFFICE THIS YEAR HAVE ELIMINATED ANY SENSE OF STABILITY AND PREDICT FOR OUR BUSINESSES AND HAVE ELIM GNATTED OR ATTEMPTED TO ELIMINATE WHOLE CATEGORIES OF SUPPORT FOR CITIES LIKE SEATTLE. THOSE ECONOMIC UNCERTAINTIES AND THOSE REAL AND EXPECTED FEDERAL FUNDING CUTS PAIRED WITH THE EXISTING STRUCTURAL CHALLENGES HAVE MADE PLANNING OUR CITY'S BUDGET HARDER THAN USUAL. WE BUILT THE SEATTLE SHIELD INITIATIVE AS A WELL-RESEARCHED, THOROUGHLY STAKEHOLDERS AND STRONGLY VETTED RESPONSE TO THIS CONSTELLATION OF CHALLENGES. TODAY WE WILL VOTE ON WHETHER TO SEND THIS MORE PROGRESSIVE REBALANCING OF OUR B AND O TAX TO THE VOTERS. ONCE THE VOTERS PROVIDE US WITH THIS TOOL, WE CAN ENSURE THAT CRITICAL CITY SERVICES ARE MAINTAINED DESPITE THE CHALLENGES TO OUR BUDGET OR THE TRUMP ADMINISTRATION PRESENT. WE WILL ALSO BE GIVING SEATTLE VOTERS A CHOICE ON SHIELDING OUR SMALL BUSINESSES, THE HEARTBEAT OF OUR NEIGHBORHOODS, FROM ECONOMIC EARN CERTAINTY. THESE ARE THE COFFEE SOPS WHERE THEY GET YOUR OWN LOCAL LATTE JUST RIGHT, THE FAMILY RESTAURANTS THAT KNOW THEY WANT THREE STARS ON THEIR PAD THAI, THE BOOK AND STAFF RECOMMENDATIONS ON WHAT YOU WANT TO READ NEXT. I WANT TO THANK THEM INTEREST THEIR PARTNERSHIP IN DEVELOPING THIS LEGISLATION AND TO THANK EACH OF YOU FOR YOUR THOUGHTFUL PARTNERSHIP AS THIS BILL MADE WAY LOW THE BUDGET AND FINANCE COMMITTEE. WE RAD VANCED IT UNANIMOUSLY OUT OF COMMITTEE LAST WEEK AND PASSING IT UNANIMOUSLY TODAY WOULD SEND A STRONG MESSAGE TO THE PEOPLE WE SERVE. THANK YOU. >> THANK YOU VERY MUCH. SO MOVING ON, WE HAVE NOW HAD THE -- THE COMMITTEE REPORT PRESENTED AND COMMENTS FROM THE SPONSOR. AND NOW WE WILL -- WE BEGIN DISCUSSION OF THE PROPOSED AMENDMENTS. COUNCILMEMBER RIVERA, YOU'RE RECOGNIZED IN ORDER TO MOVE AMENDMENT "A." >> THANK YOU, COUNCIL PRESIDENT. I MOVE TO AMEND COUNCIL BILL 121028 AS PRESENTED ON AMENDMENT "A." >> SECOND. >> IT'S BEEN MOVED AND SECONDED TO MOVE THE BILL AS PRESENTED ON AMENDMENT "A," VERSION 3, I BELIEVE. CORRECT? YES. ALL RIGHT, CENTRAL STAFF -- NO, THEY ARE NOT. THIS IS THE LINE THAT IS OBSOLETE BECAUSE THIS IS THE FULL COUNCIL MEETING. COUNCILMEMBER RIVERA, YOU ARE RECOGNIZED IN ORDER TO PRESENT THE AMENDMENT. >> THANK YOU, COUNCIL PREZ. AMENDMENT "A" WILL ADIMMIGRANT AND REFUGEE AFFAIRS AS AN ELIGIBLE USE IN THE GENERAL FUND BACK FILL PORTION OF THE USE OF FUNDS. WE ADDED SEVERAL THINGS AT THE SELECT BUDGET COMMITTEE, AND SO THIS IS ADDING THE ABILITY TO USE GENERAL FUND, BACKFILL FUND FOR THE IMMIGRANT TAX AND REFUGEE FUND AFFAIRS SUCH AS THE LEGAL DEFENSE FUND. I DON'T HAVE ANY OTHER COMMENTS, BUT IF YOU HAVE QUESTIONS, I'M HAPPY TO ANSWER THEM. >> OKAY, I'M LOOKING TO SEE IF ANYONE HAS ANY QUESTIONS. COUNCILMEMBER KETTLE? >> THANK YOU, COUNCIL PRESIDENT. TODAY IN SPEAKING TO THE TWO AMENDMENTS, I ALSO WANTED TO SPEAK TO MY AMENDMENTS AND GENERAL APPROACH TO THIS BILL. IN MY MIND THIS IS A BUDGET BILL AND SHOULD NOT BE, IN MY OPINION, CONFLATED WITH THE FEDERAL ADMINISTRATION AS A SEATTLE SHIELD BILL. I'D ASK DOES THE BILL ADDRESS EMERGENCY PREPAREDNESS GIVEN THE ACTIONS TAKEN AND TO BE TAKEN AGAINST FEMA, AND NOTING HOW IMPORTANT FEMA IS IN OUR EARLIER AGENDA ITEMS, COUNCIL BILL 121013. DOES THE COUNCIL BILL SHIELD THESE ESPECIALLY THOSE ESSENTIAL TO REPRODUCTIVE HEALTH CARE? AND I NOTE TOO REPRODUCTIVE HEALTH CARE AND WOMEN'S HEALTH CARE AND WOMEN'S HEALTH CARE IS HEALTH CARE. AND HEALTH CARE, CONTRARY TO TRENDS ACROSS THE CITY -- ACROSS THE COUNTRY, SHOULD BE BASED ON SCIENCE. BACK TO THIS BILL, I'D ARGUE OUR FOCUS SHOULD BE CENTERED ON OUR FISCAL CHALLENGES AND CREATING A LONG-TERM STRATEGIC WAY AHEAD WITH RESPECT TO THE BUDGET. GOOD GOVERNANCE MEANS THAT THIS BUSINESS AND OCCUPATION, B AND O BILL, SHOULD NOT BE LOOKED AT IN ISOLATION OR SOLELY NEAR-TERM. THANK YOU, COLLEAGUES, FOR PASSING AN AMENDMENT ON THE FINDINGS OF THE FORECASTS AND THE NEED TO ACCOUNT FOR THE PAYROLL EXPENSE TAX FOR A COMPREHENSIVE APPROACH. THANK YOU FOR PASSING THE AMENDMENT ON THE CRITICAL NEED TO HAVE A SEATTLE HOUSING INVESTMENT PLAN THAT SHOWS THE VARIOUS FUNDING SOURCES AND A STRATEGY THAT LOOKS ACROSS PERMANENT SUPPORTIVE HOUSING, AFFORDABLE HOUSING, SOCIAL HOUSING, MARKET HOUSING, AND MAKES CLEAR THE TRADEOFFS THAT NEED TO BE MADE IN ORDER TO CREATE A PLAN TO INCLUDE SHOULD WE BUILD NEW OR SHOULD WE FIX -- MAINTAIN CURRENT INVENTORY, TO WHICH I'VE SEEN ON MY WALKS ABOUT OFTENTIMES IN DIRE STRAITS. WE'RE IN MAJOR NEED OF WORK. BOTTOM LINE IS WE NEED TO BE CLEAR OF OUR UNDERSTANDING OF WHERE HOUSING IS WITH RESPECT TO OUR BUDGET. AND BASICALLY THE OFFICE OF HOUSING SHOULD PRESENT THE WAY SDOT DOES WITH THE SEATTLE TRANSPORTATION PLAN. IN DOING SO, THAT WOULD HELP US DO BUDGET MORE PROPERLY AND WOULD BE IN KEEPING WITH GOOD GOVERNANCE. GOOD GOVERNESS IN THE B AND O ALSO REQUIRES THE FISCAL TRANSPARENCY PROGRAM FOR BOTH THE B AND O AND P.E. T. AS WE HAVE IN THE AMENDMENT IN THE PAST FEW YEARS A ZERO FUND BALANCE. CREATING A STRUCTURED BUDGET REFORM STRATEGY NEEDS FOCUS AND REMOVING THE SUNSET AND POTENTIAL EXTENSION PROVISIONS WITH A REVENUE NEUTRAL STRUCTURE IS IMPORTANT TO KIND OF FOCUS THE DECISION MAKERS TO INCLUDE US ON HAVING A TRUE BUDGET STRATEGY THAT WORKS IN THE LONG-TERM. AND SO I THANK YOU FOR YOUR SUPPORT. I WILL ADMIT I BELIEVE I -- YOU KNOW, THE AMENDMENT THAT WAS SUBMITTED WITH A FIVE-YEAR TIMELINE MAY HAVE BEEN BETTER THAN A SEVEN-YEAR TIMELINE UPON REFLECTION. CATEGORIES, COLLEAGUES, I'M GENERALLY OPPOSED TO THE USE OF CATEGORIES OR BUCKETS AS SOME MAY SAY. I BELIEVE THEY WERE A MISTAKE IN THE PAYROLL EXPENSE TAX SINCE OVER THE YEARS CONDITIONS CHANGED BUT THE LEGISLATION REMAINS THE SAME, BASICALLY LOCKS IN THOSE CATEGORIES, AND THAT'S A PROBLEM. YOU KNOW, AND THIS WAS A PROBLEM UNTIL LAST YEAR WHEN WE -- WITH OUR LEGISLATION THAT WE MADE THESE ADJUSTMENTS TO THE P.E.T., THE PAYROLL EXPENSE TAX. THE MAYOR HAS HIS RESPONSIBILITY. THE EXECUTIVE HAS ITS RESPONSIBILITY WITH RESPECT TO THE BUDGET AS DO WE. SO THESE CATEGORIES OF BUCKETS, I'D ARGUE, KIND OF TAKE AWAY FROM THAT RESPONSIBILITY. AND I ALSO BELIEVE THAT CATEGORIES OR BUCKETS IN THIS B AND O LEGISLATION WAS A MISTAKE IN THE WAY THAT BUCKETS BEGETS BUCKETS. SO WE WENT FROM A SHORT LIST TOA LONG LIST. TO A LONG LIST THAT DOESN'T ACCOUNT FOR EMERGENCY PREPAREDNESS, DOESN'T ACCOUNT FOR DIFFERENT PIECES TO INCLUDE ON TODAY'S AMENDMENT LIST. AND FOR BOTH BACKFILL AND TAX CREDITS. YOU KNOW, OUR FOCUS SHOULD BE ON THE DEFICIT. THAT SHOULD BE OUR FOCUS. AND I THINK OUR FOCUS SHOULD BE FOR THE CLEAN BILL TO ENSURE THAT WE ARE FISCALLY RESPONSIBLE, THAT MEET THE NEEDS OUR CITY WORKING IN CLAB RAISE AND SOMETIMES IN OPPOSITION, IF NEEDED TO GET US