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HomeMy WebLinkAboutCity Council Committees - Operations - 12/02/2014 KENT WASH 1NG�0N Operations Committee Agenda Council Members: Bill Boyce * Dana Ralph * Les Thomas, Chair December 2, 2014 4:00 p.m. Item Description Action Speaker Time Pace Call to order. Roll Call. Changes to the Agenda. 1. Approval of Minutes dated YES 1 November 18, 2014. 2. Approval of Check Summary Reports dated YES 11/01/2014 through 11/15/2014. 3. Agreements between City of Kent and YES T. Brubaker 10 5 Maple Valley for jail and Municipal Court Use. 4. 2015-2018 Lobbyist Agreement. YES M. Wilmot 5 25 5. Budget Adjustment Ordinance. YES A. BeMiller 5 37 6. Amendment to Public Facilities District YES A. BeMiller 10 39 Contingent Loan and Support Agreement. Unless otherwise noted,the Operations Committee meets at 4:00 p.m.on the first and third Tuesday of each month. Council Chambers East, Kent City Hall, 220 4`h Avenue South, Kent,98032-5895. Dates and times are subject to change. For information please contact Annalise LaPorte at (253)856-5705. Any person requiring a disability accommodation should contact the City Clerk's Office at(253)856-5725 in advance. For TDD relay service call Washington Telecommunications Relay Service at 1-800-833-6388. This page intentionally left blank 1 KENT WASHINGTON OPERATIONS COMMITTEE MINUTES November 18, 2014 Committee Members Present: Les Thomas, Chair and Dana Ralph. Bill Boyce-Excused Absence The meeting was called to order by L. Thomas at 4:00 p.m. He noted that B. Boyce had given prior consent to each item listed below. 1. APPROVAL OF MINUTES DATED OCTOBER 21, 2014. D. Ralph moved to approve the Operations Committee minutes dated October 21, 2014. L. Thomas seconded the motion, which passed 2-0. 2. APPROVAL OF CHECK SUMMARY REPORT DATED 10/31/2014. D. Ralph moved to approve the check summary report dated 10/31/14. L. Thomas seconded the motion, which passed 2-0. 3. PREMERA BLUE CROSS ADMINISTRATIVE SERVICES CONTRACT. K. Endicott, a Human Resource Analyst for the City, informed committee members that Premera Blue Cross is a third party administrator that takes care of the City's PPO network, hospital and doctor visits. The City has a three-year contract with them and a 0% increase for 2015 and 2016 but a 3% increase in 2017, making the total increase in administrative fees $510,000. L. Thomas also mentioned that the City has had this contract with Premera Blue Cross for many years; consequently it has been discussed many times, which is why it may seem the committee rushed through discussion. D. Ralph moved to recommend the Premera Blue Cross Administrative Services Contract be placed on the City Council Consent Calendar for the December 9, 2014 meeting. L. Thomas seconded the motion, which passed 2-0. 4. DELTA DENTAL OF WASHINGTON ADMINISTRATIVE SERVICES CONTRACT. K. Endicott stated that the City has been in contract with Delta Dental of Washington, a third party administrator, since 2009. The City has a three-year contract with an approximate 8.5% increase in administrative fees for 2015 and no increase in 2016 and 2017. D. Ralph moved to recommend the 2015 Delta Dental of Washington Administrative Services Contract be placed on the City Council Consent Calendar for the December 9, 2014 meeting. L. Thomas seconded the motion, which passed 2-0. S. STOP LOSS — INFORMATION ONLY. B. Fowler, the Benefits Manager with the Human Resources Department, presented a contract with Lifewise Assurance Company. Anything above $200,000 in claims by an employee in one year is covered by our Stop Loss carrier. As this contract is about to go out for bid, it will not move forward to Council in December but will be put in place by January 1, 2015. D. Ralph clarified that this contract would cover an employee and/or dependents if something catastrophic happened and the claims they submit for doctor or emergency hospital visits that exceed $200,000 will be covered. 2 6. VISION SERVICE PLAN ADMINISTRATIVE SERVICES CONTRACT. B. Fowler informed the committee that the contract with Vision Service Plan (VSP) has been extended to add the year 2017 with no rate increase. She went on to say that she wanted the contracts with Premera, Delta Dental and VSP to end the same year because the City will be going out with an RFP in 2017. It's better if all contracts are open at the same time. It was clarified by D. Ralph that with these contracts being open in 2017 the City will be able to better negotiate once there is clearer understanding of how potential changes can impact the way benefits are provided with Affordable Healthcare in 2018. D. Ralph moved to recommend the Vision Service Plan Administrative Services Contract be placed on the City Council Consent Calendar for the December 9, 2014 meeting. L. Thomas seconded the motion, which passed 2-0. 7. GROUP HEALTH COOPERATIVE 2015 CONTRACT. B. Fowler presented the 2015 Group Health Cooperative contract (HMO plan) that is offered to employees. Currently, there are approximately 46 employees and family members on this plan, which will see a 2.86% rate increase. Required by law, the City offers two different carriers - Group Health Cooperative and Premera Blue Cross. D. Ralph moved to recommend the Group Health Cooperative 2015 Contract be placed on the City Council Consent Calendar for the December 9, 2014 meeting. L. Thomas seconded the motion, which passed 2-0. S. BANKING SERVICES RFP — INFORMATION ONLY. A. BeMiller, the Finance Director, the City is in the process of drafting a proposal for Banking Services which is necessary to come up to City Code. For the last 10 years, the City has been operating under an expired contract. The plan is to have the proposal to go out for bid in mid-January and have a selection made for Council's consideration in May or early June. 9. RESOLUTION AUTHORIZING INVESTMENT OF AVAILABLE MONIES IN LOCAL GOVERNMENT INVESTMENT POOL. A. BeMiller clarified that this is a housekeeping resolution put out by the State to ensure that those who use the Local Government Investment Pool ("LGIP") understand the rules and how it works. To date, Kent has $87 million invested in the LGIP with an annual return that varies from 1 to 1.2%. As the City moves forward there will be an effort to look into other investment options. D. Ralph moved to recommend approval the adoption of the Resolution Authorizing Investment of Available Monies in Local Government Investment Pool. L. Thomas seconded the motion, which passed 2-0. 10. AUGUST FINANCIAL PACKET — INFORMATION ONLY. It was suggested and agreed upon to skip August and discuss September's Financial Packet. 11. SEPTEMBER FINANCIAL PACKET — INFORMATION ONLY. A. BeMiller covered the summary of September's Financial Report. Using information available through September, ending fund balance is estimated to increase by $5.6 million and at the end of the year at $14.7 million, which includes: General Fund reserves of $11.4 million, or 15.5%, Contingency for Unanticipated Costs of $1.5 million and $1.8 million restricted for annexation. In addition, there is currently $424,000 in the Strategic Opportunities Fund. Overall revenues are currently coming in about $3.3 million, or 4.3% above budget. Sales Tax continues a steady positive trend, averaging a 4.8% increase over 2013 collections. Year-end projection 3 is expected to exceed budget by $1.5 million or 7.2%. Revenue from building Permits and Plan Check Fees are exceeding projections, currently running nearly $1.3 million above budget, or 32.4%. Expenditures in all categories, except Cost Allocations, are currently trending about $2.7 million below budget, or 3.3%. Due to a change in methodology for allocating General Fund, the costs allocated to other funds and projects has been reduced by $1.5 million. Overall expenditures are expected to end the year $2.4 million below budget or 3.2%. 12. PUGET SOUND EMERGENCY RADIO NETWORK INTERLOCAL AGREEMENTS. T. Brubaker, the City Attorney, reported that currently cities in King County use different radio frequencies to communicate in an emergency. This makes communication difficult with neighboring cities when there is a regional emergency. This is why there is now a push to create a county wide network. The bond is projected to be between $225-250 million and will be funded by a Levy Lid Lift which is expected to go to the voters in April of 2015. Two agreements were discussed. The first is for the implementation period which is composed of working with the vendor to construct of the hardware and software to create the network. It is estimated to take about five years for the network to be operational. The second is the operational agreement which will determine how the network will be operated once it is created. The whole operation is contingent upon the vote. If it passes, the bond will pay for new equipment but once in place, there will be an annual fee paid to ValleyCom. D. Ralph moved to recommend Council authorize the Mayor to sign the Implementation Period Interlocal Agreement and the Operational Interlocal Cooperative Agreement for the Puget Sound Emergency Radio Network Interlocal Agreements. L. Thomas seconded the motion, which passed 2-0. The Committee also asked that this topic be placed under Other Business at the Council Meeting. 13. TW TELECOM, INC. APPROVAL OF MERGER ORDINANCE Recently, the City issued a franchise to tw telecom inc. to extend fiber throughout our streets. They are merging with a company called Level 3 Communications, Inc. and are requesting approval of this merger as required by law. T. Brubaker clarified that there are no financial implications to the City. D. Ralph moved to recommend adoption of an Ordinance acknowledging the merger of tw telecom inc. and Level 3 Communications, Inc. and approve the resulting indirect change of control of the tw telecom of washington lic telecommunications. L. Thomas seconded the motion, which passed 2-0. The meeting was adjourned at 4:26 p.m. by L. Thomas. U v Annalise LaPorte Operations Committee Secretary 4 This page intentionally left blank 5 LAW DEPARTMENT Tom Brubaker, City Attorney �T Phone: 253-856-5770 ......... Fax: 253-856-6770 Address: 220 Fourth Avenue S. Kent, WA. 98032-5895 DATE: December 2, 2014 TO: Operations Committee SUBJECT: Interlocal Agreements for Court and Jail Services with Maple Valley MOTION: Move recommend Council authorize the Mayor to sign the Interlocal Agreements between the City of Maple Valley and the City of Kent for both Jail and Municipal Court Services, subject to final terms and conditions acceptable to the City Attorney. SUMMARY: These two Interlocal Agreements continue Maple Valley's use of the City's municipal court and jail facility. Maple Valley does not own a facility suitable for incarcerating Maple Valley inmates and it does not have a facility suitable for conducting a municipal court. Maple Valley has agreed to pay the City a minimum of $175,000 per year for use of the Municipal Court. If Maple Valley files more than 333 cases during any given month, an additional $4,000 will be paid to the City. Maple Valley also will pay the City a minimum of $80,300 per year for guaranteed space at the jail. Additional fees for booking, additional space and electronic home monitoring, as required, will be paid by Maple Valley. Exhibit: Interlocal Agreement for Jail Services Interlocal Agreement for Municipal Court Services Budget Impact: Income 6 INTERLOCAL AGREEMENT BETWEEN THE CITY OF MAPLE VALLEY AND THE CITY OF KENT FOR JAIL SERVICES THIS AGREEMENT is made and entered into by and between the City of Maple Valley ("Maple Valley"), a municipal corporation in the State of Washington and the City of Kent ("Kent'), a municipal corporation in the state of Washington, collectively the ("Parties"). WHEREAS, this Agreement is made under the authority of the Interlocal Cooperation Act, Ch. 39.34 RCW; and WHEREAS, the City of Maple Valley incorporated on August 31, 1997; and WHEREAS, pursuant to state law, Maple Valley is responsible for the incarceration of defendants held pending resolution of misdemeanor cases and upon conviction for misdemeanor crimes committed in Maple Valley("Maple Valley Inmates"); and WHEREAS, Maple Valley does not own a facility suitable for incarcerating Maple Valley Inmates; and WHEREAS, Kent, which is located in King County, operates a municipal corrections facility known as the Kent Corrections Facility("KCF'); and WHEREAS, Kent is willing to provide for the housing of Maple Valley Inmates pursuant to this Agreement; NOW, THEREFORE, in consideration of the terms and conditions set forth below, it is mutually agreed by and between Maple Valley and Kent as follows: 1. Purpose of Agreement. The purpose of this Agreement is to provide for the incarceration of Maple Valley Inmates at the KCF; to establish the services that Kent will provide pursuant to the incarceration of Maple Valley Inmates as well as the responsibilities of Maple Valley; and to set forth the fees to be paid by Maple Valley for such services. 