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HomeMy WebLinkAboutCity Council Meeting - Council - Agenda - 05/21/2013 CITY OF KENT ����J ii/i iIJ✓/r >/ r rah' l/r % /��//; City Council Meeting Agenda �. May 21 , 2013 Mayor Suzette Cooke Dennis Higgins, Council President Councilmembers Elizabeth Albertson m Bill Boyce Jamie Perry x Dana Ralph u Deborah Ranniger we Les Thomas CIFY CLERK u �' KENT CITY COUNCIL AGENDAS KENT May 21, 2013 W>_HI. N Council Chambers Mayor Suzette Cooke Dennis Higgins, President Councilmember Elizabeth Albertson Councilmember Bill Boyce Councilmember Jamie Perry Councilmember Dana Ralph Councilmember Deborah Ranniger Councilmember Les Thomas ********************************************************************** SPECIAL COUNCIL WORKSHOP AGENDA 5.00 p.m. Item Description Speaker Time 1. School Speed Zone Traffic Safety Bill Boyce 30 minutes Cameras 2. B & O Tax Update Staff 45 minutes 3. PFD Appointment Process Dennis Higgins 10 minutes 4. Transportation Package Resolution Michele Wilmot 5 minutes ********************************************************************** COUNCIL MEETING AGENDA 7:00 p.m. 1. CALL TO ORDER/FLAG SALUTE 2. ROLL CALL 3. CHANGES TO AGENDA A. FROM COUNCIL, ADMINISTRATION, OR STAFF B. FROM THE PUBLIC - Citizens may request that an item be added to the agenda at this time. Please stand or raise your hand to be recognized by the Mayor. 4. PUBLIC COMMUNICATIONS A. Public Recognition B. Community Events C. Proclamation - Veterans Recognition Day Proclamation D. Public Safety Report E. Intergovernmental Reports 5. PUBLIC HEARINGS 6. PUBLIC COMMENT 7. CONSENT CALENDAR A. Minutes of Previous Meeting and Workshop - Approve B. Payment of Bills - Approve C. Consolidating Budget Adjustment Ordinance - Adopt (Continued) COUNCIL MEETING AGENDA CONTINUED D. Noel, Inc. Consultant Services Agreement — Authorize E. Traffic School Ordinance Amending KCC 9.36 "Traffic Code" — Adopt F. Washington State Department of Social & Health Services Grant — Kent Police Youth Board Project — Accept G. Target Zero Manager Contract — Authorize H. Fiscal Year 2012 BJA Justice Assistance Grant — Accept I. School Zone Traffic Safety Camera Ordinance - Adopt J. American Traffic Solutions Contract - Authorize K. 2012 Building & Fire Codes, Ordinances — Adopt L. S. 231st Way to Veterans Drive Name Change Resolution — Adopt S. OTHER BUSINESS A. King County Interlocal Agreement for Briscoe/Desimone Levee B. 2013 Transportation Investment Package Support Resolution C. Issuance of the Consolidated LID 362 Bond Ordinance D. House-Banked Social Card Room Gambling Tax Reduction Ordinance 9. BIDS 10. REPORTS FROM STANDING COMMITTEES, STAFF AND SPECIAL COMMITTEES 11. EXECUTIVE SESSION AND ACTION AFTER EXECUTIVE SESSION A. Labor Negotiations B. Property Negotiations 12. ADJOURNMENT NOTE: A copy of the full agenda packet is available for perusal in the City Clerk's Office. The Agenda Summary page and complete packet are on the City of Kent web site at www.KentWa.gov An explanation of the agenda format is given on the back of this page. Any person requiring a disability accommodation should contact the City Clerk's Office in advance at (253) 856-5725. 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Introduction and policy Ben Wolters 2. Background Robert Nachlinger 3. Third Party Warehouse Presentation Tom Dooley 4. Data and legal analysis David Galazin 5. Council discussion and questions of staff 1 LAW DEPARTMENT • Tom Brubaker, City Attorney KEN T Phone: 253-856-5770 WASH 1NG�0N Fax: 253-856-6770 Address: 220 Fourth Avenue S. Kent, WA. 98032-5895 MEMORANDUM DATE: May 21, 2013 TO: Mayor Suzette Cooke and the Kent City Council FROM: David A. Galazin, Assistant City Attorney RE: Business & Occupation Tax - Gross Receipts Amendment - Ordinance SUMMARY: City staff presented information related to the city's business and occupation (B&O) tax, the square footage business tax and third-party warehouses to the Operations Committee on May 7, 2013. As requested by the Chair of the Operations Committee, the following information is being provided to the Council for use at the council workshop to be held on May 21, 2013: • A summary sheet regarding the B&O tax, the square footage tax component and third-party warehousing, a copy of which was previously given to the Operations Committee by the Law Department on May 7, 2013. • A copy of a presentation about the city's B&O tax, to be made by the Finance Director. • Information received by the city from Thomas Dooley regarding the financial impact of the square footage tax component on some businesses in the city. • Supplemental information related to the definition of "third-party warehousing," including copies of 26 U.S.C. Section 276 and 26 CFR Section 1.141(c)-2. • Documents pertaining to square footage taxes established by other local jurisdictions. • Copies of B&O tax forms from other Washington cities, including supporting documents. • A draft ordinance amending KCC 3.28, adding a new subsection 3.28.100(11), entitled "Third-Party warehousing." The first portion of this information is being provided to explain the financial analysis of square footage tax on third-party warehouses as presented by the industry, as well as the supporting documentation pertaining to the development of the proposed amendment to KCC 3.28. The latter portion is a representative 2 Memorandum May 21, 2013 Page 2 sample of some of the background material considered by Finance and Law during development of the city's B&O tax filing forms. The square footage business tax complements the B&O tax by applying a minimum rate to those businesses that require city services and place increased demands on city infrastructure but whose gross receipts are largely taxable in other jurisdictions and not taxable by the city of Kent. Business warehouse floor space is subject to a higher square footage tax rate because of the increased impact on services and infrastructure by businesses that operate warehouses. Some businesses in Kent operate warehouses on a contract basis for the temporary storage and handling of goods for unrelated third parties, and while the gross receipts from these businesses are taxable by the city of Kent, the square footage tax is much higher than the applicable B&O tax because these businesses do not generate a high level of gross receipts due to the nature of the industry. Because the square footage tax is aimed at recouping some of the B&O tax attributable to business activity that takes place in Kent but taxed elsewhere, businesses operating third-party warehouses seek a partial deduction in computing taxable square footage in order to adjust for the fact that while the gross receipts of these businesses are mostly taxable in Kent, the applicable square footage rate is disproportionately high in comparison to the B&O tax on those gross receipts. The Law Department will be on hand to answer any questions the Council may have regarding Kent's B&O tax or the proposed amendment. P:\Civil\tiles\Open Hles\1674-B&O Tax\Council Workshop Cover Sheet 5-21-13.Docx 2 3 Square Footage Tax deduction — Operations Committee — May 7, 2013 What is the perceived issue for third-party warehouses' regarding the application of Kent's square footage tax in conjunction with its tax on gross receipts? • Third-party warehouse operators store goods for other companies, facilitate movement in and out, but that is their only business activity in Kent. • Nature of the business model is that facilities are very large, but amount of gross receipts generated per square foot is low. o Likely to owe small amount in gross receipts taxes, but large amounts in square footage tax. o Comparing projected Kent taxes due to amount paid in state B&O for the same activity in Kent shows a significant difference. o Claim is that these businesses are treated unfairly because their square footage tax is so much larger than their gross receipts taxes, unlike any other industry in Kent. What was the rationale for adopting a square footage tax and providing an offset against amount due for tax on gross receipts? Due to tax sourcing rules, a business may conduct a lot of business activity in Kent and place a large demand on city infrastructure without generating gross receipts taxable by Kent - the tax would 'belong' to another jurisdiction (if at all). • Square footage component ensures that all businesses pay a uniform minimum rate based on category - warehouse floor space or other business floor space - so that activity placing demand on city resources can be partially taxed in order to help defray the cost to the city. o Stems 'leakage' of tax outside of Kent. o Incorporated with B&O tax in order to allow tax credit offsets, so a business would only pay solely the square footage tax in the event that the business maintained a large facility in Kent without generating taxable receipts that could be sourced to Kent. o Threshold set so that smaller facilities would not need to compare square footage rate to applicable B&O tax rate. • Difference in rates between categories reflects disproportionate impact on city infrastructure by businesses that operate large warehouses. 4 Square Footage Tax deduction — Operations Committee — May 7, 2013 Is the square footage tax a B&O tax? Technically, no. The square footage tax was crafted in such a way that businesses calculate the amount of square footage tax due in conjunction with the B&O tax, which is a tax on gross receipts, and only pay the higher of the two taxes in any given reporting period. • B&O tax is governed tightly by state law. o City must adopt the provisions of the 'model ordinance' and only has flexibility in setting rates, providing thresholds and in establishing certain exemptions and deductions. • Square footage tax is not a tax on gross receipts and thus is not subject to the provisions of the model B&O ordinance. Do other jurisdictions have both a B&O tax and a square footage tax? Seattle and Bellevue incorporated square footage taxes into their B&O tax several years ago. Several smaller jurisdictions are beginning to follow suit. The rates and application of these taxes vary significantly, but they are all similarly structured. • Seattle: $0.39 per square foot per quarter for most business floor space; $0.13 for subset that includes warehouse space. • Bellevue: $0.2365 per square foot per quarter, but warehouses are exempt. • Algona: $0.015 per square foot per quarter; only applies to business that have no taxable receipts attributable to the city. • DuPont: $0.05 per square foot per quarter for all businesses; most analogous to city of Kent in purpose and application. o Also effective as of January 1, 2013, but adopted independently of the city's B&O tax. Can the city address the third-party warehousing issue in some other way? After thorough consideration of alternatives (adding new rate category, providing credits, exemption of business activity), adoption of an available deduction would be the easiest to incorporate and administer, with the added benefit of simplicity. The length of the proposed amendment is due solely to the complexity in defining what constitutes a 'third party' for city tax purposes. 5. o e Ina MN CL CL OFN N 2 Z O w O z 6 rig ® rD N +o rl+ rD Cn N �' N N "S• ro I rD Ln N W D, Z I n cn cn Q, ro n 90 ® ro n Ln + Q � ® 0- rD �` ° a � � . —• n x E � ® ro rD n n I CLDi � � an r�D ® �. ® rD -0 m rD rD 00 tT I Ln � v, rD — C7 —' �. a) CD ® n rD —I ® Ln ® (D CD• rD rD X ai - � r+ rrDD C� rD ;< _0 Qj 27 a co ro � < rD rD :3 rD CL ® rD ® N r+ 3 w Ln — o 0 z 7 . W 3 3 ® n n o- m fD - w to N --I ® fD ;a < CD fD W ® � • r 0 fD = � ­3 "n r —^ M N C7 W N � m N r N N e-F (D (/� N � -99 (A ' I r ® � N rD Ln -nX XD � o � fD W X x C: r N th "D N O (D N 0- C: fD N r NJ [D n c 20 I N vi � � to rD N : I r+ ' rD 0 N X 4j)' ® Ql ^ n. o W \ O ON fD uj � I NO 0 Cmom a .p A N O O z 8, ® � > n `G :3O O _ (D (D rD ram-l (D r4 cn rD � ® n n a � W Enr9 n n O r-a C: ® �• rD cu D° O CL r-h C: C h �' (D 0 + ®. O \ CD cn to � 3 o Ln rD cn' fD — :3 O w SQ. a- � 3 O � O �. :3 rD -h ® r ® �- r rD _ rD X un s � C- � 3 C: rD V) rD r CL � (D^ N 0 CL �0 O O x 9 0 EA N fD Q EAoi EA r+ CD F=l rD �" I I I v rt o CD � � co m O 3 �. c 3 M EA— �; , (D cn cn' fD O ®GO rl+ DJ O r+ �• X (D 70 ® "0 O C O O V) fD Z- v O 01 70 � n # O E r+ x z o 0 s 10 I O rQ. � W G) W W "E cn —s --� � Ln � avow O cn cn O 70 O T > r— Orq m r+ e-+ :3 � � rD [D rD C' M cr r+ Ln cn r) m uy W CD p n ® �• n � �. 3 fD v' L4 w r Ln fD :3 �• 0- C2. :3 rD cn O T. rD OO cD � E 3 c cn ® r+ rD W v x N S Z Y 0 Z 11 c; INFO VI E TO THE CITY BY TOM DOOLEY 12 Washington State B & O Taxation United Holman Total November Washington State B & 0 Tax*: $4,179.97 $5,277.97 Kent Portion of November Washington B & C*: $3,569.24 $4,886.21 *Charged at a rate of 0.484% City of Kent Taxation January Kent Square Footage Tax: $5,690.001 $10,788.002 Holman Based on _City of Kent vs. Washington State Taxation Levels ® United will pay almost 60% more (59.41%) to Kent than they pay to the State of Washington for Kent-based revenue streams. Holman will pay almost 121% more (120.78%) to Kent than they pay to the State of Washington for Kent-based revenue streams. Fairness and Equity Within Kent Taxation Levels? United Holman Revenue charged a B&O as if earned in Kent3: $1,121.10 $1,389.64 v5. Square Footage Charged: $5,690.00 $10,788.00 Effective B & 0 tax Rate of Square Footage Tax: 0.771% 1.18% THE BOTTOM LINE: United will pay taxes at an effective tax rate that is 407% higher than any other Kent business and Holman will pay taxes at an effective tax rate that is 676% higher than any other Kent business. How can this be considered fair and equitable taxation? 1 Based on United having 569,000 square feet located in Kent charged at$0.01 per square foot per month. 2 Based on Holman having 1,788,000 square feet located in Kent charged at$0.01 per square foot per month. 3 Levied at the HIGHEST B&0 Rate authorized in the City of Kent of 0.152%. 13 B&O TAX COMPARISON STATE TO CITY United Holman Washington State B&O Tax(.484) 4,179.97 5,277.97 Square feet 569,000 1,078,800 B&O Tax represents 863,630.17 1,090,489.67 Dollars per square foot generated $ 1.52 $ 1.01 City B&O tax for same period (.152) 1,217,72 1,562.54 Square footage tax @ .03 17,070.00 32,364.00 Square footage tax @ .02 11,380.00 21,576.00 Square footage tax @ .015 8,535.00 16,182.00 Square footage tax @ .01 5,690.00 10,788.00 Total City B&O tax collected @ 0.03 $ 17,070 $ 32,364 0.02 $ 11,380 $ 21,576 0.015 $ 8,535 $ 16,182 0.01 $ 5,690 $ 10,788 City B&O compared to State @ 0.03 408% 613% 0.02 272% 409% 0.015 204% 307% 0.01 136% 204% Amount of City B&O as a %of income 0.03 1.98% 2.97% 0.02 1.32% 1.98% 0.015 0.99% 1.48% 0.01 0.66% 0.99% City B&O Tax Comparison Kent, Seattle, Bellevue United Holman Kent Seattle* Bellevue* Kent Seattle* Bellevue* City B&O Tax 1,217.72 1,856.80 1,291.99 1,562.54 2,344.55 1,631.37 B&O rate 0.1520 0.2150 0.1496 0.1520 0.2150 0.1496 City Sq. Foot Tax 17,070.00 - - 32,364.00 - - Sq. Foot rate 0.03 0.13 0.2365 0.03 0.13 0.2365 * Seattle exempts businesses from square footage tax if all of their business occurs in Seattle- Bellevue exempts warehouses from their square footage tax 14 Galazin, David From: Thomas Dooley[doolsl0@comcast.net] Sent: Wednesday, March 20, 2013 9:41 AM To: Goehring, Robert; Nachlinger, Robert; Wolters, Ben; Hanson, Kurt; Galazin, David Cc: Cooke, Suzette Subject: RE: Third Party,Logistics Warehouses in Kent Attachments: Kent Warehouse Worksheet.xlsx Oops. Here is the spreadsheet... Dools From: Thomas Dooley [mailto:dools1O@comcast.net] Sent: Wednesday, March 20, 2013 9:40 AM To: 'Goehring, Robert'; 'Nachlinger, Robert'; 'Wolters, Ben'; 'Hanson, Kut; 'Galazin, David' Cc: 'scooke@kentwa.gov' Subject: Third Party Logistics Warehouses in Kent Gentlemen: After a very thorough review of the area businesses and many actual drive-bys,we have compiled the following spreadsheet for your review. I believe Robert Goehring has sent you all the proposed federal definition that we used to compile who fits this list. What is difficult is that many of the addresses for what warehouses we "know" exist in Kent were not assumed on the list we received under our Public Records Act request from Kent. We have put an asterisk by those we could correlate to the Kent list. As you will see, only 6 out of 19 could be correlated. It seems all others were not accounted for in the financial assumptions for the square footage tax in the first place. We hope this spreadsheet shows that we are trying to narrowly focus this reduction in the square footage tax to a limited number of warehouse operators and bring them more in line with what their B&O tax liability would be. It should be noted that even with the change to the$0.04 per year rate, many of these companies.will pay over twice what their B&O liability would be. They are o.k.with this given the intent of the city to raise revenue for roads from those who may use them more. They just don't want to be 700% higher than their B&O would be. We are ready at any time to discuss this issue further with you,the Mayor and the Council to get this done. Let me know what the next steps are from here. Regards, Thomas Dooley President Principled Solutions 360,870.5225 (Cell) 1 t O Z C r T. 2 ni m D N = 2 O m rr = fD X r CL n D m m = O o O O O 3 X X N fi S m L ro n o S = n• 6 O R1 ro ro Q C O vro N O d4 M C r 'N 'y rD m 90 O nR, nF O r O' 3 O v O' v O OG C< (D n O N D O O ao t+ W A A 0 0 ro rt Vf W N Ol N N N N d D N W 6t O In Ui O In O V O 3 V O O , O O 0 0 O p to O ro N w w .� O O 00 00 O CD 00 O 00 O O 00 00 OO O 00 00 O V V ro X VN Ln O O O H O O O th to _ to in in to in -U+ in in in in va to v. to to to A � 3 O N r M w o N C w i••+ Ln O N m i In N N 01 00 W lD OD X O O S In m W O O W O O) m Ot W W 0) h Ot O O O V W O O W O V V V W W V V V 1/ 4V -U� VY 4/ m O_ a D D m 3 c O v O to VI O � 3 VI W Ol AN O Ol N N 00 CD N 1-� 00 O O •_ <n' O N A O A O O O O O O 0 0 0 0 W O O O "' O O O O O O 0 0 0 0 0 O O O O X O O O '6 O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O G O O O O O O O O O O O O O O O (D 61 V O U_ N 00 T O tO 00 0 0 00 O 00 N 00 O N N M F+ W F+ F+ O G to Ol re 00 A W -,l N O N A C N W N O =t V O N N w N O O O W '* i F O to M y V , F+ V W V tO O -p to 00 In O O to N N O cn w l0 m O In 00 w m N (p -,! m O O. O O c c ,Ai. r a c O -,AC A O In A N V A S O. O O" D D nOi r+ •a rn D D N D D D D 00 O D tO F' G G tO ETN G G W < G 0- G 00 N M fD p O O ti ro M A (D M ro fD ro -On G D (D N (A l/1 ro N In ro N ro ro S N N ro VI #D z N D (DN D m O .%t C rD S M .O-� M M M a a O S m S ro .� (D C C S Cn N N uro C O r N 0 N O 7 16 Galazin, David To: Galazin, David Subject: RE: 3rd Party Warehousing -Conversation with Tom Dooley From:Thomas Dooley (mailto:dools10@comcast.netl Sent: Thursday, February 14, 2013 9:33 AM To: Goehring, Robert Subject: Definition THIRD-PARTY LOGISTICS PROVIDER.—The term 'third-party logistics provider' means an entity that provides or coordinates warehousing,distribution,or other logistics services of a product in interstate commerce on behalf of a manufacturer or wholesaler, of a product, but does not take ownership of the product, nor have responsibility to direct the sale or disposition of the product. Robert A. Goehring, CFE, CPA, City Auditor Internal Audit I Finance Department 220 Fourth Avenue South, Kent, WA 98032 o ` I Phone 253-856-52621 Fax 253-856-6255 i rooehringAKentWA.Dov "WwEv<wtiiew www.KentWA.aov PLEASE CONSIDER THE ENVIRONMENT BEFORE PRINTING THIS E-MAIL This electronic mail (including any attachments) may contain information that is privileged, confidential, and/or otherwise protected from disclosure to anyone other than its intended recipient(s). Any dissemination or use of this electronic email or its contents (including any attachments) by persons other than the intended recipients) is strictly prohibited. If you have received this message in error, please send notification immediately by reply email. Please then delete the original message (including any attachments) in its entirety. 1 17 SUPPORTING H DEFINITION F "THIRD-PARTY WAREHOUSING" 18 3PL Def from various jdx's: Code of "Third-party logistics provider" means an entity that provides or Georgia§ 26-4- coordinates warehousing, distribution, or other services on 201. Definitions behalf of a manufacturer but does not take title to a drug or have (20) general responsibility to direct the sale or other disposition of the drug. To be considered part of the normal distribution channel, a third party logistics provider must be an authorized distributor of record. (relates to pharmacies) Iowa Code 155A.3 DEFE4MONS. (24) "Logistics provider"means an entity that provides or coordinates warehousing, distribution, or other services on behalf of a manufacturer or other owner of a drug, but does not take title to the drug or have general responsibility to direct its sale or other disposition. o}0d' lru� �dinitr�t�0n �f��a r�ct`®f 20�� Bate May302a12 _ , ` s ` t S r 3 ' 1iOCatfgn �ash121gtOII �� t i..li. a _ e ..........u'T i ' t »La7 O"Q2277 E 1 thankthe gentleman nary much fob}�e3d3ng ' J a if �I commend tha`Hne�ana Cnmmexcg Comnuttee fox producing a pood:prece oP1eg{slahoa 3 also went ev app3and , �theefforts to enhance the safety of Anienca's phatmaceuhcal'aupply chain YJln1e we are forluna{e m Y�menca to not; i a yet liave}',a wtdespread heal pio6letmferfett drags pose a serrolas mco th nsk`to a71 consumers` �5 The cuirenGpafchw�x7Co�Statasequua➢nents5ns�hcensul� however makes supply chain compliance and safety utcons�sfentaud�Ella�leagutg;wliic;Eti,ppfcxjtaa'11y�;;opazdlzesthesafety,andwelfari;ofrrt3lhbn�vfAmancans Unless,; 19 tfaam�formT�edGralpbl�cy�k.oyer�tg all�"harinaceuticai supplyahamstakeholders�s exacted,�e t�S will fa�i to ` ��de ihet�sibilrty and le8erage teC}u_io3ogy that wil�pcovade arsupenor cost�ffechve coasumer Prnieciaon `31vrd1Yarrylogistce�rov�ders,or3PL5 are�laytngae,�owmgand�mporYanrrolemmalangsurelhaisafea�edicmes �reaah then-destanahons�Tle terms thud pariylag�shcs provsder"refers to an enaty That provrdes or coorduiates ' warehbusnig,'dslnbuttor�vrothez servrces oR behalf of a manafacYtser fCr rrenfly )edt raI law dries noCyecogWza the role ova 3PL Only ona State today offer a L'cense fnr 3PLs;Other r5tafes regmre�LPL tbply forxa whglesale dutnbntpz license even though 3PLs dop t 6ny or sell drugs SThewarymg�atchwarkc of iiiconsasYenf Stateredunements does not p'rnvader opnnium law enforcement ..... there �is au added cast wrthouta suety benefit 3Plsneed to be defined m Federal legislatian and properly licensed ` �Inclydmga°3EL defimhon i3a Fedaral 3anguaga u asirong fuskStep towards the deveiopment.of vmform Federal; � r staniiards and3l'I,1tceRses' , r � r I kvant'#a thank my colleagues oa the Energy and Cnmrneree Committee m arlvaace for a successful and constructive: t r'lY s i 1 i l �confecence processa and3 am'confident thafw�can enhance the supply eham safety nit a reasonable and cost- , f BREv1R.1N'fRANSCRIPT'1 �� '' � '< . , ........._. n... ._,,.—.,... ......_ ._.. r ......nc+. .—a .N u— _.v..Lr .. .. .. ... a .v ... 1. ...! . . . . ..:I _ .. http://votesmart.org/public-statement/6985 83/food-and-drug-administration- reform-act-of-2012#.UW3G3gKR 4Q [Congressional Record Volume 158, Number 74 (Tuesday, May 22, 201.2) ] [Senate] [Pages S3400-S34201 From the Congressional Record Online through the Government Printing Office [www.gpo.govI Search ended—4.16.2013 20 Third-party warehousing. In computing the square footage tax imposed under section 3.28.050(2), there may be deducted from the measurement of business warehouse floor space by those engaged in business as a third-party warehouse sixty percent of the total square footage used exclusively for the storage of goods, materials or other products during the entire reporting period. For purposes of this section, "third-party warehouse" means a business that provides storage or handling of goods, materials or other products on behalf of another person but does not take title to or ownership of the products or have general responsibility to direct the sale or other disposition of the products. A business that stores or handles any products on behalf of a related entity, as defined in Section 276 of the Internal Revenue Code, or an entity under common control pursuant to 26 CFR Section 1.414(c)-2, shall not be considered a third-party warehouse. KCC 3.28.100(11) Third-party warehousing. In computing the square footage tax imposed under section 3.28.050(2), there may be deducted from the measurement of business warehouse floor space by those engaged in business as a third-party warehouse sixty percent of the total square footage used exclusively for the storage of goods, materials or other products during the entire reporting period. For purposes of this section, "third-party warehouse" means a business that provides storage or handling of goods, materials or other products on behalf of another person but does not take title to or ownership of the products or have general responsibility to direct the sale or other disposition of the products. A business that stores or handles any products on behalf of a related entity, as defined in Section 276 of the Internal Revenue Code, or an entity under common control pursuant to 26 CFR Section 1.414(c)-2, shall not be considered a third-party warehouse. P:\Civil\Files\Open Files\1674-8&O Tax\Draft 3PL deduction 4.18.13.doc AJIBI13 26 USC 257-Losses,expenses,and lnti-�st vAth respect to trarsadions,bslv related taxpayers Tide 26-Internet Revenue Code I U.S.Code I Ul IL.. 21 S-arch Corneff h�adl Of Ut�- , ASOWLI! i GET THELAW 1 HRDAIAMM J LaaALWCYCLOPE�iA I HE.PUJT r. ers� CIA] USC >Title 26>Subtitle A, Chapter I >Subchapter 9> PREV NEXT U,S.CODETOOLBOX Part IX>§267 — I SEARCH US CODE: 26 USC§ 267- Losses, expenses, and interest with respect to 0 transactions between.related taxpayers Wex:Income Tax:Overview USIC-Iffellim US Code Noles Update, Author i-.s(CFP,) Title 26 USC.RSS Feed a Table of Popular Names Parallel Table of Authorities USCPrellm Is a preliminary release and may be subject to further revision before it is released again as a final version- Current through Pub.L 112-143 exceptI12-141 (See Public Laws for the current EoncLress-) Q_onations cover only 20%ofo"rcosts (a) in general (1) Deduction for losses disallowed No deduction shall be allowed in respect of any loss from the sale or exchange of property,directly or indirectly,between persons specified in any of the paragraphs of subsection (b)-The preceding sentence shall notapplyto any loss of the distributing corporation(or the distributee) in the case of a distribution in complete liquidationlyC (2) Matching of deduction and payee income item in the case of expenses and interest (A) by reason of the method of accounting of the person to whom the payment is to be made,the amount thereof is not(unless paid)includible in the gross income of IAWAVBOUT...ARTICLES FROM"FEX such person,and - (B) at the close of the taxable year of the taxpayer for which(but for this paragraph) - Share Shareholder the amount would be deductible under this chapter,both the taxpayer and the person to whom the payment is to be made are persons specified in any of the paragraphs of - Silent partner subsection(b), . Partnership - Limited partnershlo' then any deduction allowable under this chapter in respect of such amount shall be allowable as of the day as of which such amount is includible in the gross income of the person to whom the payment is made(or,if later,as of the day on which it would be so allowable but for this paragraph)-For purposes of this paragraph,in the case of a FIND IAWTER personal service corporation(within the meaning of section 441 Qf21),such corporation All lawyers and any employee-owner(within the meaning of section 2UA(b)(2) as modified by section 441 LiK2))shall be treated as persons specified in subsection (b)- (3) Payments to foreign persons (A) In general 1GETINVOLVED, The Secretary shalt by regulations apply the matching principle of paragraph(2)in 111 Announce Slog cases in which the person to whom the payment is to be made is not a United States 111 Supreme Court Bulletin person.. MAKE A DONATION (9) Special rule for certain foreign entities CONTRIBUTE CONTENT (I) In general Notwithstanding subparagraph(A),in the case of any item payable to a RECOME A SPONSOR controlled foreign corporation(as defined in section 25 J7 or a passive foreign GIVE FFEDBAC vmwia,vxornell.edukisoodeftelr2CJ267 116 411e113 26 USC§267-tossmepmses,and interest I,Mo26-Internal RevenrieCade t U.S-Cadet UlIt,Z investment company(as defined in .don 1297),a deduction shall be allowable to �> - the payor with respect to such amount for any taxable year before the taxable year in which paid only to the extent that an amount attributable to such item is - includible(determined without regard to property allocable deductions and qualified deficits under section 99 cd )(1}M during such prior taxable year in the gross income of a United States person who owns(within the meaning of section 958 La)) stock in such corporation- (I!)Secretarial authority The Secretary may by regulation exempt transactions from the application of clause(i),including any transaction which is entered into by a payor in the ordinary course of a trade or business in which the payor is predominantly engaged and in which the payment of the accrued amounts occurs within 81/2 months after accrual or within such other period as the Secretary may prescribe. (b) Relationships The persons referred to in subsection(a)are: (1) Members of a family,as defined in subsection(c)(4); (2)An individual and a corporation more than 50 percent in value ofthe outstanding stuck of which is owned,directly or indirectly,by or for such individual; (3)Two corporations which are members of the same controlled group(as defined in subsection(f)); - (4) A grantor and a fiduciary of any trust; (5)A fiduciary of a trust and a fiduciary of another trust,ifthe same person is a grantor. of both trusts; (6) A fiduciary of a trust and a beneficiary of such trust; (7)A fiduciary of a trust and a beneficiary of another trust,if the same person is a grantor of both trusts; (8) A fiduciary of a trust and a corporation more than 50 percent in value of the outstanding stock of which is owned,directly or indirectly,by or for the trust or by or for a person who is a grantor of the trust; (9) A person and an organization to which section S01 (relating to certain educational and charitable organizations which are exempt from tax)applies and which is controlled directly or indirectly by such person or(if such person is an individual) by members of the family of such individual; (10)A corporation and a partnership if the same persons own— (A) more than 50 percent in value of the outstanding stock of the corporation,and (8) more than 50 percent of the capital interest,or the profits interest,in the partnership; (1 1)An S corporation and another 5 corporation if the same persons own more than 50 percent in value of the outstanding stock of each corporation; (1 2)An 5 corporation and a C corporation,if the same persons own more than 50 percent in value of the outstanding stock of each corporation;or (13) Except in the case of a sale or exchange in satisfaction of a pecuniary bequest,an executor of an estate and a beneficiary of such estate_ III (c).Constructive ownership of stock For purposes of determining;in applying subsection(b),the ownership of stock— (1) Stock owned,directly or indirectly,by or for a corporation,partnership,estate,or trustshall be considered as being owned proportionately by or for its shareholders, partners,or beneficiaries; (2)-An individual shall be considered as owning the stock owned,directly or indirectly, wwrr.lEwcemall.eduhmcodet nV262S7 9/6.. 4118113 26 USC§2157-Losses,openses,and inte---t with respect to transactions between related ta>payars I The 26-Internal Revenue Code I U.S.Code I LIl/23 by or for his family; (3) An individual owning(otherwise than by the application of paragraph (2))any stock in a corporation shall be considered as owning the stock owned,directly or indirectly, by or for his partner; (4)The family of an individual shall include only his brothers and sisters(whether by the whole or half blood),spouse,ancestors,and lineal descendants;and (5) Stock constructively owned by a person by reason of the application of paragraph (1) shall,for the purpose of applying paragraph (1),(2),or(3),be treated as actually owned by such person,but stock constructively owned by an individual by reason of the application of paragraph(2)or(3)shall not be treated as owned by him for the purpose of again applying either of such paragraphs in order to make another the constructive owner of such stock. (d) Amount of gain where loss previously disallowed if— (1) in the case of a sale or exchange of property to the taxpayer a loss sustained by the transferor is not allowable to the transferor as deduction by reason of subsection(a) (1)(or by reason of section 24(b) of the Internal Revenue Code of 1939);and (2) after December 31, 1953,the taxpayer sells or otherwise disposes of such property (or of other property the basis of which in his hands is determined directly or indirectly by reference to such property)at a gain, then such gain shall be recognized only to the extent that it exceeds so much of such loss - as is properly allocable to the property sold or otherwise disposed of by the taxpayer.This subsection applies with respect to taxable years ending after December 31, 1953.This .subsection shall not apply if the loss sustained by the transferor is not allowable to the transferor as a deduction by reason of section 1091 (relating to wash sales)or by reason of section 119 of the Internal Revenue Code of 1939. (e) Special rules for pass-thru entities (1) In general In the case of any amount paid or incurred by,to, or on behalf of,a pass-thru entity, for purposes of applying subsection(a)(2)— (A) such entity, (B) in the case of— (i) a partnership,any person who owns(directly or indirectly)any capital interest or profits interest of such partnership,or (it) an S corporation,any person who owns(directly or indirectly)any of the stock of such corporation, (C) any person who owns(directly or indirectly) any capital interest or profits interest of a partnership in which such entity owns(directly or indirectly) any capital interest or profits interest,and (D) any person related(within the meaning of subsection (b)of this section or section 707(b)(1))to a person described in subparagraph (B)or(C), shall be treated as persons specified in a paragraph of subsection(b).Subparagraph (C) shall apply to a transaction only if such transaction is related either to the operations of the partnership described in such subparagraph or to an interest in such partnership. (2) Pass-thru entity For purposes of this section,the term"pass-thru entity"means— (A)a partnership,and (B) an S corporation. (3) Constructive ownership in the case of partnerships w .law.=nell.edu/uscodette)d261267 316 4118113 26 USC§257-tosses,e)penses,and interest vdth respect to transactions beMeen related twpayers Title 26-Internal Revenue Code U.S.Ccde Ul/ 4( i 1 For purposes of determining ownerst,., of a capital interest or profits interest of a partnership,the principles of subsection(c)shall apply,except that— (A) paragraph(3)of subsection (c)shall not apply,and (B) interests owned (directly or indirectly)by or for a C corporation shall be considered as owned by or for any shareholder only if such shareholder owns (directly or indirectly) S percent or more in value of the stock of such corporation. (4) Subsection (a)(2) not to apply to certain guaranteed payments of partnerships In the case of any amount paid or incurred by a partnership,subsection (a)(2) shall not applyto the extent that section 707,(c)applies to such amount. (5) Exception for certain expenses and interest of partnerships owning low- income housing (A) In general This subsection shall not apply with respect to qualified expenses and interest paid or incurred by a partnership owning low-income housing to— (i) any qualified 5-percent or less partner of such partnership,or (11) any person related (within the meaning of subsection(b)of this section or section 707,(b),(1) to any qualified 5-percent or less partner of such partnership. (B) Qualified 5-percent or less partner For purposes of this paragraph,the term"qualified 5-percent or less partner"means any partner who has(directly or indirectly) an interest of 5 percent or less in the aggregate capital and profits interests of the partnership but only if— (i) such partner owned the low-Income housing at all times during the 2-year period ending on the date such housing was transferred to the partnership,or (11) such partnership acquired the low-income housing pursuant to a purchase, assignment,or other transfer from the Department of Housing and Urban Development or any State or local housing authority. For purposes of the preceding sentence,a partner shall be treated as holding any interest in the partnership which is held(directly or indirectly)by any person related (within the meaning of subsection (b)of this section or section 707(b)(1))to such partner. (C) Qualified expenses and interest For purpose of this paragraph,the term"qualified expenses and interest"means any expense or interest incurred by the partnership with respect to low-income housing held by the partnership but— (1) only if the amount of such expense or interest(as the case may be) is - unconditionally required to be paid by the partnership not later than 10 years after the date such amount was incurred,and (ii) in the case of such interest,only if such interest is incurred at an annual rate not in excess of 12 percent. (D) Low-income housing For purposes of this paragraph,the term"low-income housing"means— (i) any interest in property described in clause(i),(ii),(iii),or(iv)of section 1250 Sal M(B),and (H) any interest in a partnership owning such property. (6) Cross reference For additional rules relating to partnerships,see section 707(b). (f) Controlled group defined; special rules applicable to controlled groups w .la ..cromell.edu/uscodOeW261267 416 Nmm a 26 USC§2b7-Losses,expenses,and inkr-st with respect to transactions between related twpaprs(Title 26-Internal Revenue Code U.S.Code LII/L. 25 (1) Controlled group defined For purposes of this section,the term"controlled group"has the meaning given to such term by section 1 563 Laa,,except that— (A) "more than 50 percent"shall be substituted for"at least 80 percent"each place it appears in section 1 563 (a),and (8) the determination shall be made without regard to subsections(a)(4)and (e)(3)(C) ofsection 1563. (2) Deferral (rather than denial) of loss from sale or exchange between members . . In the case of any loss from the sale or exchange of property which is between members of the same controlled group and to which subsection(a)(1)applies (determined without regard to this paragraph but with regard to paragraph(3))— (A) subsections(a)(1)and(d) shall not apply to such loss,but (B) such loss shall be deferred until the property is transferred outside such controlled group and there would be recognition of loss under consolidated return principles or until such other time as may be prescribed in regulations. (3) Loss deferral rules not to apply in certain cases (A)Transfer to DISC For purposes of applying subsection (a)(1),the term"controlled group"shall not include a DISC. (B) Certain sales of inventory r Except to the extent provided in regulations prescribed by the Secretary,subsection (a)(1)shall not apply to the sale or exchange of property between members of the same controlled group (or persons described in subsection (b)(10)) if— (i) such.property in the hands of the transferor is property described in section 1221 faM, (ii) such sale or exchange is in the ordinary course of the transferor's trade or business, (iit) such property in the hands of the transferee is property described in section 1221 a 1 ,and (iv) the transferee or the transferor is a foreign corporation. (C) Certain foreign currency losses To the extent provided in regulations,subsection(a)(1)shall not apply to any loss sustained by a member of a controlled group on the repayment of a loan made to another member of such group if such loan is payable in a foreign currency or is denominated in such a currency and such loss is attributable to a reduction in value of such foreign currency. (D) Redemptions by fund-of-funds regulated investment companies Except to the extent provided in regulations prescribed by the Secretary,subsection (a)(1)shall not apply to any distribution in redemption of stock of a regulated investment company if— (1) such company issues only stock which is redeemable upon the demand of the stockholder,and (11) such redemption is upon the demand of another regulated investment company. (4) Deteemination of relationship resulting in disallowance of loss, for purposes of other provisions For purposes of any othif section of this title which refers to a relationship which would result in a disallowance of losses under this section,deferral under paragraph (2)shall be treated as disallowance. w.wwlaw.cornell.eduluscodelte)/26/267 546 41IW13 26 USC§267-Losses,expenses,and inlerestwith respect to transactions bolveen related laipayers Title 26-Internal Revenue Code U.S.Ccde I Ul (g) Coordination with section 1041 Subsection (a)(1)shall not applyto any transfer described in section 1041 ,{a),(relating to transfers of property between spouses or Incident to divorce). LII has no control over and does not endorse any external Internet site that contains links to or references Ul. Avoid Tax Relief Rio-Offs Safe Help w/A+ 9136/Rated Company.Owe$10,0007 Cali to Finance Today! Imdebt-relief.net/Hanest-Help AdCholces la _--------_------._._..____...._------ ABOUT LH CONTACT US ADVERTISE HERE HELP TERMS OF USE PRIVACY i w,wvlamcorndl.edWuscode/te?tr/2C><267 6/6 418113 26 CFR 1.414(c)-2-Two or more trades or-nines under ccenaw confrd.J Title 28-Internal Resu e J Code ofFederal Regulations J UI I Legal Ink>r... 27 5<_arch Cornell - search aU of L& Go! --- A.ra7JfL41 i GEr Si_Lk1N )= r F7fvm,AltiwYEe i t�*3'AL EM:7.^.l,.OPc.�A 1 eiF_?mil" � lraiixv, 9116 fo5owers� LPc� Slk CFR >Title 26> Chapter 1>Subchapter A, Part 1 > PREY I I CFRTOOLBOX Section 1.414(c)-2 NEXT ! - -"— SEARCH CFR: oil 26 CFR 1-4 I4C l C -2-TWO Or more trades Or businesses 11IldeT Income Tax:OveL__rview from Wex common control. VieweCFR Table of'Popular Names There are 48 Updates appearing in the Federal Register for 26 CFR 1.Select the =: i Parallel Table of Authorities tab below to view,or View eCFR(GPOAccess) i CFR Updates AutcorR-ies(LLS.Cade) Rufemalring —� Prey I next § 1.414(c)-2 Donations corer only 20%of our msts Two or more trades or businesses under common control. (a) In general.For purposes of this section,the term"two or more trades or businesses 1, under common control"means any group of trades or businesses which is either a ' "parent-subsidiary group of trades or businesses under common control"as defined in paragraph(b)of this section,a"brother-sister group of trades or businesses under n common control"as defined in paragraph(c)of this section,or a"combined group of trades or businesses under common control"as defined in paragraph(d)of this section. For purposes of this section and§§1.414(c)-3 and 1.414(c)-4 the term"organization" -- - • means a sole proprietorship,a partnership(as defined in section 7701(a)(2)),a trust,an y estate,or a corporation. (b) Parent-subsidiary group of trades or businesses under common control— (I) In general,The term"parent-subsidiary group of trades or businesses under common control"means one or more chains of organizations conducting trades or businesses connected through ownership of a controlling interest with a common parent LAW ABOUf.,.ARTICLES FROM VVFX organization if— I • Shareholder (i) A controlling interest in each of the organizations,except the common parent , . Common stock organization,is owned(directly and with the application of§ I.414(c)-4(b)(1), .iStock relating to options)by one or more of the other organizations;and , pohuc corporation (it) The common parent organization owns(directly and with the application of§ Stock certificate I.414(c)-4(b)(1).relating to options)a controlling interest in at least one of the other �___—_._______.—_—_.—__� organizations,excluding,in computing such controlling interest,any direct ownership interest by such other organizations. FINTA LAWYER .(2) Controlling interest defined—(i) Controlling interest. For purposes of paragraphs(b)and(c)of this section,the phrase'controlling interest"means: I Lawyers i near Kent, Washington (A) In the case of an organization which is a corporation,ownership of stock Lawyers:oet listed for freel possessing at least 80 percent of total combined voting power of all classes of stock entitled to vote of such corporation or at least 80 percent of the total value of shares Andrew John Wyman of all classes of stock of such corporation; (0) In the case of an organization which is a trust or estate,ownership of an Business Law,Tax Law actuarial interest of at least 80 percent of such trust or estate; Bellevue,WA I gold Badge (C) In the case of an organization which is a partnership,ownership of at least 80 percent of the profits interest or capital interest of such partnership;and _ (0) In the case of an organization which is a sole proprietorship,ownership of such sole proprietorship. Christopher M. Larson vNmJawzmldl.edWdrlfexbWI 414(c)-2 114 4/1&113 26CFR IAV1 c)-2-Twoa mxetradas.m businesses under commoncontrd.I Tide 26-Internal P nnue I Code of Federal Regulations I Ul/Legal lnfor... (H) Actuarial interest. For purpos,,of this section,the actuarial interest of each j Bankruptcy,Business law,Elder Law,_Fstate beneficiary of trust or estate shall be determined by assuming the maximum exercise Planning,Foreclosure Defense,Probate,Ta'.: Law of discretion by the fiduciary in favor of such beneficiary.The factors and methods Bellevue,WA prescribed in.4 20.2031-7 or,for certain prior periods,y 20.2031-7A(Estate Tax i gold Badge Regulations)for use in ascertaining the value of an interest in property for estate tax purposes shall be used for purposes of this subdivision in determining a beneficiary's All lawyers actuarial interest. (c) Brother-sister group of trades or businesses under common control—(1) In general.The term"brother-sister group of trades or businesses under common control" ; GET INVOLVED means two or more organizations conducting trades or businesses if(i)the same five or fewer persons who are individuals,estates,or trusts own(directly and with the application j LII Announce Blau of§ 1.414(c)-4)a controlling interest in each organization,and fi)taking into account the ownership of each such person only to the extent such ownership is identical with respect Lil Supreme Court Bulletin to each such organization,such persons are in effective control of each organization.The MAKE A DONATION five or fewer persons whose ownership is considered for purposes of the controlling CONTRIBUTE CONTENT interest requirement for each organization must be the same persons whose ownership is i BECOME A SPONSOR considered for purposes of the effective control requirement. GIVE FEEDBACK (2) Effective control defined. For purposes of this paragraph,persons are in "effective,control"of an organization if— I IRS Tax Relief Attorney (i) In the case of an organization which is a corporation,such persons own stock Dealing with the IRS?Free IRS Tax Evaluation.v wTax.[onLawMM5 min possessing more than 50 percent of the total combined voting power of all classes of stock entitled to vote or more than SO percent of the total value of shares of all Avoid Tax Relief Rip-Offs P Safe Help w/A+BBB/Rated Company.Owe classes of stock of such corporation; $10,000?Can to Finance Todayl nsdebt-migf netManest-Help (ii) In the case of an organization which is a trust or estate,such persons own an Tax Resolution Sen&ew aggregate actuarial interest of more than 50 percent of such trust or estate; Industry Pioneers Since 1998.Don't Be Fooled by Imitators) T 0. lut' n min (ili) In the case of an organization which is a partnership,such persons own an aggregate Of more than 50 percent of the profits interest or capital interest of such ERISA Lawyers Experienced help with your claim.Denied or partnership;and terminated?Can today. The ERISALaeGmw min AdCholces Bs (iv) In the case of an organization which is a sole proprietorship,one of such persons owns such sole proprietorship. (d) Combined group of trades or businesses under common control-The term "combined group of trades or businesses under common control" means any group of three or more organizations,if(1)each such organization is a member of either a parent- subsidiary group of trades or businesses under common control or a brother-sister group of trades or businesses under common control,and (2)at least one such organization is the common parent organization of a parent-subsidiary group of trades or businesses under common control and is also a member of a brother-sister group of trades or ' businesses under common control. (e) Examples.The definitions of parent-subsidiary group of trades or businesses under common control,brother-sister group of trades or businesses under common control, and combined group of trades or businesses under common control may be illustrated by the following examples. .. .... .____ ....._.. _- ._ .. . ...- -._..- - -----.... . .. . .. . .._ ...-.............-- -... - . . Example 1. (a)The ABC partnership owns stock possessing 80 percent of the total combined - voting power of all classes of stock entitled to voting of S corporation.ABC partnership is the common parent of a parent-subsidiary group of trades or businesses under common control consisting of the ABC partnership and S Corporation. (b)Assume the same facts as in(a)and assume further that 5 owns 80 percent of the profits interest in the DEF Partnership.The ABC Partnership is the common parent of a , parent-subsidiary group of trades or businesses under common control consisting of the ABC Partnership,S Corporation,and the DEF Partnership.The result would be the same if the ABC Partnership,rather than 5,owned 80 percent of the profits interest in S the DEF Partnership. vmw.law.cornell.edLVcfrfleAMI.414(c)-2 214 41IW13 _26CFR 1A14(c)-2-Twoor moretrades or-`,� Inesses under commoncontrol.I Title 26-Internal Rawnue Code of Federal Reg ulations Ult Leg al Infor... _____.... . _.._..___ .. .__.._._..._._ ._._. _ ..._....... 29 I Example 2. L Corporation owns 80 percent of the only class of stock of Corporation,and T,in 1 turn,owns 40 percent of the capital interest in the CHI Partnership.L also owns 80 percent of the only class of stock of N Corporation and N,in turn,owns 40 percent of the capital Interest in the CHI Partnership.L is the common parent of a parent- , subsidiary group of trades or businesses under common control consisting of L Corporation,T Corporation,N Corporation,and the CHI Partnership. Example 3. ABC Partnership owns 75 percent of the only class of stock of X and Y Corporations;X owns all the remaining stock of Y,and Y owns all the remaining stock of X.Since i interorganization ownership is excluded(that is,treated as not outstanding)for purposes of determining whether ABC owns a controlling interest of at least one of the other organizations,ABC is treated as the owner of stock possessing 100 percent of the voting power and value of all classes of stock of X and of for purposes of paragraph(b)(1)(I!)of this section.Therefore,ABC is the common parent of a parent- subsidiary group of trades or businesses under common control consisting of the ABC Partnership,X Corporation,and Y Corporation. Example 4. Unrelated individuals A,B,C,D, E,and F own an interest in sole proprietorship A,a capital interest in the CHI Partnership,and stock of corporations M,W,X,Y,and Z(each of which has only one class of stock outstanding) in the following proportions: Under these facts the following four brother-sister groups of trades or businesses under common control exist:CHI,Xand Z;X,Y and Z;W and Y;A and M.In the case of CHI,X,and Z,for example,A and B together have effective control of each organization because their combined identical ownership of CHI,X and Z is greater than 50%.(A's i identical ownership of CHI,X and Z is 40%because A owns at least a 40%interest in 1 each organization.B's identical ownership of CHI,X and Z is 30%because B owns at least a 30%interest in each organization.)A and B(the persons whose ownership is considered for purposes of the effective control requirement)together own a controlling interest in each organization because they own at least 80%of the capital i interest of partnership CHI and at least 80%of the total combined voting power of corporations X and Z.Therefore,CHI,X and Z comprise a brother-sister group of trades or businesses under common control.Y is not a member of this group because neither the effective control requirement nor the 80%controlling interest requirement are met.(The effective control requirement is not met because A's and a's combined identical ownership in CHI,X,Y and Z(20%for A and 30%for B) does not exceed 50%. The 80%controlling Interest test is not met because A and B together only own 70%of the total combined voting power of the stock of Y.)A and M are not members of this j group because B owns no interest in either organization and A's ownership of CHI,X and Z,considered alone,is less than 80%. Example 5. The outstanding stock of corporations U and V,which have only one class of stock outstanding, is owned by the following unrelated individuals: Any group of five of the shareholders will own more than 50 percent of the stock in each corporation,in identical holdings.However,U and V are not members of a brother-sister group of trades or businesses under common control because at least 80 percent of the stock of each corporation is not owned by the same five or fewer persons. Example 6. A,an individual,owns a controlling interest in ABC Partnership and DEF Partnership. ABC,in turn,owns a controlling interest in X Corporation.Since ABC,DEF,and X are each members of either a parent-subsidiary.group or a brother-sister group of trades or businesses under common control,and ABC is the common parent of a parent- ' v,vw✓.law.cornell.edulcfrtteA12611.414(c)-2 314 4118113 26 CFR 1A14(c)-2-Tuoor more trades.nr businesses under common control.[Title 26-Internal F �nue Code of Federal Regulations LJI/Le,,al Info3.0 subsidiary group of trades or businesL ander common control consisting of ABC and X,and also amember of abrother-sister group of trades or businesses under common control consisting of ABC and DEF,ABC Partnership,DEF Partnership,and X Corporation are members of the same combined group of trades or businesses under common control. [T.D.8179,53 FR 6606,Mar.2, 1988,as amended by T.D.8540, 59 FR 30102,June 10, 19941 Chanter 7 Means Test Determine If Chapter 7 Is an Option for You,Complete a Free Evaluation vmw.ChaoterZmm AdCholces m ABOUT LII CONTACT US ADVERTISE HERE HELP TERMS OF USE PRIVACY [LIT] vnvv.1mCornell.edLVcfrlte#/2611.414(c)-2 414 31 OTHER WASHINGTON SQUARE FOOTAGE TAXES 41' .'13. - B&0Tamr;—Cityof Algona,Washington 32 Search this we6ste_ SEARCH Norm j City Nears ''.; CRY Utilities i Mayor's Onice City Cbumi Poke I Public worts '.,. BurIng PemrRs Contact !: B &O Taxes City of Algona The City of Algona enacted a business&occupation tax on January 1,2000.We are working wth our 4D2 Warde Street business partners to make the process as easy as possible.This guide provides a basic overview of Algona's , business&occupation taxes to assist you in completing your return. Algona,WA 98001 Additional information and specks relating to your business can be found in Chapters 5.05 and 5.06 of the j (253)833-2897 Algona Municipal Code or by contacting the City Administration Department at(253)833-2897. ---- ----- ......---- Copies of Algona's Code are available at the Algona/Path library,Administration Department and on our t Metro&SHOW webste. ' ib Get to the Know! Click here to download the B&O Tax Return Gtitl hereto visit '.. ' � r Metro's online weh511e Highlights of the Business&Occupation Tax ='^ on how to use Metro in • All businesses doing business in the City,whether located in the City of outside City Omits must obtain a the event of Snout. City of Algona business license. 6h;W4tr�lntt+* • All businesses are subject to the B&O tax unless specifically exempted by the City of Algona code. 10555"M • Businesses with annual gross receipts of$40,000 or less($10,000 per quarter)are exempt from tax. ---- --- -- --- • The current B&O tax rate s.045%of grass receipts.Businesses located within Cry of Algona 6mts and generate no gross receipts are subject to a square footage tax of.015 per square foot. 2010 Budget Business&Occupation Tax Due Dates Algona Aerial Mew '. Algona City Map Period Ending March 31st- Payment Due April 30th '.. Algona Zoning Map Period Ending June 30th- Payment Due July 31st _ Metro AnIml services Newsletter Property Taxes Period Ending September 30th- Payment Due October 31st ! :: Period Ending December 31st- Payment Due January 31st Riasourtes - Annual Returns Due January 31st Alpac Elementary PTA Business&Occupation Tax Forms: Auburn School District City of Auburn Business&Occupation Tax Report Form City of Pacific Business&Occupation Multiple Activities Credit Form Federal Government Household Hazardous Waste—King County Key Links Concepts long County Election Maps long County Government Metro Animal Servkes State of Washington :. Washington State Legislature City of Algona Site Map Contact Ls (di 2011-201.2 Oty of Algona 402 Warde Street Webste designed and maintained by Bob Dunn-bobwp.cum Algeria,WA 98001 (253)833-2897 Contact Bob Return to top of page Copyright 2013 Genesis Framework-WomPress-Log in i W .cityofalgona.con✓contactladrrddstraton/Iro-taxrs! 1!1 APR-13-2011 0:49 P.OS 33 City of Algona City of Algona 402 Warde Street Business & Occupation Tax Return Algona, WA 98001 Please make checks payable to the City of Algona (253) 833-2897 REPORTING PERIOD. JAN-MAR © APR-JUN ❑ JULY-SEP ❑ OCT-DEC ❑ ANNUAL ❑ Business Name Algona Business License# Street Address UBl# City State Zip Federal Tax ID# SECTION I: Business Changes Please note any changes to your business ❑ Business Closed or sold. Please note date &new owner below ❑ Business moved. Please note new address below ❑ Mailing address changed. Please note new mailing address below ❑ Phone number changed. Please note new phone number below SECTION II: Cross Receipt Tax Tax.Class Gros's Receipts DeduWbns Taxable Receipts Tax Rate TeX Due Colunin t Column 2 Column 3 Column 4 Column 5 Column 6 Extracting/Extracting _00045 For hire Manufacturing/ .00045 Processing for hire Wholesaling .00045 Prin+{ng/P11 Nish]ng .00045 Retailing/Retail .00045 Service Service&Other .00045 TOTALS If your Tt9TAL gross receipts (column 2)are less than$40,000 (annual return)or$10,000 (quarterly return) you we exempt from Algona's Business & Occupation tax. Write 15XEMPT under TOTAL and mail in your return. APR-13-201i 13:49 P.02 SECTION III: Deductions(see instructions for details) 34 Type of I?eduatlon Amount of Deduction,from Section 11—Columin 3 Foreign& Interstate retail &wholesale sales Cash/Trade Discounts Credit Losses/Bad Debt Gross Receipts reported to another City-detail below City Gross Receipts "city Gross Receipts SECTION IV: Square Footage Tax The square footage tax is paid by businesses with a physical location in the City of Algona in excess of three thousand square feet that has no reportable gross receipts outlined in section II. Sgtlar�'Faotage Tax Rate . Square Footage Taxi T$x Dub.(if annual, CgitS!ith 1, Coluritn.3 multiple by four) Column 2 Column 4 . .015 SECTION V: Amount Due Tatai'Du&Sections li &IV Cred➢t;(atW*It multiple activity credit farm) Reitaltjr> ,. , , TOTAL DuI Due Dates: 18`Quarter April 3V 2"d Quarter July 311 3b Quarter October 31' 4t' Quarter January 31' Annual January 31st Penalties: nn� I n ,�.,•. ,a i.....0 + 1 0 /,.,inirnf im F n0\ 1 —30 days delinquent 5% (minimum $5,00) 3 4 —M days ue„f q ei+ 5/5 I, ,:,,•,••..,,, 61+ days delinquent 25% (minimum $5.00) certify,.under perjury, that I have examined this return and any accompanying schedules and statements, and to the best of my knowledge and belief, it is a true, correct and complete return_ Sig9ist r +p ; ugnat or repres'ontative i�� \..ayfi4•:��=e1:•..n L,3i;,`lV.} .ffv .; ii ' Date I TOTAL P.02 35 Business License and B&O Tax FAQ's What new business license and B&O taxes have recently been adopted? Employee-based Business License(Ordinance No. 12-943). The City has revised the license fee for the City s General Business License from its past $50.00 flat fee to a variable fee depending upon the number of employees. If your business has 0 (owner only)to 24 employees the license fee is$75.00, if your business has 25 to 99 employees the license fee is$300.00, and if your business has 100 employees or more the license fee is$500.00. This business license will continue to be administered by the Washington State Department of Revenue through their Master Business License Program. Rental Housing Business License(Ordinance No. 12-944). The City has adopted a new business license requirement for any property owner in DuPont who uses his/her property as a residential rental. A Rental Housing Business License is required if property is used as a rental for any part of the year and the license fee is based upon the total number of residential units owned and used as rentals. For a single unit the fee is$75.00,for 2 to 4 units the license fee is $75.00 plus$5.00 per unit, for 5 to 24 units the fee is $150.00 plus $5.00 per unit and for 25 units or more the fee is$300.00 plus$5.00 per unit. This business license will be administered directly by the City of DuPont and application forms for the Rental Housing Business License will be available from City Hall or from the City's web-site. Square Footage Business and Occupation Tax (Ordinance No. 12-946). This is a new business and occupation tax that will only affect a very small number of DuPont businesses whose business activities use more than 20,000 square feet of office, warehouse and/or research space. The tax is$0.05 per square foot per quarter of net Taxable Floor Area as defined in the ordinance. This tax is administered directly by the City.and has its own B&O tax form available on the City's web-site in the Finance Department's Business Information section. When did the City adopt these taxes? These new requirements were adopted at the Council meeting on December 11, 2012 to be effective January 1, 2013. This was done as part of the City's overall efforts to produce a balanced budget for 2013 and to provide the City with longer-term financial stability. Why did the City choose these taxes and license fees? These changes were part of a year-long effort by the City to identify cost reductions and revenue enhancements sufficient to provide long-term financial stability. This involved a number of study sessions by the City Council and the appointing of a citizens committee to help advise the Mayor and Council. These efforts were discussed in City Council meetings,were regularly reported upon by the local press and were ultimately adopted in a well attended public meeting. 36 he rsOP47 rs December31,2012 RE: New City of DuPont Square Footage Tax Dear Business Owner: The City of DuPont has adopted a new Business and Occupation (B&O)Tax based upon the square footage of office, warehouse/dist0bution and/or light manufacturing and research space. We have identified your business as one likely to be impacted by this new tax. On December 11, 2012 the DuPont City Council adopted Ordinance No. 12-946 which imposes a tax at a rate of $0.05 per square foot per quarter on businesses located in DuPont with 20,000 square feet or more. "Taxable Square Footage" is defined in the ordinance as gross square feet of the building less some non- usable space such as stairs, elevator shafts, etc. as listed in the language of the ordinance. The ordinance also provides for a deduction for DuPont gross receipts B&O taxes paid. Please refer to the specific language in the ordinance for how this deduction is computed. This tax is due quarterly, payable in the month following the end of the quarter. For example, the tax for the quarter ending March 31, 2013 must be received by the City by April 30, 2013 to avoid late charges. The Quarterly Square Footage Tax form is enclosed for your use. Additionally, documentation of your Taxable Square Footage calculation must be provided with your first quarterly report for our records. Thank you in advance for your cooperation as we work through implementing this new B&O tax. Sincerely, Dawn Masko City Administrator Enclosures: Quarterly Square Footage Tax Form DuPont Ordinance No. 12-946 City of DuPont 1700 Civic Drive DuPont,Washington 98327 253-964-6121 phone 253-964-3554 fax 37 CITY OF DUPONT 1700 Civic Drive DuPont, Washington 98327 Phone: 253-912-5388 FAX: 253-964-1455 Notice of Land Use Application Northwest Logistics Center II Barghausen Consulting Engineers, on behalf of Mr. Nick Griot, filed a Type II land use application with the City of DuPont on March 20, 2013, to construct a 695,000 sq ft warehouse on a 29 acre site. The application was determined complete for processing on March 25, 2013. The DuPont file number is ADM 13-01. The subject site is located at the northeast comer of International Place and Center Drive, Pierce County Assessor's Parcel Numbers 300039-0010 through 0210 and 300039-0240through 0270. A Type If land use decision and Type If environmental decision must be obtained from the City of DuPont. The public may comment on this Notice of Type 11 land use application by submitting written comments to the City of DuPont no later than 4 p.m., April 26, 2013. Please contact Bill Kingman, AICP, Planning Manager, at 253-912-5393 (phone), 253- 964-1455 (fax), or bkingman@ci.dupont.wa.us, or mail at 1700 Civic Drive, DuPont, 98327, for additional information. Date of Notice: March 27, 2013 38 ORDINANCE 1477 AN ORDINANCE OF THE CITY OF NORTH BEND, WASHINGTON, REPEALING NORTH .BEND MUNICIPAL CODE CHAPTER 5.04 RELATING TO BUSINESS LICENSE AND BUSINESS AND OCCUPATION TAX, AND ADOPTING A NEW CHAPTER 5.04; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE WHEREAS, state law authorizes municipalities to impose a Business and Occupation tax on business activities within the City; and WHEREAS, the Washington State Legislature enacted EBB 2030, codified at Chapter 35.102 RCW,requiring all cities levying a general business and occupation tax to revise their ordinances to be consistent with the "model ordinance" for municipal gross receipts business and occupation tax created through the Association of Washington Cities;and WHEREAS, the City of North Bend previously adopted the mandatory provisions of the model Business and Occupation tax ordinance codified at Chapter 5.04 North Bend Municipal Code;and WHEREAS,between 2010 and 2012,the Washington State Legislature adopted various changes to RCW 35.102, RCW 48.14 and 48.17, and the national streamlined sales tax agreement, and these changes in turn required that all cities levying a general business and occupation tax revise their ordinances to be consistent with certain amendments to the"model ordinance;"and WHEREAS,there are six primarily"housekeeping" changes to the model ordinance, including: (1) addition of a"digital goods"definition and apportionment of tax relating thereto; (2) adjustment of B&O tax as applied to individuals serving on a board of directors; (3) repeal of the "Super Nexus" provision that previously provided for imposition of a B&O tax upon businesses entering into a contract within the City; (4)preemption of insurance business taxes; (5)inclusion of a deduction for interest on investments or loans secured by first mortgages on residential properties; and (6) addition of confidentiality provisions; and WHEREAS, the City Council of the City of North Bend wishes to amend the current Business and Occupation Tax Code and the Business License Code to comply with statewide changes to the "model"ordinance; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF NORTH BEND, WASHINGTON,DOES ORDAIN AS FOLLOWS: Section 1. Repealer. Chapter 5.04 of the North Bend Municipal Code ("NBMC") is hereby repealed in its entirety. Ordinance 1477 I 39 Section 2. New Chapter 5.04 NBMC Adopted. A new Chapter 5.04 (Business and Occupation Tax Code)NBMC is hereby adopted to read as follows: Chapter 5.04 BUSINESS AND OCCUPATION TAX CODE Sections: 5.04.010 Purpose. 5.04.015 Business License Required. 5.04.020 Exercise of Revenue License Power, 5.04.029 Administrative Provisions. 5.04,030 Definitions. 5.04.050 Imposition of the Tax—Tax or Fee Levied. 5.04.070 Multiple Activities Credit When Activities Take Place in One or More Cities With Eligible Gross Receipt Taxes. 5,04.075 Deductions to Prevent Multiple Taxation of Manufacturing Activities and Prior to January 1, 2008, Transactions Involving More Than One City With an Eligible Gross Receipts Tax. 5.04.076 Assignment of Gross Income Derived From Intangibles. 5.04.077 Allocation and Apportionment of Income When Activities Take Place in More Than . One Jurisdiction. 5.04.078 Allocation and Apportionment of Printing and Publishing Income When Activities Take Place in More Than One Jurisdiction. 5.04,090 Exemptions. 5.04.100 Deductions. 5.04.120 Tax Part of Overhead. 5.04.130 Severability Clause. 5.04.140 Confidentiality,privilege and disclosure. 