HomeMy WebLinkAboutCity Council Committees - Operations Committee - 06/05/2018 (2)
Unless otherwise noted, the Operations Committee meets at 4 p.m. on the first and third
Tuesday of each month in Kent City Hall, Council Chambers East, 220 Fourth Avenue South,
Kent, WA 98032.
For additional information please contact Bonnie Peterson at 253-856-5705, or via email at
BSPeterson@KentWA.gov.
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 7-1-1.
Operations Committee
Agenda
Chair - Les Thomas
Councilmembers - Bill Boyce, Dennis Higgins
Derek Matheson, Chief Administrative Officer
Tuesday, June 5, 2018
4:00 p.m.
Item Description Action Speaker Time
1. Call to Order Chair Thomas 01 MIN.
2. Roll Call Chair Thomas 01 MIN.
3. Changes to the Agenda Chair Thomas 01 MIN.
4. Approval of Minutes dated May
15, 2018
YES
5. Approval of Check Summary
Report dated 05/01/2018 -
05/15/2018
YES
6. Equipment Purchase Riverbend
Golf Course
YES Julie Parascondola 10 MIN.
7. Strategic Framework Resolution YES Derek Matheson 05 MIN.
8. Utility Ordinance Update YES Aaron BeMiller/ Patty
Roseto
05 MIN.
9. Solid Waste Definitions YES Barbara Lopez 10 MIN.
10. Adjournment Chair Thomas 01 MIN.
OPERATIONS COMMITTEE
Derek Matheson, Chief Administrative Officer
220 Fourth Ave S
Kent, WA 98032
256-856-5712
DATE: June 5, 2018
TO: Operations Committee
SUBJECT: Approval of Minutes dated May 15, 2018
MOTION: Move to approve the minutes dated May 15, 2018
ATTACHMENTS:
1. 051518 M (PDF)
4
Packet Pg. 2
Page 1 of 3
Pending Approval
Operations Committee
CC Ops Regular Meeting
Minutes
May 15, 2018
Date: May 15, 2018
Time: 4:00 PM
Place: Chambers East
Attending: Les Thomas, Committee Chair
Bill Boyce, Councilmember
Dennis Higgins, Councilmember
Toni Troutner, Councilmember
Agenda:
1. Call to Order
2. Roll Call
Attendee Name Title Status Arrived
Les Thomas Committee Chair Excused
Bill Boyce Councilmember Present
Dennis Higgins Councilmember Present
Toni Troutner Councilmember Present
3. Changes to the Agenda
No changes to the agenda.
4. Excused Absence for Councilmember Thomas - Approve
MOTION: Move to approve excused absences for Councilmember
Thomas for the meetings of May 1, 2018 and May 15, 2018.
RESULT: APPROVED [UNANIMOUS]
MOVER: Dennis Higgins, Councilmember
SECONDER: Toni Troutner, Councilmember
AYES: Boyce, Higgins, Troutner
EXCUSED: Thomas
5. Approval of Minutes dated May 1, 2018
MOTION: Move to approve the minutes dated May 1, 2018
RESULT: APPROVED [UNANIMOUS]
MOVER: Toni Troutner, Councilmember
SECONDER: Dennis Higgins, Councilmember
AYES: Boyce, Higgins, Troutner
EXCUSED: Thomas
6. Approval of Check Summary Report dated 04/16/2018 - 04/30/2018
4.a
Packet Pg. 3
At
t
a
c
h
m
e
n
t
:
0
5
1
5
1
8
M
(
1
2
4
6
:
A
p
p
r
o
v
a
l
o
f
M
i
n
u
t
e
s
d
a
t
e
d
M
a
y
1
5
,
2
0
1
8
)
Operations Committee CC Ops Regular Meeting
Minutes
May 15, 2018
Kent, Washington
Page 2 of 3
MOTION: Move to approve the check summary report dated
04/16/2018 - 04/30/2018
RESULT: APPROVED [UNANIMOUS]
MOVER: Dennis Higgins, Councilmember
SECONDER: Toni Troutner, Councilmember
AYES: Boyce, Higgins, Troutner
EXCUSED: Thomas
7. Lobbyist Consultant Services Agreement - Recommend
Chief Administrator Officer Derek Matheson explained that after 19 years of
service to the City of Kent, Doug Levy of Outcomes by Levy ended his
contract for state legislative lobbying services at the end of April. After
consulting with Levy and members of Kent’s legislative delegation the
Mayor’s office recommends Briahna Murray of the Tacoma firm Gordon
Thomas Honeywell Government Affairs as the city’s new contract lobbyist.
Murray introduced herself explaining her team approach which allows her to
focus on larger jurisdictions. She reviewed her staff and their expertise. She
is excited to be here.
Higgins asked what her approach will be to the streamlined sales tax
mitigation issue. Murray commented that the work that has already been
done to date puts us in a great position. She will advocate that as a
streamlined sales tax mitigation community, payments should continue until
the city is made whole.
Boyce commented he feels really good having Murray on board. She comes
with great recommendations and has a very accomplished resume.
MOTION: Recommend council authorize the Mayor to sign a
consultant services agreement with Gordon Thomas Honeywell
Government Affairs, subject to final terms and conditions acceptable
to the Chief Administrative Officer and City Attorney.
RESULT: RECOMMENDED TO COUNCIL [UNANIMOUS]
MOVER: Toni Troutner, Councilmember
SECONDER: Dennis Higgins, Councilmember
AYES: Boyce, Higgins, Troutner
EXCUSED: Thomas
8. Update Purchasing and Contracting Code Provisions – Ordinance
Deputy City Attorney Tammy White presented an ordinance provisions with
four primary revisions to the City’s current contracting code provisions
1. Technology Exception
4.a
Packet Pg. 4
At
t
a
c
h
m
e
n
t
:
0
5
1
5
1
8
M
(
1
2
4
6
:
A
p
p
r
o
v
a
l
o
f
M
i
n
u
t
e
s
d
a
t
e
d
M
a
y
1
5
,
2
0
1
8
)
Operations Committee CC Ops Regular Meeting
Minutes
May 15, 2018
Kent, Washington
Page 3 of 3
2. Contract Amendments
3. Reporting Requirement
4. Housing keeping changes
Boyce asked for an example where collective bargaining comes into play.
White explained currently, when an employee group reclassifies, HR prepares
an MOU which goes from the Director to Law and then the Mayor. This
change would allow for a cleaner process internally when changes to the
union contracts occur.
MOTION: Recommend Council adopt an ordinance that creates a
competitive bid exception for technology contracts, clarifies authority
concerning contract amendments, removes reporting requirements
for some contracts and leases, and makes other minor housekeeping
revisions.
RESULT: RECOMMENDED TO COUNCIL [UNANIMOUS]
MOVER: Dennis Higgins, Councilmember
SECONDER: Toni Troutner, Councilmember
AYES: Boyce, Higgins, Troutner
EXCUSED: Thomas
9. Adjournment
Committee Secretary
4.a
Packet Pg. 5
At
t
a
c
h
m
e
n
t
:
0
5
1
5
1
8
M
(
1
2
4
6
:
A
p
p
r
o
v
a
l
o
f
M
i
n
u
t
e
s
d
a
t
e
d
M
a
y
1
5
,
2
0
1
8
)
FINANCE DEPARTMENT
Aaron BeMiller, Finance Director
220 Fourth Avenue South
Kent, WA 98032
253-856-5264
DATE: June 5, 2018
TO: Operations Committee
SUBJECT: Approval of Check Summary Report dated 05/01/2018 -
05/15/2018
MOTION: Move to approve the check summary report dated 05/01/2018 -
05/15/2018
5
Packet Pg. 6
PARKS, RECREATION AND COMMUNITY SERVICES
DEPARTMENT
Julie Parascondola
220 Fourth Avenue South
Kent, WA 98032
253-856-5100
DATE: June 5, 2018
TO: Operations Committee
SUBJECT: Equipment Purchase Riverbend Golf Course
MOTION: Recommend Council authorize the Parks Director to purchase
maintenance equipment through a lease agreement made under the
cooperative purchasing agreement the National Intergovernmental
Purchasing Alliance has with The Toro Company, in an amount not to
exceed $705,000 and authorize the Mayor to sign all necessary
documents.”
SUMMARY: In 2017, the Riverbend Golf Complex completed a 2018-2023
Business Plan to address long term sustainability and change of its business model,
after the City authorized the sale of the Par 3 property at Riverbend Golf Course for
$10,500,000 to Auburn-based FNW, Inc./Landmark Development Group for a
mixed-use project. Included within this business plan was a recommended 2018-
2023 capital improvement plan, which included a $750,000 allocation for
maintenance equipment replacement.
Due to the lack of capital funding available for reinvestment, Riverbend Golf
Complex’s maintenance equipment has far exceeded its useful life and is in dire
need of replacement. Throughout the past decade, Riverbend has owned Toro
equipment, has continued to utilize new Toro equipment models via test demos,
rentals, etc. Toro is also well known both nationally and locally for the quality of
their equipment, especially within the golf industry, with many municipal and
private courses utilizing Toro equipment.
The City of Mesa, AZ has publicly solicited and awarded an agreement for Parks and
Golf Grounds Maintenance Equipment to The Toro Company. This cooperative
purchasing agreement (Contract #2017025) is available to public and non-profit
entities nationwide via National Intergovernmental Purchasing Alliance (National
IPA), effective April 1, 2017 to April 1, 2022. The City of Kent is an active member
of the National Intergovernmental Purchasing Alliance (National IPA) program. In
an effort to disperse the demands on capital funds, Riverbend is opting to purchase
the equipment through a 4-year lease to own agreement, based on Attachment 2,
Payment Schedule to the May 17, 2018 to Master Equipment Lease Purchase
Agreement Number 742593L by TCF Equipment Finance. After the 4-year term,
total equipment purchase price (including 5.05% interest) will not exceed
$705,000.
6
Packet Pg. 7
Equipment purchased is in accordance with Attachment 1 to the Schedule No. 008-
0742593-300 dated May 17, 2018 to Master Equipment Lease Purchase Agreement
Number 742593L by TCF Equipment Finance, including:
(2) Toro Reelmaster 3555-D Light Weight Fairway Mowers
(2) Toro Groundmaster 4500-D Large Area Rough Mowers with Contour
Mowing Decks
(1) Toro Multi Pro 1750 Computerized Self-Contained Spray Vehicle
(2) Toro Greenmaster 3320 Triflex Greens Mowers with additional accessories
(2) Toro Greenmaster 3220 Triflex Tee and Approach Mowers with additional
accessories
(1) Toro Reelmaster 3100-D Surrounds Mower (Used around greens, tees
and Bunkers)
(1) Groundsmaster 3500-D Small Area Rough Mower with Contour Mowing
Decks
(1) Toro ProPass200 Wireless Computerized Pull-Behind Topdesser
(1) Toro Sand Pro 5040 Bunker Rake (Riding)
(1) Toro ProCore 648 Greens and Tee Aerifier
(1) Toro Pro Force Debris Pull-Behind Blower
(1) True Surface GCC Frames for Verti-Cutting and Brushing Greens
(1) True Surface GCC Verti-Cutting Blade Inserts for Greens
(1) Salsco HP11 Roller Greens Roller with attachments and accessories.
All of the above equipment comes with the standard Toro two (2) year or 1,500
hour Parts and Labor Warranty with the exception of the ProCore 648 Aerifier which
has a two (2) year or 500 hour warranty.
The existing Riverbend golf course maintenance equipment will be salvaged and
sent to auction in September.