2. Maple Valley Inmate — Defined. A Maple Valley Inmate shall be a person 18 years of age or older who is arrested for, charged with, or convicted of a misdemeanor offense committed in the city limits of Maple Valley. 3. Jail Services Provided. The KCF shall provide the jail services enumerated in Section 3.1 for Maple Valley Inmates. The KCF, through its personnel, shall provide jail services enumerated herein to Maple Valley at the same level as the KCF provides services to Kent inmates. 3.1. Guaranteed Space. The KCF shall provide Maple Valley with space for two 7 Maple Valley Inmates for each day that this Agreement is effective. These two spaces shall be referred to as Guaranteed Space. This Guaranteed Space shall be reserved only for Maple Valley Inmates as that term is defined in this Agreement. Maple Valley shall pay for the Guaranteed Space whether or not the Guaranteed Space is occupied by Maple Valley Inmates. Guaranteed Space shall include bed space on the hard-side of the jail, or participation in electronic home monitoring or another KCF program. 3.2 Additional Space. The KCF may have additional jail space, beyond that reserved pursuant to the Guaranteed Space, available depending on its jail population, which fluctuates on an hourly basis ("Additional Space"). In the event that Maple Valley brings a Maple Valley Inmate to the KCF for processing when the Guaranteed Space is occupied, it will be presumed that Maple Valley is requesting Additional Space, and additional space shall be made available at the discretion of the KCF. hi the event that Additional Space is made available, such Additional Space shall be paid for at the rate provided for in Section 4.2.b of this Agreement. In the event that Additional Space is not made available, Maple Valley shall be solely responsible for making other arrangements for the incarceration of the Maple Valley Inmate. Additional Space shall be considered occupied if a Maple Valley Inmate occupies a bed at the KCF, is on electronic home monitoring, or occupies another KCF program. 3.3 Notification of Number of Inmates. KCF shall inform Maple Valley, via facsimile or other electronic transmission sent Monday through Friday, the Maple Valley court list, which will list all suspects arrested through the Maple Valley system as well as KCF's current disposition of those persons. This notification shall not be used to form the basis for reconciling funds owed to Kent, as it is recognized that the number of Maple Valley inmates may fluctuate throughout the day. 3.4 Jail Services. Maple Valley Inmates shall be subject to the same terms and conditions of confinement as Kent inmates, and shall be subject to the same policies and procedures applicable to Kent inmates. 3.5 Corrections Officer Present at Trials. When Maple Valley holds a trial at the Kent Municipal Court, Maple Valley will use its best efforts to have a police officer sit with a Maple Valley inmate in the courtroom when trial is in session; however, when Maple Valley is unable to have an officer present, KFC will provide a corrections officer to sit with the Maple Valley inmate. 3.6 Programs — Incarceration Alternatives. Subject to KCF policies and procedures, Maple Valley Inmates shall have the same opportunities as Kent inmates to participate in alternative programs such as but not limited to electronic home monitoring, work release, and work crew. A Maple Valley Inmate participating in a program shall count as a Maple Valley Inmate occupying Guaranteed Space, or if there are more than two Maple Valley Inmates, Additional Space. 3.7 Medical Services and Medications. Maple Valley Inmates shall receive the same level of medical care, and medications under the same circumstances, as Kent inmates. Medical 8 care and medications which are provided by Occupational Health Services ("OHS") staff on contract with the KCF and at the KCF shall be included in the cost of incarceration. Any medical care deemed, at the discretion of KCF or OHS staff, necessary for the proper care of a Maple Valley Inmate, but which is provided to a Maple Valley Inmate at a location other than KCF, or by medical staff other than OHS staff on contract with KCF, shall be an additional cost to Maple Valley, and Maple Valley shall be responsible for payment of such medical care costs. At each billing cycle, the city will invoice Maple Valley for the cost of any Maple Valley inmate medical care incurred during a billing period and will provide copies of medical invoices upon request. For example, and not by way of limitation, in the event a Maple Valley Inmate must be transported to a medical facility for treatment, Kent will bill Maple Valley the total cost of that inmate's medical treatment at the medical facility. Maple Valley shall then fully reimburse Kent for that medical treatment, and Kent shall not be responsible for any part of the cost. When a medical bill is received, KCF will attempt to seek a reduction of the medical bill by the medical provider; provided, nothing herein shall be interpreted to relieve Maple Valley of the full responsibility to reimburse Kent for Kent's payment of such bill. The parties recognize that some inmates have extraordinary medical care needs and that the KCF is not well equipped or funded to provide for extraordinary medical needs. hi the event KCF staff determines that due to the expense or complexity of an inmate's medical needs that the KCF is not in a position to provide medical care for the inmate, KCF staff shall issue a medical temporary release, that is consistent with the standards of release for the KCF as approved and adopted by Maple Valley, including afollow-up court date. 3.8 Booking of Ill or Injured Maple Valley Inmates. It is recognized that the KCF is not well equipped to handle inmates with major medical emergencies or needs. Maple Valley shall endeavor to find an alternative to booking Maple Valley Inmates with major medical emergencies or needs at the KCF. 3.9 Medical Transportation Costs. Reimbursement for all actual costs incurred by Kent when transporting Maple Valley Inmates to medical facilities and for supervising Maple Valley Inmates during medical appointments or procedures (for example, inmates who are at a high risk of reoffending and ineligible for a medical temporary release (TR) pursuant to the adopted standards of release) are Maple Valley's sole responsibility and shall not be included in the payment for Guaranteed Space. At each billing cycle, the city will invoice Maple Valley for the cost of any Maple Valley inmate medical transportation costs, including supervision costs, incurred during a billing period. 3.10 Transporting Maple Valley Inmates to Court or Other Jail facilities. Maple Valley shall arrange for the transport of Maple Valley Inmates to all court appearances and to other jails as necessary. Kent shall not be responsible for transporting Maple Valley Inmates to court or other jails; provided, at the sole discretion of the KCF, the KCF staff may transport a Maple Valley Inmate to the Kent Municipal Court, and in such case, Maple Valley shall not be charged for such transport. 9 3.11 Video Court Services. KCF shall make available the KCF library and video link between the KCF and the Kent Court in order to facilitate video hearings by the Maple Valley Court for Maple Valley Inmates incarcerated at the KCF. The scheduling of video link usage shall be mutually agreed upon by Kent and Maple Valley. 3.12 Confidential Meeting Space for Maple Valley Inmates and Defense Counsel. KCF shall make space available for Maple Valley Inmates to meet confidentially with private counsel and indigent defense counsel in order to provide inmates with the effective assistance of counsel. 3.13 Release of Maple Valley Inmates. KCF shall release Maple Valley Inmates pursuant to a signed order from the Maple Valley Court Judge or duly appointed Maple Valley Judge Pro Tem. KCF shall accept the Maple Valley Judge's orders sent via facsimile or other form of electronic transmission to the KCF. 3.14 Use of Electronic Home Monitoring Contractor for Maple Valley Defendants not Incarcerated in the KCF Permitted. Nothing in this Agreement shall be interpreted to limit the authority of a Maple Valley judge from ordering or permitting a Maple Valley defendant that is not in the custody or control of KCF to use a provider of electronic home monitoring services other than the service provided by the KCF as a condition of a sentence or pre-trial release. However, if a Maple Valley inmate is sentenced to a term of confinement in the KCF, that inmate shall be subject to the rules, policies and procedures of the KCF. KCF, at its sole discretion and subject to the policies and procedures of the KCF, will determine whether an inmate will serve his or her time on the KCF's electronic home monitoring program. The Maple Valley judge shall not have the authority to designate a particular electronic home monitoring program for any Maple Valley inmate once the Maple Valley inmate is in the custody or control of the KCF. 3.15 Work Crew May Work in Maple Valley. At the discretion of the KCF, and subject to available resources and scheduling, the KCF work crew may perform work within the city limits of Maple Valley. The availability of the work crew cannot be guaranteed. Prior to the work crew performing work in Maple Valley, Maple Valley shall make a request, in writing, for the services of the Work Crew. It shall be within the sole discretion of the KCF to determine whether the work requested can be performed by the work crew, whether the resources exist to allow the work crew to perform the work, and whether the schedule of the work crew program is such that the work crew can be made available for the work. 4. Fees. In consideration of the services enumerated in Section 3 of this Agreement, the Parties agree to the fees and charges below. In order to provide clarity to the Parties, Exhibit A has been attached to describe the below application of inmate fees for Guaranteed and Additional Space. 