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The original item was published from 12/5/2022 3:01:01 PM to 12/20/2022 12:00:04 AM.

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Posted on: December 5, 2022

[ARCHIVED] Council: Interlocal Agreement with Housing Authority

At the Dec. 5 City Council meeting, City Council members will review a recommendation to enter into an interlocal agreement (ILA) with King County Housing Authority (KCHA).  The ILA is in support of the Transit Oriented Development and Opportunity Center (TOD OC)

Interlocal Agreement

This agreement would require KCHA to provide certain public benefits with the development of the Transit Oriented Development should they acquire King County Parcel No. 2924069002, the parcel immediately east of the Issaquah Transit Center that would become the Transit Oriented Development and Opportunity Center. This agreement also requires that the lease and move of the telecommunications tower be approved (see separate news item for more details). 

The Administration recommends the City enter into an ILA that would be a binding agreement to govern what benefits get developed as part of the TOD OC project and would also address the additional compensation the City would receive from KCHA for the telecommunications lease at Tibbetts Valley Park from the tower.

Some of the biggest changes from the Memorandum of Understanding (MOU) to the ILA include:

  • A change to the development team.
  • The addition of a possible City lease to Vertical Bridge for the relocation of the telecommunications tower.
  • No mention of the public plaza or other local transportation improvements
  • The ILA does not include mention of the various permitting and design issues that were mentioned in the MOU.
  • The ILA does not mention the multi-family tax exemption (MFTE) the City would potentially provide this property


The Administration recommends authorizing the Mayor to enter into and execute the interlocal agreement with King County Housing Authority (KCHA) for the Transit Oriented Development and Opportunity Center Project in substantive form; and authorize the City Attorney to make subsequent non-substantive technical and legal edits. 

  1. Approve the ILA as written.
  2. Provide additional feedback and changes on ILA.
  3. Do not enter into an ILA.

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