TO WHERE WE NEEDED TO BE. COLLEAGUES, I JUST WANTED TO MAKE THESE POINTS BECAUSE GRANTED I MISSED THE LAST MEETING. I WAS TRAVELING DURING THE COURSE OF THAT MEETING. BUT I THINK IT'S IMPORTANT FOR US TO HAVE THAT KIND OF APPROACH TO THE BUDGET, TO FORCE THAT DISCIPLINE INTO THE BUDGETARY PROCESS, TO GET THE EXECUTIVE TO DO THESE PIECES THAT ARE NECESSARY IN TERMS OF THE OUTLOOK OVER THE YEARS, TO HAVE A TRUE UNDERSTANDING OF WHAT'S HAPPENING WITH HOUSING AND ITS IMPACTS ON OUR BUDGET. I SUPPORT SOCIAL HOUSING. I SUPPORT AFFORDABLE HOUSING. WHAT I DON'T SUPPORT IS THIS SORT OF VAGUENESS THAT SURROUNDS THIS TOPIC. I THINK HAVING OH GO THROUGH WHAT SDOT DOES IN THE TRANSPORTATION PLAN WOULD ALLOW THEM TO SHOW AND THE PUBLIC THIS IS WHAT WE'RE DOING AND THIS IS WHY WE MADE THESE DECISIONS. WE CAN'T SPEND THE ENTIRE TRANSPORTATION LEVY ON BRIDGES. WE CAN'T SPEND THE WHOLE THING ON SIDEWALKS, CAN'T SPEND IT ON ROADS. WE CAN'T -- WE HAVE TO HAVE TRADEOFFS. AND THE SEATTLE TRANSPORTATION PLAN AND THE LEVY PAIRED WITH THAT, REALLY DOES THAT. AND I THINK BY DOING THAT WITH HOUSING, THAT WOULD BE SO CRUCIAL IN TERMS OF REALLY GETTING LONG-TERM UNDERSTANDING AND A WAY AHEAD OUT OF RESPECT TO IT OUR BUDGET CHALLENGES. BECAUSE WE DON'T HAVE A CHOICE. WE CAN'T RUN DEFICITS, SO THIS IS TO CLOSE THE REASON WHY AT THE END OF THE DAY I BELIEVE THIS COULD BE A BUDGET BILL, AND WE SHOULD BE FOCUSED ON THAT WAY. BECAUSE I THINK -- AND I UNDERSTAND THE POINTS MADE, BUT I THINK WE GET OFFTRACK FROM WHAT OUR JOB IS HERE BECAUSE WE DO THIS ON A REGULAR BASIS IN TERMS OF UNDERSTANDING THE NEEDS OF OUR CITY AS WE WORK THROUGH SUPPLEMENTS AND ALL OF THE ABOVE. WITH THAT, THANK YOU VERY MUCH. >> OKAY. COUNCILMEMBER RIVERA, WOULD YOU LIKE TO RESPOND TO THOSE COMMENTS? >> THEY WERE GOOD COMMENTS BUT I BELIEVE WASN'T SPECIFICALLY NECESSARILY TO THIS AMENDMENT BUT MORE TO ALL THE AMENDMENTS. I WILL SAY COUNCILMEMBER KETTLE, I AGREE WITH YOU THAT -- AND I SAID THIS DURING ONE OF OUR COUNCIL BRIEFINGS IN CHAMBERS, IT MADE MORE SENSE TO ME THAT WE CONSIDER THIS FUNDING IN LIGHT OF THE ENTIRE BUDGET PROCESS AND RATHER THAN SINGLE OUT ITEMS THAT THIS MONEY SHOULD HAVE JUST GONE TO THE GENERAL FUND. AND THEN WHEN THE MAYOR WAS PUTTING TOGETHER THE BUDGET THAT HE SENDS US, HE COULD HAVE THEN CONSIDERED THIS FUNDING ALONG WITH ALL THE OTHER FUNDING. THAT WOULD HAVE BEEN THE GOOD GOVERNANCE WAY TO DO THIS, BUT THAT IS NOT HOW THIS MOVED FORWARD, AND AS SUCH, I ADDED A COUPLE OF THINGS INTO THE LIST OF ITEMS SIGNALING THAT THESE ARE OUR -- THAT THESE ARE PRIORITIES AS HE IS WORKING ON THE BUDGET THAT HE WILL SENDS TO US IN SHORT ORDER NEXT MONTH. SO I APPRECIATE YOUR COMMENTS. I DON'T DISAGREE, AND THIS IS WHERE THINGS LANDED, AND I WANTED TO MAKE SURE THAT SOME OF OUR PRIORITY ITEMS THAT WE'VE -- MANY OF US HAVE TALKED ABOUT IN THE LAST YEAR MADE THEIR WAY INTO THIS LIST. SO THANK YOU FOR THOSE COMMENTS. >> COUNCILMEMBER RINCK. >> THANK YOU, COUNCIL PRESIDENT. I WANTED TO THANK COUNCILMEMBER RIVERA FOR BRINGING THIS FORWARD. I THINK THIS AMENDMENT IS IN LINE WITH THE LEGISLATION, AND I'LL BE VOTING IN SUPPORT. THANK YOU. >> ARE THERE ADDITIONAL COMMENTS? COUNCILMEMBER SAKA? >> THANK YOU, COUNCIL PRESIDENT. AND I TOO JUST WANTED TO THANK COUNCILMEMBER RIVERA FOR BRINGING THIS AMENDMENT FORWARD AND ALLOWS US TO FOLLOW THROUGH OUR COMMITMENT TO BETTER SUPPORT OUR IMMIGRANT AND REFUGEE COMMUNITIES MORE BROADLY, SO THANK YOU FOR BRINGING THIS FORWARD. >> OKAY, I -- I'LL JUST NOTE MY THINKING ON THIS, WHICH IS THAT WE HAVE IN THE -- IN THE SELECT COMMITTEE ON FEDERAL POLICIES CHAIRED BY COUNCILMEMBER RINCK, WE HAVE MENTIONED OVER AND OVER AGAIN OUR CONCERN ABOUT THE IMPACTS ON OUR IMMIGRANT AND OTHER VULNERABLE COMMUNITIES BY THE TRUMP ADMINISTRATION'S EITHER SORT OF RETALIATORY MOVES AGAINST THE FACT THAT WE ARE A WELCOMING CITY OR THROUGH FEDERAL CUTS THROUGH PROGRAMS THAT DIRECTLY HELP THESE COMMUNITIES, SO I WILL BE SUPPORTING THIS BECAUSE THIS IS AN AREA OF FOCUS THAT WE HAVE BEEN DEMONSTRATING SINCE -- I CAN'T REMEMBER WHEN, BUT PERHAPS FEBRUARY OR SO. SO IT IS A PRIORITY FOR THIS COUNSEL OR HAS STATED AS SUCH. AT THE SAME TIME I TOTALLY HEAR COUNCILMEMBER KETTLE'S CONCERNS BECAUSE WE ARE ADDING TO -- CONCERNS ABOUT BUCKETS. AND IN FACT, WHENEVER WE PUT BUCKETS INTO LEGISLATION ESPECIALLY WITHOUT TALKING TO A MAJORITY OF COUNCILMEMBERS ABOUT THAT, THEN THE MAJORITY OF COUNCILMEMBERS COULD VER WELL WANT TO ADD THEIR OWN BUCKETS. THIS IS THE BUCKET SPREAD OR SUITE WE'RE SEEING RIGHT NOW. BUT I DO BELIEVE THIS IS A VALID ADDITION TO THE STATED PRIORITIES FOR WHAT THIS POTENTIAL REVENUE WOULD BE COVERING. I ALSO ADDED AN ITEM TO A BUCKET THAT THAT WAS A BUCKET UNDER THE -- IN THE CATEGORY OF THE POTENTIAL UP TO $30 MILLION FOR CUTS FROM THE -- THE FEDERAL GOVERNMENT. REGARDLESS WE ARE STATING OUR PRIORITIES IN THE USE OF THESE POTENTIAL REVENUES SHOULD THE VOTERS PASS IT. AND SO THAT IS THE CONVERSATION AT HAND. AND SO WE JUST NEED TO VOTE ON THIS AMENDMENT. BUT I DO HAVE ONE FINAL OTHER QUESTION. COUNCILMEMBER RINCK, IF IT'S MY UNDERSTANDING, HOW DOES THIS IMPACT THE POTENTIAL CHANGE TO THE SUPPLEMENTAL BILL THAT YOU ARE INTERESTED IN? ON A CHANGE OF -- I THINK IT WAS A CHANGE OF THE USE OF FUNDS FOR ONE THING TO SOMETHING VERY CLOSELY RELATED TO THIS. >> YEAH, CERTAINLY. I BELIEVE IF I'M TRACKING CORRECTLY, YOU'RE ASKING A QUESTION ABOUT THE AMENDMENT I BROUGHT FORWARD LAST WEEK RELATED TO THE SUPPLEMENTAL BUDGET. >> YES. >> YES, SO I HAD BROUGHT FORWARD AN AMENDMENT, AND I INTEND TO BRING IT FORWARD TOMORROW AS WELL RELATED TO THE SUPPLEMENTAL BUDGET AND UNDERSCORE FROM THE SPEND JAIL CONTRACT. FROM SOME OF THE INFORMATION THAT HAS BEEN PROVIDED TO US FROM OIRA, THEY HAVE BEEN TRACKING WE HAVE ABOUT $3.7 MILLION THAT HAS BEEN LOST IN FEDERAL FUNDING ACROSS MANYF OUR IMMIGRANT AND REFUGEE PARTNER ORGANIZATIONS. THAT'S A STARK NUMBER, AND I THINK WE -- GIVEN WHAT WE ARE ALSO CONTINUING TO SEE ON OUR STREETS WITH THIS MASS DEPORTATION AGENDA, I THINK WE SHOULD BE ALL HANDS ON DECK. THE SUPPLEMENTAL BUDGET OFFERS AN OPPORTUNITY TO TAKE MORE IMMEDIATE ACTION. THIS BILL WOULD NOT START COLLECTING UNTIL EARLY NEXT YEAR, AND SO I AM SEPARATELY BRINGING FORWARD THAT AMENDMENT TO INCREASE FUNDING FOR LEGAL DEFENSE WITHIN OIRA, SO WE CAN BE MORE IMMEDIATELY RESPONSIVE. >> OKAY. THANK YOU FOR THAT CLARIFICATION, AND THERE WILL BE OPPORTUNITY FOR CONVERSATION ABOUT THAT TOMORROW. OKAY, SO I'M NOT -- WOULD YOU LIKE TO HAVE ANY CLOSING COMMENTS BEFORE I CALL FOR A VOTE? >> SURE, THANK YOU COUNCILMEMBER -- OR COUNCIL PRESIDENT NELSON. I WILL SAY THAT, YES, I THINK THAT THIS PARTICULAR PIECE OF