4.1. Fixed Fee for Guaranteed Space. Maple Valley shall pay for Guaranteed Space, as that phrase is described elsewhere in this Agreement, at a rate of$220.00 per day ($80,300.00 10 per year). This fixed fee for guaranteed space shall be paid regardless of whether the Guaranteed Space is occupied or not. 4.2 Variable Fees for Booking and Additional Space. Maple Valley shall pay the following for booking and Additional Space as that phrase is defined in Section 4.2.b of this Agreement: a. Fees for Booking. Kent shall invoice Maple Valley for booking fees in the amount of$35.00 per booking. For the purposes of this section, "booking" shall mean each instance in which a Maple Valley Inmate is booked into the jail after a period in which he or she was not subject to confinement or participating in a jail program. Maple Valley Inmates who are transported for a court hearing and then transported back to the KCF at the conclusion of the hearing will not be considered booked when readmitted to the KCF. Inmates who return to the KCF on their own free will after a temporary release or medical release shall not be considered booked when readmitted to the KCF. b. Additional Space - Daily Rate. The daily rate for Additional Space for each additional Maple Valley Inmate who occupies the KCF over and above the Guaranteed Space shall be $20.00 per day for inmates on electronic home monitoring, and $135.00 per day for occupied beds or participation in programs other than electronic home monitoring. A full day shall be charged for any Maple Valley Inmate who occupies Additional Space for any period of a day. For example, and not by limitation, a Maple Valley Inmate who is booked into the KCF on Monday at 9:00 p.m., and released the following Tuesday at 1:00 pm shall be deemed to have spent two days in the KCF, and the cost of the daily rate shall be 2 X $135.00, for a total of$270.00. 4.3 Cost Inflator. On January 1, 2016, and on January 1 of each year thereafter that this Agreement is in effect, including any year in which this Agreement is extended,the fees set forth in Section 4.1 and 4.2 shall be subject to an annual inflator in an amount equal to the Seattle-Tacoma- Bremerton CPI-W for June of the preceding year; provided, in the event the Seattle-Tacoma- Bremerton CPI-W for June of the preceding year is a negative number,the fees set forth in Section 4.1 shall not be reduced. 5. Billing and Payment. Maple Valley shall reimburse Kent for the fixed and variable fees as well as other costs described in this Agreement upon receipt of an invoice delivered no less than quarterly. The invoice shall be sent to Maple Valley at the address provided herein. A copy of the invoice shall be sent to the Maple Valley judge. The bill shall identify the Maple Valley Inmates who occupied the KCF during the quarter by name, as well as the number of days each Maple Valley Inmate occupied jail space. The bill shall also provide the booking date and inmate name for any booking fee charged, and shall describe all other fees being invoiced by the date, description and breakdown of the fee. Maple Valley shall pay to Kent the amounts invoiced within 30 days of receipt of such bill. The failure of Kent to invoice Maple Valley for fees or costs shall not relieve Maple Valley of the responsibility for paying any fees or other costs as required by this Agreement. 11 The parties may agree in writing to an alternate method or timing for invoicing and payment. 6. Effective Date - Duration. This Agreement shall be in effect from January 1, 2015 until January 1, 2018; provided, this Agreement may be extended, in writing, for an additional three year term without further action of the legislative bodies of Kent or Maple Valley. 7. Termination - Notice. 7.1. Termination without Breach. Should either party desire to terminate this Agreement absent a breach, a notice of termination, in writing, shall be provided to the other party by July 1 of any given year in which this Agreement is effective. In no event shall a notice of intent to terminate without a breach contain an effective date of termination prior to January 1 of any given year. 7.2. Termination for Breach. In the event a party is in material breach of this Agreement, the breaching party shall be provided with written notice 30 calendar days to cure the breach, and if that party fails to do so, this Agreement may be terminated by written notice issued by the non-breaching party. 8. Financing. There shall be no financing of any joint or cooperative undertaking pursuant to this Agreement, except as set forth herein. There shall be no budget maintained for any joint or cooperative undertaking pursuant to this Agreement. 9. Property. This Agreement does not provide for the acquisition, holding or disposal of real or personal property. 10. Joint Administrative Board. No separate legal or administrative entity is created by this Agreement. To the extent necessary, this Agreement shall be administered by the City Attorney for Maple Valley or his/her designee, and the City Attorney for Kent or his/her designee. 11. Indemnification. 11.1. Kent shall indemnify and hold harmless Maple Valley and its officers, agents, and employees, or any of them from any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever, by any reason of or arising out of any act or omission of Kent, its officers, agents, and employees, or any of them relating to or arising out of the performance of this contract. In the event that any suit based upon such a claim, action, loss, or damage is brought against Maple Valley, Kent shall defend the same at its sole cost and expense, provided that Maple Valley retains the right to participate in said suit; and if final judgment be rendered against Maple Valley, and its officers, agents, and employees, or any of them, or jointly against Maple Valley and Kent and their respective officers, agents, and employees, or any of them, the parties shall apportion any damages between them according to the proportionate amount of fault as set forth in the judgment. 11.2. Maple Valley shall indemnify and hold harmless Kent and its officers, agents, 12 and employees, or any of them from any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever, by any reason of or arising out of any act or omission of Maple Valley, its officers, agents, and employees, or any of them relating to or arising out of the performance of this contract. hi the event that any suit based upon such a claim, action, loss, or damage is brought against the Kent, Maple Valley shall defend the same at its sole cost and expense; provided that Kent retains the right to participate in said; and if final judgment be rendered against Kent, and its officers, agents, and employees, or any of them, or jointly against Kent and Maple Valley and their respective officers, agents, and employees, or any of them, the parties shall apportion any damages between them according to the proportionate amount of fault as set forth in the judgment. 11.3. The provisions of this Section shall survive termination of this Agreement. 12. Entire Agreement. This Agreement constitutes the entire Agreement between the parties hereto and no other Agreements, oral or otherwise, regarding the subject matter of this Agreement, shall be deemed to exist or bind any of the parties hereto. Either party may request amendments to this Agreement. Proposed amendments which are mutually agreed upon shall be incorporated by written amendment hereto. 13. Notices. Notices shall be sent to the following addresses: City Manager Mayor City of Maple Valley City of Kent P.O. Box 320 220 Fourth Ave S Maple Valley, WA 98038 Kent, WA 98032 With a copy to: With a copy to: City Attorney City Attorney 14. Attorney's Fees. Each party shall be responsible for its own attorney and legal fees in any legal proceeding brought for the enforcement of this Agreement, or because of a dispute, breach, default, or misrepresentation in connection with any of the provisions of this Agreement. 15. Severability. 15.1. If, for any reason, any part, term or provision of this Agreement is held by a court of competent jurisdiction to be illegal, void or unenforceable, the validity of the remaining provisions shall not be affected, and the rights and obligations of the parties shall be construed and enforced as if the Agreement did not contain the particular provision held to be invalid. 15.2. If it should appear that any provision hereof is in conflict with any statutory provision of the State of Washington, said provision which may conflict therewith shall be deemed inoperative and null and void insofar as it may be in conflict therewith, and shall be deemed modified to conform to such statutory provisions. 13 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed. CITY OF MAPLE VALLEY CITY OF KENT David W. Johnston Suzette Cooke City Manager Mayor Dated: Dated: ATTEST: ATTEST: Shaunna Lee-Rice Ronald F. Moore City Clerk City Clerk Dated: Dated: Approved asto Form: Approved asto Form: Tom Brubaker City Attorney City Attorney Dated: Dated: P:ACivilAFilesVOpenFilesAF44GKent C=ectlons Facility OmaalU aple Valley Sail end Court SavicesU aple Valley Sail IDA Operations doca 14 EXHIBIT A Guaranteed Space, Additional Space, Electronic Home Monitoring ("EHM") and Program Charges Explained Note: These scenarios do not include applicable booking charges or other charges called for in the Agreement. • Standard Daily Rates: • Hard-side bed per inmate per day $220.00 • Program slot per inmate per day $135.00 • EHM per inmate per day $ 20.00 • One and Two Inmate Scenarios: 1 Inmate. Inmate occupies either a hard-side bed, a program slot, or EHM. Maple Valley is charged the $220.00 guaranteed space rate. 2 Inmates. One inmate occupies a hard-side bed, and one occupies a program slot. Maple Valley is charged the $220.00 guaranteed space rate. 2 Inmates. One inmate occupies a programs slot, and one occupies an EHM slot. Maple Valley is charged the $220.00 guaranteed space rate. 2 Inmates. Both inmates occupy program slots. Maple Valley is charged the $220.00 guaranteed space rate. 2 Inmates. Both inmates occupy EHM slots. Maple Valley is charged the $220.00 guaranteed space rate. • Three or More Inmate Scenarios 3 Inmates. All inmates occupy hard-side beds. Maple Valley is charged the $220.00 guaranteed space rate, plus $135.00 for each day the 3rd bed is occupied. 