5.04.010 Purpose-Exercise of revenue license power. A. The provisions of this chapter shall be deemed an exercise of the power of the city to license for revenue. They are intended to provide a uniform methodology for levying a gross receipts tax on business entities, and nothing in this chapter should be construed as limiting a city's ability to levy and collect a business privilege tax on any other basis; such as a tax on square footage, a tax on annualized full-time equivalents (i.e., "head tax"), a graduated annual license tax, or any other tax calculated on a basis other than a gross receipts tax(e.g.,upon the gross income of the business, gross proceeds of sales, or value of products multiplied by tax rates). B. The provisions of this chapter are subject to periodic statutory or administrative rule changes or judicial interpretations of the ordinances or rules. The responsibility rests with the licensee or taxpayer to reconfirm tax computation procedures and remain in compliance with the City code. Ordinance 1477 2 40 CITY OF DUPONT WASMNGTON ORDINANCE NO. 12-946 AN ORDINANCE OF THE CITY OF DUPONT, PIERCE COUNTY, WASHINGTON, AMENDING DMC SECTION 3.07.050 RELATING TO THE IMPOSITION OF BUSINESS AND OCCUPATION TAXES, AND PROVIDING FOR SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS,the City of DuPont levies a Business and Occupation tax upon many businesses occurring in the City, for the purpose of raising revenue to fund, among other things, the costs of governmental services needed by such businesses; and WHEREAS, some businesses operate headquarters, general offices, warehouses, distribution centers, and/or light manufacturing and research uses within the City that require governmental services and create service impacts but which are largely exempt from existing Business and Occupation taxes; and WHEREAS, several cities impose a business tax based upon square footage of office space used for administrative and support activities, and non-retail activities and services in order to fund service impacts resulting from those activities„and WHEREAS, the City Council has determined that it is in the public interest to impose a similar tax on the square footage of office, warebouee/distribution and/or light manufacturing and research space; NOW,THEREFORE,THE CITY COUNCIL OF THE CITY OF DuPONT DOES HEREBY ORDAIN AS FOLLOWS: Section 1 Amendment of DMC Section 3.07.060. DuPont Municipal Code Section 3.07.050,as such exists following adoption of Ordinance No. 12-940, is hereby amended to read as follows: 3.07.050 Imposition of the tax-tax or fee levied. (a) Except as provided in subsection (b) of this section, there is hereby levied upon and shall be collected from every person a tax for the act or privilege of engaging in business activities within the City, whether the person's office or place of business is within or without the City. The tax shall be in amounts to be determined by application of rates against gross proceeds of sale, gross income of business, value of products, including by-products, or square footage of office, warehouse/distribution and/or light manufacturing and research space, as the case may be, as follows: I 41 (1)Upon every person engaging within the City in business as an extractor; as to such persons the amount of the tax with respect to such business shall be equal to the value of the products, including by-products, extracted within the city for sale or for commercial or industrial use, multiplied by the rate of one tenth of one percent. The measure of the tax is the value of the products, including by-products, so extracted, regardless of the place of sale or the fact that deliveries may be made to points outside the City. (2)Upon every person engaging within the City in business as a manufacturer, as to such persons the amount of the tax with respect to such business shall be equal to the value of the products, including by-products,manufactured within the city,multiplied by the rate of one tenth of one percent. The measure of the tax is the value of the products, including by-products, so manufactured, regardless of the place of sale or the fact that deliveries may be made to points outside the City. (3) Upon every person engaging within the City in the business of making sales at wholesale as to such persons, the amount of tax with respect to such business shall be equal to the gross proceeds of such sales of the business without regard to the place of delivery of articles, commodities or merchandise sold,multiplied by the rate of one tenth of one percent. (4) Upon every person engaging within the City in the business of making sales at retail, as to such persons, the amount of tax with respect to such business shall be equal to the gross proceeds of such sakes of the business, without regard to the place of delivery of articles, commodities or merchandise sold,multiplied by the rate of one tenth of one percent. (5) Upon every person engaging within the City in the business of(A) printing, (B) both printing and publishing newspapers, magazines, periodicals, books, music, and other printed items, (C) publishing newspapers, magazines and periodicals, (D) extracting for hire, and(E)processing for hire; as to such persons, the amount of tax on such business shall be equal to the gross income of the business multiplied by the rate of one tenth of one percent. (6) Upon every person engaging within the City in the business of making sales of retail services; as to such persons; the amount of tax with respect to such business shall be equal to the gross proceeds of sales multiplied by the rate of one tenth of one percent. O Upon every person who leases, owns, occupies, or otherwise maintains a structure within the City for purposes of engaging in business within the City, as to such persons the amount of the tax shall be equal to$0.05 per square foot of Taxable Floor Area per quarterly period of a calendar year, for each office, warehouse/distribution and/or light manufacturing and research use that is actively used for such purposes within the city during the reporting period, calculated to the nearest square foot. i 42 (A) The square footage tax imposed in this subsection (7) shall not apply . to any person unless that person's Taxable Floor Area within the city exceeds 20,000 square feet. This is a threshold and not an exemption. If the square footage tax applies, it applies to all Taxable Floor, Area of office warehouse/distribution, light manufacturing and research space that is actively used for such purposes by the taxpayer during the applicable reporting period. ($) For purposes of the square footage tax imposed in this subsection (7), "Taxable Floor Area" of office, warehouse, distribution center or light manufacturing and research space shall be computed on the basis of net rentable area. Persons with more than one office, warehouse, distribution center or light manufacturing and research space within the city must include all such businesses' square footage within the city, calculated as follows: (i) Rentable Area — Single Tenancy Floor. The rentable area of a single-tenancy floor, whether above or below grade, shall be computed by measuring to the inside finish of permanent outer walls, or from the glass line if at least 50% of the outer wall is glass. Rentable area shall include all area within outside walls, less stairs, elevator shafts, flues, pipes shafts, vertical ducts, air conditioning rooms, fan rooms, janitor closets, electrical closets and such other rooms not actually available to the tenant for his/her furnishings and personnel, and their enclosing walls. Toilet rooms within and exclusively serving only that floor shall be included in the rentable'area. No deductions from the rentable area calculation shall be made for columns and projections necessary for the building. (ii) Rentable Area—Multiple-Tenancy Floor. The rentable area for a multiple-tenancy floor, whether above or below grade, shall be the sum of all rentable areas on that floor. The rentable area of an office on a multiple-tenancy floor shall be computed by measuring to the inside finish of permanent outer building walls, or to the glass line if at least 50% of the outer building wall is glass, to the office side of corridors and/or other permanent partitions, and to the center of partitions that separate the premises from adjoining rentable areas. No deductions from the rentable area calculation shall be made for columns and projections necessary to the building. (iii) For purposes of this section, net rentable area shall not include company gyms, cafeterias, and the retail selling area of a retail store- (iv)When the Taxable Floor Area of an office, warehouse/distribution and/or light manufacturing and research use 4,3 changes during a reporting period, the tax shall be computed on a monthly basis. For purposes of this allocation, a month shall be deemed to be 16 or more days during any calendar month. (C) The terms `office", "warehouse/distribution", and "light manufacturing and research" shall have the meanings set forth in DMC Sections 25.10.150, 25.10.230, and 25.45.020. (D) When a person rents space to another person,the person occupying the rental space is responsible for the square footage business tax on that rental space only if the renter has exclusive right of possession in the space as against the landlord. Space rented for the storage of goods in a warehouse where no walls separate the goods and where the exclusive right of possession in the space is not held by the person to whom the space is rented, and space rented out in "self- storage" facilities whereby customers have direct access to individual storage areas by separate entrances, shall be included in the warehouse business floor space of the person that operates the warehouse business, and not by the person renting the warehouse space. (E) If the square footage tax imposed in this subsection(7)is less than or equal to the gross receipts tax imposed in subsections 3-6 and/or 8 above,no square footage tax will be due; if the square footage tax imposed in this subsection(7) exceeds the gross receipts tax imposed in subsections 3-6 and/or 8 above,the taxpayer shall also remit the excess over the gross receipts tax payable under subsections 3-6 and/or 8. (8) Upon every other person engaging within the City in any business activity other than or in addition to those enumerated in the above subsections; as to such persons, the amount of tax on account of such activities shall be equal to the gross income of the business multiplied by the rate of one tenth of one percent. This subsection includes, among others, and without limiting the scope hereof(whether or not title to material used in the performance of such business passes to another by accession, merger or other than by outright sale), persons engaged in the business of developing, or producing custom software or of customizing canned software, producing royalties or commissions, and persons engaged in the business of rendering any type of service which does not constitute a sale at retail, a sale at wholesale, or a retail service (b) The gross receipts tax imposed in this section shall not apply to any person whose gross proceeds of sales, gross income of the business, and value of products, including by- products, as the case may be, from all activities conducted within the City during any calendar year is equal to or less than $20,000, or is equal to or less than $5,000 during any quarter if on a quarterly reporting basis. i 44 (c) The director may promulgate rules and regulations regarding the manner, means and method of calculating any tax imposed under this section. Section 2. Severability. A. If any section, subsection,paragraph sentence,clause, or phrase of this ordinance is declared unconstitutional or invalid for any reason by any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. B. If the provisions of this ordinance are found to be inconsistent with other provisions of the DuPont Municipal Code, this ordinance is deemed to control. Section 3.Effective Date.This ordinance shall become effective five(5) days after passage and publication as provided by law,but no sooner than January 1,2013. ADOPTED BY THE CITY COUNCIL AT A REGULAR MEETING THEREOF ON THIS 11Ta DAY OF DECEMBER, 2012. CITY OF DuPONT Michael Grayum,Mayor ATTEST/AUTHENTICATION: Erin Larsen,City Clerk APPROVED AS TO FORM: Bob C. Sterbank, City Attorney Ordinance No.: Filed with the City Clerk: Passed by the City Council: Date of Publication: Effective Date: 45 Square Footage Business & Occupation aN�, AstN Tax Quarterly Report V rTQry (Ordinance No. 12-946) t ,a> wa�mmar�s.uooYe" DuPont Business License#: Company Name: Address: City, State, Zip: Email Address: ❑ Return is for the quarter ending: ❑ We have less than 20,000 Taxable Square Footage in DuPont— No tax owed 1) Taxable Floor Area: 2) Tax Owed (line 2 times .05): 3) Deduction for B&O Tax Paid: 4) Total tax due (line 3 less line 4): 5) Penalty: 6) Payment Due: (line 5 plus line 6): Payment is due in our office by the end of the month following the end of the quarter. If no payment is due, a report still must be filed. Any payments received after the due date will be assessed a penalty as follows: 1 to 40 days delinquent— 10% of tax due, a minimum of$5.00 41 to 70 days delinquent— 20% of tax due, a minimum of$5.00 71 + days delinquent— 30% of tax due, a minimum of$5.00 Prepared by: Phone: PRIM NAME Signature: Date: Mail with payment to: City of DuPont, 1700 Civic Drive, DuPont, WA 98327 - - - - - -- - - - - - - - - - - - ---- - - - - - - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - City of DuPont use only Date received: CR# City of DuPont 1700 Civic Drive DuPont,Washington 98327 253-964-8121 phone 253-964-3554 fax C+y 46 Community Finance Committee Community Development Department Presentation March 28, 2012 Community Development Department ® 2012 Budget-$594,954 (10%of General Fund Budget) o Planning o Building o Engineering Staffing Levels o Planning Manager, Building Official, Building Inspector o Contract City Engineer—Gray& Osborne Services Provided o Administers City's Comprehensive Plan and Land Use Code o Processes land use applications, design reviews,zoning changes, and DMC code amendments o Provides staff support to the Planning Agency o Issues all building related permits &inspects work authorized by the permits o Reviews planning permits o Processes&tracks all permits—planning,civil,building,and fire o Technical Review Committee o Provides support to citizens, contractors,designers, City staff,County&State agencies throughout project development, construction, completion, and occupancy permits o Code enforcement efforts o Engineering services& review throughout all phases of projects o Engineering review of stormwater design reports,traffic impact analysis, geotechnical reports, development designs, and street designs • Current Projects o Shoreline Master Program Update o Flood Hazard Reduction Ordinance o Sign Ordinance o Commute Trip Reduction Act participation o Buildable Lands Inventory o Annual DuPont Population Estimate o Development Review—Active A TRAX Project(178 residential units; 12,000 square foot retail space) Hampton Inn (115 rooms) Liberty Inn Hotel Expansion (31 rooms) e Patriots Landing Skilled Nursing Facility Building Addition (48 beds) R Creekside Village (15 buildings—160 residential units) ® DuPont Corporate Park(1.5 million sq ft warehouse) 47 I o Williamson Plat Lots 4&5 (93,000 sq ft warehouse) I e Northwest Logistics Center Warehouse (225,000 sq ft warehouse) ® DuPont Skate Park(6,000 sq ft) j Glacier Mine North Parcel (200 acres) o Development Review—Work on Potential Projects ® Industrial Plat Warehouse (693,000 sq ft warehouse) .. ■ McDonald's split drive thru lane ® DuPont Station Phase 2 Office Building(32,OOO sq ft 2-story office bldg) u Navy Federal Credit Union - ® Northwest Landing Corporate Park(1.2 million sq ft warehousing; i 300,000 sq ft business park; 630,000 sq ft research & development; and 1.1 million sq ft of office space) ® Pierce County Emergency Communications Antenna m Contracts o Engineering Services—Gray&Osborne =$120,000 o Springbrook Software—Building Permits Module 2,050 o Shoreline Master Program—Technical Consultant 15,000 o Hearing Examiner 4,390 o Tree Board projects—Tree Care Manual,Tree Inventory 10,000 o Misc. as needed—Special studies, projects& reports by 35,600 outside consultants ® Budget Reductions o Community Development Director vacant since June 2009 o Associate Planner position vacant since November 2007 o Building Inspector position laid off in August 2009 o Permit Technician position laid off in April 2010 o Assistant Building Official position vacant since January 2007 o Clerical Support temporary position eliminated December 2009 o Technical Review Committee meetings reduced by 50%in June 2009 ® Service Restrictions due to lack of funding o Delays in permit processing and application reviews o Difficulty in performing mandatory tasks required by State law & City code in a timely manner o Customer inquiries take longerto respond to o Code-Nforcement(sign,wetland encroachment, etc.) o Code Update Delays—Flood Hazard Reduction; Capital Facilities Plan; DuPont Comprehensive Plan o Limited participation in Economic Development forums o Long range planning and policy issues severely impacted and/or delayed o Cannot participate in regional forums such as Pierce County Growth Managen"Mt Coordinating Committee o Compliance with grant reporting deadlines o Grant writing 48 In computing the tax imposed by this Chapter,the following items may be deducted from the measure of the tax: A. The amount of credit losses actually sustained by taxpayers whose regular books are kept upon an accrual basis. B. Charges by a taxpayer engaging in a telephone business to a telecommunications company for telephone service that the purchaser buys for the purpose of resale. C. That portion of the gross income derived from charges to another telecommunications company for connecting fees, switching charges, or carrier access charges relating to intrastate toll telephone services, or for access to, or charges for,interstate services. D. Adjustments made to a billing or to a customer account or to a telecommunications company accrual account in order to reverse a bill or charge that had been made as a result of a third-party fraud or other crime and was not properly a debt of the customer. E. Amounts derived from business, which the Consolidated Borough of Quil Ceda Village is prohibited from taxing under the Constitution or laws of the United States. SECTION 15.9 GENERAL ADMINISTRATIVE PROVISIONS APPLY The provisions of Part I of the Quil Ceda Village Tax Code shall be fully applicable to the provisions of this Chapter except as expressly stated to the contrary herein. All rules and regulations adopted for the administrative provisions contained in Part I of this Tax Code shall be fully applicable to the provisions of this Chapter except as expressly stated to the contrary herein. CHAPTER SIXTEEN BUSINESS AND OCCUPATION TAX SECTION 16.1 EWPOSITION There is imposed and levied and shall be collected from every person other than the Consolidated Borough of Quit Ceda Village or any of its subdivisions a tax for the act or privilege of engaging in business activities within the boundaries of the Consolidated Borough of Quit Ceda Village,whether his/her office or place of business be within and/or without the Consolidated Borough of Quit Ceda Village. Such tax shall be measured by the application of rates against: A Value of products, gross proceeds of sales or gross income of the business; and/or B. Square footage of office space, as the case may be. SECTION 16.2 RATE OF TAX The rate of the tax imposed by this Chapter shall be as follows: Code Section Tax Rate GROSS RECEIPTS TAX 0.1496% Section 16.4 through Section 16.9, and Section 16.2 Quit Ceda Village Tax Code 49 SQUARE FOOTAGE TAX $0.1522 per square foot Section 16.11 SECTION 16.3 DEFINITIONS The definitions set forth in Section 1.3 shall apply throughout this Chapter,unless expressly provided otherwise herein. The following additional definitions shall apply throughout this Chapter: A.`Byproduct'means any additional product,other than the principal or intended product; which results from manufacturing activities and which has a market value,without regard to whether or not such additional product was an expected or intended result of the manufacturing activities. B."Cash discount"means a deduction from the invoice price of goods or charge for services,which is allowed if the bill is paid on or before a specified date. C. "Casual or isolated sale"means a sale made by a person who is not engaged in the business of selling the type of property involved. D."Chapter" shall mean Chapter 16,as it may be amended or replaced from time to time. E."Commercial or industrial use"means the following uses of products, including byproducts,by the manufacturer thereof: (1) Any use as a consumer, and (2) The manufacturing of articles, substances or commodities. F."Cost of doing business"includes,but is not limited to,rent and/or depreciation, salaries and wages, fixed charges and other business expenses,which are peculiar to the nature of the particular business activity. G. "Engaging in business"means commencing, conducting, or continuing in business and also the exercise of corporate or franchise powers as well as liquidating a business when the liquidators thereof hold themselves out to the public as conducting such business, or continue to carry on the activities or to perform the contracts of the business of the person being dissolved or under liquidation. `Engaging in business"includes,but is not limited to,the production,manufacture, sale at wholesale or retail,lease, exchange, solicitation of business, or delivery of any substance or tangible property, goodwill or advertising, the rendition of or providing for amusement, services, advice or information and the dealing in securities, contracts,investments, evidences of indebtedness,rents and loyalties. This definition does not include the activities of any person engaged or performed in respect to his employment in the capacity of an employee or servant of another, as distinguished from that of an independent contractor. H. "Gross proceeds of sales"means the value proceeding or accruing from the sale of tangible personal property and/or for services rendered,without any deduction on account of the cost of property sold,the cost of materials used, labor costs, interest, discount paid, delivery costs,taxes, or any other expense whatsoever paid or accrued and without any deduction on account of losses. I. "Gross income of business"means the value proceeding or accruing by reason of the transaction of the business engaged in and includes gross proceeds of sales,compensation for the rendition of services, gains realized from trading in stocks,bonds, or other evidences of indebtedness, interest, discount,rents,royalties, fees, commissions, dividends, and other emoluments however designated, all without any deduction on account of the cost of tangible property sold, the cost of materials used, labor costs,interest, discount,delivery costs,taxes, Quil Ceda Village Tax Code 50 or any other expense whatsoever paid or accrued and without any deduction on account of losses. J. "Liquor"includes alcohol, spirits, wine and beer,and all fermented, spirituous,vinous, or malt liquor, or combinations thereof, and mixed liquor, a part of which is fermented, spirituous,vinous or malt liquor, or otherwise intoxicating; and every liquid or solid or semisolid or other substance,patented or not, containing alcohol,spirits,wine or beer, and all drinks or drinkable liquids and all preparations or mixtures capable of human consumption, and any liquid, semisolid, solid,or other substance,which contains more than one percent of alcohol by weight shall be conclusively deemed to be intoxicating.Liquor does not include confections or food products that contain one percent or less of alcohol by weight. lK. "Manufacturer"means every person, who,either directly or by contracting with others for the necessary labor or mechanical services,manufactures for sale or for commercial or industrial use from his own materials or ingredients any articles, substances or commodities; provided,that a nonresident of the Village who is the owner of materials processed for it in the Village by a predecessor for hire shall not be deemed to be engaged in business in the Village as a manufacturer because of the performance of such processing work for it in the Village. L. "Motor vehicle fuel"means gasoline or any other flammable gas or liquid,by whatsoever name such gasoline, gas,or liquid may be known or sold,the chief use of which is a fuel for the propulsion of motor vehicles or motor boats. M."Sale"means any transfer of the ownership of,title to, or possession of property for a valuable consideration and includes any activity classified as a"sale at retail'. It includes renting or leasing, conditional sale contracts, leases with option to purchase, and any contract under which possession of the property is given to the purchaser but title is retained by the vendor as security for the payment of the purchase price. It also includes the furnishing of food, drink, or meals for compensation whether consumed upon the premises or not. N. "Sale at retail'or"retail sale". (1) "Sale at retail' or"retail sale"means every sale of tangible personal property(including articles produced,fabricated, or imprinted) to all persons irrespective of the nature of their business and including, among others,without limiting the scope hereof,persons who install,repair, clean, alter,improve, construct, or decorate real or personal property of or for consumers other than a sale to a person who(a)purchases for the purpose of resale as tangible personal property in the regular course of business, or(b)installs,repairs, cleans, alters, imprints, improves, constructs,or decorates real or personal property of or for consumers,if such tangible personal property becomes an ingredient or component of such real or personal property, or(c)purchases for the purpose of consuming the property purchased in producing for sale a new article of tangible personal property or substance, of which such property becomes an ingredient or component or as a chemical used in processing, when the primary purpose of such chemical is to create a chemical reaction directly through contact with an ingredient of a new article being produced for sale. (2) The term"sale at retail'or"retail sale" shall include the sale of or charge made for tangible personal property consumed and/or for labor and services rendered in respect to the following: (a)the installing,repairing, cleaning, altering, imprinting, or improving of tangible personal property of or for consumers, excluding,however, Quit Ceda Village Tax Code 51 services rendered in respect to live animals,birds, and insects; (b)the constructing, repairing,decorating,or improving of new or existing buildings or other structures under,upon,or above real property of or for consumers, including the installing or attaching of any article of tangible personal property therein or thereto,whether or not such personal property becomes a part of the realty by virtue of installation,and shall also include the sale of services or charges made for the clearing of land and the moving of earth excepting the mere leveling of land used in commercial farming or agriculture; (c)the sale of or charge made for the furnishing of lodging and all other services by a hotel,rooming house,tourist court,motel,trailer camp,and the granting of any similar license to use real property, as distinguished from the renting or leasing of real property, and it shall be presumed that the occupancy of real property for a continuous period of one month or more constitutes a rental or lease of real property and not a mere license to use or enjoy the same. O. "Sale at wholesale"or"wholesale sale"means any sale of tangible personal property, which is not a sale at retail and means any charge made for labor and services rendered for persons who are not consumers,in respect to real or personal properly. P."Special fuel"means and includes all combustible gases and liquids suitable for the generation of power for propulsion of motor vehicles,except that it does not include"motor vehicle fuel" as defined in this Section. Q."Successor"means any person to whom a taxpayer quitting, selling out,exchanging, or disposing of a business sells or otherwise conveys,directly or indirectly,in bulk and not in the ordinary course of the taxpayer's business,a major part of the materials,supplies, merchandise, inventory, fixtures,or equipment of the taxpayer.Any person obligated to fulfill the terms of a contract shall be deemed a successor to any contractor defaulting in the performance of any contract as to which such person is a surety or guarantor. R. "To manufacture" embraces all activities of a commercial or industrial nature wherein labor or skill is applied,by hand or machinery,to materials so that as a result thereof a new, different or useful substance or article of tangible personal property is produced for sale or commercial or industrial use, and shall include the production or fabrication of special made or custom made articles. S. "Value proceeding or accruing"means the consideration,whether money, credits, rights, or other property expressed in terms of money, actually received or accrued. The term shall be applied, in each case, on a cash receipts or accrual basis according to which method of accounting is regularly employed in keeping the books of the taxpayer. SECTION 16.4 TAX ON MANUFACTURERS A. ' There is imposed and levied and shall be collected from every person engaging within the Consolidated Borough of Quil Ceda Village in business as a manufacturer a tax with respect to such business in an amount equal to the value of the products,including byproducts,manufactured,multiplied by the rate of one-tenth of one percent. B. The measure of the tax is the value of the products, including byproducts, so manufactured regardless of the place of sale or the fact that deliveries may be made to points outside the Village. SECTION 16.5 TAX ON RETAILERS A. There is imposed and levied and shall be collected from every person engaging within the Consolidated Borough of Quil Ceda Village in the business of making sales at Quil Ceda Village Tax Code 12 i retail a tax with respect to such business in an amount equal to the gross proceeds of sales of the business,multiplied by the rate of one-tenth of one percent. B. The measure of the tax is the gross proceeds of the sales of the business without regard to the place of delivery of articles, commodities or merchandise sold. SECTION 16.6 TAX ON WHOLESALERS A. There is imposed and levied and shall be collected from every person engaging within the Consolidated Borough of Quil Ceda Village in the business of making sales at wholesale a tax with respect to such business in an amount equal to the gross proceeds of sales of such businesses multiplied by the rate of one-tenth of one percent. B. The measure of the tax is the gross proceeds of the sales of the business without regard to the place of delivery of articles, commodities or merchandise sold. SECTION 16.7 TAX ON PRINTERS AND PUBLISHERS There is imposed and levied and shall be collected from every person engaging within the Consolidated Borough of Quil Ceda Village in the business of printing and/or publishing newspapers,periodicals or magazines a tax with respect to such business in an amount equal to the gross proceeds of sales of such business multiplied by the rate of one-tenth of one percent. SECTION 16.8 TAX ON CONSTRUCTION ACTIVITIES There is imposed and levied and shall be collected from every person engaging within the Consolidated Borough of Quil Coda Village in the business of constructing,repairing, decorating, improving new or existing buildings or other structures under,upon or above real property of others; installing or attaching of any article of tangible personal property in or to real property,whether or not such personal property becomes a part of the realty by virtue of installation; and the clearing of land and the moving of earth; and constructing,reconstructing,repairing or improving any street, place,road,highway, easement,right-of-way,parking facility,bridge,tunnel, or trestle; a tax on such business or other such activities in an amount equal to the gross income of the business multiplied by the rate of one-tenth of one percent. SECTION 16.9 REAL ESTATE BROKERS A. There is imposed and levied and shall be collected from every person engaging within the Consolidated Borough of Quil Ceda Village as a real estate broker a tax with respect to such business in an amount equal to the gross income of the business,multiplied by the rate of one-tenth of one percent. B. The measure of the tax on real estate commissions earned by the real estate broker shall be the gross commission earned by the particular real estate brokerage office including that portion of the commission paid to salespersons or associate brokers in the same office on a particular transaction;provided,however, that where a real estate commission is divided between an originating brokerage office and a cooperating brokerage office in a particular transaction, each brokerage office shall pay the tax only upon their respective shares of said commission; and provided further,that where the brokerage office has paid the tax as provided herein, salespersons or associate brokers within the same brokerage office shall not be required to pay a similar tax upon the same transaction. SECTION 16.10 SQUARE FOOTAGE TAX Quil Ceda Village Tax Code 53 A. Upon every person, as defined in Section 1.3J,within the Consolidated Borough of Quil Ceda Village who maintains an office(s), including but not limited to any offices or other facilities which provide support activities to that person's business, such as administrative, engineering,technical, legal and other direct or indirect support services, whether or not such business is conducted in the Consolidated Borough of Quil Ceda Village. B. As to such person,the amount of tax for such activities shall be equal to $0.15 for each quarterly period of a calendar year for each square foot of floor area of office space computed to the nearest square foot. The $0.15 tax rate set forth herein shall be administratively adjusted on January l't of each year,beginning on January 1,2004,by the Executive Director,to reflect any change in the cost of living,as defined and calculated pursuant to Section 1.317. (1) As to such person who maintains an office, all or a portion of which provides administrative support to a business activity which is taxed under any other Section of this Chapter,an exemption from a portion of the tax of this Section is granted in that proportion that administrative support for the business activity taxed under any Section of this Chapter bears to the total administrative activity of the office. The Executive Director may promulgate rules and regulations regarding the manner, means and method of calculating the exemption. (2) The taxable floor area of office space shall be computed on the basis of net rentable area as follows: (a) Rentable Area- Single-Tenancy Floor. The rentable area of a single tenancy floor,whether above or below grade, shall be computed by measuring to the inside finish of permanent outer building walls, or from the glass line if at least fifty(50%)percent of the outer building wall is glass. Rentable area shall include all area within outside walls, less stairs, elevator sbafts,flues,pipe shafts,vertical ducts,air-conditioning rooms, fan rooms, janitor closets, electrical closets and such other rooms not actually available to the tenant for his/her furnishings and personnel, and their enclosing walls. Toilet rooms within and exclusively serving only that floor shall be included in the rentable area.No deductions from the rentable area calculation shall be made for columns and projections necessary to the building. (b) Rentable Area-Multiple-Tenancy Floor. The net rentable area of a multiple-tenancy floor,whether above or below grade, shall be.the sum of all rentable areas on that floor. The rentable area of an office on a multiple- tenancy floor shall be computed by measuring to the inside finish of permanent outer building walls, or to the glass line if at least fifty(50%) percent of the outer building wall is glass,to the office side of corridors and/or other permanent partitions, and to the center of partitions that separate the premises from adjoining rentable areas.No deduction from the rentable area calculation shall be made for columns and projections necessary to the building. (c) For purposes of this Section,net rentable area shall not include warehouses,company gyms, cafeterias,and the retail selling area of a retail store. (c) When the taxable floor space of an office changes during a reporting Quil Ceda Village Tax Code 54 period, the tax shall be computed on a monthly basis.For the purposes of this allocation,a month shall be deemed to be 16 or more days during any calendar month. SECTION 16.11 TAX ON ANY OTHER ACTIVITY Upon every person, as defined in Section 1.3J, engaging within the Consolidated Borough of Quil Ceda Village in any activity, including but not limited to any'service or business activity,other than or in addition to those activities enumerated elsewhere in this Chapter; as to such persons the amount of tax on account of such activities shall be equal to the gross income of the business multiplied by the rate of one-tenth of one percent. This Section includes,among others, and without limiting the scope hereof(whether or not title to materials used in the performance of such business passes to another by accession or other than by outright sale),persons engaged in the business of rendering any type of service, which does not constitute a"sale at retail" or a"sale at.wholesale". SECTION 16.12 EXEMPTIONS A. Tax Exemption Thresholds.Any person engaging in any one or more business activities which are otherwise taxable pursuant to Sections 16.4 through 16.9 and Section 16.11,whose value of products,gross proceeds of sale,or gross income of business,less applicable deductions and exemptions, is less than or equal to $30,000 for an assigned quarterly reporting period or is less than or equal to $120,000 for an assigned annual reporting period, shall be exempt from taxation under such Sections.The exemption level set forth in this Section shall be administratively adjusted by the Executive Director on January lst of each year, beginning on January 1,2004,to reflect any change in the cost of living,as defined and calculated pursuant to Section 1.3F. The amount of the exemption level so calculated shall be rounded to the nearest$5,000,Any person otherwise taxable pursuant to Section 16.10 and whose total floor area of office space does not exceed 250 taxable square feet shall be exempt from taxation under Section 16.10. B. Utility Occupation Tax. This Chapter shall not apply to any person in respect to a business activity for which tax liability is specifically imposed under the provisions of Chapter 15,the Utility Occupation Tax Chapter. C. Farmers. This Chapter shall not apply to any farmer, gardener,or other person selling, delivering,or peddling any fruits,vegetables, dairy products,berries, eggs,fish, poultry meats, or any farm produce or edibles raised, gathered,produced, or manufactured by such person. D. This Chapter shall not apply to any person in respect to his employment in the capacity of an employee as distinguished from that of an independent contractor. E. Nonprofit Organizations. This Chapter shall not apply to nonprofit organizations exempt from federal income tax under Section 501(c)(3), (4), or(7) of the Internal Revenue Code of 1998, as amended. F. Sale of Real Estate. This Chapter shall not apply to gross proceeds derived from the sale of real estate.This subsection shall not,however,be construed to allow a deduction of amounts received as commissions from the sale of real estate,nor as fees,handling charges, discounts, interest or similar financial charges resulting from, or relating to,real estate transactions. G. Casual and Isolated Sales. This Chapter shall not apply to the gross proceeds derived from casual or isolated sales. Quil Ceda Village Tax Code 55 H. Investments. This Chapter shall not apply to those amounts derived by persons, other than those engaging in banking,loan, security,or other financial businesses from investments or the use of money as such,or to amounts derived as dividends by a parent from its subsidiary corporations. 1. The Consolidated Borough of Quil Ceda Village is exempt from the tax levied by this chapter. SECTION 16.13 DEDUCTIONS In computing the tax imposed by this Chapter,the following items may be deducted from the measure of the tax. These deductions shall not be construed to allow an exemption from the square footage tax levied pursuant to Section 16.10 unless otherwise stated. A. Village prohibited from Taxing. Amounts derived from business which the Consolidated Borough of Quil Ceda Village is prohibited from taxing under any of its laws, including interstate and foreign sales. B. Initiation Fees and Dues.Amounts derived from: (1) Bona fide initiation fees; (2) Dues; (3) Contributions; (4) Donations; (5) Tuition fees; and (6) Endowment funds. This Section shall not be construed to exempt any person, as defined in Section 1.3J,from tax liability upon selling tangible personal properly or upon providing facilities or services for which a special charge is made to members or others. If dues are in exchange for any significant amount of goods or services rendered by the recipient thereof to a member whithout any additional charge to the member, or if the dues are graduated upon the amount of goods or services rendered,the value of such goods or services shall not be permitted as a deduction hereunder. The square footage tax levied pursuant to Section 16.10 shall not apply to deductions for initiation fees and dues. C. Cash Discounts.Amounts derived from cash discounts actually taken by the purchaser. This deduction is not allowed in arriving at the taxable amount under the manufacturers classification with respect to articles manufactured,the reported values of which, for purposes of such tax,have been computed according to the provisions of Section 16.15. The square footage tax levied pursuant to Section 16.10 shall not apply to deductions for cash discounts. D. Credit Losses. Amounts derived from credit losses actually sustained by taxpayers whose regular books are kept upon an accrual basis.The square footage tax levied pursuant to Section 16.10 shall not apply to deductions for credit losses. E. Motor Vehicle Fuel.Amounts derived from the business of manufacturing, selling,or distributing motor vehicle fuel or special fuel. The square footage tax levied pursuant to Section 16.10 shall not apply to deductions for motor vehicle fuel. F. Liquor Sales.Amounts derived from the business of selling liquor..The square footage tax levied pursuant to Section 1610 shall not apWy,to # i sales. G. Interest on Investments or Loans Secured by Mortgages or Deeds of Trust. Amounts derived, by those engaged in banking, loan, security or other financial businesses, from Quil Cede Village Tax Code 56 interest received on investments or loans primarily secured by first mortgages or trust deeds . on nontransient residential properties. The square footage tax levied pursuant to Section 16.10 shall not apply to deductions for interest on investments or loans secured by mortgages or deeds of trust. H. Interest on Obligations of the State or its Subdivisions. Amounts derived by those engaged in banking,loan,security or other financial businesses, from interest paid on all obligations of the State of Washington, its political subdivisions, and municipal corporations organized pursuant to the laws thereof. The square footage tax levied pursuant to Section 16.10 shall not apply to deductions for interest on obligations of the state or its subdivisions. I. Tax paid to Another City. Whenever persons located in,registered with, and paying tax to the Consolidated Borough of Quil Ceda Village, as required by this Chapter, are also required to register and pay business and occupation tax to another municipality, and when another municipality has a more substantial nexus with the particular activity subject to taxation, such persons may deduct from the measure of gross receipts tax due to the Consolidated Borough of Quil Ceda Village that amount they are required to report as the measure of tax to another municipality;provided,however,this deduction is only applicable when the other municipality uses"gross proceeds of sales" and/or"gross income of the business" as the measure of their business and occupation tax. This deduction shall not apply to persons engaged in manufacturing in the Consolidated Borough of Quil Ceda Village who transfer or make delivery of articles produced to points outside the Village. The square footage tax levied pursuant to Section 16.10 shall not apply to deductions for sales taxed by another city. J. Value of Articles Manufactured Outside the United States. The value of articles to the extent of manufacturing activities completed outside the United States, by persons subject to payment of the tax on manufacturers pursuant to Section 16.4, if: (1) Any additional processing of such articles in the Consolidated Borough of Quil Ceda Village consists of minor final assembly only; and (2) ' In the case of domestic manufacturing of such articles, can be and normally is done at the place of initial manufacture; and (3) The total cost of the minor fmal assembly does not exceed two percent of the value of the articles; and (4) The articles are sold and shipped outside the Consolidated Borough of Quil Ceda Village. The square footage tax levied pursuant to Section 16.10 shall not apply to deduction for the value of articles manufactured outside the United States. SECTION 16.14 PERSONS TAXABLE ON MULTIPLE ACTIVITIES-DEDUCTION A. Any person, as defined in Section LD, engaged in business activities within the Consolidated Borough of Quil Ceda Village which are taxable pursuant to two or more Chapters of this Tax Code shall be taxable under each Section applicable to the activity engaged in. B. Persons taxable under Section 16A with respect to manufacturing products in the Consolidated Borough of Quil Ceda Village shall be allowed a deduction from the measure ` of the taxes levied under this Section for amounts which: (1) A gross receipts tax has been paid to the Village under Section 16.5 (retailing)with respect to the sales of the products so manufactured in the Village; or Quil Ceda Village Tax Code 57 (2) A gross receipts tax has been paid to the Village under Section 16.6 (wholesaling)with respect to the sales of the products so manufactured in the Village. C. Persons taxable under Section I6.4 with respect to manufacturing products in the Village shall be allowed a deduction from the measure of the taxes levied under that Section for amounts for which: (1) A gross receipts tax has been paid to another state with respect to the sales of the products so manufactured in the Village; (2) A manufacturing tax has been paid with respect to manufacturing activities completed in another state for products so manufactured in the Village. D. For the purpose of this Section,the following definitions shall apply: (1)"Gross receipts tax"means a tax: (a) Which is imposed on or measured by the gross volume of business in terms of gross receipts or in other terms,and in the determination of which the deductions allowed would not constitute the tax an income tax or value added tax; and (b) Which is also not,pursuant to law or custom, separately stated from the sales price. (2)"State"means: (a) A state of the United States other than Washington,or any political subdivision of such other state; (b) The District of Columbia; or (c Any foreign country or political subdivision thereof. SECTION 16.15 VALUE OF PRODUCTS A. The value of manufactured products,including byproducts, shall be determined by the gross proceeds derived from the sale thereof whether such sale is at wholesale or at retail, to which shall be added all subsidies and bonuses received from the purchaser or from any other person with respect to the manufacture or sale of such products or byproducts by the seller,except: (1) Where such products,including byproducts,are manufactured for commercial or industrial use; (2) Where such products,including byproducts, are slopped, transported or transferred out of the state of Washington, or to another person, without prior sale or are sold under circumstances such that the gross proceeds form the sale are not indicative of the true value of the subject matter of the sale. B. In the above cases,the value shall correspond as nearly as possible to the gross proceeds from sales in this state of similar products of like quality and character, and in similar quantities by other taxpayers plus the amount of subsidies or bonuses ordinarily payable by the purchaser or by any third person with respect to the manufacture or sale of such products;provided, that the value of a product manufactured or produced for purposes of serving as a prototype for the development of a new or improved product shall correspond: (1) To the retail selling price of such new or improved product when first offered for sale;or (2) To the value of materials incorporated into the prototype in cases in which the new or improved product is not offered for sale. Quil Ceda Village Tax Code 58 SECTION 16.16 SALE IN OWN NAME-SALES AS AGENT A. Every consignee,bailee,factor, or auctioneer having either actual or constructive possession of tangible personal property,or having possession of the documents of title thereto,with power to sell such tangible personal property in his/her or its own name and actually so selling, shall be deemed the seller of such tangible personal property within the meaning of this Chapter; and further,the consignor,bailor,principal, or owner shall be deemed a seller of such property to the consignee,bailee,factor, or auctioneer. B. The burden shall be upon the taxpayer in every case to establish the fact that he/she is not engaged in the business of selling tangible personal property but is acting merely as an agent in promoting sales for a principal. SECTION 16.17 TAX PART OF OVERHEAD It is not the intention of this Chapter that the taxes herein levied upon persons engaging in business activities be construed as taxes upon the purchasers or customers,but that such taxes shall be levied upon, and collectible from,the person engaging in the business activities herein designated and that such taxes shall constitute a part of the operating overhead of such persons. SECTION 16.18 GENERAL ADMINISTRATIVE PROVISIONS APPLY The provisions of Part I of the Quil Ceda Village Tax Code shall be fully applicable to the provisions of this Chapter except as expressly stated to the contrary herein.All rules and regulations adopted for the administrative provisions contained in Part I of this Tax Code shall be fully applicable to the provisions of this Chapters except as expressly stated to the contrary herein. CHAPTER SEVENTEEN GAMBLING TAX SECTION 17.1 EWPOSITION A. There is imposed and levied and shall be collected from all persons,as defined in Section 1.3J, who have been duly licensed by the Tulalip Tribal Gaming Commission according to Section 10 of Ordinance No.55A of the Tulalip Tribes of Washington (Restated),as amended, and the Tulalip Tribal Gaming Commission's Regulations(Revised July 1995), as amended,a tax on the act of conducting or operating any bingo game,raffle, amusement game,punchboard or pull-tab activity within the boundaries of the Consolidated Borough of Quil Ceda Village. Such tax shall be levied at the rates set forth in Section 17.2 on the gross revenues of activities taxable under this Chapter. B. Exclusively for the purposes of this Chapter,this Tax Code shall be construed as imposing a tax on the government or any wholly or partially owned subdivision or economic enterprise of the Tulalip Tribes. Section 1.5 of this Tax Code shall be disregarded for the purposes of this subsection only. SECTION 17.2 RATE OF TAX Upon every person, as defined in Section 17.1A, engaging within the Consolidated Borough of Quil Ceda Village in the act of conducting or operating the following gambling activities, as to such persons,the amount of tax with respect to such activities shall be equal to the gross revenue from such activities multiplied by the following tax rates: Activity Tax Rate A. Bingo Games 5.0% B. Raffles 7.5% Quil Cede Village Tax Code Ili I 59 OTHERUNICIPAL 0 TAX FORMS 60 A MAIL TAX RETURNS TO: City of Bellevue rl LoelcsoxMULTI-PURPOSE TAX RETURN PO BOX 34372 ""'si' SEATTLE,WA 98124-1372 2 For more information contact: Date Due Reporting Period Registration# CITY OF BELLEVUE �� Tax Division O4I3O/�Z 03/31/12 JAN-FEB-MAR PO Box 90012 Bellevue,WA 98009-9012 ❑ Check this box if there are account changes and/or updates. Please note the changes on the back of this form. Section t Business &Occupation Tax-GROSS RECEIPTS ne Column 1 Code Column 2 Column 3 Column 4 Li Column 5 Column 6 No. Tax Classification No. Gross Receipts Deductions* Taxable Receipts Tax Rate Tax Due 1,: Wholesaling 02 0.001496 2 Retailing/Retail Services 03 0.001496 '3 Service'&Other(Not apportioned) 06 0,001496 4 Service&Other(Apportioned)* 06 Carryover from Schedule A ► ► ►1. 0.001496 5.. ManufactunngiProcessing for Hire 01 : 0.001496 6 Printing/Publishing 04 0.001496 7, Extracting/Extracting Extracting/Extrkting for Hire 1 11 0.001496 8 Less Multiple Activities Tax Credit* 20 1 Car over from Schedule C ► ► ► ► ► ► ► ► ► ► ► ► ► ► r9 Enter.Taxable:Receipts Sub-Total Here:_► ► ► lo '► ► ► ►.:.> ► ► ► :'► I °-Sub-Total (if taxable receipts are less than$37,500 then no GROSS RECEIPTS TAX is due) Section 2 Business&.Occupation Tax-SQUARE FOOTAGE 10 S uare Fo at-a e* 08 1 Carr over Prom Schedule B ► ► ► .2318 Of taxable square footage is less than 250 square feet then no SQUARE FOOTAGE tax is due Section 3 Utility Taxes 11 Telephone 40 0.060 12 Cellular 41 0.060 13 Gas "• 42 -' 0.050 14 Light&Power 43 0.050 -'15 Cable TV 44 _ 0.048 16 Water 45 0.104 17 Solid Waste 46 0.645 18 Sewer 47 0.050 19 Storm Drains a 1 48 1 10.050 20 Ulilit TaxSub-Total-------------------------------- --------------------► Sub-Total Section 4 Other Taxes 21 Amusement Games 60 22 Pull Tabs/Punch boards 61 0 050 23 Bingo f: 62 `- - :0050 24 Raffles 63 0.050 25 Admission Charges 64. ` 0.030 Other TaxSub-Total---------------------------------------------------------p. Sub-Total *To be allowed deductions and credits,you must complete appropriate schedules. j2g%per b-Totals Balance rPgenalEfles- ee back)Name(please print) annum Title _ Total Due Phone Please make checks payable to the City of Bellevue I hereby certify that the statements and information provided on this tax return are true and complete to the best of my knowledge. Signature Date Phone'425-452-6851 • FAX:425-452-6198•tax@bellevuewa.gov m8486gtr.3f12.ind 61 CITY OF BELLEVUE MUTT-PURPOSE TAX RETURN GENERAL INSTRUCTIONS BUSINESS CHANGES: If your business has been sold,moved,or discontinued since your last tax return was filed,please check all boxes that apply and list the specific details in the space provided. ❑Business closed. Effective date: ❑Business no longer operates in Bellevue. Close Bellevue registration effective this date: 11 Business sold to: Address: _ Contact: Phone: Date of sale: ❑ Business entity changed. Name of new legal entity: New entity's Bellevue registration number: New entity's start date: - G Business location changed- New location address: C Business mailing address changed. New mailing address: _ F New business contact information: Phone: Fax: Email: GENERAL INFORMATION: Every person,firm,association or corporation SECTION 2: Complete Schedule B(Square Footage Tax Addendum)if your - engaging in business activities in the City,unless otherwise exempted is subject to business is located in Bellevue. Refer to BCC 4-09.050(A)to determine bow much taxation and must file a tax retain under the appropriate tax classifications.The City of your location is taxable. Transfer the total as instructed to Section IL of Bellevue administers two business&occupation taxes(grass receipts tax and • Column 4:Enter the total taxable square footage amount from Schedule square footage tax). In addition,the City administers taxes on admissions, B to the Multi-Purpose Tax Retain in Section 11 Column 4"Taxable gambling activities,and utility business and occupation activities. Square Feet". • Column 6:If the amount in Column 4 is greater than the exemption Descriptions of the various tax classifications and allowable deductions are level of 250 taxable square feet,multiply by the tax rate listed in provided in Chapter 4 of the Bellevue City Code(BCC). In addition,the City Column 5. Enter the result in Column 6. If the amount in Column 4 is publishes a pamphlet entitled"Guide to the City's Business&Occupation Tax". less than the exemption level,enter"0"in Column 6. The pamphlet provides general filing information regarding common types of businesses. If you have any questions or would like to request a copy of the Guide, SECTION 3&4: Complete Section 3&4 if you business generates gross please contact the Tax Division at(425)452-6851,or online at receipts on admissions,gambling and/or utility activities. Refer to BCC 4.04,4.10 harp://www.beflevuewa-govibellewe_taxes.btm. and 4.14 for detailed descriptions of the various tax classifications and allowed deductions for certain business activities. Determine which tax classification(s) GROSS RECEIPTS B&O TAX: The gross receipts B&O tax is measured on relate to you business activity. Businesses conducting several types of activities gross proceeds of sales or gross income for the reporting period.For purposes of the may report in more than one lax classification. gross receipts tax,business activities us reported by classification. • Column 2:Enter your gross receipts under the appropriate tar classification. SQUARE FOOTAGE B&O TAX: The square footage B&O tax is measured on a Column 3:Complete&submit Schedule D(Deduction Detail)with the floor area of office space in Bellevue. It applies to businesses that maintain your remm if you have any allowable deductions. Enter amounts of any locations in Bellevue where all or a portion of the office activity does not generate deduction that you are entitled for each tax classification. revenue taxable under the gross receipts tax. Examples of businesses that pay the a Column 4:Subtract the values entered in Column 3 from those entered square footage tax include headquarter offices and businesses that make out-of-city in Column 2,and enter the results. sales. Complete Schedule B to determine you taxable floor area if your business is a Column 6:Multiply the amount in Column 4 by the tax rate listed in located in Bellevue. Taxable floor area is reported on line 10 of the Multi-Purpose Column 5 and enter the result in Column 6. Tax Return. TAX SUB-TOTALS: Calculate and enter Tax Subtotals from Sections 1 UTILITY&OTHER TAXES: Following is a brief synapsis of other taxes that (Gross Receipts Tax),2(Square Footage Tax),3(Utility Taxes)and 4(Other may apply to you business: Taxes)in the field provided beside Tax Sub-Totals. • Utility Taxes: This lax is similar to the gross receipts tax,but it is imposed on utility businesses. Businesses engaging in the following ACCOUNT BALANCES: The amount shown is you account balance at the time activities are subject to these taxes: telephone,cellular,gas,electric, of printing. Note:Amounts shown in brackets O are credits and should be water,sewerage,drainage,cable TV and garbage. subtracted from the total due. e Admission Tax: This tax is levied upon admission charges for entrance to an event or establishment Il is collected for the City by the business PENALTIES: Calculate the penalty on the amount reported in the TAX SUB- charging the admission,similar to the sales lax. The admission tax is TOTALS and enter the penally amoumt in the field provided. Penalty is calculated computed on the admission price. as follows: e Gambling Taxes: All persons licensed by the Washington State 1 day to I month overdue 5%($5 minimum) Gambling Commission to conduct gambling activities in the City are Over 1 month to 2 months 15%($5 minimum) required to pay gambling taxes. Gambling activities include:bingo Over 2 months 25%($5 minimum) games,raffles,amusement games,punchboards and pull-tabs. INTEREST: Calculate interest in accordance with BCC 4.03.090 and enter the CALCULATING YOUR TAX LIABILITY: If you claim a deduction,Multiple amount in the field provided. See om website for the prior year's annual rates at Activities Tax Credit,and/or apportion income taxable under the Service and Other hpp:/hsww.beilewewa.gov/b&o_tax_payment procedui es.htm. gross receipts tax classification,you must include the appropriate schedule farm with you remm. If a required form is not provided,the deduction,credit,or TOTAL DUE' Add Total Tax.Penalty,Interest and Prior Balance,and enter the apportioned amounts will be denied. result in the field provided. SECTION I: If your business generates gross receipts,determine which in Print name,title,phone,sign and date you remm. Remit back with the appropriate classification(s)relate to your business activity(Column I)- Businesses conducting forms. several types of activities may report in more than one tax classification. Column 2:Enter your gross receipts on the appropriate tax REPORTING FREQUENCY: Tax payments are due on or before the last day of classification line. the next month following the end ofthe assigned reporting period covered by the • Column 3:Complete&submit Schedule D(Deduction Detail)with return. Tax returns most be filed by the due date whether or not any tax is owed. your return if you have any allowable deductions. Enter amounts ofany, Reporting Frequency Period Ending Date Month Covered in Period deduction that you are entitled to for each tax classification. • Column 4:Subtract the values entered in Column 3 from those entered Monthly(M) last day ofthe month following period ending dale in Column 2,and enter the result. Subtotal the Grass Receipts amounts Quarterly(Q) 03/31/)CX January,February,March and enter on Line 9. 06/30/XX April,May,June s Column 6:If the gross receipts sub-total amount Line 9 in Column 4 is 09/30lXX July,August,September less than the exemption level enter"0"on Line 9 in Column 6. If the 12/31/JCX October,November,December gross receipts sub-total amount is greater than the exemption level, Annual(A) 12/31/XX January through December multiply each line item in Column 4 by the mx rate listed in Column 5. Enter the results for each line in Column 6. i �2 A ATTACH TO MULTI-PURPOSE City of Bellevue H t Aaor,� TAX RETURN AND MAIL TO: LOCKBOX Schedule A— +'ssx`G°� PO BOX34372 SERVICE INCOME APPORTIONMENT DETAIL SEATTLE,WA 9 81 24-1 37 2 Date Due Reporting Period Registration# Line No. Code Amount No. I Apportionable Gross Service Receipts 1 Enter total gross service receipts 30 2 'Subtract any appropriate deduction allowed in Bellevue City Cone 31 3 Apportionable service receipts (subtract line 2 from line 1)enter amount on this line .._ _. II Payrollfactor" 4 Enter total Bellevue payroll costs 32 5 Enter total company wide:.payroll costs 33 6 Payroll factor (divide line 4 byline 5)enter amount on this line III '-Service-Income Factor.'. 7 Enter total Bellevue service receipts 34 .E S Enter total company wide service receipts 35 9 Service income factor (divide line 7 byline 8)enter amount on this line 7 IV Bellevue Taxable Service Receipts 10 Total apportionment factor (add lines 6 and 9)enter amount on this line 11 Percentage of service income apportioned to Bellevue(Divide line 10 by the:number 2)* 12 Bellevue taxable servI ce receipts(multiply line 3 byline II and enter this amount on line 4 column 4 of the MULTI-PURPOSE TAX RETURN) Why is this schedule necessary in addition to your tax form?Effective January 1,2008, RCW 35.102.130 requires a new method using a two-factor formula to determine how income taxable under the citys Service and Other gross receipts B&O tax classification is apportioned between multiple locations when a taxpayer is engaging in business in more than one jurisdiction. Who should complete the apportionment schedule?Only those taxpayers that earn gross receipts from activities subject to a city's Service and Othergross receipts B&O tax classification and which have a taxable presence in more than one jurisdiction need to complete the schedule. Formula example: Service and Other income is apportioned to a city by multiplying service income by a payroll factor(based on the payroll within the city), plus the service-income factor(based on the income producing activity attributable for tax purposes within the city),divided by two.* Total Taxable Service Income X (Payroll Factor+Service Income Factor)* 2 Payroll Factor = Total Compensation Paid in Bellevue Total Compensation Paid Company-Wide Service Income Factor = Total Bellevue Service Receipts Total Company-Wide Service Receipts `lfa business has no employees in any location, such as a sole proprietorship without any employees,then the payroll factor is zero and the apportionment reverts to a single factor formula using the service factor only.In this case divide the service factor by 1. SEE OTHER SIDE FOR INSTRUCTIONS m8486A.11/08.ind 63 Instructions for Schedule A- Service Income Apportionment Detail 1. Gross Service Receipts Line 1:Please insert the total gross service receipts for your business. Line 2:Please insert the amount of gross receipts deductible under Bellevue City Code 4.09.100 Deductions. (Exclude any interstate deduction as this schedule apportions company-wide service income). Line 3: Subtract line 2 from line 1 and enter this amount on line 3. This is your total apportionable service receipts. If.Payroll Factor Enter the ci- payroll for the following employees: _ Payroll Costs a.Total payroll for employee(s)whose assigned office or work station is located within the city; a. _ b.Total payroll for employees)who are not primarily assigned to any place of business for the tax period and that individual performs fifty percent or more of his or her service for the tax period in the city;and b. c.Total payroll for employee(s)not primarily assigned to any place of business for the tax period,and the individual does not perform fifty percent or more of his or her service in any city,but that person resides in the city. C. _ Line 4-Total city payroll- add lines a, b, and c Enter online 4. d. Line 5: Enter on line 5 the total payroll for all locations(the amount in line 4 plus the payroll for employees in all other locations outside the city). - Line 6: Calculate Payroll Factor—Divide line 4 by the amount in line 5 and enter the calculated amount as a percentage on line 6. If a business has no employees then there is no payroll factor. If there are no employees within Bellevue,but there are employees elsewhere,then the payroll factor for Bellevue is zero. Ill.Service-Income Factor Service gross receipts are in the ci if: Service Receipts a. The customer location is in the city; or a. b. The income-producing activity is performed in more than one location and a greater proportion of the service-income-producing activity is performed in the city than in any other location,based on costs of performance,and the taxpayer is not taxable at the customer location;or b. c. The service-income-producing activity is performed within the city,and the taxpayer is not taxable in the customer location. c. Line 7-Total city receipts-add lines a, b,and c Enter on line 7. d. Line S—Enter on line 8 the total gross service receipts for all locations(the amount in line 7 plus the gross receipts from all other locations outside the city). Line 9:Calculate Service-Income Factor—Divide line 7 by the amount in line 8 and enter the calculated amount as a percentage on line 9. 1V.Taxable Service Receipts Line 10:Add line 6 to line 9 and enter the calculated amount on line 10. This is the total apportionment factor. Line 11:Divide line 10 by two(the number 2),if two factors remain. If there is no payroll factor,divide line 10 by one (the number 1). Enter the calculated amount as a percentage on line 11. Line 12:Multiply line 3 by line 11 and enter the amount on line 12. This is your city taxable service receipts. Also enter this amount on line 4(Services&Other Apportioned),column 4(Taxable Income)of the Multi-Purpose Tax Return. 64 d zFA TO MULTI-PURPOSE City Of Bellevue TAX RETURN AND MAIL TO: 8 LOCKBOX Schedule E—SQUARE FOOTAGE TAX DETAIL � '" 11111 ; PO BOX 34372 SEATTLE,WA 98124-1372 Date Due Reporting Period Registration If Who should complete this schedule?Taxpayers with a business location(s)in Bellevue should complete this form. Exempt Taxpayers:Your are exempt from square footage tax if ANY of the following applies.Check the appropriate box and enter zero on MULTI-PURPOSE TAX RETURN,line 10,column 4. ❑The Net Rentable Area of my Bellevue business location(s)is equal to or less than 250 square feet.Net Rentable Area equals total square footage of Bellevue locations)less space used for warehouse,company gym,cafeteria,and/or retail selling area. ❑My Bellevue business location(s)does not support any business locations outside the City,does not make sales of tangible personal property delivered outside Bellevue and does not engage in other business activities.Examples of other business activities include but are not limited to facilities for research and development,and headquarters/regional office space. STOP HERE if you are exempt from square footage tax.Retain this schedule for your records.DO NOT attach this form to MULTP PURPOSE TAX RETURN-If you de not qualify for exemption based on the criteria noted above,complete the following to compute the portion of Bellevue location(s)space on which the square footage tax is due.Attach this form to MULTI-PURPOSE TAX RETURN. Line Code Amount No. No. Section 1 Net Rentable:Area t� 1 Enter total square footage of Bellevue location(s). If you are reporting for more than one Bellevue 50 `` location on this return, combine the locations. 2 Enter square footage of Bellevue space on line 1 that is used for warehouse,(company gym,cafeteria] 51 and/or retail selling area. ". 3 Net Rentable Area(Subtract line 2 from line 1 and enter amount on this line.)If your Bellevue busi- ness location(s)does NOT support business locations OUTSIDE the City,proceed to line 7 and enter the square footage amount from this line on line 7. §ection II Taxable Area Supporting Business rLocations Outside Bellevue " 4 Enter square footage of Net Rentable Area on line 3 that is used to PERFORM business activities subject to gross receipts tax(e.g.,space used for marketing,sales,customer services,customer support,etc.) " 5 Support Space(Subtract line 4 from line 3 and enter amount on this line.) This equals the area used- to SUPPORT business activities. (e.g. space used for administrative activities'.such as payroll and/or accounting functions, corporate headquarters, etc.) 6 Taxable Area Supporting Business Locations Outside Bellevue Enter the square footage of the Support Space listed on line 5 that is used to support business locations OUTSIDE Bellevue. (*If 52 - actual amount is not available, compute as noted below.) Section all Taxable Area for Business Activities in Bellevue 7 . Adjusted Net Rentable Area(Subtract line 6 from line 3 and enter amount on this line.)If Section II did not apply to you then enter the Net Rentable Area from line 3. If your Bellevue location(s)does not make any sales of tangible personal property that is delivered outside the City then proceed to line 11 and enter zero. 8 Enter total receipts from retailing andlor wholesaling of goods earned by Bellevue locations and delivered outside the City which are not subject to Bellevue manufacturing, extracting, and/or printing 53 -t gross receipts tax. 9 Enter total receipts earned by Bellevue business location(s). If you are reporting for more than one 54 I Bellevue location on this return, combine the locations. 10 Taxable Percentage(Divide line 8 by line 9 and enter amount on this line.) 11 Taxable Area for Business Activities in Bellevue(Multiply line 7 by line 10 and enter the amount on this line.) Section IV Total Taxable Square Footage(Round Square Footage to the nearest.square foot) 12 Total Taxable Square Footage(Add line 6 to line 11 and enter amount on this line and on the MULTI- PURPOSE-TAX RETURN, line 10,column 4.) Notes III *Line 6.,Enter actual square footage used for activity described. If actual square footage is not available,the amount on line 6 may be determined using the following formula: / Total Company Receipts-Total Bellevue Taxable Receipts°`X Total Support Space' Total Company Receipts a Total Bellevue Taxable Receipts equals the amount from Multi-Purpose Tar Return,line 9,column 4 less the total of the amounts from Schedule C Mr, RIs Activities Tax Credit Form,code no.73-79,column 1. - b Total Support Space equals-the amount from line 5. m8486Bc9n0.1nd 65 A ATTACH TO MULTI-PURPOSE City of Bellevue TAX RETURN AND MA1LTO: LOCKBOx Schedule B—SQUARE FOOTAGE TAX DETAIL Locl�o PO BOX 34372 SEATTLE,WA98124.1372 Date Due Reporting Registration Perlod No,,, Who should complete this schedule?Taxpayers with a business location(s)in Bellevue should complete this form. Complete the followingto compute the portion of Bellevue location(s)space on which the square footage tax is due and attach this form to the MULTI-PURPOSE TAX RETURN,unless the Net Rentable Square Footage is 250 or less. Part 1—Net Rentable Square Footage Line 1 Enter Square Footage of the Bellevue Location(s). 2 Enter square footage used for warehouse,retail selling area,company gym,and company cafeteria. 3 Subtract line 2 from line 1,the result is the Bellevue Net Rentable Square Footage. IF LINE 3 IS 250 SQUARE FEET OR LESS,NO SQUARE FOOTAGE TAX IS DUE. Enter 0 on line 10,column 4 of the MULTI-PURPOSE TAX RETURN and STOP. Retain this schedule for your records. If the Net Taxable Square Footage includes square footage used for activities that generate income subject to the Bellevue gross receipts tax,proceed to calculate an exemption for a portion of the Net Taxable Square Footage. If the business Net Taxable Square Footage does not include square footage used for activities that generate income subject to the gross receipts tax under Bellevue City Code Section 4.09:enter the amount from line 3 above on line 10,column 4 of the MULTI- PURPOSE TAX RETURN and STOP. Attach this schedule to your tax return and keep a copy for your records. Part 2—Exemption 4 Enter square footage used for activities that generate income taxable under BCC 4.09 including square footage used to provide administrative support to those business activities.' 5 Enter gross receipts generated by the Bellevue location(s),less retail and wholesale deductions for sales delivered outside of Bellevue. 6 Enter total gross receipts generated by the Bellevue location(s). 7 Divide line 5 byline 6,multiply the result byline 4. Enter the result.This is the Exempt Square Footage. $ Subtract line 7 from line 3 and enter the result here and online 10,column 4 of the MULTI- PURPOSE TAX RETURN.This is the Taxable Square Footage. Activities that generate income subject to the Bellevue gross receipts tax under BCC 4.09 include any activity performed within Bellevue and reportable on lines 1-7 of the Multi-Purpose Tax Return. 'Retail and wholesale deductions for'sales delivered outside of Bellevue are those amounts qualifying for deduction under deduction codes 0209 and 0309 on Schedule D. Do not include amounts that are also taxed under manufacturing,extracting,or printing. �6 A TAX RE TO URNMULTI-PURPOSE City Of Bellevue 8 o TAX RETURN AND MAIL TO: LOCKBOX Schedule C—MULTIPLE ACTIVITIES TAX CREDIT FORM Y ,x�; PO BOX 34372 SEATTLE,WA 98124-1372 Date Due Reporting Period Registration# Section 1: EXTERNAL CREDITS(taxes paid to other local jurisdictions) Column 1 Column 2 1 Column 3 Column 4 Gross Recei is Tax Paid Code No. ACTIVITY WHICH RESULTS IN ACREDIT Taxable Amount Bellevue Non-Bellevue Credit 70 Wholesaling in Bellevue of products extracted, manufactured,or printed outside of Bellevue - 71 Retailing in Bellevue of products extracted, manufactured,or printed outside of Bellevue 72 Manufacturing in Bellevue of products extracted outside of Bellevue Multiple Activites Tax Credit Subtotal of taxes paid to other local jurisdictions. Section 2: INTERNAL CREDITS(taxes paid to Bellevue) Column 1 Column 2 Column 3 Column 4 Column 5 Column 6 Gross Receipts Tax Paid Code ACTIVITY WHICH RESULTS Manufacturing/ No. IN ACREDIT Taxable Amount Extracting Pdntin Wholesalina Retailing Credit 73 'Manufacturing activities on 0/I I I11 ,products extracted in Bellevue /1/l f1lll/1 1((:1lIIIl! 