The new equipment purchased will be replacing the existing 18 year old
maintenance equipment at the golf complex. The new equipment features several
advances in technology that will increase efficiencies in; both mowing time and fuel
savings, reduce down-time of equipment, and reduce maintenance and repair costs.
In addition, the new equipment will create a more visually pleasing aesthetics to
the golf course which will help to increase player satisfaction related to the overall
course condition.
EXHIBITS: Schedule No. 008-0742593-300 dated May 17, 2018 to Master
Equipment Lease Purchase Agreement Number 742593L by TCF Equipment Finance.
BUDGET IMPACT: Riverbend Golf Complex’s capital improvement budget.
6
Packet Pg. 8
SUPPORTS STRATEGIC PLAN GOAL:
Thriving Neighborhoods and Urban Centers
ATTACHMENTS:
1. Riverbend Master Equipment Lease Purchase Agreement Number 742593L
(2) (PDF)
6
Packet Pg. 9
\
City of Kent, Washington
220 Fourth Ave. S
Kent, WA 98032
RE: Schedule No. 008-0742593-300 to Master Equipment Lease Purchase Agreement Number 742593L
Dear Sir or Madam:
Thank you for choosing TCF Equipment Finance, a division of TCF National Bank for your capital equipment financing
needs! Enclosed are the lease documents necessary to close the above mentioned transaction. The purpose of this letter is to provide
you with step-by-step instructions as to what is required with respect to each document. At any time, if you have anv questions, please
don't hesitate to contact Ben Stedman at (319) 226-1727 for assistance. A return FedEx air bill is provided for your convenience.
Document Action Requiredr Master Equipment Lease Purchase Agreement Authorized Signafure of Lessee and Clerk or Secretary of
Lessee; Clerk or Secretarv sisnature must be someone other than
the person providinq Authorized Signature ofLessee
r Schedule ofEquipment No. 008-0742593-300
o Attachment I to Schedule - Equipment Description
r Attachment 2 to Schedule - Payment Schedule
r Lessee's Closing Certificate
Authorized Signature of Lessee
Authorized Signature of Lessee
Authorized Signature of Lessee
Complete all blanks for Titles, Dates and Specimen Signatures of
Authorized Signors; Provide contact information for invoicing and
8038
Lessee's Payment Instructions and Acceptance Certificate Authorized Signature of Lessee andDate upon Equipment
Acceptance
Essential Use Certificate Please provide the requested information and obtain
Authorized Signature of Lessee
Insurance Coverage Requirements Authorized Signature ofLessee; please also provide the
name and contact information for your property and liability
insurance carrier(s)
Opinion of Counsel Opinion Letter must be reproduced in its entirety (with
Lessee's legal name replacing the blank space in paragraph one) on
Lessee's legal counsel's letterhead and signed by Lessee's legal
counsel
e Resolution Resolution must be certified by an Authorized Signature of
Lessee as a copy ofresolution adopted by Lessee
r IRS Form 8038 Please consult Lessee's tax or financial professional
regarding completion and provide a copy ofthe filed form
a
a
a
a
Escrow Agreement and/or State Rider (if applicable)
Other Items Needed From Lessee:
Authorized Signature of Lessee, if applicablea
Mui Le6e M6ter_ Coverltr v 04.20.2016 353877 5lIT2OI8 1:01 lM
Initial Payment (ifapplicable) as Indicated on TCF Invoice
6.a
Packet Pg. 10
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Master Equipment Lease Purchase Agreement Number 742593L Dated May 17,2018
'oLessee"
City of Kent, Washington,220 Fourth Ave. S, Kent, WA 98032
Fax:E-mail
ttLgssortt
TCF Equipment Finance, a division of TCF National Bank, 1111 West San Marnan Dr, Suite A2 West, Waterloo, IA 50701-
8926
Fax: 319-833-4577 E-mail: customerseryice@financediv.com
\tcf
e.quipment
ttnance
MASTER EQUIPMENT LEASE PURCHASE AGREEMENT NO. 742593L
RECITALS:
l. Lessee desires to lease certain property from the Lessor described in the schedules to this Agreement that are to be
executed from time to time by the parties hereto (such schedules, whether now or hereafter executed, are hereby incorporated
herein and are hereinafter collectively refened to as the "Schedules," and the items of property leased to Lessee hereunder,
together with all substitutions, proceeds, replacement parts, repairs, additions, attachments, accessories and replacements thereto,
thereof or therefor, are hereinafter collectively refened to as the "Equipment") subject to the terms and conditions of and for the
purposes set forth in this Agreement.
2. The relationship between the parties shall be a continuing one and items of property may be added to or deleted from the
Equipment from time to time by execution of additional Schedules by the parties hereto and as otherwise provided herein.
3. Lessee is authorized under the constitution and laws of the State to enter into this Agreement for the purposes set forth
herein.
NOW, THERtrFORE, for and in consideration ofthe premises hereinafter contained, the parties hereby agree as follows:
ARTICLE I
DEFINITIONS
Section 1.01. Definitions. The following terms will have the meanings indicated below unless the context clearly requires
otherwise:
"Agreement" means this Master Equipment Lease Purchase Agreement No. 742593L including the Schedules and any other
schedule, exhibit or escrow agreement made a part hereof by the parties hereto, together with any amendments to this Agreement.
"Codet' means the Internal Revenue Code of 1986, as amended.
"Commencement Date" means, with respect to any Schedule, the date when the term of this Agreement with respect to that
Schedule and Lessee's obligation to pay rent under that Schedule commence, which date (a) Lessee hereby authorizes Lessor to
fill in on the executed payment scheduled attached to each Schedule, and (b) shall be the earlier of (i) the date on which the
Equipment listed in that Schedule is accepted by Lessee in the manner described in Section 5.01, or (iD the date on which
sufficient moneys to purchase the Equipment listed in that Schedule are deposited for that purpose with an escrow agent.
"Equipment" means the property described in a Schedule and all replacements, substitutions, repairs, restorations,
modifications, attachments, accessions, additions and improvements thereof or thereto. Whenever reference is made in this
Agreement to Equipment listed in a Schedule, that reference shall be deemed to include all replacements, repairs, restorations,
modifications and improvements of or to that Equipment.
"Event of Default" means, with respect to any Lease, an Event of Default described in Section 12.01.
ttlssuance Yeart' is the calendar year in which the Commencement Date occurs.
"Leaset'means an individual Schedule and this Agreement.
Mwi Lease Mster Lese ver. 05.l6.l'7 353877 61512017 ll:56 I!;JI Pagelof13
6.a
Packet Pg. 11
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
"Lease Term" means, with respect to any Lease, the Original Term and all Renewal Terms of that Lease, but ending on the
occurrence ofthe earliest event specified in Section 3.03.
"Lessee" means the entity described as such in the header ofthis Agreement, its successors and its assigns.
'(Lessor" means, with respect to each Schedule and the Lease of which that Schedule is a part, (i) if Lessor's interest in, to
and under that Schedule has not been assigned pursuant to Section 11.01, the entity described as such in the header ofthis
Agreement or its successor, or (ii) if Lessor's interest in, to and under that Schedule has been assigned pursuant to Section
11.01, the assignee thereofor its successor.
'6Maximum Lease Term" means, with respect to any Lease, the Original Term and all Renewal Terms through the Renewal
Term including the last Rental Payment Date set forth on the Schedule that is part of that Lease.
J'Net Proceeds" means the amount remaining from the gross proceeds of any insurance claim or condemnation award after
deducting all expenses (including attorneys' fees) incurred in the collection ofsuch claim or award.
"Original Term" means, with respect to any Lease, the period from the first Commencement Date for any Schedule under
that Lease until the end of the fiscal year of Lessee in effect at that Commencement Date.
"Purchase Price" means the amount set forth on any Schedule that Lessee may, at its option, pay to Lessor to purchase the
Equipment listed on that Schedule.
"Renewal Terms" means, with respect to any Lease, the optional renewal terms of that Lease, each having a duration of one
year and a term co-extensive with Lessee's fiscal year.
"Rental Payment Datestt means the dates set forth in the Schedules on which Rental Payments are due.
"Rental Payments" means the basic rental payments payable by Lessee pursuant to Section 4.01.
"Schedulet'means any schedule to this Agreement, executed from time to time by the parties hereto.
"State" means the State of Lessee's organization.
"Vendort' means a manufacturer of Equipment as well as the agents or dealers of the manufacturer from whom Lessor
purchased or is purchasing Equipment.
ARTICLE II
REPRESENTATIONS AND COVENANTS OF' LESSEE
Section 2.01.
Lessor as follows:
Representations and Covenants of Lessee. Lessee represents, warrants and covenants for the benefit of
(a) Lessee is a political subdivision duly organized and existing under the constitution and laws ofthe State. Lessee
will do or cause to be done all things to preserve and keep in full force and effect its existence as a body corporate and
politic. Lessee has a substantial amount of one or more of the following sovereign powers: (a) the power to tax, (b) the
power of eminent domain, and (c) police power.
(b) Lessee is authorized under the constitution and laws of the State to enter into this Agreement and the transaction
contemplated hereby and to perform all ofits obligations hereunder.
(c) Lessee has been duly authorized to execute and deliver this Agreement by proper action and approval of its
goveming body at a meeting duly called, regularly convened and attended throughout by a requisite majority of the
members thereof or by other appropriate official approval.
(d) This Agreement constitutes the legal, valid and binding obligation of Lessee enforceable in accordance with its
terms, except to the extent limited by applicable bankruptcy, insolvency, reorganization or other laws affecting creditors'
rights generally.
Mui_Lease,M6ter Lede ver. 05. I 6. I 7 3 53 877 61512017 Il:56 ANI Page 2 of l3
6.a
Packet Pg. 12
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
(e) No event or condition that constitutes, or with the giving of notice or the lapse of time or both would constitute,
an Event ofDefault exists at the date hereof.
(0 Lessee has, in accordance with the requirements of law, fully budgeted and appropriated sufficient funds for the
current fiscal year to make the Rental Payments scheduled to come due during the cunent fiscal year and to meet its other
obligations under this Agreement, and such funds have not been expended for other purposes.
(g) Lessee has complied with such public bidding requirements as may be applicable to this Agreement and the
acquisition by Lessee ofthe Equipment hereunder.
(h) There is no action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, public
board or body, pending or threatened against or affecting Lessee, nor to the best knowledge ofLessee is there any basis
therefor, wherein an unfavorable decision, ruling or finding would materially adversely affect the transactions
contemplated by this Agreement or any other document, agreement or certificate which is used or contemplated for use in
the consummation of the transactions contemplated by this Agreement or materially adversely affect the financial
condition or properties ofLessee.
(i) All authorizations, consents and approvals of govemmental bodies or agencies required in connection with the
execution and delivery by Lessee of this Agreement or in connection with the carrying out by Lessee of its obligations
hereunder have been obtained.
(j) The entering into and performance of this Agreement or any other document or agreement contemplated hereby
to which Lessee is or is to be a party will not violate any judgment, order, law or regulation applicable to Lessee or result
in any breach of, or constitute a default under, or result in the creation of any lien, charge, security interest or other
encumbrance on any assets ofLessee or the Equipment pursuant to any indenture, mortgage, deed oftrust, bank loan or
credit agreement or other instrument to which Lessee is a party or by which it or its assets may be bound, except as herein
provided.