3 Inmates. Two inmates occupy hard-side beds and one occupies EHM. Maple Valley is charged the $220.00 guaranteed space rate plus $20.00 for each day the 3rd inmate is on EHM. 3 Inmates. One inmate occupies a hard-side bed, one inmate occupies a program slot, and one inmate is on EHM. Maple Valley is charged the $220.00 guaranteed space rate plus $20.00 for each day the 3rd inmate is on EHM. 4 Inmates. Two inmates occupy hard-side beds and two inmates occupy program slots. Maple Valley is charged the $220.00 guaranteed space rate, plus $270.00 for each day the 3rd and 4th inmates occupy program slots. • 4 Inmates. Two inmates occupy hard-side beds, one inmate occupies a program slot, and one inmate is on EHM. Maple Valley is charged the $220.00 guaranteed space rate, plus $135.00 for each day the 3rd inmate occupies a program slot, plus $20.00 for each day the 3rd inmate is on EHM. 15 INTERLOCAL AGREEMENT BETWEEN THE CITY OF MAPLE VALLEY AND THE CITY OF KENT FOR MUNICIPAL COURT SERVICES THIS AGREEMENT is made and entered into by and between the City of Maple Valley("Maple Valley"), a municipal corporation in the State of Washington and the City of Kent("Kent"), a municipal corporation in the state of Washington, collectively the ("Parties"). WHEREAS, this Agreement is made under the authority of the Interlocal Cooperation Act, Ch. 39.34 RCW and Municipal Courts — Alternative provision, Ch. 3.50 RCW; and WHEREAS,the City of Maple Valley incorporated on August 31, 1997; and WHEREAS, pursuant to state law, Maple Valley adopted Ordinance 0-98-071 establishing its own municipal court, known as the Municipal Court of the City of Maple Valley ("Maple Valley Court"); and WHEREAS, the Maple Valley City Council appointed a municipal court judge ("Maple Valley Court Judge") for a four year term in Resolution, R-98-078 and has re- appointed a municipal judge by similar resolution upon the expiration of each term of appointment; and WHEREAS, Maple Valley does not own afacility suitable for conducting municipal court and continues to need a venue in which to conduct municipal court proceedings; and WHEREAS, Kent, which is located in King County, operates a municipal court known as the Municipal Court of the City of Kent("Kent Municipal Court"); and WHEREAS, Kent is willing to provide a venue and certain municipal court services to the Maple Valley Court at the Kent Municipal Court pursuant to terms as set forth in this Agreement; and NOW, THEREFORE, in consideration of the terms and provisions set forth below, it is mutually agreed by and between Maple Valley and Kent as follows: 16 1. Purpose of Agreement. The purpose of this Agreement is to provide for the processing of Maple Valley criminal complaints and infractions by the Kent Municipal Court; to set forth the fees to be paid by Maple Valley for such services; and to enumerate the court services to be provided by Kent and the Kent Municipal Court. A further purpose of this Agreement is to set forth that the Maple Valley Court will conduct its proceedings at the Kent Municipal Court, 1220 Central Avenue South, Kent, Washington. 2. Maple Valley Court Cases and Municipal Court Services. The Maple Valley Court and the Kent Municipal Court shall be deemed separate municipal courts for the purposes of Ch. 3.50 RCW. The Kent Municipal Court shall provide the court services enumerated in Section 2.3, infra, for all Maple Valley Court cases commenced by Maple Valley. T h e Kent Municipal Court,through its personnel, shall provide court services enumerated herein to the Maple Valley Court at the same level as the Kent Municipal Court provides for the same type of cases originating in Kent. The Maple Valley Court Judge agrees that the Kent Presiding Judge is responsible for the general supervision and administration of all Kent Municipal Court personnel that will be providing services to the Maple Valley Court. The Kent Municipal Court agrees that the Maple Valley Municipal Court Judge has authority to delegate necessary ministerial duties pertaining to the Maple Valley Court to Kent Municipal Court personnel. Both Parties agree that for purposes of General Rule 29, as written or hereafter amended (incorporated herein as if fully set forth), the Maple Valley Municipal Court Judge is not a supervisor of Kent Municipal Court personnel; however, the Parties agree that Kent Municipal Court personnel are responsible for implementing the Maple Valley Court Judge's orders. Given the agreements set forth herein it is appropriate that the responsibilities of the Presiding Judge as set forth in General Rule (GR) 29 of the Washington Court Rules rest with the Kent Municipal Court Presiding Judge. Thus, for the purposes of GR 29, the Kent Municipal Court Presiding Judge shall be the Presiding Judge of the Kent Municipal Court and shall maintain all of the responsibilities of presiding judge as set forth in GR 29; provided, the Maple Valley Court Judge shall be the Presiding Judge for the purposes of adjudicating Maple Valley Court Cases and for the purposes of engaging in GR 29 responsibilities that are exclusive to Maple Valley Court Cases and which do not impact the operations of the Kent Municipal Court. 2.1. Maple Valley Court Cases - Defined. Maple Valley Court Cases shall include all civil or traffic and other infraction cases, and all misdemeanor criminal complaints commenced by Maple Valley in the Kent Municipal Court on or after January 1, 2013. Maple Valley Court Cases shall also include any civil or traffic and other infraction cases and any misdemeanor criminal complaints filed in the Enumclaw Court prior to January 1, 2013, that are closed and re-opened in the Kent Municipal Court. 2.2. Appointment of Maple Vallev Municipal Judge. Pursuant to RCW 3.50.040, the Maple Valley City Council will continue to appoint a Maple Valley Municipal Court judge to adjudicate all Maple Valley Court Cases. 2.3. Municipal Court Services and Supplies. The following court services shall be provided by the Kent Municipal Court under this Agreement: 17 a. Court Staff. The Kent Municipal Court shall provide personnel necessary to process all Maple Valley Court Cases. "Personnel' is defined as one or more court clerks, and a court administrator. During the regularly scheduled Maple Valley Court calendars, the staffing level provided by the Kent Municipal Court shall also include a minimum of the services of one court clerk in the courtroom and one court clerk in the clerical area to handle inquiries and financial transactions. In addition, Kent shall provide a staffing level of service necessary to timely process all Maple Valley Court Cases. By way of illustration and not limitation, "to timely process" shall include the issuance of all notices to appear; maintenance of Maple Valley Court files for all Maple Valley Court Cases; case scheduling for all Maple Valley Court Cases; calculation and processing of allowable costs, fines and forfeitures; and handling all paperwork for Maple Valley infraction mitigation hearings that are adjudicated via mail. The Kent Municipal Court staff shall utilize the JIS and Sector systems as appropriate. b. Court Hours. The Kent Municipal Court shall be open Monday through Friday, from 8:30 a.m. to 4:30 pm; provided, the Kent Municipal Court shall not be open during holidays recognized by the City of Kent; and provided further, the Kent Municipal Court may be closed on December 24 and December 31 of each year. Any emergency closure of the Kent Municipal Court due to weather or otherwise shall be at the sole discretion of the Kent Municipal Court Presiding Judge. In the event that an emergency causes the closure of the Kent Municipal Court on a day in which a Maple Valley Court calendar is scheduled, the Kent Municipal Court Administrator shall work with the Maple Valley Court Judge to reschedule cases. In the event that a Maple Valley Court calendar is not concluded by 4:30 pm, the cases remaining on the court calendar will be rescheduled to a different Maple Valley Court calendar. C. Discovery and Subpoenas. Maple Valley, through its appointed prosecutor, shall be responsible for responding to discovery requests and for issuing subpoenas for Maple Valley witnesses. Kent Municipal Court personnel shall not be responsible for responding to discovery requests. Kent Municipal Court personnel shall issue subpoenas when requested by the defense; provided, the Kent Municipal Court shall not issue subpoenas on behalf of the Maple Valley Prosecutor. d. Court Security. The Kent Municipal Court shall provide security personnel who shall be present in and around the Kent Municipal Court facilities during hours in which the court is open to the public. e. Public Defender Screening. The Kent Municipal Court shall provide a screener to perform public defender-screening services in the same manner as this service is performed for the Kent Municipal Court. f. Probation. For all Maple Valley Court Cases for which probation is ordered, the Kent Municipal Court shall provide probation services of the same nature and at the same level that such services are provided for Kent Cases. 18 g. Supplies and Forms. The Kent Municipal Court shall order forms and paperwork necessary for processing Maple Valley Court Cases. By way of illustration and not limitation, these forms and paperwork include case setting forms, infraction hearing forms, warrants, statement on plea of guilty forms, speedy trial waiver forms and general office supplies. Court forms to be utilized in the name of the Maple Valley Court. Any forms required by Maple Valley and not utilized in a manner such that the form may also be used by the Kent Municipal Court shall be a cost payable by the Maple Valley Court. The cost of forms used by both the Kent Municipal Court and the Maple Valley Court shall be included in the flat fee described in this Agreement. h. image Interpretation. The Kent Municipal Court shall arrange for and schedule all language interpretation services necessary for the processing of Maple Valley Court Cases. i. Jurors. The Kent Municipal Court shall arrange for the presence of jurors as deemed necessary to adjudicate Maple Valley Court Cases. j. Miscellaneous Equipment, Facility, and Utility Costs. The Kent Municipal Court shall provide and maintain all equipment necessary for the processing of the Maple Valley Court Cases. Kent shall provide the use of Kent's Municipal Court facility and the space necessary for the processing of Maple Valley Court Cases, and all associated janitorial services, facility insurance, building repair and maintenance, and related expenses. Kent will be responsible for payment of all utility charges such as power, water, sewer, solid waste, and telephone services for any portion of the facility or facilities utilized to process Maple Valley Court Cases. k. Annual Court Calendar. The Parties agree to work cooperatively to establish an annual court calendar that establishes, at least one year in advance,the dates the Maple Valley Court will be in session at the Kent Municipal Court. The annual court calendar includes two court days, one overflow court day, and one jury day per month. Additional court days may be added at the discretion of the court administrator working in cooperation with the Maple Valley Judge. The number of cases set per calendar will be coordinated by the Kent Municipal Court Administrator and the Maple Valley Judge. For purposes of establishing annual court calendars for 2014 and beyond, the Kent Municipal Court Administrator shall work cooperatively with the Maple Valley Court Judge and the appointed Maple Valley Prosecutor, to find mutually agreeable dates for the Maple Valley Court to conduct its proceedings. Final copies of the annual court calendar shall be distributed to the following persons: Kent Municipal Court Administrator, Kent City Attorney, Maple Valley Court Judge, appointed Maple Valley Prosecutor, appointed Maple Valley Public Defender(s), and the Maple Valley City Attorney. 1. Communications. Kent agrees to post information on its website, to provide information to the public regarding the dates that the Maple Valley Court will be held at the Kent Municipal Court in accordance with the annual court calendar, and to 19 include contact information for Maple Valley, similar to the website information provided by Maple Valley on its website. Kent further agrees to provide a link to the Maple Valley website information on the same subject. 