74 Wholesaling in Bellevue of llllll J111/ll ll1!!!I!l! products extracted in Bellevue llllllllll!!! I!1!I!I!!! 75 Wholesaling (in Bellevue of products manufactured in' Bellevue ' Il/!/111/$ 76 Wholesaling in Bellevue of llllllll! !l!!1/lll! products printed in Bellevue 1!l!!1!/I !/llllllll 77 'Retailing in.Bellevue of ''!1l(llllll.!!l !1!!1111(I1 'products extracted in Bellevue 78 Retailing in Bellevue of flll!(!11 I1/ll!llll! products manufactured in /llllllll /ll!!1!1!/! Bellevue llfll/ill l/lllll(/1l 79 Retailing in Bellevue of lll/(Illll Illllll(!IJ - products printed in Bellevue Multiple Activites Tax Credit Subtotal of taxes paid to Bellevue. Total External and Internal Credits from Section 1 and Section 2: Transfer this amount to the Credit line on Business&occupation Tax Return INSTRUCTIONS SECTION 2:Internal Credits 1. Find the activity(70-79)which applies to your business(more 1. Enter in Columns 2-5 the Bellevue B&O tax due on each of the than one may apply). activities,as applicable. 2. Enter in Column 1 the taxable amount(gross less deductions) 2. For activity 73 enter in Column 6 the lesser of the tax amount in pertaining to the activity. Columns 2 or 3. 3. Compute the amount of the credit as explained below and enter 3. For activity 74 enter in Column 6 the lesser of the tax amount in the total amount of the credits from Section 1 and Section 2 into Columns 2 or 4, the total credit box. 4.For activities 75 and 76 enter in Column 6 the lesser of the tax amount in Columns 3 or 4. SECTION 1:External Credits 5. For activity 77 enter in Column 6 the lesser of the tax amount in 1. Enter in Column 2 the Bellevue B&O tax due on the amount in Columns 2 or 5. Column 1 (use tax rates shown on tax return). 6. For activites 78 and 79 enter in Column 6 the lesser of the tax 2. Enter in Column 3 the tax paid to another local jurisdiction on the amount in Columns 3 or 5. same taxable amounts. 7. If tax amounts are equal(one is not less than the other)for 3. Enter in Column 4 the less of Columns 2 or 3. activities 73-79 then enter one of the tax amounts in Column 6. m8486C.11108A,id 47 �A TAX CH TO RETURN AND MAIL TO: City of Bellevue e �A TAXRETURNANOMAaTo: � LOCKeOX Schedule D—DEDUCTION DETAIL tW,W "�_'�P PO BOX 34372 SEATTLE,WA 99124-1372 Date Due Reporting Period Registration BUSINESS & OCCUPATION TAX Code Code DEDUCTIONS No. • No. Bad Debt 0201 - 0301 Cash Discount 0203 0303 _ Eligible Amounts Representing Rental of Real:Estate for Boarding Homes 0206 0306 Replacement,Repair,Maintenance,etc.of Residential Structures and Commonly 0207 0307 Held Property-Eligible Organizations Sales of Precious Metal Bullion Monetized Bullion 0268 '.0308 Sales Delivered Outside Bellevue 0209 0309 Other _ 0299 4399 Sub-total Code DEDUCTIONS No. e Bad Deb[ 0601 Cash Discount 0603 Eligible Compensation from Public Entities for.Health or Social Welfare Services '.0605 Eligible Amounts Representing Rental of Real Estate for Boarding Homes 0606 Interest On Obligations of the State,its Political Subdivision,.&' Municipal Corporations '060. Eligible Fees,Dues,Charges 0611 Radio&Television Broadcasting-Advertismg Agency Fees,?National,Regional,&Network Advertising "0612 Interest on Investments!Loans Secured by First Mortgages or Trust Deeds on Nontransient Residential 0613 Properties Interest on Loans to Farmers&Ranchers,Producers or Harvesters of Aquatic Products,or their Cooperatives 0614 Other'..... .. _. _.. 0699 Sub-total code "m e- Code Code DEDUCTIONS No. - No. No. e' Bad Debt ': 0101 0401 ' `1101 Eligible Gross Receipts Tax Paid Another City 0104 0404 1104 Other " 0196 0499 1199 Sub-total III CONTINUED ON REVERSE SIDE i m64a602.11/0B..indd UTILITIES TAX Code Code DEDUCTIONS No. m No. Bad Debt 4001 >4101 Resale 4015 4115 Qualified Changes to another telecommunication,company 4016 '.4116 Billing adjustments made as result of a third party fraud or crime 4017 4117 Other 4099 4199 Sub-total Code Code Code Code DEDUCTIONS No. No. '® No. No. Bad Debt 4201 4301 4401 4501 Other 4299 4399 4499 4599 Sub-total Code Code Code m ' DEDUCTIONS No. m m No. a No. c" Bad Debt 4601 4701 4801 Other 4699 4799 4899 Sub-total OTHER TAXES Code Code Code DEDUCTIONS No. No. • 'o No. - a' Qualified prizes&payouts 6018 6118 6218 Other 6099 6199 _ 6299 Sub-total Code DEDUCTIONS No. First$10,000 of gross:revenue for nonprofit organizations 6320 Qualified prizes&payouts 6318 Other 6399 Sub-total Code DEDUCTIONS No. om Other 6499 Sub-total m848602.1108Jndd 69 Prhrt Form Firm Name: _ Customer No.: Tax Period: 20 City of Seattle Revenue and Consumer Affairs Prepared by: 700 51e Avenue, Suite 4250 PO Box 34214 Seattle,WA 98104-5020 CITY OF SEATTLE. MULTIPLE ACTIVITIES TAX CREDIT FORM Part I -EXTERNAL CREDITS Use Part 1 if you have paid eligible gross receipts taxes to another local jurisdiction for the privilege of extracting the products you manufactured in Seattle, or for extracting or manufacturing the products you sold in Seattle. Column 1 Column 2 Column 3 Column 4 Gross Receipts Taxes Paid Activity resulting in a tax credit. Taxable Seattle Non-Seattle Credit(Lesser of Amount Columns 2 or 3) A.Selling in Seattle products extracted,manufactured, or printed outside of Seattle. B.Manufacturing in Seattle products extracted outside of Seattle. Part H-INTERNAL CREDITS Use Part II if you have paid taxes to Seattle under two or more classifications on the same product. Column 1 Column 2 Column 3 Column 4a Column 4b Column 5 Taxable Extracting Manufacturing Wholesaling Retailing Activity resulting in a tax credit. Amount Tax Paid Or Printing Tax Paid Tax Paid Credit Tax Paid C.Manufacturing activities on products=ramC, extracted In Seattle. . D.Selling in Seattle products extracted, manufactured,or printed in Seattle. Total External&Internal Credits From Part I Column 4 and Part II Column S: Transfer this amount to the multiple tax credit line on business tax return. INSTRUCTIONS 1. Find the activity(A,B C or D)which applies to your business (more than one may apply). 2. Enter in Column I the taxable amount(gross less deductions)pertaining to the activity. 3. Compute the amount of the credit as explained below and enter the total amount of the credits in part I Column 4 and Part H Column 5 into the total credit box. External Credit 1. Enter in Column 2 the Seattle B&O tax applicable to the activity(use tax rates shown on tax return). 2. Enter in Column 3 the tax paid to another local jurisdiction on the same taxable amounts. 3. Enter in Column 4 the lesser of Columns 2 or 3. Internal Credit 1. Enter in Columns 2, 3,and 4a&4b the Seattle B&O tax paid on each of the activities, as applicable. 2. For activity C enter in Column 5 the lesser of the tax amount in Column 2 or Column 3. 3. For activity D, enter in Column 5 the lesser of the tax amount in Columns 2, 3 or the combined total of Column 4a and 4b. 4. If tax amounts are equal(one is not less than the other)then enter one of the tax amounts in Column 5, ro�&W Ms2002 70 City of Tacoma Finance Department/Tax k License Division Business Name: i. 733 Market Street, Room 21, Tacoma, WA 98402-3770 Registration Tacoma (253) 591-5252 www.cityoftacoma.org Prepared by Tax Period 120 Multiple Activities Tax Credit Form Part I - External Credits Use Part 1 if: A You have sold products in Tacoma that were extracted, manufactured, or printed in another jurisdiction for which you paid eligible gross receipts taxes; B You have extracted products in another jurisdiction which were manufactured, partially manufactured, or printed in Tacoma. COLUMN 1 COLUMN 2 COLUMN 3 COLUMN 4 Activity resulting Taxable Tacoma Other Gross Credit in a tax credit Amount Receipts City (Lesser of Gross Receipts Taxes Paid column 2 or 3) A Selling in Tacoma products extracted, manufactured, or printed outside Tacoma. B Extracting products in another jurisdiction which were manufactured in Tacoma. Dart II - Internal Credits Use Part II if: You have sold products in Tacoma which were also manufactured, extracted, or printed in Tacoma. COLUMN 1 COLUMN 2 COLUMN 3 COLUMN.4 COLUMN 5 Activity Taxable Manufacturing/ Wholesaling Retailing Credit Amount Extracting Taxes Paid Wholesaling Lesser of COLUMNS 2 or 3 Retailing Lesser of COLUMNS 2 or 4 —a Total External and Internal Tax Credits from Part I COLUMN 4 and Part II COLUMN 5: Transfer this amount to the multiple activities tax credit line on business tax return. For purposes of identifying which credit to use: External Credits are for products extracted or manufactured outside of Tacoma. Internal Credits are for products manufactured inside of Tacoma. T%L 18B(DN03)t 71 _ QUARTERLY GtYof BUSINESS AND OCCUPATION TAX REPORT OLYMPIA City Of Olympia, Washington—Ordinance 2923 as amended BUSINESS STATEMENT PERIOD DATE DUE :NUMBER .NUMBER Column'I Colomn2 Column ". Column COLUMNS COLUMN6 DEDUCTIONS' Business FROM WORKSJHEET TAXABLE Clzvvwhon Gross Amount ON BACK: GROSSAMOUNT RATE TOTALTAXDUE ROADCONST .OD1D0 OR EXTRCT RETAILING. .00100 WHOLESALE .00100 MANUFACTURING .00100 PRINTING 8 .00100 PUBLISH SERVICE& .00200 OTHERACTY RETAIL SVC .00100 TOTAL TAXABLE STATEMENT TOTAL PENALTIES PREVIOUS BALANCE TOTAL AMOUNT DUE Make checks payable to: City Treasurer IF TOTAL TAXABLE AMOUNT IN COLUMN 4 IS LESS THAN PO Box 2009 $5,000.00 NO TAX IS DUE, BUT REPORT MUST BE FILED Olympia, WA 98507-2009 Phone: (360)753-8327 "PENALTIES:No penalty on payments received on or before the last The undersigned taxpayer declares that they have read dayof the month in which taxis due. the foregoing return and certifies it to be correct. '. 5%of the tax due if not received on or before the lastday of the month Dated this Day of Year i invaWith taxis due_ Fine - 15%ofthe tax due if not received on or before the last day of the month Name i following the due date. - '. 25%of the tax due if not received on or before the last day of the second = Signed month folloveing the due date_ By: Office Phone Minim um penalty on all late returns is$5.00 or Title - Number 72 WORKSHEET TRANSFER THESE TOTALS TO OTHER SIDE ON COLUMN 3 PUBLICROAD PRINTING AND SERVICE AND: Type of Deduction CONSTRUCTION! RETAIL WHOLESALE MANUFACTURING PUBLISHING OTHER ACTNfTIES RETAIL SERVICE FX:TRAC11N6 Bad Debts Cash and .Trade Discounts Interstate Sales. Motorvetncle fuel Sale i Liquor,Wine,Beer- ' Total Business Deductions EXPLANATION OF CATEGORIES: MANUFACTURING- every person who, either directly or by contracting with others for the necessary labor or mechanical services, manufactures for sale or commercial use from his own materials or ingredients any articles, substances or commodities. WHOLESALE- every person engaging in the business of making sales at wholesale of articles, commodities or merchandise held for sale or to be delivered within the city. RETAIL- every person engaging in the business of making sales at retail of articles, commodities or merchandise held for sale or to be delivered within the city, including competitive telephone service;sales of the business without regard to the place of delivery of articles, commodities or merchandise sold. PRINTING AND every person engaging in the business of printing and of.publication PUBLISHING- within this city of newspapers, periodicals or magazines. PUBLIC ROAD building, repairing or improving any publicly owned street, place, road, CONSTRUCTION1 highway, bridge or trestle within this city which is used, or to be used, EXTRACTING - primarily for foot or vehicular traffic; every person, directly or by Contracting with others, removing any mineral or other natural resource product from his or her own land or from land of another under a right or license granted by lease or contract. SERVICE AND every person engaging in any business venture other than those specified OTHER ACTIVITIES- specified above. RETAIL SERVICE- shall include the sale of or charge made for personal, business, or professional services including amounts designated as interest. rents,fees, admission, and other service emoluments however designated.These include, but are not limited to credit bureau services, landscape maintenance, physical fitness services, tanning salon services and automobile parking. 73 0NT• hS Business & Occupation Tax Return �9 ttlgfiT�� (Ordinance No. 781) Report Due Quarterly fo.s,00uYe Please type or print. DuPont Business license #: Company Name: Address: City, State, Zip: Email Address: ❑ Return is for the quarter ending: ❑ We no longer conduct business within the City of DuPont effective: 1) Nature of business: 2) Gross Taxable receipts: 3) Tax Due (line 2 times .001): 4) Penalty: 5) Total tax due (lines 3 & 4): Show gross taxable income on line 2. If your taxable gross income is less than $5,000.00, no tax is due. Payment is due in our office by the end of the month following the end of the quarter. If no payment is due, a report still must be filed. Any payments received of ter the due date will be assessed a penalty as follows: 1 to 30 days delinquent— 5% of tax due, no less than $5.00 31 to 60 days delinquent— 15% of tax due, no less than $5.00 61 + days delinquent— 25% of tax due, no less than $5.00 Prepared by: Phone: PRINLNAME Signature: Date: Mail with payment to: City of DuPont, 1700 Civic Drive, DuPont, WA 98327 - -- - -- -- - -- - - - -- - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - City of DuPont use only Date received: City of DuPont 1700 Civic Drive DuPont,Washington 98327 253-964-8121 phone II 253-964-3554 fax 74 Square Footage Business & Occupation ftT, Rsl Tax Quarterly Report p M6TON (Ordinance No. 12-946) " ^s5pp0Ye" DuPont Business License#: Company Name: Q Address: City, State, Zip: Email Address: ❑ Return is for the quarter ending: ❑ We have less than 20,000 Taxable Square Footage in DuPont — No tax owed 1) Taxable Floor Area: 2) Tax Owed (line 2 times .05): 3) Deduction for B&O Tax Paid: 4) Total tax due (line 3 less line 4): 5) Penalty: 6) Payment Due: (line 5 plus line 6): Payment is due in our office by the end of the month following the end of the quarter. /f no payment is due, a report still must be filed. Any payments received after the due date will be assessed a penalty as follows: 1 to 40 days delinquent— 10% of tax due, a minimum of$5.00 41 to 70 days delinquent— 20% of tax due, a minimum of$5.00 71 + days delinquent— 30% of tax due, a minimum of$5.00 Prepared by: Phone: PRIWMME Signature: Date: Mail with payment to: City of DuPont, 1700 Civic Drive, DuPont, WA 98327 - - - -- - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - City of DuPont use only Date received: CR# City of DuPont 1700 Civic Drive DuPon4 Washington 98327 253-964-8121 phone 253-964-3554 fax i 91 ORDINANCE NO. �y I y" ij° AN ORDINANCE of the Cif, CouYY��f the City of Kent, Washington, am�daan� Chapt f ,.28 of the Kent City Code %, tled Business Occupation Tax — Gross *eipts,� ,adding subsection 3.28.100(1f) '' itled�'���Third Part�kr warehousing. ''' a,, A. On October the city°jf Kent a opted Ordinance No. 4053, establishing a gyhapte��%3 28 in the Kent City Code entitled, "Business and Occupation TaX� �rrq �, �ipts, ?Including a complementary square footage Wt ' r� p�,x T1 � � ty of fEf subsequently amended the business and pt&upationsquare footage tax through adoption of Ordinarq� (Vo. 4054, November 20rh, 2012, with an effective date of �» 1 , January 1 "�a ,3. 165" r B. The squarootage tax supplements the B&O tax by applying a minimum rate to those businesses that require city services and increase demands on city infrastructure but whose gross receipts are largely not taxable by the city of Kent under the B&O tax framework mandated by state statute. 1 Amend KCC 3.28.100 8 & OTax Ordinance 92 C. Business warehouse floor space is subject to a higher square footage tax rate because of the increased impact on services and infrastructure, such as heavy truck traffic, caused by businesses that operate warehouses. D. Some businesses that operate warehouses in Kent generate gross receipts that are fully taxable by the city but cor� 5 ` ntly owe square footage tax in excess of their B&O tax due every Ai ) er. E. The city has determined that amen�ptfents�are nec& fy to address a this issue. �0, lf NOW THEREFORE, THE, CITY COUNd( ;,QF THE CITY OF KENT, WASHINGTON, DOES HEREBY O/ AS FOLL60 �;,� m„ii O RD �� �'N C E IN, ��, SECTION il, A dment th/apter 3.28.100 is amended by adding as � Ybsectf,f„3 2' '1'G�, 1� as follows: ✓ KCC 3 �.1001). Third-party warehousing. In comp utmN' e squar ' ootage tax imposed under section 3.28.050(2), ✓C there may b � �gduc ' d from the measurement of business warehouse RM floor space by { I engaged in business as a third-party warehouse sixty-six percent (66%) of the total square footage used exclusively for third-party warehouse purposes during the entire reporting period. For purposes of this section, "third-party warehouse" means a business that provides storage or handling of goods, materials or other products on behalf of another person but does not take title to or ownership of the 2 Amend KCC 3.28.100 8 & OTax Ordinance 93 products or have general responsibility to direct the sale or other disposition of the products. A business that stores or handles any products on behalf of a related entity, as defined in Section 276 of the Internal Revenue Code, or for an entity under common control pursuant to 26 CFR Section 1.414(c)-2, shall not be considered a third-party warehouse. 'p SECTION 2, - Retroactivity. This ordinance �r �,be effective and apply retroactively to all reporting periods that,aC' rl on or after January 1, 2013. SECTION 3, - Corrections byA y Cl or Code RED r. Upon SPY- approval of the City Attorney, the Cit rk,j,,nd,�the code reviser are �Ji rgr authorized to make necessary , rrections to YJ ordinance, including the correction of clerical errors; or section, section numbering; or references to other local, state �t �%feral Iws, codes, rules, or regulations. 'V SECTION d� Sevd�bility If aone or more section, subsection, or senten / phis or�4i �c6 3 l o be unconstitutional or invalid, that decisi �shall nf�t' fect�% e validity of the remaining portion of this SM ,0 ord9n f o and that mini portion shall maintain its full force and 0 , effect g„ SECTION Effective Date. Except as provided in Section 2, this ordinance shall b"e in force five (5) days after its passage and publication, as provided by law. SUZETTE COOKE, MAYOR 3 Amend KCC 3.28.100 8 & OTax Ordinance 94 ATTEST: RONALD F. MOORE, CITY CLERK APPROVED AS TO FORM: TOM BRUBAKER, CITY ATTORNEY PASSED: day of ��� k, a, 2013. «� APPROVED: day of ///, , 2013. PUBLISHED: day of � '+%� �� u,, 13. I hereby cert'j,6 ICA/ ,xhis is a t�� e copy o �Ordinance No. „f passed by the �� ounci} f the City%f Kent, Washington, and approved by the Mayor of they fty", 4 „ ps her n indicated. o i";i/ lU,, ," P��G�i ,i/afF �,//, SEAL RONALD F. MOORE, CITY CLERK P:\Civil\Ordinance\�;; ,p Tax Gross Raei f Final Ops 052113.Docx y Or/j /W IRON/ i i. 4 Amend KCC 3.28.100 8 & OTax Ordinance CHANGES TO THE AGENDA Citizens wishing to address the Council will, at this time, make known the subject of interest, so all may be properly heard. A) From Council, Administration, or Staff B) From the Public PUBLIC COMMUNICATIONS A) Public Recognition B) Community Events C) Proclamation - Veterans Recognition Day Proclamation D) Public Safety Report E) Intergovernmental Reports PUBLIC COMMENT Agenda Item: Consent Calendar 7A - 7B CONSENT CALENDAR 7. City Council Action: Councilmember moves, Councilmember seconds to approve Consent Calendar Items A through L. Discussion Action 7A. Approval of Minutes. Approval of the minutes of the workshop and regular Council meeting of May 7, 2013. 7B. Approval of Bills. Approval of payment of the bills received through April 30 and paid on April 30 after auditing by the Operations Committee on May 7, 2013. Approval of checks issued for vouchers: Date Check Numbers Amount 4/30/13 Wire Transfers 5452-5466 $1,341,827.68 4/30/13 Regular Checks 372634-673017 3,352,392.70 4/30/13 Use Tax Payable 905.52 $4,695,125.90 Approval of payment of the bills received through April 15 and paid on April 15 after auditing by the Operations Committee on May 7, 2013. Approval of checks issued for vouchers: Date Check Numbers Amount 4/15/13 Wire Transfers 5436-5451 $1,403,872.05 4/15/13 Regular Checks 672270-672633 1,593,279.75 Void Checks (2,015.97) 4/15/13 Use Tax Payable 5,195.69 $3,000,331.52 Approval of checks issued for payroll for April 16 through April 30 and paid on May 3, 2013: Date Check Numbers Amount 5/3/13 Checks 331442-331630 $ 99,258.93 5/3/13 Advices 313303-313933 1,262,116.29 $1,361,375.22 �1 KENT "as Kent City Council Meeting May 7, 2013 The regular meeting of the Kent City Council was called to order at 7:00 p.m. by Mayor Cooke. Councilmembers present: Mayor Cooke, Council President Higgins, Councilmember Albertson, Councilmember Perry, and Councilmember Ranniger. Councilmember Boyce and Councilmember Ralph were excused from the meeting. CHANGES TO THE AGENDA A. From Council, Administration, Staff. Council President Higgins added Consent Calendar items L and M, an excused absence for Councilmember Boyce and Council- member Ralph, and removing item 8A under Other Business and item 4D under Legislative Report. Chief Administrative Officer Hodgson removed the executive session pertaining to labor negotiations. B. From the Public. None. PUBLIC COMMUNICATIONS A. Public Recoanition. Mayor Cooke appointed City Attorney Tom Brubaker as the Interim Chief Administrative Officer through the rest of this year and until a new Chief Administrative Officer is named. Mr. Brubaker stated that he is honored to have the opportunity and said he is looking forward to serving the citizens, the Mayor, the Council, and the city staff. B. Community Events. None given. C. Proclamation. Mayor Cooke introduced Parks and Recreation Director Jeff Watling who accepted the proclamation. Mr. Watling thanked the Mayor for the National Trails Days in Kent at Lake Fenwick Park proclamation. D. Economic Development Report. Economic Development Director Ben Wolters discussed economic development in the City. He highlighted the high numbers in permits and permit revenue. He noted that there has been a 137% increase in permit revenues when comparing the 1st Quarter 2011 to 1st Quarter 2013. He added that the increase in permit fees have had no affect on developers wanting to develop in Kent. He discussed an increase in rental revenues and industrial development. He discussed IDS' purchase of 70 plus acres and that the buildings from the 60's, 70's, and 80's in the old Boeing campus are being demolished to make way for a more technologically advanced campus. Mr. Wolters stated that new residence permits have increased 18% and large home building firms that have been purchasing sites here. Kent is experiencing retail challenges in overall sales, he said, and explained that it is based on major investments done in other local cities. He stated that his staff will be working with the Council on the Comprehensive Plan and noted that there are hospitals inquiring about opening clinics to bring convenient health services to the community. 1 Kent City Council Minutes May 7, 2013 Councilmember Albertson highlighted that the raising of development fees didn't affect the City's ability to rebound. She thanked Councilmember Perry and Ranniger for standing firm in the fee increases during the budget process. Councilmember Perry inquired how the Economic Development Department staff are holding up since the layoffs and he reported that the Mayor and CAO have asked him to put together a staffing plan. I. Interaovernmental Report. Council President Higgins reported on the Regional Policy Committee meeting and said at the next meeting of the Regional Transit Authority (RTA) they will be discussing the 17% cut in Metro services and what it will look like. He noted that at the Mental Illness and Drug Dependency Oversight Board meeting they discussed training professional educators on chemical dependency standards. Councilmember Albertson reported on her attendance at the King County Water Quality committee that the sewer rates will stay the same through 2014. Councilmember Perry discussed the Sound Cities Association Public Issues Committee supporting the King County Metro Long Range Plan and supporting a position on a comprehensive approach to regional tolling. He also noted that a task force will be formed on tolling. She noted that the Growth Management Policy Board and WRIA-9 will be meeting next week and May 28th is the first meeting of the Women's Leadership Group for Sound Cities Association. She noted that the Lodging Tax Advisory meeting was held last week and they awarded some grants to different groups. She stated that the committee has set aside $20,000 for branding and the group wants to know what other cities have done. PUBLIC COMMENT 1. Zachary E. Vantassel, Kent, WA, discussed the Kent Historical Society and their future plans. 2. Wade Schwartz, Kent, WA, discussed parking issues by his business. He said there was an influx in downtown Kent about police enforcing the 2-hour parking. He stated that in the past two years there haven't been any tickets given. He encouraged the City to look at zoning and allowing businesses to have their customer's park on the street. Council President Higgins communicated that this will be referred to the Public Safety Committee. CONSENT CALENDAR Council President Higgins moved to approve Consent Calendar Items A through M, seconded by Councilmember Thomas. The motion carried 5-0 and the following items were approved: A. Minutes of the workshop and regular Council meeting of April 16, 2013. 2 Kent City Council Minutes May 7, 2013 B. Approval of Bills. Payment of the bills received through March 31 and paid on March 31 after auditing by the Operations Committee on April 16, 2013, were approved. Checks issued for vouchers: Date Check Numbers Amount 3/31/13 Wire Transfers 5421-5435 $1,267,547.68 3/31/13 Regular Checks 67102-672269 2,674,947.98 Void Checks (3,700.35) 3/31/13 Use Tax Payable 5,481.10 $3,944,276.41 Payment of the bills received through March 15 and paid on March 15 after auditing by the Operations Committee on April 16, 2013, were approved. Checks issued for vouchers: Date Check Numbers Amount 3/15/13 Wire Transfers 5400-5420 $1,750,165.61 3/15/13 Regular Checks 681555-671901 2,118,921.29 3/15/13 Use Tax Payable 3,283.00 $3,872,369.90 Checks issued for payroll for April 1 through April 15 and paid on April 19, 2013, were approved: Date Check Numbers Amount 4/19/2013 Checks 331265-331441 $ 93,332.56 4/19/2013 Advices 312672-313302 1,151,900.90 $1,245,233.46 Checks issued for payroll for April 16 through April 31 and paid on April 5, 2013, were approved: Date Check Numbers Amount 4/5/2013 Checks 331097-331264 $ 99,781.06 4/5/2013 Advices 312038-312671 1,183,601.85 $1,283,382.91 C. Ouick Response Safety Grant for Panther Lake Sianal Intearation. The Mayor was authorized to execute an agreement with the Washington State Department of Transportation to accept a grant in the amount of $341,957.55 for the Panther Lake Signal System Integration and adjust the budget accordingly, subject to final terms and conditions acceptable to the Public Works Director and City Attorney. D. Kina County Interlocal Maintenance Aareement for City Stormwater Ponds & Bioswales. The Mayor was authorized to sign an amendment to the City's interlocal agreement with King County to perform maintenance on the City's 3 Kent City Council Minutes May 7, 2013 Stormwater Ponds and Bioswales, subject to final terms and conditions acceptable to the City Attorney and Public Works Director. E. Tetra Tech, Inc. 2013 Lakes Monitoring Contract. The Mayor was authorized to sign a consultant services agreement with Tetra Tech, Inc. in an amount not to exceed $24,053.80 to monitor and analyze surface water quality conditions and aquatic weeds in Lake Fenwick and Lake Meridian during 2013, subject to final terms and conditions acceptable to the City Attorney and the Public Works Director. F. Kina Conservation District Grant Agreement. The King Conservation District grant was accepted in the amount of $62,402.54, the Mayor was authorized to sign the agreement and the expenditure of funds in the Green Kent Partnership budget were approved, subject to final terms and conditions acceptable to the Parks and Human Services Director and the City Attorney. G. 2013 First Ouarter Fee-in-lieu Funds. The fee-in-lieu funds in the amount of $70,125 were accepted and amendment of the Community Parks Reinvestment budget was authorized for future expenditure of funds in the Springwood Park budget. H. Recreation Conservation Office Grant Amendment. The Mayor was authorized to sign the Recreation and Conservation Office grant amendment in the amount of $144,880 to reimburse the land acquisition budget for the Clark Lake Assemblage, subject to final terms and conditions acceptable to the Parks and Human Services Director and the City Attorney. I. McDonald's at 256th Street Bill of Sale. The Bill of Sale for the McDonald's at 256th Street project was accepted, permit 2071812, for 3 gate valves, 1 hydrant, and 110 linear feet of waterline, 223 linear feet of new street, 217 linear feet of frontage improvements, 1 storm sewer catch basin, and 31 linear feet of storm sewer line. J. Contract for Real Estate Neaotiation Services with Universal Field Services for SR 516 to S. 231't Way Levee/Lakes Levee Proiect. The Mayor was authorized to sign the Universal Field Services Inc. contract agreement for Real Estate negotiation services on State Route 516 to S. 231st Way Levee Project in an amount not to exceed $28,000, subject to final terms and conditions acceptable to the City Attorney and Public Works Director. K. Central Avenue Stormwater Force Main Phase II. The Central Avenue Stormwater Force Main Phase II Project was accepted as complete and release of retainage to Goodfellow Brothers, Inc. upon receipt of standard releases from the state and the release of any liens. The original contract amount was $824,128.38. The final contract amount was $738,490.54. ADDED ITEMS L. Excused Absence. An excused absence for Councilmember Boyce, who was unable to attend the May 7, 2013, meeting, was approved. 4 Kent City Council Minutes May 7, 2013 M. Excused Absence. An excused absence for Councilmember Ralph, who was unable to attend the May 7, 2013, meeting, was approved. BIDS A. 2013 Vehicle Detector Loops. Public Works Director Tim LaPorte gave a brief review and noted that about 73 loops need to be replaced. He noted that they were very pleased with the bid received from Totem Electric. Councilmember Albertson moved to award the 2013 Vehicle Detector Loops contract to Totem Electric of Tacoma in the amount of $125,532.50 and authorize the Mayor to sign all necessary documents, subject to final terms and conditions acceptable to the City Attorney and Public Works Director, seconded by Council President Higgins. Motion carried 5-0. B. 2013 Asphalt Grinding Proiect. Public Works Director Tim LaPorte gave a brief review of the Asphalt Grinding Project and noted that we will be joining forces with City staff and outside contractors. He stated that in this case we will be using an outside contractor to do the grinding and was very pleased with the bids received. Councilmember Albertson moved to award the 2013 Asphalt Grinding Project contract to Pyramid Grinding, LLC in the amount of $64,375 and authorize the Mayor to sign all necessary documents, subject to final terms and conditions acceptable to the City Attorney and Public Works Director. Council President Higgins seconded. Motion carried 5-0. REPORTS FROM STANDING COMMITTEES, STAFF AND SPECIAL COMMITTEES A. Council President. Council President Higgins discussed the workshop. He thanked Andrew Cooley for his presentation on traffic safety. He noted that the presentation concerning traffic measures was informative and that there are standards for traffic safety equipment. He also noted that there was a brief discussion on the vacancy on the Public Facilities District Board and there will be a plan for a more effective way to advertise vacant positions in the future. B. Mayor. Mayor Cooke announced the appointment of Tom Brubaker as the interim Chief Administrative Officer and Pat Fitzpatrick as the City's Acting City Attorney. She congratulated the Law Enforcement Department for their efforts in the Khalsa event. She noted that there were 5,000 to 8,000 people there. C. Administration. Chief Administrative Officer Hodgson said he didn't have a report. D. Economic & Community Development Committee. Councilmember Perry noted that their next meeting is next Monday, May 13th. E. Operations Committee. None 5 Kent City Council Minutes May 7, 2013 F. Parks and Human Services Committee. Councilmember Ranniger noted that the next meeting will be next Thursday, May 16th. G. Public Safety Committee. None. H. Public Works Committee. Councilmember Albertson stated that the 256th Improvement item was removed because there was a 2 1/2 hour meeting at the last Public Works Committee meeting. She stated that Council President Higgins did more research and explained how road projects had been paid for in the past. She noted that only a small portion of residents signed a covenant which means the property owners could opt out and they did. She noted that of the $2 million for the LID, $1.5 million would have come from the five large property owners. Therefore, she explained, the remaining condo owners could finance their share at a rate of $23 more per month or about $3,000 each. She communicated that the $2 million grant represents the people utilizing the road from other cities. She stated that the area isn't safe for seniors or children to walk. She said she is interested in starting another LID and finding one large property owner who wants to support it. She added that the City needs these funds to complete the improvements and the committee voted to put this project out for bid. She said this isn't fair to the people that live there and urged the Council to make this happen. Councilmember Albertson responded to Councilmembers questions regarding B&O tax, homeowners share and educating citizens. Council President Higgins said this will be discussed in the next Public Works Committee meeting. I. Regional Fire Authority. Councilmember Les Thomas noted that the budget process has been started and the next meeting will be May 15th at Station 74. ADJOURNMENT The meeting adjourned at 8:32 p.m. Ronald F. Moore, MMC City Clerk 6 Z' KENT Kent City Council Workshop May 7, 2013 The meeting was called to order at 5:39 p.m. by Council President Higgins. Councilmembers present: Higgins, Boyce, Perry, Ranninger, Ralph, and Albertson. Council President Higgins discussed the addition of three items to the agenda. Traffic Safety. City Attorney Tom Brubaker introduced Andy Cooley, a senior attorney from Keating Bucklin & McCormack. He noted that he will be discussing traffic safety in areas where the City does and doesn't have discretion. Mr. Cooley presented his credentials. He discussed the Manual on Uniform Traffic Control Devices (MUTCD) and noted that it is the authority for traffic engineering. He discussed "warrants" and how the term is used in traffic engineering. He reviewed traffic calming initiatives like speed bumps and traffic circles. He highlighted that there is conflicting research and standards about marked crosswalks. Based on this, he stated that the "gold standard" for marked crosswalks is to have a full-signalized intersection. He discussed the Federal Highway Administration (FHA) "Safety Effects of Marked versus Unmarked Crosswalks at Uncontrolled Locations" study done in 2002, which was published in 2005, and its results. He also noted other results that were published in 2006 which state that there doesn't need to be a crosswalk if less than 10 people cross per hour or if there is a streetlight crossing less than 300 feet away. He continued and discussed High Intensity Activated Crosswalks (HAWK) and its advantages and challenges. He continued and discussed the Roving Eyes Animated Sign which he stated did not work because the vehicles didn't stop for it. Public Facilities District Board Vacancy. City Attorney Tom Brubaker communicated that the Public Facilities District (PFD) is a separate entity and the positions are appointed by the Council. He noted that the Council can appoint a member for the first two positions, but a Councilmember cannot sit on the board. He also noted that it is possible to have the other three positions filled by a councilmember if they are nominated by a public organization such as the Chamber of Commerce, etc. He stated that it is very clear that the first two positions can't be filled by a Councilmember. Councilmember Albertson communicated that the Council isn't receiving good feedback from the PFD. Councilmember Perry inquired if the Council can have a non-voting member at the meetings. Council President Higgins said he would like to get someone appointed by the next workshop. Councilmember Perry stated that she thought there were going to be people evaluated by a council committee. 1 Kent City Council Workshop Minutes May 7, 2013 Mr. Brubaker noted that the position can be advertised on the web and the cable channel. He suggested it be open until filled. Councilmember Perry noted that it would be good to have a pool of people who are interested. Councilmember Albertson noted that the information concerning boards and positions be placed on the website and publically noted. The meeting adjourned at 6:36 p.m. Ronald F. Moore, MMC City Clerk 2 KENT Agenda Item: Consent Calendar - 7C TO: City Council DATE: May 21, 2013 SUBJECT: Consolidating Budget Adjustment Ordinance - Adopt MOTION: Adopt Ordinance No. approving and consolidating budget adjustments made between July 1, 2012 and December 31, 2012, reflecting an overall budget decrease of $2,957,872. SUMMARY: Authorization is requested to approve the technical gross budget adjustment ordinance including increases and reductions resulting in an overall budget decrease of $2,957,872 for adjustments made between July 1, 2012 and December 31, 2012. An overall increase of $2,621,099 was previously approved by Council, including the Muth Property totaling $700,000, King County Flood Control District for $253,121, and the City Art 5-year plan for $227,049. The remaining amount not yet approved by Council is an overall decrease of $5,578,971. This reduction is largely due to the reversal of the Public Works Trust Fund Loan. EXHIBITS: Ordinance RECOMMENDED BY: Operations Committee BUDGET IMPACTS: As described. ORDINANCE NO. AN ORDINANCE of the City Council of the City of Kent, Washington, amending the 2012 budget for adjustments made between July 1, 2012 and December 31, 2012. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: ORDINANCE SECTION 1. - Budget Adjustments. The 2012 budget is amended to include budget fund adjustments for the year up to December 31, 2012, as summarized and set forth in Exhibit "A," which is attached and incorporated into this ordinance. SECTION 2. - Severability. If any one or more section, subsection, or sentence of this ordinance is held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this ordinance and that remaining portion shall maintain its full force and effect. SECTION 3. - Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the 1 2012 Budget Adjustment Second Half correction of clerical errors; ordinance, section, or subsection numbering; or references to other local, state or federal laws, codes, rules, or regulations. SECTION 4, — Effective Date. This ordinance shall take effect and be in force five (5) days from and after its passage and publication, as provided by law. SUZETTE COOKE, MAYOR ATTEST: RONALD F. MOORE, CITY CLERK APPROVED AS TO FORM: TOM BRUBAKER, CITY ATTORNEY PASSED: day of 2013. APPROVED: day of 2013. PUBLISHED: day of 2013. I hereby certify that this is a true copy of Ordinance No. passed by the City Council of the City of Kent, Washington, and approved by the Mayor of the City of Kent as hereon indicated. (SEAL) RONALD F. MOORE, CITY CLERK P:\Civil\Ordinance\Budget Adj ustment Second Half 2012.docx 2 2012 Budget Adjustment Second Half City of Kent Budget Adjustment Ordinance Adjustments July 31, 2012 to December 31, 2012 Exhibit A Tota I Previously Approval Adjustment Fund Title Approved Requested Ordinance 001 General Fund 162,282 162,282 110 Street Fund 48,000 (46,817) 1,183 150 Capital Improvement Fund (96,152) (96,152) 160 Criminal Justice Fund 288,413 46,397 334,810 190 Other Projects Fund 227,049 58,636 285,685 310 Street Capital Projects Fund 394,210 (3,892,260) (3,498,050) 320 Parks Capital Projects Fund 411,259 (12,870) 398,389 340 Technology Capital Projects Fund 173,035 173,035 350 Facilities Capital Projects Fund 18,299 18,299 410 Water Operating Fund (2,110,437) (2,110,437) 440 Sewerage Operating Fund 953,121 953,121 480 Golf Operating Fund 136,765 136,765 520 Central Services Fund 173,035 173,035 540 Facilities Management Fund 27,984 27,984 Subtotal 2,621,099 (5,661,150) (3,040,051) Less: Internal Services Funds Other Transfers (109,155) (109,155) Internal Transfers 191,334 191,334 Subtotal - 82,179 82,179 Total Net Budget Change 2,621,099 (5,578,971) (2,957,872) Budget Adjustment Details for Budget Change July 1, 2012 to December 31, 2012 Approval Date Fund and or Previous Expense Project Explanation Fund Amount 1 General Fund Previously Approved by Council 1 1000 Quota Int'I Donation 05012012 1,000 1 1000 Winona Constance Grant 03202012 108,016 1 1000 4Culture-Sustain Support Gt 08072012 17,000 1 1000 Storm Damage Budget Adjust 08072012 17,766 1 1000 WA St Arts Commission Grant 08072012 3,500 1 1000 Multi-Care Fun Run Sponsor 11062012 15,000 Total General Fund 162,282 110 - Street Fund Previously Approved by Council 130 1300 Skate America Promotions 08212012 20,000 110 R00064 SEPA Ordinance #2494 SEPA2494 28,000 Not Previously Approved by Council 110 1110 Vineyards Settlement '09 (15,000) 110 R00061 Reallocate Project Funds 4,966 110 R00908 Reallocate Project Funds (36,783) Total Street Fund 1,183 150 - Capital Improvement Fund Not Previously Approved by Council 150 1500 Return Project Funds (48,076) 150 M00079 Return Project Funds (48,076) Total Capital Improvement Fund (96,152) 160 - Criminal Justice Fund Previously Approved by Council 160 N00025 Bureau of Justice Asst Gt 11202012 3,731 160 N00026 WA Traffic Safety Comm Grt 09182012 24,240 160 N00027 WA Traffic Safety Comm Grt 10162012 5,000 160 N00028 WA Traffic Safety Comm Grt 10162012 8,000 160 N00064 Drug Fee Comm Sup Prog Grnt 10162012 53,639 160 N00075 Stop Act Grant 10162012 48,258 160 N00094 Bureau of Justice Ast Grt 11202012 5,696 160 N00019 Ed Byrne Mem Grnt-2009 08182009 3,941 160 N00073 KC Sheriff's Office Grant 07192011 42,068 160 N00709 WA Traffic Safety Grant 07192011 93,840 Not Previously Approved by Council 160 1626 Court Renovation Project 45,264 160 N00022 Edward Byrne Memorial Grnt 1,133 Total Criminal Justice Fund 334,810 Budget Adjustment Details for Budget Change ]uly 1, 2012 to December 31, 2012 Approval Date Fund and or Previous Expense Project Explanation Fund Amount 190 - Management Operating Projects Previously Approved by Council 190 1902 Cty Art 5-Year Plan 2012-16 09202012 227,049 Not Previously Approved by Council 190 H00025 Record Donations/Contrib 55,286 190 H00080 Record Donations/Contrib 3,350 Total Management Operating Projects 285,685 310 - Street Capital Projects Previously Approved by Council 310 R20037 Knt Kngly Pedestrian Imp Gt 09202011 1,797 310 R90067 BNSF/FHWA - 228th Grade 02022010 117,500 310 R90070 SEPA Ordinance #2494 SEPA2494 222,397 310 R90094 SEPA Ordinance #2494 SEPA2494 52,516 Not Previously Approved by Council 310 R20307 Reallocate Project Funds (85,000) 310 R90050 Reallocate Project Funds (634,454) 310 R90051 Reallocate Project Funds 929,471 310 R90068 Reallocate Project Funds (134,094) 310 R20308 Reallocate Project Funds (7,868) 310 R90085 Reallocate Project Funds 39,685 310 R90067 Reverse PW Trust Fund Loan (4,000,000) Total Street Capital Projects (3,498,050) 320 - Parks Capital Projects Previously Approved by Council 320 P20044 DNR Grant for Street Trees 03202012 9,900 320 P21009 KC Wild Places/City Spc Gt 08072012 6,650 320 P21009 King Consery District Grant 11062012 49,539 320 P20072 Rev from Cell Tower Leases 10012002 21,350 320 P20072 Rev from Cell Tower Leases 02072006 24,648 320 P20072 Rev from Cell Tower Leases 06062006 24,494 320 P20072 Rev from Cell Tower Leases 08022005 25,185 320 P20007 Reg Trails KC Levy Budget 05012007 228,081 320 P20008 Lk Meridian Boat Launch Fee 08052008 7,537 320 P20090 4Culture Grnt/Earthworks 02032009 13,875 Not Previously Approved by Council 320 P20044 Vineyards Settlement '09 15,000 320 P20510 Lodging Tax Portable Fence 10,000 320 P20022 Donations/Contributions '12 50 320 P20083 Donations/Contributions '12 2,375 320 P21003 Donations/Contributions '12 3,930 Budget Adjustment Details for Budget Change ]uly 1, 2012 to December 31, 2012 Approval Date Fund and or Previous Expense Project Explanation Fund Amount 320 P21009 Donations/Contributions '12 71 320 P20005 Adj Budget/ Funds not Rec'd (80,947) 320 P20005 Reallocate Project Funds 12,451 320 P20010 Reallocate Project Funds 1,470 320 P20048 Establish Rental Budget 22,730 Total Parks Capital Projects 398,389 340 - Technology Capital Projects Not Previously Approved by Council 340 T20135 PA - Tech fees - 2012 173,035 Total Technology Capital Projects 173,035 350 - Facilities Capital Projects Not Previously Approved by Council 350 F20047 Return Project Funds (26,965) 350 F20080 Court Renovation Project 45,264 Total Facilities Capital Projects 18,299 410 - Water Operating Fund Not Previously Approved by Council 410 41005550 Return Project Funds (26,965) 410 W20021 Return Project Funds 2008 (10,000) 410 W20025 Return Project Funds 2008 (100,000) 410 W20030 Return Project Funds 2008 (590,000) 410 W20035 Return Project Funds 2008 (243,472) 410 W20064 Return Project Funds 2008 (70,000) 410 W20308 Return Project Funds 2008 (70,000) 410 W90067 Reverse PW Trust Fund Loan (1,000,000) Total Water Operating Fund (2,110,437) 440 - Sewerage Operating Fund Previously Approved by Council 440 D20078 KC Flood Control District 07032012 253,121 440 D20038 Muth Property 09052006 700,000 Total Sewerage Operating Fund 953,121 480 - Golf Operating Fund Previously Approved by Council 480 48006875 Storm Damage Budget Adjust 08072012 115,861 480 48006875 Rev from Cell Tower Leases 06172003 20,904 Total Golf Operating Fund 136,765 520 - Central Services Fund Not Previously Approved by Council 520 52001700 Tech fees - 2012 173,035 Total Central Services Fund 173,035 Budget Adjustment Details for Budget Change ]uly 1, 2012 to December 31, 2012 Approval Date Fund and or Previous Expense Project Explanation Fund Amount 540 - Facilities Management Fund Previously Approved by Council 540 54006900 Storm Damage Budget Adjust 08072012 6,384 540 54006900 Rev from Cell Tower Leases 11062001 21,600 Total Facilities Management Fund 27,984 $ (3,040,051) KENT Agenda Item: Consent Calendar — 7D TO: City Council DATE: May 21, 2013 SUBJECT: Noel, Inc. Consultant Services Agreement — Authorize MOTION: Authorize the Mayor to sign a consultant services contract with Noel, Inc. for Engineering Services related to Green River Flood Protection Ecosystem Restoration Projects and Emergency Flood Response in the amount of $22,100, subject to final terms and conditions acceptable to the City Attorney and Public Works Director. SUMMARY: The city of Kent is working on a number of projects along the Green River which involve flood protection and ecosystem restoration. The flood protection projects include levee repair and other improvements along the Green River. Ecosystem restoration projects include projects along the Russell Road Levee, Boeing Levee, and the Leber Homestead and Downey Farmstead Projects. Flood protection and habitat restoration projects along the Green River require close coordination with federal agencies, including the US Army Corps of Engineers (Corps). To navigate the Corps' process, guidance and experience from former Corps staff is invaluable to the City of Kent. The consultant contract with Noel, Inc., for Engineering and Environmental Services will provide this service. With over 35 years of service with the Army Corps of Engineers, Noel Gilbrough will provide the city guidance and consultation on the Corps' processes for flood protection and ecosystem restoration projects. In addition, Mr. Gilbrough has significant first-hand experience with flooding events and could provide this service if necessary in the unlikely event our valley experiences localized flooding. EXHIBITS: Scope of Work RECOMMENDED BY: Public Works Committee BUDGET IMPACTS: Funds for this contract have been budgeted through the drainage utility. EXHIBIT A SCOPE OF WORK FOR PROFESSIONAL ENGINEERING AND ENVIRONMENTAL SERVICES FLOOD CONTROL PROJECTS • Assist the City in all actions leading up to Full FEMA Certification of the City's Levees • Assist the City in the development of Levee Vegetation Variances • Provide river levee consultation to city staff on the city's Green River Levee projects including: Horseshoe Bend, Milwaukee #2, Hawley Road, Russell Road, Boeing, and Briscoe/Desimone. • Engage in meetings and conference calls to help resolve planning and design issues • Provide guidance on Corps contacts and processes relating to levee designs and permitting • Work with City on issues dealing with repair or modification of the Howard Hanson Dam • Prepare follow-up correspondence which documents recommendations and findings EMERGENCY FLOOD FIGHT • Provide consultation to city staff to discuss the city's planning and response to emergency flood fighting for the Green River. This work includes consultation for: o During flood events work as a technical advisor to the City and assist with its coordination with King County and Corps of Engineers o Flood containment and protection for levees, and o Repair and reconstruction of damaged levees • Provide guidance on Corps contacts for services relating to flood fights • Provide guidance on Corps contacts and federal processes relating to funding • Prepare follow-up correspondence which documents recommendation and findings ECOSYSTEM RESTORATION PROJECTS • Provide river and levee restoration consultation to city staff on the city's USACE Green- Duwamish River Ecosystem Restoration Projects. These restoration projects include: o Lake Meridian Outlet o Riverview Park Channel, o Russell Road Upper Levee o Russell Road Lower Levee o Russell Road Lowest Levee o Boeing Levee • Provide river and levee restoration consultation on the city's Green River restoration projects including: o Downey Farmstead Channel o Leber/Mill Creek Auburn Back Channel • Engage in meetings and conference calls to help resolve planning and design issues • Provide guidance on Corps and Federal processes relating to project funding and permitting • Prepare follow-up correspondence which documents recommendations and findings Contact Information: Noel Gilbrough, PE 7359 23rd Ave NW Seattle WA 98117 206-784-1894 gilbrough@comcast.net / / § ( 8 ƒ \ § \ ` ( 2 § } � 00 � ( ( ) ) } / s / « - [ { « f m [ gJ 2 _ 2 � - LU , \ [ j ( � \ 0 ,-u 2gO& ) \ � $ ± � ! ± ( � ( k } 0, ( \§ \ \ - � ) 0 \ � § { m [ -m0 S = 2 ) / / §{ ® ) &te ] ± 3 ` w � � � \ Uw \ E \ f ® (R - 0 2 5w >- wu � = ! ± ! % a \ ) \ \ ) j) ) / \ \ k \ \ ) 770 < a ° § ) \ ) 7 { § \ e ^ - r, e ( \ ) / ( ) § ® KENT Agenda Item: Consent Calendar — 7E TO: City Council DATE: May 21, 2013 SUBJECT: Traffic School Ordinance Amending KCC 9.36 "Traffic Code" — Adopt MOTION: Adopt Ordinance No. amending Chapter 9.36 of the Kent City Code entitled, "Traffic Code," adding a new Section 9.36.130 entitled "Traffic Safety School," formally establishing a traffic safety school to promote traffic safety within the city of Kent. SUMMARY: On September 8, 1964, the City passed Ordinance 1266 which expressed the intent of the City to join with King County to establish a traffic school formed pursuant to Chapter 46.83 RCW. There is no indication in available records to show that the traffic school referred to in Ordinance 1266 was ever formed. Since 2005, the Kent Police Department has operated a traffic school as a diversion program for certain persons charged with certain traffic infractions. This traffic school was formed and has been operated independently from King County. Through the program, eligible enrollees have the opportunity to attend the traffic school to avoid a committed finding for the traffic infraction. Those who attend the traffic school are instructed in the proper, lawful and safe operation of motor vehicles. The City is authorized, through its broad municipal powers found in Chapter 35A RCW, to maintain and operate a traffic safety school independent of Chapter 46.83 RCW. Through this ordinance, the City codifies the existing traffic school in Kent City Code 9.36.130, entitled, "Traffic Code," in order to officially establish and describe the program. EXHIBITS: Ordinance RECOMMENDED BY: Public Safety Committee BUDGET IMPACTS: None ORDINANCE NO. AN ORDINANCE of the city council of the city of Kent, Washington, repealing Ordinance No. 1266 and adding a new section 9.36.130 to the Kent City Code establishing a Traffic Safety School to promote traffic safety within the city of Kent. RECITALS A. On September 8, 1964, the City passed Ordinance 1266 which expressed the intent of the City to join with King County to establish a traffic school formed pursuant to Chapter 46.83 RCW. There is no indication in available records to show that the traffic school referred to in Ordinance 1266 was ever formed. B. Since 2005, the Kent Police Department has operated a traffic safety school as a diversion program for certain persons charged with certain traffic infractions. This traffic school was formed and has been operated independently from King County. Through this program, eligible enrollees have the opportunity to attend the traffic school to avoid a committed finding for a traffic infraction. Those who attend the traffic school are instructed in the proper, lawful, and safe operation of motor vehicles. C. The City is authorized, through its broad municipal powers found in Chapter 35A RCW, to maintain and operate a traffic safety school 1 Traffic Safety School Ordinance independent of Chapter 46.83 RCW. Through this ordinance, the City codifies the existing traffic school in Kent City Code 9.36.130, entitled, "Traffic Code," in order to officially establish and describe the program. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: ORDINANCE SECTION 1. — Amendment. A new Section 9.36.130 is hereby added to the Kent city code as follows: Sec. 9.36.130. Traffic safety school. A. Authorized. The traffic safety school is hereby authorized. The traffic safety school shall be administered and operated by the police department. B. Purpose. The purpose of the traffic safety school is to create a foundation for safe driving habits by educating participants in the proper, lawful, and safe operation of motor vehicles upon the roadway, the rules of the road, the challenges of driving safely among bicyclists and pedestrians, and the consequences of unsafe driving practices. C. Attendance. Attendance at the traffic school may be a condition of diversion of a traffic infraction or criminal traffic citation prior to the filing of the infraction or criminal traffic citation. Attendance at the traffic school may also be ordered by the Kent Municipal Court or agreed to by the prosecutor as a condition of a sentence, suspended sentence, deferral of sentence, or continuance in a criminal case or as condition of a deferred finding in a traffic infraction case. 2 Traffic Safety School Ordinance D. Fee. The police department shall charge a fee to attend the traffic safety school. The amount of the fee shall be established or amended by the city council by resolution. Fees collected to attend the traffic safety school may be used to: 1. Reimburse the city for the costs of administering the traffic safety school; 2. Provide for safe driver education materials, programs, promotions and advertising; 3. Pay the costs associated with the training of law enforcement officers and personnel or purchase law enforcement equipment; or 4. Pay the costs related to the investigation and enforcement of traffic related offenses and criminal laws. E. Policies and procedures. The city shall establish policies and procedures that determine who shall be eligible for the traffic safety school; the dates, times, and location in which the traffic safety school shall be offered; the curriculum of the traffic safety school; and the effect of successful completion of the traffic safety school. SECTION 2, — Ordinance No. 1266 Repealed. Ordinance number 1266, originally passed on September 8, 1964, is repealed in its entirety, along with any other ordinance to the extent that such other ordinance amended Ordinance 1266. SECTION 3. — Ratification. Any act consistent with the authority and prior to the effective date of this ordinance is hereby ratified and affirmed. SECTION 4, — SeverabilitY. If any one or more section, subsection, or sentence of this ordinance is held to be unconstitutional or invalid, that 3 Traffic Safety School Ordinance decision shall not affect the validity of the remaining portion of this ordinance and the same shall maintain its full force and effect. SECTION S. - Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; ordinance, section or subsection numbering; or references to other local, state or federal laws, codes, rules, or regulations. SECTION 6, - Effective Date. This ordinance shall take effect and be in force thirty (30) days from and after its passage and publication as provided by law. SUZETTE COOKE, MAYOR ATTEST: RONALD F. MOORE, CITY CLERK APPROVED AS TO FORM: TOM BRUBAKER, CITY ATTORNEY PASSED: day of 2013. APPROVED: day of 2013. PUBLISHED: day of 2013. 4 Traffic Safety School Ordinance I hereby certify that this is a true copy of Ordinance No. passed by the City Council of the City of Kent, Washington, and approved by the Mayor of the City of Kent as hereon indicated. (SEAL) RONALD F. MOORE, CITY CLERK P:\Civil\Ordinance\Traffic Safety School Ordinance.docx 5 Traffic Safety School Ordinance KENT Agenda Item: Consent Calendar - 7F TO: City Council DATE: May 21, 2013 SUBJECT: Washington State Department of Social & Health Services Grant - Kent Police Youth Board Project - Accept MOTION: Authorize the Mayor to accept the grant award from the Washington State Department of Social & Health Services that focuses on youth alcohol use prevention, adjust the budget and authorize the Mayor to execute any document relating to the grant funds with terms and conditions acceptable to the City Attorney and Police Chief. SUMMARY: The city of Kent Police Department applied for and was awarded a grant from the Washington State Department of Social & Health Services. The grant funds will be used for a youth alcohol use prevention project carried out by the Kent Police Youth Board. EXHIBITS: Registration/Intake Application RECOMMENDED BY: Public Safety Committee BUDGET IMPACTS: Unanticipated Income/Expense Let's Draw the Line Between Youth and Alcohol - 2013 Registration Form Project Contact person: Stacy Judd Phone number: 253-856-5883 Email address: sjudd@kentwa.gov Name of group that will carry out the project: Kent Police Youth Board Mailing address (including city and zip code): 220 41h Ave S Kent, WA 98032 County in which the activity will occur: King If applicable: Name of fiscal agent (organization the Washington State Department of Social & Health Services will contract with): City of Kent, dba Kent Police Department Mailing address of fiscal agent (including city and zip code): 220 4'h Ave. South Kent, WA 98032 Name of the Contractor Signatory at the fiscal agent: (this is a person who has authority to sign contracts): Chief Ken Thomas Commitment: . Projects include four activities. Two are required and two are selected from the 11 options listed on the next page. • Required reporting for each activity is listed next to each activity. Funding: . Groups will receive $2,000 for completing their LDTL activities and for timely reporting. Project . Completed Registration Forms are due on or before February 8, 2013. Period & . Projects may start as soon as a contract is in place. Important . All activities must be completed by May 31, 2013, unless other Dates: arrangements are made with DBHR prior to this deadline. • All reporting must be submitted by June 14, 2013, unless other arrangements are made with DBHR prior to this deadline. • There will be penalties for final reports that are late or incomplete. For each business day the final report is late, there will be a $100 deduction. For each reporting element that is missing or incomplete, there will be a $100 deduction. Return completed form to: LDTL2013@dshs.wa.Rov. Unless otherwise noted, all e-mail correspondence, including reporting of project requirements, are to be sent to: LDTL2013@dshs.wa.Rov. For phone inquiries, call Ray Horodowicz at: (360) 725-1528. Scope of Work Required Activities & Reporting Requirements: Description of Activity: Reporting Requirement: ❑X Our Town Presentation. Create a presentation showing the impact o A digital copy of the presentation. of alcohol and liquor privatization on underage drinking in your o Hard copy or readable, scanned community. Presentations must summarize information from local copies of your completed CANS. CANS (Community Assessment of Neighborhood Stores) and must Scans must be submitted as a PDF. include information from your local law enforcement and retailers. o Names of groups presented to, date of Show presentation to at least 2 different groups or organizations in presentations, number in attendance. our community. ❑R Social Norms Mini-Campaign. Implement a social norms marketing o Photos of the social norms marketing campaign at one high school in your community. The campaign must campaign. use posters to communicate a core message at least two times over a o Information about number of youth two month period. You must select from messages provided by LDTL and adults at your school that were organizers and then localize with Healthy Youth Survey data. exposed to the campaign. Guidelines for appropriate images and messaging must be followed. Other items besides posters, such as buttons or clings, can also be used to promote the message of your campaign. Activities to Choose From & Reporting Requirements: Mark which two activities your group will carry out. More detailed descriptions of these activities are available via www.LetsDrawTheLine.org. Description of Activity: Reporting Requirement: ❑ Meet your lawmakers. o Photos of your group meeting with the lawmakers. ❑ Advertising Awareness Training. o Photos of your presentations of this training to other groups. o Number of adults and youth who attending the training. Environmental Scan. o A digital copy of the presentation. ® o Names of groups presented to, date of presentations, number in attendance. ❑ Flash Mob. o Video of the event. Video from phones are acceptable. o Number of participants. ® Social Media. o Screen shots of content. Police Tip Line, LDTL style. o Proof that tip line was established. (ie: copy of print ad that runs n newspaper) ID Check Signage. o Photos of the activity, including photo of the ID Check policy posted by the store's register. ❑ Store Policy. o Narrative of challenges and successes related to this activity. ❑ Event/Rally. o Photos of the event. o Information about number of participants. HERO Cards. o Forward a copy of the e-mail with the underage drinking prevention message. ❑ Traditional News Media. o Copy of the item(s) that are run. Return completed form to: LDTL2013@dshs.wa.eov. 2of2 RIl+a sn�nP ton sla re Department of Social Contractor Intake &HeallhServices Section One: Contractor Name/Business Organization (DSHS staff enter on ACD Intake Detail screen) 1. CONTRACTOR NAME DBA OR FACILITY NAME ' City of Dent Police Department 2. BUSINESS ORGANIZATION ❑ Individual or Sole Proprietor ❑ General Partnership ❑ Non-Profit Corporation (Attach a copy of 501(c) status) ❑ Limited Liability Partnership (LLP) ❑ For Profit Corporation ❑ Limited Liability Limited Partnership (LLLP) ❑ Faith Based (FBO) Non-Profit Corporation ❑ Limited Liability Company, filing as a Corporation ❑ Faith Based (FBO) Unincorporated ❑ Limited Liability Company, filing as a Partnership ® Governmental Entity ❑ Limited Liability Company, filing as a Sole Proprietor ❑ Foreign Person or Entity If your business is NOT a sole proprietorship, attach a list of the partners, members, directors, officers, and board members. 3. TAXPAYER IDENTIFICATION NUMBER(TIN) $OCIBI Security Number Enter your TIN in the appropriate box. (Enter all 9 numbers, ® For individuals, this may be your Social Security Number OR NO DASHES) (SSN). Employer Identification III 91-6001254 Number (Enter all 9 numbers, ® For other entities, it is your Employer Identification Number. NO DASHES) 4. DEFAULT REPORTED, FISCAL YEAR, UBI NUMBER,AND BUSINESS LICENSE Have you had any contract with the state terminated for default? ❑ Yes ® No If yes, attach a list of terminated contracts with an explanation why each contract was terminated. Is your fiscal year end the same as the calendar year(January 1 through December 31)? ® Yes ❑ No If the answer is no, what is your fiscal year end date? What is your Washington State Uniform Business Identifier(UBI) Number? 173-000-002 (Enter all 9 numbers, NO DASHES) Attach a copy of your current Washington State Master Business License. i If you do not have a Washington State Master Business License, explain below why you are exempt from registering your business with the State of Washington. (See page 1 for information on exemptions.) attached is letter explaining exemption Section Two: Contractor Primary Address (DSHS staff enter on ACD Intake Detail screen) CONTRACTOR PRIMARY ADDRESS (NUMBER,STREET,AND APARTMENT OR SUITE NUMBER) 220 4" Ave S. CITY, STATE,AND ZIP CODE Kent, WA 98032 EMAIL ADDRESS COUNTY WHERE PRIMARY ADDRESS IS(FOR OUT-OF-STATE CONTRACTORS) sjudd(&,kentwa.gov King PHONE NUMBER(INCLUDE AREA CODE) FAX NUMBER(INCLUDE AREA CODE) (253) 856-5883 (253) 856-6802 DSHS 27-043(REV.0112012) Page 2 Of 4 Section Three: Contractor Ownership Type (DSHS staff enter, as applicable, on ACD Intake Detail screen) In your opinion, do you consider your business to be one or If your business is Certified by Washington State's Office more of the following? If so, please check the boxes that of Minority and Women Owned Business Enterprises apply. (OMWBE) http://www.omwbe.wa.gov, or Department of YES NO. Veterans Affairs (DVA), enter the certification number. Disadvantaged Business Enterprise ❑ ❑ Woman Owned Business Enterprise ❑ ❑ Minority Owned Business Enterprise ❑ ❑ Veteran Owned Business Enterprise ❑ ❑ Community Based Organization ❑ ❑ Section Four: Contractor Primary Contact Person (DSHS staff enter on ACD Intake Detail screen) Primary contact person is a(n): ❑ Owner ❑ Officer or Board Member ❑ Partner ❑ Staff Member ❑ Elected Official ® Other(please identify) Chief of Police (DSHS staff enter as applicable on ACD) Is the primary contact person authorized to sign contracts? ® Yes ❑ No PRIMARY CONTACT NAME AND JOB TITLE PHONE NUMBER(INCLUDE AREA CODE) Ken Thomas, Chief of Police (253) 856-5883 FAX NUMBER(INCLUDE AREA CODE) PRIMARY CONTACT EMAIL ADDRESS (253) 856-6802 kthomas@kentwa.gov PAGER NUMBER(INCLUDE AREA CODE) CELLULAR PHONE NUMBER(INCLUDE AREA CODE) Section Five: Additional Information (DSHS staff enter on Intake Detail—Sub Information Summary screens) 1.. ADDITIONAL CONTRACTOR ADDRESSES: IF YOU HAVE MORE THAN TWO ADDITIONAL ADDRESSES,YOU MAY ATTACH A LISTING OF ADDITIONAL ADDRESSES. ADDRESS ADDITIONAL ADDRESS(NUMBER, STREET,AND APARTMENT OR SUITE NUMBER) DESCRIPTION ❑ Billing address ❑ Facility address CITY,STATE,AND ZIP CODE ❑ Mailing address PHONE NUMBER(INCLUDE AREA CODE) COUNTY WHERE PRIMARY ADDRESS IS(FOR OUT-OF-STATE CONTRACTORS) FAX NUMBER(INCLUDE AREA CODE) EMAIL ADDRESS ( ) ADDRESS ADDITIONAL ADDRESS(NUMBER, STREET AND APARTMENT OR SUITE NUMBER) DESCRIPTION ❑ Billing address ❑ Facility address CITY,STATE,AND ZIP CODE ❑ Mailing address PHONE NUMBER(INCLUDE AREA CODE) COUNTY WHERE PRIMARY ADDRESS IS (FOR OUT-OF-STATE CONTRACTORS) ( ) I FAX NUMBER(INCLUDE AREA CODE) EMAIL ADDRESS ( ) I DSHS 27-043(REV.0112012) Page 3 of 4 2. ADDITIONAL STAFF: IF YOU HAVE MORE THAN TWO ADDITIONAL STAFF(LISTED BELOW),WHO ARE ALSO RELEVANT TO YOUR DSHS CONTRACTS, PLEASE PROVIDE INFORMATION ABOUT THOSE STAFF ON A SEPARATE PAGE. Additional staff person is a(n): ❑ Officer or Board Member ❑ Partner ® Staff Member ❑ Elected Official ❑ Other(please identify) (DSHS staff enter as applicable on ACID) Is the additional staff authorized to sign contracts? ❑ Yes ® No Is the additional staff a contact for DSHS contracts? ® Yes ❑ No ADDITIONAL STAFF NAME PHONE NUMBER(INCLUDE AREA CODE) Stacy Judd (253) 856-5883 FAX NUMBER(INCLUDE AREA CODE) ADDITIONAL STAFF EMAIL ADDRESS (253) 856-6802 sjudd@kcntwa.gov PAGER NUMBER(INCLUDE AREA CODE) CELLULAR PHONE NUMBER(INCLUDE AREA CODE) , . Additional staff person is a(n): ❑ Officer or Board Member ❑ Partner ❑ Staff Member ❑ Elected Official ❑ Other(please identify) (DSHS staff enter as applicable on ACID) Is the additional staff authorized to sign contracts? ❑ Yes ❑ No Is the additional staff a contact for DSHS contracts? ❑ Yes ❑ No ADDITIONAL STAFF NAME - PHONE NUMBER(INCLUDE AREA CODE) ( ) FAX NUMBER(INCLUDE AREA CODE) ADDITIONAL STAFF EMAIL ADDRESS PAGER NUMBER(INCLUDEAREA CODE) CELLULAR PHONE NUMBER(INCLUDE AREA CODE) ( ) ( ) Section Six:- Contractor Certification (DSHS staff enter on ACID Intake Detail as Intake Form Date) You must sign, date, and return this form. I certify, under penalty of perjury as provided by the laws of the State of Washington, that all of the foregoing statements are true and correct, and/that I will notify DSHS of any changes in any statement. SIGNATU '- DATE PRINTED NAME Stacy Judd 03/01/2013 TITLE �tl Public Education Specialist ATTACHED SUPP RTING DOCUMENTATION CHECKLIST ❑ Copy`'of`your W-9 - Request or Taxpayer Identification Number and Certification ❑ Copy of statement showing non-profit 501(c) status (if applicable) ❑ List of partners, members, directors, officers, and board members (not applicable to sole proprietors) ❑ Copy of your Washington State Master Business License or proof of exemption ❑ List of any contracts you have had with the state that have been terminated for default, including a brief explanation (if applicable) ❑ List of Additional Addresses (if applicable) ❑ List of Additional Staff(if applicable) ❑ Copy of your Certificate of Insurance (if applicable) DSHS 27-043(REV.01/2012) Page 4 of 4 i KENT WASHING TON CITY CLERK Brenda Jacober Phone:253-856-5125 Fax:253-856-6700 320 `2 Kent, WA .5 895 S.The City of Kent is a municipal corporation and A980 98032.5 is exempt from tax as defined under Title 26 IRC 501 (c) (1) . The City is authorized to accept charitable donations pursuant to City of Kent Ordinance No. 2961 . Pursuant to Section 170 of the Internal Revenue Code, your donation may be tax deductible. The City recommends that you seek the advice of a professional experienced in taxation matters to determine if your donation is tax deductible . Brenda Jacober, CMC City Clerk KENT Agenda Item: Consent Calendar — 7G TO: City Council DATE: May 21, 2013 SUBJECT: Target Zero Manager Contract — Authorize MOTION: Authorize the Mayor to accept the grant award in the amount of $61,000 from the Washington Traffic Safety Commission funding 60% of the salary and benefits for the Target Zero Manager position with the city, and authorize executing any related documents with terms and conditions acceptable to the City Attorney and Police Chief. SUMMARY: The Kent Police Department hosts the Target Zero Manager position of the South King County Target Zero Task Force and will continue to do so through June 30, 2014. The Washington Traffic Safety Commission has agreed to fund 60% of the salary and benefits of the Target Zero Manager position with the City for the period of July 1, 2013 through June 30, 2014. EXHIBITS: Notice of funding commitment and contract RECOMMENDED BY: Public Safety Committee BUDGET IMPACTS: Income to reimburse the city for 60% of the salary and benefits of the Target Zero Manager position with the City. From: Esqueda, Edica (WTSC) fmailto:eesgueda@wtsc.wa.govl Sent: Monday, April 22, 2013 2:12 PM To: Wood,Sara Subject: FW: South King County Target Zero Task Force - 2013fl-4 Importance: Nigh (Sara, the email below is the funding commitment email I sent last week with the updated funding amount we spoke about last week on the phone. Please forward to the appropriate parties.