(k) The Equipment is essential to the function of Lessee or to the service Lessee provides to its citizens. Lessee has
an immediate need for, and expects to make immediate use of, substantially all the Equipment, which need is not
temporary or expected to diminish in the foreseeable future. The Equipment will be used by Lessee only for the purpose
of performing one or more of Lessee's governmental or proprietary functions consistent with the permissible scope of
Lessee's authority.
0) Neither the payment of the Rental Payments hereunder nor any portion thereof is (i) secured by any interest in
property used or to be used in a trade or business of a non-exempt person (within the meaning of Section 1 03 ofthe Code)
or in payments in respect of such property or (ii) derived from payments in respect of property, or borrowed money, used
or to be used in a trade or business of a non-exempt person (within the meaning of Section 103 of the Code). No portion
of the Equipment will be used directly or indirectly in any trade or business carried on by any non-exempt person (within
the meaning of Section 103 of the Code).
(m) Lessee will comply with all applicable provisions of the Code, including without limitation Sections 103 and
l4l-150 thereof, and the applicable regulations ofthe Treasury Department that relate to each Lease in order to establish
and maintain the exclusion of the interest components of Rental Payments from gross income for purposes of federal
income taxation. In furtherance ofthe foregoing, Lessee covenants and agrees to prepare (or engage a tax professional to
prepare on Lessee's behalf) and file all necessary informational retums on a timely basis with the IRS, including, but not
ii-it.a to, IRS Series 8038 Forms, which must generally be filed on or before the 15ft of the 2nd calendar month after the
close of the calendar quarter in which the Commencement Date occurs. Lessee agrees to provide Lessor with copies of
all such filed returns relating to each Lease contemporaneously with their filing. If Lessee fails to file the necessary
informational returns with the IRS on a timely basis, Lessee hereby authorizes Lessor to engage a tax professional of
Lessor's choosing to complete the required retums on Lessee's behalf and at Lessee's expense, which Lessee agrees to
execute and file. If Lessee files informational returns containing incorrect or incomplete information, Lessee hereby
authorizes Lessor to engage a tax professional of Lessor's choosing to file an amendment to the incorrect or incomplete
informational return on Lessee's behalfand at Lessee's expense, which Lessee agrees to execute and file.
(n) Lessee will use the proceeds of this Agreement as soon as practicable and with all reasonable dispatch for the
purpose for which this Agreement has been entered into. No part of the proceeds of this Agreement will be invested in
any securities, obligations or other investments or used, at any time, directly or indirectly, in a manner which, if such use
had been reasonably anticipated on the date of issuance of this Agreement, would have caused any portion of this
Mui Lease M6ter Le6e ver. 05. I 6.17 353877 6/5/2017 I l:56 AM Page 3 of l3
6.a
Packet Pg. 13
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Agreement to be or become "arbitrage bondsn' within the meaning of Section 103(bX2) or Section 148 of the Code and
the applicable regulations of the Treasury Department.
(o) Lessee represents and warrants that it is a governmental unit under the laws of the State; this Agreement is not a
private activity bond as defined in Section 141 of the Code, and 95%o or more of the net proceeds of this Agreement will
be used for local governmental activities ofl-essee.
(p) Lessee has never failed to pay payments coming due under any bond issue, lease purchase agreement or other
indebtedness obligation of Lessee.
(q) The useful life of the Equipment will not be less than the Maximum Lease Term.
G) The application, statements and credit or financial information reviewed by Lessor are true and correct and
made to induce Lessor to enter into this Agreement and the escrow agreement, if any, and Lessee has experienced no
material change in its financial condition since the date(s) of such information.
(s) Lessee shall pay the excess (if any) of the actual costs of acquiring the Equipment under the Agreement over the
amount deposited by Lessor in the escrow fund, if any, established under any related escrow agreement and interest
eamings thereon.
(t) Lessee understands and acknowledges that Lessor has not acted and will not act as a fiduciary for Lessee or as
Lessee's agent or municipal advisor; Lessor has not and will not provide financial, legal, tax, accounting or other advice
to Lessee or to any financial advisor or placement agent engaged by Lessee with respect to this Agreement. Lessee, its
financial advisor, placement agent or municipal advisor, if any, shall each seek and obtain its own financial, legal, tax,
accounting and other advice with respect to this Agreement from its own advisors (including as it relates to structure,
timing, terms and similar matters).
Section 2.02. Conditions to Lessorts Performance under Schedules. As a prerequisite to the performance by Lessor of
any of its obligations pursuant to the execution and delivery of any Schedule, Lessee shall deliver to Lessor the following:
(a) An Opinion of Counsel to Lessee, in form and substance acceptable to Lessor in its sole discretion, respecting
such Schedule.
(b) A Lessee's Closing Certificate executed by the Clerk or Secretary or other comparable officer oflessee, in form
and substance acceptable to Lessor in its sole discretion, completed to the satisfaction ofLessor.
(c) An Essential Use Certificate executed by a duly authorized officer ofLessee, in form and substance acceptable
to Lessor in its sole discretion, completed to the satisfaction of Lessor.
(d) All documents, including financing statements, affidavits, notices and similar instruments, in form satisfactory to
Lessor, which Lessor deems necessary or appropriate at that time pursuant to Section 6.02.
(e) Such other items, if any, as are set forth in such Schedule or are reasonably required by Lessor.
This Agreement is not a commitment by Lessor to enter into any Schedule not cunently in existence, and nothing in this
Agreement shall be construed to impose any obligation upon Lessor to enter into any proposed Schedule, it being understood that
whether Lessor enters into any proposed Schedule shall be a decision solely within Lessor's discretion.
Lessee will cooperate with Lessor in Lessor's review of any proposed Schedule. Without limiting the foregoing, Lessee will
provide Lessor with any documentation or information Lessor may request in connection with Lessor's review of any proposed
Schedule. Such documentation may include, without limitation, documentation concerning the Equipment and its contemplated
use and location and documentation or information conceming the financial status of Lessee and other matters related to Lessee.
ARTICLE III
LEASE OF'EQUIPMENT
Section 3.01. Lease of Equipment. Lessor hereby demises, leases and lets to Lessee, and Lessee rents, leases and hires from
Lessor, the Equipment listed in each Schedule in accordance with the provisions of this Agreement and that Schedule for the
Lease Term for the Lease ofwhich that Schedule is a part.
Mmi Lease M6ter Le6e ver. 05.16.17 353871 6/512017 11156 AM Page 4 of l3
6.a
Packet Pg. 14
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Section 3.02. Lease Term. The Original Term of each Lease will commence on the Commencement Date and will terminate
on the last day of Lessee's current fiscal year. The Lease Term for each Lease may be continued, solely at the option of Lessee, at
the end of the Original Term or any Renewal Term for an additional Renewal Term up to the Maximum Lease Term for that
Lease. At the end of the Original Term and at the end of each Renewal Term until the Maximum Lease Term has been completed
for a Lease, Lessee will be deemed to have exercised its option to continue that Lease for the next Renewal Term unless Lessee
has terminated that Lease pursuant to Section 3.03 or Section 10.01. The terms and conditions during any Renewal Term will be
the same as the terms and conditions during the Original Term, except that the Rental Payments will be as provided in the
Schedules.
Section 3.03. Termination of Lease Term. The Lease Term for each Lease will terminate upon the earliest of any of the
following events:
(a) the expiration of the Original Term or any Renewal Term of that Lease and the nonrenewal of that Lease in the
event ofnonappropriation offunds pursuant to Section 3.05;
(b) the exercise by Lessee of the option to purchase the Equipment granted under that Lease under the provisions of
Article X and payment of the Purchase Price and all amounts payable in connection therewith;
(c) a default by Lessee and Lessor's election to terminate that Lease under Article XII; or
(d) the payment by Lessee of all Rental Payments required to be paid by Lessee under that Lease when such
payments are due through the expiration ofthe Maximum Lease Term.
Section 3.04. Continuation of Lease Term. Lessee cunently intends, subject to the provisions of Section 3.05 and Section
4.04, to continue the Lease Term for each Lease through the Original Term and all of the Renewal Terms and to pay the Rental
Payments hereunder. Lessee reasonably believes that legally available funds in an amount sufficient to make all Rental Payments
during the Maximum Lease Term for each Lease can be obtained. The responsible financial officer of Lessee will do all things
lawfully within his or her power to obtain and maintain funds from which the Rental Payments may be made, including making
provision for such Rental Payments to the extent necessary in each proposed annual budget submitted for approval in accordance
with applicable procedures oflessee and to exhaust all available reviews and appeals in the event such portion ofthe budget is not
approved. Notwithstanding the foregoing, the decision whether or not to budget or appropriate funds or to extend a Lease for any
Renewal Term is solely within the discretion of the then current governing body of Lessee.
Section 3.05. Nonappropriation. Lessee is obligated only to pay such Rental Payments under this Agreement as may
lawfully be made from funds budgeted and appropriated for that purpose during Lessee's then current fiscal year. In the event
sufficient funds will not be appropriated or are not otherwise legally available to pay the Rental Payments required to be paid
under a Lease in the next occuning Renewal Term, that Lease will be deemed to be terminated at the end of the then current
Original Term or Renewal Term. Lessee agrees to deliver notice to Lessor of such termination at least 90 days prior to the end of
the then current Original Term or Renewal Term, but failure to give such notice will not extend the Lease Term beyond such
Original Term or Renewal Term. If a Lease is terminated in accordance with this Section, Lessee agrees, at Lessee's cost and
expense, to peaceably deliver the Equipment then subject to that Lease to Lessor at the location or locations specified by Lessor.
ARTICLE IV
RENTAL PAYMENTS
Section 4.01. Rental Payments. Lessee will pay Rental Payments, exclusively from legally available funds, in lawful money
of the United States of America to Lessor in the amounts and on the dates set forth in the Schedules without notice or demand.
Rental Payments will be in consideration for Lessee's use of the Equipment during the fiscal year in which such payments are due.
Any Rental Payment not received on or before its due date will be assessed a late payment fee of l|Yo or the maximum amount
permitted by law, whichever is less, from its due date. Lessee agrees to pay Lessor a fee, in an amount determined by Lessor, not
to exceed the maximum amount from time to time permitted by applicable law, for any check or automatic payment withdrawal
request that is returned to Lessor because of insuffrcient funds available in Lessee's account or a stop payment.
In the event that it is determined that any of the interest components of Rental Payments may not be excluded from gross
income for purposes of federal income taxation, Lessee agrees to pay to Lessor promptly after any such determination and on each
Rental Payment Date thereafter an additional amount determined by Lessor to compensate Lessor for the loss of such
excludability (including without limitation, compensation relating to interest expense, penalties or additions to tax), which
determination shall be conclusive absent manifest error.
Mui_Lease_Mdter Leoe ver. 05.16.17 3538'17 61512017 Il:56 r'n.i Page5ofl3
6.a
Packet Pg. 15
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Section 4.02. Interest Component. As set forth on the payment schedules attached to the Schedules, a portion of each
Rental Payment is paid as, and represents payment of, interest.
Section 4.03. Rental Payments To Be Unconditional. Except as provided in Section 3.05, the obligations of Lessee to
make Rental Payments and to perform and observe the other covenants and agreements contained herein shall be absolute
and unconditional in all events without abatement, diminution, deduction, set-off or defense, for any reason, including
without limitation any failure of the Equipment to be delivered or installed, any defects, malfunctions, breakdowns or
infirmities in the equipment or any accident, condemnation or unforeseen circumstances.