3. Mitigation Hearings. Infraction mitigation hearings will be held pursuant to Maple Valley local court rule. For purposes of this Agreement, a"mitigation hearing" is a hearing requested by the recipient of a traffic infraction to explain mitigating circumstances leading to the commission of the infraction. Present during mitigation hearings will be the Maple Valley Court Judge, and a court clerk provided by the Kent Municipal Court. Mitigation hearings will be scheduled according to the annual court calendar. The Kent Municipal Court's personnel will be responsible for the scheduling and processing of all paperwork for mitigation hearings. Any fines collected during such mitigation hearings will be processed by the Kent Municipal Court on behalf of the Maple Valley Court and returned to Maple Valley pursuant to and consistent with Section 5, infra. 4. Fees. 4.1. Flat Fee. In consideration of the services and supplies enumerated in Sections 2 and 3, supra, Maple Valley shall remit to Kent $175,000.00 annually, to be paid on a monthly basis at the rate of $14,583.33 each month. The $175,000.00 annual rate is based upon the following estimates of case filings: The Parties agree that for any month in which there are filed more than 333 cases (either criminal cases, infractions, or a combination of both), Maple Valley will pay Kent an additional $4000.00 over and above the monthly rate of$14,583.33. On January 1, 2016, and on January 1 of each year thereafter that this Agreement is in effect, including any year in which this Agreement is extended,the fees set forth in Section 4.1 shall be subject to an annual inflator in an amount equal to the Seattle-Tacoma-Bremerton CPI-W for June of the preceding year; provided, in the event the Seattle-Tacoma-Bremerton CPI-W for June of the preceding year is a negative number, the fees set forth in Section 4.1 shall not be reduced. 4.2. Other Fees and Costs. Kent shall be responsible to pay the following fees and other costs (which costs are not included in the Flat Fee) and invoice Maple Valley monthly for reimbursement of those costs and fees: a. Witness fees; b. Jury fees and juror summons' fees; C. Language interpreter fees; d. Cost of printing forms used only by the Maple Valley Court All other costs not specifically enumerated in Section 4.2 are subsumed in the Flat Fee set forth in Section 4.1. 20 5. Fines and Forfeitures. With the exception of probation costs, records check costs, copies, and NSF fees that are collected by Kent, Kent shall remit monthly to Maple Valley costs, fines and bail forfeitures associated with Maple Valley Court Cases that were received by Kent the prior month. No state costs or assessments shall be deducted by the Kent Municipal Court from the remittance. Maple Valley shall make appropriate distributions from this remittance to the State of Washington and King County. Maple Valley's monthly flat fee payment to Kent as described in Section 4.1 shall be contingent on Maple Valley's receipt of the monthly remittance from Kent. 6. Maple Vallev Municipal Court Judge and Judges Pro Tem. The Maple Valley Court Judge will appoint various Judges Pro Tem to conduct Maple Valley Court proceedings. In the event a Kent Municipal Court judge is unavailable to act as Judge Pro Tem for the Maple Valley Court, the Kent Municipal Court shall notify the Maple Valley Judge, and the Maple Valley Judge shall be responsible for scheduling any Maple Valley Court Judges Pro Tem. Maple Valley shall be responsible for paying the cost of Maple Valley Judges Pro Tem. The Maple Valley Court Judge will review statements of probable cause and provide signed orders of release or the setting of bail to the Kent Municipal Court for any defendant booked into jail, and provide a copy of that order to the pertinent jail. Kent Municipal Court personnel shall set first appearance or arraignment dates for Maple Valley defendants that have been booked into jail only after receipt of a signed order from the Maple Valley Court Judge or a duly appointed Maple Valley Judge Pro Tem. The Maple Valley Court Judge may promulgate local court rules for the Maple Valley Court, as well as administrative orders. Nothing in this Section shall operate to prevent the Maple Valley Court Judge from working cooperatively with the Kent Presiding Judge on the coordination of local rules for Maple Valley that are similar to, or mirror, local court rules promulgated by the Kent Municipal Court, but such decisions are discretionary with the Maple Valley Court Judge. 7. Appearance by Maple Vallev Prosecutor and Indigent Counsel. All determinations relating to the appearance of a prosecutor or indigent defense counsel in a Maple Valley Court Case shall be the responsibility of and shall be made at the sole discretion of Maple Valley and the Maple Valley Court Judge. hi any case where the appointed Maple Valley Prosecutor desires to be heard on a particular in-custody issue, the Prosecutor will transmit his or her recommendation by facsimile or email to the Kent Municipal Court Administrator or her designee and the Maple Valley Court Judge in compliance with CrRLJ 3.2.1(b) and RCW 9A.72.085, or, in the alternative,the Prosecutor will appear personally. 8. Kent Prosecutors and Defense Attomevs Shall Not Appear. The Parties agree that the Kent Prosecutor and indigent defense counsel on contract with Kent shall not appear in Maple Valley Court Cases unless a separate contract for such services is agreed to between Maple Valley and Kent. 9. Effective Date - Duration. This Agreement shall be in effect from January 1, 2015until January 1, 2018; provided, the parties, by prior mutual written agreement, may extend this Agreement for an additional three year term without further action of the 21 legislative bodies of Kent or Maple Valley. 10. Termination - Notice. a. Termination Without Breach. Should either party desire to terminate this Agreement absent a breach, a notice of termination, in writing, shall be provided to the other party by July 1 of any given year in which this Agreement is effective. In no event shall a notice of intent to terminate without a breach contain an effective date of termination prior to December 31 of any given year. b. Termination for Breach. In the event a party is in material breach of this Agreement, the breaching party shall be provided with written notice of 30 calendar days to cure the breach, and if that party fails to do so, this Agreement may be terminated by written notice issued by the non-breaching party. 11. Future Agreements — Sharing of Information. Kent agrees that, at the request of Maple Valley, it will share Kent Municipal Court budget information; Kent Municipal Court case filing information for both Maple Valley cases and Kent cases; Kent Municipal Court statistical information available by utilization of computer systems maintained by the state Office of Administrator of the Courts; and other relevant data produced or maintained by Kent; provided that Kent shall not be required to maintain statistical information not currently maintained by the State Office of the Administrator of the Courts; and provided further that Maple Valley will be required to conduct any desired analysis, graphing, and statistical comparison and work-up of such data 12. Financing. There shall be no financing of any joint or cooperative undertaking pursuant to this Agreement, except as set forth herein. There shall be no budget maintained for any joint or cooperative undertaking pursuant to this Agreement, except to the extent it is necessary for Kent to keep the receipt of the Maple Valley Court's payments for costs, fines, penalties and assessments separate and distinct from the Kent Municipal Court's payments for costs,fines,penalties and assessments. 13. Property. This Agreement does not provide for the acquisition, holding or disposal of real or personal property. 14. Joint Administrative Board. No separate legal or administrative entity is created by this Agreement. To the extent necessary, this Agreement shall be administered by the City Manager for Maple Valley or his/her designee, and the City Attorney for Kent or his/her designee. 15. Indemnification. 15.1. Kent shall indemnify and hold harmless Maple Valley and its officers, agents, and employees, or any of them from any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever, by any reason of or arising out zz of any act or omission of Kent, its officers, agents, and employees, or any of them relating to or arising out of the performance of this contract. In the event that any suit based upon such a claim, action, loss, or damage is brought against Maple Valley, Kent shall defend the same at its sole cost and expense, provided that Maple Valley retains the right to participate in said suit; and if final judgment be rendered against Maple Valley, and its officers, agents, and employees, or any of them, or jointly against Maple Valley and Kent and their respective officers, agents, and employees, or any of them, the parties shall apportion any damages between them according to the proportionate amount of fault as set forth in the judgment. 15.2. Maple Valley shall indemnify and hold harmless Kent and its officers, agents, and employees, or any of them from any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever, by any reason of or arising out of any act or omission of Maple Valley, its officers, agents, and employees, or any of them relating to or arising out of the performance of this contract. In the event that any suit based upon such a claim, action, loss, or damage is brought against the Kent, Maple Valley shall defend the same at its sole cost and expense; provided that Kent retains the right to participate in said; and if final judgment be rendered against Kent, and its officers, agents, and employees, or any of them, or jointly against Kent and Maple Valley and their respective officers, agents, and employees, or any of them, the parties shall apportion any damages between them according to the proportionate amount of fault as set forth in the judgment. 15.3. T h e provisions of this Section shall survive termination of this Agreement. 16. Entire Agreement. This Agreement constitutes the entire Agreement between the parties hereto and no other Agreements, oral or otherwise, regarding the subject matter of this Agreement, shall be deemed to exist or bind any of the parties hereto. Either party may request amendments to this Agreement. Proposed amendments which are mutually agreed upon shall be incorporated by written amendment hereto. 17. Notices. Notices shall be sent to the following addresses: City Manager Mayor City of Maple Valley City of Kent P.O. Box 320 220 Fourth Ave S Maple Valley, WA98038 Kent, WA98032 With a copy to: With a copy to: City Attorney City Attorney 18. Attorney's Fees. Each party shall be responsible for its own attorney and legal fees in any legal proceeding brought for the enforcement of this Agreement, or because of a 23 dispute, breach, default, or misrepresentation in connection with any of the provisions of this Agreement. 19. Severability. 19.1. If, for any reason, any part, term or provision of this Agreement is held by a court of competent jurisdiction to be illegal, void or unenforceable, the validity of the remaining provisions shall not be affected, and the rights and obligations of the parties shall be construed and enforced as if the Agreement did not contain the particular provision held to be invalid. 