—01 ee) Sgt.Constant, The Washington Traffic Safety Commission would like to thank you and the Kent Police Department for your commitment to the South King County Target Zero Task Force. We appreciate KPD for hosting the Target Zero Manager and would like to enter into a yearlong interagency agreement with the Kent Police Department for continued Target Zero Manager services through June 30,2014. This is a departure from our previous process in which contracts were executed for 2 years, but as you have heard, the Target Zero Task Forces are undergoing a program assessment to determine future program mechanisms. Between now and the end of the year you may be contacted - as one of our valued partners - to contribute suggestions and offer feedback on your experience as a Project Director. The South King County Target Zero Task Force is eligible W receive $61,000.00 for costs associated with hosting the Target Zero Manager position for the July 1, 2013 through June 30, 2014 timeframe. There will be no competitive process this year and the WTSC has also removed the .85 FTE requirements. The Interagency Agreement will have a new scope of work. The WTSC will contact you in 2-3 weeks with an Interagency Agreement Template. The new scope of work and job expectations will be added to the Interagency Agreement Template. Once you receive the template you will have the opportunity to review the contents and suggest changes. The new agreement must be signed and filed with the WTSC by June 28,2013. Please contact Angie Ward at 360-725-9888 award@wtsc.wa.gov or Edica Esqueda at 360-725- 9886 eesoueda@wtsc.wa.eov to answer any questions you may have. Thank you for your support of the Target Zero Task Force! Sincerely, Edica Esqueda Edica Esqueda Program Manager - Washington Traffic Safety Commission P.O.Box 40944 Olympia,WA 985o4-o944 (360)7z5-9886 office (360)586-6489 fax INTERAGENCY AGREEMENT BETWEEN KENT POLICE DEPARTMENT AND WASHINGTON TRAFFIC SAFETY COMMISSION THIS AGREEMENT is made and entered into by and between the KENT POLICE DEPT hereinafter referred to as "HOST AGENCY," and the Washington Traffic Safety Commission, hereinafter referred to as 'WTSC." THE PURPOSE OF THIS AGREEMENT is to provide funding for the HOST AGENCY to provide personnel to serve as the S. KINC County Target Zero Manager (hereinafter referred to as TZM.) The TZM shall perform the deliverables described in the Statement of Work, attached as Exhibit "A." THEREFORE, IT IS MUTUALLY AGREED THAT: STATEMENT OF WORK The HOST AGENCY shall furnish the necessary personnel for the performance of TZM duties as described in the Statement of Work shown in attached Exhibit A. PERIOD OF PERFORMANCE The period of performance of this Agreement shall commence on July 1, 2013 and remain in effect until June 30, 2014 unless terminated sooner, as provided herein. COMPENSATION Compensation for the work provided in accordance with this Agreement has been established under the terms of RCW 39.34. The cost of accomplishing the work described in the Statement of Work will not exceed $61,000.00 for salary, benefits, and indirect costs, if applicable. If HOST AGENCY intends to charge indirect costs, submission of a cost allocation plan or a Federal cognizant agency letter is required. It is the intent of this agreement that the Statement of Work be performed consistently throughout the entire period of performance. HOST AGENCY may provide additional funds for costs associated with TZM position. In such cases that the designated TZM is unable to perform the Statement of Work for more than 30 days, unless HOST Agency has made prior arrangements with WTSC to fulfill the Statement of Work, the HOST AGENCY will not bill WTSC during that period. BILLING PROCEDURE BETWEEN HOST AGENCY AND WTSC HOST AGENCY shall submit invoices for reimbursement with supporting documentation to WTSC monthly. Payment to HOST AGENCY for approved and completed work will be made by warrant or account transfer by WTSC within 30 days of receipt of the invoice. Upon expiration of the Agreement, any claim for payment not already made shall be submitted within 45 days after the expiration date of this Agreement. All invoices for goods received or services performed on or prior to June 30, must be received by WTSC no later than August 15. All invoices for goods or services performed on or prior to September 30, must be received by WTSC no later than November 15. ACTIVITY REPORTS HOST AGENCY agrees to ensure submittal of quarterly progress reports electronically on the form entitled "Target Zero Manager Quarterly Report" incorporated by reference as Exhibit B. Page 1 of 12 Quarterly reports are to be detailed and must describe project activity performed in relation to deliverables. Quarterly reports must be submitted to WTSC within 15 days after the end of the reporting period. The final report must include a description of the results for the entire year. ASSIGNMENT The work to be provided under this Agreement, and any claim arising thereunder, is not assignable or delegable by either party in whole or in part, without the express prior written consent of the party, which consent shall not be unreasonably withheld. The HOST AGENCY shall provide the WTSC a copy of all third-party contracts and agreements entered into for purposes of fulfilling the Statement of Work outlined in Exhibit A. All third-party awards must allow for the greatest practical competition in accordance with local procurement rules and procedures. RECORDS MAINTENANCE The parties to this Agreement shall each maintain books, records, documents and other evidence that sufficiently and properly reflect all direct and indirect costs expended by either party in the performance of the service(s) described herein. These records shall be subject to inspection, review or audit by personnel of both parties, other personnel duly authorized by either party, the Office of the State Auditor, and federal officials so authorized by law. All books, records, documents, and other material relevant to this Agreement will be retained for six years after expiration and the Office of the State Auditor, federal auditors, and any persons duly authorized by the parties shall have full access and the right to examine any of these materials during this period. Records and other documents, in any medium, furnished by one party to this Agreement to the other party, will remain the property of the furnishing party, unless otherwise agreed. The receiving party will not disclose or make available this material to any third parties without first giving notice to the furnishing party and giving it a reasonable opportunity to respond. Each party will utilize reasonable security procedures and protections to assure that records and documents provided by the other party are not erroneously disclosed to third parties. RIGHTS IN DATA Unless otherwise provided, data that originates from this Agreement shall be "works for hire" as defined by the U.S. Copyright Act of 1976 and shall be owned by the WTSC and the State Of Washington. Data shall include, but not be limited to, reports, documents, pamphlets, advertisements, books, magazines, surveys, studies, computer programs, films, tapes, and/or sound reproductions. Ownership includes the right to copyright, patent, register, and the ability to transfer these rights. The HOST AGENCY may publish, at its own expense, the results of project activities without prior review by the WTSC, provided that any publications (written, visual, or sound) contain acknowledgment of the support provided by the National Highway Traffic Safety Administration (NHTSA) and the WTSC. Any discovery or invention derived from work performed under this project shall be referred to the WTSC, who will determine through NHTSA whether patent protections will be sought, how any rights will be administered, and other actions required to protect the public interest. INDEPENDENT CAPACITY The employees or agents of each party who are engaged in the performance of this Agreement shall continue to be employees or agents of that party and shall not be considered for any purpose to be employees or agents of the other party. Page 2 of 12 AGREEMENT ALTERATIONS AND AMENDMENTS This Agreement may be amended by mutual agreement of the parties. Such amendments shall not be binding unless they are in writing and signed by personnel authorized to bind each of the parties. TERMINATION Either party may terminate this Agreement upon thirty (30) days prior written notification to the other party. If this Agreement is so terminated, the parties shall be liable only for performance rendered or costs incurred in accordance with the terms of this Agreement prior to the effective date of termination. TERMINATION FOR CAUSE If, for any cause, either party does not fulfill in a timely and proper manner its obligations under this Agreement, or if either party violates any of these terms and conditions, the aggrieved party will give the other party written notice of such failure or violation. The responsible party will be given the opportunity to correct the violation or failure within fifteen (15) working days. If failure of violation is not corrected, this Agreement may be terminated immediately by written notice of the aggrieved party to the other. COST PRINCIPLES Costs incurred under this Agreement shall adhere to provisions of OMB 2 CFR Part 225 and 49 CFR Part 18 for state and local agencies, OMB Circulars A-21 and A-110 for educational institutions, and OMB Circular A-122 for nonprofit entities. The HOST AGENCY shall not utilize Federal grant funds to replace routine and/or existing State or local expenditures; or utilize Federal grant funds for costs of activities that constitute general expenses required to carry out the overall responsibilities of State, local, or Federally-recognized Indian tribal governments. INCOME Income earned by the HOST AGENCY with respect to the conduct of the Statement of Work (e.g. sale of publications, registration fees, service charges) must be accounted for and income applied to project purposes or used to reduce project costs. NONDISCRIMINATION The HOST AGENCY will comply with all Federal statutes and implementing regulations relating to nondiscrimination. These include but are not limited to: (a) Title VI of the Civil Rights Act of 1964, which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of the Education Amendments of 1972, as amended, which prohibits discrimination on the basis of sex; (c) Section 504 of the Rehabilitation Act of 1973, as amended, and the Americans with Disabilities Act of 1990, as amended, which prohibits discrimination on the basis of disabilities; (d) the Age Discrimination Act of 1975, as amended, which prohibits discrimination on the basis of age; (e) the Civil Rights Restoration Act of 1987, which requires Federal-aid recipients and all subrecipients to prevent discrimination and ensure nondiscrimination in all of their programs and activities; (f) the Drug Abuse Office and Treatment Act of 1972, as amended, relating to nondiscrimination on the basis of drug abuse; Page 3 of 12 (g) the comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970, as amended, relating to nondiscrimination on the basis of alcohol abuse or alcoholism; (h) Sections 523 and, relating to confidentiality of alcohol and drug abuse patient records; (i) Title VIII of the Civil Rights Act of 1968, as amended, relating to nondiscrimination in the sale, rental or financing of housing; Q) any other nondiscrimination provisions in the specific statute(s) under which application for Federal assistance is being made; and (k) the requirements of any other nondiscrimination statute(s) which may apply to the application. BUY AMERICA ACT The HOST AGENCY will comply with the provisions of the Buy America Act (49 U.S.C. 53230)), which contains the following requirements: Only steel, iron and manufactured products produced in the United States may be purchased with Federal funds unless the Secretary of Transportation determines that such domestic purchases would be inconsistent with the public interest, that such materials are not reasonably available and of a satisfactory quality, or that inclusion of domestic materials will increase the cost of the overall project contract by more than 25 percent. Clear justification for the purchase of non-domestic items must be in the form of a waiver request submitted to and approved by the Secretary of Transportation. POLITICAL ACTIVITY (HATCH ACT) The HOST AGENCY will comply with provisions of the Hatch Act (5 U.S.C. 1501-1508) which limits the political activities of employees whose principal employment activities are funded in whole or in part with Federal funds. FEDERAL LOBBYING The undersigned certifies, to the best of his or her knowledge and belief, that: 1. No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. 2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form- LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions. 3. The undersigned shall require that the language of this certification be included in the award documents for all sub-award at all tiers (including subcontracts, subgrants, and contracts under grant, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. Page 4 of 12 This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. STATE LOBBYING None of the funds under this program will be used for any activity specifically designed to urge or influence a State or local legislator to favor or oppose the adoption of any specific legislative proposal pending before any State or local legislative body. Such activities include both direct and indirect (e.g., "grassroots") lobbying activities, with one exception. This does not preclude a State official whose salary is supported with NHTSA funds from engaging in direct communications with State or local legislative officials, in accordance with customary State practice, even if such communications urge legislative officials to favor or oppose the adoption of a specific pending legislative proposal. DEBARMENT AND SUSPENSION Instructions for Lower Tier Certification 1. By signing and submitting this proposal, the prospective lower tier participant is providing the certification set out below. 2. The certification in this clause is a material representation of fact upon which reliance was placed when this transaction was entered into. If it is later determined that the prospective lower tier participant knowingly rendered an erroneous certification, in addition to other remedies available to the Federal government, the department or agency with which this transaction originated may pursue available remedies, including suspension and/or debarment. 3. The prospective lower tier participant shall provide immediate written notice to the person to which this proposal is submitted if at any time the prospective lower tier participant learns that its certification was erroneous when submitted or has become erroneous by reason of changed circumstances. 4. The terms covered transaction, debarred, suspended, ineligible, lower tier covered transaction, participant, person, primary covered transaction, principal, proposal, and voluntarily excluded, as used in this clause, have the meanings set out in the Definition and Coverage sections of 49 CFR Part 29. You may contact the person to whom this proposal is submitted for assistance in obtaining a copy of those regulations. 5. The prospective lower tier participant agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under 48 CFR Part 9, subpart 9.4, debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by the department or agency with which this transaction originated. 6. The prospective lower tier participant further agrees by submitting this proposal that it will include the clause titled "Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion -- Lower Tier Covered Transaction," without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions. (See below) Page 5 of 12 7. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction that it is not proposed for debarment under 48 CFR Part 9, subpart 9.4, debarred, suspended, ineligible, or voluntarily excluded from the covered transaction, unless it knows that the certification is erroneous. A participant may decide the method and frequency by which it determines the eligibility of its principals. Each participant may, but is not required to, check the List of Parties Excluded from Federal Procurement and Non-procurement Programs. 8. Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings. 9. Except for transactions authorized under paragraph 5 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is proposed for debarment under 48 CFR Part 9, subpart 9.4, suspended, debarred, ineligible, or voluntarily excluded from participation in this transaction, in addition to other remedies available to the Federal government, the department or agency with which this transaction originated may pursue available remedies, including suspension and/or debarment. Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion -- Lower Tier Covered Transactions: 1. The prospective lower tier participant certifies, by submission of this proposal, that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any Federal department or agency. 2. Where the prospective lower tier participant is unable to certify to any of the statements in this certification, such prospective participant shall attach an explanation to this proposal. FEDERAL FUNDING ACCOUNTABILIYT AND TRANSPARENCY ACT(FFATA) In accordance with FFATA, the HOST AGENCY shall, upon request, provide WTSC the names and total compensation of the five most highly compensated officers of the entity if: (i) the entity in the preceding fiscal year received— (. 80 percent or more of its annual gross revenues in Federal awards; II. $25,000,000 or more in annual gross revenues from Federal awards; and (ii) the public does not have access to information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 or section 6104 of the Internal Revenue Code of 1986; DISPUTES In the event that a dispute arises under this Agreement, it shall be determined by a Dispute Board in the following manner: Each party to this Agreement shall appoint one member to the Dispute Board. The members so appointed shall jointly appoint an additional member to the Dispute Board. The Dispute Board shall review the facts, agreement terms and applicable statutes and rules and make a determination of the dispute. The determination of the Dispute Board shall be final and binding on the parties hereto. As an alternative to this process, either of the parties may request intervention by the Governor, as provided by RCW 43.17.330, in which event the Governor's process will control. Page 6 of 12 GOVERNANCE This Agreement is entered into pursuant to and under the authority granted by the laws of the state of Washington and any applicable federal laws. The provisions of this Agreement shall be construed to conform to those laws. In the event of an inconsistency in the terms of this Agreement, or between its terms and any applicable statute or rule, the inconsistency shall be resolved by giving precedence in the following order: a. Applicable state and federal statutes and rules; b. Terms and Conditions of this agreement; c. Any Amendment executed under this Contract; d. Any Statement of Work executed under this Contract; and e. Any other provisions of the agreement, including materials incorporated by reference. WAIVER A failure by either party to exercise its rights under this Agreement shall not preclude that party from subsequent exercise of such rights and shall not constitute a waiver of any other rights under this Agreement unless stated to be such in a writing signed by an authorized representative of the party and attached to the original Agreement. SEVERABILITY If any provision of this Agreement or any provision of any document incorporated by reference shall be held invalid, such invalidity shall not affect the other provisions of this Agreement which can be given effect without the invalid provision, if such remainder conforms to the requirements of applicable law and the fundamental purpose of this agreement, and to this end the provisions of this Agreement are declared to be severable. DRUG-FREE WORKPLACE In accordance with the Drug-Free Workplace Act of 1988 (41 USC 8103 and 42 USC 12644), the HOST AGENCY shall publish a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance is prohibited in the workplace and shall specify the actions that will be taken against employees for violation of such provision. The HOST AGENCY shall establish a drug-free awareness program and require that employees provide notification of any criminal drug statute conviction for a violation occurring in the workplace no later than five days after such incident. The HOST AGENCY shall notify WTSC within ten days after such notification by an employee. Within 30 days, the HOST AGENCY will take appropriate personnel action against such employee, up to and including termination, and require the employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for such purposes by a Federal, state, or local health, law enforcement, or other appropriate agency. ALL WRITINGS CONTAINED HEREIN This Agreement contains all the terms and conditions agreed upon by the parties. No other understandings, oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or to bind any of the parties hereto. DESIGNATED CONTACT The following named individuals will serve as designated contacts for each of the parties, for all communications and billings regarding the performance of this Agreement: Page 7 of 12 The Contact for HOST AGENCY is: The Contact for WTSC is: Sgt. Robert Constant Edica Esqueda Program Manager Traffic Unit 53-85Unit (360) 725-9886 eesq uedaV0wtsc.wa.gov rconstant@kentwa.gov IN WITNESS WHEREOF, the parties have executed this Agreement. AUTHORIZED SIGNATURE Signature Ken Thomas Printed Name Chief of Police Title Date PROJECT DIRECTOR Signature Robert Constant Printed Name Sergeant Title Date WASHINGTON TRAFFIC SAFETY COMMISSION Signature Darrin Grondel Printed Name Director Title Date Page 8 of 12 Exhibit A STATEMENT OF WORK ➢ General. HOST AGENCY shall provide personnel to serve as the SOUTH KING County Target Zero Manager (TZM) providing services consistently for the entire period of performance. ➢ Consideration. WTSC shall reimburse HOST AGENCY for TZM salary, benefits and indirect costs, not to exceed $61,000.00 not to exceed $5,083.33 per month. ➢ Agency Obligations. o HOST AGENCY will provide: 1. Supervision of TZM 2. Deliverables as listed below o WTSC will provide: 1. Training and development opportunities including pre-approved travel costs. 2. Mini-grants for program support 3. Quarterly county fatality data ➢ TZM Objectives and Deliverables. The work of the Target Zero Manager shall fulfill the following objectives and deliverables. o Objective 1 - Build consensus among the local traffic safety task force toward the development of comprehensive and collaborative traffic safety solutions guided by the Washington State Strategic Highway Safety Plan, Target Zero. Deliverables o Create, update, and utilize a Traffic Safety task force strategic plan built on data- driven analysis. o Lead and coordinate the Task Force in defining and prioritizing objectives, preparing work plans and schedules, and driving performance. o Plan and conduct regular meetings as agreed upon by parties. o Promote the value of membership to stakeholders. o Follow-up on meeting outcomes and action items. o Deliver exceptional public presentations at media events and other meetings to educate constituents, promote ideas, and build knowledge and skills in stakeholders. o Coordinate task force activities with the Law Enforcement Liaison. o Manage web and social media presence for the Traffic Safety Task Force. o Develop, coordinate, and actively participate in relevant conferences and training events. o Develop traffic safety project proposals utilizing proven strategies or innovative proofs of concept. Page 9 of 12 Objective 2 - Develop, implement and monitor specific programs as directed by the Washington Traffic Safety Commission or address local traffic safety problems. Deliverables o Coordinate national high visibility enforcement mobilizations. o Manage the implementation of the Target Zero Teams project (if applicable.) o Lead news & paid media outreach efforts. o Coordinate Traffic Safety Corridor Projects (if applicable.) o Plan, implement, and monitor local traffic safety projects such as Bar Safe o Coordinate the Victim Impact Panel (if applicable). o Conduct recognition and awards ceremonies. o Involved in child passenger safety projects. o Facilitate school zone equipment requests among Schools and Law Enforcement Agencies. o Emerging project coordination as needed by the WTSC. Objective 3 - Manage financial resources by monitoring and evaluating expenditures from various funding sources, ensuring adherence to guidelines and contractual terms. Deliverables o Write quarterly and final project reports (per format shown in Exhibit B) and direct expenditures of federal and state funds for traffic safety activities. o Negotiate working agreements with partners and other service providers to include defining scope of work and other contractual terms, establishing evaluation criteria, and assuring compliance with state and federal requirements. Objective 4 - Develop, implement, and monitor performance metrics and quality control processes to determine program effectiveness. Deliverables o Monitor local crashes and adjudication of traffic-related offenses. Review trends and high profile cases with task force. o Analyze traffic safety data and research to identify problems and trends. Page 10 of 12 Exhibit B W'Yi A S H I N G T 4 N T4raj* Safety Target Zero Manager Quarterly Report G. 0 M M I S S I Q N Quarterly reports provide WTC with information that can be used to strengthen the state's overall traffic safety program. These reports should detail the project status, discuss progress toward established objectives and deliverables, and explain any problems or challenges encountered. The report may also suggest ways in which the Commission can assist with the project. If no action has been taken, please so indicate. (1) A. County: B. Target Zero Manager: C. Quarterly Report Number: ❑1st Quarter Report Oct. 1 — Dec. 31 Due on Jan. 15 ❑2" Quarter Report Jan. 1 — Mar. 31 Due on Apr. 15 ❑3r Quarter Report Apr. 1 — Jun. 30 Due on Jul. 15 ❑4 Quarter Report July 1 — Sept. 30 Due on Oct. 15 G. Other Report: ❑Final Report Due within 30 days of project close [_]Special Report Note: (2) Provide an update of your Task Force activities this period as related to deliverables in Objective 1. (3) Provide an update of program development, implementation, and monitoring as related to Objective 2. (4) What trends are seeing in your jurisdiction? Include information about crashes that involve the top Target Zero contributing factors: a. Impaired Driving: b. Speeding: C. Young Drivers: d. Run-off-the Road: e. Distracted: f. Intersection-related: g. Other: (6) Problems/Challenges Encountered: (7) Other Remarks: Page 11 of 12 Target Zero Manager Signature: Project Director Signature: Page 12 of 12 KENT Agenda Item: Consent Calendar — 7H TO: City Council DATE: May 21, 2013 SUBJECT: Fiscal Year 2012 BJA Justice Assistance Grant — Accept MOTION: Authorize the Mayor to accept the fiscal year 2012 Bureau of Justice, Justice Assistance Grant in an amount of $51,883, amend the budget and authorize expenditure of the funds in accordance with grant terms acceptable to the Police Chief and City Attorney. SUMMARY: The city of Seattle Police Department, the primary grant recipient, received the Justice Assistance Grant on August 3, 2012. The city of Seattle was required to hold a public hearing as a condition of the grant award. This requirement was completed by Seattle in April of 2013. This funding will support police range repairs to ensure officer safety; equipping police officers with rifles; replacing worn bicycles for the bike patrol officers; and pay for corrections officer overtime to supervise work crew activities in the community. EXHIBITS: Interagency Agreement RECOMMENDED BY: Public Safety Committee BUDGET IMPACTS: Unanticipated income. Interagency Agreement Edward Byrne Memorial Justice Assistance Grant (JAG) Program FY 2012 Local Solicitation Executed by City of Seattle Department Authorized Representative: Diane Pilon 610 5"'Avenue PO Box 34986 Scatde,NVA 98124-4986 and i City of Kent,hereinafter referred to as "Recipient", Grant Manager: Debra Leroy 220 4`r'Ave. S. Kent,WA 98032 IN WITNESS WHEREOF, the parties have executed this Agreement by having their representatives affix their signatures below. CITY OF I{ENT CITY OF SEA'TTLE Suzette Cooke,Mayor Clark Kinneret,Deputy Chief of Police Date: Authorized by: Grant Program: F_duiard Byrne Memorial Jurtice Arsistance Grant OAGJ Program FY 12.JAC,Interagency Agreement,Page 1 of 7 WHEREAS,the Justice Assistance Grant GAG)Program is the primary provider of federal criminal justice funding to state and local jurisdictions; and WHEREAS, the JAG Program supports all components of the criminal justice system, from multi- jurisdictional drug and gang task forces to crime prevention and domestic violence programs,courts, corrections, treatment,and justice information sharing initiatives;and WHEREAS,the United States Congress authotize.d$668,782 in the Justice Assistance Grant UAG) Program for jurisdictions in Icing County; and WI IEREAS, 12 jurisdictions in King County were required reapply for a JAG Program award with a single, joint application;and WHEREAS, the City,as the identified Fiscal Agent,submitted the joint application to die Bureau of Justice Assistance on May 14,2012 to request JAG Progtsun fiords;and WHEREAS,based on the City's successful application, the Bureau of Justice Assistance has awarded $668,782 to the City from these JAG Program funds;and WHEREAS,pursuant to the terms of tine grant whereby the City,as the identified Fiscal Agent for this award,is to distribute grant funds to co-applicants, the City intends to transfer some of the JAG funds it receives to those co-applicants;and WI IEREAS,the City is not obligated to continue or maintaht grant funding levels for the JAG Program once grant funds have lapsed;and WHEREAS,recipients of JAG funds from the City should not anticipate the City will assume responsibility for any program costs funded by.JAG once JAG funds are spent; NOW THEREFORE, the patties hereto agree as follows: This Interagency Agreement contains six Articles; ARTICLE I; TERM OF AGREEMENT: The term of this Interagency Agreement shall be in effect from the date it is executed by the SPD Chief of Police,or designee,until September 30, 2015 unless terminated earlier pursuant to the provisions hereof, ARTICLE II: DESCRIPTION OF SERVICES The settrices to be performed under finis Agreement shall be conducted for the stated purposes of the Byrne Memorial Justice Assistance Giant GAG)Program (42 U.S.C, 3751(a.)The Edward Byrne Memorial Justice Assistance Grant UAG) Program is the ptiunaty provider of federal crim nal justice funding to state and local jurisdictions,JAG funds support all components of die critnninal justice system, from multijurisdictional drag and gang task forces to crime prevention and domestic violence programs,courts, corrections, treatment, and justice information sharing initiatives.JAG funded projects may address crhne through the provision of services directly to individuals and/or communities and by improving the effectiveness and efficiency of criminal justice systems,processes, and procedures. FY l2 JAG Interagency Agreement,Page 2 of 7 AltTICLE III: SPECIAL CONDITIONS • Funds are provided by the U.S. Department of Justice,Office of Justice Programs,Bureau of Justice Assistance solely for the purpose of furthering the stated objectives of the Edward Byrne Memorial Justice Assistance Grant OAG)Program.The Recipient shall use the funds to perform tasks as described in the Scope of Work portion of this Agreement. • The Recipient acknowledges that because this Agreement involves federal funding, the period of performance described herein will likely begin prior to the availability of appropriated federal finds. The Recipient agrees that it will not hold the Seattle Police Department, the City of Seattle,or the Department of Justice liable for any damages, claim for reunbursement, or any type of payment whatsoever for services performed under this Agreement prior to the distribution and avallability of federal funds. • The Recipient shall comply with all conditions and limitations set forth in the FY 2012 Justice Assistance Grant Program Award # 2012-DJ-BX-0526. The FY 2012 Justice Assistance Grant Program Award Report H.: 2012-DJ-BX-0526 is attached to and made part of thus agicernent, as Attachment A.Allocation and use of grant funding must be in accordance with all special conditions included in the Award Report. All Recipients are assumed to have read,understood,and accepted the Award Report as binding, • The Recipient acknowledges that all allocations and use of funds under this agreement will be in accordance with the Edward Byrne Memorial justice Assistance Grant OAG) Formula Program: Local Solicitation. Allocation and use of grant funding must be coordinated with the goals and objectives included in the Local Solicitation,All Recipients axe assumed to have read,understood, and accepted [lie Local Solicitation as binding. • Recipient agrees to obtain a valid DUNS profile and create au active registration with the Central Contractor Registration (CCR) database no later than the due date of the Recipient's first quarterly report after a subaward is made. • The Recipient shall comply with all applicable laws,regulations,and program guidance. A non- exhaustive list of regulations wlntnonly applicable to BJA grants ace listed below,including the guidance: (A) Administrative Requirements: OMB Circular A-102,State and Local Governments (10/7/94, amended 8/29/07) (44CFR Part 13) (B) Cost Principles: OhIB Circular A-87,State and Local Governments (5/10/04) (C) Audit Requirements: OMC Circular A-133,Audits of State,Local Governments,and Non- Profit Organizations (6/24/97,includes revisions in the Federal Register 6/27/03) (D) The Recipient must comply with the most recent version of the Administrative Requirements,Cost Principals,and Audit Requirements. VY 12 JAG Interagency Agreement,Page 3 ot7 l) Non-Federal entities that expend$500,000 or more in one fiscal year un Federal awards shall have a single or program-specific audit conducted for that year in accordance with the Office of Management and Budget (OMB) Circular A-133-Audits of States,Local Governments,and non-Profit Organizations. Non-federal entities that spend less than $500,000 a year in federal awards are exempt from federal audit requirements for that year,except as noted in Circular No. A-'133,bit records umst be available for review or audit by appropriate officials of the Federal agency,pass-tluough entity, and General Accounting Office (GAO). 2) Recipients required to have an audit must ensure the audit is performed in accordance with Generally Accepted Auditing Standards (GARS),as found in the Government Auditing Standards (the Revised fellow Book) developed by the Comptroller General and the OMB Compliance Supplement. The Recipient has the responsibility of notifying the Washington State Auditors Office and requesting an audit, 3) The Recipient shall maintain auditable records and accounts so as to facilitate the audit requirement and shall ensure that any sub-recipients also maintain auditable records. 4) The Recipient is responsible for any audit exceptions incurred by its own organization or that of its subcontractors. Responses to any unresolved management findings and disallowed or questioned costs shall be included with the audit report submitted to the Seattle Police Department.The Recipient must respond to requests for information or corrective action concerting audit issues or findings within 30 days of the date of request,The City reserves the tight to recover from the Recipient all disallowed costs resulting from the audit. 5) If applicable,once any single audit has been completed, the Recipient nuns(send a full copy of the audit to the City and a letter stating there were no findings,or if there were findings, the letter should provide a list of the findings. The Recipient must send the audit and the letter no Later than nine months after the end of the Recipient's fiscal year(s) to; Diane Pilon,JAG Program Manager Seattle Police Department 610 5th Avenue PO Box 34986 Seattle,WA 98124-4986 206-386-1996 6) In addition to sending.' copy of the audit, the Recipient must include a corrective action plan for any audit find'ungs and a copy of the management letter if one was received, 7) The Recipient shall include the above audit requirements in any subcontracts, The Recipient agrees to cooperate with any assessments, national evaluation efforts,or information or data collection requirements,including,but not linnited to, the provision of any information FY 12 JAG Interagency Agreement,Page 4 of 7 required for assessment or evaluation of actilities within this agreement,and for compliance BJA reporting requirements. Wlren implementing funded activities, tine Recipient must comply with all applicable federal,state, tribal government, and local laws,regulations,and policies.The Recipient is entirely responsible for determining the Recipient's compliance with applicable laws,regulations and policies,which include, but are not limited to: (A)City of Seattle regulations including,but not limited to: (1) Equal Benefits Program Rules (SNIC Ch.20.45:lnttp://cityofseattle.net/contract/equalbenefrts/) (2) Women and Minority Owned Affirmative Effort: If a Recipient intends to subcontract out act instead of performing the work itself, then the following requirement any part of a contr applies: Consultant shall use affirmative efforts to promote and encourage participation by women and minority businesses on subcontracting opportunities within the contract scope of work. Consultant agtees to make such efforts as a condition of this Agreement. a. Outreach efforts may include the use of solicitation lists,advettisements inn publications directed to minority connnunities,breaking down total requirements into smaller tasks or quantities where economically feasible,malting other useful schedule or requirements modifications dint are likely to assist small or WAIBE businesses to compete, targeted recrtlitrnent efforts,andusirg the services of available minority community and public organizations to perform outreach- b. Record-Keeping: The Consultant shall maintain, for at least 24 months after tine expiration or earlier tetnnination of this Agreement,relevant records and information necessary to document all Consultant solicitations to subconsultants and suppliers,all subconsultant and supplier proposals teceived, and all subconsultants and suppliers A utilized under this Agreement. The City shall have tine right to inspect and copy such records. (3) Licenses and Similar Authorizations: The Consultant,at no expense to the City,shall secure A maintain in full force and effect during the term of this Agreement all requited licenses, pctnnits,and sunhat legal authotizations,and comply with all requirements thereof. (4) Use of Recycled Content Paper: Whenever practicable, Consultant shall use reusable products including recycled content paper on all documents submitted to the City. Consultant is to duplex all documents that are prepared for the City under this Contract, whether such materials ate printed or copied,except when impracticable to do so due to the nature of the product being produced. Consultants are to use 100%post consumer recycled content, chlorin,--free paper in any documents that are produced for the City,whenever practicable,and to use other papet-saving and recycling measures in performance of tine contract with and for the City. (5) tlrnerieans with Disabilities Act: The Consultant shall comply with all applicable provisions of the Americans with Disabilities Act of 1990 its amended (ADA)in performing its obligations under this Agreement. Failure to comply with dte provisions of the ADA shall be a material breach of,and grounds for the immediate termination of, this Agreement. FY 12 JAG Interagency Agreenenl,Page 5 of 7 i (6) Fait Contracting Practices Ordinance: The Consultant shall comply will' the Fait Contracting Practices Ordinance of The City of Seattle (Chapter 14.10 sNIC),as amended, (7) Suspension and Debarment The Recipient certifies that neither it not its principals are presently debarred,suspended,proposed for debarment,declared 'ineligible,or voluntarily excluded from participating in teansactions by'any Federal department or agency. By signing the signed ce�tif cation sat out and submittiing this Agreement, the Recipient is providing below. The certification this clause is a material representation of fact upon which reliance was placed when this transaction was entered into. �I If it is later determined tl'at the Recipient tendered an erroneous certification,the Federal Government and City may putsue available remedies,including termination and/or debarment, The Recipient shall provide immediate written notice to the City if at any tirmc the Recipient learns that its certification was erroneous when submitted or has become erroneous by reason of changed cicumstances, The Recipient agrees by signing this Agreement that it shall not enter into any covered transaction with a person of subcontractor who is debarred, suspended,proposed for debarnent, declared ineligible,of voluntarily excluded from participation in this covered transaction, unless authorized in writing by the City, The Recipient shall include the requirement in this section in any subcontracts. (8) In the event of the Recipient's or subcontractor's noncompliance or refusal to comply with any applicable law,regulation or policy, tl'e City may rescind,cancel,or tefminate tine Agreement in whole of in part, The Recipient is responsible for any and all costs or liability arising from the Recipient's failure to comply with applicable law,regulation,of Pfic}'. ARTICLE IV: SCOPE OF WORK The Scope of Work of this Agreement and the time schedule for completion of such work is as described in Attachment B: Edward Byrne N[cuiotial Justice Assistance QAG) Grant Formula Progtan'1G19 County joint Application,Project Narrative and Attachment C:JAG Budget Worksheet,as approved by BJA. Attachment B and Attachment C are attached to and made part of this agreement. The work shill,at all times,be subject to the City's general review and approval.The Recipient shall confer with the City periodically during the progress of the Work,and shall prepare and present such information and materials (e.g. a detailed outline of completed work) as may be pertinent,necessary,or requested by the City or BJA to determine the adequacy of tine Work or Recipient's progress, ARTICLE V: PAYMENT (A) Compensation tual cost basis. Total compensation under this Agreement's The Recipient shall be reimbursed on an ac $51,883. The Recipient shall incur authorized allowable expenses in accordance with tine Program Narrative and Project Budget,as detailed in Attachments B and C. PY 12 JAO Interagency Agreeuuent,Page 6 of 7 The Recipient may request additional reimbursement up to the amount of ilnterest accrued on then portion of the grant award.The City will provide quarterly statements to the Recipient,once the interest balance accrued equals at least$1,000. Reimbursements Will not be made for interest accrued that is less than$1,000. Reimbursements can be requested,up to the total amount of interest accrued,after the initial quarterly statement has been sent, to perform tasks in accordance with the Progxaun Narrative and Project Budget, as detailed in Exhibits B and C. The Recipient shall subunit invoices not snore than montltly,and at least quarterly. After the first quarter, monthly submission is preferred. Invoices are clue no later than 30 days after the end of the period in which the Work Was performed. No bavel or subsistence costs,including lodging and meals,reimbursed with federal fiords may exceed federal maximum rates,which can be found at: http://www.gsa,gov. (B) Manner of Payment The Recipient shall submit reilnbutsenient requests not more than monthly,and at least quarterly. After the fast quarter, monthly submission is preferred. Requests are due no later than 30 days after the end of the period in which due work was performed. Reimbursement request forms are provided. Substitute farms ace acceptable. With each reimbursement request, the Recipient shall subunit: Detailed spreadsheet of expenditures by task and related Financial documents (tirnesheets, invoices) Project status report These documents and invoices must be kept on file by the Recipient and be made available upon request by die City or to state or federal auditors Reunbursement will not be processed without accompanying documentation for the corresponding time period; Once the above conditions axe met, payment shall be made by the City to die Recipient Subunit invoicing and documentation to: Diane Pilon,JAG Program Manager Seattle Police Department 610 5th Avenue PO Box 34986 Seattle,WA 98124-4986 206-386.9885 ARTICLE VI: AMENDMENTS No modification or amendment of the provisions hereof shall be effective unless in writing and signed by ides hereto.Tine pardes hereto expressly reserve the right to modify this authorized representatives of the pa Agreement,by mutual agreement. 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The rtclpiom agrees totomply whh lho organiratonal nudlt requirements OfOhlls Chcolor A•133,AudlIs of S(oki, tfQdv and bmIind ltrue, (c ds may be l Of oth oitrgiiments may o 1pfovnlg auJlt (itny)tr mOMR Circular 13�udit)(and my olhtr avdlls of OfP grout funds)00 nor sallsfecrodry and promptly additsscd,os Wither deltdb<d In 1ho c flue re cdlllon of the 0)P Pinarclal dulde, ite J eneePmenL loved nwdif ca l neuf adoPlton Oftany l my teguat latl(on ar,PoAay,dof ony level oif8ovormut i,,svllhmn the oxp«ss prior aduan approval of Or. 99 pp 8g 3 s bgseolcao tlamstlattPo4lorroltf olhato life DhesMa l)subndlhtd ndfalsoplalm fOr gmnl�funJs ndefaUlol'oomflnitms saWar miseond ell Involvlrv8 8ranlaWnAstol�eonAlllono so�opplas omoDysubre<Ilpintls�t Potential fjibc nUJowastoor ' Onto,or miscondm should bo(epowd to 1110010 by Built Of11ro afdlo brspttlo(0e11e101 U,S,Department or justice iovesdgadons Division 95o Pennsylvania Avenuo,N.W. Room 4106 Wathington,DC 20530 omini;olghotllne®asdoJJiOv holllno.(contact Information In An8lish and 8panith)i(800)069•4499 ' or 110111no fell(202)616-9861 Additional Information Is available fromtha DO)010webtllem www-vsdoJ.govlolg, 6. Rtolplem vAdtlslarvds and agrees that it cmmotusoony federal Wads,ellhardirtarly or lndlrecdy,to support ofany ronlmtt or slbawud to ellhtr the Assoolarton o(Commve[ly Orgonsnrions for Reform Now(ACORN)or$[$ subsidlolfel,wlolout the osprass prior wdtee approval of O1P. 9, period[fplhoogenaydelamslto nesttsol the recylents ahlgh•risk grantee Cf,9 C.P.RaPmte 66,70`ant Perfomlonro oIP FOR11Jtt0.0 tagV.JB<) utpanatnt of lusllte Ointa ordusilto progroONTL nu +ltiY+�S WAyI�� P,vo0. s ap 7 f Uurenul0011slteeAssislnuce • , Omit a — —�' AWA0.bpAT0. 0711112012 PRVIF.fIYNWmBR ddl2•bl•a%•OSv6 .,_ SPSCfALCONMONS 8, glte lttlpltntagreesacam sly Mill opplcoblelequlromews regotdlag Cenul Convoclor Roglslallon(CCltj onJ opplcablo maufcllons on sit Aavmds1e Urabitcr subreciplents Rent do not ocquho and Pavldt a Uatn Univclsal let acb illt ogh p!/mmv of Sgov/Nndtngtar.l sm(A%Vud(ol ididonl Cam al Co tlata o rAoa1 antlon and Utnlcafsallntns 1ownr Requlrcmenu),and too Incorpolaw by rafarenro hire,'+hls aptcll rondlllon does n01 apply to an mold to an Indlyidual Who rwlycd the AWard as d naval person(I.a,,vartlaitd to any business or riorrpront oganixallon Ihns he or she mny own or operoto In Ids of her Dome). ftils 9, Pnfa0anttolbor 1.2000)der04PAIntimtI.tadedoumgttslrecipients and 00 aub rtolplents tToM o Adopt and onfouo pololve, bminl $trapwr I, P gmnl'onJmto ulobllnll olhptaco anf lygpolelos and condyisc ehiolo tdutllon�nwmenwa,And of m�r oulttach o deorcoo Nvork funded Y this crmfies caused by disunoled drivers• to, The loolplent agrees tocousply with all apploablo lmvs,regulations,pollelu,and gutdonco(Inoludlug sptCIAO Cost Ilmlu;priorapproval andrcponingrequlremenls,4vhtro opplcnblo)gov<ming theufoof(cJerol funds rorgaWM3 folaltdevents,19 odd costs of alletndanctnt sl ve,j evenls,l impolmmloo on Penitent t IAva WS.ragul,tAom,poll of food 1l s,or andago itOnco Is or at h ovllablo at svrnv,oJp.gov7runJingtcat>i<osLLun, ll, Thotceiplwt agreeso Comply With applicable nqultenlentsa rensmionport first•Uersubmvasds of$25,M or more aud.In the<oiplonlond ibii for ss poll 11,10 Values tovvdalc Such dao wN be submitted to the VPATA SubftWull ves or Repodinggyslena(PSRS),The dtlalla real tan, "I' AM,Whim d d Tr„nspartney edvo from thoP<Jtal Wndtng Acwumo611ry M Act o!2W6(PPATA),eradJppoo'lid on the 0mce orlwtlte progranss web ld o At Inolrpofeled bygoRronP Incahero�l7blctconditlonand its relpo ing tc enttnt does not Apply to gmnlAWords made to In iivi Vol Cho o 014 InIbb onc�rsnnmo).mI person hen untalalal to any business or Ise non•pmRl argan)smlon@ai 12, Thes<Clplent 08t<islhal Ali income 8an<mltd nsndltecl rCtult OJodsst30((Nldf provldtdundcASUds award,InCAll progrnns Income earned must be oteeunitd for and used far She purye such usobeing Comitltnl tvlth the tondhlons of the mvord,Iho efktllva tdhton or the OrP pfnanclnl lvoing outdo and,as the use or Proglramlf„28 C.P.A.Pantoum mull W uporttd 6 or on 11 gVliely Idol Plnanclal Repo L3�25�ttulat hbriher, o1p roRal taa7 tR>:v,1•as> Oepmcm ett of Justice office ofluWe*proglnms .ASVAItll SONNTTINU010N ptau a or v 1,.11 nuetnu oCJustico Asslbtntco PRO)FGT\UameR aol4ol�n8•oale AVVAROUA71l 07l11lJa1J V Sp6Chlb CONDMONS 13, Tho granlea agrees to WIN UlA lamilplyfng whit 010 National Unvirenmonlal policy Act(NUPA),the Nnllonal Historic pteseivadon Act,and eOmr tdaled tedeml emhonmtmol lmpaN anatyaes r<quhunents In tw use of list eo gran funds,enherdorectly to the It lil la ggrrantee or byaauUgmnt<e, Accordingly,rho grontea nggrrtes to Nsl determllfnny of Ole foltowing netivlUos will befimded by the88tam,ppdoroobllgaling funds for nnyofiheso purposes, dcicmilntd Ihnl any of Ne following ncOvWes wl,,bo funJtd by tiro gronU oho 8luirtea ograu to conlam m1A. 'rho gontco undmicnds that Ihk apcolal Condition applies 10 its following now aNivllles whetbef or not they ow being spemltCnlly funded wish these groni funds,'Ibnl It,as long as the acOvhy b bales eonduend by lha grontea,o vultgrCoAdd lon m at ust Uµliba mhI The ocliv and kilo hles tOvered by this aptcial ConJhlon needsaormuso Ihuo groat funds,ihiispeclnl a. Hew constntctlonl .h9norrvadon or rntnodohhig of o prope b <no rty famed In on anvhonmtntally or Idslodcagysensitva area,Including. pro( noes{ocmedwhldnnl0g•ytm0oodpoln,nwmlood,or habitat tot endange(edapeoles,ornpopollylltledOnOr Oil bit,for olslht6 on theNotlanat Raginarof filatodopla<ess o, AtoaoYnllan,Icnse,orcoypropos<JufoofnbVngorlWilly that will cliher(o)result too chaageh basl llso d.prioruse or(b)signiHtondy ohangoinsiso; pvwhmtd jalmple,,component onowlukedlifogtoat cilvlq d(V)owoofcbootept,other toplo,ion I mleNs,homeholO,recreational,or Wcidomnt tomponem of a PoutkO ativlry and(L)nadltlonolly used,for oxanpto,in ofOco, educollon envlronmouul and ldtnllflleationaoixure,of olosuo ofeloadall omsll pniph<Iaam noalnbomodw,olory opcwUmns.LicluJing oho The gnoel underslonds and Dart tt hot complylog whit NbpA may nqulro the prepmeliod oPon Unvlroomantal Assessmonl on,Vor an Unvhonmenml Anpam Stmomem,os dhected by b1A,Tho gtoni<o tunbuunderstands and agrees to the requiromenix for hupicmentotion of a bshigation plan,ns detailed al hllpllhvtvw.oJpusdoj.govlDlAlrwour<eMepn,hlmb for pogratus rolatng to melhanipbclomino Hbomlary opeso0ons, Application of Tlds special Condition to otontee's Uxlsting programs or Aeilvitast For any of the gollco's or its subgmnteos'existag prognoses a r anlvllles that well be funded bj those ofaPool funds, orpm 1140tu enPUoawWaltacte Ves'c from Ulrl,ogrcas to coapmala wllh nJrl In onyp P Y aflhal6indtd progrwnroractvhy. y M - IJ, all aUntaysolmsllvbf')tlevolveonmla Of OConnen0Ms'lbo any en Ju cdlctorldIdb yAfoel ollempl ycotUnfir"oli posslblo,existing hmworks of Ibo communlca0on bockbono to aohlovo lmeistmel connemivliy,unless llte gtanlco con Jcmonslote to the snlbtamlon of UfA tUal oils roqulrement would nvl bo<osl effecOvo ar seauld hnpatr e funcltonaliry of an oxoaltng or proposed IT sysmm, l3. Ia order to promote bVormatlon sM1odng and enable lntetapembUhy among dispwnte aynems across lhejusOco and pub0osafely cmnmunlly,Olprequbos the gronttototoroply will, oloballusilco lnlormnOon Shedng WUative . (1101's Otobal)guldaUnes and r«onvntndatloas lot lids puUculu gronh Omnita abaU conform to the 01aU' standards pookage(asp)and OR toamOWtm oltmenll,wheat oppUcnblo,as desctlbed all hlipaAnvwAl,ojp.govlgap�tonttonJtOon,Oromee shall document kil"a"d opprostbes to tntomlodonshmtng mid cd describe tomp}lono to Ilto 03F(Old opP+opdota privacy poiley tlmi proneu 6hacd tn[ormatoa,or provide d<lat jusllUeallon forwhy nn o)cemadve approach Is retommooded, Olt•FORaH00a'i(RRY,dlb! ot'l ii enl of lusliceo oflusuca program" AWARD CONTINUATIONeve" s oP r enR of JUS"Ve Agslsinuco Sii>31WiGrnnlPAO14OPRrTmERLD%•DA6 AwAADDATE 0/11 010 11wan I.CONofYWol is«qubed towlabllshatmst fond account.MIO troll Nnd may or may Uolbe fund,IM(doOg any Inlctwts nay not be used(o pay debts or oapenses Inemr1fie lidsvard nymo MoAt IJUsltell M, twoOran Program(JAO).Tliowche eranttundoln ha hull fund(Includi'llim imerwteamcd)J9 Urop<d]ncy Inlerwl caned)non expanded by the end of We gmnl faded must fro«lameAsslo later Than 90 daya DRer the end of Ibo groat perloJ,along wt161ho Rnaf aubndsslon of Wo TcJotoi 19nonolo Repoe(Sp•425)p 11, JAO funds may be Used toe Vesl to ultsiQp@Vol$for on on(gonoy,but any not begusell w theS0%matchfor Pgry the Iluileti 18, vlihrll iNndchnvantvAll<submIn�mddJaNry wtilleoreopolaylthat uetplA Pl«ai goods and snnla ogenciw muss kespt lg,ud e<VlRcenolss on the for any subr<elplenu piann)ng do udllao lAO fonds foe bulletproof Ywl pn+abww,Tlds Po11oy most be In place for at itaai all uniformed ofRters before pay i6'2012 JAO funding con bo used by the agcaoy for bullelproof voset,Thtro Oro no«qu rOmenu regording the nol}+re of he polloy COW ihon It bang A nlnndaioly wear polloy fur all unlnssmed off ecls;whllo on Jaty, 19. Dullelpsoof vests pu«hajedsvllh JAOR+ndsmnybe pu«hrsed of any Mal oval,make of modal,from eny dlndbutor bnitl loforturer, Ion dti a Vaiion bulletproofvesdla Purcllaslcd Oil J O fonds most be Anne tcoanmaileB'dhe lalesl NIJ WAARrd WOUrUamn can be found lera 6uppl/rvmv�ulj�govhoplcNuchnologylladyolmorJrofetylnlllanvohim, 20. Thiliallplonj In Any lateral eS jeci OpcBanogstemfunded ors supported md b WJroah0. VIIltobooyp Vllfbte, SioulJOlPdttemVneRBC,RR,Pan 2310 hoop Ileabie,OlP mey,at lea dlacanon,perfora audlu of hesynea,os 37898(a)0)•1Reolplint play not isadsryauth D NO will Natal fundsa rcctpfend mny bo nntd ps par-02 U.S,C, 21. ?Ogudiagtmy agrees ociutol6gy project nfond III by Vdsl goal gJglint lhaeV118oilon aid oxpo dhum parlod.Tlds is to facilhate conunmilcpilon Onto"$local And$nano gave Mandel cfnlUes rOgading various 61formolton(eehnology dauroeNt"being heconducted 1n8Willi his«qgiant Nails. t.Por n U Ilof Slotathe WoPaaVon fecbaotogy Polnle ad of Colacl,lvo go ono hnpaAnvsv,Il,ojp,goWJafouf Lospx7oren=poNcyAnJPmNleeF<page�1046. 22. Tho gmnteo ogreel to conlply with live opplieabte«qulrtinents of 28 C,D.R.Pan 38,he papmtann orIosko regutolion govelatng"Rquat Treatment foe]talh DastJ Organfzadons•(thO'Rquol Treatment Iiegulallon"),'iho t?quol Troatnien)Regulo(lon proYlJes In PpIV hat Utyalnienl of Jusllco gum awards of dl«ci finding may not bo used to Nnd ony Inlurondy rcllggIOUs ncttvlVes,such As wo«blp,«Pglow InnNwlod,or ptoselylkollon.Reolp(msu ofdlrcei giants may ellll angago In lnhe«nlly retiglous adivlVes,but such aoVvhtes must bo sepanto In time or plow from iho ➢epanmeal of lustko(unJed pro8rnm,and paVclpndon In aueh nedvllles by IndWlJuala rcalvtng aervlcw from iho grantroor aaubngtont<o man be voluntory,'fhoolp Tr eatment RegulaVon also ju t](a rilleal. caorlhalorgnnlzononyys oast Iles onllpe b$sit le ufdnrbenlea lory's rod4dbilgth toDeNartment It Jusil"lwhhnandingwyrotierspe lnleondlllon of ihlsawarJ,fol{nlsion fu� based orgenlrollons may. In soma Clten,UanCOS' Comldet tcllgion P1 a hallo for employmonL S<0 half;lhn+nvojp,gov/obouVoedcquOi roo.usm, 23 conform to iho B�ne proga sm rtquhentmlt sateltd In 111Alpwgtom guldonteierot ehaslale oc local levels,nmst OJP FORet{�VptABV.J•Eel , , Vepadolem of Joules . 01thoofJoWcoprogrenu MYARD CONTINUATIONSHEETPA09 a OF 7 bm'anuoFJusllcoAsslBlDuco "et Ot'mH P➢OIF.Or'tNA➢P1i 2a11•Dl➢X•0316 ANARDD 18 Or)I111012 pp SPNCGILCONDITIO g 14, OsOUCIM And aedwa regarding 110 projection of human rwca?cls subWC nolllding o and lbldbuntnl o1`1441 1101oof Justice 1oi ROVlewBoard approval,Uappropdnm,and subject h(Ort"ed consent. 25. OInR«o agtem to comply with aU coAdonutdily requi«me all of A2 U,9.C,scollop 8799g and 28 C.is,R,Pat 22 that we oppIkAblo to eollccton,use,And s ohilon ofdato or Infomatan,Orontes Nnhor agrees,asuOomlhlon of grant approval,to subunit A Pdvaay CenRlcolo that Is in accord with requlremenls of 28 C,p,R,Port 22 ond,in pMkutR4 secllun21,23, or c 26 Irbo ml to e«eta50 the ena0unwl'("tisuoh ed vndlml its AWAp n the absence of PedOot fonds,I ate or two funds, r be be mad Available(or law onfort mom Atovhies, 27. A+vord voVonts must submll quwtedy a pedenq phollchf ltepon(SP•d25)and amual pcsfD,mAnco repads through Otfs(hups:flgranw.OJp,wdoJ.gov), eonilsloolwhh the Dopmhnem'aroporoblilllwunderlha0ovammens perfomssnco and Results Act(OFRA),111,10)•62,nppikanw who rtcoivo funding under INs sallcllaUou most prOvldodalashol mewulo tllo Mulls ohhelswork.T erafom,qunedy portormanco modes reports must bosubssducd ThroughDJRa POtfomintA\fensurcment'foot(PMT)sv<bshe(+V+vw,bJeptrfotmA➢telDalS,org)•Fortuorodcl ka Infomsoltoo on rapuning and olher JAO requlrenvuls,ro(cr to Use)AO reporting«qulremehis webpage, polluroto subunit aqubed lA0 repona by wlabUshed dendllnes rosy result In the troezfng of gmnl land Potato tllgh[Usk dOsig°otlom p 28, do TecIplemo o JQnldolinesrino ud[ng iho OJp tVnonoI9(hi a and to include r1te apppielablo ccohdlllom of thilig�tt Awotd In any subawordlfho«el lint la rosponsibto foroppvo«lghwppfaubreolphnss Onoingond mOrROrhsg OfspcOlO0 daunsentoil nOf ittspollelea nand p{rocedurosfor monpabting of soubasvards vnder hit Mdea toaubmll,upon reques4 29. Award«ciplenls must Yuffy Pons of Canlncl(POC),Finondal POtnt ofConlacl(PPOL7,And l(DAY'nfo t Rep«senmtve contaN lnfomtollon In OM&ncluding lakphaoo numbernnA small nddress, if any lrmaUon la neorrem or has obuiltd,n Omnt Adjustment N6110(OAN)mull besubmlUad vin Iho Omens Management Syalem (OI+IS)to document changer, cro eU, v111lhaoNn(casthtwilldn12c days of waraagenoya¢ccuUvo,laskforcootllte4oroi6er g laskfo<ensemberof • equlYolmtl sunk,sYlll "or q no hnlomet•bued)Imkforcepolning,The lmining is provided Gee of ahugeontlnoUsrough0lA'sCanterforTaskPo«elmeBslyandLtadorsWppvwa,cUU,org), All In members ass«qut«d ioconplelo this valningonea tuioB thelUe of the°wad,or onroevery four yewslf Including pdveoy ond clvU Ilrbe Utafdehw,last klfo«oapgtrfasmAnce mBeosor n�eN�Ipe�menaoss L�oleeilon,tnd ta+kifomo Im vnr4 1apdVIOY and Ihas1 erlforTalk Pacela-r, V riL<adv.Idp(rhwmvcNLo gj twine ond across methods 011,10"140W (RRV.e•9A) � UepanmontordwUro • OtncaofrusdcoRogranss AlYA22llCON'PL�UA'CIO� paav, a op 1 � � IIurenu of Juallce Assis(hn90 SMFT 8\vAR9 Wit 0711112012 PRU7ECi'NUAmdR 101A91UX•D376 , sr>;crnr.coxnrrroxs 31, With rosptcldo this award,fedoml foods May nolbo Oreille payensh eomQ6ladOA Wbfl?plus bonuses)to my <mpfoyro of Itto Amidrcclphnt OI a rote that o%c«Js I IOS4 of Iho moxhhum ann9nl salary payable to n nt�olsnl S stem nwr of die Idalal governmcm's 3tolor Raecntiva8orvice(S03)nt on ng<noy with a C01110 SnS Parroonance App y forthotytae. An award stciphnl may cohiponsote onomployte at ahlghor talc,prnvldd No amount In OWss Of(Ids componsaUco U7ni odon Is Paid with non•hdorai Nnds') dlsmilllon or the OR oftielol lon rates lddk I dale No plops 6 offerthis unamcnlu dtr which Nis avardIs madols at the 1604 Of 32. 1110111"iwd Mdeppot explAd ho signed Mamoffmdua ofUndwn foods until the entonding 014011 of)(MOV)betwustice een IIlOO dlsQ�(lo Intildllles and"as Issas dnOranA vdatinl Notice(OAN)releasing 1105 5Q<c101 tondiliom Is t. 33, "e1vtoagaumenlnlloa Jtinonstfadii gwn llml Na Iala orlxaal goY<Mtpff bodyrovloty WdroKomm oily nvUncnd" uquimmenu hovo bten met odd has Issud isUrnnt Ad)ustmani Mom(OA11)ratrnsing this special wool Ilan. 91P P9R.NI 460011(RBV.4111) City of Kent Project Name: Police equipment/Coimnunity Corrections Program Project Cost: $51,883 i Project Descriptimu Equip new hire police officers with rifles Replace worn bicycles used by Police Bike Patrol Repair police firing range to ensure officer safety Continue work crews in community with supervision from Corrections Officer on overtime Program Need: will provide new hire officers with rifles and accessories, The Kent Police Department i The city funding for police equipment is limited and not all officers have a rifle assigned to them.This will ensure that rifles are available when officers respond to volatile and/or hostage related calls, This will improve officers' ability to respond to these volatile incidents effectively and protect public safety.The following is the type of incident where officers need ready access to a rifle: 2011: Officers responded to sounds of gunshots in a residential neighborhood, Officers encountered an adult male in underwear carrying an AK-47 style assault rifle. The officer closest to suspect, armed with his handgun,confronts and demands suspect drop the gun. Suspect refuses, and begins to pull AK-47 up and pointed at first officer, when second officer, coining from different direction,shoots suspect with AR-15• The current Kent Police Bike Patrol officers are riding bicycles that were purchased prior to 2009, These bikes are worn from being deployed daily to perform community Policing, Bicycle officers are able to ride up on crimes in progress much more easily than an officer in a police cruiser.They also are able to interact with community membersmore readily to gain intelligence information,We request funding to replace three of the four old bicycles. This covers bikes and bike gear. The Kent Police Firing Range is used by police officers for training and periodic firearms certification.This request covers replachig existing damaged sound deadening foam and baffles and angle iron support system for target rails. We initially considered doing this work on a phased approach as fimding was available,but the conditions of the range have deteriorated and we need to address them soon to ensure the safety of police range/training staff and officers using the range. We requested a change of scope in the ARRA FY2009 JAG for the original quote to do this work.The cost to complete these repairs increased as.we received additional quotes for this work. We request to fund the remaining balance for ilie critically needed repairs to protect officer safety through this grant, FY 2012 JAG Program Narrative The Kent Police Department began operating a supervised work crew program in 2009. This program expands the areas that the work crew can work within the City of Kent and prepares qualified offenders for employment, 'fire work crew program instills the discipline necessary to increase offenders' work ethic that will help them find and retain future employment upon their release from correctional supervision. These offenders earn. good time that decreases their time in jail and helps the city maintain a manageable and safe jail population, Graffiti removal is one of the frequent projects performed by the work crew. We request funding for a total of 266 Corrections officer overtime hours over two year to supervise these work crew projects. Program Activities for 4-Year Grant Period: By 12/31/2012: The rifles funded through this grant will be purchased and assigned to patrol officers, i By 2/28/2012:The bicycles will be purchased and assigned to Bike Patrol officers. ]his will allow us to rotate out the used and worn bicycles,The range repairs will be complete by 2/28/2012 also. By 9/30/2014: The corrections officer overtime will-be completely expended. Anticipated Coordination Efforts Involving JAG and Related Justice Funds: These JAG funds will supplement finding available for equipping patrol officers, The current sources for equipment funding are limited city finds. The State of Washington's budget deficit was passed onto Washington cities by eliminating the liquor lax revenue pass through to the cities, This amoral total of$10 million will be allocated entirely to the state general find. A new Initiative It 83 privatized liquor retail outlets,effective June 1,2012 and included a provision to pass a portion of alcohol tax back to law enforcement, but it is unknown exactly how this will be distributed to law enforcement it,Washington State,The Washington Traffic Safety Conmrission, Washington Association of Sheriffs and Police Chiefs and the Kent Police Traffic School funds are limited to equipment for traffic officers and traffic safety. The BJA, State Criminal Alien Assistance Program FY 2011 award is currently funding a one year contract to provide Life Skills Workshops to offenders at the City of Kent Corrections Facility (CKCF), Tire contract also covers community reentry services at the contractor's office once the offenders are released from the CKCF, The Kent Police Department continually searches for justice grant funding to support equipment and programs. Project Objectives: Objective 1: The Kent Police Department will ensure that officers have access to necessary equipment and equipment is in good working order, 1. Number of equipment items purchased. FY 2012 JAG Program Narrative This will include the new rifles and replacement bicycles, 2. Number of equipment items purchased and deployed to patrol officers. This will measure accountability that the equipment was purchased and distributed to patrol officers for their use, It will also measure the time it takes to assemble the base equipment and accessories to deploy in the field, 3. Percent of officers reporting improved efficiency with new equipment. This will measure if officers have found value in easier access to equipment and replacement of old equipment. Objective 2: Provide a safe firing range for police officers' training and certifications, 1, Firearms trainers report improved program quality after range repairs. This will be gathered through a survey to the firearms trainers after the repairs are completed. 2. Percent of police officers reporting improved feeling of safety after repairs. Police officers training,practicing or being tested for certification will complete a post repair survey that will be conducted for one month following completion of the repairs. Objective 3: The Kent Police Department will expand the supervised work crew program through identifying new opportunities and increasing the number of offenders participating in the program. 1. Number of program slots added through initiatives. We already track offenders assigned to jail programs, We will continue this tracking and it will allow us to report the percent of increase in the number of offenders participating in the supervised work crew. 2, Number of hours of programming provided, We also report cormnunity service and work time credit hours completed by offenders quarterly. We will report the percent increase in community service hours as a result of this project. 3. Number of Program participants receiving services. We will report the number offenders participating on the work crew,the number carried over from the previous period,the number that dropped out of this program and the number that completed the program on a quarterly basis. 4. Number of corrections officers working overtime and number of hours worked for each officer. This measure will include only overtime worked to supervise the work crew. i JAG Project Identifiers: Correctional Alternatives Firearms Officer Safety Overtime PY 2012 JAG Program Narrative FY 2012 JAG City of Seattle Joint Application BUDGET A, Personnel CITY OF SEATTLE Name/Position Computation Cost Crime Prevention Coordinator Salary monthly salary 9 of months N of positions (3 positions) $5,895 12.25 3 S 216,641.00 TOTAL: S 216,641.00 ----- B, FrbrgeBencffts CITY OFSEATTLE Name/Position Computation Cost I Crime Prevention Coordinator Salary monthly benefits k of months N ofpositions (3 positions) $2,323 12.25 3 $ 85,370.00 j TOTAL: S 85,370.00 City of Seattle SubTofah $ 302,011.00 C. Consultants/Coutracts CITY OF AUBURN: OT Rate 11 of Hours Teen Late Night Program Officer Overthne: $88 18 $ 1,584.00 Citizen's Police Academy Officer Overtune: $88 65 $ 5,720.00 Fireworks Emphasis Patrols Officer Overtime: $88 215 S 18,920.00 Auburn Sub'Pofal: S 26,226.00 CITY OF BELLEVUE: Item Computation Cost 34 MC-3 Type Ili Rifle Plates for SWAT Vests 24 x$600 $ 14,i00.00 Sales Tax(approximate) 9.5% $ 1,255.00 RellevueSubTotal: CITY OF BURIEN: Item Qty Unit Cost Cost__ Rifles 5 $ 1,126 $ 5,630A0 Optics for Rifles 5 S 400 $ 2,000.00 Shutinitlon Rifle Conversion 3 $ 315 $ 945.00 Amrnunition for Shrunition Rifles 1 $ 600 $ 600.00 Breaching Tool-Halligan Tool 2 $ 175 $ 310.00 Breaching Tool-Door Ram 1 $ 324 $ 324.00 Breaching Tool-Sledge Hammer 1 $ 50 $ 50.00 Ballistic Shields 2 $ 2,380 $ 4,760.00 Wad 3 for surveillance camera monitoring 3 $ 700 $ 2,100.00 Wad Extreme Duty Military Case 3 $ 70 S 210.00 j Sharp TV monitors and mounts for bainings/presentations 2 $ 1,300 $ 2,600.00 Bur1cn SubTotal: $ 19,569.00 CITY OF DES MOINES: Item Computation Cost Brother Mobile Solutions Printer-$239.80 each 10 x 239.80 $ 2,398.00 Honeywell Barcode Scanner Kit-$229.00 each 1 i x 229.00 $ 2,519.00 FY 2012 JAG City of Seattle Joint Application BUDGET Printer Mount,E-Ticket C-ARPB-I 10-SI85.00 each 9 x 185.00 $ 1,665.00 Universal Headrest Bracket-$160.00 each 9 x 160.00 $ 1,440.00 USB Cable Kits-$30.00 each 9 x 30 $ 270.00 EMS Perforated Rolled Paper Packs 25 x 41.25 $ 1,031.25 Shipping(Estimated) $ 310,75 Sales Tax 9.60% $ 802.00 Des Moines SubTotal: S 10,436.00 CITY OF FEDERAL WAY: Item Computation Cost Project 1 Tasers 9 Each Vendor Estimate $ 9,000.00 Project Z UFED Software Upgrade Vendor Quote $ 5,060.00 Misc Accessories Project 3 Automated External Defibrillator (AED)Devices 24 Each Vendor Estimate $ 19,060.00 Project 4 Electrostatic Dust Lifter Vendor Esthnate $ 900.O0 Federal Way SubTotal: $ 34,020.00 CITY OF IC9NT: Item Computation Cost Corrections officer overtime(2012.2013) $43.09 x 148 hours $ 6,378.00 '.. Corrections officer overtime(20 1 4) $44.38 x 118 hours $ 5,235.00 Soclafsecurity $11,613x,0765 $ 890,00 Retirement $11,613 x.06 $ 700.00 Rifles with accessories $2,050/sat x 9 sets $ 15,450.00 Bicycles for Bike Patrol(replacements) $2,4101bike x 3 bikes $ 7,230,00 Metal fabricator/range repair contractor TBD $13,000 for balance of estimated repairs $ 13,000.00 KeutSubTotal: S 51,883.00 KING COUNTY Nane/Position Computation Cost IT Developer-Salary Requirement Development $11474/3no*4 mo*.7 FTE $ 32,127,00 Application Development $11474/mo*7 me*.79 FTE $ 63,451,00 Implementation $11474/mo* 1 me*.71 FTE $ 8,147.00 I'I'Ieveloper-Benefits Requirement Development $3825/mo*4 me*.7 FTE $ 10,710.00 Application Development $3825/mo*7 me*.79 FTE $ 21,152.00 Implementation $3825/mo* 1 me*.71 FTE $ L 779.00 King County SubTotal: S 138,366,00 CITY OFRENTON: Item Computation Cost Domestic Violence Training and Conferences Location TBD $4,000.00 (Price will vary depending on training an location) FY2012JAG City of Seattle Joint Application BUDGET Honda Portable Generator with light I @$1545.00 ea. $1,545.00 Sales Tax $151.41 Motorola MC75 Worldwide Enterprise 1@$3290.00 ea. $3,290.00 Digital Assistant Sales Tax $,322.42 Trauma Kits(First Aid) 99 @$25.25 ca, $2,499,75 Sales Tax 5244.98 Cohan Car Camera System I @$6000.00 ea. $6,000.00 Sales Tax S588.00 Office supplys for Domestic Violence Advocate(pamphle(s,brochures,education materials) $3,564.44 (Items and price will vary depending on needs and items purchesed) Direct Victim Services Assistance for victhns protection-relocation $8,000.00 (Items purchased vary depending on victims needs at the time) Renton SubTotah $30,2U6.U0 CITY OF SEATAC: Item Computation Cost Overtime $100 per hour x 60 how's S 6,000.00 Installation of rifle racks estimate$75 per hour x 27(patrol curs) $ 2,025.00 Vertical Gun Rack $210 x 27(patrol cars) $ 5,670.00 Miscellaneous training supplies estimate S 87.00 SeaTac SubTotal, $ 13,782,00 CITY OF SHORELINE: Item Computation Cost Handheld radar 5 radar units x$1,987 $ 9,935.00 Shoreline SubTotal: $ 9,935.00 CITY OF TUI{WILA: Item Computation Cost PD Evidence Software and Licenses I writ at$5000.00 plus tax and licensing S 5,800.00 PI)Officer workstations 5 units at$500.00 plus tax and installation $ 3,000.00 Plotter for PD Crime Analysis 1 unit at$2500.00 plus tax S 2,800.00 PD Crisis Cormmunication Unit -Equip R Supplies 2 tablets x$700 $ 1,400.00 5 idenlif)dng apparel @$150 each $ 750.00 5 work portfolios @$50 each $ 250.00 Negotiator Field Supplies(estimate) $ 500.00 PD Incident Command Vehicle electronics upgrade I radio reprograrwning @$500 S 1,000.00 I DVR Hard Drive @$500 $ 500.00 PD Admin.Office-Mile,[Conference phone and install. I unit at$693 his tax and installatimr $ 693.00 1'1 'ila Sub Total: S 16 693.00 FY2012JAG City of Seattle Joint Application BUDGET BUDGET SUMMARY Overall Summary Budget Category Total Budget A. Persouncl $ 216,641.00 B. Fringe Benefits $ 85,370.00 C. 