LEGISLATION WAS CHALLENGING FOR MANY REASONS. ONE IS IT CAME VERY LATE, AND IT NEEDS TO BE PASSED BY TODAY IN ORDER TO PUT IT ON THE BALLOT FOR NOVEMBER. AND I WISH THAT WE WOULD HAVE BEEN -- WELL, MANY OF US -- I'LL STATE I WAS NOT CONSULTED WHEN THE LIST OF USES CAME TO PASS. AND SO IT MADE IT REALLY DIFFICULT WHEN THAT HAPPENS. THEN WE'RE ALL WORKING TO TRY AND MAKE SURE THAT WE'RE GETTING A PRIORITY THAT WE'RE HEARING FROM COMMUNITY INTO THIS LEGISLATION. SO IT WOULD HAVE BEEN MORE ADVANTAGEOUS HAD WE BEEN CONSULTED ON THE FRONT END. MAYBE WE WOULDN'T HAVE HAD AS MANY AMENDMENTS TRYING TO ADD THINGS AS MANY OF US DID UP HERE. AND SO THAT'S WHERE WE GOT TO TODAY WITH THIS PARTICULAR ADD THAT MAY HAVE BEEN INCLUDED EARLIER, PROBABLY WOULD HAVE BECAUSE I WOULD HAVE PROFFERED IT THEN INSTEAD OF NOW. SO THAT'S JUST A LESSON TO US ALL. THE HOAR WE COMMUNICATE AHEAD OF TIME WITH EACH OTHER, I THINK THE BETTER OUTCOMES WE ALWAYS HAVE WITH THESE THINGS. BUT NEVERTHELESS, IT'S HERE BEFORE YOU TODAY. I HOPE I HAVE YOUR SUPPORT. AND CERTAINLY AS THE MAYOR AND I SEE THE BUDGET DIRECTOR IN THE AUDIENCE, AS YOU ALL -- DIRECTOR EDER AND THE MAYOR ARE LOOKING AT THE BUDGET FOR THE FALL, IT GIVES THE GUIDANCE YOU KNOW THAT WE CARE ABOUT, AND, YOU KNOW, THERE'LL BE HARD CHOICES TO BE MADE, BUT THESE ARE THINGS WE ARE LOOKING TO PRIORITIZE AS YOU'RE MAKE YOUR HARD CHOICES AND THEN WILL COME TO US. SO, THANK YOU, COUNCIL PRESIDENT. >> ALL RIGHT, SEEING NO FURTHER COMMENTS, WILL THE CLERK PLEASE CALL THE ROLL ON THE PASSAGE OF AMENDMENT "B." >> "A." >> "A." >> COUNCILMEMBER RIVERA? >> AYE. >> COUNCILMEMBER SAKA. >> AYE. >> COUNCILMEMBER SOLOMON? >> AYE. >> COUNCILMEMBER STRAUSS? >> AYE. >> COUNCILMEMBER HOLLINGSWORTH. >> YES. >> COUNCILMEMBER KETTLE. >> NO. >> COUNCILMEMBER RINCK. >> YES. >> COUNCIL PRESIDENT NELSON. >> SIX IN FAVOR AND ONE OPPOSED. >> OKAY, MOTION CARRIES AND ONE ADOPTED. I'M SORRY, I DON'T KNOW WHY I KEEP GETTING IN MY HEAD. I'M A LITTLE BIT EAGER BEAVER HERE. ALL RIGHT, THE MOTION CARRIES AND AMENDMENT "A" IS ADOPTED. MOVING ON, WILL THE CLERK PLEASE CALL THE ROLL ON -- NO, PLEASE MOVE -- >> COUNCIL PRESIDENT, THANK YOU. I MOVE TO AMEND COUNCIL BILL 121028 WITH AMENDMENT "B" AS PRESENTED IN THE AMENDMENT "B" DRAFT. >> SECOND. >> IT'S BEEN MOVED AND SECONDED TO AMEND THE BILL AS PRESENTED ON AMENDMENT "B." AND COUNCILMEMBER RIVERA, YOU'RE WELCOME TO ADDRESS THE AMENDMENT "B." >> THANK YOU, COUNCIL PRESIDENT. THIS IS JUST A CORRECTION, A TECHNICAL CORRECTION. COLLEAGUES, SINCE WE ADDED THE TAX CREDITS, THE LANGUAGE NEEDS TO BE UPDATED TO REFLECT -- TO REFLECT THAT ACTION, SO IT'S REALLY JUST A TECHNICAL CORRECTION. >> ALL RIGHT. ARE THERE ANY COMMENTS ON THE AMENDMENT? LOOKING AT THE OTHER SCREEN. OKAY, I AM NOT SEEING ANY COMMENTS. GOING ONCE, GOING TWICE. ALL RIGHT, WILL THE CLERK PLEASE CALL THE ROLL ON THE ADOPTION OF AMENDMENT "B"? >> COUNCILMEMBER RIVERA. >> AYE. >> COUNCILMEMBER SAKA. >> AYE. >> COUNCILMEMBER SOLOMON. >> KYE. >> COUNCILMEMBER STRAUSS. >> AYE. >> COUNCILMEMBER HOLLINGSWORTH. >> AYE. >> COUNCILMEMBER JUAREZ. >> AYE. >> COUNCILMEMBER KETTLE. >> AYE. >> COUNCILMEMBER RINCK. >> YES. >> COUNCIL PRESIDENT NELSON. >> AYE. >> ALL IN FAVOR, NONE OPPOSED. >> THE MOTION CARRIES AND AMENDMENT "B" IS ADOPTED. AND NOW WE'RE ONTO AMENDMENT "C." COUNCILMEMBER STRAUSS, GO AHEAD. >> THANK YOU COUNCIL PRESIDENT. I MOVE TO AMEND COUNCIL BILL 121028 RELATING TO THE RECENTLY ZRIBLTED AMENDMENT "C." >> SECONDED. >> IT'S BEEN MOVED AND SECONDED AS PRESENTED ON AMENDMENT "C." COUNCILMEMBER STRAUSS, YOU'RE RECOGNIZED IN ORDER TO ADDRESS IT. >> THANK YOU. AND COLLEAGUES, THANK YOU FOR GIVING ME THE OPPORTUNITY TO HOLD MY AMENDMENT LAST WEEK AND BRING IT BACK THIS WEEK IN EXPLORING THE NEED TO OFFSET THE B AND O RATE CHANGES. I ULTIMATELY DECIDED TO BRING THE SAME AMENDMENT THAT I BROUGHT TO COMMITTEE LAST WEEK. AND SO THIS AMENDMENT DOES THREE THINGS. AND BEFORE I GET INTO WHAT THE THREE THINGS ARE, UNDERSTANDING WHERE THIS IS COMING FROM. OUR TARIFFS ARE IMPACTING PORT AND MARITIME SECTORS. THE PORT AND THE MARITIME SECTORS ARE THE LINE OF BUSINESS HERE WITHIN THE CITY OF SEATTLE THAT KNOWS NO BORDERS. AND WHAT I MEAN BY THAT IS THAT THERE IS NOT ONE GOVERNING AGENCY THAT GOVERNS OUR OCEANS. THE OCEANS ARE BOUNDARIES THAT ARE INTERNATIONAL IN NATURE. AND THE WORK THAT OCCURS BOTH FOR THE SHIPS THAT COME INTO OUR SHIPYARDS, FOR THE VESSELS CARRYING WHAT IS TECHNICALLY FRIGHT BUT IS FISH COMING INTO OUR PORTS, THESE TYPES OF BUSINESSES ARE FOUNDATIONAL TO THE CITY OF SEATTLE. AND OUR BUDGETING PRACTICES HERE AS WELL AS FOR A SHIPPING -- A CARGO SHIP COMING THROUGH THE STRAIT, THEY STILL HAVE THE CHOICE TO TURN NORTH OR SOUTH WHEN THEY GET TO VICTORIA. FOR A COMPANY DOING SHIP REPAIR, THEY HAVE THE OPPORTUNITY WHEN COMING BACK FROM ALASKA, TO STOP ANYWHERE IN CANADA, WHICH IS CLOSER TO THEIR FISHING GROUNDS. BUT HERE IN THE CITY OF SEATTLE WE HAVE THE CLOSEST FRESH-WATER PORT TO THE GULF OF ALASKA AND THE BERRING SEA. AND WE HAVE ONE OF THE CLOSEST PORTS IN THE INTERNATIONAL COMMUNITY FOR CARGO. AND SO THIS IS WHY I AM BRINGING FORWARD THIS AMENDMENT THAT DOES THREE THINGS. I HAD EXPLORED A DESIRE TO ASSIST THE SHIP BUILDING COMMUNITY IN A LARGER FASHION. HOWEVER, WITH THE DEFINITIONS IN STATE LAW AND CITY LAW, EVEN THOUGH ALL OF THE WORK THAT'S DONE AT A SHIPYARD IS SHIP BUILDING, THAT WORK IS COMPLETED BY BOILERMAKERS, BY ELECTRICIANS, BY CARPENTERS, BY FABRICATORS, BY WELDERS, BY GLAZERS. I AM GOING TO BE IN A LOT OF TROUBLE WHEN I GET HOME FOR FORGETTING SOMEONE. BUT THERE'S EVERYTHING FROM EXTREMELY HIGH END ELECTRONICS TO REFRIGERATION NOT JUST FOR THE FOOD THAT PEOPLE EAT ONBOARD BUT FOR KEEPING THEIR FRIGHT THAT IS FISH COLD. THERE'S SO MUCH WORK THAT GOES ON IN OUR SHIPYARDS. BUT WHEN IT IS -- WHEN YOU LOOK AT THE DEFINITIONS FOR -- THAT ARE ESTABLISHED HERE IN THE CITY AND STATE CODE, THEY BREAK THEM DOWN INTO THEIR INDIVIDUAL INDUSTRIES, AND SO IT IS DIFFICULT TO PLACE THEM ALL TOGETHER. AND SO NOW WHAT DOES THIS AMENDMENT DO? IT DOES THREE THINGS. IT CREATES THE WHEREAS CLAUSE STATING OUR INTENT TO MONITOR B AND O TAXES IMPACT ON OUR MARITIME COMMUNITY FOR THE REASONS I JUST DESCRIBED. SECOND, IT CREATES A TAX CREDIT AIMED AT HELPING TO STABILIZE COMMERCE COMING IN AND OUT OF OUR PORT AS THEY DEAL WITH THE CONTINUED UNCERTAINTY FROM THE FEDERAL TARIFF POLICY. AND THE THIRD THING IT DOES IS IT CREATES A SUNSET FOR THAT TAX CREDIT AFTER FOUR YEARS, WHEN BY GOLLY, I THINK WE'RE ALL HOLDING HANDS TO SEE CALMER SEAS ON THE OTHER SIDE OF THAT HORIZON. AND IF NOT, THEN WE'LL HAVE THE ABILITY TO COME BACK AND HAVE THIS DISCUSSION AGAIN. I DON'T TAKE