19.2. If it should appear that any provision hereof is in conflict with any statutory provision of the State of Washington, said provision which may conflict therewith shall be deemed inoperative and null and void insofar as it may be in conflict therewith, and shall be deemed modified to conform to such statutory provisions. IN WITNESS WHEREOF,the parties have caused this Agreement to be executed. CITY OF MAPLE VALLEY CITY OF KENT David W. Johnston, City Manager Suzette Cooke, Mayor Dated: Dated: ATTEST: ATTEST: Shaunna Lee-Rice, City Clerk Ronald F. Moore, City Clerk Dated: Dated: Approved asto Form: Approved asto Form: Arthur"Pat' Fitzpatrick City Attorney Deputy City Attorney Dated: Dated: Stephen Rochon Glenn Phillips Maple Valley Court Judge Kent Municipal Court Presiding Judge Dated: Dated: F AO V I pR I BStOp en RlesV0265-MI,IIPII Caurt GaneapM,p Id VZIIeY Intodo dI F9reementVN MItId VZIIeY Host MIII,PII Caurt Opeafio,, do- 24 25 OFFICE OF THE MAYOR Suzette Cooke, Mayor • Phone: 253-856-5700 KEN T Fax: 253-856-6700 Address: 220 Fourth Avenue S. WASHINGTON Kent, WA. 98032-5895 DATE: December 2, 2014 TO: Kent City Council Operations Committee FROM: Michelle Wilmot, Communications and Public Affairs Manager SUBJECT: 2015-2018 Legislative Consulting Contract with Outcomes by Levy MOTION: Move to recommend Council authorize the Mayor to sign the government relations consulting services agreement for 2015-2018 with Outcomes by Levy, in the amount of $69,600.00 per year, plus agreed upon expenses, and upon review by the City Attorney. SUMMARY: Since the year 2000, the city has contracted annually with Doug Levy of Outcomes by Levy to provide services for the city of Kent. These services include the following activities: • Assist with issue identification and meetings with Kent legislators prior to the Legislative Session. • Continue to monitor and identify problems and opportunities for Kent on issues under consideration by various state legislative bodies including group meetings on transportation, fiscal resources, endangered species listings, and other state agency activities. • Monitor and report legislation of concern to Kent during the Legislative Sessions(s), working with the Mayor's Office to provide regular status reports and to advocate for Kent on relevant issues. • Assist with issue identification, opportunities for Kent, and advocacy efforts with Kent's federal representatives. • Assist with pursuit of funding for Kent projects, particularly at the state and federal levels Mr. Levy has proven himself to be extremely effective in advancing Kent's legislative agenda and has accumulated a great deal of expertise and knowledge regarding the issues of importance to Kent. EXHIBITS: Consultant Services Agreement with Outcomes by Levy BUDGET IMPACT: Utility and General Fund 26 CONSULTANT SERVICES AGREEMENT between the City of Kent and Outcomes by Levy THIS AGREEMENT is made between the City of Kent, a Washington municipal corporation (hereinafter the "City"), and Outcomes by Levy organized under the laws of the State of Washington, located and doing business at 15619 NE 62"d Place, Kenmore, WA 98028; 425-922-3999 (hereinafter the "Consultant"). I. DESCRIPTION OF WORK. Consultant shall perform the following services for the City in accordance with the following described plans and/or specifications: Scope of Work: The following outlines the scope of work under this Agreement. Specific work plans shall be developed mutually and reviewed on a regular basis. • Assist with issue identification and meetings with Kent legislators prior to the Legislative Session. • Continue to monitor and identify problems and opportunities for Kent on issues under consideration by various state legislative bodies including group meetings on transportation, fiscal resources, endangered species listings, and other state agency activities. • Monitor and report legislation of concern to Kent during the Legislative Sessions(s), working with the Mayor's Office to provide regular status reports and to advocate for Kent on relevant issues. • Assist with issue identification, opportunities for Kent, and advocacy efforts with Kent's federal representatives. • Assist with pursuit of funding for Kent projects, particularly at the state and federal levels. Reporting and Communication: The Consultant shall communicate weekly with designated staff regarding work under this Agreement. Monthly summaries of work completed shall be appended to invoices for payment. Consultant further represents that the services furnished under this Agreement will be performed in accordance with generally accepted professional practices in effect at the time those services are performed. 27 II. TIME OF COMPLETION. The parties agree that work will begin on the tasks described in Section I above immediately upon the effective date of this Agreement. Upon the effective date of this Agreement, Consultant shall complete the work described in Section I during the years 2015-2018, ending on December 31, 2018. III. COMPENSATION. A. The City shall pay the Consultant, based on time and materials, an amount not to exceed sixty nine thousand six hundred dollars ($69,600.00), not including approved and agreed upon expenses for the services described in this Agreement, The City shall reimburse the Consultant for expenses incurred while doing business on the City's behalf, which shall be limited to meals, parking, lodging, mileage at the State of Washington's standard reimbursement rate, phone calls attributable to City of Kent business, legislative session office space and expenses, and other travel and conference/meeting expenses where such attendance is directed by the City. Where such expenses are incurred in connection with work on legislative or regulatory issues affecting the Contractor's other relevant clients, these expenses shall be pro-rated to maximum extent practicable. This is the maximum amount to be paid under this Agreement for the work described in Section I above, and shall not be exceeded without the prior written authorization of the City in the form of a negotiated and executed supplemental agreement. The Consultant agrees that the hourly or flat rate charged by it for its services contracted for herein shall remain locked at the negotiated rate(s) for a period of four (4) years from the effective date of this Agreement. B. The Consultant shall submit monthly payment invoices to the City for work performed, and a final bill upon completion of all services described in this Agreement. The City shall provide payment within thirty (30) days of receipt of an invoice. If the City objects to all or any portion of an invoice, it shall notify the Consultant and reserves the option to only pay that portion of the invoice not in dispute. In that event, the parties will immediately make every effort to settle the disputed portion. IV. INDEPENDENT CONTRACTOR. The parties intend that an Independent Contractor-Employer Relationship will be created by this Agreement and that the Consultant has the ability to control and direct the performance and details of its work, the City being interested only in the results obtained under this Agreement. 28 V. TERMINATION. Either party may terminate this Agreement, with or without cause, upon providing the other party thirty (30) days written notice at its address set forth on the signature block of this Agreement. After termination, the City may take possession of all records and data within the Consultant's possession pertaining to this project, which may be used by the City without restriction. If the City's use of Consultant's records or data is not related to this project, it shall be without liability or legal exposure to the Consultant. VI. DISCRIMINATION. In the hiring of employees for the performance of work under this Agreement or any subcontract, the Consultant, its subcontractors, or any person acting on behalf of the Consultant or subcontractor shall not, by reason of race, religion, color, sex, age, sexual orientation, national origin, or the presence of any sensory, mental, or physical disability, discriminate against any person who is qualified and available to perform the work to which the employment relates. Consultant shall execute the attached City of Kent Equal Employment Opportunity Policy Declaration, Comply with City Administrative Policy 1.2, and upon completion of the contract work, file the attached Compliance Statement. VII. INDEMNIFICATION. Consultant shall defend, indemnify and hold the City, its officers, officials, employees, agents and volunteers harmless from any and all claims, injuries, damages, losses or suits, including all legal costs and attorney fees, arising out of or in connection with the Consultant's performance of this Agreement, except for that portion of the injuries and damages caused by the City's negligence. The City's inspection or acceptance of any of Consultant's work when completed shall not be grounds to avoid any of these covenants of indemnification. Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Consultant and the City, its officers, officials, employees, agents and volunteers, the Consultant's liability hereunder shall be only to the extent of the Consultant's negligence. IT IS FURTHER SPECIFICALLY AND EXPRESSLY UNDERSTOOD THAT THE INDEMNIFICATION PROVIDED HEREIN CONSTITUTES THE CONSULTANT'S WAIVER OF IMMUNITY UNDER INDUSTRIAL INSURANCE, TITLE 51 RCW, SOLELY FOR THE PURPOSES OF THIS INDEMNIFICATION. THE PARTIES FURTHER ACKNOWLEDGE THAT THEY HAVE MUTUALLY NEGOTIATED THIS WAIVER. The provisions of this section shall survive the expiration or termination of this Agreement. VIII. INSURANCE. The Consultant shall procure and maintain for the duration of the Agreement, insurance of the types and in the amounts described in Exhibit A attached and incorporated by this reference. 