'Navel $ D, Equipment $ E. Supplles $ i T. Coustructlon $ G, Contractual $ 366,771.00 i II. Other S i Total Direct Costs: S 668,782.00 TOTAL PROJECT COSTS: $ 668,782.00 TOTAL JOINT ALLOCATION: S 668,782,00 i Edward Byrne Memorial FY 2012 Justice Assistance (JAG) Grant Formula Program Joint Application Budget Narrative A. Personnel ($216,641) A request of$220,950 is included for City of Seattle for salary costs associated with preservation of 3 Crime Prevention Coordinator Positions in the Seattle Police Department. This amount will pay for 12 months in 2012 and an additional 2 weeks in 2014. B. fringe Benefits ($85,370) A request of$88,061 is included for City of Seattle for fringe benefit costs associated with preservation of 3 Crime Prevention Coordinator Positions in the Seattle Police Department. Fringe benefits are City of Seattle standard fringe benefits for civilian personnel,and include FICA, Health Care Medicare, Life Insurance,Retirement, Workers Comp, EAP, Disability Insurance, and Death Benefits,and are calculated at a rate of approximately 260A of base salary. G. Consultants/Contracts ($359,7I1) As the fiscal agent, City of Seattle will enter into Interagency Agreements with all of the sub- agencies listed,below. Sub-Agencies will be required to spend their funds, and then request reimbursement from City of Seattle. Therefore,we are listing all of the costs associated with their programs under Consultants/Contracts: City of Auburn A request of$26,226 will cover Auburn Police Officer overtime costs associated with three programs requested by City of Auburn: Teen Late Night, Citizen's Police Academy, and Fireworks Emphasis Patrols. At an average overtime rate of$88, approximately 298 hours of overtime will be worked. City of Bellevue A request of$15,655 will cover costs related to the purchase of 24 rifle plates for SWAT vests in the Bellevue Police Department. City, of Burien A request of$19,569 will cover costs related to the purchase of Burien Police Officer Equipment to improve officer safety and make officers more effective in the field. City of Des Moines A request of$10,436 will cover costs related to the purchase of equipment to support SECTOR Technology Completion&Implementation in Des Moines. City of Federal Way A request of$34,020 is included to support 4 projects: $9,000 is included to purchase 9 Tasers, $5,060 for UFLD software upgrades, $19,060 to purchase 24 Automated Defibrillator Devices, and$900 to purchase an Electrostatic Dust Lifter. City of Kent A request of$13,203 is included for Corrections Officer Overtime in 2012, 2013, and 2014. Approximately 266 hours of overtime will be worked. Additionally a request of$18,450 is included to purchase 9 sets of Rifles, $7,230 to purchase 3 replacement bikes for Bike Patrol, and $13,000 for repairs to the Kent Police Firing Range, King County RMS Employee Interface Project: $138,366 is requested for an IT Developer to create RMS interfaces to provide DAJD employee access to RMS. City of Renton A request of$4,000 is included for Domestic Violence Training and Conferences, $8,000 for direct services to Domestic Violence victims, and $18,206 for various equipment that'directly supports police programs, City of ScaTac A request of$13,782 is included for 60 hours of overtime and supplies and equipment to support Activc Shooter Training and Equipment, City of Shoreline A request of$9,935 is included to purchase 5 Radar Units for the Shoreline Police Department to catch speed violators as well as collision reduction due to speeding. City of Tukwila A request of$16,693 is included to support the following equipment purchases: Tukwila Evidence Program Upgrade: $5,800, 'Tukwila Neighborhood Resource Center Workstations: $3,000, Crime Analysis Plotter: $2,800, Crisis Communication Utut Equipment: $2,900, Incident Command Vehicle Electronics Upgrade: $1,500, and PD Administrative Office Conferencing: $693 j B}rne Justice Assistant Grants Badget Nan ative Joint Application Page 2 of 2 i KENT Agenda Item: Consent Calendar — 7I TO: City Council DATE: May 21, 2013 SUBJECT: School Zone Traffic Safety Camera Ordinance — Adopt MOTION: Adopt Ordinance No. , amending Chapter 9.36 of the Kent City Code by adding the new Section 9.36.140 entitled, "School speed zone traffic safety cameras." SUMMARY: School speed zones are located in areas occupied by a high number of pedestrians, especially before, during and after school, and driver inattention and speeding can have devastating consequences. The strategic placement of automated traffic safety cameras at school zones has been shown to reduce vehicle speeds, thereby reducing the risks to pedestrians. RCW 46.63.170 authorizes local jurisdictions to use cameras to enforce speed limits in school speed zones. Pursuant to RCW 46.63.170, this ordinance establishes the City's use of the cameras in school speed zones, and sets forth the restrictions, public notice, and signage requirements, as well as the processing and procedural requirements for use of the cameras. The ordinance also establishes the fines for violations of school speed zones that are detected with cameras. As required by RCW 46.63.170, the City's Public Works Department performed an analysis of the school speed zones located at Horizon Elementary School, Meridian Elementary School, Millennium Elementary School, Neely O'Brien Elementary School, Springbrook Elementary School, and Sunrise Elementary School. A summary of the analysis of these school speed zones is attached to the ordinance as Exhibit A. Staff is recommending that, subject to an additional confirming analysis, cameras be located at Sunrise and Neely O'Brien Elementary Schools, and that locating cameras at other school zones be considered at a later date after the program is up and running. Funds derived from the use of the cameras will be used to cover the costs of administering the program. Excess funds will be used for criminal justice-related purposes. EXHIBITS: Ordinance with exhibit, document entitled School Speed Zone Traffic Safety Cameras — Information, and Cost/Revenue Analysis RECOMMENDED BY: Public Safety Committee BUDGET IMPACTS: Some revenue is anticipated ORDINANCE NO. AN ORDINANCE of the City Council of the city of Kent, Washington, amending Chapter 9.36 of the Kent City Code, entitled "Traffic Code" by adding a new section 9.36.140, entitled "School speed zone traffic safety cameras," authorizing use of automated traffic cameras to detect school speed zone violations; adopting the statutory standards and restrictions regarding use of automated traffic safety cameras; and setting the monetary penalty for infractions detected by an automated traffic safety camera. RECITALS A. School speed zones are located in areas occupied by a high number of pedestrians, especially before, during and after school, and driver inattention and speeding can have devastating consequences. B. The strategic placement of automated traffic safety cameras at school zones has been shown to reduce vehicle speeds, thereby reducing the risks to pedestrians. C. The city of Kent has numerous school zones that would benefit from the placement of automated traffic safety cameras. 1 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance D. RCW 46.63.170 authorizes local jurisdictions to use automated traffic safety cameras to enforce speed limits in school speed zones. E. Pursuant to RCW 46.63.170, this ordinance establishes the City's use of automated traffic safety cameras in school speed zones, and sets forth the restrictions, public notice, and signage requirements, as well as the processing and procedural requirements for use of the automated traffic safety cameras in school speed zones. F. As required by RCW 46.63.170, the City's Public Works Department performed an analysis of the school speed zones located at Horizon Elementary School, Meridian Elementary School, Millennium Elementary School, Neely O'Brien Elementary School, Springbrook Elementary School, and Sunrise Elementary School. A summary of the analysis of these school speed zones is attached hereto as Exhibit A. G. Funds derived from the use of automated traffic safety cameras in school speed zones shall be used to cover the costs of administering the program. Funds in excess of those used to cover the costs of administering the program shall be utilized for enforcement and processing of traffic and criminal laws in the city. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: 2 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance ORDINANCE SECTION 1. - Amendment. Chapter 9.36 of the Kent City Code, entitled "Traffic Code," is amended by adding a new section 9.36.140 entitled, "School speed zone traffic safety cameras," as follows: Sec. 9.36.140. School speed zone traffic safety cameras. A. Authorized Use of Automated Traffic Safety Cameras. Pursuant to the authority of RCW 46.63.170, the city is authorized to use automated traffic safety cameras and related automated systems in order to detect, record, and enforce and prosecute school speed zone violations. B. Limitation on Photos - Use of Photos. 1. Limitation on Photos. Automated traffic safety cameras may only take pictures of the vehicle and vehicle license plate and only while an infraction is occurring. The picture must not reveal the face of the driver or of passengers in the vehicle. 2. Use of Photos. Notwithstanding any other provision of law, all photographs, microphotographs, or electronic images prepared under this section are for the exclusive use of law enforcement in the discharge of duties under this section and are not open to the public and may not be used in a court in a pending action or proceeding unless the action or proceeding relates to a violation under this section. No photograph, microphotograph, or electronic image may be used for any purpose other than enforcement of violations under this section nor retained longer than necessary to enforce this section. 3 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance C. Infraction Processing — Responsibilities - Presumption. 1. In General. Infractions detected through the use of automated traffic safety cameras are not part of the registered owner's driving record under RCW 46.52.101 and 46.52.120. Additionally, infractions generated by the use of automated traffic safety cameras shall be processed in the same manner as parking infractions, including for the purposes of RCW 3.50.100, 35.20.220, 46.16A.120, and 46.20.270(3). 2. Notice of Infraction. A notice of infraction must be mailed to the registered owner of the vehicle within fourteen days of the violation, or to the renter of a vehicle within fourteen days of establishing the renter's name and address under subsection CA of this section. The law enforcement officer issuing the notice of infraction shall include with it a certificate or facsimile thereof, based upon inspection of photographs, microphotographs, or electronic images produced by an automated traffic safety camera, stating the facts supporting the notice of infraction. This certificate or facsimile is prima facie evidence of the facts contained in it and is admissible in a proceeding charging a violation under this section. Any citation or notice of infraction issued pursuant to this section may be initiated by electronic signature of the issuing police officer. The photographs, microphotographs, or electronic images evidencing the violation must be available for inspection and admission into evidence in a proceeding to adjudicate the liability for the infraction. A person receiving a notice of infraction based on evidence detected by an automated traffic safety camera may respond to the notice by mail. 3. Registered Owner Responsible — Rental Car Business. The registered owner of a vehicle is responsible for an infraction issued pursuant to this section unless the registered owner overcomes the presumption in subsection C.5 of this section, or, in the case of a rental 4 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance car business, satisfies the conditions under subsection CA of this section. If appropriate under the circumstances, a renter identified under subsection CA of this section is responsible for an infraction. 4. Rental Cars. If the registered owner of the vehicle is a rental car business, the law enforcement agency shall, before a notice of infraction is issued under this section, provide a written notice to the rental car business that a notice of infraction may be issued to the rental car business if the rental car business does not, within eighteen days of receiving the written notice, provide to the issuing agency by return mail: a. A statement under oath stating the name and known mailing address of the individual driving or renting the vehicle when the infraction occurred; or b. A statement under oath that the business is unable to determine who was driving or renting the vehicle at the time the infraction occurred because the vehicle was stolen at the time of the infraction. A statement provided under this subsection must be accompanied by a copy of a filed police report regarding the vehicle theft; or C. In lieu of identifying the vehicle operator, the rental car business may pay the applicable penalty. Timely mailing of the statements described in subsections C.4.a and C.4.b to the issuing law enforcement agency relieves a rental car business of any liability under this section for the notice of infraction. 5. Presumption. Pursuant to RCW 46.63.075, in a traffic infraction case involving an infraction detected through the use of an automated traffic safety camera under this section, proof that the 5 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance particular vehicle described in the notice of traffic infraction was in violation of a law enforced through the use of the automated traffic safety camera, together with proof that the person named in the notice of traffic infraction was at the time of the violation the registered owner of the vehicle, constitutes in evidence a prima facie presumption that the registered owner of the vehicle was the person in control of the vehicle at the point where, and for the time during which, the violation occurred. This presumption may be overcome only if the registered owner states, under oath, in a written statement to the court or in testimony before the court that the vehicle involved was, at the time, stolen or in the care, custody, or control of some person other than the registered owner. D. Infraction - Penalty. It shall be an infraction to exceed the posted speed limit in a school speed zone enforced through the use of an automated traffic safety camera. The penalty for an infraction committed in a school speed zone which is detected through the use of an automated traffic safety camera shall be $124.00; provided, the penalty shall be $248.00 for a violation in which the vehicle was operated at a speed of thirty (30) miles per hour or more. In addition to the fines provided herein, a violator may be assessed any costs and assessments as required or permitted by state law or court rule. E. Signs — Payment to Vendor — Alternative Enforcement. 1. School Zones Must be Signed. All locations where an automated traffic safety camera is used must be clearly marked at least thirty days prior to activation of the camera by placing signs in locations that clearly indicate to a driver that he or she is entering a zone where traffic laws are enforced by an automated traffic safety camera. 2. Payment Made to Vendor. The compensation paid by the city to the manufacturer or vendor of the automated traffic safety camera 6 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance equipment must be based only upon the value of the equipment and services provided or rendered in support of the system, and may not be based upon a portion of the fine or civil penalty imposed or the revenue generated by the equipment. 3. Alternative Enforcement. Nothing in this section prohibits a law enforcement officer from issuing a notice of traffic infraction to a person in control of a vehicle at the time a violation occurs pursuant to RCW 46.63.030(1)(a), (b), or (c). F. Use of Funds. Funds derived from the use of automated traffic safety cameras shall be used to pay the costs of administering the automated traffic safety camera program, including, but not limited to personnel costs, vendor costs, and equipment costs. Funds in excess of these costs may be used to fund personnel, programs, services and equipment related to the enforcement and processing of traffic and criminal laws within the city. G. Definition. For the purposes of this section, "automated traffic safety camera" means a device that uses a vehicle sensor installed to work in conjunction with an intersection traffic control system, a railroad grade crossing control system, or a speed measuring device, and a camera synchronized to automatically record one or more sequenced photographs, microphotographs, or electronic images of the rear of a motor vehicle at the time the vehicle fails to stop when facing a steady red traffic control signal or an activated railroad grade crossing control signal, or exceeds a speed limit in a school speed zone as detected by a speed measuring device. 7 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance SECTION 2, - Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; ordinance, section, or subsection numbering; or references to other local, state or federal laws, codes, rules, or regulations. SECTION 3, - SeverabilitY. If any one or more section, subsection, or sentence of this ordinance is held to be unconstitutional or invalid, that decision shall not affect the validity of the remaining portion of this ordinance and that remaining portion shall maintain its full force and effect. SECTION 4, - Effective Date. This ordinance shall take effect and be in force thirty (30) days after its passage and publication, as provided by law. SUZETTE COOKE, MAYOR ATTEST: RONALD F. MOORE, CITY CLERK APPROVED AS TO FORM: TOM BRUBAKER, CITY ATTORNEY 8 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance PASSED: day of 2013. APPROVED: day of 2013. PUBLISHED: day of 2013. I hereby certify that this is a true copy of Ordinance No. passed by the City Council of the City of Kent, Washington, and approved by the Mayor of the City of Kent as hereon indicated. (SEAL) RONALD F. MOORE, CITY CLERK 9 KCC 9.36.140 School Speed Zone Traffic Safety Cameras Ordinance uj � ( / £ 2 , y � ( \ \\ \ } / ( j G 0mcy k \\ 00 \ \ �) / > \ : _ ) o ) \ %k@ & m % @e m � A | ® 2 % § { \ � 2 § o � ) k \ �\ j tn U ZI \ D ` ^ ƒ � cy m� ( < , M � \y § \ / } LU \ J\ \E ) < / m 22 % y E 0E \ \� � G \ c $ \ ! \ E \ E \ F- 0 § 3E Er'j ! & \ E M'o \ _ § � 2 � 0)(0 0) 2.mcn � > � \ k : \ k : \ k � � � � § 3 { 3 { Lu Lu Lu C) / School Speed Zone Traffic Safety Cameras Information Introduction At the beginning of the 2012-2013 school year, the Kent School District contacted the City and requested implementation of a school speed zone traffic safety camera program to help ensure the safety of pedestrians navigating to and from schools. Since that time, the Police Department has been gathering information and meeting with various traffic safety camera vendors and City personnel, in addition to advising the Public Safety Committee on the options and process for implementing the program. The City contacted local jurisdictions that have utilized the school speed zone traffic safety cameras in an effort to gather as much information as possible to effectively evaluate the benefits of implementing this program in Kent. Program Purpose The purpose of the program is to reduce speeding in school speed zones thereby creating a safer environment for school-bound children. A recent City traffic analysis showed that when the school speed zones are active (i.e. when the lights on the 20 mph signs are flashing), as many as 83% of the drivers passing through the zone exceed the speed limit and as many as 32% drive 10 miles per hour or more over the speed limit. Studies have shown that injuries in car-versus- pedestrian accidents dramatically increase once vehicle speeds reach 25 mph, and fatalities dramatically increase when vehicle speed reach 30 mph. The Police Department consistently receives calls from the School District, parents and community members complaining about various safety issues surrounding the school speed zones, including speeding and near-misses in crosswalks. However, current Police Department staffing levels do not allow for a constant presence in the troubled school zones while also performing daily functions of the traffic patrol unit such as responding to city-wide complaints, collisions, and general traffic issues. The school speed zone traffic safety program should dramatically reduce instances of speeding in the school zones, while allowing the City to utilize its current traffic officer staffing at the same levels as it currently does. Program Explained Video and still images are captured. When electronic sensors detect a potential violation, cameras capture still and video photographs of the incident showing the vehicle from behind. The cameras only take pictures of the vehicle and vehicle license plate. Drivers are not photographed. A violation is a civil infraction assessed against the owner of the vehicle based on vehicle registration data. There is no need to identify the driver and therefore, no need to capture the image of the driver. Footage of violations is evaluated. The images are reviewed by vendor representatives, and then sent to the Police Department for further review. A Kent Police Officer reviews the footage and information to determination as to whether an infraction will be issued to the violator. Only a Police Officer has the authority to issue infractions. Not all violation events are cited and the benefit of the doubt is given to citizens. Tickets are sent by mail. If the citation is approved by a Police Officer, a Notice of Infraction is filed with the Kent Municipal Court and is mailed to the registered owner of the vehicle. This mailing includes still photographs showing the alleged infraction, and a website address where a video of the incident can be viewed. Tickets are treated as a parking infraction. These school speed zone infractions are treated as a parking infraction. Therefore, they do not affect the driver's driving record, and will not impact driver insurance rates. However, a driver who fails to respond to the infraction will not be permitted to register his or her vehicle until he or she pays the infraction. Contesting or mitigating the infraction. As with any other infraction, an infraction issued by the use of the school speed zone traffic cameras can be dealt with by a driver in a number of ways. The driver may pay the infraction, may contest or mitigate the infraction by mail or in court, or may file an affidavit swearing under penalty of perjury that he or she was not the driver and identifying who the driver was. How much is the fine? The ordinance provides that a violation of the speed zone speed limit results in a penalty of $124. However, if the driver exceeds the speed limit by 10 miles per hour, the fine is $248. While in fraction will be issued in every case in which speeds are 25 miles per hour or more, the Police Department will use discretion when determining whether to file an infraction for speeds between 20 and 25 miles per hour. How are the locations of the cameras determined? The schools recommended for placement of the cameras are those in which staff feels the greatest positive impact on safety will be achieved. Public Works staff performed an analysis of six school speed zones, including those located at or adjacent to: • Horizon Elementary • Meridian Elementary • Millennium Elementary • Neeley-O'Brien Elementary • Springbrook Elementary • Sunrise Elementary Based on this analysis, staff is recommending that speed zone cameras be located at Sunrise and Neeley-O'Brien Elementary Schools. This recommendation is based on a combination of traffic volume, percentage of speeding vehicles, and percentage of vehicles exceeding 30 miles per hour. A second study will be performed by the vendor to cross-check the work of the Public Works Department. What is the process for implementing the program? • Passage of an ordinance establishing the program. • Feasibility study performed by target vender at no cost to the City. • Contracting with a vendor to provide the equipment, installation, and services necessary to run the program. • Public Works review/approval of contractor proposal/design for physical installation of camera equipment — Issuance of permits. • Installation of the cameras by vendor. • Placement of warning signs in affected school zones. All locations where an automated traffic safety camera is used must be clearly marked at least 30 days prior to the issuance of infractions by placing signs in locations that clearly indicate to a driver that he or she is entering a zone where traffic laws are enforced using an automated traffic safety camera. • Community education process with vendor, Kent Police Department and Kent School District. • 30-day warning period. Once the cameras are operational, the program will be tested for a period of 30 days. During this 30-day period, drivers who exceed the speed limit will receive a notice warning them that they were exceeding the speed limit, and of the effective date of the program in which infractions will be issued. • Implementation of the program. How much will it cost to implement this program? The Police Department will contract with a vendor for automated traffic safety services that includes installation, operation, and maintenance of equipment at the locations identified. The vendor owns, maintains, and updates the equipment as needed, reviews footage of violations, forwards the images to the Police Department and mails the notices of infraction. The City will pay a monthly fee to the vendor; however, the penalties assessed from the violations are expected to cover the cost of the monthly fee. The contract with the vendor is for five years, and requires the City to pay $4750 for each camera. This cost is inclusive of all installation and maintenance costs, as well as infraction processing costs. The contract has financial protections for the City, including deferral and forgiveness of payment in the event the City's program does not collect enough infraction proceeds to cover the cost of the contract, and termination in the event legislation or court ruling makes the program illegal or impractical. The contract also allows the City to move the cameras, at City expense, to other locations if the desired level of safety is achieved at a particular school speed zone. Short-term impact to City resources. Public Works and Economic and Community Development will have some initial impacts caused by the planning and installation of the equipment, though the costs of installation are paid by the vendor. There will be ongoing impacts to the Police Department, Municipal Court, and Law Department (Prosecution Division). It is anticipated that initially, there will be a high volume of violations. However, it is anticipated that there will be a significant reduction in violations 6-12 months after implementation. The costs of these impacts are reflected in the attached "School safety Initiative — Estimated Annual Enforcement Costs and Revenue" document prepared by the Finance Department. Assessment of program after initial implementation. After one year, the Police Department, Municipal Court, and Law Department will evaluate the program and determine whether expansion of the program is appropriate. P:\Civil\Files\Open Files\1694-School Zone Traffic Safety Cameras\School Speed Zone Traffic Safety Cameras Inform ation.docx School Safety Initiative Estimated Annual Enforcement Costs and Revenue School Zone Cameras at Two Locations Based on 180 days per Year Police: Amount 20 Hours per month overtime for officer $ 16,171 4 Hours per month overtime for sergeant $ 3,861 Total Police $ 20,032 Municipal Court: Court Clerks,Judicial Costs $ 26,540 Law: 8 Hours per month for Prosecuter $ 4,764 4 Hours per month Legal Assistant $ 1,966 Total Law $ 6,730 ATS: Annual camera costs $ 96,700 Total Estimated Annual Costs $ 150,002 Estimated cost per day $ 833 Estimated Annual Revenue from Neely-Obrien and Sunrise: Current estimated daily volume Greater than 20 mph but less than 30 mph 1,214 Greater Than 30 mph 402 Estimated daily violations at 98% reduction Greater than 24 mph- $124 16 Greater Than 30 mph -$248 8 Estimated annual revenue Greater than 24 mph $ 357,120 Greater Than 30 mph $ 357,120 Total annual estimated revenue $ 714,240 Less: 20% Failure to respond $ (142,848) $ 571,392 Estimated revenue per day 3,174 KENT Agenda Item: Consent Calendar — 73 TO: City Council DATE: May 21, 2013 SUBJECT: American Traffic Solutions Contract - Authorize MOTION: Authorize the Mayor to enter into a five-year contract with American Traffic Solutions for school speed zone traffic safety cameras, subject to final terms and conditions acceptable to the City attorney and Police Chief. SUMMARY: School speed zones are located in areas occupied by a high number of pedestrians, especially before, during and after school, and driver inattention and speeding can have devastating consequences. The strategic placement of automated traffic safety cameras at school zones has been shown to reduce vehicle speeds, thereby reducing the risks to pedestrians. RCW 46.63.170 authorizes local jurisdictions to use cameras to enforce speed limits in school speed zones. Pursuant to RCW 46.63.170, an ordinance has been offered in support of the establishment of the City's use of the cameras in school speed zones. This ordinance sets forth the restrictions, public notice, and signage requirements, as well as the processing and procedural requirements for use of the cameras. The ordinance also establishes the fines for violations of school speed zones that are detected with cameras. The cameras that will be used in the school speed zones will be owned and maintained by a third party vendor. The cameras will video tape the rear of vehicles in violation of the speed limits when the school speed zones are activated. The vendor will process violations for review by a Kent police officer. The reviewing police officer will determine whether a violation has been committed. If the officer determines that a violation has been committed, the vendor will cause a notice of violation to be filed with the Kent Municipal Court, and will send a notice of violation to the registered owner of the vehicle. Violators will be able to review their infraction using a web-based interface that is owned and maintained by the vendor, and will be permitted to challenge the infraction as with any other infraction. In order to select a vendor, the City issued a request for proposal to the known vendors doing business in Washington as well as a vendor not doing business in Washington. The vendors made a presentation to staff members from the Police Department, Public Works Department, the Law Department, and the Municipal Court. Staff then selected for recommendation the vendor it felt could most responsibly meet the needs of the City at the most reasonable price. Based on the presentations, information provided, and pricing, staff is recommending that the City Council approve a contract with American Traffic Solutions (ATS) to provide the above described services. The contract with ATS is for five years, and requires the City to pay $4,750 for each camera. This cost is inclusive of all installation and maintenance costs, as well as infraction processing costs. The contract has financial protections for the City, including a deferral and forgiveness of payment in the event the City's program does not collect enough infraction proceeds to cover the cost of the contract, and termination in the event legislation or court ruling makes the program illegal or impractical. The contract also allows the City to move the cameras, at City expense, to other locations if the desired level of safety is achieved at a particular school speed zone. EXHIBITS: Contract RECOMMENDED BY: Public Safety Committee BUDGET IMPACTS: Program should cover cost of contract. STANDARD PROFESSIONAL SERVICES AGREEMENT This Standard Professional Services Agreement which includes the attached Exhibits (herein "Agreement") is made by and between American Traffic Solutions, Inc. (herein "ATS'), with its principal place of business at 7681 East Gray Road, Scottsdale, Arizona, and the City of Kent (herein "Customer"), a Washington State municipality (ATS and Customer individually, a "Party", and collectively, the "Parties"). This Agreement sets forth the terms, conditions and obligations of the Parties. WITNESSETH: WHEREAS, ATS has the exclusive knowledge, possession and ownership of certain equipment, licenses, and the processes (collectively referred to herein as the "AxsisTM System" or"Axsis"), and WHEREAS, CUSTOMER desires to use the Axsis System to monitor and enforce traffic violations and to issue citations for said traffic violations, The attached Exhibits include: Exhibit A..............SERVICE FEE SCHEDULE Exhibit B..............SCOPE OF WORK Exhibit C..............DESIGNATED LOCATIONS Exhibit D..............DMV SERVICES SUBSCRIBER AUTHORIZATION By signing below, the Parties agree to the terms and conditions of this Agreement together with the attached Exhibits. This Agreement contains the complete and exclusive statement of the agreement between the Parties relating to the matters referenced herein and replaces any prior oral or written representations or communications between the Parties. Each individual signing below represents that s/he has the requisite authority to execute this Agreement on behalf of the entity which s/he represents and that all the necessary formalities have been met. ACKNOWLEDGED AND AGREED TO BY: AMERICAN TRAFFIC SOLUTIONS, INC. CITY OF KENT, WASHINGTON By: By: B. Michael Bolton Date Name/Title Date Chief Operating Officer ATTEST: By: Name/Title Date This Agreement is effective on the date of execution by the last signatory to this cover page ("Effective Date"). STANDARD PROFESSIONAL SERVICES AGREEMENT.......................................................................... 1 I. DEFINITIONS....................................................................................................................................... 3 II. GENERAL TERMS AND CONDITIONS.............................................................................................. 3 1. ATS AGREES TO PROVIDE:.......................................................................................................3 2. CUSTOMER AGREES TO PROVIDE: .........................................................................................4 3. TERM: ...........................................................................................................................................4 4. ASSIGNMENT:..............................................................................................................................4 5. FEES AND PAYMENT:.................................................................................................................4 6. SITE SELECTION ANALYSIS: .....................................................................................................5 7. COMMUNICATION OF INFORMATION:......................................................................................5 8. CONFIDENTIAL INFORMATION:.................................................................................................5 9. OWNERSHIP OF SYSTEM: .........................................................................................................5 10. INDEMNIFICATION AND INSURANCE: ......................................................................................5 11. STATE LAW TO APPLY: ..............................................................................................................6 12. DISPUTE RESOLUTION: .............................................................................................................7 13. CHANGE ORDERS: .....................................................................................................................7 14. TERMINATION:.............................................................................................................................7 15. AMENDMENTS TO THE AGREEMENT: .....................................................................................8 16. LEGAL CONSTRUCTION:............................................................................................................8 17. PRIOR AGREEMENT SUSPENDED:...........................................................................................8 18. NO AGENCY:................................................................................................................................9 19. FORCE MAJEURE: ......................................................................................................................9 20. TAXES:..........................................................................................................................................9 21. NOTICES: .....................................................................................................................................9 EXHIBITA................................................................................................................................................... 10 SERVICE FEE SCHEDULE ...................................................................................................................10 EXHIBITB................................................................................................................................................... 11 SCOPEOF WORK.................................................................................................................................11 1. ATS SCOPE OF WORK .........................................................................................................11 2. CUSTOMER SCOPE OF WORK............................................................................................13 EXHIBITD................................................................................................................................................... 16 DMV SERVICES SUBSCRIBER AUTHORIZATION..............................................................................16 Confidential Page 2 of 16 5/14/2013 8:55 PM City of Kent,Washington I. DEFINITIONS As used in this Agreement, the following words and terms shall, unless the context otherwise requires, have the respective meanings provided below: 1. "Business Hours": Eight (8) hours per day, Monday through Friday, excluding weekends and holidays. 2. "Camera System" or "Camera': A photo-traffic monitoring device consisting of one (1) rear camera, strobe, and traffic monitoring device capable of accurately detecting a traffic infraction on up to four (4) contiguous lanes which records such data with one (1) or more images of such vehicle. "Camera System' shall, where the context requires, also include any enclosure or cabinet and related appurtenances in which the equipment is stationed. 3. "Change Order Notice": Written notice from Customer requesting changes to the work required to be performed or the addition of products or services to those required to the terms of this Agreement, setting forth in reasonable detail the proposed changes. 4. "Change Order Proposal': A written statement from ATS describing the cost of the changes to the work or addition of products or services requested by Customer in a Change Order Notice. 5. "Citation": A citation or notice of violation or equivalent instrument issued by a competent state, county or municipal law enforcement agent or agency or by a court of competent jurisdiction relating to a violation documented or evidenced by Axsis. 6. "Designated Location or Location": One (1) direction of travel on a road or a traffic intersection, including up to four (4) contiguous lanes. 7. "Eligible Cameras": Cameras for which ATS has been billing Customer for a minimum period of twelve (12) months. 8. "Fees' The amount payable by Customer to ATS for equipment, services, and maintenance as set forth in Exhibit"A". 9. "Notice to Proceed': Written confirmation from Customer that ATS may proceed with the installation of a given Camera System. 10. "Owner": The owner(s) of a motor vehicle as shown by the motor vehicle registration records of the motor vehicle department or the analogous agency of another state or country. 11. "Person" or "Persons': Any individual, partnership, joint venture, corporation, trust, unincorporated association, governmental authority or political subdivision thereof or any other form of entity. 12. "Project Time Line' The initial schedule and timelines required to begin the implementation of Customer's project, as mutually agreed upon by the Parties. 13. "Start Date": The first day of the month following the date on which the first Citation is issued from the last camera installed under this Agreement, notwithstanding any Change Order Notices. 14. "Violation": A failure to obey an applicable traffic law or regulation, including, without limitation, operating a motor vehicle in excess of the posted speed limit. II. GENERAL TERMS AND CONDITIONS 1. ATS AGREES TO PROVIDE: The scope of work identified in Exhibit B Section 1. Confidential Page 3 of 16 5/14/2013 8:55 PM City of Kent,Washington 2. CUSTOMER AGREES TO PROVIDE: The scope of work identified in Exhibit"B, Section 2. 3. TERM: This Agreement shall commence upon the Effective Date and shall continue for a term of five (5) years beginning on the first day of the month following the first issued Citation from the last installed Camera System in the first set of approved Camera Systems to be installed ("the Start Date"). The City may, at its option, extend this Agreement for subsequent five (5) year terms by providing written notice of its intent to renew at least thirty (30) days prior to the expiration of the then-current term. 4. ASSIGNMENT: Neither Party may assign all or any portion of this Agreement without the prior written consent of the other, which consent shall not be unreasonably withheld or delayed. However, for business financing purposes, ATS may sell, assign, transfer or convey any interest in this Agreement in whole or in part without the written consent of the Customer. 5. FEES AND PAYMENT: Customer shall pay for all equipment, services and maintenance based on the fee schedule indicated in the Exhibit"A", Service Fee Schedule 1.0. 5.1 Customer shall pay all Fees due ATS based upon invoices from the preceding month within thirty (30) days of submission. Late payments are subject to interest calculated at 1.5% per month on open balances. If Customer is more than sixty (60) days past due on payments to ATS, ATS may, in its sole discretion, either (i) withhold all transfers/sweeps of violation payments to Customer until Customer becomes current on its payments or (ii) pursuant to section 3.1(ii) of this Agreement, terminate for cause for non-payment of Service Fees by Customer, provided, that termination shall not occur in the event the Customer is providing ATS with funds collected pursuant to section 5.2. 5.2 Flexible Payment Plan. During the term of the Agreement, payments by the Customer may be made to ATS under a Flexible Payment Plan if the total funds collected by the Program are insufficient to cover the Fees due ATS. Under the Flexible Payment Plan, the Customer may defer certain payments due and owing to ATS during the term of the Agreement. If at the end of the term sufficient funds have not been collected by the Customer to pay the accrued balance then due to ATS, ATS agrees to waive its right to recovery with respect to any balance owing to ATS at the end of that term. This Flexible Payment Plan will be applied as follows: ATS will maintain an accounting of any net balances owed ATS each month during the term. If the total amount of funds collected from all Camera Systems combined during a month exceeds the amount of the ATS invoice for the same month, the Customer shall pay ATS the total amount due on the invoice. If the total amount of funds collected from all Camera Systems combined during a month is less than the amount of the ATS invoice for the same month, the Customer shall pay ATS only the amount collected during the same month and Customer may defer payment of the remaining balance. If opting to use a Flexible Payment Plan, Customer will provide ATS with sufficient information about payments received directly by the Customer or by the Courts to accurately determine the amount of funds collected. Payments due ATS shall be reconciled by applying funds collected in subsequent months, first to the accrued balance and then to the subsequent monthly invoice. If at any time the ATS invoices, including any accrued balance, are fully repaid, the Customer will retain all additional funds collected. Such additional funds (whether reserved in cash or not by the Customer) will be available to offset future ATS invoices during the term of the Agreement. Customer agrees and understands the Flexible Payment Plan shall be applied in the aggregate across all installed Camera Systems and will not be applied on a per camera basis or on a per month basis. Confidential Page 4 of 16 5/14/2013 8:55 PM City of Kent,Washington Example: Fee of$4,750 per Camera System per month and four (4) cameras installed. If during Month 1 camera #1 revenue is $5,000, camera #2 revenue is $3,500, camera #3 revenue is $6,000 and camera #4 revenue is $3,500, the total revenue from the cameras for the month is $18,000. ATS would invoice Customer for $19,000 ($4,750 x 4 Camera Systems). However, Customer would only be required to pay $18,000 in Month 1 and the $1,000 deficit would carry over to subsequent months. If in Month 2 the combined revenue from the 4 cameras was $28,000, ATS would invoice the Customer $20,000 (i.e., the $1,000 deficit from the prior month plus the $19,000 monthly fee for the 4 Camera Systems). The Customer is not responsible for any deficit balance fee at the end of the term of the Agreement. 6. SITE SELECTION ANALYSIS: Prior to performing work to install a camera system at a location or implementing the Axsis System, and at no cost to the Customer, ATS shall conduct an analysis of each site being considered for a Camera System. For any site recommended by the Customer, and subject to prior approval by the Customer, ATS may install a Camera System if a constructability analysis concludes an installation is feasible. ATS makes no representations or warranties that any violation rate estimates will be predictive of actual future traffic violation rates. If the Customer requests that ATS move a Camera System to a new Approach after initial installation, the Customer shall pay for the costs to relocate the Camera System. 7. COMMUNICATION OF INFORMATION: ATS will comply with reasonable requests for information obtained by ATS through operation of the Axsis System. ATS reserves the right to assess a fee for such services. 8. CONFIDENTIAL INFORMATION: No information given by ATS to Customer will be of a confidential nature, unless specifically designated in writing as proprietary and confidential by ATS. However, nothing in this paragraph shall be construed contrary to the terms and provisions of any "Open Records Act' or similar laws, insofar as they may be applicable. 9. OWNERSHIP OF SYSTEM: It is understood by the Customer that the System being installed by ATS is, and shall remain, the sole property of ATS, unless separately procured from ATS through a lease or purchase transaction. The System is being provided to Customer only under the terms and for the term of this Agreement. 10. INDEMNIFICATION AND INSURANCE: 10.1 Indemnification by ATS. Subject to Section 10.3, ATS agrees to indemnify the Customer and its managers, officers, directors, employees, agents, representatives and successors (individually a "Customer Party" and collectively, the "Customer Parties") against all liabilities, obligations, losses, damages, penalties and judgments (collectively, "Losses"), which may be imposed on or incurred by any Customer Party arising out of or related to the gross negligence or willful misconduct of ATS, its employees or agents which result in death or bodily injury to any natural person (including third parties) or any damage to any real or tangible personal property (including the personal property of third parties), except to the extent caused by the gross negligence or willful misconduct of any Customer Party. 10.2 Indemnification by Customer. Subject to Section 10.3, the Customer hereby agrees to indemnify ATS and its affiliates, shareholders or other interest holders, managers, officers, directors, employees, agents, representatives and successors, permitted assignees and all Persons acting by, through, under or in concert with them (individually an "ATS Party" and collectively, the "ATS Parties") against any and all Losses which may be imposed on or incurred by any ATS Party arising out of or related to the gross negligence or willful misconduct of the Customer, its employees, contractors or agents which result in death or bodily injury to any natural person (including third parties) or any damage to any real or tangible personal property (including the personal property of third parties), except (i) to the extent caused by the gross negligence or Confidential Page 5 of 16 5/14/2013 8:55 PM City of Kent,Washington willful misconduct of ATS, (ii) any claim, action or demand (a "Claim") caused by ATS' failure to perform its obligations under this Agreement, (iii) any Claim challenging the Customer's use of the Axsis System, or any portion thereof, (iv) any Claim challenging the validity of the results of the Customer's use of the Axsis System, or any portion thereof, or (v) any Claim challenging the validity of the Citations issued, prosecuted and collected as a result of the Customer's use of the Axsis System, or any portion thereof. 10.3 Indemnification Procedures. In the event of any Claim in respect of which any Party hereto seeks indemnification from the other, the Party seeking indemnification (the "Indemnified Party") shall give the Party from whom indemnification is sought (the "Indemnifying Party") written notice of such Claim promptly after the Indemnified Party first becomes aware thereof, provided, however, that failure to give such notice shall not preclude indemnification with respect to such Claim except to the extent of any additional or increased Losses or other actual prejudice directly caused by such failure. The Indemnifying Party and the Indemnified Party shall cooperate in the defense or settlement of any Claim and no Party shall have the right to enter into any settlement agreement that materially affects the other Party's material rights or material interests without such Party's prior written consent, which consent shall not be unreasonably withheld or delayed. 10.4 Insurance. ATS shall maintain the following minimum scope and limits of insurance: 10.4.1 Commercial General Liability Insurance including coverage for bodily injury, property damage, premises and operations, products/completed operations, personal and advertising injury, and contractual liability with a combined single limit of $1,000,000 per occurrence. 10.4.2 Workers' Compensation as required by applicable state law, and Employer's Liability Insurance with limits of not less than $500,000 each accident. ATS shall at all times maintain Worker's Compensation insurance coverage in the amounts required by law, but shall not be required to provide such coverage for any actual or statutory employee of Customer. 10.4.3 Comprehensive Business Automobile Liability Insurance for all owned, non-owned and hired automobiles and other vehicles used by ATS with a minimum $1,000,000 per occurrence combined single limit bodily injury and property damage. 10.4.4 The Customer and its officers and employees, shall be named as additional insured on the comprehensive general liability policies provided by ATS under this Agreement. ATS shall require any subcontractors doing work under this Agreement to provide and maintain the same insurance, which insurance shall also name the Customer and its officers, employees, and authorized volunteers as additional insureds. 10.4.5 Certificates showing ATS is carrying the above described insurance, and evidencing the additional insured status specified above, shall be furnished to the Customer within thirty (30) calendar days after the Effective Date of this Agreement. Such certificates shall show that the Customer will be notified in accordance with the policy language relating to cancellations of such insurance policies. ATS shall forthwith obtain substitute insurance in the event of a cancellation. 10.4.6 The Customer shall be responsible for vehicle insurance coverage on any vehicles driven by Customer employees. Coverage will include liability and collision damage. 10.5 Limited Liability. Notwithstanding anything to the contrary in this Agreement, neither Party shall be liable to the other, by reason of any representation or express or implied warranty, condition or other term or any duty at common or civil law, for any indirect, incidental, special, lost profits or consequential damages, however caused and on any theory of liability, arising out of or relating to this Agreement. 11. STATE LAW TO APPLY: This Agreement shall be construed under and in accordance with the laws of the State of Washington. Confidential Page 6 of 16 5/14/2013 8:55 PM City of Kent,Washington 12. DISPUTE RESOLUTION: All disputes shall be resolved within the jurisdiction of the state of Washington. Each Party shall be solely responsible for its own costs and attorney's fees in resolving disputes. Each party waives the right to a jury trial. The Parties may utilize mediation and or arbitration to resolve conflicts by mutual written agreement. 13. CHANGE ORDERS: The Customer may from time to time request changes to the work required to be performed or the addition of products or services to those required to the terms of this Agreement by providing a Change Order Notice". Upon ATS' receipt of a Change Order Notice, ATS shall deliver a written statement describing the cost, if any (the "Change Order Proposal"). Following the Customer's receipt of the Change Order Proposal, the Parties shall negotiate in good faith and agree to a plan and schedule for implementation of the proposed changes, the time, manner and amount of payment or price increases or decreases, as the case may be, and any other matters relating to the proposed changes. In the event that any proposed change involves only the addition of equipment or services to the existing locations or the addition of new sites to be covered by the terms of this Agreement, to the maximum extent applicable, the pricing terms set forth in Exhibit A shall govern. Any failure of the Parties to reach agreement with respect to any of the foregoing as a result of any proposed changes shall not be deemed to be a breach of this Agreement, and any disagreement shall be resolved in accordance with Section 12 ("Dispute Resolution") of this Agreement. Such Change Order shall not invalidate the procurement process or this Agreement nor relieve or release ATS or the Customer of any of its obligations under this Agreement unless stated therein. 14. TERMINATION: 14.1 ATS' services may be terminated: (i) By mutual written consent of the Parties, or (ii) By the failure of either Party to meet its obligations under this Agreement, provided that the Party failing to meet its obligations shall have up to 30 calendar days to cure the failure, and provided further, that in the event ATS fails to meet its obligations under this Agreement, the Customer shall be relieved of payment for the services of ATS during the time of failure. (iii) For Legal Reasons, by either Party in the event the Customer's use of speed cameras is rendered unlawful or impractical pursuant to applicable state or federal law and after the exhaustion of all reasonable legal action by the Customer and ATS seeking to overturn the court order or state or federal legislation that rendered the use of cameras unlawful or impractical. However, the Customer shall have no obligation to pay ATS a fee for any period when it is unlawful or impractical to issue Citations, unless a Court places a stay of implementation on the legal action or new law. The term of the Agreement shall be suspended during any period in which the Customer is not obligated to pay ATS and such time period shall be added to the term of the Agreement once it becomes lawful or practical for the Customer to issue Citations. In the event of termination pursuant to this subsection 14.1(iii), the Parties shall take the following actions set forth in Subsection 14.2 below, which survive termination during the wind-down period. This subsection 14.1(iii) shall not apply to this Agreement or any Camera Systems grandfathered under state or federal legislation. For the purposes of this section, "impractical" includes but is not limited to an instance in which court or legislative action makes the use of the equipment and services provided in this Agreement less than cost neutral for the Customer after taking into consideration the total cost to the Customer of utilizing the equipment and services of ATS. (iv) In the event that ATS is unable to directly file infractions into Washington's Judicial Information Services (JIS). (v) In the event of Termination by ATS under this subsection for breach by Customer, Customer shall reimburse ATS' documented unrecoverable costs of installation and equipment.. Confidential Page 7 of 16 5/14/2013 8:55 PM City of Kent,Washington 14.2 Upon termination of this Agreement, either for cause, except for termination by ATS for non- payment, or because it has reached the end of its term, the Parties recognize that the Customer will have to process Violations in the "pipeline", and that ATS accordingly must assist the Customer in this regard. Accordingly, the Parties shall take the following actions and shall have the following obligations, which survive termination during the wind-down period: (i) The Customer shall cease using the Axsis System to capture Violations. (ii) Unless it is unlawful to do so, ATS shall, for a period of ninety (90) days, continue to process all images taken by the Customer before termination and provide all services associated with processing in accordance with this Agreement and shall be entitled to its monthly fees. (iii) The Customer shall return or allow ATS to recover all provided equipment within a reasonable time not to exceed ninety (90) days. (iv) If ATS recovers the provided equipment, ATS shall remove any and all equipment or other materials ATS installed in connection with ATS' performance of its obligations under this Agreement, at no cost to the Customer, including but not limited to housings, poles and Camera Systems. ATS shall restore the surface of Customer's property to substantially the same condition as such property was in immediately prior to this Agreement, except for foundation removal, which shall be left approximately flush with grade with no exposed bolts, or other hazards. Installed underground conduit and other equipment shall not be required to be removed. However, if this Agreement is terminated for cause by ATS then Customer shall pay ATS the costs of removal and Customer shall be responsible for restoring the Camera System site. 14.3 In the event of termination by ATS for non-payment of Service Fees by Customer, ATS shall cease processing violations as of the date of termination. 15. AMENDMENTS TO THE AGREEMENT: The Parties may from time to time consider it in their best interest to modify or extend terms, conditions or covenants of this Agreement, require modifications in the Scope of Services to be performed, or request the performance of additional services regardless of and without invalidating the process that was used to procure the services enumerated under this Agreement. If modifications result in additional costs to Customer, ATS will provide a written estimate of such. Any such addition, deletion, extension or modification, including any increase or decrease in the amount of ATS' compensation, which are mutually agreed upon by and between the Customer and ATS shall be incorporated in written amendments (herein "Amendments") to this Agreement. Such Amendments shall not invalidate the procurement process or this Agreement nor relieve or release ATS or the Customer of any of its obligations under this Agreement unless stated therein. 16. LEGAL CONSTRUCTION: In case any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision thereof and this Agreement shall be construed as if such invalid, illegal, or unenforceable provision had not been contained herein. This Agreement shall be enforced to the maximum extent possible so as to give effect to the intent of the Parties and shall be reformed without further action by the Parties to the extent necessary to make such provision valid and enforceable herein. 17. PRIOR AGREEMENT SUSPENDED: This Agreement constitutes the sole and only agreement of the Parties and supersedes any prior understanding, written or oral, between the Parties respecting the written subject matter. Confidential Page 8 of 16 5/14/2013 8:55 PM City of Kent,Washington 18. NO AGENCY: ATS is an independent contractor providing services to the Customer and the employees, agents and servants of ATS shall in no event be considered to be the employees, agents or servants of the Customer. This Agreement is not intended to create an agency relationship between ATS and Customer. 19. FORCE MAJEURE: Neither Party will be liable to the other or be deemed to be in breach of this Agreement for any failure or delay in rendering performance arising out of causes beyond its reasonable control and without its fault or negligence. Such causes may include but are not limited to, acts of God or the public enemy, terrorism, significant fires, floods, earthquakes, epidemics, quarantine restrictions, strikes, freight embargoes, or unusually severe weather. The Party whose performance is affected agrees to notify the other promptly of the existence and nature of any delay. 20. TAXES: At the time of execution of this Agreement, it is the understanding of the Parties that ATS' services provided hereunder are not subject to federal, state or local taxes including but not limited to excise, sales, use, property or similar taxes or charges. The Customer agrees to reimburse ATS for any such tax or charge if charged against ATS. If incurred, such taxes or charges may be invoiced at any time. 21. NOTICES: Any notices or demand which, under the terms of this Agreement or under any statute, must or may be given or made by ATS or Customer shall be in writing and shall be given or made by personal service, telegram, first class mail, FedEx, or by certified or registered mail to the Parties at the following address: City of Kent, Washington American Traffic Solutions, Inc. 220 Fourth Avenue S 1330 West Southern Avenue Kent, Washington 98032 Tempe, Arizona 85282 Attn: City Attorney Attn: Legal Department Confidential Page 9 of 16 5/14/2013 8:55 PM City of Kent,Washington EXHIBIT A SERVICE FEE SCHEDULE 1.0 Description of Pricing Fee Fee is per Camera System per month as follows: Service Fees: Service Fee includes all costs required and associated with one $4,750 rear-only Camera System installation, maintenance, and on-going field and back- office operations. Includes speed safety camera equipment for a 4-lane location, installation, maintenance, violation processing services, DMV records access, First Class mailing of notice of violation with return envelope, mailing of second notice (as needed), lockbox and e-payment processing services, excluding user convenience fee, IVR call center support for general program questions and public awareness program support. The fee specified herein ($4,750) shall be paid on a monthly basis as provided in the Agreement, provided, there shall be no fee for the months of July and August of each year, and the fee shall be reduced by one-third for the month of December. 2.0 Optional Collection Services: ATS may initiate collection efforts of delinquent notices upon written request by Customer, so long as collection of said recovered revenue amounts does not conflict with State Law. ATS will be entitled to receive portions of the collected revenue as noted below. The maximum is 30% total for both pre-collection and collection. For those accounts in default that go to collection, this is in addition to our Fees noted above. Pre-Collection Letters 10% of Recovered Revenue Delinquent Collections Services 30% of Recovered Revenue In the event that Customer elects to have ATS provide collections services, Customer shall so notify ATS in writing. Customer agrees that, once ATS' collections services are elected, Customer may not utilize another vendor for these collections services without prior written consent from ATS through an amendment to this Agreement. 3.0 Optional Annual Training Conference: ATS provides a comprehensive user training conference (the "Conference") for active photo traffic safety and enforcement clients. The Conference's main focus is training of the system. Core elements include training on implementation methods and improvements, operational monitoring and improvements, statistical analysis, public relations and technology assessment. The sessions include participation by industry members, industry speakers and panel discussions. The Conference will be held in the Phoenix Metropolitan area. Customer shall be invoiced $100 per month per attendee and can assign up to three (3) project team members to attend the Conference each year. The $1,200 fee per attendee will cover travel, accommodations and all related Conference fees. 4.0 Optional Public Relations Services: ATS may provide additional public relations services upon written request by Customer. These services may include advertising, media relations, and public relations consultants. The fee for such services shall be mutually agreed upon based on the scope of the public relations services to be provided. 5.0 Banking Fees: ATS may provide lockbox, e-payment, or other financial services. The fee for such services shall be mutually agreed upon based on the scope of the services to be provided. Confidential Page 10 of 16 5/14/2013 8:55 PM City of Kent,Washington EXHIBIT B SCOPE OF WORK 1. ATS SCOPE OF WORK 1.1 ATS IMPLEMENTATION 1.1.1 ATS will furnish a safety camera system to allow for the enforcement of speeding violations at various locations. The fixed speed camera system shall consist of a single camera system covering at least four (4) lanes in two (2) directions of travel. The Customer shall be responsible for moving the camera system from one location to another. If the Customer requires the camera system to be installed in a vehicle, the vehicle must conform to ATS installation requirements and be installed by an ATS approved installer. Customer shall be responsible for providing the vehicle. The vehicle shall be titled and remain the property of the Customer and the camera equipment will remain the property of ATS. The Customer will be responsible for fuel as well as routine maintenance (such as oil changes, tire replacement, etc.) and routine service on the vehicle itself, provided however that ATS will repair, maintain, service and replace as necessary all camera equipment on the vehicle. The Customer will add the vehicle and the equipment contained therein to its fleet insurance and general liability policies. 1.1.2 The Customer and ATS will complete the Project Time Line within thirty (30) days of Agreement execution date, unless mutually agreed to otherwise by the Parties. ATS agrees to make every effort to adhere to the Project Time Line. 1.1.3 Client will enforce speed violations using ATS Camera System(s) at a number of locations to be mutually agreed upon between ATS and the Customer after completion of Speed Site Selection Analysis, In addition to any initial Locations, the Parties may agree to add to the quantities and Locations where Camera System(s) are installed and maintained. 1.1.4 ATS' in-house Communications Department will assist the Customer with public information content and outreach campaign strategies. Depending upon the mutually agreed-upon strategy, ATS may provide public relations consultants, advertising, or media relations for an additional fee as described in Exhibit A, Service Fee Schedule. 1.1.5 ATS agrees to provide a secure website (www.violationinfo.com) accessible to Owners who have received Notices of Violation by means of a Notice # and PIN, which will allow Violation image and video viewing. As part of the secure website, ATS will provide a Frequently Asked Questions (F.A.Q.) page. ATS will operate this secure website on a 24- hour basis, barring downtime for maintenance, normal servicing activities, or other unforeseen instances (i.e., acts of God, etc.). 1.1.6 ATS will provide technician site visits to each Camera System, as needed to perform preventive maintenance checks consisting of camera enclosure lens cleaning, camera, strobe and controller enclosure cleaning, inspection of exposed wires, and, general system inspections and maintenance. 1.1.7 ATS shall take reasonable best efforts to repair a non-functional Camera System within seventy-two (72) business hours of determination of a malfunction, except for those causes of Force Majeure as outlined in Section 18 in the General Terms and Conditions of this Agreement. 1.1.8 For any customer using ATS lockbox or epayment services, ATS will establish a dedicated demand deposit account. If Customer is more than sixty (60) days past due on payments to ATS, ATS may withhold all transfers/sweeps of violation payments to Customer until Customer becomes current on its payments. One time setup, monthly merchant account servicing costs and nonsufficient funds fees shall be billed through to the Customer monthly. Confidential Pagel 1 of 16 5/14/2013 8:55 PM City of Kent,Washington 1.1.9 ATS is authorized to charge, collect and retain a convenience fee of $4.00 for each electronic payment processed. Such fee is paid by the violator. 1.2 ATS OPERATIONS 1.2.1 If a warning period is required, ATS shall provide the Customer with a one-time warning period up to thirty (30) days in length following the installation and activation of the first installed Camera System in a particular school zone. Customer shall not be charged a fee for the warning period, however for any warning period exceeding thirty (30) days the Customer shall be responsible for the normal monthly Service Fee. 1.2.2 ATS shall provide the Customer with an automated web-based Citation processing system (Axsis) including image processing, first notice printing and mailing of Citation or notice of violation per chargeable event and a mailing of a text only reminder notice, a hearing scheduled letter, a hearing denied letter, an insufficient information letter, and a dismiss letter. Each Citation or notice of violation shall be delivered by First Class mail to the Owner within the statutory period. In the case of a transfer of liability by the Owner, ATS may also mail a Citation or notice of violation to the driver identified in the affidavit of non-liability or by rental car companies. Costs of certified mailings are priced separately and paid by the Customer for additional compensation to ATS as agreed upon by the Parties. 1.2.3 Subsequent notices, other than those specified in subsection 1.2.2 may be delivered by First Class or other mail means for additional compensation to ATS as agreed upon by the Parties. 1.2.4 ATS shall apply an electronic signature to the Citation when authorized to do so by an approving law enforcement officer. 1.2.5 ATS shall seek records from out-of-state vehicle registration databases and use such records to issue Notices of Violation for the Customer according to each pricing option. ATS assumes this responsibility as a named Customer's agent by signing of DMV Services Subscriber Authorization found in Exhibit D of this Agreement. ATS reserves the right to mail Notices of Violation to the address of the Owner obtained through the DMV, obtained through the National Change of Address (NCOA) database provided by the United States Postal Service, or obtained through other means including but not limited to skip tracing. 1.2.6 If Customer is unable to or does not desire to integrate ATS data to its adjudication system, ATS shall provide one on-line adjudication processing module, which will enable the adjudication function to review cases, related images, up to six (6) correspondences, and other related information required to adjudicate the disputed Violation. The system will also enable the Court staff to accept and account for payments. Any costs charged by a third party vendor related to the provision of ATS data to the adjudication system are the responsibility of the Customer. 