THIS TAX CREDIT LIGHTLY. I HAVE WORKED TO LIMIT THE IMPACT ON REVENUE. AND AT THE END OF THE DAY, I DO THINK IT IS AN IMPORTANT, MEASURED APPROACH TO HELP PROTECT OUR MARITIME SECTOR, WHICH AFFECTS OUR ENTIRE SUPPLY CHAIN HERE, WHETHER IT'S THE FISH THAT YOU EAT. IF ANYONE GETS A FISH-WHICH IN OUR CITIES, IT COMES THROUGH OUR CITY. IF YOU'RE TAKING A FERRY BOAT, IT COMES THROUGH OUR CITY. IF YOU'RE BASICALLY DOING ANYTHING ON THE WATER, YOU'RE BEING TOUCHED BY THE MARITIME INDUSTRY. WITH THAT, THE STATE DOES HAVE WIDE RANGING LIMITS ON THE ABILITY TO EXEMPT OTHER SECTORS INCLUDING RETAIL BUSINESSES LIKE GROCERY STORES AS WELL FOR THE SAME REASON I JUST DESCRIBED IN DESCRIBING THE SHIPYARD. AND THIS TAX CREDIT MIRRORS A SIMILAR CREDIT AT THE STATE LEVEL AT WASHINGTON STATE ALREADY WHICH IN IS PLACE, AND IS ONE OF THOSE LIMITED OPTIONS THAT WE HAVE IF NOT FOR THAT LINE AT THE STATE LEVEL, WE WOULD NOT HAVE AN OPTION HERE. SO, COLLEAGUES, I URGE AN AYE VOTE, AND I WOULD APPRECIATE YOUR SUPPORT. THANK YOU. >> THANK YOU VERY MUCH. ARE THERE ANY COMMENTS ON THE AMENDMENT? COUNCILMEMBER RINCK? >> THANK YOU, COUNCIL PRESIDENT. AND THANK YOU FOR BRINGING THIS FORWARD, COUNCILMEMBER STRAUSS. COLLEAGUES, AS I STATED IN OUR SELECT BUDGET COMMITTEE LAST WEEK, I DO NOT SUPPORT ADDING ANY CREDITS OR EXEMPTIONS TO THIS TAX IN THIS BILL. WE CAN EXPLORE ANY AND ALL STAKEHOLDERS REQUESTS FOR CREDITS VIA SEPARATE LEGISLATION AT ANY TIME. AND FOR THAT REASON I WILL BE VOTING NO ON THIS AMENDMENT. THANK YOU. >> ALL RIGHT. COUNCILMEMBER KETTLE. >> THANK YOU, COUNCIL PRESIDENT. OBVIOUSLY I JUST GAVE MY REMARKS, WHICH WAS QUITE CLEAR IN TERMS IN THE APPROACH TO THE B AND O TAX AND THE GOOD AND THE BAD FROM MY PERSPECTIVE ON THIS AND MY POINT ABOUT CATEGORY AND BUCKETS WHETHER BACKFILL OR TAX CREDITS. SO DESPITE MY STRONG SUPPORT OF THE MARITIME COMMUNITY, YOU KNOW, YOU -- THIS IS A PRINCIPLE, AND THIS GOES TO GOOD GOVERNANCE AND THE BUDGET OVERALL, AND THAT WILL BE DRIVING MY VOTE. THANK YOU, COUNCIL PRESIDENT. >> ALL RIGHT. COUNCILMEMBER SAKA. >> THANK YOU, COUNCIL PRESIDENT. JUST WANT TO THANK COUNCILMEMBER STRAUSS FOR BRINGING THIS FORWARD, AND THIS DEFINITELY BENEFITS THE MARITIME ECONOMY, WHICH WE ALL BENEFIT FROM, ALL OF OUR RESPECTIVE COUNCIL DISTRICTS. AS THE DISTRICT REPRESENTATIVE FOR DISTRICT 1 WITH A FAIR AMOUNT OF THE UNDERLYING OPERATIONS IN THE PORT AND A MARITIME INDUSTRY THAT WOULD BENEFIT FROM SUCH AN AMENDMENT, I AM PROUD TO SUPPORT THIS. I ALSO THINK THAT IT IS SUFFICIENTLY NARROW AND TAILORED ENOUGH, CARVED OUT ENOUGH TO MAKE SENSE FOR THIS CASE, SO PROUD POOTO BE ABLE TO SUPPORT IT. THANK YOU, COUNCILMEMBER STRAUSS, FOR BRINGING IT FORWARD. >> OKAY. I WILL SIMPLY NOTE THAT I COMPLETELY APPRECIATE THE -- THIS AMENDMENT. IT'S A CORNERSTONE OF SEATTLE'S INDUSTRIAL LANDSCAPE, AND I SUPPORT OUR EFFORTS TO RECOGNIZE THE IMPACT THIS TAX COULD HAVE ON MANY HIGH GROSS REVENUE BUT LOW MARGIN BUSINESSES. BUT THEY -- BUT THAT'S BESIDE THE POINT RIGHT HERE. IT ALSO COMES IN THE FACE OF MANY OTHER BUSINESSES, WHICH CERTAINLY WE DON'T HAVE -- AN EXEMPTION FOR REACHING OUT TO US AND ASKING FOR CARVE OUTS BECAUSE OF THE SAME CONCERNS. AND I RECOGNIZE THIS IS -- THAT THE BUSINESSES ARE DEFINED CATEGORY THAT REDUCES THE RISK SHOULD WE PROVIDE EXEMPTIONS FOR SOME OF THE -- OR TAX CREDITS FOR SOME OF THE BUSINESSES. I JUST HAVE TO SAY I REALLY APPRECIATE THE SPIRIT OF THIS AMENDMENT BECAUSE I THINK THERE ARE A LOT OF BUSINESSES, AND ESPECIALLY VULNERABLE BUSINESSES BECAUSE MARITIME BUSINESSES ARE SUBJECT TO EVEN GREATER RISKS FROM THE FEDERAL GOVERNMENT. RIGHT NOW ARE IMPORTANT, BUT FOR SOME OF THE REASONS THAT HAVE BEEN EXPRESSED, I WILL NOT BE SUPPORTING THIS. BUT I DO WANT TO LOOK AT WAYS THAT WE CAN, AGAIN, SUPPORT THESE BUSINESSES GOING FORWARD IN LIGHT OF THE FEDERAL TARIFFS AND OTHER DELETERIOUS POLICIES COMING OUT OF D.C. ALL RIGHT, I'M NOT SEEING ANY OTHER -- WOULD YOU GO AHEAD? >> THANK YOU, COUNCIL PRESIDENT. I DO APPRECIATE YOUR -- COUNCILMEMBER STRAUSS' ZEALOUS ADVOCACY ON BEHALF OF THE MARITIME INDUSTRY. AND I KNOW WE'RE ALL SUPPORTIVE, AND EVERYONE'S BEING IMPACTED BY THE FEDERAL GOVERNMENT IN VERY TERRIBLE WAYS, AND SO I UNDERSTAND THE WANTING TO PROVIDE SUPPORT. AND THIS IS A FOR-PROFIT CATEGORY, AS OUR -- THERE ARE MANY FOR-PROFIT CATEGORIES THAT ARE ALSO GOING TO BE IMPACTED. AND WE'VE ALL HEARD FROM MANY BUSINESSES THAT ARE GOING TO BE IMPACTED WHO WERE ASKING FOR RELIEF AS WELL. I KNOW I BROUGHT THE TAX CREDITS FOR FRED HUTCHEN, SEATTLE CHILDREN'S IS A VERY SPECIFIC NON-PROFIT. WE'RE TRYING TO SUPPORT CANCER PATIENTS AND CHILDREN. AND AT THE SAME TIME I UNDERSTAND THAT ALL OF OUR BUSINESSES ARE SUFFERING THE IMPACTS OF THE TARIFFS AND ET CETERA. SO WHILE WE WOULD WANT TO PROVIDE TAX RELIEF TO EVERYONE, WE JUST CAN'T PROVIDE RELIEF TO EVERYBODY. SO FOR THOSE REASONS, I'M NOT GOING TO SUPPORT THIS AMENDMENT, THOUGH. I VERY MUCH APPRECIATE THE SPIRIT OF WHY IT WAS BROUGHT. AND I TOO WOULD LOVE TO FIND WAYS TO SUPPORT OUR MARITIME INDUSTRY IN SEATTLE AND ALL OUR BUSINESSES THAT WE REALLY LIKE THE FOLK THAT PROVIDE FOOD, FOR INSTANCE, BECAUSE EVERYONE GETTING, LIKE I SAID, IMPACTED IN VERY NEGATIVE WAYS THAT THEN GETS PASSED ONTO OUR RESIDENTS. SO ANYWAY, ALL THAT SAID, THANK YOU. >> YOU BRING UP ONE FINAL THOUGHT. I THINK THAT WHAT YOU'RE GETTING AT AND WHAT I WANT TO FOCUS OR JUST POINT OUT AT IS THERE ARE SOME VERY -- WHAT'S MORE ESSENTIAL THAN OTHERS IS WE CAN GO ON AND ON OFF BUT I DID STRUGGLE WITH WHETHER I SHOULD PUT FORWARD AN AMENDMENT THAT WOULD EXEMPT WHOLESALE FOOD DISTRIBUTION BECAUSE THERE IS SOME QUESTION ABOUT WHOLESALE FOOD, EXEMPTING THOSE WOULD BE A VIOLATION OF THE UNIFORMITY CLAUSE THAT IS PROHIBITED IN THIS -- IN THE MODEL TAX B AND O CODE, AND SO I JUST DIDN'T HAVE TIME TO TRACK DOWN WHICH LAWYER WAS RIGHT AND SO BASICALLY DECIDED TO DROP THAT, BUT AGAIN THAT'S AN ISSUE THAT HAS TO DO WITH OUR LIMITED TIME GOING FORWARD. OKAY, NOW, WOULD YOU LIKE TO FINISH YOUR COMMENTS OR HAVE THE CLOSING WORD? >> THANK YOU. LAST COMMENTS, IS THAT WHAT WE'RE ON RIGHT NOW? >> I DON'T SEE ANYBODY ELSE'S HANDS RAISED. YES. >> WONDERFUL. LAST WORD IS, COLLEAGUES, I URGE AN AYE VOTE TO PROTECT OUR PORT AND OUR MARITIME SECTORS. THANK YOU. >> OKAY. SO WITH THAT, SEEING NO MORE COMMENTS, WILL THE CLERK PLEASE CALL THE ROLL ON THE ADOPTION OF AMENDMENT "C"? >> COUNCILMEMBER RIVERA. >> THOUGH. >> COUNCILMEMBER SAKA. >> AYE. >> COUNCILMEMBER SOLOMON. >> AYE. >> COUNCILMEMBER STRAUSS. >> YES, AYE. >> COUNCILMEMBER HOLLINGSWORTH? >> NO. >> COUNCILMEMBER JUAREZ. >> NO. >> COUNCILMEMBER KETTLE. >> NO. >> COUNCILMEMBER RINCK. >> NO. >> COUNCIL PRESIDENT