Section 4.04. Rental Payments to Constitute a Current Expense of Lessee. The obligation of Lessee to pay Rental
Payments hereunder will constitute a current expense of Lessee, are from year to year and do not constitute a mandatory payment
obligation of Lessee in any fiscal year beyond the then current fiscal year of Lessee. Lessee's obligation hereunder will not in any
way be construed to be an indebtedness of Lessee in contravention of any applicable constitutional, charter or statutory limitation
or requirement conceming the creation of indebtedness by Lessee, nor will anything contained herein constitute a pledge of the
general credit, tax revenues, funds or moneys of Lessee.
ARTICLE V
EQUIPMENT
Section 5.01. Delivery, Installation and Acceptance of the Equipment. Lessee will order the Equipment, cause the
Equipment to be delivered and installed at the location specified in the applicable Schedule and pay any and all costs, charges,
expenses and obligations of every kind and nature incurred regarding the importation, shipment, delivery, possession, use, lease,
return, repossession, storage and transfer of any of Equipment. When the Equipment listed in any Schedule has been delivered
and installed, Lessee will immediately inspect such Equipment and accept such Equipment after Lessee, in its sole discretion,
determines that such Equipment is satisfactory, and evidence said acceptance by executing and delivering to Lessor an acceptance
certificate in form and substance acceptable to Lessor. After it has been installed, the Equipment will not be moved from the
location specified in the applicable Schedule, or if rolling stock, its permanent base will not be changed, without Lessor's consent,
which consent will not be unreasonably withheld. If Lessor, in its discretion, pays any tax, fee, charge or other amount described
in this paragraph, Lessee shall reimburse Lessor therefor on demand, together with Lessor's administrative and other costs of
paying and invoicing such amounts and, if Lessee fails to pay Lessor any such amount within ten (10) days of such demand,
Lessee shall pay interest thereon until paid at the rate of 18Yo per annum or the maximum rate allowable by law, whichever is less.
Section 5.02. Enjoyment of Equipment. Lessor hereby covenants to provide Lessee with quiet use and enjoyment of the
Equipment during the Lease Term, and Lessee will peaceably and quietly have and hold and enjoy the Equipment during the
Lease Term, without suit, trouble or hindrance from Lessor, except as otherwise expressly set forth in this Agreement.
Section 5.03. Right of Inspection. Lessor will have the right at all reasonable times during regular business hours to enter
into and upon the property ofLessee for the purpose ofinspecting the Equipment.
Section 5.04. Use of the Equipment. Lessee will not install, use, operate or maintain the Equipment improperly, carelessly,
in violation of any applicable law or in a manner contrary to that contemplated by this Agreement. Lessee will obtain all permits
and licenses, if any, necessary for the installation and operation of the Equipment. In addition, Lessee agrees to comply in all
respects (including, without limitation, with respect to the use, maintenance and operation of each item of the Equipment) with all
applicable laws, regulations and rulings of any legislative, executive, administrative or judicial body; provided, however, that
Lessee may contest in good faith the validity or application of any such law, regulation or ruling in any reasonable manner that
does not, in the opinion ofLessor, adversely affect the interest ofLessor in and to the Equipment or its interest or rights under this
Agreement.
Section 5.05. Maintenance of f,quipment; Alterations. Lessee agrees that it will, at Lessee's own cost and expense,
maintain, preserve and keep the Equipment in good repair, working order and condition. Lessor will have no responsibility to
maintain, repair or make improvements or additions to the Equipment. If any item of Equipment is such as is customarily covered
by a maintenance contract, Lessee will enter into a maintenance contract for that Equipment with the applicable Vendor. Lessee
will not make any alterations, additions or improvements to the Equipment without Lessor's prior written consent unless such
alterations, additions or improvements may be readily removed without damage to the Equipment.
ARTICLE VI
TITLE TO EQUIPMENT; SECURITY INTEREST
Section 6.01. Title to the Equipment. During the Lease Term, title to the Equipment and any and all additions, repairs,
replacements or modifications will vest in Lessee, subject to the rights of Lessor under this Agreement; provided that title to the
Mmi_Lease_Mdter Le6e ver. 05. 16.17 153877 6/512017 11:56 lM Page 6 of 13
6.a
Packet Pg. 16
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Equipment that is subject to any Lease will thereafter immediately and without any action by Lessee vest in Lessor, and Lessee
will immediately sunender possession of the Equipment to Lessor upon (a) any termination of that Lease other than termination
pursuant to Section 10.01 (including but not limited to any termination pursuant to Section 3.05) or (b) the occurrence of an Event
of Default with respect to that Lease. It is the intent of the parties hereto that any transfer of title to Lessor pursuant to this Section
will occur automatically without the necessity of any bill of sale, certificate of title or other instrument of conveyance . Lessee
will, nevertheless, execute and deliver any such instruments as Lessor may request to evidence such transfer. Lessee, irrevocably
designates, makes, constitutes and appoints Lessor and its assignee as Lessee's true and lawful attorney (and agent in-fact) with
power, at such time of termination or times thereafter as Lessor in its sole and absolute discretion may determine, in Lessee's or
Lessor's or such assignee's name, to endorse the name of Lessee upon any bill of sale, document, instrument, invoice, freight bill,
bill of lading or similar document relating to the Equipment in order to vest title in Lessor and transfer possession to Lessor.
Section6.02. Securitylnterest. TosecurethepaymentofallofLessee'sobligationsunderthisAgreementandtotheextent
permitted by law, Lessee grants to Lessor a first and prior security interest in the Equipment and on all additions, attachments and
accessions thereto and substitutions therefor and proceeds therefrom. Lessee agrees to execute such additional documents in form
satisfactory to Lessor, that Lessor deems necessary or appropriate to establish and maintain its security interest. Lessee agrees that
financing statements may be filed with respect to the security interest in the Equipment created herein.
As further security therefor, Lessee grants to Lessor a first priority security interest in the cash and negotiable instruments
from time to time comprising each escrow fund established under any related escrow agreement and all proceeds (cash and non-
cash) thereof, and agrees with respect thereto that Lessor shall have all the rights and remedies of a secured party.
Section 6.03. Personal Property. Lessor and Lessee agree that the Equipment is and will remain personal property. The
Equipment will not be deemed to be affixed to or a part of the real estate on which it may be situated, notwithstanding that the
Equipment or any part thereof may be or hereafter become in any manner physically affixed or attached to such real estate or any
building thereon. Upon the request of Lessor, Lessee will, at Lessee's expense, fumish a waiver of any interest in the Equipment
from any party having an interest in any such real estate or building.
ARTICLE VII
ADDITIONAL COVENANTS
Section 7.01. Liens, Taxes, Other Governmental Charges and Utility Charges. Lessee will keep the Equipment free and
clear of all liens, charges and encumbrances, except those created under this Agreement. The parties to this Agreement
contemplate that the Equipment will be used for a governmental or proprietary purpose of Lessee and, therefore, that the
Equipment will be exempt from all property taxes and other similar charges. If the use, possession or acquisition of the
Equipment is found to be subject to taxation in any form, Lessee will pay all taxes and governmental charges lawfully assessed or
levied against or with respect to the Equipment. Lessee will pay all utility and other charges incurred in the use and maintenance
of the Equipment. Lessee will pay such taxes and charges as the same become due; provided that, with respect to any such taxes
and charges that may lawfully be paid in installments over a period of years, Lessee will be obligated to pay only such installments
that accrue during the Lease Term.
Section 7.02. Insurance. At its own expense, Lessee will maintain (a) casualty insurance insuring the Equipment against
loss or damage by fire and all other risks covered by the standard extended coverage endorsement then in use in the State and any
other risks reasonably required by Lessor in an amount at least equal to the then applicable Purchase Price ofthe Equipment, and
(b) liability insurance that protects Lessor from liability in all events in form and amount satisfactory to Lessor with a minimum
limit of $1,000,000.00 combined single limit or such greater amount as may be prescribed by any applicable state law specifuing
minimum insurance requirements; provided that, with Lessor's prior written consent, Lessee may self-insure against the risks
described in clauses (a) and (b) of this Section. If required by Lessor, Lessee shall also provide to Lessor payment and
performance bonds naming Lessor as a dual obligee and issued by a surety company rated "A" or better by AM Best. All
insurance proceeds from casualty losses will be payable as hereinafter provided. Lessee will furnish to Lessor certificates
evidencing such coverage throughout the Lease Term.
All such casualty and liability insurance will be with insurers that are acceptable to Lessor, will name Lessor as a loss payee
and additional insured and will contain a provision to the effect that such insurance will not be cancelled or modified materially
without first giving written notice thereof to Lessor at least thirty days in advance of such cancellation or modification. All such
casualty insurance will contain a provision making any losses payable to Lessee and Lessor, as their respective interests may
appear.
Section 7.03. Advances. In the event Lessee fails to maintain the insurance required by this Agreement, pay taxes or charges
required to be paid by it under this Agreement or fails to keep the Equipment in good repair and operating condition, Lessor may
(but will be under no obligation to) purchase the required policies of insurance and pay the cost of the premiums thereof pay such
Mui Lease M6ter Le6e ver. 05. I 6.17 353877 615/201'1 | 1:56 ANl Page 7 of l3
6.a
Packet Pg. 17
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
taxes and charges and make such Equipment repairs or replacements as are necessary and pay the cost thereof. All amounts so
advanced by Lessor will become additional rent for the then current Original Term or Renewal Term. Lessee agrees to pay such
amounts with interest thereon from the date paid at the rate of 18% per annum or the maximum permitted by law, whichever is
less.
Section 7.04. Financial Information. Lessee will annually provide Lessor with current financial statements, budgets and
proofs of appropriation for the ensuing fiscal year and such other financial information relating to the ability of Lessee to continue
this Agreement as may be requested by Lessor.
Section 7.05. Release and Indemnification. Lessee assumes all risks and liabilities, whether or not covered by insurance,
for loss or damage to the Equipment and for injury to or death of any person or damage to any property whether such injury or
death be with respect to agents or employees of Lessee or of third parties, and whether such property damage be to Lessee's
property or the property of others which is proximately caused by the negligent conduct of Lessee, its officers, employees or
agents. To the extent permitted by law, Lessee will indemnifu, protect and hold harmless Lessor from and against any and all
liability, obligations, losses, claims and damages whatsoever, regardless of cause thereof, and expenses in connection therewith
(including, without limitation, counsel fees and expenses and any federal income tax and interest and penalties connected
therewith imposed on interest received) arising out of or as the result of (a) the entering into this Agreement, (b) the ownership of
any item of Equipment, (c) the manufacfuring, ordering, acquisition, maintenance, use, operation, condition, purchase, delivery,
rejection, storage or return of any item ofthe Equipment, (d) any accident in connection with the operation, maintenance, use,
condition, possession, storage or return ofany item ofEquipment resulting in damage to property or injury or death to any person
or (e) the breach of any covenant herein or any material misrepresentation contained herein. The indemnification arising under
this paragraph will continue in full force and effect notwithstanding the full payment of all obligations under this Agreement or the
termination of any Lease Term for any reason.
ARTICLE VIII
DAMAGE, DESTRUCTION AND CONDEMNATION;
USE OF NET PROCEEDS
Section 8.01. Risk of Loss. Lessee assumes, ftom and including the Commencement Date, all risk of loss of or damage to
the Equipment from any cause whatsoever. No such loss of or damage to the Equipment nor defect therein nor unfitness or
obsolescence thereof will relieve Lessee of the obligation to make Rental Payments or to perform any other obligation under this
Agreement.