1.2.7 The Axsis System shall provide the Customer with the ability to run and print standard system reports. For any reports not readily available from the Axsis System, ATS shall provide a cost estimate to the Customer for providing such services. 1.2.8 Upon ATS' receipt of a written request from the Customer at least fourteen (14) calendar days in advance of a court proceeding, and if required by the Court or prosecutor, ATS shall provide the Customer with or train a local expert witness to testify in Court on matters relating to the accuracy, technical operations, and effectiveness of the Axsis System until judicial notice is taken. Customer shall use its best efforts to obtain judicial notice as soon as possible. ATS shall provide the Customer with radar certifications, if applicable, or other any other required equipment certifications, in order to establish the admissibility of speed determinations Confidential Page 12 of 16 5/14/2013 8:55 PM City of Kent,Washington prior to the date each radar is operated, and upon the recertification of any radar equipment. 1.2.9 In those instances where damage to a Camera System (or sensors where approved) is caused by (i) negligence on the part of ATS or its authorized agent(s), (ii) negligence or recklessness on the part of a driver or other person (except for City employees), (iii) vandalism, or (iv) severe weather or acts of God, ATS shall bear the cost of repair. For all other causes of damage, Customer shall reimburse ATS for the cost of repair. 1.2.10 ATS shall provide a help-line to assist the Customer with resolving any problems encountered regarding its Camera System and/or Citation processing. The help-line shall function during normal business hours. 1.2.11 As part of its Camera System, ATS shall provide violators with the ability to view Violations online. This online viewing system shall include a link to the ATS payment website(s) and may offer the opportunity to download an affidavit of non-liability online. Online obtained affidavits, if approved by the Court, may be directed to and processed by ATS and communicated to the Court via the Axsis transfer described above. 1.2.12 For video retrievals requested by Customer unrelated to enforcement of a Violation, including but not limited to investigation of a criminal matter, ATS will provide up to 2 video retrievals per month at no cost to Customer. For each additional video retrieval, Customer shall pay a fee, pursuant to Exhibit A("Video Retrieval Fee"). 2. CUSTOMER SCOPE OF WORK 2.1 GENERAL IMPLEMENTATION REQUIREMENTS 2.1.1 Within seven (7) business days of the Effective Date of this Agreement the Customer shall provide ATS with the name, title, mailing address, email address and phone number of: o a project manager with authority to coordinate Customer responsibilities under this Agreement o Municipal Court manager responsible for oversight of all Court-related program requirements o The Police contact o The Court contact o The person responsible for overseeing payments by violators (might be court) o The Prosecuting Attorney o The City Attorney o The Finance contact (who gets the invoices and will be in charge of reconciliation) o The IT person for the police o The IT person for the courts o The Public Works and/or Engineering contact responsible for issuing any/all permits for construction 2.1.2 Within seven (7) business days of the Effective Date of this Agreement, the Customer shall provide ATS with the name and contact information for a Municipal Court manager responsible for oversight of all Court-related program requirements. 2.1.3 The Customer and ATS shall complete the Project Time Line within thirty (30) calendar days of the Effective Date of this Agreement, unless mutually agreed to otherwise by the Parties. The Customer shall make every effort to adhere to the Project Time Line. 2.1.4 The Customer shall direct the Chief of Police or approved alternate to execute the ATS DMV Services Subscriber Authorization (Exhibit D) to provide verification to the State Department of Motor Vehicles, National Law Enforcement Telecommunications System, or appropriate authority indicating that ATS is acting on behalf of the Customer for the Confidential Page 13 of 16 5/14/2013 8:55 PM City of Kent,Washington purposes of accessing vehicle ownership data pursuant to the list of permissible uses delineated in the Drivers Privacy Protection Act 18 U.S.C. 2721, Section (b) (1) and as may otherwise be provided or required by any provision of applicable state law. 2.1.5 The Customer is responsible for notifying ATS of any ordinance changes in writing within forty-eight (48) hours of the first read of the proposed ordinance. ATS will not be responsible for any damages if not notified within the required time. 2.1.6 The Customer is responsible for all final jurisdictional issues. 2.1.7 Once a Notice to Proceed is granted to ATS in writing or by email, the Customer shall not issue a stop work order to suspend activity on the implementation process, unless Customer reimburses ATS for costs incurred up to the date the stop work order is issued. 2.1.8 Customer will design, fabricate, install and maintain photo enforcement warning signs. If Customer cannot provide such signage, ATS will do so and Customer shall reimburse ATS for such costs. 2.1.9 If Customer does not provide payment processing services, Customer shall use ATS payment processing services. The fees for Iockbox and epayment services are presented in Exhibit A. 2.1.10 Customer shall provide a judge or hearing officer and court facilities to schedule and hear disputed Citations. 2.1.11 Customer shall provide the specific text required to be placed on the Citation or notice of violation to be issued by ATS within thirty (30) days of the Effective Date of this Agreement. 2.1.12 Customer shall approve the Citation or notice of violation form within fifteen (15) days of receipt from ATS. ATS reserves the right to make non-substantive formatting or incidental changes to the Citation or notice of violation without approval by Customer. 2.1.13 Customer shall handle inbound and outbound phone calls and correspondence from defendants who have questions about disputes and other issues relating to Citation adjudication. Customer may refer citizens with questions regarding ATS or Axsis technology and processes to websites and/or toll free telephone numbers provided by ATS for that purpose. 2.1.14 Within ten (10) days after expiration of a second notice, Customer shall pursue delinquent collections of unpaid notices with an existing contractor or ATS. 2.2 INFORMATION TECHNOLOGY DEPARTMENT OPERATIONS 2.2.1 In the event that remote access to the ATS Axsis System is blocked by Customer network security infrastructure, the Customer's Department of Information Technology shall coordinate with ATS to facilitate appropriate communications while maintaining required security measures. Confidential Page 14 of 16 5/14/2013 8:55 PM City of Kent,Washington EXHIBIT C DESIGNATED LOCATIONS Implementation and installation at any location is subject to Site Selection Analysis and engineering results and must be mutually agreed to by the parties. Additional locations may be selected in addition to first phase implementation and may be selected based on Site Selection analysis, collision history, input, community safety, recommendations from Customer and engineering feasibility assessment. Camera installations will be based on mutual agreement by Customer and ATS. Customer will provide ATS with written notice to proceed on the installation of any Camera System within thirty (30) days of the Effective Date for all locations designated hereon. This program may be implemented at additional locations. The locations will be designated by the Customer, which designation will be based upon Police Department Staff review and an engineering analysis. Confidential Page 15 of 16 5/14/2013 8:55 PM City of Kent,Washington EXHIBIT D DMV SERVICES SUBSCRIBER AUTHORIZATION Agency ORI: DATE Nlets 1918 W. Whispering Wind Dr. Phoenix, AZ 85085 Attn: Steven E. Correll, Executive Director Re: Authorization for American Traffic Solutions, Inc. to Perform MVD Inquiry Dear Mr. Correll: Please accept this letter of acknowledgement that a Agreement to perform automated enforcement between and American Traffic Solutions, Inc. is or will be enacted and will be or is in force. As a requirement of and in performance of that Agreement between American Traffic Solutions, Inc., it will be necessary for American Traffic Solutions, Inc. to access Nlets motor vehicle data. Please accept this letter as authorization from for American Traffic Solutions, Inc. to run motor vehicle inquiries. This authorization is and will be in effect for the term of our Agreement with Nlets and any subsequent renewals. This authorization will automatically expire upon the termination of the Agreement between and American Traffic Solutions, Inc., and, such authorization is limited to violations detected by the automated enforcement camera systems. By completing the information below and signing this letter, I am stating that I am a member of the and have the authority to empower American Traffic Solutions, Inc. to use ORI AGENCY ORI for this function. SUBSCRIBER INFORMATION Subscriber Agency/Name Nlets Agency ORI Name/Title of Authorized Representative Mailing Address Telephone Fax Email Signature of Authorized Representative Date Signed Confidential Page 16 of 16 5/14/2013 8:55 PM City of Kent,Washington KENT Agenda Item: Consent Calendar — 7K TO: City Council DATE: May 21, 2013 SUBJECT: 2012 Building & Fire Codes, Ordinances — Adopt MOTION: Adopt Ordinance Nos. and __ , amending various sections of Chapters 13.01 and 14.01 of the Kent City Code to adopt the 2012 editions of the International Building, Residential, Mechanical, Energy Conservation and Fire Codes, and the Uniform Plumbing Code, together with the City's local amendments to those codes as depicted in these ordinances, to revise Section 14.08.020 to refer to the newly adopted codes, and to make other housekeeping amendments. SUMMARY: On July 1, 2013, the 2012 editions of the International Building, Residential, Fire, Energy Conservation and Mechanical Codes and the Uniform Plumbing Code, with statewide amendments, will replace the current 2009 editions of these codes statewide. Cities are required by law and the State Building Code Council to administer and enforce these codes, and have the authority to enact local amendments, provided that they do not diminish the Codes' statewide minimum performance standards. Attached are proposed ordinances to adopt the 2012 code editions and the City's local amendments to these codes, and to make other housekeeping amendments. EXHIBITS: Ordinances RECOMMENDED BY: Economic and Community Development Committee BUDGET IMPACTS: None ORDINANCE NO. AN ORDINANCE of the City Council of the City of Kent, Washington, amending various sections of Ch. 14.01 of the Kent City Code to adopt the 2012 editions of the International Building, Residential, Mechanical, Existing Building, and, Energy Conservation Codes and the Uniform Plumbing Code; to revise Section 14.08.020 to refer to the newly adopted codes; and to make other housekeeping amendments. RECITALS A. In response to legislative amendments adopted by the State of Washington, the Kent City Council enacted Ordinance No. 3956 on May 18, 2010, which adopted the 2009 editions of the International Building, Residential, Existing Building, and Mechanical Codes, and the 2009 edition of the Uniform Plumbing Code. The state recently adopted the 2012 edition of these codes, and added the 2012 edition of the International Energy Conservation Code, which all take effect and apply to all cities in the state on July 1, 2013. Therefore, it is necessary to amend the Kent City Code to formally adopt the same. B. In addition to adopting the 2012 code editions, this ordinance also makes other housekeeping amendments, including elimination of reference to the Washington State Energy Code, which has been repealed 1 International Building, Residential, And Mechanical Codes - 2012 Update by the State, and updating references to code sections that have been re- numbered in the 2012 editions. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: ORDINANCE SECTION 1. - Amendment. Chapter 14.01 of the Kent City Code, entitled "Building Codes," is amended as follows: Chapter 14.01 BUILDING CODES Sec. 14.01.010. Building codes - Adopted. In accordance with Chapter 19.27 RCW, the following codes (collectively, the "building codes") together with any additions, deletions, and exceptions currently enacted or as may be amended from time to time by the state of Washington through its Building Code Council pursuant to the Washington Administrative Code ("WAC"), and as further amended in this chapter, are adopted by reference: A. The International Building Code, 2009 2012 Edition, published by the International Code Council, Inc., as amended pursuant to Chapter 51- 50 WAC. B. The International Existing Building Code, 2009 2012 Edition, published by the International Code Council, Inc., but its application is limited as provided for in Chapter 34 of the International Building Code, and as amended pursuant to WAC 51-50-480000 through WAC 51-50- 481500. 2 International Building, Residential, And Mechanical Codes - 2012 Update C. The International Residential Code, 2009 2012 Edition, published by the International Code Council, Inc., as amended pursuant to Chapter 51- 51 WAC. D. The International Mechanical Code, 2009 2012 Edition, published by the International Code Council, Inc., as amended pursuant to Chapter 51- 52 WAC. E. The Uniform Plumbing Code, 2999 2012 Edition, published by the International Association of Plumbing and Mechanical Officials, including the Uniform Plumbing Code Standards (Appendices A, B, and I to the Uniform Plumbing Code) as amended pursuant to Chapter 51-56 WAC_-aid . F. The Uniform Housing Code, 1997 Edition, published by the International Conference of Building Officials. G. The Uniform Code for the Abatement of Dangerous Buildings, 1997 Edition, published by the International Conference of Building Officials. H. The Washingten State International Energy Conservation Code,_ 2012 Edition, published by the International Code Council, Inc., as amended pursuant to Chapters 51-11RC and 51-116R WAC. One (1) copy of each of these codes is on file with the City's building official. Sec. 14.01.020. Code conflicts. To the extent allowed by RCW 19.27.040, if a conflict exists between the provisions of the state building 3 International Building, Residential, And Mechanical Codes - 2012 Update codes adopted by the Washington State Building Code Council and the provisions of this chapter, the Kent City Code provisions shall govern. Sec. 14.01.030. Amendments to the International Building Code. The following local amendments to the International Building Code, including all amendments enacted by the State of Washington-, are hereby adopted and incorporated into the International Building Code: A. General - Building code appendices adopted. Section 101 of the International Building Code, entitled "General," is amended by adding the following new subsection 101.5: Sec. 101.5. Building code appendices adopted. Appendices C,E and I to the International Building Code are hereby adopted; however, the public works director shall have the authority to enforce and interpret Appendix I and, accordingly, all references to the "building official" in Appendix I shall be substituted with the words "public works director." B. Duties and powers of building official - Lot lines and setback lines. Section 104 of the International Building Code, entitled "Duties and Powers of Building Official," is amended by adding the following new subsection 104.12: Sec. 104.12. Lot lines and setback lines. Notwithstanding the authority of the building official to administer and enforce the building code, the building official shall have no duty to verify or establish lot lines or setback lines. No such duty is created by this code, and none shall be implied. C. Permits - Expiration of project permit application. Section 105 of the International Building Code, entitled "Permits," is amended by substituting subsection 105.3.2 with the following: Sec. 105.3.2. Expiration of project permit application. Project permit applications that are subject to Ch. 12.01 KCC or that require SEPA review are subject to 4 International Building, Residential, And Mechanical Codes - 2012 Update the deadlines established by that code chapter or by SEPA. All other project permit applications shall expire by limitation if no permit is issued 180 days after the determination that a fully complete project permit application, as defined in KCC 14.11.020, has been submitted, unless that application has been pursued in good faith as determined solely in the $building 8official's discretion. The building official may extend the time for action on the permit application for one or more periods, each period not exceeding 90 days, upon written request by the applicant showing that circumstances beyond the control of the applicant have prevented action from being taken. If an application has expired, plans and other data previously submitted for review may thereafter be returned to the applicant or destroyed. In order to renew action on an expired application, the applicant shall resubmit plans and pay a new review fee at the rates in effect at the time of resubmission. D. Permits E�ftensien of expiration of pre�eet permit application.- angended by adding the following new subseEtien 105.3.3: Sec. 105.3.3. subseEtmen 105.3.2, a fully Eengplete r. _j___ r_....._ _ ___ r_....._ _ter..__ fOF has not been issued. by __.._ . E. Permits Extension of time to commence werk undef= buildin CC ♦♦ / S.1 „ Section 105. . q(te .. o f time to . e I 5 International Building, Residential, And Mechanical Codes - 2012 Update eengngenced on OF be€ffe Deeemaer 31, 2010, PFOYided the WOFIE has not been suspended e FD. Board of appeals. Section 113 of the International Building Code, entitled "Board of Appeals," is amended by substituting Section 113 with the following: Sec. 113. Board of appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the building official relative to the suitability of alternate materials, design, and methods of construction and appeals of the reasonable application and interpretation of the building codes. Appeals shall be made as set forth in KCC 14.01.100. GE. Additional height increases. Section 504 of the International Building Code, entitled "Height," is amended by adding the following new subsection 504.45: Sec. 504.45 Additional height increases. For Group B or Group R, Divisions 1 and 2 Occupancies, the permitted increase of one story allowed by subsection 504.2 may be increased to two stories when all of the feNewing conditions enumerated below are met.. The increase provided in Section 504.3, as amended by WAC 51-50, shall not be added to this increase. 1. An automatic fire sprinkler system complying with Section 903.3.1.1 is installed throughout with the installation of quick response sprinkler heads in all areas where the use of these heads is allowed. 2. Vertical exit enclosures are constructed as smokeproof enclosures or pressurized stair enclosures in accordance with Section 909.20 and Section 909.11. 3. Standby power is supplied for light, emergency, and any exit enclosure pressurization systems used, as provided in Sections 403.4.7, 403.4.8 and 909.20.6.2, and the adopted edition of the National Electrical Code. Connection ahead of service 6 International Building, Residential, And Mechanical Codes - 2012 Update disconnect means shall be permitted for standby power. 4. Walls separating dwelling units or sleeping units, and corridor walls in Group R, Divisions 1 and 2 Occupancies shall be constructed as 1-hour fire partitions as provided in Section 7098. Reduction of the fire-resistance rating is not permitted. 5. All exterior walls, including those with a fire separation distance of more than five feet, shall be of not less than 1-hour fire-resistance rated construction on the interior and the exterior of the wall. 6. Structural observation is provided during construction in accordance with Sections 202, 1702 and 1704.53-G. 7. An emergency voice/alarm communication system complying with subsections 907.5.2.2 through 907.5.2.2.45 is installed. S. Approved supervised indicating control valves shall be provided at the point of connection to the automatic fire sprinkler system riser on each floor. 9. Structures meeting the requirements of this subsection shall have an automatic sprinkler zone per floor. All zones must report independently. Sec. 14.01.035. Amendments to the International Existing Building Code. The following local amendments to the International Existing Building Code, including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Existing Building Code: A. All references to the "code official" in the International Existing Building Code shall be substituted with the words "building official." B. Duties and powers of building official - Lot lines and setback lines. Section 104 of the International Existing Building Code, entitled "Duties and Powers of Code Official," is amended by adding the following new subsection 104.12: Sec. 104.12. Lot lines and setback lines. Notwithstanding the authority of the building official to 7 International Building, Residential, And Mechanical Codes - 2012 Update administer and enforce the building code, the building official shall have no duty to verify or establish lot lines or setback lines. No such duty is created by this code, and none shall be implied. C. Permits - Expiration of project permit application. Section 105 of the International Existing Building Code, entitled "Permits," is amended by substituting subsection 105.3.2 with the following: Sec. 105.3.2. Expiration of project permit application. Project permit applications that are subject to Ch. 12.01 KCC or that require SEPA review are subject to the deadlines established by that code chapter or by SEPA. All other project permit applications shall expire by limitation if no permit is issued 180 days after the determination that a fully complete project permit application, as defined in KCC 14.11.020, has been submitted, unless that application has been pursued in good faith as determined solely in the $building 8official's discretion. The building official may extend the time for action on the permit application for one or more periods, each period not exceeding 90 days, upon written request by the applicant showing that circumstances beyond the control of the applicant have prevented action from being taken. If an application has expired, plans and other data previously submitted for review may thereafter be returned to the applicant or destroyed. In order to renew action on an expired application, the applicant shall resubmit plans and pay a new review fee at the rates in effect at the time of resubmission. See. 105.3.3. subseEtmen 105.3.2, a fully Eengplete p. _j___ r_....._ 8 International Building, Residential, And Mechanical Codes - 2012 Update _ ___ r_....._ _ter..__ fOF has not been issued. by __.._ . E. Permits Extension of time to commence wefk undet= buile�n " is angended by adding the fellewing new subseEtien 105.5.1: Section 105.S.1. Extension of _._ to commence we ' ' eengngenced en eFbe€ffe Deeemaer 31, 2010, PFevided the WeFlE has net been suspended e WeFlE is EengngenEed. D-F. Certificate of Occupancy - Altered area use and occupancy classification change. Section 110 of the International Existing Building Code, entitled "Certificate of Occupancy," is amended by substituting subsection 110.1 with the following: Sec. 110.1. Altered area use and occupancy classification change. No altered area of a building and no relocated building shall be used or occupied, and no change in the existing occupancy classification of a building or portion thereof shall be made until the building official has issued a certificate of occupancy therefor as provided herein, except that no certificate of occupancy is required for detached one- and two- family dwellings and multiple single-family dwellings (townhouses) not more than three stories above grade plane in height with a separate means of egress and their accessory structures subject to the provisions of the International Residential Code. Issuance of a certificate of occupancy shall not be construed as an approval of a violation of the provisions of this code or of other ordinances of the jurisdiction. EG. Board of appeals. Section 112 of the International Existing Building Code, entitled "Board of Appeals," is amended by substituting Section 112 with the following: 9 International Building, Residential, And Mechanical Codes - 2012 Update Sec. 112. Board of appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the building official relative to the suitability of alternate materials, design, and methods of construction and appeals of the reasonable application and interpretation of the building codes. Appeals shall be made as set forth in KCC 14.01.100. Sec. 14.01.040. Amendments to the International Residential Code. The following local amendments to the International Residential Code, including all amendments enacted by the State of Washington are hereby adopted and incorporated into the International Residential Code: A. Duties and powers of building official - Lot lines and setback lines. Section R104 of the International Residential Code, entitled "Duties and Powers of Building Official," is amended by adding the following new subsection R104.12: Sec. R104.12. Lot lines and setback lines. Notwithstanding the authority of the building official to administer and enforce the building code, the building official shall have no duty to verify or establish lot lines or setback lines. No such duty is created by this code, and none shall be implied. B. Permits - Substantially improved or substantially damaged existing buildings in areas prone to flooding. Section R105 of the International Residential Code, entitled "Permits," is amended by substituting subsection R105.3.1.1 with the following: Sec. R105.3.1.1. Substantially improved or substantially damaged existing buildings in areas prone to flooding. The building official may require that all applications for reconstruction, rehabilitation, addition, or other improvement of existing buildings or structures located in an area prone to flooding be submitted in accordance with Ch. 14.09 KCC. 10 International Building, Residential, And Mechanical Codes - 2012 Update C. Permits - Expiration of project permit application. Section R105 of the International Residential Code, entitled "Permits," is amended by substituting subsection R105.3.2 with the following: Sec. R105.3.2. Expiration of project permit application. Project permit applications that are subject to Ch. 12.01 KCC or that require SEPA review are subject to the deadlines established by that code chapter or by SEPA. All other project permit applications shall expire by limitation if no permit is issued 180 days after the determination that a fully complete project permit application, as defined in KCC 14.11.020, has been submitted, unless that application has been pursued in good faith as determined solely in the Sbuilding 8official's discretion. The building official may extend the time for action on the permit application for one or more periods, each period not exceeding 90 days, upon written request by the applicant showing that circumstances beyond the control of the applicant have prevented action from being taken. If an application has expired, plans and other data previously submitted for review may thereafter be returned to the applicant or destroyed. In order to renew action on an expired application, the applicant shall resubmit plans and pay a new review fee at the rates in effect at the time of resubmission. D. Permits Eq(tensien of time 6mitatien on application. SeEtien RIOS See. R105.3.3. Eq(tensien of time fimitatien on subs___._.. .____._._, _ full, __...r.___ r. _j___ r_....._ _ ___ r_....._ _ter..__ fOF has not been fuss__ by __.._ . 11 International Building, Residential, And Mechanical Codes - 2012 Update E. Permits Eq(tensien of time to commenee werk under buildin permit. Seetien BIOS of the internatienal Residential Gede, entitled . . Section R105.5.1. EXte... men of tong . t , permit is EengngenEed en eF befeFe Deeember31, WeFlE ed DF. Fees - Building permit valuations. Section R108 of the International Residential Code, entitled "Fees," is amended by substituting subsection R108.3 with the following: Sec. R108.3. Building permit valuations. The permit applicant shall provide an estimated permit value at time of application. Permit valuations shall include total value of the work, including materials and labor, for which the permit is being issued. (The work would include, for example and without limitation, electrical, gas, mechanical, and plumbing equipment and other permanent systems.) If the building official decides that the permit valuation is underestimated, the permit application shall be denied, unless the applicant can show detailed estimates to meet the approval of the building official. Final building permit valuation shall be set by the building official. EG. Certificate of occupancy. Section R110 of the International Residential Code, entitled "Certificate of Occupancy," is hereby repealed. F+i. Board of appeals. Section R112 of the International Residential Code, entitled "Board of Appeals," is amended by substituting Section R112 with the following: Sec. R112. Board of appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, 12 International Building, Residential, And Mechanical Codes - 2012 Update or determinations made by the building official relative to the suitability of alternate materials, design, and methods of construction and appeals of the reasonable application and interpretation of the building codes. Appeals shall be made as set forth in section 14.01.100 of the Kent City Code. Any appeal to an order, decision, or determination of the public works director with respect to work within a flood hazard area shall be made in accordance with Ch. 14.09 KCC. Sec. 14.01.050. Amendments to the Uniform Plumbing Code. The following local amendments to the Uniform Plumbing Code, including all amendments enacted by the State of Washington are hereby adopted and incorporated into the Uniform Plumbing Code: A. Title, seepe, and general Appendices adopted. SeEtien 101 of the by adding the fellewing new subseEtien 191.19.16: See. 101.610.1. Appendjees adepted. The Ynifffnq , 8A. Organization and enforcement - Penalties. Section 102 of the Uniform Plumbing Code, entitled "Organization and Enforcement," is amended by substituting subsection 102.53.2 with the following: Sec. 102.53-.2. Penalties. Any person who violates a provision of this code or fails to comply with any of its requirements or who erects, installs, alters, or repairs plumbing work in violation of: (a) the approved construction documents, (b) a directive of the building code official, or (c) a permit or certificate issued under the provisions of this code, shall be subject to penalties as set forth in Chs. 14.08 and 1.04 KCC or as otherwise provided by law. GB. Organization and enforcement - Board of appeals. Section 102 of the Uniform Plumbing Code, entitled "Organization and Enforcement," is 13 International Building, Residential, And Mechanical Codes - 2012 Update amended by substituting subsection 102.3 withaddiirg the following new Sec. 102.43. Board of appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the building official relative to the suitability of alternate materials, designs, and methods of construction and appeals of the reasonable application and interpretation of the building codes. Appeals shall be made as set forth in section 14.01.100 of the Kent City Code. BC. Permits and inspections - Expiration of project permit application. Section 103 of the Uniform Plumbing Code, entitled "Permits and Inspections," is amended by substituting subsection 103.4.3 2 with the following: Sec. 103.4.32. Expiration of project permit application. Project permit applications that are subject to Ch. 12.01 KCC or that require SEPA review are subject to the deadlines established by that code chapter or by SEPA. All other project permit applications shall expire by limitation if no permit is issued 180 days after the determination that a fully complete project permit application, as defined in KCC 14.11.020, has been submitted, unless that application has been pursued in good faith as determined solely in the $building 8official's discretion. The building official may extend the time for action on the permit application for one or more periods, each period not exceeding 90 days, upon written request by the applicant showing that circumstances beyond the control of the applicant have prevented action from being taken. If an application has expired, plans and other data previously submitted for review may thereafter be returned to the applicant or destroyed by the building official. In order to renew action on an expired application, the applicant shall resubmit plans and pay a new review fee at the rates in effect at the time of resubmission. 14 International Building, Residential, And Mechanical Codes - 2012 Update ED. -Plumbing Permit Fees - Table 103.4. of the Uniform Plumbing Code, entitled "Plumbing Permit Fees", is amended by substituting Table 103.4 with the followina: Table 103.4. Plumbing Permit Fees. Plumbing permit fees and related fees shall be as established by resolution of the city council, in accordance with 14.01.090 KCC. Sec. 14.01.060. Amendments to the International Mechanical Code. The following local amendments to the International Mechanical Code, including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Mechanical Code as of fully set feFth theFein.: A. Permits - Expiration of project permit application. Section 106 of the International Mechanical Code, entitled "Permits," is amended by substituting subsection 106.3.3 with the following: Sec. 106.3.3. Expiration of project permit application. Project permit applications that are subject to Ch. 12.01 KCC or that require SEPA review are subject to the deadlines established by that code chapter or by SEPA. All other project permit applications shall expire by limitation if no permit is issued 180 days after the determination that a fully complete project permit application, as defined in KCC 14.11.020, has been submitted, unless that application has been pursued in good faith as determined solely in the $building 8official's discretion. The building official may extend the time for action on the permit application for one or more periods, each period not exceeding 90 days, upon written request by the applicant showing that circumstances beyond the control of the applicant have prevented action from being taken. If an application has expired, plans and other data previously submitted for review may thereafter be returned to the applicant or destroyed by the building official. In order to renew action on an expired application, the applicant shall resubmit plans and pay 15 International Building, Residential, And Mechanical Codes - 2012 Update a new review fee at the rates in effect at the time of resubmission. B. Violations - Penalties. Section 108 of the International Mechanical Code, entitled "Violations," is amended by substituting subsection 108.4 with the following: Sec. 108.4. Violation pPenalties. Any person who violates a provision of this code or fails to comply with any of its requirements or who erects, installs, alters, or repairs mechanical work in violation of: (a) the approved construction documents, (b) a directive of the building code official, or (c) a permit or certificate issued under the provisions of this code, shall be subject to penalties as set forth in Chs. 14.08 and 1.04 KCC or as otherwise provided by law. C. Means of appeal - Board of appeals. Section 109 of the International Mechanical Code, entitled "Means of Appeal," is amended by substituting Section 109 with the following: Sec. 109. Board of appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the building official relative to the suitability of alternate materials, designs, and methods of construction and appeals of the reasonable application and interpretation of the building codes. Appeals shall be made as set forth in section 14.01.100 of the Kent City Code. Sec. 14.01.070. Amendments to the Uniform Housing Code. The following local amendments to the Uniform Housing Code are hereby adopted as if fully set forth therein. A. Scope. Section 103 of the Uniform Housing Code is amended by substituting Section 103 with the following: Sec. 103. Scope. The provisions of this code shall apply to all buildings or portions thereof used, designed, or intended to be used, for human habitation. These occupancies in existing buildings 16 International Building, Residential, And Mechanical Codes - 2012 Update may be continued as provided in IBC § 102.6 or IRC § R102.7, as may be applicable, except for structures found to be substandard as defined in this code. Where any building or portion thereof is used or intended to be used as a combination apartment house-hotel, the provisions of this code shall apply to the separate portions as if they were separate buildings. Rooming houses, congregate residences, or lodging houses shall comply with all the requirements of this code for dwellings. B. Application to existing buildings and structures - Additions, alterations, or repairs. Subsection 104.1 of the Uniform Housing Code is amended by substituting subsection 104.1 with the following: Sec. 104.1. Additions, Alterations, or Repairs. For additions, alterations, or repairs, see IBC §§ 102.6, Chapter 34, and IRC § R102.7, as may be applicable. C. Repealer. Section 202 of Chapter 2 and Chapters 11 through 16 of the Uniform Housing Code are hereby repealed. D. Board of appeals. Section 203 of the Uniform Housing Code, entitled "Board of appeals," is amended by substituting Section 203 with the following: Sec. 203. Board of appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the building official relative to the suitability of alternate materials, design, and methods of construction and appeals of the reasonable application and interpretation of the building codes. Appeals shall be made as set forth in section 14.01.100 of the Kent City Code. E. Violations. Section 204 of the Uniform Housing Code, entitled "Violations," is amended by substituting Section 204 with the following: Sec. 204. Violations. 17 International Building, Residential, And Mechanical Codes - 2012 Update 204.1. Unlawful acts. It shall be unlawful for any person, firm, or corporation to erect, construct, alter, extend, repair, move, remove, demolish, or occupy any building, structure, or equipment regulated by this code, or cause the same to be done, in conflict with or in violation of any of the PFOYisiens of this code. 204.2. Violation penalties. Any person who violates a provision of this code, or fails to comply with any of its requirements, or who erects, constructs, alters or repairs a building or structure in violation of: (a) the approved construction documents, (b) a directive of the building official, or (c) a permit or certificate issued under the provisions of this code, shall be subject to penalties as set forth in Chs. 14.08 and 1.04 KCC or as otherwise provided by law. F. Permits and inspections - General. Section 301 of the Uniform Housing Code, entitled "General," is amended by substituting Section 301 with the following: Sec. 301. General. No building or structure regulated by this code shall be erected, constructed, enlarged, altered, repaired, moved, improved, removed, converted, or demolished unless a separate permit for each building or structure has first been obtained from the building official in the manner and according to the applicable conditions prescribed in IBC §§ 105 and 107 or IRC §§ R105 and R106, as may be applicable. G. Permits and inspections - Fees. Section 302 of the Uniform Housing Code, entitled "Fees," is amended by substituting Section 302 with the following: Sec. 302. Fees. When a building permit is required by Section 301 of this code, the appropriate fees shall be paid as specified in IBC § 109 or IRC § R108, as may be applicable. H. Permits and inspections - Inspection. Section 303 of the Uniform Housing Code, entitled "Inspection," is amended by substituting Section 303 with the following: 18 International Building, Residential, And Mechanical Codes - 2012 Update Sec. 303. Inspection. Buildings or structures within the scope of this code and all construction or work for which a permit is required shall be subject to inspection by the building official in accordance with, and in the manner provided by, this code and IBC §§ 110 and 1704 or IRC § R109, as may be applicable. I. Definitions - Building code. Section 401 of the Uniform Housing Code, entitled "Definitions," is amended by revising the definition of "building code" as follows: Sec. 401. Definitions. BUILDING CODE is the International Building Code ("IBC") or the International Residential Code ("IRC"), as may be applicable, promulgated by the International Code Council, Inc., as adopted by this jurisdiction. J. Definitions - Mechanical code. Section 401 of the Uniform Housing Code, entitled "Definitions," is amended by revising the definition of "mechanical code" as follows: Sec. 401. Definitions. MECHANICAL CODE is the International Mechanical Code or the International Residential Code, promulgated by the International Code Council, Inc., as may be applicable and as adopted by this jurisdiction. K. Space and occupancy standards - Location on property. Section 501 of the Uniform Housing Code, entitled "Location on Property," is amended by substituting Section 501 with the following: Sec. 501. Location on property. All buildings shall be located with respect to property lines and with respect to other buildings on the same property as required by Chs. 5, 6 and 7 IBC and IRC § R302, as may be applicable. 19 International Building, Residential, And Mechanical Codes - 2012 Update L. Light and ventilation - Hallways. Subsection 504.4 of the Uniform Housing Code, entitled "Hallways," is amended by substituting subsection 504.4 with the following: Sec. 504.4. Hallways. All public hallways, stairs, and other exitways shall be adequately lighted at all times in accordance with IBC § 1006 or IRC §§ R303 and R311, as may be applicable. M. Sanitation - Water closet compartments. Subsection 505.5 of the Uniform Housing Code, entitled "Water Closet Compartments," is amended by substituting subsection 505.5 with the following: Sec. 505.5. Water closet compartments. Walls and floors of water closet compartments, except in dwellings, shall be furnished in accordance with IBC § 1210. This provision is not applicable to those projects subject to the IRC. N. Heating and ventilation - Heating. Subsection 701.1 of the Uniform Housing Code, entitled "Heating," is amended by substituting subsection 701.1 with the following: Sec. 701.1. Heating. Dwelling units, guest rooms, and congregate residences shall be provided with heating facilities capable of maintaining a room temperature of at least 790F68OF (21.1200C) at a point 3 feet (914 mm) above the floor in all habitable rooms. Such facilities shall be installed and maintained in a safe condition and in accordance with Ch. 21 IBC or Ch. 10 and 12-24 IRC, as may be applicable, the Mechanical Code, and all other applicable laws. Unvented fuel-burning heaters are not permitted. All heating devices or appliances shall be of an approved type. O. Exits - General. Section 801 of the Uniform Housing Code, entitled "General," is amended by substituting Section 801 with the following: Sec. 801. General. Dwelling units or guest rooms shall have access directly to the outside or to a public corridor. All buildings or portions thereof shall be provided with exits, exitways, and appurtenances as 20 International Building, Residential, And Mechanical Codes - 2012 Update required by Ch. 10 IBC or IRC § R311, as may be applicable. P. Fire protection - General. Section 901 of the Uniform Housing Code, entitled "General," is amended by substituting Section 901 with the following: Sec. 901. General. All buildings or portions thereof shall be provided with the degree of fire-resistive construction as required by the building code for the appropriate occupancy, type of construction, and location on property, and shall be provided with the appropriate fire-extinguishing systems or equipment required by Ch. 9 IBC or IRC § R314 and R315, as may be applicable. Q. Substandard buildings - Definition - General. Subsection 1001.1 of the Uniform Housing Code, entitled "General," is amended by substituting subsection 1001.1 with the following: Sec. 1001.1. General. Any building or portion thereof that the $building Aofficial determines to be an unsafe building in accordance with IBC § 116, or any building or portion thereof, including any dwelling unit, guest room or suite of rooms, or the premises on which the same is located, in which there exists any of the conditions referenced in this section to an extent that those conditions endanger the life, limb, health, property, safety, or welfare of the public or the occupants thereof, shall be deemed and hereby ereis declared to be a substandard buildings. Sec. 14.01.080. Amendments to the Uniform Code for the Abatement of Dangerous Buildings. The following local amendments to the Uniform Code for the Abatement of Dangerous Buildings are hereby adopted as if fully set forth therein. A. Purpose and scope. Subsection 102.1 of the Uniform Code for the Abatement of Dangerous Buildings, entitled "Purpose," is amended by substituting subsection 102.1 with the following: 21 International Building, Residential, And Mechanical Codes - 2012 Update Sec. 102.1. Purpose. It In conjunction with and in addition to any other remedy provided by the International Building Code, International Residential Code, Uniform Housing Code, or otherwise available by law, it is the purpose of this code to provide a just, equitable, and practicable method to require the repair, vacation, or demolishment of buildings or structures that from any cause endanger the life, limb, health, morals, property, safety, or welfare of the general public or of their occupants. The purpose of this code is not to create or otherwise establish or designate any particular class or group of persons who will or should be especially protected or benefited by the terms of this code. B. Alterations, additions, and repairs. Section 103 of the Uniform Code for the Abatement of Dangerous Buildings, entitled "Alterations, Additions, and Repairs," is amended by substituting Section 103 with the following: Sec. 103. Alterations, additions, and repairs. All buildings or structures that are required to be repaired under the provisions of this code shall be subject to the provisions of IBC Ch. 34 or IRC § R102.7, as may be applicable. C. Abatement of dangerous buildings. Section 202 of the Uniform Code for the Abatement of Dangerous Buildings, entitled "Abatement of Dangerous Buildings," is amended by substituting Section 202 with the following: Sec. 202. Abatement of dangerous buildings. All buildings or portions thereof that the Sbuilding 8official determines, after inspection, by the building official to be dangerous as defined in this code are hereby declared to be public nuisances and shall be abated by repair, rehabilitation, demolition or removal. D. Violations. Section 203 of the Uniform Code for the Abatement of Dangerous Buildings, entitled "Violations," is amended by substituting Section 203 with the following: 22 International Building, Residential, And Mechanical Codes - 2012 Update Sec. 203. Violations. 203.1. Unlawful acts. It shall be unlawful for any person, firm, or corporation to erect, construct, enlarge, alter, repair, move, improve, remove, convert, demolish, equip, use, occupy or maintain any building or structure or cause or permit the same to be done in violation of this code. 203.2. Violation penalties. Any person who violates a provision of this code or fails to comply with any of its requirements, or who erects, constructs, alters or repairs a building or structure in violation of: (a) the approved construction documents, (b) a directive of the building official, or (c) a permit or certificate issued under the provisions of this code, shall be subject to penalties as set forth in Chs. 14.08 and 1.04 KCC or as otherwise provided by law. E. Inspection of work. Section 204 of the Uniform Code for the Abatement of Dangerous Buildings, entitled "Inspection of Work," is amended by substituting Section 204 with the following: Sec. 204. Inspection of work. All buildings or structures within the scope of this code and all construction or work for which a permit is required shall be subject to inspection by the building official in accordance with and in the manner provided by this code and IBC §§ 110 and 1704 or IRC § R109, as may be applicable. F. Board of appeals. Section 205 of the Uniform Code for the Abatement of Dangerous Buildings, entitled "Board of Appeals," is amended by substituting Section 205 with the following: Sec. 205. Board of appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the building official relative to the suitability of alternate materials, designs, and methods of construction and appeals of the reasonable application and interpretation of the building codes. 23 International Building, Residential, And Mechanical Codes - 2012 Update Appeals shall be made as set forth in section 14.01.100 of the Kent City Code. G. General - Definitions. Section 301 of the Uniform Code for the Abatement of Dangerous Buildings is amended as follows: Sec. 301. General. For the purpose of this code, certain terms, phrases, words, and their derivatives shall be construed as specified in either this chapter or as specified in the building code or the housing code. Where terms are not defined, they shall have their ordinary accepted meanings within the context with which they are used. Words used in the singular include the plural and the plural the singular. Words used in the masculine gender include the feminine and the feminine the masculine. "Building Code" is the International Building Code or the International Residential Code, as may be applicable, promulgated by the International Code Council, Inc., as adopted by this jurisdiction. "Dangerous Building" is any building or structure deemed to be dangerous under the provision of section 302 of this code. "Endangered" as used in section 302 means negatively affected, to any degree, by any and all conditions, actions or omissions which, singularly or together, reduce or are likely to reduce or negatively impact the life or limb, health, property or safety of the public, including but not limited to, economy in the provision of public service, general welfare, economic viability, or security in the enjoyment of the community. "Health Officer" as used in this code shall mean the building official or his or her designee. "Housing Code" is the Uniform Housing Code promulgated by the International Conference of Building Officials, as adopted by this jurisdiction. H. Repealer. Chapters 4 through 9 of the Uniform Code for the Abatement of Dangerous Buildings are repealed. Section 14.01.085. Amendments to the International Enercgy Conservation Code. The following local amendments to the International Energy Conservation Code, including all amendments enacted by the state 24 International Building, Residential, And Mechanical Codes - 2012 Update of Washington, are hereby adopted and incorporated into the International Energy Conservation Code: A. Compliance required, violations, penalties. Section C101.5, entitled "Compliance" is hereby amended by adding the following new subsection C101.5.1: Sec. C101.5.1 Unlawful acts and penalties. It shall be unlawful for any person, firm or corporation to erect, construct, alter, extend, move or occupy any building, structure or equipment regulated by this code, or cause the same to be done, in conflict with or in violation of this code. Any person who violates a provision of this code, or fails to comply with any of its requirements, or who erects, constructs, alters or repairs a building or structure in violation of: (a) the approved construction documents, (b) a directive of the building official, or (c) a permit or certificate issued under the provisions of this code, shall be subiect to penalties as set forth in Chapters 14.08 and 1.04 KCC or as otherwise provided by law. A. Compliance required, violations, penalties. Section R101.5, entitled "Compliance" is hereby amended by adding the following new subsection R101.5.1: Sec. R101.5.1 Unlawful acts and penalties. It shall be unlawful for any person, firm or corporation to erect, construct, alter, extend, move or occupy any building, structure or equipment regulated by this code, or cause the same to be done, in conflict with or in violation of this code. Any person who violates a provision of this code, or fails to comply with any of its requirements, or who erects, constructs, alters or repairs a building or structure in violation of: (a) the approved construction documents,_(b) a directive of the building official, or (c) a permit or certificate issued under 25 International Building, Residential, And Mechanical Codes - 2012 Update the provisions of this code, shall be subiect to penalties as set forth in Chapters 14.08 and 1.04 KCC or as otherwise provided by law. A. Appeals. Section C109, entitled "Board of Appeals", is hereby amended by substituting Section C109 with the following: Sec. C109. Board of Appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the building official relative to the suitability of alternate materials, design, and methods of construction and appeals of the reasonable application and interpretation of the building codes. Appeals shall be made as set forth in KCC 14.01.100. A. Appeals. Section R109, entitled "Board of Appeals", is hereby amended by substituting Section R109 with the following: Sec. R109. Board of Appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the building official relative to the suitability of alternate materials, design and methods of construction and appeals of the reasonable application and interpretation of the building codes. Appeals shall be made as set forth in KCC 14.01.100. Sec. 14.01.090. Building codes — Fees. The City Council shall, by resolution, establish the fees to be assessed to implement and operate the codes adopted in this chapter. Sec. 14.01.100. Appeals. 26 International Building, Residential, And Mechanical Codes - 2012 Update A. Appeals to the hearing examiner. 1. Jurisdiction. The City hearings examiner has been designated as the board of appeals and shall have jurisdiction over all matters concerning the application of the building codes cited in this chapter. The City hearings examiner, however, shall have no authority relative to interpretation of the administrative provisions of these codes, nor shall the City hearings examiner be empowered to waive requirements of these building codes. 2. Filing. Appeals shall be filed with the hearings examiner by 5:00 p.m. of the fourteenth calendar day following the date of the order, determination, or decision being appealed. When the last day of the appeal period so computed is a Saturday, Sunday, or City holiday, the period shall run until 5:00 p.m. on the next business day. The appeal shall be accompanied by payment of the filing fee. Specific objections to the building official's decision and the relief sought shall be stated in the written appeal. 3. Standing. Standing to bring an appeal under this chapter is limited to the following persons: a. The applicant and the owner of property to which the permit decision is directed. b. Another person aggrieved or adversely affected by the order, determination, or decision, or who would be aggrieved or adversely affected by a reversal or modification of the order, determination, or decision. A person is aggrieved or adversely affected within the meaning of this section only when all of the following conditions are present: i. The order, determination, or decision has prejudiced or is likely to prejudice that person; ii. A judgment in favor of that person would substantially eliminate or redress the prejudice to that person caused or likely to be caused by the order, determination, or decision; and 27 International Building, Residential, And Mechanical Codes - 2012 Update iii. The appellant has exhausted his or her administrative remedies to the extent required by law. B. Appeals to superior court. Appeals to the hearings examiner shall be made pursuant to Ch. 2.32 KCC. The decision of the hearings examiner shall be final and conclusive unless, within twenty-one (21) calendar days of the hearings examiner's decision, an appeal is filed with the King County superior court. When the last day of the appeal period so computed is a Saturday, Sunday, or -City holiday, the period shall run until the next business day. SECTION 2. - Amendment - KCC 14.08.020. Section 14.08.020 of the Kent City Code, related to enforcement of the City's Building Codes and entitled "Definitions," is amended as follows: Sec. 14.08.020. Definitions. The definitions contained in KCC 1.04.020 shall also apply to this chapter. In addition, the following words, terms, and phrases, when used in this chapter, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: 1. Building codes means and includes the International Building Code, the International Existing Building Code, the International Residential Code, the International Mechanical Code, the International Fire Code, the International Energy Conservation Code, the Uniform Plumbing Code, the Uniform Housing Code, and the Uniform Code for Abatement of Dangerous Buildings, and the Washington State F=neFg • Gede as now or hereafter adopted, amended, ed{or supplemented pursuant to KCC Title 14, the Revised Code of Washington, and/or the Washington Administrative Code. 28 International Building, Residential, And Mechanical Codes - 2012 Update 2. Building official means the building official of the city or any person authorized by the building official to enforce the building codes. 3. Premises means a plot of ground, whether occupied by a structure or not. SECTION 3, - Severabilitv. If any one or more section, subsection, or sentence of this ordinance is held to be unconstitutional or invalid, that decision shall not affect the validity of the remaining portion of this ordinance and that remaining portion shall maintain its full force and effect. SECTION 4, - Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; ordinance, section, or subsection numbering; or references to other local, state or federal laws, codes, rules, or regulations. SECTIONS. - Effective Date. This ordinance shall take effect and be in force thirty (30) days from and after its passage and publication, as provided by law. SUZETTE COOKE, MAYOR ATTEST: RONALD F. MOORE, CITY CLERK 29 International Building, Residential, And Mechanical Codes - 2012 Update APPROVED AS TO FORM: TOM BRUBAKER, CITY ATTORNEY PASSED: day of 12013. APPROVED: day of 12013. PUBLISHED: day of 12013. I hereby certify that this is a true copy of Ordinance No. passed by the City Council of the City of Kent, Washington, and approved by the Mayor of the City of Kent as hereon indicated. (SEAL) RONALD F. MOORE, CITY CLERK P:\Civil\Ordinance\O rdina ncebu i Idingcodes2012-Adopt.Docx 30 International Building, Residential, And Mechanical Codes - 2012 Update ORDINANCE NO. AN ORDINANCE of the City Council of the City of Kent, Washington, amending Chapter 13.01 of the Kent City Code to adopt the 2012 edition of the International Fire Code and to make other amendments applicable to Kent. RECITALS A. In response to legislative amendments adopted by the State of Washington, the Kent City Council enacted Ordinance No. 3957 on May 18, 2010, which adopted the 2009 edition of the International Fire Code. The state recently adopted the 2012 edition of this code, which takes effect and applies to all cities in the state on July 1, 2013. Therefore, it is necessary to amend the Kent City Code to formally adopt the same. B. In addition to adopting the 2012 code edition, this ordinance also includes other amendments to reduce the cost of building projects by the elimination of our local fire alarm threshold while maintaining the life safety provisions of the model code, to standardize requirements to help streamline reporting and inspections, to create additional flexibility in development regulations in the area of fire department access and water supply, and to adjust to the new chapter structure within the 2012 International Fire Code. 1 International Fire Code- 2012 Update NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: ORDINANCE SECTION 1. - Amendment. Chapter 13.01 of the Kent City Code, entitled "Fire Codes," is amended as follows: Chapter 13.01 FIRE CODES Sec. 13.01.010. Fire code - Adopted. In accordance with Chapter 19.27 RCW, the International Fire Code, 2009 2012 Edition, published by the International Code Council, Inc., together with any additions, deletions, and exceptions currently enacted or as may be amended from time to time by the state of Washington through its Building Code Council pursuant to Chapter 51-54A of the Washington Administrative Code ("WAC"), and as further amended in this chapter, is hereby adopted and incorporated by this reference. One (1) copy of the International Fire Code and the appendices adopted in KCC 13.01.030(A) are on file with the city's fire code official. Sec. 13.01.020. Code conflicts. To the extent allowed by RCW 19.27.040, if a conflict exists between the provisions of the International Fire Code adopted and amended by the Washington State Building Code Council and the provisions of this chapter, the Kent City Code provisions shall govern. Sec. 13.01.030. Amendments to the International Fire Code - Chapter 1, Scope and Administration. The following local amendments to Chapter 1 of the International Fire Code, entitled "Scope and Administration," including all amendments enacted by the State of 2 International Fire Code- 2012 Update Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. Scope and General Requirements - Fire code appendix adopted. Section 101 of the International Fire Code, entitled "Scope and General Requirements," is amended by adding the following new subsection 101.6: Sec. 101.6. Fire code appendix adopted. Appendix B of the International Fire Code is hereby adopted. B. General authority and responsibilities - Retained authority. Section 104 of the International Fire Code, entitled "General Authority and Responsibilities," is amended by adding the following new subsection 104.1.1: Sec. 104.1.1. Retained authority - Additional conditions. The fire code official retains the authority to impose additional conditions where the official determines it necessary to mitigate identified fire protection impacts and problematic fire protection systems. These conditions may include, by way of example and without limitation, increased setbacks, use of fire retardant materials, installation afl-Oor modification of standpipes, automatic fire sprinkler and fire alarm systems. C. General authority and responsibilities - Lot lines and setback lines. Section 104 of the International Fire Code, entitled "General Authority and Responsibilities," is amended by adding the following new subsection 104.12: Sec. 104.12. Lot lines and setback lines. Notwithstanding the authority of the fire code official to administer and enforce the fire code, the fire code official shall have no duty to verify or establish lot lines or setback lines. No such duty is created by this code and none shall be implied. 3 International Fire Code- 2012 Update D. Permits - Term. Section 105 of the International Fire Code, entitled "Permits," is amended by adding the following new subsection 105.1.4: Sec. 105.1.4. Term. Operational permits issued in accordance with this code shall be valid for a 12 month period and are renewable at the end of that 12 month term. E. Permits - Expiration of project permit application. Section 105 of the International Fire Code, entitled "Permits," is amended by substituting subsection 105.2.3 with the following: Sec. 105.2.3. Expiration of project permit application. Project permit applications that are subject to Ch. 12.01 KCC or that require SEPA review are subject to those deadlines. All other project permit applications shall expire by limitation if no permit is issued within 180 days after the determination that a fully complete project permit application has been submitted, unless, in the fire code official determines, in his or her sole discretion, that the application has been pursued in good faith. The fire code official may extend the time for action on the permit application for one or more periods, each period not exceeding 90 days, upon written request by the applicant if the applicant can demonstrate, to the satisfaction of the fire code official, that circumstances beyond the applicant's control have prevented action from being taken. If an application has expired, plans and other data previously submitted for review may thereafter be returned to the applicant or destroyed by the fire code official. In order to renew action on an expired application, the applicant shall resubmit plans and pay a new review fee. F. Permits - Electronic Image. Section 105 of the International Fire Code, entitled "Permits," is amended by adding the following new subsection 105.4.7: Sec. 105.4.7. Electronic Image. Prior to final inspection, the applicant shall provide to the fire code official an electronic image of issued construction documents and corrected documents in accordance with 105.4.6. 4 International Fire Code- 2012 Update G. Permits - Commercial kitchens. Section 105 of the International Fire Code, entitled "Permits," is amended by adding the following new subsection 105.6.47: Sec. 105.6.47. Commercial Kitchen. An operational permit is required for all commercial kitchens with type I hood systems. H. Permits - Emergency and standby power systems. Section 105 of the International Fire Code, entitled "Permits," is amended by adding the following new subsection 105.6.48: Sec. 105.6.48. Emergency and standby power systems. An operational permit is required for emergency or standby power systems required by code and identified in NFPA 110. I. Permits - Emergency and standby power systems. Section 105 of the International Fire Code, entitled "Permits," is amended by adding the following new subsection 105.7.15: Sec. 105.7.i317. Emergency and standby power systems. A construction permit is required for the installation of emergency or standby power system required by code and identified in NFPA 110. J. Board of appeals. Section 108 of the International Fire Code, entitled "Board of appeals," is amended by substituting Section 108 with the following: Sec. 108. Board of appeals. The City of Kent hearings examiner is designated as the board of appeals in order to hear and decide appeals of orders, decisions, or determinations made by the fire code official relative to the suitability of alternate materials, designs, and methods of construction and appeals of the reasonable application and interpretation of the building and fire codes. Appeals shall be made as set forth in section 13.01.130 of the Kent City Code. 5 International Fire Code- 2012 Update K. Violation penalties. Section 109 of the International Fire Code, entitled "Violations," is amended by substituting subsection 109.3 with the following: Sec. 109.3. Violation-penalties. Any person who violates a provision of this code, or fails to comply with any of its requirements, or who erects, constructs, alters, or repairs a building or structure in violation of (a) the approved construction documents, (b) a directive of the fire code official, or (c) a permit or certificate issued under the provisions of this code, shall be subject to penalties as set forth in Ch. 13.02 of the Kent City Code or as otherwise provided by law. L. Fees. Section 113 of the International Fire Code, entitled "Fees," is amended by substituting subsection 113.1 with the following: Sec. 113.1. Fees. The fire code official shall collect fees as a condition to issuance or renewal of any permit or certificate. M. Fees - Schedule of permit fees. Section 113 of the International Fire Code, entitled "Fees," is amended by substituting subsection 113.2 with the following: Sec. 113.2. Schedule of Permit Fees. The fire code official shall prepare a resolution establishing a schedule of fees for council consideration, which fees shall include the cost involved in the processing, issuance, and renewal of permits and certificates. Any fee schedule adopted by resolution shall govern the fee amount to be assessed for any permit or certificate. N. Fees - Work commencing before permit issuance. Section 113 of the International Fire Code, entitled "Fees," is amended by substituting subsection 113.3 with the following: Sec. 113.3. Work commencing before permit issuance. When work for which a permit is required by this code has commenced without a permit, the fees shall be doubled. The payment of such de*ble fees shall not relieve any persons from the 6 International Fire Code- 2012 Update requirements of this code from any penalties Prescribed by this code. 440. Fees - Termination. Section 113 of the International Fire Code, entitled "Fees," is amended by adding the following new subsection 113.6: Sec. 113.6. Termination. Failure to pay for either an original permit or the required renewal within 30-60 days of the date notice is given; shall result in the City's termination of the permit or certificate application. Sec. 13.01.040. Amendments to the International Fire Code - Chapter 2, Definitions. The followina local amendments to Chapter 2 of the International Fire Code, entitled "Definitions," including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. Definitions - General. Section 202 of the International Fire Code, entitled "Definitions," is amended by adding the following definition to subsection 202: PROBLEMATIC FIRE PROTECTION SYSTEM. A fire protection system that generates repeated preventable. Sec. 13.01.0"050. Amendments to the International Fire Code - Chapter 3, General Requirements. The following local amendment to Chapter 3 of the International Fire Code, entitled "General Requirements," including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. Miscellaneous Combustible Materials Storage - Idle Pallets. Section 315 of the International Fire Code, entitled "Miscellaneous Combustible 7 International Fire Code- 2012 Update Materials Storage," is amended by adding a new subsection 315.34.3 as follows: Sec. 315.34.3. Idle Pallets. Idle pallets shall be stored in accordance with Sections 315.34.3.1 through 315.34.3.4. Sec. 315.34.3.1. Buildings protected with automatic sprinklers. In buildings protected with approved automatic sprinklers, the storage of idle pallets shall be in accordance with NFPA 13 Table Al2.12.1.1. Sec. 315.34.3.2. Buildings without sprinkler protection. In buildings that do not have protection through approved automatic sprinklers, the storage of idle pallets shall be in accordance with Table 315.34.3.2. Table 315.34.3.2 Clearances' Between Storage and Buildings Over Openings 0-50 51-200 200 Construction Type Pallets Pallets Pallets Masonry None 5 5 10 1 hour Masonry protected 5 10 20 openings 3/4 hour Masonry protected 10 20 30 openings Non Masonry protected 20 30 50 openings Other 20 30 50 '. All distances measured in feet. Sec. 315.34.3.3. Separation from other storage. The storage of idle pallets shall be separated from other storage in accordance with Table 315.34.3.3. 8 International Fire Code- 2012 Update Table 315.34.3.3 Clearance to Other Storage Pile Size Minimum Distance' 0-50 20 51-200 30 Over 200 50 '. All distances measured in feet. Sec. 315.34.3.4. Stacks. Pallet stacks shall be arranged to form stable piles. Piles shall be limited to an area not greater than 400 square feet. A distance half the pile height or not less than 8 ft. shall separate stacks. Sec. 13.01.859060. Amendments to the International Fire Code - Chapter 5, Fire Service Features. The following local amendments to Chapter 5 of the International Fire Code, entitled "Fire Service Features," including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. i ire Set ice Features Eefinitiens. Seamen 592 of the r...},..-...atme.....I FiFe Gede, entitled "Definitions," is angended by adding the following definition to subseEtmen 502-4--'. of less than 20 nt of the building eteF by fFeng eaEh flOff 'eye' and with a dOOF opening onto the Inter-natienai Building Code.- BA. Fire service features - Fire apparatus access roads. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is hereby adopted. 9 International Fire Code- 2012 Update GB. Fire apparatus access roads - Dimensions. