We recommend that the City Council work with the Mayor to incorporate the following proposed standards into the City’s policies and practices for consideration of future public-private partnerships. Our recommendations include these specific steps:

One Year Review

The Mayor and City Council agree to reconvene the Task Force one year after its recommendations are implemented.

At that time, the Task Force be mandated to review the effectiveness of the partnership standards under implementation, and to make recommendations to the Mayor and City Council on further steps.

Definition

Targeted partnerships subject to these standards be limited to partnerships that are directed toward the development of physical space; in which both the City and a private entity (including non-profit organizations) are engaged; where the City is seeking benefits for the public that would not otherwise be provided by the private entity; and where both the City and its partner have a financial interest.

Targeted partnerships automatically subject to these standards be further limited to those that involve at least $5 million in City investment. Investment in this case is not limited to cash, but applies more broadly to such things of value as City property and credit.

In addition to these partnerships, other proposed partnerships be subject to the application of these standards at the direction of the Mayor or City Council.

Partnerships between Public Development Authorities and private entities (including non-profit organizations) be subject to these standards whenever they involve $5 million in City investment beyond that which had been previously made available.

Housing development partnerships and street vacations in which the City is engaged not be subject to these standards because the means of defining and reviewing their public benefit is already established.

Federal funds over which the City has discretion be subject to these standards. Federal funds which are "passed through" the City, and the recipient designated by a federal agency, would not be subject to these standards.

Review Protocol

The attached review protocol be completed by the Mayor’s designee for all partnerships that meet the above definition of a targeted partnership.

The protocol be used in other instances, for non-targeted partnerships, at the discretion of the Mayor, City Council or City departments.

The protocol utilize a cover sheet (attached) detailing the financial and other dimensions of each proposed partnership.

The protocol include a series of attached questions requiring the Mayor’s designee to describe and calculate the public benefits and risk associated with the partnership under consideration.

The Mayor’s designee make the completed protocol available to the Council, representatives of the news media, organizations, citizens, and all other interested parties, and that it be posted on the City’s website. In addition, the City could consider use of designated voice mail, an e-mail listserve, targeted mailings, and municipal television as means of encouraging public comment on a proposed partnership’s public benefit.

The completed protocol be reviewed by the preparing City agency three to five years after its initial preparation to evaluate the extent to which anticipated costs and benefits have materialized.

Project Panel

The Mayor and the City Council select a method for appointment of the project panel which a) guarantees the independence of panel members and the integrity of the process and b) requires only modest provision of staff and support services. Among the possible options are: naming a separate panel in each instance for which a panel review is called, or empanelling a group of up to fifteen who would themselves designate three or more panelists as project panels are called for.

Panelists include persons proficient in such areas as real estate, public finance, neighborhood planning, public engagement, and other special expertise as warranted by the nature of the project. City employees are not eligible to serve on the panel.

The panel be staffed by the Council central staff and City Budget Office.

The panel have the capacity to verify the protocol and other materials related to the proposed project, and to examine anticipated costs and benefits, and to work with City agencies to upgrade the protocol as additional information becomes available.

Panelists work within a timeframe set by the Mayor and Council President to provide ongoing information on the dimensions and benefits of the proposed partnership.

The panel participates in the public engagement process carried out by City departments and the Council.

Framework

The City utilize the attached framework to seek to increase the percentage of partnership projects that emerge from its own comprehensive planning, neighborhood planning, budgeting, and capital investment processes.

The Mayor and City Council annually review the areas of City needs in which partnerships are most likely to be sought.

For each priority area in which the City expects to seek partnerships it encourage public discussion of the goals of such partnerships before specific projects are considered.

Where possible the City identify in its budget process the funds that it anticipates will be utilized to cover the costs of such partnerships.

The City identify areas in which Request for Proposals will be utilized as a means of securing several possible partners, thus considering several alternatives in achieving the desired public benefit.

Once the City indicates its desire or intention to pursue a partnership that is targeted under the above definition, and before negotiations with the private partner are complete, the City proceed to complete the above described protocol and convene the project panel.

Ethics Code

The City adopt language for contracts with City contractors who are agents of the City which: subjects them to actual conflict of interest, use of facilities and gift restrictions and includes a method for reporting potential conflicts as they occur during the term of the contract and penalties for breach.

The City change the Commission enabling ordinance to identify the Seattle Ethics and Elections Commission as the enforcer.