Section 8.02. Damage, Destruction and Condemnation; Use of Net Proceeds. If (a) the Equipment or any portion thereof
is destroyed, in whole or in part, or is damaged by fire or other casualty, or (b) title to, or the temporary use of, the Equipment or
any part thereofor the interest ofLessee or Lessor in the Equipment or any part thereofwill be taken under the exercise ofthe
power of eminent domain by any governmental body or by any person, firm or corporation acting under governmental authority,
Lessee and Lessor will cause the Net Proceeds of any insurance claim or condemnation award to be applied to the prompt
replacement, repair, restoration, modification or improvement ofthe Equipment, unless Lessee has exercised its option to purchase
the Equipment pursuant to Section 10.01. Any balance of the Net Proceeds remaining after such work has been completed will be
paid to Lessee.
Section 8.03. Insufficiency of Net Proceeds. If the Net Proceeds are insufficient to pay in full the cost of any repair,
restorationo modification or improvement referred to in Section 8.02, Lessee will either (a) complete such replacement, repair,
restoration, modification or improvement and pay any costs thereof in excess of the amount of the Net Proceeds, or (b) puichase
Lessor'sinterestintheEquipmentpursuanttoSectionl0.0l. IfLesseewill makeanypaymentspursuanttothisSection,Lessee
will not be entitled to any reimbursement therefor from Lessor nor will Lessee be entitled to any diminution of the amounts
payable under Article IV.
ARTICLE IX
WARRANTIES
Section 9.01. Disclaimer of Warranties. LESSOR MAKES NO WARRANTY OR REPRESENTATION, EXPRESS OR
IMPLIED, AS TO THE VALUE, DESIGN, CONDITION, MERCHANTABILITY OR FITNESS FOR PARTICULAR ASE
OR PUWOSE OF THE EQUIPMENT OR AGAINST INFRINGEMENT, OR ANY OTHER WARRANTY OR
REPRESENTATION WITH RESPECT THERETO. LESSEE HEREBY WAIVES ANY CLAIM IT MIGHT HAVE
AGAINST LESSOR FOR ANY LOSS, DAMAGE OR EXPENSE CAASED BY THE EQUIPMENT OR BY ANY DEFECT
THEREIN, OR BY THE USE OR MAINTENANCE OF, OR SERVICING OR ADJUSTMENT TO, THE EQUIPMENT
AND, AS TO LESSOR, LEASES THE EQUIPMENT AS-IS AND WITH ALL FAULTS AND WITHOUT WARMNTY OF
ANY KIND. IN NO EVENT SHALL LESSOR BE LIABLE FOR ANY ACTUAL, INCIDENTAL, INDIRECT, SPECIAL OR
Mwi Lease M6ter LeNe ver. 05. I 6.17 353877 615/2017 11:56 ANI Page 8 of l3
6.a
Packet Pg. 18
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
CONSEQUENTIAL DAMAGE IN CONNECTION WITH OR ARISING OUT OF THIS AGREEMENT OR THE
EXISTENCE, FARNISHING, FUNCTIONING OR LESSEE'S U,S' OR MAINTENANCE OF ANY EQUIPMENT OR
SERVICES PROVIDED FOR IN THIS AGREEMENT.
Section 9.02. Vendorts Warranties. Lessee acknowledges that Lessor is not a dealer or manufacturer of Equipment of any
kind and is not the seller of the Equipment, and that each unit of Equipment is of a type, size, design and capacity selected solely
by Lessee. Lessee also acknowledges that Lessor finances the Equipment without any obligation to install, test, erect, service or
maintain the Equipment. The only warranty applicable to any Equipment is the Vendor's warranty and Lessor makes no warranty
of any kind to Lessee. Lessee may have rights under the contraat evidencing the purchase of the Equipment; Lessee is advised to
contact the applicable Vendor for a description of any such rights. To the extent such warranties are transferable and so long as an
Event of Default has not occurred and is not continuing hereunder, Lessor hereby assigns to Lessee during the Lease Term all
warranties running from Vendor to Lessor and during such time Lessee may assert from time to time whatever claims and rights
(including without limitation wananties) related to the Equipment that Lessor may have against the Vendor. Lessee's sole remedy
for the breach of any such warranty, indemnification or representation will be against the Vendor, and not against Lessor. Any
such matter will not have any effect whatsoever on the rights and obligations of Lessor with respect to this Agreement, including
the right to receive full and timely payments hereunder. Lessee expressly acknowledges that Lessor makes, and has made, no
representations or warranties whatsoever as to the existence or availability of such warranties by the Vendor. Lessee
acknowledges that each Lease constitutes a "finance lease" under UCC Article 2A in all respects, and that Lessor's sole
obligations to Lessee under each Lease is not to interfere with Lessee's quiet enjoyment of the Equipment so long as Lessee is not
in default thereunder. Subject to the foregoing sentence and to the extent permitted by law, Lessee unconditionally and irrevocably
waives any and all rights and remedies against Lessor at law or in equity (including, without limitation, any rights and remedies
granted Lessee under Article 24. of the Uniform Commercial Code and/or the right to reject any Equipment or repudiate each
Lease). Lessee agrees that Lessor assumes no liability for and makes no representation as to the treatment by Lessee of each
Lease, the Equipment or the Rental Payments for financial statement or tax purposes.
ARTICLE X
OPTION TO PURCHASE
Section 10.01. Purchase Option. Provided no Event of Default has occurred hereunder, Lessee will have the option to
purchase the Equipment listed in any Schedule, in whole, but not in part, upon giving written notice to Lessor at least 30 days
before the date of purchase, at the following times and upon the following terms:
(a) On any Rental Payment Date, upon payment in full of the Rental Payment then due hereunder plus all other
amounts due under that Lease plus the then-applicable Purchase Price set forth on that Schedule to Lessor, if
applicable; or
(b) on the date the last Rental Payment is due (assuming the applicable Lease is renewed for the Maximum Lease
Term), if the applicable Lease is still in effect on that day, upon payment in full of all Rental Payments and all
other amounts then due and the payment of One Dollar to Lessor; or
(c) In the event of substantial damage to or destruction or condemnation (other than by Lessee or any entity
controlled by or otherwise affiliated with Lessee) of substantially all of the Equipment listed in that Schedule, on the day
Lessee specifies as the purchase date in Lessee's notice to Lessor ofits exercise ofthe purchase option, upon payment in
full of the Rental Payment and all other amounts then due under that Lease plus (i) the Purchase Price set forth on that
Schedule for such purchase date if such purchase date is a Rental Payment Date or the Purchase Price for the immediately
preceding Rental Payment Date if such purchase date is not a Rental Payment Date, and (ii) if such day is not a Rental
Payment Date, an amount equal to the portion of the interest component of the Rental Payment scheduled to come due
under that Schedule on the following Rental Payment Date accrued from the immediately preceding Rental Payment Date
to such purchase date, computed on the basis ofa 360-day year oftwelve 30-day months.
Upon the exercise of the option to purchase set forth above, title to the Equipment so purchased will be vested in Lessee on an as-
is, where-is basis, free and clear ofany claim by or through Lessor.
Section 10.02. Determination of Fair Purchase Price. Lessee and Lessor hereby agree and determine that the Rental
Payments under each Schedule during the Original Term and each Renewal Term represent the fair value of the use of the
Equipment listed in that Schedule and that the amount required to exercise Lessee's option to purchase the Equipment listed in that
Schedule pursuant to Section 10.01 represents, as ofthe end ofthe Original Term or any Renewal Term under that Schedule, the
fair purchase price of the Equipment listed in that Schedule. Lessee hereby determines that the Rental Payments do not exceed a
reasonable amount so as to place Lessee under a practical economic compulsion to renew the term of any Schedule or to exercise
its option to purchase the Equipment under any Schedule. In making such determinations, Lessee and Lessor have given
Mui Lease M6ter_Le6e ver. 05. 16. 17 353877 61512017 | I :56 lM Page 9 of 13
6.a
Packet Pg. 19
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
consideration to (a) the costs of the Equipment, (b) the uses and purposes for which the Equipment will be employed by Lessee,
(c) the benefit to Lessee by reason of the acquisition and installation of the Equipment and the use of the Equipment pursuant to
the terms and provisions of this Agreement, and (d)Lessee's option to purchase the Equipment. Lessee hereby determines and
declares that the acquisition and installation of the Equipment and the leasing of the Equipment pursuant to this Agreement will
result in equipment of comparable quality and meeting the same requirements and standards as would be necessary if the
acquisition and installation of the Equipment were performed by Lessee other than pursuant to this Agreement. Lessee hereby
determines and declares that the Maximum Lease Term does not exceed the useful life of the Equipment.
ARTICLE XI
ASSIGNMENT AND SUBLEASING
Section 11.01. Assignment by Lessor. Lessor's interest in, to and under this Agreement, each Lease and the Equipment may
be assigned and reassigned in whole or in part to one or more assignees by Lessor without the necessity ofobtaining the consent of
Lessee; provided that any assignment will not be effective against Lessee until Lessee has received written notice of the name and
address of the assignee. Lessee will retain all such notices as a register of all assignees and will make all payments to the assignee
or assignees designated in such register. Lessee agrees to execute all documents, including notices of assignment and chattel
mortgages or financing statements that may be reasonably requested by Lessor or any assignee to protect its interest in the
Equipment and in this Agreement and each Lease and agrees to the filing of financing statements with respect to the Equipment
and this Agreement and each Lease. Lessee will not have the right to and will not assert against any assignee any claim,
counterclaim, defense, set-offor other right Lessee may have against Lessor.
Section 11.02. Assignment and Subleasing by Lessee. None of Lessee's right, title and interest in, to and under this
Agreement, any Lease or the Equipment may be assigned or encumbered by Lessee for any reason, except that Lessee may
sublease all or part of the Equipment if Lessee obtains the prior written consent of Lessor and an opinion of regionally recognized
"Red Book"-listed counsel in the area of tax-exempt municipal obligations satisfactory to Lessor that such subleasing will not
adversely affect the exclusion ofthe interest components ofthe Rental Payments under the applicable Lease from gross income for
federal income tax purposes. Any such sublease of all or part of the Equipment will be subject to this Agreement and the rights of
Lessor in, to and under this Agreement, the applicable Lease and the Equipment.
ARTICLE XII
EVENTS OF DEFAULT AND REMEDIES
Section 12.01. Events of Default Defined. Subject to the provisions of Section 3.05, any of the following will be "Events of
Defaulf' under any Lease:
(a) Failure by Lessee to pay any Rental Payment or other payment required to be paid under that Lease at the time
specified in that Lease;
(b) Failure by Lessee to observe and perform any covenant, condition or agreement on its part to be observed or
performed under that Lease, other than as referred to in Section 12.01(a), for a period of20 days after written notice,
specifuing such failure and requesting that it be remedied, is given to Lessee by Lessor, unless Lessor will agree in
writing to an extension of such time priorto its expiration; provided, however, if the failure stated in the notice cannot be
corrected within the applicable period, Lessor will not unreasonably withhold its consent to an extension of such time if
corrective action is instituted by Lessee within the applicable period and diligently pursued until the default is corrected;
(c) Any statement, representation or warranty made by Lessee in or pursuant to that Lease or its execution, delivery
or performance will prove to have been false, incorrect, misleading or breached in any material respect on the date when
made;
(d) Any provision of that Lease will at any time for any reason cease to be valid and binding on Lessee, or will be
declared to be null and void, or the validity or enforceability thereofwill be contested by Lessee or any governmental
agency or authority if the loss of such provision would materially adversely affect the rights or security of Lessor, or
Lessee will deny that it has any further liability or obligation under that Lease;
(e) Lessee will (i) apply for or consent to the appointment of a receiver, trustee, custodian or liquidator of Lessee, or
of all or a substantial part of the assets of Lessee, (ii) be unable, fail or admit in writing its inability generally to pay its
debts as they become due, (iii) make a general assignment for the benefit ofcreditors, (iv) have an order for reliefentered
against it under applicable federal bankruptcy law, or (v) file a voluntary petition in bankuptcy or a petition or an answer
seeking reorganization or an ilrangement with creditors or taking advantage of any insolvency law or any answer
Mui Lease Mdter Lede ver. 05.16.17 353877 615120l'7 lI 56 Alr'{Page l0 of 13
6.a
Packet Pg. 20
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
admitting the material allegations of a petition filed against Lessee in any bankruptcy, reorganization or insolvency
proceeding; or
(0 en order, judgment or decree will be entered by any court of competent jurisdiction, approving a petition or
appointing a receiver, trustee, custodian or liquidator of Lessee or of all or a substantial part of the assets of Lessee, in
each case without its application, approval or consent, and such order, judgment or decree will continue unstayed and in
effect for any period of30 consecutive days.