NELSON? >> NO. >> THAT IS THREE IN FAVOR, SIX OPPOSED. >> OKAY, THE MOTION FAILS -- SO THE MOTION FAILS BUT WE STILL HAVE TWO OTHER AMENDMENTS. AND SO ARE THERE -- PARDON ME? >> ONE MORE AMENDMENT. >> RIGHT. BUT WE HAVE OTHER AMENDMENTS THAT DID AMEND OUR LEGISLATION, AND SO NOW WE HAVE TO BASE LEGISLATION BEFORE US. YES. OKAY, WITH THAT, LET'S CONTINUE THE -- THIS WOULD NOW WE A CHANCE FOR PEOPLE TO TALK ABOUT THEIR -- PROVIDE COMMENTS BEFORE THE VOTE TO SEND THIS TO THE BALLOT. AND SO I WOULD OPEN THE DOOR TO THE SPONSOR AGAIN TO ADDRESS THIS, OR WE CAN ADDRESS -- OTHER PEOPLE CAN TALK ABOUT THE BASE LEGISLATION AS AMENDED. COUNCILMEMBER JUAREZ. >> THANK YOU. I WAS GOING TO DEFER TO THE SPONSOR, COUNCILMEMBER RINCK. AND I THINK I HAD SOME GOOD CONVERSATIONS OFF-LINE, AND I'M VERY, VERY HAPPY TO SUPPORT THIS. AND WHAT SHE'S DONE OUT OF THE GATE, AND I THINK IT'S INCREDIBLY IMPRESSIVE. SO LET ME JUST SAY THIS, AND I STARTED TO SAY THIS LAST WEEK, AND I'LL BE SHORT I PROMISE. SO THIS POLICY I BELIEVE REFLECTS OUR COLLECTIVE HUMANITY, MAKING SURE WHEN I READ THE ORIGINAL INTENT THAT PEOPLE HAVE FOOD, THAT PEOPLE HAVE HOUSING, THAT THEY HAVE THE BASICS TO LIVE. AND WE ARE IN THIS SITUATION BECAUSE OF THIS ADMINISTRATION, WHICH STARTED IN 2016 AND IS NOW BACK WITH A VENGEANCE. AND I SHARED THIS BEFORE AND I WANT TO SHARE IT AGAIN FOR THE RECORD. THAT THIS GOES BACK TO, BELIEVE IT OR NOT, MAZLOV'S ORIGINAL HIERARCHY OF NEED WHICH WAS BASED UPON MY TRIBE THAT TALKED ABOUT THOSE NEEDS. THE PHYSIOLOGICAL NEEDS, SURVIVAL, FOOD, WATER, SHELTER AND SLEEP. THE SAFETY NEEDS, THE LOVE AND BELONGING NEEDS, THE ESTEEM NEEDS AND THE SELF-ACTUALIZATION. AND THOSE ARE IMPORTANT, AND IT'S REALLY HARD FROM A LEGISLATIVE PERSPECTIVE TO TRY TO CONDENSE THAT INTO INK ON PAPER TO BE A POLICY, TO BE LEGISLATION, TO MAKE IT A LAW. BUT I THINK THAT WITH THE LEADERSHIP OF THE MAYOR -- MAYOR HARRELL, AND THE LEADERSHIP OF COUNCILMEMBER RINCK AND EVERYONE OF THE PEOPLE UP HERE ON THIS DAIS, BECAUSE I JUST GOT HERE, IT'S BEEN A REAL HONOR TO WATCH YOU GO THROUGH THE AMENDMENTS, TALK ABOUT THE POLICY, GO THROUGH THE FOUR CORNERS OF THE LEGISLATION. AND WITH THAT, I'M HAPPY TO SUPPORT THIS LEGISLATION. AND I BELIEVE IT'S THE SEATTLE SHIELD, THAT'S WHAT WE'RE CALLING IT, THE SEATTLE SHIELD. THANK YOU. >> ALL RIGHT. COUNCILMEMBER -- WELL, FIRST OF ALL, I'M ASSUMING THAT YOU WOULD LIKE -- YOU CAN HAVE THE FIRST AND LAST WORDS. SO GO AHEAD WITH YOUR FIRST WORDS. >> I'LL JUST SAVE FOR FINAL REMARKS. THANK YOU. >> COUNCILMEMBER KETTLE. >> THANK YOU, COUNCIL PRESIDENT. AS I SAID EARLIER, I THINK IT'S IMPORTANT TO NOTE THAT OUR DEFICITS PREDATE THE TRUMP ADMINISTRATION. THIS SINGLETON KIND OF APPROACH WITH LIKE THE PAYROLL EXPENSE TAX AND OTHER PIECES BY OUR COUNCIL PREDATES THE TRUMP ADMINISTRATION. AND I BELIEVE THAT SHOULD BE THE FOCUS REGARDING WHAT WE'RE DOING HERE. I THINK THAT WE SHOULD BE CREATING A PROCESS BY OURSELVES BUT ALSO IN PARTNERSHIP WITH THE EXECUTIVE, WHERE WE DO HAVE ALL THE INFORMATION NEEDED TO BE SMART IN TERMS OF THE DECISIONS THAT WE MAKE ON THE BUDGET, HENCE THE NEED FOR THE SEATTLE HOUSING INVESTMENT PLAN. I BELIEVE THAT WE SHOULD BE SIMPLIFIED TO THE BEST ABILITY. THE CATEGORIES, THE BUCKETS, I BELIEVE ARE WITH RESPECT TO THIS BILL AND THEN GENERALLY ADVISORY IS ONE THING, BUT HOW THESE OFTEN GET MADE IS A MISTAKE. AND I BELIEVE THAT THEIR INCLUSION IN THIS BILL KIND OF TAKES US OFF THE PATH OF WHAT THE FOCUS IS, WHICH IS THE MAJOR DEFICIT THAT WE'RE FACING AS A CITY. AND I JUST WANTED TO SAY THAT IN TERMS OF REITERATING WHAT I HAD SAID BEFORE. BUT AT THE END OF THE DAY, AGAIN, I VIEW THIS AS IS THE B AND O TAX. TO ME THIS IS NOT THE SHIELD TAX. I APPRECIATE THE POINTS MADE, AND WE SHOULD DEFINITELY BE WORKING TO COUNTER THE TRUMP ADMINISTRATION, WHICH WE'RE DOING IN SO MANY WAYS TO INCLUDE PUBLIC SAFETY, AS I'VE BEEN SPEAKING TO AT COMMITTEE. BUT WE SHOULD BE FOCUSED ON THE DEFICIT. AND THE BOTTOM LINE HERE IS THAT WE HAVE MAJOR DEFICIT. AND WE NEED TO ADDRESS THIS DEFICIT. AND THIS BILL -- THIS B AND O CHANGE IS A SHORT TERM. AND AS I SAID UPON REFLECTION, I WISH MY AMENDMENT WAS NOW 5 YEARS INSTEAD OF 7. BUT IT ADDRESSES THE BUDGETARY CHALLENGES THAT WE HAD, AND I'D LIKE TO THINK IT WOULD HELP PUSH US TO DOING COMPREHENSIVE BUDGET REFORM IN TERMS OF HOW WE DO BUSINESS AS A CITY. SO WITH MY -- THOSE POINTS MADE, I WILL BE GUIDED BY THOSE IN TERMS OF MY VOTE FOR THIS BILL. THE BOTTOM LINE BEING THE DEFICIT THAT WE'RE FACING. SO THANK YOU. >> THANK YOU. COUNCILMEMBER HOLLINGSWORTH? >> THANK YOU, COUNCIL PRESIDENT. THANK YOU, COUNCILMEMBER RINCK FOR YOUR LEADERSHIP ON THIS. I OAKO WHAT COUNCILMEMBER JUAREZ HAS SAID AND ALSO COUNCILMEMBER RIVERA. THIS BILL RECOGNIZES THE BUSINESSES THAT ARE STRUGGLING. I ALSO RECOGNIZE THERE'S A DIFFERENCE BETWEEN HIGH REVENUE AND NET INCOME AND THAT THERE ARE HIGH REVENUE BUSINESSES WITH SUPER SMALL MARGE NSZ INS LIKE THIN LIKE GROCERY STORES AND RESTAURANTS THAT WE'VE HEARD PARTICULAR ABOUT B AND O TAXES AND SO FORTH AND ALSO OUR HOSPITALS AS WELL. IN MY MY DISTRICT WE HAVE VIRGINIA MASON AND CAN I SEER, TWO SWEDISH HOSPITALS, MEDICAL CENTERS THAT ALONE WILL PAY MORE WITH THESE TAXES. BUT I WANT TO ACKNOWLEDGE THAT I WILL BE WORKING CLOSELY THROUGHOUT THIS PROCESS THROUGH MY TENURE TO MAKE SURE THAT THOSE GROCERY STORES ARE PROTECTED AT THE STATE LEVEL TO MAKE SURE THEY HAVE A CLASSIFICATION AS ESSENTIAL. BECAUSE AS WE SEE NOW MORE OF FOOD ACCESSIBILITY, AND I AM VERY GLAD THAT ALL THE COUNCILMEMBERS LOVE FOOD AND SEE HOW IMPORTANT THE ACCESS IS. AND I'VE SEEN IT FROM ALL OF Y'ALL AND JUST REALLY RECOGNIZE THAT. BUT WE RECOGNIZE THAT WE'RE MOVING IN A TIME WHERE OUR GROSSI STORES ARE ESSENTIAL FOOD ACCESS POINTS, AND THEY NEED TO BE CONSIDERED ESSENTIAL AND TREATED VERY DIFFERENTLY THAN THEY HAVE IN THE PAST AND NOT JUST IDENTIFIED AS PARTICULARLY JUST REVENUE -- EXCUSE ME, OF RETAIL BACK AND FORTH. THAT THEY ARE A FOOD ACCESS POINT. AND SO THAT'S REALLY, REALLY IMPORTANT. MY VOTE TODAY IS IN SUPPORT OF THIS. I ALSO -- AND FOR US TO PLAUG IN OUR BUDGET HOLE. BUT I ALSO WANT TO BE CLEAR WITH PROGRESSIVE REVENUE, I ALSO EXPECT PROGRESSIVE OUTCOMES IN OUR CITY AND OUTCOMES FOR PROGRESSIVE PROGRAMS THESE WILL GO TO IN MAKING SURE THAT WE WILL HAVE THE OUTCOMES THAT SEATTLE DESERVES. THIS WILL NOW BE HANDED TO THE VOTERS IN NOVEMBER AND VERY HAPPY OF THAT. SO THANK YOU, COUNCILMEMBER RINCK AND MAYOR HARRELL, FOR THIS LEGISLATION. THANK YOU. >> ALL RIGHT. ANY OTHER COMMENTS? YES? GO AHEAD, COUNCILMEMBER RIVERA. >> THANK YOU, COUNCIL PRESIDENT. YOU KNOW, I AGREE THAT WE HAD A BUDGET DEFICIT BEFORE THIS CURRENT -- BEFORE THIS CURRENT