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Real Briefings

Committee of the Whole

BEL-CTW-2025-05-19 May 19, 2025 Committee of the Whole City of Bellingham 16 min
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The Bellingham City Council Committee of the Whole convened for a comprehensive session addressing major policy initiatives from state legislative outcomes to local housing regulations. The meeting opened with positive news from the 2025 state legislative session, including last-minute funding secured for the R.G. Haley waterfront cleanup project through an unusual three-way agreement between the city, Port of Bellingham, and Department of Ecology. Contract lobbyists Nick Federici and Luke Esser provided detailed analysis of the challenging legislative environment, including a $16 billion state budget deficit that limited new spending but still yielded some victories for Bellingham. The council addressed ongoing concerns about cross-border relations with Canada by unanimously approving a goodwill letter to nine neighboring Canadian municipalities. Council Member Michael Lilliquist, who proposed the initiative, emphasized the importance of maintaining cultural and economic ties despite federal immigration policies that have reduced Canadian visitation to the region. A significant portion of the meeting focused on two proposed rental fee ordinances designed to limit "junk fees" charged by landlords. City Attorney Alan Marriner and Planning Director Blake Lyon presented sobering cost projections for city enforcement, estimating potential annual expenses ranging from $250,000 to $2 million depending on complaint volume. The analysis revealed that effective enforcement could require between 1.4 and 12 full-time employees, leading staff to recommend removing city enforcement provisions while maintaining private civil remedies for tenants. Council will continue deliberations on June 2nd in a special work session. The committee also approved amendments to an interim middle housing ordinance, reducing the maximum floor area ratio for single-unit lots from 0.6 to 0.4 to prevent oversized development on small lots while still allowing accessory dwelling units. This reflects

**AB 24548 - Letter to Canadian Municipalities:** Approved 7-0. Council voted to send a goodwill letter to nine Canadian cities (Delta, Richmond, White Rock, Abbotsford, Langley, Vancouver, Surrey, Coquitlam, and Burnaby) affirming commitment to positive cross-border relationships. The letter will be signed by Mayor Kim Lund and Council President Hollie Huthman. **AB 24502 - Manufactured Home Fee Ordinance Amendment:** Approved 7-0. Council amended Section BMC 6.19.090 to insert the word "reasonable" before "opportunity to cure," making it consistent with previous amendments to the residential rental ordinance. This technical amendment ensures landlords receive a "reasonable opportunity" to voluntarily cure violations before penalties ar…

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**State Legislative Session Outcomes:** Deputy Administrator Keller and lobbyists provided comprehensive analysis of the challenging 2025 session marked by a $16 billion state deficit. Key outcomes included $3 million secured for the Bellingham Library through dedicated and local project funding, and breakthrough news that the R.G. Haley cleanup project would receive full $3 million funding through a collaborative agreement allowing the Port and Department of Ecology to reallocate money from non-construction-ready projects. The Recovery Navigator program survived with only a 20% cut rather than elimination, while federal funding uncertainty may trigger a special legislative session by October. **Rental Fee Ordinance Enforcement Debate:** The most substantive policy discussion centered on enforcement mechanisms for proposed ordinances limiting rental fees. City Attorney Marriner argued that city enforcement would fundamentally change the city's role by involving it in financial disputes between private parties, potentially creating false expectations given limited resources. Planning Director Lyon presented detailed cost projections showing enforcement could require 1.4 to 12 FTE depending on complaint volume and case complexity. Council members expressed varying perspect…
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**Nick Federici and Luke Esser (Contract Lobbyists):** Emphasized the challenging fiscal environment in Olympia with unprecedented budget constraints. Praised local delegation support, particularly Representatives Timmons and Ramel, for securing library funding and advocating for R.G. Haley. Warned of potential federal funding impacts requiring special session by October. Recommended continued prioritization of city legislative agenda while anticipating continued uncertainty. **Council Member Daniel Hammill:** Supported alignment with House Bill 1217 for consistency, proposing 12-18 month pilot period with only the 120-day rent increase notice as exception. Emphasized need for comprehensive tenant education and support systems beyond enforcement. Advocated for systematic approaches like universal lease applications and summary cover sheets. **Council Member Lisa Anderson:** Expressed strong support for city enforcement provisions despite cost concerns, arguing that lack of enforcement creates false hope for tenants. Advocated for partnerships with legal aid organizations and suggested potential contractual arrangements for letter-writing and initial…
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**Luke Esser, on legislative session completion:** "Throughout the last couple of weeks of the session, I kept going back and forward as to whether I thought they would get done on time. And there were moments where I was certain they couldn't possibly get it done. And they did get done at 105 days to their credit." **City Attorney Amy Cram, on R.G. Haley funding breakthrough:** "We have some fabulous news. And although we did not get technically funded in this budget, and we're below the fol…
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**June 2, 2025:** Special work session at 10:00 AM in Mayor's Boardroom dedicated to detailed discussion and amendments of both rental fee ordinances (AB 24501 and 24502). Council will address specific provisions, enforcement mechanisms, and alignment with state House Bill 1217. **Tonight (May 19):** Third and final reading of amended middle housing interim ordinance (AB 24550) with reduced floor area ratios during evening regular meeting. **December 2025:** New deadline for completing middle housing implementation, design review streamlining, and ADU regulations under Senate Bill 5558 - accelerated from previ…