Section 12.02. Remedies on Default. Whenever any Event of Default under any Lease exists, Lessor will have the right, at
its sole option without any further demand or notice, to take one or any combination of the following remedial steps:
(a) By written notice to Lessee, Lessor may declare all Rental Payments and other amounts payable by Lessee
under that Lease to the end ofthe then current Original Term or Renewal Term to be due;
(b) With or without terminating that Lease, Lessor may enter the premises where the Equipment that is subject to
that Lease is located and retake possession ofthat Equipment or require Lessee at Lessee's expense to promptly return
any or all ofthat Equipment to the possession ofLessor at a place specified by Lessor, and sell or lease that Equipment
or, for the account of Lessee, sublease that Equipment, holding Lessee liable for the difference between (i) the Rental
Payments and other amounts payable by Lessee under that Lease plus the applicable Purchase Price, and (ii) the net
proceeds ofany such sale, lease or sublease (after deducting all expenses ofLessor in exercising its remedies under this
Agreement, including without limitation, all expenses of taking possession, storing, reconditioning and selling or leasing
that Equipment and all brokerage, auctioneers' and attorneys' fees); provided that the amount ofLessee's liability under
this subparagraph (b) shall not exceed the Rental Payments and other amounts otherwise due under that Lease plus the
remaining Rental Payments and other amounts payable by Lessee to the end of the then cunent Original Term or
Renewal Term; and
(c) Lessor may take whatever other action at law or in equity may appear necessary or desirable to enforce its rights
under this Agreement as the owner of the Equipment that is subject to that Lease.
Any net proceeds from the exercise of any remedy hereunder (after deducting all expenses of Lessor in exercising such
remedies including without limitation all expenses of taking possession, storing, reconditioning and selling or leasing Equipment
and all brokerage, auctioneer's or attorneys' fees) shall be applied as follows:
(D If such remedy is exercised solely with respect to a single Lease, Equipment subject to that Lease or rights under this
Agreement related to that Lease, then to amounts due pursuant to that Lease and other amounts related to that Lease or
that Equipment; or
(ii) If such remedy is exercised with respect to more than one Lease, Equipment subject to more than one Lease or rights
under this Agreement related to more than one Lease, then to amounts due pursuant to those Leases pro rata.
In addition, Lessee will remain liable for all covenants and indemnities under this Agreement and for all legal fees and other
costs and expenses, including court costs, incurred by Lessor with respect to the enforcement ofany ofthe remedies listed above
or any other remedy available to Lessor.
Section 12.03. No Remedy Exclusive. No remedy herein confened upon or reserved to Lessor is intended to be exclusive
and every such remedy will be cumulative and will be in addition to every other remedy given under this Agreement or now or
hereafter existing at law or in equity. No delay or omission to exercise any right or power accruing upon any default will impair
any such right or power or will be construed to be a waiver thereof, but any such right and power may be exercised from time to
time and as often as may be deemed expedient. In order to entitle Lessor to exercise any remedy reserved to it in this Agreement it
will not be necessary to give any notice, other than such notice as may be required in this Agreement.
ARTICLE XIII
MISCELLANEOUS
Section 13.01. Notices. Any written notice hereunder to Lessee or Lessor shall be deemed to have been given when
delivered personally, deposited with a nationally recognized overnight courier (with all fees pre-paid), delivered via facsimile or e-
mail (with confirmation of transmission), or deposited in the United States mail, certified or registered mail, addressed to recipient
at its address set forth above or at such other address as may be substituted therefor by notice given pursuant to the terms hereof.
Lessee hereby agrees that Lessor, including its vendors, service providers, partners, afliliates, successors and assigns, may contact
Lessee at any telephone number provided to Lessor, by placing voice telephone calls (including the use of automatic telephone
Mui Lease M6ter Lede ver. 05.16.17 351871 6/51201,1 ll:56 ANI Pagellof13
6.a
Packet Pg. 21
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
dialing systems or prerecorded voice messaging) or, in the case of wireless telephones or other wireless devices, by sending email
or automated (SMS) text messages.
Section 13.02. Binding Effect. This Agreement will inure to the benefit of and will be binding upon Lessor and Lessee and
their respective successors and assigns.
Section 13.03. Severability. In the event any provision ofthis Agreement will be held invalid or unenforceable by any court
ofcompetentjurisdiction, such holding will not invalidate or render unenforceable any other provision hereof.
Section 13.04. Entire Agreement. This Agreement constitutes the entire agreement between Lessor and Lessee.
Section 13.05. Amendments. This Agreement may be amended, changed or modified in any manner by written agreement
of Lessor and Lessee. Any waiver of any provision of this Agreement or any right or remedy hereunder must be affirmatively and
expressly made in writing and will not be implied from inaction, course of dealing or otherwise.
Section 13.06. Execution in Counterparts. This Agreement may be simultaneously executed in several counterparts, each
of which will be an original and all of which will constitute but one and the same instrument. There shall be only one original
counterpart of this Agreement and it shall bear Lessor's original signature and be marked "Original." To the extent that this
Agreement constitutes chattel paper (as that term is defined by Article 24, of the Uniform Commercial Code), a security or
ownership interest intended to be created through the transfer and possession of this Agreement can be done only by the
transfer ofsuch original bearing Lessor's original signature.
Section 13.07. Captions. The captions or headings in this Agreement are for convenience only and in no way define, limit or
describe the scope or intent of any provisions or sections of this Agreement.
Section 13.08. Applicable Law; Jury Trial. This Agreement will be govemed by and conshued in accordance with federal
law and, to the extent not preempted by federal law, the laws of the State. TO THE EXTENT PERMITTED BY LAW, THE
PARTIES HERETO, AFTER CONSULTING (OR HAVING HAD AN OPPORTUNITY TO CONSULT) WITH COUNSEL
OF THEIR CHOICE, KNOWINGLY AND VOLUNTARILY WAIVE ANY RIGHT TO TRIAL BY JURY IN ANY ACTION
ORPROCEEDING RELATING TO THIS AGREEMENT.
Section 13.09. Electronic Transactions. Lessor, in its sole discretion, may permit Lessee to electronically copy and/or
deliver by telecopier or other electronic means of transmission an executed counterpart of this Agreement, and any document,
schedule, amendment, addendum, supplement or agreement related hereto or executed in connection herewith. By so copying
and/or delivering any such document, Lessee hereby represents and agrees (a) that such transmission constitutes due delivery
ofsuch executed document, (b) that the counterpart ofsuch executed document as printed by the recipient, including Lessee's
signature thereon, shall be deemed to constitute an original and shall be admissible in any court or other legal proceeding as an
original, and (c) to deliver to Lessor, promptly on request, such document bearing Lessee's original "wet ink" signature;
provided that neither delivery nor failure to deliver the document bearing Lessee's original "wet ink" signature shall limit or
modify the representations and agreements set forth in clauses (a) and (b).
IN WITNESS WHEREOF, Lessor and Lessee have caused this Agreement to be executed in their corporate names by their
duly authorized oflicers as ofthe date first above written.
c4&
F
z
(n
rqr!aaql
I
City of Kent. Washineton
Name of Lessee
Signature
Print Name and
fJld
DF
v
a
&
IJaa
14J
TCF Equipment Finance. a division of TCF National Bank
Name of Lessor
Rw'
Signature
Print Name and Title:
Mmi_Lease_M6ter_Le6e ver. 05. I 6. I 7 3 53877 61 5 /2017 | | :5 6 Alt4 Page 12ofl3
6.a
Packet Pg. 22
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
tad.L^.-iv &.v<
=/,t-E I!t!-Jd
'OU8aB
I, the undersigned, do hereby certifu that the officer of Lessee who executed the foregoing Agreement on behalf of Lessee and
whose genuine signature appears thereon, (i) is the duly qualified and acting officer of Lessee as stated beneath his or her
signature, (ii) is duly authorized to execute and deliver the foregoing Agreement on behalf of Lessee, and (iii) that the fiscal
year oflessee ends on the last day ofDecember.
Signature Title:Date:
THE ABOVE CERTIFICATION MUST BE SIGNED BY THE CLERK OR SECRETARY OF LESSEE, AND TIIE CLERK
OR SECRETARY MUST BE A DIFFERENT INDIVIDUAL THAN THE OFFICER SIGNING IN THE ''LESSEE
SIGNATURE'' BOX.
Mui Lease M6ter Le6e ver. 05. 16.17 353877 6/512017 | lt56 lM Page 13 of 13
6.a
Packet Pg. 23
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
\tcf
qquipment
finance
SCHEDULE OF EQUTPMENT NO.008-0742s93-300 TO
MASTER EQUIPMENT LEASE PURCHASE AGREEMENT NO. 742593L
1. Defined Terms. All terms used herein have the meanings ascribed to them in the Agreement.
2. Equipment. The Equipment included under this Schedule is comprised of the items described in the Equipment
Description attached hereto as Attachrnent 1, together with all replacements, substitutions, repairs, restorations, modifications,
attachments, accessions, additions and improvements thereof or thereto.
3. Payment Schedule. The Rental Payments and Purchase Prices under this Schedule are set forth in the Payment
Schedule attached as Attachment 2 hereto.
4. Representations, Warranties and Covenants of Lessee.
(a) Lessee hereby represents, warrants and covenants that its representations, wananties and covenants set forth in the
Agreement are true and correct as though made on the date of commencement of Rental Payments on this Schedule.
(b) Lessee has experienced no material change in its financial condition or in the revenues expected to be utilized to meet
Rental Payments due hereunder since the date of the most recent audited financial statements reviewed by Lessor.
(c) Lessee understands and acknowledges that Lessor has not acted and will not act as a fiduciary for Lessee or as Lessee's
agent or municipal advisor; Lessor has not and will not provide financial, legal, tax, accounting or other advice to Lessee or to any
financial advisor or placement agent engaged by Lessee with respect to this Schedule. Lessee, its financial advisor, placement
agent or municipal advisor, ifany, shall each seek and obtain its own financial, legal, tax, accounting and other advice with respect
to this Schedule from its own advisors (including as it relates to structure, timing, terms and similar matters).
5. Certification as to Arbitrage and Tax Covenants. Lessee hereby represents as follows:
(a) The estimated total costs of the Equipment listed in this Schedule, together with any costs of entering into this Schedule
that are expected to be financed hereunder, will not be less than the total Principal Portion of the Rental Payments listed in this
Schedule.
