Kitsap County Public Facilities District

The meeting addressed several items, including the removal of an item from the consent agenda due to ongoing audit work, which included discussions about the upcoming exit audit schedule. Public comment was held, where a member inquired about changes to the public registration process and the timing of agenda posting related to a three-year audit. Following the approval of the consent agenda, the main discussion focused on the South Kitsap Community Event Center progress report. Updates included closing on the real estate for the project, completion of schematic designs, and negotiation of the next design phase. Site development plans were presented, detailing infrastructure improvements, proposed public plazas, and raising Bay Street to mitigate flooding from high tides and sea-level rise, with plans to seek federal grants for these roadway improvements. Schematic floor plans for the library space and event space, featuring large decks, a light lab co-working space, and phone booths, were reviewed, noting feedback resulted in a design shift towards a more distinct Northwest aesthetic rather than replicating downtown architecture. Finally, funding sources were discussed, noting an $8 million funding need shared with the library board, potential state legislative support, and projected cost escalations due to inflation, leading to a planned joint meeting to decide on construction material preferences (steel vs. stick frame).

The meeting began with an informal discussion among directors about their favorite vegetables to eat from their gardens. The board then moved to public comment, which included feedback on a potential office space relocation, recommending staying in Silverdale. The consent agenda was approved. A significant portion of the meeting involved a facilities progress report, specifically regarding the partnership with the Port of Bremerton and the Circuit of the Northwest on a major development project. Key discussion points for the project included the public portions: a STEM education center needed due to local labor shortages, relocation of the skidpad testing facility used by over 16 public agencies, the planned large outdoor music event venue taking advantage of natural topography, and the need for the C-Stock theater, which is centrally located. Additionally, the need for a Center for Technology Innovation, Education, and Automation (including carbon fiber training) to address the growing skilled labor deficit was emphasized. The presentation concluded with an introduction to ASM Global as the selected facility management team.

The meeting commenced with a moment of silence in solidarity with the Ukrainian people regarding the war with Russia. Following public comment time, the board proceeded to address the consent agenda, where one item (Item B) was formally removed for later discussion under new business. The remaining consent agenda items were adopted. The main discussion centered on Item Number Four: the Facility Progress Report for the Port of Bremerton and the Circuit of the Northwest public use project. The CEO of the Port of Bremerton expressed excitement about presenting updates on various components, including the Sea Stock Arena, event arena, regional sports area, and associated parking. The presentation from the Joel Cohen Group and Blue Architecture detailed design progress, emphasizing an expansion to provide 1,000 covered seats at the primary outdoor amphitheater, comparable in infrastructure to venues like The Gorge. Architectural elements highlighted campus continuity and the use of sustainable, recycled materials such as rice hulls. Concession areas and bathroom facilities for both the large and small amphitheaters were also discussed.

The primary discussion involved the presentation of a long-term cash flow model for the district by financial advisors from Northwest Municipal Advisors, covering revenues and expenses over the next 21 years. Key components discussed included estimated revenue increases (set at 2% initially), operating expense projections (set at 1.5% initially with a note for potential increases in 2022), and the modeling of debt service for existing bonds, including estimated refunding scenarios. The presentation also detailed projected fund availability for four major projects, noting that some project funding (e.g., Port Orchard at $12 million) is fully committed, while others (Paulsbo and Kitsap County) are committed only for initial stages under the Interlocal Agreement (ILA), with subsequent phases requiring further approval. The session served as an informational overview for the board to begin digesting the long-range financial projections.

The board meeting involved consideration of an Event Fund application from an organization planning a sanctioned USA Powerlifting meet scheduled for December 8th and 9th, 2023. The applicant sought $3,000 for marketing costs, projecting an economic impact of $240,000. Discussions centered on the requirement for the event to be held at a KPFD-funded regional facility, specifically the Kitsap Pavilion, for funding eligibility, as the applicant's backup location (their own facility) might not qualify. The board ultimately approved the funding pending final County approval for the Pavilion use. Additionally, the board addressed a letter from the City of Bainbridge Island expressing support for the Japanese American Exclusion Memorial Association's new Visitor Center and requesting PFD funding for water service installation, which was noted as likely not qualifying under current funding criteria. Positive economic news regarding a nearly five percent increase in May 2023 sales tax rebates compared to the previous year was also shared.