29 IX. EXCHANGE OF INFORMATION. The City will provide its best efforts to provide reasonable accuracy of any information supplied by it to Consultant for the purpose of completion of the work under this Agreement. X. OWNERSHIP AND USE OF RECORDS AND DOCUMENTS. Original documents, drawings, designs, reports, or any other records developed or created under this Agreement shall belong to and become the property of the City. All records submitted by the City to the Consultant will be safeguarded by the Consultant. Consultant shall make such data, documents, and files available to the City upon the City's request. The city's use or reuse of any of the documents, data and files created by Consultant for this project by anyone other than Consultant on any other project shall be without liability or legal exposure to Consultant. XI. CITY'S RIGHT OF INSPECTION. Even though Consultant is an independent contractor with the authority to control and direct the performance and details of the work authorized under this Agreement, the work must meet the approval of the City and shall be subject to the City's general right of inspection to secure satisfactory completion. XII. WORK PERFORMED AT CONSULTANT'S RISK. Consultant shall take all necessary precautions and shall be responsible for the safety of its employees, agents, and subcontractors in the performance of the contract work and shall utilize all protection necessary for that purpose. All work shall be done at Consultant's own risk, and Consultant shall be responsible for any loss of or damage to materials, tools, or other articles used or held for use in connection with the work. XIII. MISCELLANEOUS PROVISIONS. A. Recyclable Materials. Pursuant to Chapter 3.80 of the Kent City Code, the City requires its contractors and consultants to use recycled and recyclable products whenever practicable. A price preference may be available for any designated recycled product. B. Non-Waiver of Breach. The failure of the City to insist upon strict performance of any of the covenants and agreements contained in this Agreement, or to exercise any option conferred by this Agreement in one or more instances shall not be construed to be a waiver or relinquishment of those covenants, agreements or options, and the same shall be and remain in full force and effect. C. Resolution of Disputes and Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. If the parties are unable to settle any dispute, difference or claim arising from the parties' performance of this Agreement, the exclusive means of resolving that dispute, difference or claim, shall only be by filing suit exclusively under the venue, rules and jurisdiction of the King County Superior Court, King County, Washington, unless the parties agree in writing to an alternative dispute resolution process. In any claim or lawsuit for damages arising from the parties' performance of this Agreement, each party shall pay all its legal costs and attorney's fees incurred in defending or bringing such claim or lawsuit, in addition to any other recovery or award provided by law; provided, however, nothing in 30 this paragraph shall be construed to limit the City's right to indemnification under Section VII of this Agreement. D. Written Notice. All communications regarding this Agreement shall be sent to the parties at the addresses listed on the signature page of the Agreement, unless notified to the contrary. 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 addressee at the address stated in this Agreement or such other address as may be hereafter specified in writing. E. Assignment. Any assignment of this Agreement by either party without the written consent of the non-assigning party shall be void. If the non-assigning party gives its consent to any assignment, the terms of this Agreement shall continue in full force and effect and no further assignment shall be made without additional written consent. F. Modification. No waiver, alteration, or modification of any of the provisions of this Agreement shall be binding unless in writing and signed by a duly authorized representative of the City and Consultant. G. Entire Agreement. The written provisions and terms of this Agreement, together with any Exhibits attached hereto, shall supersede all prior verbal statements of any officer or other representative of the City, and such statements shall not be effective or be construed as entering into or forming a part of or altering in any manner this Agreement. All of the above documents are hereby made a part of this Agreement. However, should any language in any of the Exhibits to this Agreement conflict with any language contained in this Agreement, the terms of this Agreement shall prevail. H. Compliance with Laws. The Consultant agrees to comply with all federal, state, and municipal laws, rules, and regulations that are now effective or in the future become applicable to Consultant's business, equipment, and personnel engaged in operations covered by this Agreement or accruing out of the performance of those operations. 31 IN WITNESS, the parties below execute this Agreement, which shall become effective on the last date entered below. CONSULTANT: CITY OF KENT: By: By: (signature) (signature) Print Name: Print Name: Suzette Cooke Its (Title) Its Mayor DATE: (Title) DATE: NOTICES TO BE SENT TO: NOTICES TO BE SENT TO: CONSULTANT: CITY OF KENT: Doug Levy Chief Administrative Officer Outcomes by Levy City of Kent 15619 NE 62"d Place 220 Fourth Avenue South Kenmore, WA 98028 Kent, WA 98032 (425) 922-3999 (telephone) (253) 856-5710 (telephone) 425 424-8921 facsimile (253) 856-6700 (facsimile) APPROVED AS TO FORM: Kent Law Department 32 DECLARATION CITY OF KENT EQUAL EMPLOYMENT OPPORTUNITY POLICY The City of Kent is committed to conform to Federal and State laws regarding equal opportunity. As such all contractors, subcontractors and suppliers who perform work with relation to this Agreement shall comply with the regulations of the City's equal employment opportunity policies. The following questions specifically identify the requirements the City deems necessary for any contractor, subcontractor or supplier on this specific Agreement to adhere to. An affirmative response is required on all of the following questions for this Agreement to be valid and binding. If any contractor, subcontractor or supplier willfully misrepresents themselves with regard to the directives outlines, it will be considered a breach of contract and it will be at the City's sole determination regarding suspension or termination for all or part of the Agreement; The questions are as follows: 1. I have read the attached City of Kent administrative policy number 1.2. 2. During the time of this Agreement I will not discriminate in employment on the basis of sex, race, color, national origin, age, or the presence of all sensory, mental or physical disability. 3. During the time of this Agreement the prime contractor will provide a written statement to all new employees and subcontractors indicating commitment as an equal opportunity employer. 4. During the time of the Agreement I, the prime contractor, will actively consider hiring and promotion of women and minorities. 5. Before acceptance of this Agreement, an adherence statement will be signed by me, the Prime Contractor, that the Prime Contractor complied with the requirements as set forth above. By signing below, I agree to fulfill the five requirements referenced above. Dated this day of 20__. By: For: Title: Date: 33 CITY OF KENT ADMINISTRATIVE POLICY NUMBER: 1.2 EFFECTIVE DATE: January 1, 1998 SUBJECT: MINORITY AND WOMEN SUPERSEDES: April 1, 1996 CONTRACTORS APPROVED BY Jim White, Mayor POLICY: Equal employment opportunity requirements for the City of Kent will conform to federal and state laws. All contractors, subcontractors, consultants and suppliers of the City must guarantee equal employment opportunity within their organization and, if holding Agreements with the City amounting to $10,000 or more within any given year, must take the following affirmative steps: 1. Provide a written statement to all new employees and subcontractors indicating commitment as an equal opportunity employer. 2. Actively consider for promotion and advancement available minorities and women. Any contractor, subcontractor, consultant or supplier who willfully disregards the City's nondiscrimination and equal opportunity requirements shall be considered in breach of contract and subject to suspension or termination for all or part of the Agreement. Contract Compliance Officers will be appointed by the Directors of Planning, Parks, and Public Works Departments to assume the following duties for their respective departments. 1. Ensuring that contractors, subcontractors, consultants, and suppliers subject to these regulations are familiar with the regulations and the City's equal employment opportunity policy. 2. Monitoring to assure adherence to federal, state and local laws, policies and guidelines. 34 CITY OF KENT EQUAL EMPLOYMENT OPPORTUNITY COMPLIANCE STATEMENT This form shall be filled out AFTER COMPLETION of this project by the Contractor awarded the Agreement. I, the undersigned, a duly represented agent of The City of Kent , hereby acknowledge and declare that the before-mentioned company was the prime contractor for the Agreement known as Outcomes by Levy that was entered into on the 1s' of January, 2015 , between the firm I represent and the City of Kent. I declare that I complied fully with all of the requirements and obligations as outlined in the City of Kent Administrative Policy 1.2 and the Declaration City of Kent Equal Employment Opportunity Policy that was part of the before-mentioned Agreement. Dated this 31 day of December 2018. By: For: Title: Date: 35 EXHIBIT A PAYMENT SCHEDULE Invoices shall be submitted monthly for 1/12 of the annual contract amount and any relevant expenses as detailed in the contract. EXHIBIT B INSURANCE REQUIREMENTS No Insurance is required for this Contract. 36 This page intentionally left blank 37 FINANCE 440 Aaron BeMiller Director Phone: 253-856-5260 KENT Fax 253-856-6255 WA s N IN G-o N Address: 220 Fourth Avenue S. Kent,WA. 98032-5895 DATE: December 2, 2014 TO: Kent City Council Operations Committee FROM: Aaron BeMiller, Finance Director SUBJECT: Consolidating Budget Adjustment Ordinance for Adjustments Between July 1, 2014 and September 30, 2014 MOTION: Move to recommend Council approve the consolidating budget adjustment ordinance for adjustments made between July 1, 2014 and September 30, 2014 reflecting an overall budget increase of $10,777,812. SUMMARY: Authorization is requested to approve the technical gross budget adjustment ordinance reflecting an overall budget increase of $10,777,812 for budget adjustments made between June 1, 2014 and September 30, 2014. An overall increase of $10,782,868 was previously approved by Council. Included in this amount is $2,287,228 for the Upper Russell Road Interlocal Agreement with the King County Flood Control District, $4,761,704 for GO Refunding Bonds, and $950,000 carryover budget for Fleet Services. The remaining amount not yet approved by Council is an overall decrease of ($5,056) and is comprised of a reduction to the 2013 KCD Grant Budget in the amount of ($7,206) and an increase of $2,150 for a WESTAF Grant. BUDGET IMPACT: These expenditures are funded by grants, bonds or other new revenues. BACKGROUND: 38 City of Kent Budget Adjustment Ordinance Adjustments July 1, 2014 to September 30, 2014 Exhibit A Total Previously Approval Adjustment Fund Title Approved Requested Ordinance 001 General Fund 990,801 2,150 992,951 110 Street Fund 145,238 - 145,238 150 Capital Improvement Fund 1,548,557 - 1,548,557 160 Criminal Justice Fund 188,090 - 188,090 170 Environmental Fund 213,063 - 213,063 180 Housing & Community Development Fund 50,232 - 50,232 220 Non-Voted Debt Service Fund 1,687,995 - 1,687,995 310 Street Capital Projects 867,759 - 867,759 320 Parks Capital Projects 92,767 (7,206) 85,561 440 Sewerage Operating 3,975,983 3,975,983 510 Fleet Services Fund 950,000 950,000 520 Central Services Fund 72,383 72,383 Subtotal 10,782,868 (5,056) 10,777,812 39 FINANCE 440 Aaron BeMiller, Director Phone: 253-856-5260 K E N T Fax 253-856-6255 WASHING-ON Address: 220 Fourth Avenue S. Kent,WA. 98032-5895 DATE: December 2, 2014 TO: Kent City Council Operations Committee FROM: Aaron BeMiller, Finance Director SUBJECT: Amendment to PFD Contingent Loan and Support Agreement MOTION: Move to recommend Council authorize the Mayor to sign the First Amendment to the Contingent Loan and Support Agreement regarding financing for the Kent Special Events Center subject to final terms and conditions acceptable to the Finance Director and City Attorney. SUMMARY: Section 3.3 of the Contingent Loan and Support Agreement Regarding Financing for Kent Special Events