HomeMy WebLinkAboutCAG2020-217 - Amendment - #2 - Craft3 - Small Business Grant Project Distribution Services - 09/11/2020ApprovalOriginator:Department:
Date Sent:Date Required:
Authorized to Sign:
Director or Designee Mayor
Date of Council Approval:
Budget Account Number:
Budget? Yes No
Grant? Yes No
Type:Review/Signatures/RoutingDate Received by City Attorney:Comments:
Date Routed to the Mayor’s Office:
Date Routed to the City Clerk’s Office:Agreement InformationVendor Name:Category:
Vendor Number:Sub-Category:
Project Name:
Project Details:
Agreement Amount:
Start Date:
Basis for Selection of Contractor:
Termination Date:
Local Business? Yes No*
*If meets requirements per KCC 3.70.100, please complete “Vendor Purchase-Local Exceptions” form on Cityspace.
Notice required prior to disclosure?
Yes No
Contract Number:
Agreement Routing Form
For Approvals, Signatures and Records Management
This form combines & replaces the Request for Mayor’s Signature and Contract Cover Sheet forms.
(Print on pink or cherry colored paper)
Visit Documents.KentWA.gov to obtain copies of all agreementsadccW22373_1_20
Rhonda Bylin Economic and Community Development
September 9, 2020
September 9, 2020
✔N/A
✔
V00010.64190.1237
✔Federal via Washington State Departme
Craft 3 Contract
2323869 Amendment 2
Small Business Relief Grants
2nd amendment to allow for more grants based on additional funding recently made available to the City.
New amount = original plus 1st and 2nd amendments.
$2,136,575.00 Other
Upon execution
12/31/2020
✔
✔CAG2020-217
September 11, 2020
9/11/2020, OK to sign. Council approval is
not required as the grant funds are pass-through and
exempt under KCC 3.70.230.F.; the additional service fee
due Craft3 is within Mayor's change order authority under
KCC 3.70.230.B.
SECOND AMENDMENT TO GRANT DISTRIBUTION SERVICES AGREEMENT Page 1
(between City of Kent and Craft3)
SECOND AMENDMENT TO
GRANT DISTRIBUTION SERVICES AGREEMENT
BETWEEN THE CITY OF KENT AND CRAFT3
This Second Amendment (hereinafter “Second Amendment”), to the Grant Distribution
Services Agreement, dated July 8, 2020, (hereinafter “Agreement”) is made and entered into
by and between Craft3, (hereinafter “Contractor”), and the City of Kent, a Washington
municipal corporation (hereinafter “City”), collectively the (“Parties”).
I. RECITALS
1.1 On July 8, 2020, the parties entered into a Grant Distribution Services
Agreement through which Contractor agreed to administer a small business grant program
and distribute to eligible Kent businesses CARES Act grant funds, in the total amount of
$913,500, which the City received through the Washington State Department of Commerce
and King County. Contractor’s total services fees in administering and distributing these grant
funds was authorized at $86,500.
1.2 On August 12, 2020, the parties entered into a First Amendment to the Grant
Distribution Services Agreement through which the disbursable CARES Act grant funds was
increased by an additional $500,000, for a total availability of grant funds through the small
business program of $1,413,500. Additionally, for each grant award over the initial 203 grant
awards made under the parties’ original Agreement, the parties agreed Contractor would be
paid a flat service fee of $175 per award, up to a maximum of 14 awards and an additional
$2,450 in service fees, for a total amended service fee of $88,950.
1.3 The City became aware that it will receive an additional $617,500 in CARES Act
funding that will increase the total grant funds available through the small business program
to $2,031,000 for eligible Kent businesses. The parties have agreed that Contractor’s total
services fees shall increase to $105,575, calculated by an additional flat service fee of $16,625
that is inclusive of the additional service fees authorized under the parties’ First Amendment.
The parties enter into this Second Amendment to formally increase the available small
business program’s grant funding and Contractor’s services fees, and to ratify all acts
consistent with the authority of this Second Amendment prior to its effective date.
II. AMENDMENT
NOW THEREFORE, in consideration of the mutual intent, desire, and promises of the
Parties and other good and valuable consideration, the City and Contractor each agree as
follows:
2.1 Section IV of the Agreement, entitled “Compensation and Grant Funds,” is
hereby repealed in its entirety and replaced with the following:
A. Compensation. For the first 203 grant awards administered by Contractor, the
City shall pay the Contractor a total amount of $86,500 in compensation for
providing grant administration services as described Section I (“Service Fee”).
The City shall disburse one-half of the Service Fee ($43,250) to Contractor
promptly following the Effective Date. The second one-half of the Service Fee
($43,500) will be paid upon completion of all services described in this
Agreement.
SECOND AMENDMENT TO GRANT DISTRIBUTION SERVICES AGREEMENT Page 2
(between City of Kent and Craft3)
The total Service Fee and Additional Service Fee authorized under this
Agreement shall not exceed $105,575 without the prior written authorization
of the City in the form of a negotiated and executed amendment to this
Agreement.
B. Upon the Effective Date of the Agreement, the City disbursed to Craft3 CARES
Act grant funds in the total amount of $913,500. On August 17, 2020 the City
disbursed additional CARES Act grant funds in the amount of $497,000, and
promptly upon the effective date of the parties’ Second Amendment, additional
CARES Act grant funds in the amount of $617,500 will be disbursed to Craft3.
In the event Craft3 does not award and disburse all CARES Act grant funds
within the term of this Agreement, Craft 3 shall return those CARES Act funds
to the City by December 31, 2020.
2.Ratification. All acts consistent with the authority of this Second Amendment
and prior to its effective date are ratified and affirmed and the terms of the Agreement, any
prior Amendments, and this Second Amendment shall be deemed to have applied.
3.Remaining Provisions. Except as specifically amended by this Second
Amendment, all remaining provisions of the Agreement and any prior Amendments shall
remain in full force and effect.
The parties whose names appear below swear and affirm that they are authorized to
enter into this Amendment, which is binding on the parties of the Agreement.
IN WITNESS, the parties below have executed this Second Amendment,
which will become effective on the last date written below.
CONTRACTOR:
Craft3
By:
(signature)
Print Name:
Its
(title)
DATE:
CITY:
City of Kent
By:
(signature)
Print Name: Dana Ralph
Its Mayor
(title)
DATE:
Approved as to Form:
Kent City Attorney’s Office
ATTEST:
Digitally signed by Mark
Stevenson, EVP & Chief
Financial Officer
Date: 2020.09.10 17:11:52
-07'00'
09/11/2020
SECOND AMENDMENT TO GRANT DISTRIBUTION SERVICES AGREEMENT Page 3
(between City of Kent and Craft3)
Kent City Clerk