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by substituting subsection 503.2.1 with the following: Sec. 503.2.1. Dimensions. The following minimum dimensions shall apply for fire apparatus access roads: 1. Fire apparatus access roads shall have an unobstructed width of not less than 20 feet (6096 mm), except for approved security gates in accordance with section 503.6, and an unobstructed vertical clearance of not less than 13 feet 6 inches (4115 mm). 2. Fire apparatus access road routes shall be approved by the fire code official. At 'east one of at least 15 feet and net n9eFe than 25 feet fFeng eaEh building en the PFengises and- shall be pesitiened paFallel to one entiFe side of eaEh building. The the &AeFiff wall of the building to the neaFest edge e 9C. Fire apparatus access roads - Surface. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by substituting subsection 503.2.3 with the following: Sec. 503.2.3. Surface. Fire apparatus access roads shall be constructed with a surface of asphalt, concrete, or other approved driving surface capable of supporting the imposed load of fire apparatus weighing at least 30 tons (27,240 kg). ED. Fire apparatus access roads - Turning radius. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by substituting subsection 503.2.4 with the following: Sec. 503.2.4. Turning radius. All fire apparatus access roads shall have a 30 foot minimum inside turning radius and a 50 foot minimum outside turning radius. The radius must be measured from the travel lane edge, unless otherwise approved. 10 International Fire Code- 2012 Update FE. Fire apparatus access roads - Dead Ends. Section 503 of the International Fire Code is amended by substituting subsection 503.2.5 with the following: Sec. 503.2.5. Dead ends. Dead-end fire apparatus access roads in excess of 150 feet (45.72 m) in length shall be provided with an approved turnaround designed as illustrated in the Kent Design and Construction Standards, unless otherwise approved. GF. Fire apparatus access roads - Bridges and elevated surfaces. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by substituting subsection 503.2.6 with the following: Sec. 503.2.6. Bridges and elevated surfaces. Where a bridge or an elevated surface is part of a fire apparatus access road, the bridge or elevated surface shall be constructed and maintained in accordance with specifications established by the fire code official and the City's public works director, or their designees; at a minimum, however, the bridge or elevated surface shall be constructed and maintained in accordance with AASHTO Standard Specifications for Highway Bridges. Bridges and elevated surfaces shall be designed for a live load sufficient to carry the imposed loads of a 30 or more ton fire apparatus, the total imposed load to be determined by the fire code official. Vehicle load limits shall be posted at both entrances to bridges when required by the fire code official. Where elevated surfaces designed for emergency vehicle use are adjacent to surfaces which are not designed for that use, approved barriers or approved signs, or both, shall be installed and maintained, if required by the fire code official. +4G. Fire apparatus access roads - Grade. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by substituting subsection 503.2.7 with the following: Sec. 503.2.7. Grade. Fire apparatus access roads shall not exceed 15 percent longitudinal and/or 6 percent laterally in grade. Approach and departure 11 International Fire Code- 2012 Update angle for fire apparatus access shall be as determined by the fire code official. 1H. Fire apparatus access roads - Access road width with a hydrant. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by adding the following new subsection 503.2.9: Sec. 503.2.9. Access road width with a hydrant. Where a fire hydrant is located on a fire apparatus access road, the minimum road width shall be 26 feet for 20 feet on both sides of the hydrant operating nut and shall be marked as a fire lane per Section 503.3. 3I. Fire apparatus access roads - Marking. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by substituting subsection 503.3 with the following: Sec. 503.3. Marking. Fire apparatus access roads shall be marked whenever necessary to maintain the unobstructed minimum required width of roadways. Subject to the fire code official's prior written approval, marked fire apparatus access roads, or "fire lanes" may be established or relocated at the time of plan review, pre-construction site inspection, and/or post construction site inspection as well as any time during the life of the occupancy. Only those fire apparatus access roads established by the fire code official can utilize red marking paint and the term "fire lane." Fire lanes shall be marked as directed by the fire code official with one or more of the following types of markings in accordance with the Kent Design and Construction Standards: Sec. 503.3.1. Type 1. Type 1 marking shall be installed to identify fire lanes on commercial and multi-family developments or as directed by the fire code official. Sec. 503.3.2. Type 2. Type 2 marking shall be installed to identify fire lanes in one- and two-family dwelling developments, turnarounds, or as directed by the fire code official. 12 International Fire Code- 2012 Update Sec. 503.3.3. Type 3. Type 3 marking shall be installed to address situations where neither Type 1 or 2 marking is effective as determined by the fire code official. 1. Specific areas designated by the fire code official shall be marked with diagonal striping across the width of the fire lane. Diagonal marking shall be used in conjunction with painted curbs and/or edge striping and shall run at an angle of 30 to 60 degrees from one side to the other. These diagonal lines shall be in red traffic paint, parallel with each other, at least 6 inches in width, and 24 inches apart. Lettering shall occur as with Type 1 marking. K3. Fire apparatus access roads - Commercial and Industrial Developments. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by adding the following new subsection 503.7: Sec. 503.7. Commercial and Industrial Developments. Fire apparatus access roads serving commercial and industrial developments shall be in accordance with Sections 503.7.1through 503.7.3. Sec. 503.7.1. Buildings exceeding three stories or 30 feet in height. Buildings or facilities exceeding 30 feet or three stories in height shall have at least three two means of fire apparatus access for each structure. Sec. 503.7.2. Buildings exceeding 62,000 square feet in area. Buildings or facilities having a gross building area of more than 62,000 square feet shall be provided with two separate and approved fire apparatus access roads. Exception: Projects having a gross building area of up to 124,000 square feet that have a single approved fire apparatus access road when all buildings are equipped throughout with approved automatic sprinkler systems. 13 International Fire Code- 2012 Update Sec. 503.7.3. Remoteness. Where two access roads are required, they shall be placed a distance apart equal to not less than one half of the length of the maximum overall diagonal dimension of the property or area to be served, measured in a straight line between accesses. LK. Fire apparatus access roads - Aerial Fire Apparatus Access Roads. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by adding the following new subsection 503.8: Sec. 503.8. Aerial fire apparatus roads. The fire apparatus access roads that accommodate aerial fire apparatus shall be in accordance with Sections 503.8.1 through 503.8.3. Sec. 503.8.1. Where required. Buildings or portions of buildings or facilities exceeding 30 feet in height above the lowest level of fire department vehicle access shall be provided with approved fire apparatus access roads that are capable of accommodating fire department aerial apparatus. Overhead utility and power lines shall not be located within the aerial fire apparatus access roadway. Sec. 503.8.2 Width. Fire apparatus access roads shall have a minimum unobstructed width of 26 feet, exclusive of shoulders, in the immediate vicinity of any building or portion of building more than 30 feet in height. Sec. 503.8.3 Proximity to building. At least one of the required access routes meeting this condition shall be positioned parallel to one entire side of the building. The location of the parallel access route shall be approved. ML. Fire apparatus access roads - Multi-Family Residential Developments. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by adding the following new subsection 503.9: Sec. 503.9. Multi-family residential developments. The fire apparatus access roads 14 International Fire Code- 2012 Update serving multi-family residential developments shall be in accordance with Sections 503.9.1through 503.9.2. Sec. 503.9.1. Projects having from 100 through 200 dwelling units. Multi-family residential projects having from 100 through 200 dwelling units shall be provided with two separate and approved fire apparatus access roads. Exception: Projects having up to 200 dwelling units may have a single approved fire apparatus access road when all buildings, including nonresidential occupancies, are equipped throughout with approved automatic sprinkler systems installed in accordance with Section 903.3.1.1 or 903.3.1.2. Sec. 503.9.2. Projects having more than 200 dwelling units. Multi-family residential projects having more than 200 dwelling units shall be provided with two separate and approved fire apparatus access roads regardless of whether they are equipped with an approved automatic sprinkler system. P}M. Fire apparatus access roads - One- and Two-Family Residential Developments. Section 503 of the International Fire Code, entitled "Fire Apparatus Access Roads," is amended by adding the following new subsection 503.10: Sec. 503.10. One- and Two-family residential developments. The fire apparatus access roads serving one- and two--family residential developments shall be in accordance with Sections 503.10.1. Sec. 503.10.1. Projects having more than 30 dwelling units. Developments of one- or two-family dwellings where the number of dwelling units exceeds 30 shall be provided with separate and approved fire apparatus access roads and shall meet the requirements of Section 503.7.3. Exceptions: 1. Where there are more than 30 dwelling units on a single public or private fire apparatus access road and 15 International Fire Code- 2012 Update all dwelling units are equipped throughout with approved automatic sprinkler systems installed in accordance with Section 903.3.1.1, 903.3.1.2, or 903.3.1.3 of the International Fire Code, access from two directions shall not be required. 2. The number of dwelling units on a single fire apparatus access road shall not be increased unless fire apparatus access roads will, within a reasonable time, connect with future development, as determined by the fire code official. ON. Fire Apparatus Access Roads - Underground Structures. Section 503 of the International Fire Code, entitled, "Fire Apparatus Access Roads," is amended by adding the following new subsection 503.11: Sec. 503.11. Underground structures. Installation of underground structures under or within 10 feet of fire apparatus access roads shall be designed using approved load criteria that shall accommodate the loading of fire department aerial apparatus unless otherwise approved. O. Fire protection water supplies - Inspection, testing and maintenance. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by substituting subsection 507.5.2 as-feflowswith the following: Sec. 507.5.2. Inspection, testina and maintenance. Private fire hydrant systems shall be subiect to annual testing. Fire hydrant systems shall be maintained in operative condition at all times and shall be repaired where defective. Additions, repairs, alterations, and servicing shall comply with approved standards. P. Aeeess to building epenings and reefs Required aceess. SeEt;en and Reefs," is angended by substituting subseEtien 504.1 with the €el lewi n g: 16 International Fire Code- 2012 Update Eede OF the intefflatienal Building Gede shall be EenneEt fire appaFatus aEEeSS Feads to eAeFie epen s. L�1Vh•: P. Fire Protection water supplies - Records. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by adding a new subsection 507.5.3.1: Sec. 507.5.3.1. Records. Records of all system inspections, tests and maintenance required by the referenced standard shall be maintained on the premises for three years; copies shall be delivered to the fire code official within 30 calendar days of each test, inspection, or maintenance of the system. Q. Fire protection water supplies - Physical protection. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by substituting subsection 507.5.6 as fellewwith the following: Sec. 507.5.6. Physical protection. Where fire hydrants are subject to impact by a motor vehicle, guard posts shall be designed and installed in accordance with the Kent Design and Construction Standards. 17 International Fire Code- 2012 Update R. Fire protection water supplies - Fire Hydrant. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by adding a new subsection 507.5.7 as follows: Sec. 507.5.7. Fire hydrant. Fire hydrants shall be designed and installed in accordance with the l(en local water purveyor's Bdesign and 6construction Sstandards. S. Fire protection water supplies - Backflow prevention. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by adding a new subsection 507.5.8 as follows: Sec. 507.5.8. Backflow prevention. All private fire systems shall be isolated by an approved method in accordance with the local water purveyor. T. Fire protection water supplies - Capacity for residential areas. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by adding a new subsection 507.6 as follows: Sec. 507.6. Capacity for residential areas. All hydrants installed in single family residential areas shall be capable of delivering 1,500 gpm fire-flow over and above average maximum demands at the farthest point of the installation. U. Fire protection water supplies - Spacing. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by adding a new subsection 507.7 as follows: Sec. 507.7. Spacing. The spacing of hydrants shall be in accordance with Sections 507.7.1 through 507.7.5. Sec. 507.7.1. Single family. The maximum fire hydrant spacing serving single family residential areas shall be 600 feet as measured along the fire apparatus access road. Sec. 507.7.2. Commercial, industrial and multi- family. The maximum fire hydrant spacing serving commercial, industrial, multi-family or other areas 18 International Fire Code- 2012 Update shall be 300 feet as measured along the fire apparatus access road. Sec. 507.7.3. Medians. Where streets are provided with median dividers which cannot be crossed by firefighters pulling hose lines, hydrants shall be provided on each side of the street and be arranged on an alternating basis, providing, on each side of the street, no more than the maximum spacing. Sec. 507.7.4. Arterials. Where arterial streets are provided with four or more traffic lanes hydrants shall be provided on each side of the street and be arranged on an alternating basis, providing, on each side of the street, no more than the maximum spacing. Sec. 507.7.5. Transportation. Where new water mains are extended along streets where hydrants are not needed for protection of structures or similar fire problems, fire hydrants shall be provided at a spacing not to exceed 1,000 feet to provide for transportation hazards. V. Fire protection water supplies - Required hydrants. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by adding a new subsection 507.8 as follows: Sec. 507.8. Required hydrants. The number of hydrants required for a building shall be based on the calculated fire-flow. The first hydrant will be calculated for up to 1,500 gpm. An additional hydrant will be required for every additional 1,000 gpm, or fraction thereof. The required hydrants shall be within 600 feet of the building as measured along the fire apparatus access roads serving the building. W. Fire protection water supplies - Notification. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by adding a new subsection 507.9 as follows: Sec. 507.9 Notification. The owner of property on which private hydrants are located and the public agencies that own or control public hydrants must 19 International Fire Code- 2012 Update provide the fire code official with the following written service notifications in accordance with 507.9.1 and 507.9.2.: Sec. 507.9.1 In-service notification. The fire code official shall be notified when any newly installed hydrant or main is placed into service. Sec. 507.9.2 Out-of-service notification. Where any hydrant is out of service or has not yet been placed in service, the hydrant shall be identified as being out of service and shall be appropriately marked as out of service, by a method approved by the fire code official. X. Fire protection water supplies - Building permit requirements. Section 507 of the International Fire Code, entitled "Fire Protection Water Supplies," is amended by adding a new subsection 507.10 as follows: Sec. 507.10. Building permit requirements. No building permit shall be issued until all plans required by this section have been submitted and approved in accordance with the provisions of this section. No construction beyond the foundation shall be allowed until all hydrants and mains required by this section are in place and approved. Sec. 13.01.0"070. Amendments to the International Fire Code - Chapter 6, Building Services and Systems. The following local amendments to Chapter 6 of the International Fire Code, entitled "Building Services and Systems," including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. Mechanical Refrigeration - Testing of equipment. Section 606 of the International Fire Code, entitled "Mechanical Refrigeration," is amended by substituting 606.6 with the following: 20 International Fire Code- 2012 Update Sec. 606.6 Testing of equipment. Refrigeration equipment and systems having a refrigerant circuit more than 220 pounds of Group Al or 30 pounds of any other group refrigerant shall be subject to periodic testing in accordance with Section 606.6.1. A written record of the required testing shall be maintained on the premises for a minimum of three years; a copy shall be sent to the fire code official within 30 calendar days of the testing; and a label or tag shall be affixed to the individual system identifying the date of the testing. Tests of emergency devices or systems required by this chapter shall be conducted by persons trained and qualified in refrigeration systems. AB. Commercial Kitchen Hoods - Where required. Section 609 of the International Fire Code, entitled "Commercial Kitchen Hoods," is amended by adding the following subsections to section 609.2: Sec. 609.2.-1-.2 Permit Required. Permits shall be required as set forth in Section 105.6. Sec. 609.2.-23. Approved drawing. The stamped and approved cook line drawing shall be displayed adjacent to the suppression system pull station prior to the final inspection. The approved drawing shall be maintained and available for inspection. C. Commercial Kitchen Hoods - Records. Section 609 of the International Fire Code, entitled "Commercial Kitchen Hoods," is amended by substituting subsection 609.3.3.3 with the following: Sec. 609.3.3.3 Records. Records for inspections shall state the individual and company_performing the inspection, a description of the inspection, and wthertthe date on which the inspection took place. Records for cleanings shall state the individual and company performing the cleaning and w li"the date on which the cleaning took place. Such records shall be completed after each inspection or cleaning, and maintained on the premises for a minimum of three _years; a copy shall be sent to the fire code official within 30 days of the inspection or cleaning; and a label or tag shall be affixed to the individual system identifying the date of the inspection or cleaning. 21 International Fire Code- 2012 Update Sec. 13.01.67-9080. Amendments to the International Fire Code - Chapter 7, Fire-Resistance-Rated Construction. The following local amendments to Chapter 7 of the International Fire Code, entitled "Fire-Resistance-Rated Construction," including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. Fire-Resistance-Rated Construction - Testing. Section 703 of the International Fire Code, entitled "Fire-Resistance-Rated Construction," is amended by substituting 703.4 with the following: Sec. 703.4. Testing. Horizontal, vertical sliding and rolling fire doors shall be inspected and tested annually to confirm proper operation and full closure. A written record shall be maintained on the premises for three years; a eepks-copy shall be �'�ed sent to the fire code official within 4430 calendar days of the inspection or test; and a label or tag shall be affixed to the individual assembly identifying the date of the scheduled confidence test. Sec. 13.01.0"090. Amendments to the International Fire Code - Chapter 9, Fire Protection Systems. The following local amendments to Chapter 9 of the International Fire Code, entitled "Fire Protection Systems," including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. Fire protection systems - Scope and application. Section 901 of the International Fire Code, entitled "General," is amended by substituting subsection 901.1 with the following: Sec. 901.1. Scope and application. The provisions of this chapter shall apply to all occupancies and buildings, shall specify where fire protection systems are required, and shall apply to the design, installation, inspection, operation, testing, and 22 International Fire Code- 2012 Update maintenance of all fire protection systems; however, nothing contained in this chapter shall diminish or reduce the requirements of any duly adopted building codes, including state and local amendments, or other city ordinances, resolutions, or regulations. In the event of any conflict in requirements among these codes, ordinances, resolutions, or regulations, the more stringent provision shall apply. B. Fire Protection Systems - Records. Section 901 of the International Fire Code, entitled "General," is amended by substituting 901.6.2 with the followina: Sec. 901.6.2. Records. Records of all system inspections, tests and maintenance required by the referenced standards shall be maintained on the premises for three years; copies shall be delivered to the fire code official within 30 calendar days of each test, inspection, or maintenance of the system; and a label or tag shall be affixed to the individual system identifying the date of the scheduled confidence test. SC. Fire protection systems - Definitions. Section 902 of the International Fire Code, entitled "Definitions," is amended by adding the following definition to the list inta subsection 902.1: PROBLEMATIC FIRE PROTECTION SYSTEM: A fiFe F. F4Fe'--Pfetectien Systems ReeeFds. SeEtien 901 of the intefflati, nal FiFe Gede,entitled"GeneFaa," is _ngen ed by substituting 90 c 2 with the fellewi n g: FefeFenEed standaFds sha" be maintained on the test, inspeEtien, OF n9aintenanEe of the systeng. 23 International Fire Code- 2012 Update D. Automatic sprinkler systems General. SeEtlen 903 of the angended by substituting 993.1 with the fe"ewing: See. 903.1. Gene=ah AutenqatiE p- ..I_I_. tees shall Eengply with this seEtien and shall be EensideFed ED. Automatic sprinkler systems - Where required. Section 903 of the International Fire Code, entitled "Automatic Sprinkler Systems," is amended by supplementing subsection 903.2 with the following: Sec. 903.2. Where required. Approved automatic fire sprinkler systems shall be installed as follows: 1. In all buildings without adequate fire flow: Exception: Miscellaneous Group U Occupancies. 2. All new buildings and structures regulated by the International Building Code requiring 2,000 gallons per minute or more fire flow, or with a gross floor area of 10,000 or more square feet (929 M2), or where this code provides a more restrictive floor/fire area requirement, and shall be provided in all locations or where described by this code. Exception: Spaces or areas in telecommunications buildings used exclusively for telecommunications equipment, associated electrical power distribution equipment, batteries, and standby engines, provided those spaces or areas are equipped throughout with an automatic smoke detection system in accordance with Section 907.2 and are separated from the remainder of the building by not less than 1 hour fire barriers constructed in accordance with Section 707 of the International Building Code or not less than 2 hour horizontal assemblies constructed in accordance with Section 712 of the International Building Code, or both. 3. Where this code requires the installation of an automatic sprinkler system to protect an occupancy within an otherwise non-sprinklered building, then 24 International Fire Code- 2012 Update automatic sprinkler protection will be required throughout the entire building. 4. When the required fire apparatus access roadway grade is 12 percent or greater. FE. Automatic sprinkler systems - Speculative use warehouses. Section 903 of the International Fire Code, entitled "Automatic Sprinkler Systems," is amended by adding the following new subsection 903.2.9.3: Sec. 903.2.9.3. Speculative use warehouses. Where the occupant, tenant, or use of the building or storage commodity has not been determined or it is otherwise a speculative use warehouse or building, the automatic sprinkler system shall be designed to protect not less than Class IV non-encapsulated commodities on wood pallets, with no solid, slatted, or wire mesh shelving, and with aisles that are 8 feet or more in width and up to 20 feet in height. GF. Automatic sprinkler systems - Check valve. Section 903 of the International Fire Code, entitled "Automatic Sprinkler Systems," is amended by adding a new subsection 903.3.8 as follows: Sec. 903.3.8. Check valve. All automatic sprinkler system risers shall be equipped with a check valve. I I. Automatic sprinkler systems E96sting buildings. SeEtien 903 of the Emisting Buildings. An appFOved �T 1G. Automatic sprinkler systems - Riser room access. Section 903 of the International Fire Code, entitled "Automatic Sprinkler Systems," is amended by adding a new subsection 903.7 as follows: 25 International Fire Code- 2012 Update Sec. 903.7. Riser room access. All risers shall be located in a dedicated room with an exterior door, and with lighting and heat for the room. 3H. Fire alarm and detection systems - General. Section 907 of the International Fire Code, entitled "Fire Alarm and Detection Systems," is amended by substituting subsection 907.1.3 with the following: Sec. 907.1.3. Equipment. Systems and their components shall be listed and approved for the purpose for which they are installed. All new alarm systems shall be addressable. Each device shall have its own address and shall annunciate individual addresses at a UL Central Station. andstr-uetuFes. SeEtien 907 of znternatiena; FiFe Gede entitled "FiFe Alarm and DeteEtion Systems," is _needed by substituting _ub==="_" 907.2 with the fellewing: 72 shall be PFeVided on new buildings and StFUEWFe StF E �T�fCs. autengatiE fiFedeteEtersOFwateF flew eteEtien deviEes. WheF ether seEtiens of this Eede allow single fiFe a'aFng bex shall be installed. 26 International Fire Code- 2012 Update , L. Fi,=c alarm andDetection systems Duct smoke detectors. SeEtien von of the xllca llaclollal l uc coat, entitled dire Aarm and Beteetien Systems," is annended by substituting the fellewing On subseEtien 907.4 A: See. et -make deteeters. DuEt snge!Ee audible signal 'in an appFeved leEatien. Snge!Ee- eF audible signal On an appFeved leEatien and shall MI. Fire alarm and detection systems - Latched alarms. Section 907 of the International Fire Code, entitled "Fire Alarm and Detection Systems," is amended by adding a new subsection 907.10 as follows: Sec. 907.10. Latched alarms. All signals shall be automatically "latched" at the fire alarm control unit until their operated devices are returned to normal condition, and the control unit is manually reset. 27 International Fire Code- 2012 Update 443. Fire alarm and detection systems - Resetting. Section 907 of the International Fire Code, entitled "Fire Alarm and Detection Systems," is amended by adding a new subsection 907.11 as follows: Sec. 907.11. Resetting. All fire alarm control units shall be reset only by an approved person. Sec. 907.11.1. Reset code. The reset code for the fire alarm control unit or keypad shall be 3-7-1-2-3-4. The reset code shall not be changed without approval of the fire code official. 8K. Fire alarm and detection systems - Fire alarm control unit location. Section 907 of the International Fire Code, entitled "Fire Alarm and Detection Systems," is amended by adding a new subsection 907.12 as follows: Sec. 907.12. Fire alarm control unit location. All fire alarm control units shall be located in the riser room designed and installed in accordance with Section 903.7, or an approved location. PL. Smoke Control Systems- Written Record. Section 909 of the International Fire Code, entitled "Smoke Control Systems," is amended by substituting 909.20.2 with the following: Sec. 909.20.2. Written record. The records shall include the date of the maintenance, identification of the servicing personnel and notification of any unsatisfactory condition and the corrective action taken, including parts replacement. The written record of smoke control system testing and maintenance shall be maintained on the premises for three years and copies shall be delivered to the fire code official within 3A-30 calendar days of each test or maintenance of the system; and a label or tag shall be affixed to the individual system identifying the date of the scheduled testing. QM. Fire Protection Systems - Signs. Section 912 of the International Fire Code, entitled "Fire Department Connections," is amended by substituting 912.4 with the following: 28 International Fire Code- 2012 Update Sec. 912.4. Signs. Fire department connections shall be clearly identified in an approved manner_--te All fire department connections shall have an approved sign attached below the Siamese clapper. The sign shall specify the type of water-based fire protection system, the structure, and the building areas served. Sec. 13.01.649100. Amendments to the International Fire Code - Chapter 4611, Construction Requirements for Existing Buildings. The following local amendments to Chapter 46-11 of the International Fire Code, entitled "Construction Requirements for Existing Buildings," including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. Fire Safety Requirements for Existing Buildings - Additions and Alterations. Section 4603 1103 of the International Fire Code, entitled "Fire Safety Requirements for Existing Buildings," is amended by adding a new subsection 46031103.45.4-3 as follows: Sec. 46031103.45.43. Substantial Alterations end-edditierrs. The provisions of this chapter shall apply to additions and substantial alterations to existing buildings regardless of use when a suEh ~eateF squaFe feet OF substantial alteration occurs in a structure equaling 10,000 or greater square feet. For purposes of this section, a substantial alteration shall be defined as an alteration that costs 50 percent or more of the current assessed value of the structure and impacts more than 50% of the gross floor area. B. Fire Safety Requirements for Existing Buildings - Fire Alarm Control Unit Replacement. Section 4693-1103 of the International Fire Code, entitled "Fire Safety Requirements for Existing Buildings," is amended by adding a new subsection 46031103.7.4-8 as follows: 29 International Fire Code- 2012 Update Sec. 46031103.7.48. Fire alarm control unit replacement. If an existing fire alarm control unit is replaced with identical equipment it shall be considered maintenance. Sec. 13.01.300110. Amendments to the International Fire Code - Chapter 4-780, Referenced Standards. The following local amendments to Chapter 47-80 of the International Fire Code, entitled "Referenced Standards," including all amendments enacted by the State of Washington, are hereby adopted and incorporated into the International Fire Code as follows: A. Referenced Standards - NFPA. Section NFPA of the International Fire Code, entitled "Reference Standards," is amended by modifying the Standard reference number dates of publication as follows: 13-130 Installation of Sprinkler Systems 13D-130 Installation of Sprinkler Systems in One- and Two-family Dwellings and Manufactured Homes 13R-130 Installation of Sprinkler Systems in Residential Occupancies up to and Including Four Stories in Height 20-13G Installation of Stationary Pumps for Fire Protection 24-130 Installation of Private Fire Service Mains and Their Appurtenances 72-13 National Fire Alarm and Signaling Code 110-138 Emergency and Standby Power Systems 111-138 Stored Electrical Energy Emergency and Standby Power Systems 720-12 Installation of Carbon Monoxide (CO) Detection and Warning Equipment Sec. 13.01.349120. Amendments to the International Fire Code - Appendix B, Fire-Flow Requirements for Buildings. The following local amendments to Appendix B to the International Fire Code, 30 International Fire Code- 2012 Update entitled "Fire-Flow Requirements for Buildings," including all amendments enacted by the State of Washington are hereby adopted and incorporated into the International Fire Code as follows: A. Fire-flow requirements for buildings - Increases. Section B103 of the International Fire Code, entitled "Fire-Flow Requirements for Building" is amended by substituting subsection B103.1 with the following: B103.1 Increases. The fire chief is authorized to increase the fire--flow requirements where exposures could be impacted by fire. An increase shall not be more than twice that required for the building under consideration. B. Fire-flow requirements for buildings. Section B105 of the International Fire Code, entitled "Fire-Flow Requirements for Buildings," is amended by substituting section B105.1 with the following: B105.1 One- and two-family dwellings. Fire-flow requirements for one- and two-family dwellings shall be in accordance with Sections B105.1.1 throuah B105.1.3. B105.1.1 Buildings less than 3,600 square feet. The minimum fire-flow and flow duration requirements for buildings less than 3,600 square feet shall be 1,000 gallons per minute for 1 hour. Exception: A reduction in required fire-flow of 50 percent, as approved, is allowed when the building is equipped with an approved automatic sprinkler system. B105.1.2 Buildings greater than 3,600 square feet or more. The minimum fire-flow and flow duration requirements for buildings that are 3,600 square feet or larger shall not be less than that specified in Table B105.1. Exception: A reduction of fire-flow and flow duration to 1,000 gallons per minute for 1 hour, as approved, is 31 International Fire Code- 2012 Update allowed when the building is equipped with the following; 1. An approved automatic sprinkler system 2. 1-hour fire resistant rated exterior walls tested in accordance with ASTM E 119 or UL 263 with exposure on the exterior side and proiections with 1-hour underside protection, fire blocking installed from the wall top plate to the underside of the roof sheathing and no gable vent openings. Exception: Walls with a distance greater than 11' to the nearest exposure or face an unbuildable lot, tract or buffer. The distance shall be measured at riaht angles from the face of the wall. B105.2 Buildings other than one- and two-family dwellings. The minimum fire-flow and flow duration for buildings other than one- and two-family dwellings shall be as specified in Table B105.1. Exception: A reduction in required fire-flow of 50 percent, as approved, is allowed when the building is provided with an approved automatic sprinkler system. The resulting fire-flow shall not be less than 1,500 gallons per minute for the prescribed duration as specified in Table B105.1. B105.2.1 Tents and Membrane structures. No fire flow is required for tents and membrane structures. B105.2.2 Accessory residential Group u buildings. Accessory residential Group U buildings shall comply with the requirements of B105.1. AB. Rre New requirements fet= buile�ngs Accessory Group 5 C__t m_n BINS of the into ,.^tm_nal Cm._ !`_de entitled new uM,-eEtm n BINS 1 1 32 International Fire Code- 2012 Update squaFe Feet of seEtmen 598A A at least 10' fFeng any building and at least 5' fFeng the PFOpeFty line. Sec. 13.01.3—A-9130. Fire codes — Fees. The city council shall, by resolution, establish the fees to be assessed to implement and enforce the fire codes adopted in this title. Sec. 13.01.339140. Appeals. A. Appeals to the hearing examiner. 1. Jurisdiction. In order to hear and decide appeals of orders, determinations, or decisions made by the fire code official relative to the suitability of alternate materials, designs, and methods of construction, and to provide for reasonable application and interpretation of the provisions of the International Fire Code, the city of Kent hearings examiner is hereby designated as the board of appeals created pursuant to Section 108 of the International Fire Code adopted in KCC 13.01.030 for all matters concerning the application of the fire codes. The city hearings examiner, however, shall have no authority relative to interpretation of the 33 International Fire Code- 2012 Update administrative provisions of these codes, nor shall the city hearings examiner be empowered to waive requirements of these codes. 2. Filing. Appeals shall be filed with the hearings examiner by 5:00 p.m. of the fourteenth calendar day following the date of the order, determination, or decision being appealed. When the last day of the appeal period so computed is a Saturday, Sunday, or federal or city holiday, the period shall run until 5:00 p.m. on the next business day. The appeal shall be accompanied by payment of the filing fee. Specific objections to the fire code official's decision and the relief sought shall be stated in the written appeal. 3. Standing. Standing to bring an appeal under this chapter is limited to the following persons: a. The applicant and the owner of property to which the permit decision is directed. b. Another person aggrieved or adversely affected by the order, determination, or decision, or who would be aggrieved or adversely affected by a reversal or modification of the order, determination, or decision. A person is aggrieved or adversely affected within the meaning of this section only when all of the following conditions are present: i. The order, determination, or decision has prejudiced or is likely to prejudice that person; ii. A judgment in favor of that person would substantially eliminate or redress the prejudice to that person caused or likely to be caused by the order, determination, or decision; and iii. The appellant has exhausted his or her administrative remedies to the extent required by law. B. Appeals to superior court. Appeals to the hearings examiner shall be made pursuant to Ch. 2.32 KCC. The decision of the hearings examiner shall be final and conclusive unless within twenty-one (21) calendar days of the hearings examiner's decision an appeal is filed with the superior 34 International Fire Code- 2012 Update court. When the last day of the appeal period so computed is a Saturday, Sunday, or federal or city holiday, the period shall run until the next business day. SECTION 2, — SeverabilitY. If any one or more section, subsections, or sentences of this ordinance are held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this ordinance and the same shall remain in full force and effect. SECTION 3, — Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; references to other local, state or federal laws, codes, rules, or regulations; or ordinance numbering and section/subsection numbering. SECTION 4, — Effective Date. This ordinance shall take effect and be in force thirty (30) days from and after its passage as provided by law. However, code amendments provided for in this ordinance shall not take effect and be applied until July 1, 2013. SUZETTE COOKE, MAYOR ATTEST: RONALD F. MOORE, CITY CLERK APPROVED AS TO FORM: 35 International Fire Code- 2012 Update TOM BRUBAKER, CITY ATTORNEY PASSED: day of 2013 APPROVED: day of 12013. PUBLISHED: day of , 2013. I hereby certify that this is a true copy of Ordinance No. passed by the City Council of the City of Kent, Washington, and approved by the Mayor of the City of Kent as hereon indicated. (SEAL) RONALD F. MOORE, CITY CLERK P:\Civil\Ordinance\FireC &2012-PdopWpdate.docx 36 International Fire Code- 2012 Update KENT Agenda Item: Consent Calendar - 7L TO: City Council DATE: May 21, 2013 SUBJECT: S. 2315t Way to Veterans Drive Name Change Resolution - Adopt MOTION: Adopt Resolution No. renaming South 231st Way to Veterans Drive. SUMMARY: Marcus Shelton, a Kent resident, requested that Mayor Suzette Cooke consider renaming South 231st Way to Veterans Drive to honor veterans for their dedication and service to our country, especially his father, the late Thomas E. Shelton, who retired after 26 years in the United States Air Force. Mayor Cooke believes renaming the street would be a fitting tribute to honor all branches of service. The Mayor has requested that South 231st Way be renamed Veterans Drive from the point where it intersects Russell Road and continues west over the Colonel Joe M. Jackson bridge, ending at Military Road. Historically, Military Road opened up supply lines between military forts when it was first completed in 1860, making it one of the oldest roads in Washington. Now the City will have an appropriately-named connection between Military Road and the Colonel Joe M. Jackson bridge. EXHIBITS: Resolution RECOMMENDED BY: Staff and Mayor Cooke BUDGET IMPACTS: None RESOLUTION NO. A RESOLUTION of the City Council of the City of Kent, Washington, renaming South 231't Way to Veterans Drive, honoring all military veterans. RECITALS A. Marcus Shelton, a Kent resident, requested that Mayor Suzette Cooke consider renaming South 231't Way to Veterans Drive to honor veterans for their dedication and service to our country, especially his father, the late Thomas E. Shelton, who retired after 26 years in the United States Air Force. B. Mayor Cooke believes renaming the street would be a fitting tribute to honor all branches of service. C. The Mayor has requested that South 231't Way be renamed Veterans Drive from the point where it intersects Russell Road and continues west over the Colonel Joe M. Jackson bridge, ending at Military Road. D. Historically, Military Road opened up supply lines between military forts when it was first completed in 1860, making it one of the oldest roads in Washington. Now the City will have an appropriately-named connection between Military Road and the Colonel Joe M. Jackson bridge. 1 Resolution Veteran's Drive NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DOES HEREBY RESOLVE AS FOLLOWS: RESOLUTION SECTION 1, — Renaming. South 231't Way in Kent, beginning at Russell Road and ending at its intersection with Military Road, shall be renamed "Veterans Drive." The City's Public Works Department is authorized to describe the exact limits of Veterans Drive by milepost, street section, or other appropriate legal description to the extent required for public safety or other purposes. SECTION 2, — Severability. If any section, subsection, paragraph, sentence, clause or phrase of this resolution is declared unconstitutional or invalid for any reason, such decision shall not affect the validity of the remaining portions of this resolution. SECTION 3, — Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this resolution, including the correction of clerical errors; references to other local, state or federal laws, codes, rules, or regulations; or resolution numbering and section/subsection numbering. SECTION 4, — Effective Date. This resolution shall take effect and be in force May 31, 2013. PASSED at a regular open public meeting by the City Council of the City of Kent, Washington, this day of 2013. CONCURRED in by the Mayor of the City of Kent this day of 2013. 2 Resolution Veteran's Drive SUZETTE COOKE, MAYOR ATTEST: RONALD F. MOORE, CITY CLERK APPROVED AS TO FORM: TOM BRU BAKE R, CITY ATTORNEY I hereby certify that this is a true and correct copy of Resolution No. passed by the City Council of the City of Kent, Washington, the day of 2013. RONALD F. MOORE, CITY CLERK P:\Civil\I solution\Veteran's Drive.Docx 3 Resolution Veteran's Drive KENT Agenda Item: Other Business — 8A TO: City Council DATE: May 21, 2013 SUBJECT: King County Interlocal Agreement for Briscoe/Desimone Levee MOTION: Authorize the Mayor to sign an interlocal agreement with the King County Flood Control District, allocating reimbursement to the City for improve- ments to the Briscoe Desimone Levee, subject to final terms and conditions acceptable to the City Attorney and the Public Works Director. SUMMARY: The State of Washington included in its 2011-2013 biennial budget a $7 million grant for the Briscoe/Desimone Levee. This funding was directed through the King County Flood Control District and is intended to pay for improvements to the levee needed for FEMA accreditation. The Flood Control District also has funding set aside in their budget for this levee segment. After prolonged discussions between the City and Flood Control District Staff on the best alternative for reconstructing deficient levee sections, the Flood Control District Board of Supervisors, at their February 26, 2013 meeting, adopted the city's setback floodwall alternative. The attached interlocal agreement describes the procedure for King County to reimburse the City for the reconstruction effort on the Briscoe/Desimone Levee using state grant money and Flood Control District Funds. EXHIBITS: Interlocal Agreement RECOMMENDED BY: Public Works Committee BUDGET IMPACTS: Under this agreement, the City would be reimbursed up to $18,000,000 (minus King County costs). This $18,000,000 consists of $7,000,000 from the state grant and $11,000,000 from Flood Control District funds. If costs are anticipated to exceed $18,000,000 before all work is complete, the city would approach the Flood Control District for additional funding before moving ahead. AGREEMENT FOR LEVEE CONSTRUCTION, OPERATION AND MAINTENANCE Briscoe—Desimone Levee River Mile 14.3 to 17.0, Right Bank THIS AGREEMENT FOR LEVEE CONSTRUCTION, OPERATION AND MAINTENANCE ("Agreement") of the Briscoe—Desimone Levee, River Mile 14.3 to 17.0, Right Bank ("Levee") is entered into on the last date signed below by and between the Parties, the CITY OF KENT, a Washington municipal corporation ("City"), and KING COUNTY FLOOD CONTROL ZONE DISTRICT, a quasi-municipal corporation of the State of Washington ("District") (collectively,the "Parties"). RECITALS A. King County, Washington, through the Water and Land Resources Division of the King County Department of Natural Resources and Parks ("WLRD"), as service provider to the District pursuant to an interlocal agreement with the District, operates and maintains a major portion of the Green River Levee System. B. The Briscoe-Desimone levee ("Levee") is a key part of the Green River levee system. The District Board of Supervisors desires to improve the Levee by constructing new floodwalls at four sites, known as Reaches 1, 2, 3 and 4, described and shown in Exhibit A (Sheet 1 of 4 and Sheet 3 of 4). The four floodwall projects will hereafter be referred to individually as "Reach "X" Project" or "Reach Project," and collectively as "Levee Project," "Levee Reaches," or "Reach Projects." The Levee Project is planned for construction from 2013 through 2015. The Reach 3 Project will be constructed first, beginning in 2013. C. Based on a collaborative effort, presentation and request to the State Legislature in the 2012 Legislative Session, the Legislature passed ESHB 6074 relating to the 2011-2013 State Capital Budget. Section 3009 of ESHB 6074 appropriated $7,000,000 to the District for the "Briscoe-Desimone levee improvement project". This amount was based on the City's estimated cost to construct the Reach 3 Project in order to meet National Flood Insurance Program accreditation standards, and allow the Federal Emergency Management Agency ("FEMA") to verify compliance with such accreditation standards. Unless the State Legislature reappropriates the funds into the 2013-2015 biennium, the appropriation will need to be expended prior to June 30, 2013 D. Using ESHB 6074 funds, the District desires to authorize and the City desires to construct the Reach 3 Project as soon as possible, in order to provide for the safety of the residents and businesses that will be protected by this levee. 1 EC approved (RB-RK) E. By Resolution FCD2013-06, adopted on April 29, 2013, the District Board of Supervisors authorized the Chair of the Board to enter into a Grant Agreement (No. G1300118) with the state Department of Ecology relating to the use of the $7,000,000 for the Reach 3 Project("DOE Agreement"). The DOE Agreement estimates that the cost of the Reach 3 Project will be $7,500,000, with a maximum grant amount of $7,000,000 and a maximum District contribution of$500,000. F. By Resolution FCD2013-02.2, adopted on February 26, 2013, the District Board of Supervisors declared its intent to address urgent flood risk reduction needs throughout King County and to work cooperatively with Green River cities to manage flood plain resources. In this Resolution, the District Board of Supervisors also approved funding for the Levee Project under certain conditions and requirements to be satisfied by both the City and the District G. In Resolution FCD2013-02.2, the District Board of Supervisors did not specify a maximum funding for the Levee Project. During the District Board of Supervisors' discussions of this Resolution, the City stated that the estimated cost of the Levee Project would be $17,000,000. The District Board of Supervisors required changes to the design of the Levee Project floodwalls and called for additional setbacks for the Reach 1 levee. The City also stated that the required design change would add an additional $1,000,000 to the Reach 1 Project cost, resulting in atotal cost of$18.000,000 for the Levee Project. H. After adoption of Resolution FCD2013-02.2, the City revised its estimate for construction of the Levee Project to $18,500,000. The District has not reviewed or analyzed this City estimate. L The Parties desire to enter into this Agreement to establish the terms and conditions for the Levee Project, and for all four Reach Projects. J. By Motion FCD11-02.1, adopted on July 6, 2011, the District Board of Supervisors adopted certain levee maintenance and repair standards and requirements and addressed countywide flood protection levels, levee accreditation and certification. This Motion is applicable to the Levee Project, to the extent that the Motion is consistent with Resolution FCD2013-02.2. AGREEMENT Based upon the foregoing, the Parties agree as follows: 1. Incorporation of Recitals Scope of Agreement. All recitals above are hereby incorporated and ratified as part of this Agreement. This Agreement establishes the terms and conditions for design, construction, installation, operation, maintenance and repair of improvements to the Levee and its four Reaches, as those terms are defined in the recitals above. 2 EC approved (RB-RK) 2. Definition of District. Unless provided otherwise in this Agreement, the term "District"hereinafter also shall include WLRD in its capacity as service provider to the District. 3. Interlocal Agreement with Tukwila. The City of Kent shall enter into an agreement with the City of Tukwila to act as lead agency for all work within the City of Tukwila. 4. Levee Design, Construction and Reimbursement. a. The City shall design, construct and install the improvements to the Levee Project and the four Reach Projects described and depicted on Exhibit A, attached hereto and incorporated herein by reference in accordance with this Agreement, the DOE Agreement", and District Resolution FCD2013-02.2 ("Resolution") (the Resolution is attached as Exhibit B, which is incorporated herein by reference), as supplemented by the terms and conditions of Attachment A to Exhibit B, attached hereto and incorporated herein by reference. By executing this Agreement, the Parties acknowledge receipt and review of the DOE Agreement. b. The City shall obtain and be responsible for all necessary local, state, and federal permits and approvals for the Levee Project, and shall fully comply with all applicable requirements and conditions thereof. C. The Parties acknowledge and understand that at the effective date of this Agreement, most but not all of the estimated cost of the Levee Project is included in the District's 2013-2018 Six-Year CIP, most but not all of the estimated cost of the Reach 3 Project is included in the District's 2013 Budget, and the estimated cost of the Reach 1, 2 and 4 Projects is anticipated to be included in the District's budgets for 2014 and thereafter. The District's obligation and responsibility to provide funding for the Levee Project, including all four Reach Projects, is conditioned upon appropriation by the District Board of Supervisors of sufficient funds to finance the Levee Project and the four Reach Projects, including the Reach 3 Project in the 2013 and 2014 calendar years. If the District Board of Supervisors fails to appropriate expenditures in a District budget to reimburse the City for costs and expenses related to the Levee Project or any of the four Reach Projects, the District reserves the right to terminate this Agreement, and the City shall immediately terminate work on any and all Reach Projects; provided, that until substantial completion of a Reach Project, the District shall continue to accept and review City requests for reimbursement up to the amount of funds appropriated in an approved District budget and still available for reimbursement under the DOE Agreement or this Agreement. d. The City's cost and expense for the Levee Project improvements shall be reimbursed pursuant to the procedures, requirements and restrictions of paragraph 13 below. e. The City shall obtain and convey to the District or King County any necessary easements for design or construction of or access to the Levee in the form of the standard River Protection Easement in Reference 8-P to the King County Surface Water Design Manual. These 3 EC approved (RB-RK) easements shall include all of the improvements designed and built under this Agreement; all areas necessary for any temporary erosion control measures; a 15-foot maintenance/inspection corridor along the landward side of these areas; and suitable access for heavy equipment to reach all of these areas from the public roadways. All of the easements required for construction of any floodwall segment in Reaches 1 through 4 must be approved, accepted and recorded by the District before commencement of construction of such floodwall segment. The City also shall obtain and convey to the District or King County all restrictive covenants as required by the DOE Agreement for the Reach 3 Project, and as required by other state of Washington Department of Ecology agreements that provide funding for the other Reach Projects. 5. Levee Maintenance, Operation and Repair Standards. The District shall operate, maintain and repair the Levees in accordance with this Agreement, which includes Exhibit C, attached hereto and incorporated herein by reference, and with District general standards, requirements and policies for operation, maintenance and repair of Green River levees, as these are determined and applied by the District, provided that: a. The District shall not be obligated to operate, maintain and repair a Levee if FEMA does not approve a risk-based approach to operation, maintenance and repair of the Levee; and b. If the total cost of Levee operation, repair, and maintenance in the project area shown on Exhibit A exceeds the sum of average annual costs for the Green River levee system over the number of years this agreement has been effective, the City shall cover all costs and expenses in excess of the average. For this purpose, the average annual cost is $95,000 per levee mile per year in 2013, to be adjusted for inflation each year thereafter. The District will provide the City with an annual report of operation, repair, and maintenance costs incurred in the project area. 6. District Review of Levee Plans and CLOMR Applications. The City shall provide to the District a schedule of the material and significant events and actions for design and bidding of each Reach Project, which events and actions shall include, but not be limited to, three design stages and the invitation to bid. The City shall submit plans and specifications for each of these three design stages to the District for review and comment. For all Levee Reaches, at least thirty (30) days before advertising an invitation to bid, the City shall submit to the District for review and comment the plans, specifications and requirements of the invitation to bid and the application (with attachments and exhibits) for a FEMA Conditional Letter of Map Revision ("CLOMR"). The District shall submit any comments within thirty (30) days of receipt of the documents. 7. Additional Activities. The District will provide enhanced monitoring of the Levee through slope stability instrumentation, and the District may seek reimbursement of the cost of such monitoring from State of Washington funding. 4 EC approved (RB-RK) 8. District Inspections. The District shall have the right to inspect the City's construction of the Levee Project. 9. Contracts for Levee Work. Upon execution of a contract for construction of a Reach Project, the City shall send a copy of the contract to the District. 10. Record Drawings: Retention and Review of Documents. The City shall submit to the District record drawings for each Reach Project, in a form and with detail required by the District. The City agrees to maintain documentation of all planning, design, construction and inspection of all Reach Projects sufficient to meet state audit standards for a capital project, recognizing that the costs of the Levee work are paid for in whole or in part by City, District and State of Washington funding sources, and that the City, the District and/or King County may seek recovery of costs expended from other governmental funding sources. The City agrees to maintain any additional documentation that is requested by the District. City contracts and internal documents shall be made available to the District for review and/or independent audit upon request. 11. Access: Special Use Permit. To the extent that the District's or King County's property interests require and allow, the City shall follow the District and/or King County processes for obtaining, as applicable, special use permits, consistent with King County special use permit procedures and standards, and shall obtain such permits for any City access to and construction and inspection work on the Levee. The District shall waive any applicable bond requirements. If Levee Project work involves access to and use of real property for which neither the District nor King County has real property interests or rights, the City shall be responsible for obtaining real property rights sufficient for City access to and construction and inspection of such Levee Project work, and District and WLRD access to and maintenance, operation and repair of the Levee. 12. District Costs and Expenses. a. The total cost to the District of the four Reach Projects shall not exceed $11,000,000, of which the District's maximum contribution toward the Reach 3 Project shall be $500,000. b. For the Reach 3 Project, the District shall seek reimbursement from the State of Washington funding under the DOE Agreement or from the District's maximum contribution of $500,000 toward the Reach 3 Project. The District reimbursement shall be for all actual costs and expenses incurred by the District as of January 1, 2013 to review Reach 3 Project design and construction documents and to inspect the Reach 3 Project work. c. For Reach Projects 1, 2 and 4, the District shall seek reimbursement from the District's maximum contribution of$10,500,000 toward Reach Projects 1, 2 and 4, for all actual 5 EC approved (RB-RK) costs and expenses incurred by the District as of January 1, 2013 to review Reach Projects 1, 2 and 4 design and construction documents and to inspect the Reach Project work. d. For King County employees providing the services to the District described in subsections b and c above, the actual costs shall include salaries, employment benefits and administrative overhead. 13. Reimbursement of City Expenditures. a. No more than once a month, the City shall submit requests for reimbursement of City costs and expenses incurred on or after January 1, 2013 for design, right-of-way acquisition, construction and inspection of the Reach Projects. The requests shall be in a form and shall contain information and data as is required by the District. b. For the Reach 3 Project, the District shall review the requests to confirm that they are reimbursable and payable under the DOE Agreement and this Agreement. The District shall endeavor to complete such review within thirty (30) days of receipt of a request. For reimbursement amounts approved by the District and paid for under the DOE Agreement, the District shall send a request for such reimbursable amounts to the appropriate State department for review and approval, up to a maximum of$7,000,000. Within thirty (30) days of receipt of State funds, the District shall forward the State funds to the City. For requests that are not reimbursable and payable under the DOE Agreement, the District shall endeavor to review such requests within thirty (30) days of receipt of the request, in order to determine whether they are reimbursable and payable under this Agreement. Any approved additional reimbursement shall not exceed a total of$500,000, less any funds paid to the District under this Section 13, without prior authorization from the District. If there are funds remaining from the DOE grant subsequent to construction, the District shall submit a request to DOE to utilize those funds on Reaches 1, 2, and/or 4. The District shall forward the approved reimbursement to the City within forty-five (45) days of the City request. C. For Reach Projects 1, 2 and 4, the District shall review the requests to determine whether they are reimbursable and payable under this Agreement. The District shall endeavor to complete such review within thirty (30) days of receipt of a request. Any approved reimbursement shall not exceed a total of$10,500,000, less any funds paid to the District under Section 12.c., without prior authorization from the District. The District shall forward the approved reimbursement to the City within forty-five (45) days of receipt of the City request. d. The District may postpone review of a City request for reimbursement where all or any part of the request is inaccurate or incomplete. The District shall notify the City of any inaccuracies or incompleteness within thirty (30) days of receipt of the request. The City shall provide the requested information or data within thirty (30) days of the request for such 6 EC approved (RB-RK) information or data. If the request is still inaccurate or incomplete in the opinion of the District, the dispute shall be resolved in accordance with paragraph 22 below. After resolution of the dispute, the District shall send a request for reimbursement to the appropriate State Department or provide reimbursement as provided in this section 13. 14. Levee Warranty. The City shall warrant the materials, work and function of a Reach Project for five (5) years after the City's acceptance of construction of the Reach Project. 15. Compliance with Laws and Regulations. The City shall be responsible for compliance with all applicable laws and regulations, and obtaining all required permits, approvals and licenses in connection with a Reach Project. 16. Impact on Other Reaches or Segments. The District and the City agree that the improvements to the Levee under this Agreement should not have a detrimental effect on other segments or reaches of the Green River levee system. The improvements to the Levee shall be deemed not to have such a detrimental effect where the improvements fully protect the conveyance capacity and storage volume of the floodplain during base flood (100-year flood) conditions, as demonstrated by compliance with King County flood hazard regulations, which are Sections 21A.24.230 through 21A.24.260 of the King County Code. 17. Duration. This Agreement shall take effect on the date on which the second party signs this Agreement, and shall remain in effect for thirty (30)years from the effective date. 18. Third Parties. This Agreement and any activities authorized hereunder shall not be construed as granting any rights or privileges to any third person or entity, or as a guarantee or warranty of protection from flooding or flood damage to any person, entity or property, and nothing contained herein shall be construed as waiving any immunity to liability to the City, the District and/or King County, granted under state statute, including Chapters 86.12 and 86.15 RCW, or as otherwise granted or provided for by law. 19. Liens and Encumbrances. The City acknowledges and agrees that it will not cause or allow any lien or encumbrance arising from or related to the Levee work authorized by this Agreement to be placed upon the real property interests of King County and the District. If such lien or encumbrance is so placed, King County and the District shall have the right to remove such lien and charge back the costs of such removal to the City. 20. Indemnification. To the maximum extent permitted by law, the City shall defend, indemnify and hold harmless the District and King County, and all of their officials, employees, principals and agents, from any and all claims, demands, suits, actions, losses, costs, reasonable attorney fees and expenses, fines, penalties and liability of any kind, including injuries to persons or damages to property, arising out of, or as a consequence of, the design and construction of the improvements to the Levee under this Agreement. As to all other obligations under this Agreement, to the maximum extent permitted by law, each Party shall defend, indemnify and 7 EC approved (RB-RK) hold harmless the other Party, and all of its officials, employees, principals and agents, from any and all claims, demands, suits, actions, fines, penalties and liability of any kind, including injuries to persons or damages to property, arising out of or relating to any negligent acts, errors or omissions of the indemnifying Party and its contractors, agents, employees and representatives in performing these obligations under this Agreement. However, if any such damages and injuries to persons or property are caused by or result from the concurrent negligence of the District or its contractors, employees, agents, or representatives, and the City or its contractor or employees, agents, or representatives, each Party's obligation hereunder applies only to the extent of the negligence of such Party or its contractor or employees, agents, or representatives. This indemnification provision shall not be construed as waiving any immunity granted to the City, the District, or King County, under state statute, including chapters 86.12 and 86.15 RCW, as to any other entity. The foregoing indemnity is specifically and expressly intended to constitute a waiver of each Party's immunity under industrial insurance, Title 51 RCW, as respects the other Party only, and only to the extent necessary to provide the indemnified Party with a full and complete indemnity of claims made by the indemnitor's employees. This waiver has been mutually negotiated. 21. Insurance. Each Party recognizes that the other is self-insured and accepts such coverage for liability arising under this Agreement. Should any Party choose not to self-insure, that Party shall maintain and keep in full force and effect a policy of general liability insurance in an amount not less than One Million Dollars ($1,000,000) per occurrence with an additional excess liability policy of not less than Ten Million Dollars ($10,000,000) and will provide the other Party with a certificate of insurance and additional insured endorsement that will name the other Party as an additional insured. 22. Dispute Resolution. The Parties will seek to resolve any disputes under this Agreement as follows: a. For disputes involving cost reimbursements or payments, as provided for in paragraph 13 above, submittal of all relevant information and data to an independent Certified Public Accountant and/or a Construction Claims Consultant, if agreed upon by the Parties, for a non-binding opinion as to the responsibility. b. If the foregoing does not result in resolution and for all other disputes, the Parties may mutually select any informal means of resolution and resort will otherwise be had to the Superior Court for King County, Washington. C. Each Party will be responsible for its own costs and attorney's fees in connection with the dispute resolution provisions of this paragraph 22. 8 EC approved (RB-RK) 23. Entire Agreement Amendment This Agreement, together with its Exhibits A through D, represents a full recitation of the rights and responsibilities of the Parties and may be modified only in writing and upon the consent of both Parties. Should any conflict exist between the terms of this Agreement and the terms of the Exhibits, this Agreement shall control. 24. Binding Nature. The rights and duties contained in this Agreement shall inure to the benefit of and are binding upon the Parties and their respective successors in interest and assigns. 25. Notices, Communications and Documents. All communications and documents regarding this Agreement shall be sent to the Parties at the addresses listed below unless a Party gives notice of a change of address. Any written notice hereunder shall become effective three (3) business days after the date of mailing by registered or certified mail, and shall be deemed sufficiently given if sent to the address state below or such other addresses as may be hereinafter specified in writing. 26. Authority. The undersigned warrant that they have the authority duly granted by their respective legislative bodies to make and execute this Agreement. IN WITNESS WHEREOF, the parties have executed this Agreement, which shall become effective on the last date signed below. CITY OF KENT KING COUNTY FLOOD CONTROL ZONE DISTRICT By: By: Suzette Cooke Its: Mayor Its: Board Chair DATE: DATE: APPROVED AS TO FORM: APPROVED AS TO FORM: By: By: City Attorney Legal Counsel 9 EC approved (RB-RK) EXHIBIT A Sheet 1 of 4 Description of Briscoe-Desimone Levee Improvements The Briscoe-Desimone Levee is located along the right bank(easterly side) of the Green River between S. 200t' Street and S. 180t' Street, (see Figure 1, Exhibit A Sheet 2 of 4). The Briscoe levee is located along the right bank of the Green River between S. 200t' Street and S. 189t' Street within the City of Kent. The Desimone levee is located along the right bank of the Green River between S. 189t' Street and S 180t' Street in the City of Tukwila Together these levee segments are approximately 2.7 miles in length and protect properties within the cities of Kent, Tukwila and Renton. Tilt-up style buildings (manufacturing and industrial) are located adjacent to the entire stretch of levee. Four sections (reaches) of the levee, approximately 4,450 linear feet, don't meet slope and stability requirements and need repair to meet FEMA accreditation requirements. Reach 1 is located between RM 14.47 and 14.63 and totals 1,050 If. Reach 2 is located between RM 15.45 and 15.57 and totals 850 If. Reach 3 is between RM 15.98 and 16.36, totaling 2,350 If and Reach 4 is between RM 16.95 and 17.00 and totals 200 If. Reaches 1, 2 and 3 are on the outside of sharp bends in the river and Reach 4 is just north of the S. 200t' Street Bridge. Structural steel sheet pile walls are proposed to be installed at the back of the existing levee slope to act as a secondary levee to reduce flood risk to the cities of Kent, Tukwila and Renton and protect the large number of warehouses, manufacturing facilities and some retail establishments behind these levees. These areas are shown on Figure 2, Reach Location Map (see Exhibit A Sheet 3 of 4). In addition, large stumps and roots will be removed in areas between the four reaches along the levee where they could compromise levee stability and/or are in the construction project area The walls will provide a minimum of 3 feet of freeboard above the predicted 100-year flood event, (see artist rendering Exhibit A Sheet 4 of 4). This proposal allows for some re-vegetation and habitat restoration work along the river between the ordinary high water line and the trail in areas where the wall is constructed. In areas where walls are installed, benches will be constructed where feasible and native vegetation will be planted above the ordinary high water line. 10 EC approved (RB-RK) EXHIBIT A Sheet 2 of 4 [Insert Figure 1 from PDF Exhibit A Sheet 2 and 3 of 41 11 EC approved (RB-RK) EXHIBIT A Sheet 3 of 4 [Insert Figure 2 from PDF Exhibit A Sheet 2 and 3 of 41 12 EC approved (RB-RK) EXHIBIT A Sheet 4 of 4 [Insert PDF Exhibit A Sheet 4 of 41 13 EC approved (RB-RK) EXHIBIT B [District Resolution FCD2013-02.21 14 EC approved (RB-RK) ATTACHMENT A TO EXHIBIT B SUPPLEMENTAL TERMS AND CONDITIONS—RESOLUTION 2012-02.2 1. The top of the setback levee retaining wall shall be consistent with the height of the adjoining levee sections, except as is appropriate for safety of cyclists, pedestrians and others using the trail along the top of the wall. Transitions at the ends of each wall shall provide for trail user safety and for levee erosion resistance from overtopping flows that might be concentrated around the ends of the wall and around the ends of trail user protection measures. 