ADMINISTRATION UNLEASHED ITS ATTACKS ON OUR RESIDENTS, WHICH HAVE IMPACTED OUR IMMIGRANTS AND REFUGEES, HEALTH CARE, REPRODUCTIVE CARE, AND EVERYTHING FOOD ACCESS, AND EVERYTHING IN BETWEEN. I WILL SAY THAT WITH OUR BUDGET DEFICIT, LIKE I SAID, IT GOT COMPOUNDED BY THIS CURRENT ADMINISTRATION'S UNLEASHED TERROR. AND AS EVERYONE KNOWS EARLY ON THIS YEAR I TALKED ABOUT SEATTLE BEING A SANCTUARY CITY AND REALLY RESPONDING TO OUR RESIDENTS. SO IN THAT REGARD I WILL BE SUPPORTING THIS PROPOSAL BECAUSE I WANT TO MAKE SURE THAT WE HAVE THE FUNDING AVAILABLE TO PROTECT OUR MUCH NEEDED SERVICES FROM OUR OWN DEFICIT AND FROM THE FURTHER COMPOUNDING NEGATIVE IMPACTS BROUGHT ABOUT BY THE FEDERAL GOVERNMENT. AND I WILL SAY THAT I WILL CONTINUE TO PUSH FOR BUDGET REFORM AT THE CITY, SO WE ARE NOT IN THIS CONSTANT STATE OF DEFICIT. IT IS REALLY UNACCEPTABLE, AND IT IS BAD GOVERNANCE FOR US TO BE IN A CONSTANT DEFICIT BECAUSE WE DON'T WANT TO TAKE A HARD LOOK AT OUR BUDGET AND OUR PROGRAMS AND REALLY DO THAT WORK THAT IT TAKES TO FIGURE OUT WHETHER THESE PROGRAMS ACTUALLY DOING WHAT THEY'RE INTENDING TO DO. AND SO WE REALLY NEED TO DO THAT WORK. THIS DOES NOT TAKE THE PLACE OF THAT WORK. IT IS NOT OKAY TO CONSTANTLY BRING ABOUT MORE -- YOU KNOW, MORE TAXES OF THIS NATURE WITHOUT DOING THE WORK. AND BEFORE ANYONE MISQUOTES ME, I AM NOT SAYING THAT WE SHOULD NOT BE BRINGING TAXES. THAT'S HOW THE GOVERNMENT GETS THEIR MONEY TO DO WHAT THEY NEED TO DO ON BEHALF OF THE PEOPLE AND FOR THE PEOPLE BECAUSE THIS IS NOT JUST FOR US, IT'S FOR THE RESIDENTS. AND FOR US WE NEED TO TAKE A LOOK AT OUR BUDGET AND NOT HAVE THE KNEE JERK REACTION THAT EVERY TIME WE ARE IN THIS DEFICIT SITUATION INSTEAD OF LOOKING AT IT PROGRAMS WE AUTOMATICALLY GO TO HOW CAN WE BACKFILL IN A DIFFERENT WAY. AND ALSO AM MINDFUL ABOUT THE LACK OF TRANSPARENCY SOMETIMES WE HAVE AS WE'RE TAKING THESE VOTES. AND AS NEW INFORMATION COMES IN THAT SHOWS THE SITUATION IS NOT AS BAD AS IT IS, WE ALL GOT TODAY THE REVENUE FORECAST THAT THE FORECAST IS ACTUALLY BETTER THAN WE ANTICIPATED BY $90 MILLION -- $90 MILLION WHICH IS ACTUALLY VERY COINCIDENTLY THE ACTUAL $90 MILLION IN THIS B AND O PROPOSAL. SO WE NEED TO MAKE SURE THAT WE ARE DOING OUR DUE DILIGENCE WHEN WE WERE BUDGETING. AND COUNCILMEMBER KETTLE, I'M IN AGREEMENT WITH YOU ON THAT. AS WE ARE PUTTING THESE PROPOSALS FORWARD, WE DO HAVE FUNDING SOURCES FROM MANY DIFFERENT AREAS, AND WE REALLY NEED TO FIGURE OUT HOW WE CAN AS A CITY DO BETTER ON BEHALF OF OUR RESIDENTS ON OUR BUDGETING SIDE. AND THAT'S -- YOU KNOW, THAT INCLUDES THE EXECUTIVE AND THIS LEGISLATIVE BODY, EVERYBODY WORKING TOGETHER TO FIGURE OUT HOW WE CAN BEST DO THIS BECAUSE RIGHT NOW WE ARE NOT DOING IT WELL. HAVING A $200 MILLION DEFICIT IS NOT OKAY. AND THEN WHEN SOMETHING LIKE THIS HAPPENS LIKE THIS FEDERAL ADMINISTRATION, WE DON'T HAVE ANYWHERE TO PULL FROM, AND THAT'S NOT OKAY. SO I'M GOING TO CHALLENGE ALL OF US TO WORK TOGETHER TO FIGURE OUT A BETTER WAY OF DOING THIS, WORKING WITH THE EXECUTIVE, THAT WE CAN PRESERVE THE SERVICES, THE MUCH NEEDED SERVICES AND NOT CONSTANTLY BE IN A STATE OF DEFICIT. THANK YOU. >> THANK YOU VERY MUCH. >> I'M ZOOM IS NOT WORKING SO I'M SPECIFICALLY RAISING MY HAND. >> SURE. GO AHEAD. >> IS THIS A GOOD TIME OR -- >> I HAD COMMENTS TOO, BUT YOU'RE WELCOME TO GO AHEAD. >> THANK YOU. I DO BELIEVE THIS IS AN INNOVATIVE APPROACH TO PROTECT THE SOCIAL SERVICES, AS COUNCILMEMBER JUAREZ SPOKE. I WON'T USE MAZLOV'S HIERARCHY OF NEED. BUT SPECIFICALLY IT IS THOSE THINGS THAT ALLOW -- IT CAN'T CREATE SELF-ACTUALIZATION. IT CAN'T CREATE COMMUNITY. BUT IF YOU'RE HUNGRY. IF YOU ARE UNCLOTHED, IF YOU ARE UNSHELTERED, YOU CANNOT FIND YOUR WAY TO A BETTER LIFE. THERE THEY ARE. LOVE AND BELONGING, ALL OF THE ESTEEMED NEEDS HERE. AND REALLY THE THINGS THAT SUPPORT THESE TYPES OF PROGRAMS ARE IN LINE TO HAVE THEIR THIRD CUT IN -- IN THIS ONE YEAR, AND THAT'S FROM THE FEDERAL GOVERNMENT. THAT'S FROM THE STATE GOVERNMENT, AND THEY'RE ON THE CHOPPING BLOCK FOR US HERE IN THE CITY THIS YEAR. BECAUSE WHILE WE HAVE A HIGHER PROJECTED REVENUE TODAY THAN WE DID LAST FRIDAY, IT STILL LEAVES -- AND THAT WAS PART OF THE CONVERSATION AT THE REVENUE FORECAST MEETING THIS MORNING IS THAT THE 150 -- NOW THE $140 MILLION HOLE THAT NEEDS TO BE ADDRESSED THIS YEAR IS WHAT IS BURNING A HOLE IN MY RIGHT EYE. I WAS GOING TO SAY THIS LATER IN MY TALKING POINTS, BUT LET'S JUST GET THIS LATER RIGHT NOW. LAST YEAR WE CLOSED A $250 MILLION HOLE THROUGH EFFICIENCIES, THROUGH SOME RESTRUCTURING, THROUGH REDUCTIONS, THROUGH LAYING PEOPLE OFF AT THE CITY OF SEATTLE FOR THE FIRST TIME SINCE 2008. THESE WERE NOT SMALL CHOICES. THESE WERE LARGE DECISIONS TO BE MADE. AND AS SOON AS WE FINISHED THAT EXERCISE, WE WERE HIT AGAIN WITH WORSE NEWS IN APRIL. TODAY WE DID RECEIVE BETTER NEWS, BUT WE'RE NOT OUT OF THE WOODS YET. YOU KNOW, WE DON'T HAVE MORE EFFICIENCIES AND MORE PROGRAMS TO REDUCE WITHOUT MAKING THAT DIRECT IMPACT TO OUR SMALLEST BUSINESSES, ON THE PEOPLE WHO NEED OUR HELP TO REMAIN IN POSITION WITHOUT LOSING GROUND IN SOCIETY. AND SO, YES, THIS WOULD RAISE ABOUT $80 MILLION NOW FOR THINGS LIKE FOOD BANKS, GENDER-BASED VIOLENCE PREVENTION. THOSE SAME TYPES OF SERVICES UNDER ATTACK FROM THE FEDERAL GOVERNMENT, AND AT THE SAME TIME IT WOULD REDUCE OR ELIMINATE THE B&O TAX FROM 90% OF BUSINESSES IN SEATTLE, THE SMALL AND MEDIUM SIZED BUSINESSES. ULTIMATELY, WE'RE NOT HERE VOTING ON WHETHER OR NOT TO ENACT THIS PLAN. COUNCIL IS DECIDING ON WHETHER OR NOT TO GIVE VOTERS THE CHANCE TO DECIDE WHAT THEY THINK IN NOVEMBER, AND I DO BELIEVE WE OWE THEM THAT CHOICE. WITHOUT THIS PLAN -- AND ACTUALLY I SEE THAT DIRECTOR EDER HAS NOW LEFT, BUT IT REALLY IS THIS PLUS THE OTHER SMART BUDGETING PRACTICES THAT HAVE BEEN IN WORKS FOR MONTHS AND GNAT ARE STILL IN WORK TODAY. WE'RE STILL LOOKING AT A VERY DIFFICULT BUDGET SEASON COMING UP. $150 MILLION WORTH OF CUTS OR REDUCTIONS AMOUNTS TO PEOPLE'S LIVES. THE STATE LEGISLATURE -- I GUESS, AGAIN, HOW DO WE FIND OURSELVES HERE? WE FOUND OURSELVES HERE LAST YEAR AFTER A DECADE OF HIGH GROWTH AND LOW INFLATION. WE ARE ABLE TO HAVE PROPERTY TAX PLUS CONSTRUCTION, SO ANYTHING THAT'S IN CONSTRUCTION WE'RE ABLE TO RECEIVE. BUT OUR PROPERTY TAX IS CAPPED AT 1%. THE STATE LEGISLATURE AND THE GOVERNOR WERE WILLING TO GIVE US ANY FLEXIBILITY WITH THAT AS WELL AS THE STATE CUT OUR FUNDING TO THE CAMP THAT'S BEEN EXTREMELY EFFECTIVE IN GETTING PEOPLE OFF THE STREETS AND INTO STABLE HOUSING. WHEN WE'RE CAPPED AT 1% PER YEAR PLUS INSTRUCTION AND THEN WE SEE 6 TO 7% INFLATION LIKE WE'VE SEEN IN RECENT YEARS, ON TOP OF GROWTH SLOWING AFTER WE WERE THE FASTEST GROWING CITY IN