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**R.G. Haley Funding Status:** Project moved from unfunded (position #13 on state priority list) to fully funded through unprecedented three-way collaboration allowing Port and Ecology to reallocate $3 million from other projects not ready for construction. **Middle Housing FAR Requirements:** Maximum floor area ratio for single-unit lots reduced from 0.6 to 0.4 to prevent excessive building mass while maintaining ADU compatibility. Change affects small lot development under interim ordinance. **Manufactured Home Ordinance Language:** Added "reasonable" qualifier to opportunity to cure provision, ensuring consistency with residential rental ordinance and legal standar…
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The May 19, 2025 Committee of the Whole meeting provided a comprehensive view of Bellingham's legislative priorities and regulatory challenges, with discussions spanning state lobbying efforts, regional diplomacy, and local housing policy debates that revealed deep tensions about the city's role in enforcement and regulation. ## Legislative Session Victories and Disappointments The meeting opened with city lobbyists Nick Federici and Luke Esser providing their inaugural report on the 2025 state legislative session — the first under Bellingham's new dedicated lobbying contract. The presentation painted a picture of a challenging year in Olympia, where a $16 billion state budget deficit forced difficult choices and limited opportunities for new investments. "This legislative session was particularly challenging for, I think, everyone out there," Federici explained, noting unprecedented turnover in the legislature and Washington's new governor. The state ultimately balanced its deficit with $7 billion in cuts and $9 billion in new revenues, creating a constrained environment for local priorities. The city experienced both triumph and disappointment in the capital budget process. The Bellingham Public Library emerged as a clear winner, securing $3 million in funding — $2 million from the dedicated Library Capital Improvement Program plus an additional $1.03 million through direct intervention by the local legislative delegation. Representative Alex Timmons played a particularly supportive role in advocating for the library project. However, the R.G. Haley remedial action project faced a significant setback. Despite ranking 13th out of 23 projects recommended by the Department of Ecology, the site cleanup fell just outside the funding cutoff when the legislature chose to fund only the top 11 projects. The disappointment was compounded by the Port of Bellingham's project ranking 12th, meaning two Bellingham Bay cleanup projects missed funding by narrow margins. The conversation took a dramatic turn when City Attorney Amy Cram delivered breaking news that had just emerged in ongoing negotiations. In an "unusual agreement," the Port of Bellingham and Department of Ecology had agreed to reallocate funding from port projects not currently under construction to fully fund the $3 million R.G. Haley cleanup. "This is hot off the presses," Mayor Kim Lund explained, crediting the "strength of our relationships and building trust with our partners" for making the un…
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### Meeting Overview The City of Bellingham Committee of the Whole met to receive updates on the 2025 state legislative session, consider diplomatic correspondence with Canadian municipalities, and review several housing-related ordinances. ### Key Terms and Concepts **Interim Zoning Ordinance:** A temporary regulation allowing the city to implement changes while developing permanent ordinances, used here to allow middle housing development citywide. **Floor Area Ratio (FAR):** A calculation determining how much building volume can be constructed on a property — for example, a 0.4 FAR allows 2,000 square feet of building on a 5,000 square foot lot. **R.G. Haley Site:** A contaminated waterfront site (ranked #13 for state cleanup funding) that represents future public access to Bellingham Bay through environmental remediation. **House Bill 1217:** New state legislation that caps rental fees and rent increases, creating potential conflicts with Bellingham's proposed local rental regulations. **Remedial Action Grants:** State funding for environmental cleanup projects, distributed through the Department of Ecology's prioritized list. **LEAD Program:** Law Enforcement Assisted Diversion program that diverts people from the criminal justice system into services, achieving over 90% success rates in reducing recidivism. **Recovery Navigator Program:** State-funded initiative providing support for people transitioning from incarceration, reduced by 20% in the final budget. **Junk Fees:** Excessive or unfair rental charges beyond basic rent, the target of proposed city ordinances for both residential and manufactured home communities. ### Key People at This Meeting | Name | Role / Affiliation | |---|---| | Hollie Huthman | Council President/Committee Chair | | Nick Federici | Contract L…
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