Center Agreement, signed in 2008, by the City of Kent and the City of Kent Special Events Center Public Facilities District (PFD) states generally that any monies contributed by the City towards debt service payments for the Special Events Center are to be treated as loans by the PFD. As such, the PFD is obligated to repay these monies, both principal and interest, to the City. However, economic realities have shown that the PFD has never generated enough revenue to fully pay the annual debt service and the City will have contributed over $15M by the end of 2014 for debt service payments on the Special Events Center. Additionally, there is no basis for expectation that the PFD will ever generate enough annual income to fully pay debt service in the future. Throughout the life of the loan, the City is estimating that it will contribute in the neighborhood of $100M or more to the PFD to be used for debt obligation payments. This amendment changes the language of section 3.3 of the aforementioned agreement by eliminating the loan and repayment requirement language obligating the PFD to repay City contributions and in its place inserting language that discharges and releases the PFD from any obligation to repay previous or future City contributions toward debt service. BUDGET IMPACT: $0 BACKGROUND: Due to the economic realities of PFD revenue generation, the City does not believe there is a reasonable expectation of repayment from the PFD for contributed debt service and as such, accounting rules dictate that the City not consider the contributions made to date, or future contributions, to be loans but Kent Council Operations Committee Amendment to PFD Contingent Loan&Support Agreement 40 rather to be subsidies. For its part, the City has never shown in its financial statements a loan receivable amount for monies contributed to the PFD for debt payments. However, because of the loan language in the contract, the PFD is now being required to show on its financial statements a loan payable amount for which they will never be able to repay, and for which the City is not showing a receivable. This is a change from past practice. The City has requested this language change. The City serves as treasurer for the PFD and this change will allow the City to present the PFD financial statements consistently moving forward. Kent Council Operations Committee Amendment to PFD Contingent Loan&Support Agreement 41 FIRST AMENDMENT TO CONTINGENT LOAN AND SUPPORT AGREEMENT REGARDING FINANCING FOR KENT SPECIAL EVENTS CENTER BY AND BETWEEN THE CITY OF KENT AND THE CITY OF KENT SPECIAL EVENTS CENTER PUBLIC FACILITIES DISTRICT 50853182 42 FIRST AMENDMENT TO CONTINGENT LOAN AND SUPPORT AGREEMENT REGARDING FINANCING FOR KENT SPECIAL EVENTS CENTER THIS FIRST AMENDMENT TO CONTINGENT LOAN AND SUPPORT AGREEMENT (this "Amendatory Agreement') is dated as of the day of and is made by and between THE CITY OF KENT, WASHINGTON (the "City"), and THE CITY OF KENT SPECIAL EVENTS CENTER PUBLIC FACILITIES DISTRICT (the "District'); RECITALS WHEREAS, Chapter 35.57.020 of the Revised Code of Washington ("RCW") provides that a public facilities district may acquire, construct, own, remodel, maintain, equip, repair, finance, and operate one or more regional centers; and WHEREAS, the City previously formed the District pursuant to RCW 35.57, to assist in the design, construction, ownership, operation and/or financing of a regional center as defined in RCW 35.57.020 as a convention, conference or special events center, and related parking facilities, serving a regional population (the "Special Events Center"); and WHEREAS, the City and the District previously entered into an Interlocal Agreement for Development of Special Events Center dated September 14, 2007 ("Interlocal Agreement No. 1"), pursuant to the Washington Interlocal Corporation Act in connection with the development and operation of a Special Events Center; and WHEREAS, pursuant to State law, the District Formation Ordinance and Interlocal Agreement No. 1, the District was authorized to issue revenue bonds or general obligation bonds in principal amounts approved by the City consistent with RCW 35.57.030, 35.57.090 and other applicable provisions of state law for the purpose of providing for part of the cost of joint development of the Special Events Center; and WHEREAS, under Interlocal Agreement No. 1 and Resolution No. 2007-1 of the Board of Directors of the District adopted on September 14, 2007 (the "PFD Tax Resolution"), the District imposed the sales and use taxes authorized by RCW 35.57.040(1)(d) and RCW 82.14.390 at the rate of 0.033% of the selling price (in the case of a sales tax) or the value of the article used (in the case of a use tax) (the "Sales Tax") and agreed to set aside the proceeds of such Sales Tax to be paid to the City for the purpose of providing for part of the cost of designing, constructing, owning and operating the Special Events Center, and/or to provide part of the debt service on District bonds or obligations issued to provide for part of such costs; and WHEREAS, the City requested that the District issue, and the District has issued, (i) its Special Events Center Sales Tax Bonds, 2008, pursuant to District Resolution No. 2008-2 (the "Sales Tax Bond Resolution") in an original principal amount of $53,150,000 (the "Sales Tax Bonds") payable from the Sales Tax Revenue and District Revenue, and (ii) its Special Events Center Revenue Bonds, 2008 (Taxable), pursuant to District Resolution No. 2008-3 (the C-1 50853182 43 Revenue Bond Resolution," and together with the Sales Tax Bond Resolution, the "Bond Resolutions") in an original principal amount not to exceed $10,130,000 (the "Revenue Bonds") payable from District Revenue (collectively, the Sales Tax Bonds and the Revenue Bonds are referred to below as the "2008 Bonds"); and WHEREAS, in connection with the issuance of the 2008 Bonds, the District and the City entered into a Contingent Loan and Support Agreement dated as of February 20, 2008 (the "Support Agreement"). Under Section 3 of the Support Agreement, the City agreed that if the District were unable to timely provide for the payment of principal of or interest on any Bonds, the City shall loan to the District the amount necessary to make such timely payment; and WHEREAS, under Section 3.3 of the Support Agreement, the District agreed that if the City were to lend money to the District, the District would repay the principal amount or amounts loaned when and as revenues became available to the District for that purpose, together with interest set by the City's Finance Director at rates based on the then-current yield of the City's pooled investments; and WHEREAS, the City has made Contingent Loan Payments to the District in the approximate amount of $ to assist the District in debt service payments on the 2008 Bonds, and those loan amounts are bearing interest; and WHEREAS, the City and the District have determined that, based on costs of operating the Special Events Center and other District costs, it is unlikely that, in the foreseeable future, the District will be able to repay the City for amounts loaned to the District under the terms of the Support Agreement; and WHEREAS, [in order to remove] a substantial long-term obligation from the District's financial statements and a substantial long-term receivable from the City's financial statements, and the City and the District desire to adjust the Support Agreement so that District would no longer have an obligation to repay the City for amounts transferred from the City to the District as Contingent Loan Payments in support of the District's debt service on the 2008 Bonds; and WHEREAS, Section 10.7 of the Support Agreement provides in part that so long as any 2008 Bonds remain outstanding, the Support Agreement "shall not be amended, changed, modified or altered in any manner that would terminate, limit or otherwise impair the District's right to receive from the City, and the City's obligation to pay to the District, City Special Events Center Payments and City Contingent Loan Payments when and as required" under the Support Agreement; and WHEREAS, although the 2008 Bond Resolutions need not be amended in connection with this Amendatory Agreement, it is noted that Section 20 of District Resolution 2008-2 and Section 19 of District Resolution 2008-3 include identical provisions relating to "Supplements and Amendments" to those resolutions. Those sections provide, in part, that the District at any time may adopt a supplemental resolution to add to the covenants and agreements of the District in the 2008 Bond Resolutions, or to cure, correct or supplement any ambiguous or defective provision contained in a 2008 Bond Resolution in regard to matters or questions arising under the resolution as the District's Board may deem necessary or desirable, which shall not adversely C-2 50853182 44 affect in any material respect the interests of the owners of the Bonds, or to surrender any rights or power therein reserved to or conferred upon the District; and WHEREAS, the District and the City have determined that the termination of the District's obligation to repay the City for past or future City Contingent Loan Payments, (1) is in the interest of both the District and the City, (2)will assist in the continued success of the Special Events Center, (3) will not adversely affect in any material respect the interests of the owners of the Bonds, or surrender any rights or power reserved to or conferred upon the District by the Support Agreement, and (4) consequently will not require the consent or approval of the owners of the 2008 Bonds or the Bond Insurer for the 2008 Bonds; NOW, THEREFORE, in consideration of the mutual covenants hereinafter contained, the parties hereto covenant and agree as follows: 1. Section 3.3 of the Support Agreement is amended to read as follows: 3.3 District Repayment to City for Amounts Loaned pursuant to Contingent Loan Commitment. If the City lends money to the District pursuant to this Section 3, the amount of each City Contingent Loan Payment (whether previously made or made in the future) shall be deemed a transfer to the District in support of the Special Events Center and the District shall be immediately discharged and released from any obligation to repay the principal of or interest on that loan. Distfiet hall fepa� the principal ,.meth. of outfits 1,.,... d a revenues 4)r that datp, a ]Ran is MR ---de, l3ftsed On the then etiffefA yield of the city's peeled r ifAefest fate is adjusted fef a4l City itAeffiffid loans. 2. All other terms of the Support Agreement shall remain in full force and effect. Capitalized terms used in this Amendatory Agreement that are not otherwise defined herein shall have the meanings set forth in the Support Agreement. 3. All acts previously performed by the District and the City consistent with the terms of this Amendatory Agreement are hereby ratified and confirmed. 4. This Amendatory Agreement shall become effective upon its full execution. ORAL AGREEMENTS OR ORAL COMMITMENTS TO LEND MONEY, EXTEND CREDIT, OR FORBEAR FROM ENFORCING REPAYMENT OF A DEBT ARE NOT ENFORCEABLE UNDER WASHINGTON LAW. C-3 50853182 45 IN WITNESS WHEREOF, the City and the District have caused this Agreement to be executed by their duly authorized officers. CITY OF KENT THE CITY OF KENT SPECIAL EVENTS CENTER PUBLIC FACILITIES DISTRICT By By Mayor Chair C-4 50853182