THE NATION FOR TOO MANY YEARS ON SOME ACCOUNTS, WE FIND OURSELVES IN THIS UNSUSTAINABLE BUDGET SITUATION, WHICH WE TOOK GREAT ACTION. AND COLLEAGUES, I DO THINK THAT WE SHOULD ALL NOT PAT OURSELVES ON BACK, BUT BE PROUD OF THE WORK WE DID LAST YEAR. THINGS COULD HAVE BEEN WORSE. WE DID A VERY GOOD JOB OF SAVING MONEY, CREATING EFFICIENCIES WHERE WE COULD, AND THEN WE WERE FACED WITH WHAT WE HAVE THIS YEAR. AND ULTIMATELY, WE NEED PROGRESSIVE TAXATION REFORM AT THE STATE LEVEL. AND WHILE WE CONTINUE TO ADVOCATE FOR THAT, WHAT WE'RE SAYING HERE TODAY IS THAT SEATTLE CAN'T WAIT TO STOP INVESTING IN SERVICES THAT MAKE OUR CITY SAFER AND MORE AFFORDABLE FOR WORKING FAMILIES, ESPECIALLY WHEN THE STATE AND FEDERAL GOVERNMENT ARE ALREADY CUTTING THE FUNDING FOR THOSE PROGRAMS THAT SEATTLEITES RELY ON. SO I WANT TO THANK COUNCIL PRESIDENT ALEXIS MERCEDES RINCK AND RIVERA AS WELL AS THE BUDGET CHAIR. I HAVE BEEN INTIMATELY AWARE HOW MUCH EFFORT YOU HAVE BEEN PUTTING INTO THIS. THANK YOU, COUNCIL PRESIDENT. >> ALL RIGHT. SO I WILL -- I'LL PROVIDE SOME COMMENTS AND THEN PASS IT ONTO THE SPONSOR. SO I JUST WANT TO NOTE THAT I VOTED FOR THIS LAST -- IN CASE YOU'VE FORGOTTEN BECAUSE A LOT HAS HAPPENED, I VOTED FOR THIS BILL LAST WEEK BECAUSE OF THE VERY IMMEDIATE BENEFITS TO SMALL BUSINESSES OF RAISING THE -- THE B AND O TAX THRESHOLD FROM $100,000 TO $2 MILLION AND ALSO PROVIDING A DEDUCTION. ON THE FORMER THERE HAVE BEEN ARGUMENTS FOR A LONG TIME INCLOUDING FROM OED AND I EXPLORED THIS A LONG TIME AGO. I VERY MUCH WANT -- THIS SHOULD HAVE HAPPENED A LONG TIME AGO BECAUSE $100,000 THRESHOLD OF GROSS RECEIPTS IS VERY, VERY LOW, AND SO WE HAVE TO DO OUR BEST TO HELP OUR SMALL BUSINESSES. SO FULL OF PLUGS FOR THAT. AND I AM GOING TO VOTE TODAY TO THE BALLOT. AND THE FIRST IS ABOUT TIMING. I HAVE THREE CONCERNS. THE FIRST IS ABOUT TIMING AND I MENTIONED THIS LAST WEEK. THIS WAS A RUSHED PROCESS. WE ARE TALKING ABOUT COMPLETELY RESTRUCTURING THE WAY WE CHARGE B AND O TAXES WHICH MAKES UP ABOUT A THIRD OF OUR GENERAL FUND REVENUE AND COULD HAVE PRETTY PROFOUND IMPACTS ON OUR ECONOMY, AND MOST IMPORTANTLY JOBS. THAT'S WHAT I'M ALWAYS THINKING ABOUT IS JOBS. AND THIS HAS LIMITED THE -- AND THIS IS ALL GOING ON RIGHT WHEN WE WERE TRYING TO FIGURE -- YOU KNOW, DELIBERATE ON THE COMP PLAN. WE'RE IN THE MIDDLE OF THAT. AND WE HAD A COUNCIL VACANCY AND EVERYTHING ELSE MOVING THROUGH THE BUDGET, THE SELECT BUDGET COMMITTEE IN ADDITION TO ALL THE LEGISLATION WE'RE TRYING TO WRAP UP IN OUR INDIVIDUAL COMMITTEES BEFORE RECESS AND BUDGET. SO THIS IS VERY UNFORTUNATE BECAUSE IT HAS IMPACTED OR MINIMIZED THE AMOUNT OF TIME WE CAN DO OUTREACH TO OUR -- TO THE PEOPLE THAT WILL BE IMPACTED. THE NONPROFITS AND BUSINESSES OF ALL SIZES THAT WILL BE IMPACTED BY SOME OF THESE CHANGES IN POSITIVE AND POTENTIALLY NEGATIVE WAYS, AND THAT'S JUST I FEEL IRRESPONSIBLE BECAUSE WE DO HAVE TO DO THIS WORK. SO I WILL JUST -- I TRIED TO DO AS MUCH OUTREACH AS I COULD. I DID REFERENCE SOME OF THE POSITIONS OF SMALL BUSINESS ASSOCIATIONS. BUT FOR SOMETHING THIS CRITICAL, WE REALLY DO WANT TO MAKE SURE WE GET IT RIGHT AND MINIMIZE THE UNINTENDED CONSEQUENCES. SO THE SECOND POINT I HAVE OR THE SECOND CONCERN HAS TO DO WITH PRECISELY UNINTENDED CONSEQUENCES. BECAUSE, AS I'VE SAID, WHILE 90% OF SMALL BUSINESSES WILL PAY NO OR REDUCED B AND O TAXES, THEY ARE PART OF A LARGER ECOSYSTEM, AND I'VE SAID BEFORE THEY ARE NOT -- THEY'RE NOT SO SHORTSIGHTED AS TO THINK ABOUT ONLY THE -- I MEAN THE HUNDREDS OR COUPLE THOUSAND DOLLARS THAT THEY WILL BE SAVING THEMSELVES. AND THEY ARE ALSO THINKING ABOUT, WELL, WHAT WILL HAPPEN TO THE BROADER ECONOMIC ECOSYSTEM OF WHICH THEY ARE A PART. AND SO -- AND THIS WAS ECHOED TODAY ACTUALLY IN COMMENTS IN THE FORECAST MEETING BY THE OFFICE OF ECONOMIC AND REVENUE FORECAST DIRECTOR JOHN DURASS THAT SAID A LOT OF THESE RATE INCREASES WILL DEPEND ON THE BEHAVIOR OF LARGE IN RESPONSE TO RATE INCREASES. HE SAID THAT A COUPLE DIFFERENT TIMES AND GAVE EXAMPLES. SO, FOR EXAMPLE, THE BUSINESSES -- THE SMALL BUSINESSES THAT COULD LOSE CLIENTS BECAUSE THE LARGE BUSINESSES DECIDE TO SORT OF TIGHTEN THEIR BELTS IN RESPONSE TO THE INCREASE THEY'LL PAY IN B AND O. THE IMPACTS TO THE BARS, RESTAURANTS, BARBERSHOPS, THAT COULD LOSE CUSTOMERS IF THOSE BUSINESSES MOVE OUT OF TOWN OR JUST, YOU KNOW, STOP OPERATIONS ALL TOGETHER. AND THESE ARE THE SORTS OF THINGS THAT SMALL BUSINESSES THINK ABOUT ALL THE TIME. THEY DON'T JUST THINK ABOUT THEIR OWN POCKETBOOK. SO WE HAVE TO REALLY DO CONSIDER THIS. WE RECEIVED AN E-MAIL LAST WEEK THAT HAD THE RESULTS OF A SURVEY OF SMALL BUSINESSES. AND IN THE SURVEY 60% OF THE 70 RESPONSES REPORTED REVENUE BELOW 2.5 MILLION OR 2 MILLION OF GROSS REVEL NEW. AND OF THESE BUSINESSES -- YOU CAN LOOK THIS UP IN YOUR E-MAIL -- ONLY 21% SUPPORT THE CHANGE IN THE REPORTS. 24% ABOVE 2.5 GROSS REVENUE SAY IT WILL HELP, AND 59% SAY IT WILL HURT. AND SO IT JUST GOES ONTO SAY BUSINESSES DON'T WANT TO TRADE SLIGHTLY LOWER FEES FOR DRAMATICALLY LESS BUSINESS. AND THE CITY'S BUSINESS AND TAX BASE IS -- THEY FEAR THE TAX BASE SHRINKING AND NEW BUSINESSES FILING FOR -- FILING IN SEATTLE FELL FROM ABOUT 13,300 PER YEAR BETWEEN 2012 AND 2019 TO JUST 7,700 IN THE FOLLOWING YEARS. AND THAT IS A 42% DROP. SO WE DO HAVE TO TAKE THAT SERIOUSLY. WE DON'T HAVE A LOT OF INFORMATION ABOUT WHY THOSE BUSINESSES LICENSES WEREN'T RENEWED. BUT WE, OF COURSE, DON'T WANT TO LOSE OUR SMALL BUSINESSES AND MEDIUM SIZED BUSINESSES IN TOWN. ANYWAY, SO THAT'S THE SECOND POINT I WANTED TO BRING UP. AND THEN THIRD CONCERN IS THE IMPACT TO OUR OVERALL ECONOMY, WHICH IS VERY CLOSELY RELATEDCH AND IN A JUNE 26 MEMO FROM THE DIRECTOR ON THE RISK OF THE B AND O TASK RESTRUCTURE ON SEATTLE'S ECONOMIC OUTLOOK, HE SAID THIS WOULD BE ANOTHER BUSINESS TAX INCREASE IN A SHORT AMOUNT OF TIME INCLUDING THE PAYROLL EXPENSE TAX IN 2021. THE PAYROLL EXPENSE TAX RATES INCREASED IN 2024. THE NEW SOCIAL HOUSING TAX STARTING IN 2025. TAX INCREASE IN 2025 DUE TO SENATE BILL 5814, WHICH YOU MENTIONED A COUPLE TIMES THIS MORNING. AND FINALLY THE PROPOSED CHANGE IN BUSINESS TAX IN 2026. SO HE'S LOOKING AT THE IMPACTED AGRUGET OF MANY TAXES ON THE SORT OF ECONOMIC OUTLOOK AND HOW SEATTLE IS PERCEIVED BY -- BY BUSINESSES THAT MIGHT BE THINKING ABOUT MOVING HERE. AND LIKE -- LIKE COUNCILMEMBER STRAUSS, I FULLY BELIEVE WE DO NEED TO ADDRESS OUR AGGRESSIVE TAX STRUCTURE. IN FACT, I VOLUNTEERED FOR THE STATEWIDE TAX A COUPLE YEARS AGO. I RECOGNIZE I'M JUST CONCERNED ABOUT ISOLATING SEATTLE WHEN ALL THE OTHER JURISDICTIONS AROUND US ARE DOING SOMETHING ELSE BECAUSE WE CERTAINLY DON'T WANT TO UNDERMINE OUR COMPETITIVENESS, AND THAT'S