(b) The Equipment listed in this Schedule has been ordered or is expected to be ordered within six months of the
commensement of this Schedule, and the Equipment is expected to be delivered and installed, and the Vendor fully paid, within
eighteen months from the commencement of this Schedule.
(c) Lessee has not created or established, and does not expect to create or establish, any sinking fund or other similar fund (i)
that is reasonably expected to be used to pay the Rental Payments listed in this Schedule, or (ii) that may be used solely to prevent
a default in the payment of the Rental Payments listed in this Schedule.
(d) The Equipment listed in this Schedule has not been and is not expected to be sold or otherwise disposed of by Lessee,
either in whole or in major part, prior to the last maturity of the Rental Payments listed in this Schedule.
(e) To the best ofour knowledge, information and belief, the above expectations are reasonable.
(f) Lessee has not been notified of any listing or proposed listing of it by the Internal Revenue Service as an issuer whose
arbitrage certificates may not be relied upon.
(g) Lessee will comply with all applicable provisions of the Internal Revenue Code of 1986, as amended, including without
limitation Sections 103, 141 and 148 thereof, and the applicable regulations of the Treasury Department to maintain the exclusion
of the interest components of Rental Payments from gross income for purposes of federal income taxation.
6. The Agreement. This Schedule is hereby made as part of the Agreement, and Lessor and Lessee hereby ratifu and
confirm the Agreement. The terms and provisions of the Agreement (other than to the extent that they relate solely to other
Schedules or listed on other Schedules are reference and made a hereof.
The "Agreement": Schedule of EquipmentNo. 008-0742593-300 dated May 17,2018 (the "Schedule"), to Master Equipment
Lease Purchase Agreement No.742593L dated as of May 17,2018
3'Lesseett
City of Kent, Washington, 220 Fourth Ave. S, Kent, WA 98032
ttLessort'
TCF Equipment Finance, a division of TCF National Bank, llll West San Marnan Dr, Suite A2 West, Waterloo, IA 50701-
8926
s.l&
F
4(J
a
rllr!aar!
'J
Signature
Print Name and Title:-
Rw'
City of Kent. Washineton
Name of Lessee rr.l&
F
4
U)
&oaar!J
TCF Equipment Finance. a division of TCF National Bank
Name of Lessor
By:
Signature
Print Name and
Mui Lease Mdter_Schedule v.09.21.2017 3538'17 5117120187:06 AM
6.a
Packet Pg. 24
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Itcf
e.quipment
tlnance
ATTACHMENT1 TO
SCHEDULE OF EQUTPMENT NO.008-0742593-300 TO
MASTER EQUIPMENT LEASE PURCHASE AGREEMENT NO. 742593L
EQUIPMENTDESCRIPTION
Descrintion/Serial No./Model No.Location Total Cost
(2) Toro Reelmaster 3555-D, (2) Toro
Groundsmaster 4500-D, (l) Toro Multi Pro 1750, (4)
Toro Greensmaster 3320 Triflex with additional
accessories, (l) Toro Reelmaster 3100-D, (l) Toro
Groundsmaster 3500-D, (l) Toro ProPass 200
Wireless, (1) Toro Sand Pro 5040, (l) Toro ProCore
648, (l) Toro Pro Force Debris Blower, (1) True
Surface GCC Frames, (1) True Surface GCC Vacu-
Cutter Inserts, (l) Salsco HP l1 Roller together with
all attachments and accessories thereto
2019 W Meeker St, Kent, WA
98032
$639,447.28
This Equipment Description shall be deemed to be supplemented by the descriptions of the Equipment included in the certificates
ofacceptance and payment requests submitted pursuant to the escrow agreement, ifany, entered into among Lessor, Lessee and
the escrow agent named therein, which descriptions shall be deemed to be incorporated herein.
Lessee: City of Kent, Washington Dana Ralph, MayorBy:
Mui Lease M6ter Schedule v.09.21.2017 353877 5|17120187:06 lnvl
6.a
Packet Pg. 25
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
\tcf
-eguipmenttrnance
ATTACHMENT2TO
SCHEDULE OF EQUIPMENT NO. OO8-0742593-3OO TO
MASTER EQUIPMENT LEASE PURCHASE AGREEMENT NO.742593L
PAYMENTSCHEDULE
Rental payments will be made in accordance with Section 4.01 and this Payment Schedule.
LESSOR: TCF Equipment Finance, a division of TCF National Bank
LESSEE: City of Kent, Washington
COMMENCEMENT DATE*:
INTEREST RATE: 5.05%
PAYMENT FREQUENCY: Monthly
The first Rental Payment shall be due in advance on the Commencement Date, and subsequent Rental Payments shall be due
monthly on the same day of each month thereafter until paid in full.
Payment
Number
Rental
Pavment
Interest
Portion
Principal
Portion
Purchase
Price
I
2
3
4
5
6
7
8
9
10
1l
12
l3
l4
l5
t6
17
18
19
20
21
22
23
24
25
26
27
28
29
30
3l
32
33
34
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
. 0.00
2,627.72
2,577.04
2,526.14
2,475.03
2,423.71
2,372.17
2,320.41
2,268.44
2,216.24
2,163.83
2,111.20
2,058.34
2,005.27
1,951.97
1,898.44
1,844.69
1,790.72
1,736.52
1,682.09
1,627.43
1,572.54
1,517.42
1,462.06
1,406.48
1,350.66
1,294.61
1,238.32
1,181.79
I,125.03
I,068.03
1,010.79
9s3.30
895.58
14,677.93
12,050.21
12,1 00.89
12,151.79
12,202.90
12,254.22
12,305.76
12,357.52
12,409.49
12,461.69
12,514.10
12,566.73
12,619.59
12,672.66
12,725.96
12,779.49
12,833.24
12,887.21
12,941.41
12,995.84
13,050.50
13,105.39
13,160.51
13,215.87
13,271.45
13,327.27
13,383.32
t3,439.61
13,496.14
13,552.90
13,609.90
13,667.14
13,724.63
13,782.35
639,447.28
624,769.35
612,719.14
600,618.25
588,466.46
576,263.56
564,009.34
55 1 ,703.5 8
539,346.06
526,936.57
514,474.88
501,960.78
489,394.05
476,774.46
464, 10 I .80
451,375.84
438,596.35
425,763.11
412,875.90
399,934.49
386,938.65
373,888.1 5
360,782.76
347,622.25
334,406.38
321,134.93
307,807.66
294,424.34
280,984.73
267,488.59
2s3,93s.69
240,325.79
226,658.65
212,934.02
199,151.67
Mwi Lease M6ter Schedule v.09.21.2OI7 3fa17 5ll7/2018 7:06 AM
6.a
Packet Pg. 26
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Grand Totals
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
14,677.93
704,540.64
13,840.32
r 3,898.53
13,956.98
14,015.69
14,074.63
14,133.83
14,193.28
14,252.97
14,312.92
14,373.12
14,433.57
14,494.28
14,555.24
14,616.31
639,447.28
35
36
37
38
39
40
41
42
43
44
45
46
47
48
837.61
779.40
720.9s
662.24
603.30
544.10
484.65
424.96
365.01
304.81
244.36
183.65
122.69
61.62
65,093.36
185,31 I .35
171,412.82
157,455.84
143,440.15
129,365.52
115,231.69
101,03 8.41
86,785.44
72,472.52
58,099.40
43,665.83
29,171.55
14,616.31
0.00
Lessee: City of Kent, Washington By Dana Ralph, Mayor
Lessee hereby authorizes Lessor to fill in the Commencement Date based on the earlier of the date that Lessor disburses
funds to the Vendor of the Equipment following receipt of Lessee's executed acceptance certificate, or the date on which
Lessor deposits funds for the purchase of the Equipment with an escrow agent.
{<
4Mui Lease,M6ter Schedule v.09.21.20I7 353877 5/l7120187:06 lM
6.a
Packet Pg. 27
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
\tcf
-e.quipmenttlnance
LESSEE'S CLOSING CERTIFICATE TO
SCHEDULE OF EQUTPMENT NO.008-0742s93-300 TO
MASTER EQUIPMENT LEASE PURCHASE AGREEMENT NO.742593L
I, the undersigned, the duly appointed, qualified and acting (Clerk or Secretary) of the
above-captioned Lessee, do hereby certifu as of 20 , as follows
(l) Lessee did, at a meeting of the goveming body of Lessee held 20-, by motion duly
made, seconded and carried, in accordance with all requirements oflaw, approve and authorize the execution and delivery of
the above-referenced Agreement and the related escrow agreement, if any, on its behalf by the following named representatives
of Lessee:
Title Printed Name Sisnature
(2) The above-named representatives of Lessee held at the time of such authorization and holds at the present
time the office designated above and the signature set forth opposite his or her name is the true and correct specimen of his or
her genuine signature.
(3) The meeting of the governing body of Lessee at which the Agreement was approved and authorized to be
executed was duly called, regularly convened and attended throughout by the requisite majority of the members thereof or by
other appropriate official approval and that the action approving the Agreement and authorizing the execution thereofhas not
been altered or rescinded.
(4) No event or condition that constitutes, or with the giving of notice or the lapse of time or both would
constitute, an Event of Default (as such term is defined in the Agreement) exists at the date hereof.
(5) All insurance required in accordance with the Agreement is currently maintained by Lessee.
(6) Lessee has, in accordance with the requirements oflaw, fully budgeted and appropriated sufficient funds for
the current fiscal year to make the Rental Payments scheduled to come due during the Original Term and to meet its other
obligations for the Original Term (as such terms are defined in the Agreement), and such funds have not been expended for
other purposes.
(7) There is no proceeding pending or threatened in any court or before any governmental authority or arbitration
board or tribunal that, if adversely determined, would adversely affect the transactions contemplated by the Agreement or the
interest of Lessor or its assigns, as the case may be, in the Equipment.
(8) The Equipment has not been the subject ofa referendum that failed to receive the approval ofthe voters of
Lessee within the preceding four years.
(9) This Agreement is hereby NOT designated as a qualified tax-exempt obligation" as defined in Section
265(bX3XB) ofthe Internal Revenue Code.
( I 0) The Equipment is located at the following address: 20 l9 W Meeker St, Kent, WA 98032
(1 l) The Equipment is located in the following county:
Mmi_Lease,Mdter Schedule v.09.21.2017 353877 5ll7l2Dl8 7:06 AM
The 66Agreement": Schedule of EquipmentNo. 008-0742593-300 dated May 17,2018 (the "schedule"), to Master Equipment
Lease Purchase Agreement No. 7 42593L dated as of May 17 ,2018
ttLesseet'
City of Kent, Washington, 220 Fourth Ave. S, Kent, WA 98032
ttLessor"
TCF Equipment Finance, a division of TCF National Bank, 1111 West San Marnan Dr, Suite A.2 West, Waterloo, IA 50701-
8926
6.a
Packet Pg. 28
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
(12) The correct billing address for Rental Payments is as follows
Street Address:
Phone:
Fax:
Email;
Attention:
(13) The contact information of person responsible for preparing and filing Lessee's Form 8038-G or 8038-GC is
as follows:
Name:
Street Address
Phone;
Fax:
Email:
(14) Lessee's Tax ID number is: 91-6001254.
IN WITNESS WHEREOF, I hereunto set my hand and the seal of the governing body of Lessee the day and year
first above written.