2. The City, or its engineering consultants, shall submit to the District a plan to provide for resiliency of the landside levee and wall in the event of overtopping. The plan shall include identification of the areas that are most susceptible to erosion, and shall propose appropriate protection measures for each of those areas. The City shall submit the plan as a recommendation for consideration and approval by the District in the Levee construction plan review process. 3. The City shall reduce and mitigate the potential for erosion. The City, or its engineering consultants, shall identify permanent or temporary strategies to minimize erosion in locations of potential erosion. The City shall submit these strategies as recommendations for consideration and approval by the District in the Levee construction plan review process. 4. If the City strategy to minimize erosion in the event of overtopping relies upon temporary erosion control measures such as sandbags, the City must commit to paying for and having on hand the materials and equipment, and access to sufficient labor, to install all temporary measures in preparation for overtopping. The City shall prepare a plan that describes the temporary measures, the staging of material and equipment, sources of labor, estimated time for installation, and specific river conditions that will trigger installation. This plan must be submitted for consideration and approval by the District in the Levee construction plan review process. The City must also prepare before October 1 each year by staging all necessary materials and equipment specified in the plan. The City must fully install all such temporary measures immediately upon recognition that the trigger conditions in the approved plan are met. The City must also remove all such temporary measures within eight weeks after flood conditions subside. The City is fully responsible for all associated costs including but not limited to materials, equipment, and labor. 15 EC approved (RB-RK) 5. The City shall move the setback wall back from the landward toe of the existing levee in the northernmost setback segment near the West Valley Highway, consistent with the alternate alignment described by GEI Consultants, Inc., in section 8.3.2.5 of its April, 2012 draft FEMA Accreditation Report for the Briscoe-Desimone Levee System. 6. The plan to address potential corrosion of the sheet pile walls shall be submitted for consideration and approval by the District in the Levee construction plan review process. 7. The agreement with the Washington State Department of Transportation shall be approved by the District prior to the release of State or District funds for Reach 1 of the Levee. 8. To assist in implementing the District plan for emergency repairs, the City shall provide project design information and emergency planning recommendations of observations, physical measurements, tolerances, thresholds, and considerations for the District's inspection and risk-based decision-making as appropriate for emergency plans associated with the Levee design. The City will provide this information to the District by August 1, 2014. 9. The City shall permit, design, and construct replacement of the trail to meet King County Parks regional trail standards. The City shall submit plans to King County Parks for review coincident with District plan review at each design phase. 16 EC approved (RB-RK) EXHIBIT C Levee Inspection, Maintenance, Operation and Repair 1. The Levee shall be maintained and operated consistent with the District's Flood Hazard Management Plan Policy PROJ-6, Flood Protection Facility Design and Maintenance Objectives (or its successor)which states as follows: "[The District] should construct new flood protection facilities and maintain, repair or replace existing flood protection facilities in such a way as to: • Require minimal maintenance over the long term, • Ensure that flood or channel migration risks are not transferred to other sites, • Protect or enhance aquatic, riparian and other critical habitats, and • Protect or enhance multiple beneficial uses of flood hazard area." 2. Levee maintenance and operation shall be based on a risk-based analysis approach. If a risk-based approach is not acceptable to FEMA, and as a result FEMA fails to issue a CLOMR or LOMR for the Levee, the District shall not be obligated to operate and maintain the Levee. 3. The upper 1/3 of the riverward slope above the OHWM may be mowed and maintained in grass cover. 4. The Levee crest shall be maintained to provide for unimpeded vehicular access at all times, including access by heavy construction equipment and earth-hauling machinery. 5. The landward Levee slope may be mowed and maintained in grass cover. 6. The 15-foot maintenance access and inspection area along the landward Levee toe may be mowed and maintained in grass cover. 7. All such mowed areas may alternatively be planted and maintained with native riparian woody vegetation. 8. Upon acceptance of completed Levee construction by the District, the Levee, as constructed to these standards, shall be inspected by the District prior to leaf emergence each spring, at low-flow conditions in the late Summer or early Fall, prior to the onset of 17 EC approved (RB-RK) fall rains and seasonal high flows, and during and immediately following flood events at Phase III (9,000 cfs) or greater. 9. All structural features of the Levee shall be inspected by the District for deterioration or damage, including the presence of any slope erosion, washouts, slumping, slides, or sloughing, and any conditions noted shall be included in prioritization of District and/or King County maintenance and repair needs, and in performance of maintenance and repair actions at the earliest appropriate opportunity. 10. All vegetation on the levee slopes, benches, or along the lower embankment shall be inspected by the District for erosion of the riverward embankment in the root zone, and appropriate corrective action shall be taken where such conditions may be present. 11. The District and/or King County shall perform continuing levee patrols during all Phase III or greater flood events. 12. Damaged or impaired Levee conditions observed by the District during flood patrols shall be evaluated for emergency repair actions. 13. Any emergency repairs performed will be inspected by the District at the neat low-water period for evaluation of permanent repair needs or additional measures required to restore the function and integrity of all affected locations. 14. The District and/or King County shall prioritize repairs consistent with the adopted policies of the District's Flood Hazard Management Plan, or its successor. 15. The City shall be responsible for all local drainage inspections and maintenance. The District and King County shall not assume any responsibility for stormwater management activities. 18 EC approved (RB-RK) KENT Agenda Item: Other Business — 813 TO: City Council DATE: May 21, 2013 SUBJECT: 2013 Transportation Investment Package Support Resolution MOTION: Adopt Resolution No. , urging the state legislature to enact legislation creating a 2013 Transportation Investment Package during the 2013 special session. SUMMARY: This resolution urges the legislature to take action and implement a transportation bill that will develop a funding source for a statewide transportation package. The revenue received from this legislation will fund critical transportation projects and services on a city, county and state level. Specifically, the resolution emphasizes the need to fund critical Kent "gateways," like the SR 509 Corridor project and improvements to the SR 167/I-405 connector project. If enacted, the legislation will also create jobs, enhance freight mobility, and create a pathway for retaining and growing new jobs throughout the region and across the state. EXHIBITS: Resolution RECOMMENDED BY: Council President Higgins, Mayor and Staff BUDGET IMPACTS: None RESOLUTION NO. A RESOLUTION of the City Council of the City of Kent, Washington, in strong support of a 2013 Transportation Investment Package. RECITALS A. A healthy transportation system is a critical foundation of our state and local economies and our quality of life, as well as our global position as the nation's most trade-dependent state. B. Washington State's transportation system is suffering from disrepair, with a backlog of maintenance and preservation needs, and data showing that without any new investments, more than half the pavement on our state roads and highways will be in poor condition by 2012. C. Failing roads and bridges, congested highway corridors, and bottlenecked interchanges undermine the mobility of vehicles, buses, and freight-carriers to transport people and goods. D. The Connecting Washington Task Force released a report in early 2012, identifying $50 billion in unfunded transportation needs and recommending an investment of $21 billion in state funding during the next 10 years for maintenance, preservation, and strategic investments. 1 Resolution Transportation Investment Package E. Investing in maintaining and upgrading our transportation system is a positive step the Legislature can take to catalyze construction jobs, enhance freight mobility for our Ports, and create a pathway for retaining and growing new jobs for key industry sectors. F. Through SHB 1954, SHB 1955 and related bills, the 2013 Washington State Legislature is considering a 12-year, $9.5 billion package of transportation infrastructure investments. G. This package provides critical funding for key highway corridor projects throughout the state and directly affecting the city of Kent, specifically, including the Interstate 5/State Route 509 and State Route 167 "Gateways" project, and the SR 167/Interstate 405 "Connector," which are vital to more efficiently moving people and freight in our city and this region. H. The transportation package also provides a direct gas tax distribution that will provide new funding each year for Kent to maintain local roadways and arterials and to leverage existing funding. I. The package also includes local transportation financing options that cities and counties can submit to their voters for transportation improvements in their communities. J. The transportation package additionally invests in grant programs that are vital for cities and counties, including the Transportation Investment Board (TIB), the Freight Mobility Strategic Investment Board (FMSIB), "Complete Streets," Safe Routes to Schools, and Bicycle- Pedestrian Safety. 2 Resolution Transportation Investment Package K. The package also includes direct funding allocations for transit agencies, including King County METRO, that would otherwise have to make drastic cuts in routes which carry people to work sites and serve local communities. L. The City of Kent strongly encourages the Washington State Legislature to enact a balanced transportation investment package, during the Special Session to create jobs, relieve congestion, support our businesses, and maintain our quality of life. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DOES HEREBY RESOLVE AS FOLLOWS: RESOLUTION SECTION 1, —The Kent City Council takes an official position in strong support of a comprehensive transportation investment package, including direct funding and funding options for local governments SECTION 2, — The Kent City Council strongly encourages lawmakers to approve and enact this package in Olympia. SECTION 3, — Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this resolution, including the correction of clerical errors; references to other local, state or federal laws, codes, rules, or regulations; or resolution numbering and section/subsection numbering. SECTION 4, — Effective Date. This resolution shall take effect and be in force immediately upon passage. 3 Resolution Transportation Investment Package PASSED at a regular open public meeting by the City Council of the City of Kent, Washington, this day of 2013. CONCURRED in by the Mayor of the City of Kent this day of 2013. SUZETTE COOKE, MAYOR ATTEST: RONALD F. MOORE, CITY CLERK APPROVED AS TO FORM: TOM BRU BAKE R, CITY ATTORNEY I hereby certify that this is a true and correct copy of Resolution No. passed by the City Council of the City of Kent, Washington, the day of 2013. RONALD F. MOORE, CITY CLERK P:\Civil\I solution\Tm nspor tion.Docx 4 Resolution Transportation Investment Package KENT Agenda Item: Other Business — 8C TO: City Council DATE: May 21, 2013 SUBJECT: Issuance of the Consolidated LID 362 Bond Ordinance MOTION: Adopt Ordinance No. authorizing the issuance of LID 362 Bonds and authorizing the Mayor to execute all documents necessary for the issuance, subject to final review and approval by the Finance Director and the City Attorney. SUMMARY: The Administration recommends the issuance of LID Bonds for LID #362 to reimburse the City for the costs incurred prior to the bonds being issued. The assessment roll for LID #362 was authorized by City Council in June, 2011 with an original assessment of $2,412,942.02. We have collected to date $476,817.90 leaving $1,936,124.12 outstanding from this assessment. This LID was financed in-house until the amount of internally financed LID's was enough to issue LID Bonds. It was determined that issuing these bonds as a private placement is the best option for the City. EXHIBITS: Operations Committee and the Finance Director RECOMMENDED BY: Ordinance BUDGET IMPACTS: The budget impact of this bond issuance is negligible as the bonds payments are from collections of the assessments and are not payable from City revenues. CITY OF KENT, WASHINGTON ORDINANCE NO. AN ORDINANCE OF THE CITY OF KENT, WASHINGTON, AUTHORIZING THE ISSUANCE OF ITS LOCAL IMPROVEMENT DISTRICT NO. 362 BOND IN A PRINCIPAL AMOUNT OF NOT TO EXCEED $1,926,112 TO FINANCE AND/OR REIMBURSE THE CITY FOR COSTS OF CERTAIN IMPROVEMENTS WITHIN LOCAL IMPROVEMENT DISTRICT NO. 362; DELEGATING THE AUTHORITY TO SELECT THE INITIAL PURCHASER OF THE BOND; AND DELEGATING THE AUTHORITY TO APPROVE THE FINAL TERMS OF THE BOND. Passed May 21, 2013 PREPARED BY: PACIFICA LAW GROUP LLP Seattle, Washington CITY OF KENT ORDINANCE NO. TABLE OF CONTENTS* Paqe Section 1. Definitions and Interpretation of Terms .......................................... 2 Section 2. Local Improvement District No. 362............................................... 5 Section 3. Authorization of the Bond............................................................. 5 Section 4. Registration, Exchange and Payments............................................ 6 Section 5. Form of Bond ............................................................................. 8 Section 6. Execution of Bond ..................................................................... 11 Section 7. Application of Bond Proceeds ...................................................... 12 Section S. Bond Fund ............................................................................... 12 Section 9. Pledge of Assessment Payments.................................................. 13 Section 10. Prepayment and Redemption ...................................................... 13 Section 11. Sale of the Bond ....................................................................... 14 Section 12. Ongoing Disclosure; Covenants................................................... 16 Section 13. Interest Rate on Installments and Delinquent Payments ................. 16 Section 14. Lost, Stolen or Destroyed Bond................................................... 16 Section 15. Severability; Ratification ............................................................ 17 Section 16. Effective Date of Ordinance ........................................................ 18 Exhibit A: Form of Purchaser's Letter * This Table of Contents is provided for convenience only and is not a part of this ordinance. CITY OF KENT, WASHINGTON ORDINANCE NO. AN ORDINANCE OF THE CITY OF KENT, WASHINGTON, AUTHORIZING THE ISSUANCE OF ITS LOCAL IMPROVEMENT DISTRICT NO. 362 BOND IN A PRINCIPAL AMOUNT OF NOT TO EXCEED $1,926,112 TO FINANCE AND/OR REIMBURSE THE CITY FOR COSTS OF CERTAIN IMPROVEMENTS WITHIN LOCAL IMPROVEMENT DISTRICT NO. 362; DELEGATING THE AUTHORITY TO SELECT THE INITIAL PURCHASER OF THE BOND; AND DELEGATING THE AUTHORITY TO APPROVE THE FINAL TERMS OF THE BOND. A. The City Council of the City of Kent, Washington (the "City"), previously created Local Improvement District No. 362 ("LID No. 362") for various street and utility improvement purposes; and B. The City Council previously adopted Ordinance No. 4077 on April 2, 2013 authorizing the issuance of the City's Consolidated Local Improvement District No. 359 Bonds (the "LID Bonds") to finance improvements within Local Improvement District No. 359, LID No. 362, and Local Improvement District No. 363 and the consolidation of such local improvement districts for the purpose of issuing bonds only; and C. After due consideration and pursuant to the authority granted in Section 13(a) of Ordinance No. 4077, the City has determined that it is in the best interest of the City to finance improvements within the above- referenced local improvement districts separately; and D. The Council now desires to authorize the issuance of a local improvement district bond in the principal amount not to exceed $1,926,112 (the "Bond") to finance and/or reimburse the City for the costs of certain improvements in LID No. 362, to make a deposit into the Guaranty Fund, and to pay costs of issuance of the Bond; and E. The Council wishes to delegate authority to the City Mayor (the "Designated Representative"), for a limited time, to select the purchaser of the Bond (the "Purchaser") and to approve the principal amount, the interest rate, the final maturity date, and redemption terms for the Bond within the parameters set by this ordinance; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON DO ORDAIN as follows: Section 1. Definitions and Interpretation of Terms. (a) Definitions. As used in this ordinance, the following words shall have the following meanings: Assessments mean the assessments levied pursuant to the LID Ordinance and not prepaid either during the legal prepayment period without interest or otherwise on or prior to June 10, 2013 for LID No. 362. Bond means the City of Kent, Washington, Local Improvement District No. 362 Bond, 2013 (Taxable) authorized to be issued by the City pursuant to this ordinance. Bond Fund means the "City of Kent Local Improvement District No. 362 Bond Redemption Fund" authorized to be created pursuant to Section 8 of this ordinance. Bond Register means the registration records for the Bond maintained by the Bond Registrar. -2- Locai Improvement District No. 362 Bond, 2013 Bond Registrar means the fiscal agency of the state of Washington, currently The Bank of New York Mellon. City means the City of Kent, Washington, a municipal corporation duly organized and existing under the laws of the State of Washington. City Council or Council means the City Council of the City as the general legislative authority of the City, as the same shall be duly and regularly constituted from time to time. Code means the Internal Revenue Code of 1986, as amended, and shall include all applicable regulations and rulings relating thereto. Designated Representative means the Mayor, or his or her designee. Finance Director means the City's Finance Director or the successor to such officer. Guaranty Fund means the Local Improvement District Guaranty Fund of the City authorized and maintained pursuant to chapter 35.54 RCW and Section 3.40.500 of the Kent City Code. Improvements Fund means the Local Improvements Fund established for LID No. 362 by the LID Ordinance. Interest Rate means the rate of interest determined pursuant to Section 11 of this ordinance as the same may be adjusted pursuant to the Proposal. LID No. 362 means Local Improvement District No. 362 created pursuant to the LID Ordinance. LID Ordinance means Ordinance No. 3833 approved by the Council on April 17, 2007 authorizing the creation of LID No. 362. -3- Locai Improvement District No. 362 Bond, 2013 Proposal means the proposal letter submitted to the City by the Purchaser and approved by the Designated Representative. Purchaser means the initial purchaser of the Bond, as selected by the Designated Representative. Registered Owner means the person in whose name the Bond is registered on the Bond Register. Rule means the Securities and Exchange Commission's Rule 15c2- 12 under the Securities Act of 1934, as the same may be amended from time to time. Securities Act means the Securities Act of 1933 as the same may be amended from time to time. (b) Interpretation. In this ordinance, unless the context otherwise requires: (1) The terms "hereby," "hereof," "hereto," "herein," "hereunder" and any similar terms, as used in this ordinance, refer to this ordinance as a whole and not to any particular article, section, subdivision or clause hereof, and the term "hereafter" shall mean after, and the term "heretofore" shall mean before, the date of this ordinance; (2) Words of the masculine gender shall mean and include correlative words of the feminine and neutral genders and words importing the singular number shall mean and include the plural number and vice versa; (3) Words importing persons shall include firms, associations, partnerships (including limited partnerships), limited liability -4- Locai Improvement District No. 362 Bond, 2013 companies, trusts, corporations and other legal entities, including public bodies, as well as natural persons; (4) Any headings preceding the text of the several articles and sections of this ordinance, and any table of contents or marginal notes appended to copies hereof, shall be solely for convenience of reference and shall not constitute a part of this ordinance, nor shall they affect its meaning, construction or effect; and (5) All references herein to "articles," "sections" and other subdivisions or clauses are to the corresponding articles, sections, subdivisions or clauses hereof. Section 2. Local Improvement District No. 362. The 30 day period for making cash payment of assessments without interest in the following local improvement district ("LID No. 362") has expired, and the City now desires to finance and/or reimburse itself for improvements made in such local improvement district from proceeds of the Bond authorized in Section 3 below: LID Formation Confirmed Assessment Balance LID Ordinance Assessment Roll After 30-day No. No. Date Amount Prepayment Period 362 3833 4/17/2007 $ 2,412,942.02 $ 2,061,720.71 Section 3. Authorization of the Bond. For the purpose of financing and/or reimbursing the City for the costs of certain improvements, making a deposit into the Guaranty Fund, and paying costs of issuance of the Bond, the City is hereby authorized to issue and sell the Bond in the principal amount of not to exceed $1,926,112; provided, such final -5- Locai Improvement District No. 362 Bond, 2013 principal amount of the Bond may not exceed the total amount on the assessment roll of LID No. 362 remaining uncollected after the expiration of the 30-day interest-free prepayment period for assessments on such assessment roll and remaining outstanding as of June 10, 2013. The Bond shall be designated "City of Kent, Washington, Local Improvement District No. 362 Bond, 2013 (Taxable)" with additional designation as set forth as approved by the Finance Director. The Bond shall be dated as of its date of delivery, shall be fully registered as to both principal and interest, shall be in one denomination, and shall mature on the date set forth in the Proposal as approved by the Designated Representative. The Bond shall bear interest from its dated date or the most recent date to which interest has been paid at the Interest Rate. Interest on the principal amount of the Bond shall be calculated per annum on a 30/360 basis, or as otherwise provided in the Bond. Interest on the Bond shall be payable annually on the dates set forth in the Proposal as approved by the Designated Representative (each, an "Interest Payment Date"). The Bond is an obligation only of the Bond Fund and the Guaranty Fund and is not a general obligation of the City. Section 4. Registration, Exchange and Payments. (a) Registrar/Bond Registrar/Paying Agent. The Bank of New York Mellon, as fiscal agency of the state of Washington, is hereby appointed to act as transfer agent, paying agent and registrar for the Bond (the "Bond Registrar"). -6- Locai Improvement District No. 362 Bond, 2013 (b) Registered Ownership. The Bond Registrar shall keep, or cause to be kept, at the office of the Finance Director, sufficient records for the registration and transfer of the Bond. The City and the Bond Registrar may deem and treat the Registered Owner of the Bond as the absolute owner for all purposes, and neither the City nor the Bond Registrar shall be affected by any notice to the contrary. The Bond Registrar is authorized, on behalf of the City, to authenticate and deliver the Bond in accordance with the provisions of the Bond and this ordinance to serve as the City's paying agent for the Bond and to carry out all of the Bond Registrar's powers and duties under this ordinance. (c) Transfer or Exchange of Registered Ownership. The Bond shall not be transferable without the consent of the City unless (i) the Purchaser's corporate name is changed and the transfer is necessary to reflect such change; (ii) the transferee is a successor in interest of the Purchaser by means of a corporate merger, an exchange of stock, or a sale of assets; or (iii) the transferee is a "qualified institutional buyer" as defined under Rule 144A promulgated under the Securities Act or an "accredited investor" as defined in Sections 501(a)(1) through (3) of Regulation D promulgated under the Securities Act, and such transferee executes a purchaser letter substantially in the form attached hereto as Exhibit B. Every Bond presented or surrendered for transfer or exchange shall contain, or be accompanied by, all necessary endorsements for transfer. Any transfer of the Bond which fails to comply with this provision shall be null and void. -7- Locai Improvement District No. 362 Bond, 2013 (d) Registration Covenant. The City covenants that, until the Bond has been surrendered and canceled, it will maintain a system for recording the ownership of the Bond that complies with the provisions of Section 149 of the Code. (e) Place and Medium of Payment. Both principal of and interest on the Bond shall be payable in lawful money of the United States of America without surrender or presentation, by wire transfer or Automated Clearinghouse (ACH) transfer if requested by the owner of the Bond. Notwithstanding the foregoing, upon final payment of all principal and interest thereon, the Bond shall be submitted to the Bond Registrar for cancellation and surrender. The Bond Register shall be maintained by the Bond Registrar, and shall contain the name and mailing address of the registered owner of the Bond or nominee of such registered owner. Section 5. Form of Bond. The Bond shall be in substantially the following form: UNITED STATES OF AMERICA NO. R-1 $ STATE OF WASHINGTON CITY OF KENT LOCAL IMPROVEMENT DISTRICT NO. 362 BOND, 2013 (TAXABLE) INTEREST RATE: _% MATURITY DATE: REGISTERED OWNER: PRINCIPAL AMOUNT: — AND NO/100 DOLLARS RCW 35.45.070 provides, in part, as follows: -g- Locai Improvement District No. 362 Bond, 2013 Neither the holder nor owner of any bond, interest coupon, or warrant issued against a local improvement fund shall have any claim therefor against the city or town by which it is issued, except for payment from the special assessments made for the improvement for which the bond or warrant was issued and except also for payment from the local improvement guaranty fund of the city or town as to bonds issued after the creation of a local improvement guaranty fund of the city or town. The city or town shall not be liable to the holder or owner of any bond, interest coupon, or warrant for any loss to the local improvement guaranty fund occurring in the lawful operation thereof. The City of Kent, Washington (the "City"), hereby acknowledges itself to owe and for value received promises to pay to the Registered Owner identified above from the City's Local Improvement District No. 362 Bond Redemption Fund (the "Bond Fund") created by Ordinance No. (the "Bond Ordinance"), the Principal Amount indicated above and to pay interest thereon from _ _ on _ 20 , and on each thereafter to maturity or earlier redemption (each, an "Interest Payment Date"). This bond shall bear interest at the fixed rate stated above (the "Interest Rate"). Interest on this bond shall accrue from its dated date until paid and shall be computed per annum on the principal amount outstanding on a 30/360 basis. This bond is issued pursuant to the Bond Ordinance to provide a portion of the funds necessary (a) to pay costs of improvements Local Improvement District No. 362 ("LID No. 362"), (b) to fund the Guaranty Fund, and (b) to pay costs of issuance for the bond. This bond may be redeemed on any Interest Payment Date if sufficient assessment payments are available in the Bond Fund over and above the amount necessary to pay interest currently due on the outstanding principal amount of this bond. This bond is not a general obligation of the City. This bond is payable solely from the Bond Fund and from the City's Local Improvement Guaranty Fund. The City has irrevocably obligated and bound itself to pay into the Bond Fund all assessments levied within LID No. 362 and received after the legal prepayment period or otherwise not collected on or before June 10, 2013. The City hereby covenants and agrees with the owner of this bond that it will keep and perform all the covenants of this bond and of the Bond Ordinance to be by it kept and performed. Reference is hereby made to the Bond Ordinance for the definitions of defined terms used herein. Reference to the Bond Ordinance and any and all modifications and amendments thereto is made for a description of the nature and extent of -9- Locai Improvement District No. 362 Bond, 2013 the security for this bond, the funds pledged, and the terms and conditions upon which this bond is issued. This bond shall not be valid or become obligatory for any purpose or be entitled to any security or benefit under the Bond Ordinance until the Certificate of Authentication hereon shall have been manually signed by the Bond Registrar. It is hereby certified that all acts, conditions and things required by the Constitution and statutes of the State of Washington to exist, to have happened, been done and performed precedent to and in the issuance of this bond exist, have happened, been done and performed and that the issuance of this bond does not violate any constitutional, statutory or other limitation upon the amount of bonded indebtedness that the City may incur. IN WITNESS WHEREOF, the City of Kent, Washington, has caused this bond to be executed by the manual or facsimile signature of the Mayor of the City Council and attested by the manual or facsimile signature of the Clerk, as of this _ day of 2013. [SEAL] CITY OF KENT, WASHINGTON By /s/ Mayor ATTEST: /s/ City Clerk REGISTRATION CERTIFICATE This bond is registered in the name of the Registered Owner on the books of the City, in the office of The Bank of New York Mellon, as bond registrar (the "Bond Registrar"), as to both principal and interest, as noted in the registration blank below. All payments of principal of and interest on this Bond shall be made by the City with full acquittance by the Bond Registrar's wire transfer, made payable to the last Registered Owner as shown hereon and on the registration books of the Bond Registrar at his/her/its address noted hereon and on the registration books of the Bond Registrar. -10- Locai Improvement District No. 362 Bond, 2013 Date of Name and Address of Signature of Registration Registered Owner Bond Registrar 2013 Bond Registrar [scheduled redemption table] Section 6. Execution of Bond. The Bond shall be executed on behalf of the City with the manual or facsimile signature of the Mayor, and shall be attested by the manual or facsimile signature of the Clerk. The executed Bond shall be delivered to the Bond Registrar for authentication. The Bond shall be numbered R-1 and with any additional designation as the Bond Registrar deems necessary for purposes of identification. Only a bond that bears a Certificate of Registration substantially in the form set forth herein and manually executed by an authorized representative of the Bond Registrar shall be valid or obligatory for any purpose or entitled to the benefits of this ordinance. Such Certificate of Authentication shall be conclusive evidence that the Bond so authenticated have been duly executed, authenticated and delivered hereunder and are entitled to the benefits of this ordinance. Such Bond bearing the Certificate of Authentication shall be delivered to the Purchaser as set forth in Section 11. In case either of the officers who shall have executed the Bond shall cease to be an officer or officers of the City before the Bond so signed shall have been authenticated or delivered by the Bond Registrar, or issued by the City, such Bond may nevertheless be authenticated, delivered and issued and upon such authentication, delivery and issuance shall be as -11- Locai Improvement District No. 362 Bond, 2013 binding upon the City as though those who signed the same had continued to be such officers of the City. The Bond may also be signed and attested on behalf of the City by such persons who at the date of the actual execution of the Bond, are the proper officers of the City, although at the original date of such Bond any such person shall not have been such officer of the City. Section 7. Application of Bond Proceeds. Proceeds of the Bond and prepaid assessments shall be applied as follows: (a) An amount equal to 10% of the principal amount of the Bond shall be deposited into the Guaranty Fund; and (b) The balance of the Bond proceeds, prepaid assessments and installments of assessments and interest received on or prior to June 10, 2013 shall be deposited into the Improvements Fund to finance and/or reimburse the City for costs of the improvements constructed in LID No. 362, and to pay all expenses incidental thereto and to the issuance of the Bond. Section S. Bond Fund. There is created and established in the office of the Finance Director a special local improvement district fund to be known and designated as the "City of Kent Local Improvement District No. 362 Bond Redemption Fund" (the "Bond Fund"). The Bond Fund shall be a trust fund and shall be drawn upon only for the payment of the principal of and interest on the Bond. All money presently on hand representing collections pertaining to installments of Assessments and interest thereon in LID No. 362 shall be transferred to and deposited in the -12- Locai Improvement District No. 362 Bond, 2013 Bond Fund, and all collections pertaining to Assessments on the assessment roll of such local improvement district when hereafter received shall be deposited in the Bond Fund to redeem the Bond. The Bond shall be an obligation only of the Bond Fund and the Guaranty Fund and is not a general obligation of the City. The City hereby covenants and agrees to foreclose assessment liens on all delinquent Assessments at the earliest opportunity available under state law and ordinances of the City, to pursue those foreclosure actions diligently, and to deposit promptly into the Bond Fund or the Guaranty Fund, as applicable, the sale proceeds and all other payments received as a result of such foreclosure actions. The City may invest funds in the Bond Fund in any legal investment and the investment earnings shall be retained therein and applied to the purposes of the Bond Fund. Section 9. Pledge of Assessment Payments. Assessments collected in LID No. 362, together with interest and penalties, if any, are pledged to the payment of the Bond which is payable solely out of the Bond Fund and the Guaranty Fund in the manner provided by law. The Bond is not a general obligation of the City. Section 10. Prepayment and Redemption. If the Bond is prepaid in accordance with this Section 10, interest shall cease to accrue on the date the Purchaser receives such prepayment. The City reserves the right to redeem the Bond, in whole or in part, prior to its stated date of maturity on any Interest Payment Date, and -13- Locai Improvement District No. 362 Bond, 2013 shall call the Bond on an Interest Payment Date for redemption whenever there shall be sufficient money in the Bond Fund to pay the Bond so called over and above the amount required for the payment of the interest payable on that Interest Payment Date on the Bond. The Bond shall be subject to scheduled redemptions to the extent, if any, set forth in the Proposal and as approved by the Designated Representative pursuant to Section 11 of this ordinance. Section 11. Sale of the Bond. (a) The Council hereby determines that it is in the best interest of the City to delegate to the Designated Representative for a limited time the authority to select the initial Purchaser of the Bond and to approve the final maturity date, redemption terms (including whether to have scheduled redemptions), and Interest Rate for the Bond, as set forth below. The Designated Representative shall solicit proposals from "qualified institutional buyers" as defined under Rule 144A promulgated under the Securities Act and/or "accredited investors" as defined in Sections 501(a)(1) through (3) of Regulation D promulgated under the Securities Act, and shall select the Purchaser that submits the proposal that is in the best interest of the City. The Bond shall be sold to the Purchaser pursuant to the terms of this ordinance and the Proposal. Subject to the terms and conditions set forth in this Section 11, the Designated Representative is hereby authorized to accept and execute, if necessary, the Proposal from the Purchaser, to approve the final maturity date, redemption terms (including whether to have scheduled -14- Locai Improvement District No. 362 Bond, 2013 redemptions), and Interest Rate for the Bond, and to agree to any other terms, conditions and covenants that are in the best interest of the City and in accordance with this ordinance so long as: (1) the principal amount of the Bond does not exceed $1,926,112; (2) the final maturity date of the Bond is no later than January 1, 2029; (3) the Interest Rate for the Bond does not exceed 6.00%; and (4) the Purchaser executes and delivers to the City a Purchaser Letter dated the date of issuance of the Bond in substantially the form set forth in Exhibit A attached hereto. Following the sale of the Bond, the Designated Representative shall provide a report to the Council, describing the Purchaser and final terms of the Bond approved pursuant to the authority delegated in this section. The authority granted to the Designated Representative by this Section 11 shall expire 180 days after the effective date of this ordinance. If a Proposal has not been accepted within 180 days after the effective date of this ordinance, the authorization for the issuance of the Bond shall be rescinded, and the Bond shall not be issued nor its sale approved unless such Bond shall have been re-authorized by ordinance of the Council. The ordinance re-authorizing the issuance and sale of such Bond may be in the form of a new ordinance repealing this ordinance in whole or in part or may be in the form of an amendatory ordinance. -15- Locai Improvement District No. 362 Bond, 2013 (b) Upon the passage and approval of this ordinance, the proper officials of the City, including the Designated Representative and Finance Director, are authorized and directed to undertake all action necessary for the prompt execution and delivery of the Bond to the Purchaser thereof and further to execute all closing certificates and documents required to effect the closing and delivery of the Bond. Section 12. Ongoing Disclosure; Covenants. (a) Ongoing Disclosure. The Bond is exempt from ongoing disclosure requirements of the Rule. (b) Covenants. So long as the Bond is outstanding, the City hereby covenants and agrees as follows: (1) To provide the Purchaser copies of the City's audited financial statements promptly after such statements become available; and (2) To provide the Purchaser financial or other information as may be reasonably requested in writing from time to time. Section 13. Interest Rate on Installments and Delinquent Payments. The interest rate on the installments and delinquent payments of Assessments in LID No. 362 may be established by the Finance Director at a rate per annum not to exceed the Interest Rate plus 0.50 percent. Section 14. Lost, Stolen or Destroyed Bond. In case the Bond shall be lost, stolen or destroyed while in the Registered Owner's possession, the Bond Registrar may at the request of the Registered Owner execute and deliver a new Bond of like date, number and tenor to the Registered -16- Locai Improvement District No. 362 Bond, 2013 Owner thereof upon the Registered Owner's paying the expenses and charges of the City and the Bond Registrar in connection therewith and upon its filing with the City written certification that such Bond was actually lost, stolen or destroyed and of its ownership thereof. In the case the Bond shall be lost, stolen, or destroyed while in the Registered Owner's possession, the Registered Owner may elect upon final payment of principal and interest of the Bond to surrender a photocopy of the Bond for cancellation at the office of the Bond Registrar together with written certification that such Bond was actually lost, stolen or destroyed and of its ownership thereof. Section 15. Severability; Ratification. If any one or more of the covenants or agreements provided in this ordinance to be performed on the part of the City shall be declared by any court of competent jurisdiction to be contrary to law, then such covenant or covenants, agreement or agreements shall be null and void and shall be deemed separable from the remaining covenants and agreements of this ordinance and shall in no way affect the validity of the other provisions of this ordinance or of the Bond. All acts taken pursuant to the authority granted in this ordinance but prior to its effective date are hereby ratified and confirmed. -17- Locai Improvement District No. 362 Bond, 2013 Section 16. Effective Date of Ordinance. This ordinance shall take effect and be in force five days after its passage, approval, and publication as provided by law. PASSED by the City Council this 21st day of May, 2013. By Suzette Cooke, Mayor ATTEST Ronald Moore, City Clerk APPROVED AS TO FORM: PACIFICA LAW GROUP LLP Bond Counsel PASSED: _ of 2013 APPROVED: _ of 2013 PUBLISHED: _ of 2013 -18- Local Improvement District No. 362 Bond, 2013 Exhibit A Form of Purchaser's Letter City of Kent Kent, Washington RE: City of Kent, Washington, Local Improvement District No. 362 Bond, 2013 (Taxable) (the "Bond") Ladies and Gentlemen: The undersigned, (the "Purchaser"), hereby acknowledges receipt of the above-referenced Bond dated 2013, originally issued in the principal amount of $ The undersigned acknowledges that the Bond was issued pursuant to Bond Ordinance No. __ of the City of Kent (the "City") adopted by the City Council on May 21, 2013 (the "Bond Ordinance"). Capitalized terms used in this letter have the meanings given such terms in the Bond Ordinance. In connection with the acquisition of the Bond by the Purchaser, the Purchaser hereby makes the following representations upon which you may rely: 1. The Purchaser is a "qualified institutional buyer" as defined under Rule 144A promulgated under the Securities Act of 1933 (the "Securities Act") or an "accredited investor" as defined in Sections 501(a)(1) through (3) of Regulation D promulgated under the Securities Act. 2. The Purchaser has sufficient knowledge and experience in financial and business matters, including purchase and ownership of governmental obligations, to be able to evaluate the risks and merits of the loan represented by its purchase of the Bond, and its net worth and available assets are such that it is able to bear the economic risk of its purchase of the Bond. 3. The Purchaser understands that the Bond is a special fund obligation of the City, payable solely out of the City of Kent Local Improvement District No. 362 Bond Redemption Fund (the "Bond Fund"), to be funded from collections of local improvement district assessments levied against the benefited properties located within the boundaries of Local Improvement District No. 362 ("LID No. 362") and the City's Local Improvement Guaranty Fund. The Purchaser further understands that the Bond does not constitute an obligation of the State of Washington or any political subdivision thereof other than the City, and the full faith and credit of the City has not been pledged to the payment of the Bond. The Bond is not a general obligation of the City. A-1 4. The Purchaser understands that the Bond may be redeemed on 1 of any year if sufficient assessment payments are available in the Bond Fund for such purpose, in such amounts as are available in the Bond Fund in excess of the amount necessary to pay interest currently due on the unpaid principal portion of the Bond. The Purchaser acknowledges that the principal amount of the Bond to be redeemed and paid each year is only an estimate. 5. The Purchaser understands that no official statement, prospectus, offering circular or other offering statement containing material information with respect to the City or the Bond is being issued, that the Bond is unrated, and that, with due diligence, it has made its own inquiry and analysis with respect to the City, the Bond and the security therefor, and other material factors affecting the security for and payment of the Bond, and is relying solely on such inquiry and analysis in its purchase of the Bond. 6. The Purchaser understands that the interest on the Bond is not excludable from gross income for federal income tax purposes; i.e., the Bond is "taxable." 7. The Purchaser acknowledges that it has either been supplied with or been given access to information, including financial statements and other financial information, to which a reasonable investor would attach significance in making investment decisions, and the Purchaser has had the opportunity to ask questions and receive answers from knowledgeable individuals and organizations concerning the City, the use of proceeds of the Bond, and the Bond and the security therefor so that, as a reasonable investor, the Purchaser has been able to make its decision to purchase the Bond. S. The Purchaser acknowledges that it is purchasing the Bond for investment for our own account and not with a present view toward resale or the distribution thereof, in that it does not now intend to resell or otherwise dispose of all or any part of its interests in the Bond. The Purchaser acknowledges that the Bond shall not be transferable without the consent of the City unless (i) the Purchaser's corporate name is changed and the transfer is necessary to reflect such change; (ii) the transferee is a successor in interest of the Purchaser by means of a corporate merger, an exchange of stock, or a sale of assets; or (iii) the transferee is a "qualified institutional buyer" as defined under Rule 144A promulgated under the Securities Act or an "accredited investor" as defined in Sections 501(a)(1) through (3) of Regulation D promulgated under the Securities Act, and such transferee executes a purchaser's letter substantially similar to this letter. The Purchaser also acknowledges that any transfer of the Bond which fails to comply with this provision and the transfer limitations on the Bond contained in the Bond Ordinance shall be null and void. 9. The Purchaser understands that the Bond is an exempted security under the Securities Act and that registration is not legally required as of the date hereof; and further understands that the Bond (a) is not being registered or otherwise qualified for sale under the "Blue Sky" laws and regulations of any state, (b) will not be listed in any stock or other sn securities exchange, (c) will not carry a A-G- 05/16/13 rating from any rating agency and (d) will be issued only in one denominations of $ which may not be readily marketable. 10. The Purchaser has had the opportunity to consult with and be advised by legal counsel as to the significance of this letter and it has satisfied itself that the Bond is a lawful investment for it under all applicable laws. Very truly yours, [PURCHASER] By: Authorized Signatory A-3- 05/16/13 CERTIFICATE I, the undersigned, the Clerk of the City Council (the "City Council") of City of Kent, Washington (herein called the "City"), DO HEREBY CERTIFY: 1. That the attached ordinance numbered (herein called the "Ordinance") is a true and correct copy of an ordinance of the City, as finally adopted at a regular meeting of the City Council held on the 21st day of May, 2013, and duly recorded in my office. 2. That the meeting was duly convened and held in all respects in accordance with law, and to the extent required by law, due and proper notice of such meeting was given; that a quorum of the City Council was present throughout the meeting and a legally sufficient number of members of the City Council voted in the proper manner for the passage of said Ordinance; that all other requirements and proceedings incident to the proper adoption of said Ordinance have been duly fulfilled, carried out and otherwise observed, and that I am authorized to execute this certificate. IN WITNESS WHEREOF, I have hereunto set my hand this 21st day of May, 2013. CITY OF KENT, WASHINGTON Ronald Moore, City Clerk P:\Civil\Ordinance\Bond Ordinance-LID No 362 052113.Doc 05/16/13 KENT Agenda Item: Other Business - 8D TO: City Council DATE: May 21, 2013 SUBJECT: House-Banked Social Card Room Gambling Tax Reduction Ordinance MOTION: Adopt Ordinance No. amending Section 3.21.010 of the Kent City Code entitled, "Gambling activities and tax," and reducing the gambling tax from 11% to __% of the gross amount of revenue from house-banked social card games, with a sunset of December 31, 2016. SUMMARY: The Great American Casino is the only house-banked social card room in Kent. The City has the authority to impose a 20% tax rate on gross revenues for house-banked social card rooms. The current tax rate is 11%. The Great American Casino has requested that the City reduce the rate from 11% to 4% through December 31, 2016, to mitigate recessionary impacts on their business and to allow it to remain viable. The City's finance department has determined that this reduction will reduce the Great American Casino's local gambling taxes and the City's tax revenue annually by approximately $30,548 per each 1% reduction. EXHIBITS: Ordinance RECOMMENDED BY: Councilmember Thomas BUDGET IMPACTS: Estimated reduction in gambling tax revenue of $30,548 per each 1% reduction. ORDINANCE NO. AN ORDINANCE of the City Council of the city of Kent, Washington, amending Section 3.21.010 of the Kent City Code, entitled "Gambling activities and tax," reducing the tax rate for social card games only. RECITALS A. The Great American Casino is the only house-banked social card room in the city of Kent. B. The city has the authority to impose a 20% tax rate on gross revenues for house-banked social card rooms. The current tax rate is 11%. C. The Great American Casino has requested that the city reduce the rate from 11% to % now through December 31, 2016 to correct the impact on their business and ability to remain viable. D. After discussion, the city council determined that a reduction in the tax rate from 11% to % would be appropriate. 1 KCC 3.21.010 Gambling activities and tax Ordinance E. The city's finance department has estimated that there will be a reduction of $30,548 in the city's annual gambling tax revenue for every one percent reduction of the tax rate. F. The city council has also determined that the reduction from 11% to % will expire on December 31, 2016. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: ORDINANCE SECTION 1. — Amendment. Section 3.21.010 of the Kent City Code, entitled "Gambling activities and tax," is amended as follows: Sec. 3.21.010. Gambling activities and tax. A. Tax imposed. In accordance with RCW 9.46.110, the following taxes are levied upon all persons, associations, and organizations who have been duly licensed by the Washington State Gambling Commission to conduct or operate gambling activities: 1. For bingo games and raffles, a tax rate of five (5) percent of the gross receipts received therefrom less the amount awarded as cash or merchandise prizes; 2. For amusement games, a tax rate of two (2) percent of the gross receipts from any such amusement games less the amount awarded as prizes, which is an amount less than the actual amount of costs of enforcement by the city of the provisions of Chapter 9.46 RCW; 3. For punch boards and pull-tabs for bona fide charitable or nonprofit organizations and for commercial stimulant operators, a tax rate 2 KCC 3.21.010 Gambling activities and tax Ordinance of ten (10) percent based on the gross receipts from the operation of the games less the amount awarded as cash or merchandise prizes; 4. Commencing July 1, 2013, Ffor social card games not prohibited by subsection (D) of this section, a tax rate of eleven ep rcent (1- %) peFeent of the gross revenue from suchthose games. Beginning January 1, 2017, this tax rate will return to eleven percent (11%) of the gross revenue from those games. B. Definitions. For the purposes of this chapter, the words and terms used herein shall have the same meaning given to each pursuant to Chapter 9.46 RCW, as same exist or may from time to time be amended; and as set forth under the rules of the Washington State Gambling Commission, WAC Title 230, as the same exists or may hereafter be amended, unless otherwise specifically provided herein. C. Exemption from tax. No tax shall be imposed under the authority of this chapter on bingo or amusement games when such activities or any combination thereof are conducted by any bona fide charitable or nonprofit organization as defined in Chapter 9.46 RCW, which organization has no paid operating or management personnel and has gross receipts from bingo or amusement games, or any combination thereof, not exceeding five thousand dollars ($5,000) per year less the amount awarded as cash or merchandise prizes. For raffles conducted by bona fide charitable or nonprofit organizations, no tax shall be imposed under this chapter on the first ten thousand dollars ($10,000) per year of gross receipts, less the amount awarded as cash or merchandise for prizes. 3 KCC 3.21.010 Gambling activities and tax Ordinance D. Social card games — Prohibited — Exceptions. Pursuant to RCW 9.46.295 and to the city's police power and legislative authority, the operation or conduct of social card games by any person, association, or organization as a commercial stimulant, as defined in Chapter 9.46 RCW, is prohibited within the city of Kent; provided, that house-banked social card game establishments licensed by the Washington State Gambling Commission, lawfully operating in an area as described in RCW 9.46.295 and annexed by the city of Kent, and which are in compliance with the provisions of this chapter, may continue to operate house-banked social card games as a commercial stimulant under said license and renewals thereto at the original licensed location or at another location within the same annexation area; provided, however, that a relocated establishment must otherwise comply with applicable land use and Gambling Commission regulations. It is further provided that bona fide charitable or nonprofit organizations, as defined in Chapter 9.46 RCW, may operate or conduct social card games if said social card games have been duly licensed by the Washington State Gambling Commission and if they are otherwise operated or conducted in compliance with the provisions of this chapter. A violation of this section shall not be subject to KCC 1.01.140. SECTION 2, — Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; ordinance, section, or subsection numbering; or references to other local, state or federal laws, codes, rules, or regulations. SECTION 3, — Effective Date. This ordinance shall take effect and be in force thirty (30) days after its passage and publication, as provided by law. 4 KCC 3.21.010 Gambling activities and tax Ordinance SUZETTE COOKE, MAYOR ATTEST: RONALD F. MOORE, CITY CLERK APPROVED AS TO FORM: TOM BRUBAKER, CITY ATTORNEY PASSED: day of 12013. APPROVED: day of 12013. PUBLISHED: day of 12013. I hereby certify that this is a true copy of Ordinance No. passed by the City Council of the City of Kent, Washington, and approved by the Mayor of the City of Kent as hereon indicated. (SEAL) RONALD F. MOORE, CITY CLERK P:\Civil\Ordinance\Gambling KCC 3.21.Docx 5 KCC 3.21.010 Gambling activities and tax Ordinance REPORTS FROM STAFF, COUNCIL COMMITTEES, AND SPECIAL COMMITTEES A. Council President B. Mayor C. Administration D. Economic & Community Development E. Operations F. Parks & Human Services G. Public Safety H. Public Works I. Regional Fire Authority J. Other K. Other KENT WASHINGTON OPERATIONS COMMITTEE MINUTES April 16, 2013 Committee Members Present: Dana Ralph, Chair, Dennis Higgins and Jamie Perry The meeting was called to order by Dana Ralph at 4:09 p.m. 1. APPROVAL OF MINUTES DATED MARCH 19, 2013. J. Perry moved to approve the Operations Committee minutes dated March 19, 2013. D. Higgins seconded the motion, which passed 3-0. 2. APPROVAL OF CHECK SUMMARY REPORTS DATED 3/1/2013 THROUGH 3/15/2013 AND 3/16/2013 THROUGH 3/31/2013. D. Higgins moved to recommend that the City Council approve the Check Summary Reports dated March 1,2013 through March 15,2013 and March 16,2013 through March 31,2013. J. Perry seconded the motion, which passed 3-0. 3. LODGING TAX ADVISORY COMMITTEE APPOINTMENT- APPROVE. J. Hall presented the reappointment of Andrew Hutchinson to the Lodging Tax Advisory Committee. He is currently serving in this position. This position is to be filled by a person representing businesses required to collect lodging tax dollars. J. Perry moved to recommend to approve the appointment of Andrew Hutchinson to the Lodging Tax Advisory Committee. D. Higgins seconded and the motion passed 3-0. 4. WASHINGTON TRAFFIC SAFETY EQUIPMENT GRANT- ACCEPT. K. Thomas presented the Washington Traffic Safety Equipment Grant for the committee members to accept. This grant was applied for the purchase of two automated license plate readers, device installation and maintenance, software upgrades, and training. The grant money needs to be spent by June 30,2013. D. Higgins moved to recommend that Council accept the Washington Auto Theft Prevention Authority grant funding to purchase two automated license plate readers, device installation, maintenance, software upgrades, and training in the amount of $35,235, and authorize amending the budget and expending the funds in accordance with the grant terms, with terms and conditions acceptable to the Police Chief and the City Attorney. S. FINANCIAL REPORTS 2012 YEAR END (INFORMATION ONLY). B. Nachlinger presented the financial reports for 2012 year end. He said the General Fund grew better than expected. The revenues were .5% over budget and expenditures were 3.2% below budget. The permits are up 46.5% from last year. Operations Committee Minutes April 16, 2013 Page: 2 6. FINANCIAL SUMMARY REPORT AS OF FEBRUARY 28, 2013 (INFORMATION ONLY). B. Nachlinger presented the Financial Summary report as of February 28, 2013. Based on the report, the General Fund is expected to grow by the end of the year at 9.5% of the expenditure budget. He said it will be closely monitored to react in a timely manner to any adverse trends that may arise. He said this does not include collective bargaining. 7. DISCUSS B&O TAX IMPLEMENTATION (INFORMATION ONLY). Mayor Cooke wanted to discuss the B&O Tax implementation. She said that some neighboring cities are not charging the 3PL warehouses any square footage. 3PLs are 3r' party logistics centers and do not generate any revenue by selling the products. They are basically storage warehouses until the product leaves for the port and other facilities. The staff will research for cities similar to Kent that exempt 3PLs from B&O tax. B&O taxes are due on April 30, 2013. The meeting was adjourned at 4:41 p.m. by D. Ralph. SatwindV'er Kaur Operations Committee Secretary PUBLIC WORKS COMMITTEE April 15, 2013 COMMITTEE MEMBERS PRESENT: Committee Chair Elizabeth Albertson and Committee members Dana Ralph and Dennis Higgins were present. The meeting was called to order at 4:05 p.m. Item 1 — Approval of Meeting Minutes Dated April 1, 2013: Committee member Higgins MOVED to approve the minutes of April 1, 2013. The motion was SECONDED by Council member Ralph and PASSED 3-0. Item 2 — Accept Grant for Traffic Signal Agreement — Panther Lake: Transportation Engineering Manager, Steve Mullen stated the city was successful in receiving a $341,957 Grant from the Washington State Department of Transportation. The project will include the extension of communication cable to the traffic signals in the Panther Lake annexation. Once installed, we will be able to monitor and manage traffic signals in this area from the city's master signal controller. This will ultimately allow for replacement of the existing traffic signal controllers at key intersections and provide the capability to display flashing yellow arrows (FYA) for permissive left turn movements. This project continues the phased replacement of the existing traffic signal control system through state grant funds. Mullen stated that this is a no local match grant and that we plan on advertising by October 2013. Committee member Ralph MOVED to recommend Council authorize the Mayor to execute an agreement with the Washington State Department of Transportation to accept a grant in the amount of $341,957.55 for the Panther Lake Signal System Integration. The motion was SECONDED by committee member Higgins and PASSED 3-0. Item 3 9 — Revised Ordinance for No Parking Zone: Transportation Engineering Manager, Steve Mullen briefly went over the request that was brought to committee two weeks prior. Mullen noted that removing a "No Parking" prohibition requires an amendment to Kent City Code 9.38.020. The ordinance would be amended to allow parking on S. 1881h Street from 80th Ave. S to a point approximately 960 feet westerly and, on S. 190th Street from 80th Ave. South to the BNSF Railroad. The request for this ordinance change came from Carlisle Interconnect Technologies, a designer and manufacturer of high- performance wire and cable. The company moved from Tukwila to Kent in September 2012 and currently employs 830 with expectations to grow by and additional 40-60 employees in the coming year. They would like to utilize the streets adjacent to their building to park cars. Parking of commercial vehicles exceeding 8,000 pounds gross vehicle weight will continue to be prohibited. PUBLIC WORKS COMMITTEE April 15, 2013 After the motion was ready Committee members requested that this item be brought to the next Council meeting under Other Business. Albertson noted the letter written by the Regional Fire Authority stating it was okay to park along that road as long as the cul-de-sac isn't used for parking. Committee member Higgins MOVED to recommend Council adopt an ordinance amending Kent City Code, to remove the parking prohibition on: S. 188th Street from 80th Avenue to a point approximately 960 feet westerly, and, 190th Street from 80th Avenue South to west end of street at BNSF Railway Company tracks. The motion was SECONDED by Ralph and PASSED 3-0. ITEM 4 3 — Waiver of Bidding and Signature Procurement Code Requirements• Public Works Director, Tim LaPorte briefed the committee regarding the city's practice to expedite purchase of services, materials, and supplies to repair equipment and put it back in service as quickly as possible. This agreement will allow staff to purchase equipment such as police cars, mowers, construction equipment, Vactor trucks and aerial "bucket" trucks. When equipment is damaged or needs special maintenance, it becomes unavailable, sometimes delaying scheduled tasks or leaving staff unable to accomplish tasks as efficiently. As a result, we maintain or repair this equipment as quickly as possible to get the equipment back in service. The city's code does not provide an exception to procurement requirements for these situations, and the purpose of this motion is to authorize this limited exception to the city's procurement code. Public Works staff will continue to report regularly to the Mayor regarding expenditures that exceed $10,000, and will report back to the Public Works committee regarding expenditures that exceed $25,000. This reporting requirement allows the Mayor and council to monitor these expenditures. Committee members asked that this item be brought back on to them on May 6. Higgins asked what our current ordinance is and what the current process looks like. Staff stated they will have answers for them at the May 6 meeting. Item & 4 — Interlocal Agreement with King County/Clean Bioswales & Stormwater Ponds: Todd Hunsdorfer noted that the city's National Pollutant Discharge Elimination System (NPDES) Phase II Permit (NPDES Permit) and federal Clean Water Act require that we maintain our stormwater ponds and bioswales. We are proposing to partner with King County to complete the maintenance of 21 bioswales and 4 stormwater ponds citywide. King County crews have experience PUBLIC WORKS COMMITTEE April 15, 2013 with this type of maintenance work and can do the work efficiently and cost effectively. Hunsdorfer showed several slides depicting the work that was done by King County, last year - over 100 ponds were cleaned in the past two years. The City has an existing Interlocal agreement with King County that allows the County to perform work at the City's request, based on County availability. The agreement was executed in 1997 to take advantage of King County's maintenance and operations resources for this "specialty work". The cost to use King County crews for this work is not to exceed $460,000. King County has a site where they bring the sediment, which is a significant cost savings to Kent, around $260,000. Committee member Higgins MOVED to recommend Council authorize the Mayor to sign an Amendment to the City's Interlocal Agreement with King County to perform maintenance on the City's Stormwater Ponds and bioswales, subject to final terms and conditions acceptable to the City Attorney and Public Works Director. The motion was SECONDED by committee member Ralph and PASSED 3-0. Item Cr 5- Contract/Tetra Tech - 2013 Lake Monitoring: Kelly Peterson, noted that the City has enacted measures to improve water quality at Lake Meridian and Lake Fenwick including; educating residents about ways to reduce polluted runoff (e.g. natural yard care and car washing); and in the case of Lake Fenwick, installing an in-lake aeration system and introducing weed-eating fish (Grass Carp) to reduce non-native aquatic plants. More improvements are proposed in the near future including increasing the capabilities of the aeration system and treating Lake Fenwick with non-toxic, algae- inhibiting chemicals. This contract will assist staff by providing the expert help and specialized equipment and testing necessary to assess lake conditions. Information will be used to quantify improvements to water quality and ensure safe conditions for swimming and fishing. Committee member Ralph MOVED to recommend Council authorize the Mayor to sign a consultant services agreement with Tetra Tech, Inc. in an amount not to exceed $24,053.80 to monitor and analyze surface water quality conditions and aquatic weeds in Lake Fenwick and Lake Meridian during 2013, subject to terms and final conditions acceptable to the City Attorney and the Public Works Director. The motion was SECONDED by Higgins and PASSED 3-0. Item -7-6 - SR-516 to S 231't Way Levee/Lakes Levee- Real Estate Negotiator Contract: PUBLIC WORKS COMMITTEE April 15, 2013 Environmental Engineer, Beth Tan noted the levee design along the SR 516 to S. 231't Way Levee adjacent to the Lakes Community requires additional property in order to construct needed repairs. The acquisition will not purchase any condominium units, but will impact some common area property as the secondary levee improvements will be constructed closer to the Lakes Community. The levee adjacent to Marina Pointe and River Place will not need additional right of way, but will need an easement for levee maintenance inspection. The easement will be located on the Lakes property. The consultant services agreement with Universal Field Services Inc. is to provide negotiation services to secure properties and necessary easements to construct the certified levees along the Lakes Community. Tan noted that the location is from the north end of Riverbend Golf Course to S 231't Way, near Neely Somes Homestead. Committee member Higgins MOVED to recommend Council authorize the Mayor to sign the Universal Field Services Inc. Contract Agreement for Real Estate negotiation services on the State Route 516 to S. 231st Way Levee Project in an amount not to exceed $28,000 subject to final terms and conditions acceptable to the City Attorney and Public Works Director. The motion was SECONDED by committee member Ralph the motion PASSED 3-0. Item 8-7 — Information Only/Briscoe-Desimone Levee-Inter local Agreement with the King County Flood Control Zone District and the City of Tukwila: Environmental Engineering Manager, Mike Mactutis Public Works Director, Tim LaPorte and Environmental Engineering Manager, Mike Mactutis briefed the committee on the latest discussions they have had with both the King County Flood Control District staff and the City of Tukwila staff. The proposed construction schedule will also be discussed. No action is required at this time. Information Only/No Motion Required Item 9 10 — Consultant Agreement/Landscape Services-Boeing, Briscoe- Desimone Levees: Public Works Director, Tim LaPorte noted that the King County Flood Control District has authorized construction of the flood walls to meet FEMA levee accreditation standards throughout the Briscoe-Desimone levees. In order to balance the needs of the river habitat and recreation the city will plant the existing river banks with native trees and shrubs that provide shade and allow for views of the river. PUBLIC WORKS COMMITTEE April 15, 2013 Design Engineering Supervisor, Ken Langholz noted that staff looked at the Statement of Qualifications and from that selected Otak to do the work due to their qualifications. Langholz stated that although the planting plan has been developed by city staff; we would like to retain the services of a landscape architect to review the design and provide comments on possible improvements. This is a major project, and getting the plantings right the first time will be important to its long- term success. Council member Ralph MOVED to recommend Council authorize the Mayor to sign a consultant services contract with Otak for work on the Briscoe- Desimone Levee Improvements Project in an amount not to exceed $25,000, subject to final terms and conditions acceptable to the City Attorney and Public Works Department. The motion was SECONDED by Higgins committee member Higgins and PASSED 3-0. This item will be taken to Council on April 16, and will be heard under "Other Business" on the agenda. Original Agenda Items 10, 11, 12 and 13 where pulled at the beginning of the meeting and will be heard at a later date. Item 10 — SE 256th Street Proiect Status: Pulled from the Agenda. Item 11 — SE 256th Street Agreement w/Puget Sound Energv for Utility Undergrounding: Pulled from the Agenda. Item 12 — SE 256th Street Agreement w/Comcast for Utility Undergrounding: Pulled from the Agenda. Item 13 — SE 256th Street Agreement w/Century Link for Utility Undergrounding: Pulled from the Agenda. The meeting was adjourned at 4:59 p.m. Cheryl Viseth Council Committee Recorder EXECUTIVE SESSION A) Labor Negotiations B) Property Negotiations ACTION AFTER EXECUTIVE SESSION