SORT OF ALWAYS ON MY MIND. ANYWAY, HE GOES -- AND HE DID NOTE THAT THE B AND O TAX RATES IN SEATTLE ARE ALREADY MUCH HIGHER THAN IN THE SURROUNDING CITIES, AND HE KEPT REFERRING TO THIS CHART, WHICH HAS BEEN IN OUR CENTRAL DRAFT CHART MEMO AND IN THE MEMO THIS MORNING OF THE ECONOMIC FORECAST. AND IT REALLY DOES -- THIS IS THE LINE -- THE TOP RED LINE IS OUR B AND O TAX RATE AND THE LIGHTER LINE FOLLOWING THAT WOULD BE THE TAX READ, YOU KNOW, WHEN HOPEFULLY THE VOTERS APPROVE THIS. AND SO WE DO HAVE TO KEEP IN MIND, AGAIN, IT'S ABOUT OUR COMPETITIVENESS. SO HE CONCLUDES IT'S DIFFICULT TO PREDICT HOW LARGE BUSINESSES WILL REACT TO THE CUMULATIVE IMPACT OF ALL THESE INCREASES IN TAX BURDEN, BUT SEVERAL LARGE EMPLOYERS HAVE RECENTLY MOVED SEVERAL LARGE JOBS OUT OF SEATTLE TO SURROUNDING CITIES. I BELIEVE WHAT COMES TO MIND IS THE QUIET QUITTING OF AMAZON MOVING OVER 10,000 WORKERS ACROSS TO BELLEVUE. THAT'S ABOUT JOBS. THAT'S ABOUT OUR JOBS, OUR WORKERS, AND ALSO ABOUT OUR TAX BASE. AND A LARGE B AND O TAX INCREASE COULD POTENTIALLY EXACERBATE THIS PROBLEM, WHICH WOULD THEN LEAD TO DOWN STREAM EFFECTS, LOWER JOB AND ECONOMIC GROWTH IN THE LOCAL ECONOMY AS WELL AS LOWER B AND O TAX PAYROLL AND EXPENSE TAX IN THE NEXT SEVERAL YEARS BECAUSE WHAT HAPPENS TO LARGER BUSINESSES COULD THEN IMPACT OUR TAX BASE. THIS IS ALL SAYING EVERYTHING IS CONNECTED IN OUR ECONOMY OBVIOUSLY, AND SO WE DO HAVE TO THINK ABOUT ALL OF THESE IMPACTS OF MAKING THIS CHANGE ESPECIALLY WITHOUT PERHAPS HAVING TIME FOR -- AS INDIVIDUALS TO ASK REALLY WHAT DO PEOPLE THINK ABOUT BESIDES SMALL BUSINESSES IT IS GREAT THEY WILL HAVE A B AND O TAX EXEMPTION OR REDUCTION, WHICH IS AGAIN WHY I'M SUPPORTING THIS LEGISLATION AND WHY I WILL VOTE TO SEND THIS TO THE VOTERS. THOSE ARE MY COMMENTS. >> COUNCIL PRESIDENT, I'M RAISING MY HAND. >> YOU'RE WELCOME. GO AHEAD. >> I JUST WANT TO NOTE THERE WAS A NOTE THIS PROCESS WAS RUSHED. WE HAD THIS IN COMMITTEE THREE TIMES. I ATTEMPTED TO SCHEDULE ANOTHER COMMITTEE MEETING ON FRIDAY, JULY 25th AND COUNCILMEMBERS LET ME KNOW THEY WERE NOT AVAILABLE. WE ALSO TRIED FOR NOVEMBER JULY 23rd, AND QUORUM WAS NOT REACHED IN ANOTHER COMMITTEE. AND I JUST WANT TO PUT ON THE RECORD WHILE I CAN'T CONTROL THE INTRODUCTION OF THIS, I PUT THAT WE HAD MORE COMMITTEE MEETINGS THAN MANY OTHER HIGHLY CONTROVERSIAL BILLS THAT HAVE COME BEFORE US RECENTLY. THANK YOU. >> THANK YOU FOR THAT. AND I DO HAVE TO RESPOND. FIRST OF ALL, THIS WAS DROPPED IN OUR LAPS WHILE WE'RE TRYING TO DO THESE OTHER VERY IMPORTANT THINGS. BUT WE ARE FACED WITH A DEADLINE OF TOMORROW TO SEND THIS TO THE COUNTY. AND WHILE YOU SAY THAT WE'VE HAD SEVERAL MEETINGS, THE FIRST WAS WE HAD A DISCUSSION IN YOUR COMMITTEE -- I THINK IT WAS YOUR FINANCE COMMITTEE BEFORE I HAD EVEN REFERRED LEGISLATION BECAUSE WE HAD NOT RECEIVED THE LEGISLATION. SO WHEN WE TALK ABOUT THAT FIRST DISCUSSION COUNTING AS -- AS REALITY, I WOULD SAY WE WERE TALKING ABOUT A CONCEPT, AND I ALWAYS WANT TO SEE, YOU KNOW, THE DEVIL IN THE DETAILS. AND THEN OF COURSE WE HAD A SECOND COMMITTEE MEETING, WHICH WAS LAST WEEK. I CAN'T REMEMBER. IT WAS A COUPLE WEEKS AGO BUT WE WERE ALSO TALKING ABOUT A LOT -- THIS IS QUITE DENSE AND THERE WERE OTHER THINGS ON THE AGENDA, SO WE WEREN'T ABLE TO SPEND A HECK OF A LOT OF TIME IN GETTING INTO THE NITTY-GRITTY. AND THEN AGAIN I WOULD SAY OUR CENTRAL STAFF IS REALLY BUSY DOING A LOT ON COMP PLAN, AND WE ALL HAVE THINGS THAT WE'RE PRAPING UP IN COMMITTEE, SO I GUESS WE'LL HAVE TO AGREE TO DISAGREE THIS WAS RUSHED. I PERSONALLY DON'T FEEL I WAS -- THAT I COULD DO MY DUE DILIGENCE OR WHAT I WOULD HAVE LIKED TO HAVE DONE WHEN EXPLORING A MAJOR RESTRUCTURING OF A TAX THAT PROVIDES 30% OF OUR REV FEW. ARE THERE ANY OTHER COMMENTS? I WOULD LIKE TO THEN PROVIDE CLOSING COMMENTS TO COUNCILMEMBER RINCK. >> THANK YOU, COUNCIL PRESIDENT, AND COLLEAGUES, I'VE ALREADY THANKED YOU. OUR COLLEAGUES IN THE MAYOR'S OFFICE, CBO, OERF, AND I THANK YOU ALL AGAIN FOR YOUR WORDS AND YOUR EFFORTS ON THIS LEGISLATION BECAUSE TOGETHER WE'VE GOTTEN THIS LEGISLATION TO A GREAT PLACE. AND WHAT'S PUT TOGETHER WILL NOW BRINGEN AN ANTICIPATED $80 MILLION FOR CRITICAL SERVICES. AND I WANT TO USE THIS TIME TO GIVE SPECIAL THANKS TO COUNCIL CENTRAL STAFF ESPECIALLY TOM AND THE GENERAL NOBLE FOR THE COUNTLESS HOURS THEY PUT IN TO SUPPORT ALL OF US IN CRAFTING AND FINE TUNING THIS BILL. YOUR DEDICATION TO THIS WORK IS INSPIRATIONAL AND I'M VERY GRATEFUL FOR YOUR VERY BIG BRAINS AND HEARTS. WE TRULY COULD NOT DO THIS WORK WITHOUT YOU. AND I WANT TO THANK THE MANY UNION SERVICE PROVIDERS, UNION PARTNERS AND SMALL BUSINESS LEADERS TO SPENT TIME WITH MY OFFICE TO WORKSHOP THIS PROPOSAL AND CHAMPION IT. AND I WANT TO THANK MY TEAM FOR HOSTING ROUND TABLES WITH PROVIDERS, DOING WORKSHOPING, REFINING IN RESPONSE TO FEEDBACK. THE HOURS SPENT CANVASSING COMMERCIAL DISTRICT GOING DOOR-TO-DOOR WENT INTO THIS BUSINESS TODAY. SO TIM, KENNY, RACHEL, THANK YOU FOR YOUR HARD WORK, AND I HOPE SEATTLE THANKS YOU, TOO. COLLECTIVELY WITH A VOTE FOR THIS WE'LL HAVE SHOWN THAT LOCAL GOVERNMENT CAN STEP UP WHEN FEDERAL LEADERSHIP STEPS BACK. THIS IS OUR OPPORTUNITY TO SHOW THAT SEATTLE REMAINS A CITY THAT CHOOSES COLLABORATION OVER DIVISION, THAT INVESTS IN EACH OTHER, AND THAT BUILDS A FUTURE WE ALL DESERVE. AND I BELIEVE THAT WHEN WE GIVE SEATTLE VOTERS THE CHOICE THEY DESERVE, THEY WILL CHOOSE TO SHIELD OUR CITY AND PROTECT WHAT MATTERS MOST. THANK YOU. >> LOOKING TO SEE IF THERE ARE OTHER COMMENTS. OKAY NO. WITH THAT, SEEING NO OTHER COMMENTS, WILL THE CLERK PLEASE CALL THE ROLL ON THE AMENDED LEGISLATION? >> COUNCILMEMBER RIVER MAUCH. >> AYE. >> COUNCILMEMBER SAKA. >> AYE. >> COUNCILMEMBER SOLOMON. >> AYE. >> COUNCILMEMBER STRAUSS. >> AYE. >> COUNCILMEMBER HOLLINGSWORTH. >> YES. >> COUNCILMEMBER JUAREZ. >> AYE. >> COUNCILMEMBER KETTLE. >> AYE. >> COUNCILMEMBER RINCK. >> YES. >> COUNCIL PRESIDENT NELSON. >> AYE. >> NINE IN FAVOR, NONE OPPOSED. >> THE BILL PASSES. WILL THE CLERK SIGN IT, AND PLEASE AFFIX MY SIGNATURE ON THE LEGISLATION ON MY BEHALF. IT SOUNDS LIKE WHAT WE DO WITH ALL LEGISLATION, BUT THE BALLOT TITLE IS IN THE LEGISLATION. IT'S IN SECTION 7, YES, AND THE WORK WILL NOW BE DONE TO -- TO GO AHEAD AND MAKE EVERYTHING SHIPSHAPE SO THAT IT CAN BE SENT TO THE COUNTY IN TIME. OKAY. IN CASE YOU WERE WONDERING. ALL RIGHT, WITH THAT IS THERE ANY FURTHER BUSINESS TO COME BEFORE THE COUNCIL? I'M NOT SEEING ANY HANDS. OKAY, THERE'S NO FURTHER BUSINESS TO COME BEFORE THE COUNCIL, SO WE'VE REACHED THE END OF TODAY'S A. IT IS 3:28. AND THE NEXT CITY COUNCIL WILL MEET TOMORROW, AUGUST 5th, AT 2:00 P.M. HEARING NO FURTHER BUSINESS, WE ARE ADJOURNED.