Signature ofClerk or Secretary
Printed Name of Clerk or Secretary
Mmi Lease Mdter Schedule v09.21.2017 353877 5lI7 12018 7106 AM
6.a
Packet Pg. 29
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
\tcf
gguiPment
trnance
LESSEE'S PAYMENT INSTRUCTIONS
AND ACCEPTANCE CERTIF'ICATE TO
SCHEDULE OF EQUIPMENT NO.008-0742593-300 TO
MASTER EQUIPMf,NT LEASE PURCHASE AGREEMENT NO.742593L
Ladies and Gentlemen:
In accordance with the Agreement, the undersigned Lessee hereby certifies and represents to, and agrees with, Lessor as
follows:
(l) Lessee has reviewed and approved the invoice(s) referenced in the table below. Pursuant to the
Agreement, Lessee hereby irrevocably authorizes and requests Lessor to make payment ofthe invoice(s) to the vendor(s),
licensor(s) or designee(s) of licensor(s) of the Equipment. Lessee agrees that all terms and conditions of the Lease are in full
force and effect and Lessee shall make all payments when and as required thereby.
Turf Star Inc/Western Equipment Distributor (T)Toro Turf Package $639,447.28
(2) All of the Equipment has been, or if this Lease includes an escrow agreement, all of the Equipment will
be, delivered, installed and accepted, and is located at the following address: 2019W Meeker St, Kent, WA 98032.
(3) Lessee has conducted such inspection and/or testing of the Equipment as it deems necessary and
appropriate and hereby acknowledges that it accepts the Equipment for all purposes, except that ifthis Lease includes an
escrow agreement, Lessee will conduct such inspection and/or testing of the Equipment prior to authorizing disbursement
from the escrow fund for such Equipment.
(4) Lessee is currently maintaining, or ifthis Lease includes an escrow agreement, prior to Lessee's receipt of
any Equipment, Lessee will maintain, the insurance coverage required by Section 7.02 of the Agreement.
(5) No event or condition that constitutes, or with notice or lapse of time, or both, would constitute, an Event
of Default (as defined in the Agreement) exists at the date hereof.
(6) We acknowledge that Lessor is neither the vendor nor manufacturer or distributor of the Equipment and
has no control, knowledge or familiarity with the condition, capacity, functioning or other characteristics of the Equipment.
(7) The serial number for each item of Equipment that is set forth in the applicable Schedule is conect.
DATED:
Lessee: City of Kent, Washington
The '(Agreement": Schedule of Equipment No. 008-0742593-300 dated May 17, 2018 (the "Schedule"), to Master Equipment
Lease Purchase Agreement No. 742593L dated as of May 17,2018
ttLessee"
City of Kent, Washington,220 Fourth Ave. S, Kent, WA 98032
toLessortt
TCF Equipment Finance, a division of TCF National Bank, llll West San Maman Dr, Suite A,2 West, Waterloo, IA 50701-
8926
Invoice N Amount
Total .28
Mui Lease Mdtedchedule v.09.21.2017 3 53A77 5ll7l20l8 7:06 AM
By:Dana Ralph, Mayor
6.a
Packet Pg. 30
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Itcf
gQuiPment
lrnance
ESSENTIAL USE CERTIFICATE TO
SCHEDULE OF EQUTPMENT NO.008-0742s93-300 TO
MASTER EQUIPMENT LEASE PURCHASE AGREEMENT NO. 742593L
N{ay 17,2018
|',adulyelected,appointed,ordesignatedrepresentativeofCityofKent,Washington
("Lessee'o), am qualified to answer the questions set forth below regarding the Equipment to be acquired by Lessee in connection
with the above-referenced Agreement:
I . Ilhat is the specific use of the Equipment?
2. What increased capabilities will the Equipment provide?
3. Why is the Equipment essential to your ability to deliver governmental services?
4. Does the Equipment replace existing equipment?
(If so, please explain why you are replacing the existing equipment)
5. Why didyou choose this speciJic Equipment?
6. For how mqny years do you qcpect to utilize the Equipment?
7. What revenue source will be utilized to male Rental Payments due under the Agreement?
Lessee: City of Kent, Washington
The "Agreement": Schedule of EquipmentNo. 008-0742593-300 dated MLay 17,2018 (the "Schedule"), to Master Equipment
Lease Purchase Agreement No . 7 42593L dated as of May 17 , 2018
ttLesseett
City of Kent, Washington,220 Fourth Ave. S, Kent, WA 98032
ttLessortt
TCF Equipment Finance, a division of TCF National Bank, 1 I I I West San Marnan Dr, Suite A.2 West, Waterloo, IA 50701 -
8926
Mwi_Lease_M6ter_Schedule v.09.21.20I7 353871 5llT2Ol8 7:06 AM
Dana Ralph, Mayor
6.a
Packet Pg. 31
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
\tcf
g.quipment
trnance
INSURANCE COVERAGE DISCLOSURE TO
SCHEDULE OF f,QUTPMENT NO. 008-0742s93-300
TO MASTER EQUTPMENT LEASE PURCHASE AGREEMENT NO.742593L
RE: INSURANCECOVERAGEREQUIREMENTS
In accordance with the Master Equipment Lease Purchase Agreement, Lessee certifies that it has instructed the
insurance agent named below (please fill in name, address, and telephone number):
to issue: (check to indicate coverage)
_X_a. All Risk Physical Damage Insurance on the Equipment evidenced by a Certificate of Insurance and Long Form Loss
Payable Clause naming TCF Equipment Finance, a division of TCF National Bank and/or its assigns as Loss Payee.
Coverage Required: $639,447.28
_X_ b. Public Liability Insurance evidenced by a Certificate of Insurance naming TCF Equipment Finance, a division of
TCF National Bank and/or its assigns as an Additional Insured.
Minimum Coverage Required
$1,000,000
$1,000,000
$ 1,000,000
per person
aggregate bodily injury liability
property damage liability.
By Dana Ralph, Mayor
Proof of insurance coverage will be provided to TCF Equipment Finance, a division of TCF National Bank, 1l1l West San
Marnan Dr, Suite ,{2 West, Waterloo, IA 50701-8926, prior to the time that the Equipment is delivered to Lessee. Please fax a
copy of the Certificate of Insurance or binder to Marisa Meyers at (866) 465-3149.
Lessee: City of Kent, Washington
Insurance
Company
Liability:
Agent Name:Business Phone #
Fax Phone #
Insurance
Company
Property:
Agent Name:Business Phone #
Fax Phone #
Mui_Lese_Master,Schedule v.09.21.201? 35387'1 5ll7 12018 7:06 Nvl
6.a
Packet Pg. 32
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
OPINION OF COUNSEL
(To be on Attorney's Letterhead)
Date:
Lessee:
May 17,2018
City of Kent, Washington
220 Fourth Ave. S
Kent, WA 98032
Lessor:TCF Equipment Finance, a division of TCF National Bank
1 I l1 West San Maman Dr, Suite A2 West
Waterloo, IA 507 0l -8926
Re: Schedule of Equipment No. 008-0742593-300 to Master Equipment Lease Purchase Agreement No.
742593L, dated as of May 17,2018, by and between City of Kent, Washington and TCF Equipment Finance, a
division of TCF National Bank.
Ladies and Gentlemen:
I have acted as counsel to Lessee with respect to the Schedule of EquipmentNo. 008-0742593-300 to Master
Equipment Lease-Purchase Agreement described above and the related escrow agreement, ifany, and all
attachments, exhibits and schedules thereto (together, the "Lease") and various related matters, and in this capacity
have reviewed a duplicate original or certified copy ofthe Lease. Based upon the examination ofthese and such
other documents as I deem relevant, it is my opinion that:
1. Lessee is a public corporation and political subdivision of the State of Washington (the "State") within the
meaning ofSection 103 ofthe Internal Revenue Code of 1986, as amended, is duly organized, existing and
operating under the Constitution and laws of the State, and has a substantial amount of the following soverign
powers: (a) the power to tax, (b) the power of eminent domain, and (c) police power. The full, true and correct legal
name of Lessee is
2. Lessee is authorized and has power under State law to enter into the Lease and lease the equipment with an
option to purchase, and to carry out its obligations thereunder and the transactions contemplated thereby. No further
approval, consent or withholding of objection is required from any Federal, State or local govemmental authority
with respect to the entering into or performance by the Lessee of the Lease and the transaction contemplated
thereby.
3. The Lease and the other documents described above have been duly authorized, approved, executed and
delivered by and on behalfofLessee, and the Lease is a valid and binding contract ofLessee enforceable in
accordance with its terms, except to the extent limited by State and Federal laws affecting remedies and by
bankruptcy, reorganization or other laws ofgeneral application relating to or affecting the enforcement ofcreditors'
rights.
4. Lessee has no authority (statutory or otherwise) to terminate the Lease prior to the end of its term for any reason
other than pursuant to the terms ofSection 3.03(a) and (b) ofthe Lease.
5. The authorization, approval and execution ofthe Lease and all other proceedings ofLessee relating to the
transactions contemplated thereby have been performed in accordance with all open meeting laws, public bidding
laws and all other applicable State and Federal laws.
6. The execution of the Lease and the appropriation of moneys to pay the payments coming due under the Lease
do not result in the violation of any constitutional, statutory or other limitation relating to the manner, form or
amount of indebtedness which may be incuned by Lessee.
Mui_Lease_Mster_OpinionofCousel v.04.20.2016 353877 5l17l20l8 6:55 AM
6.a
Packet Pg. 33
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
7. There is no litigation, action, suit, or proceeding pending or before any court, administrative agency, arbitrator or
governmental body that challenges the organization or existence ofLessee; the authority ofthe Lessee or its officers;
the proper authorization, approval and execution ofthe Lease and the other documents described above; the
appropriation of monies to make Rental Payments under the Lease for the current fiscal year, or the ability of Lessee
otherwise to perform its obligations under the Lease and the transactions contemplated thereby.
8. The equipment leased pursuant to the Lease constitutes personal property and when subject to use by Lessee will
not be or become fixtures under applicable law.
9. The leasing of the equipment pursuant to the Lease is exempt from all sales, use and documentary stamp taxes
against either Lessor or Lessee during the term of the Lease, and such equipment will be exempt from all state and
local personal property or other ad valorem taxes.
This opinion of counsel may be relied upon by TCF Equipment Finance, a division of TCF National Bank and its
successors and assigns.
Very truly yours,
Mui_Lease Mcter _OpinionOfCousel v.04.20.2016 353877 5/172018 6:55 AM
6.a
Packet Pg. 34
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
RESOLUTION
MASTER EQUIPMENT LEASE PURCHASE AGREEMENT NO. 742593L
AND SCHEDULE NO. OO8-0742593-3OO THERETO
A resolution authorizing the negotiation, execution, and delivery of Master Equipment Lease Purchase Agreement No. 742593L dated May 17,
2018 andScheduleNo.003-0742593-300thereto,togetherwrththerelatedescrowagreement,ifany(the"Lease"),inprincipalamountnotto
exceed $639,447.28, between City of Kent, Wrshington, 220 Fourth Ave. S, Kent, WA 98032 and TCF Equipment Finance, a division of
TCF National Banb 1t11 West San Marnan Dr, Suite 42 West, Waterloo, IA 50701-8926; and prescribing other details in connection
therewith.
WHEREAS, City of Kent, Washington, (the "Lessee") is a political subdivision duly organized and existing pursuant to the Constitution and
laws of the State of Washington; and
WHERDAS, Lessee is duly authorized by applicable law to acquire such items of personal property as are needed to carry out its govemmental
functions and to acquire such personal property by entering into lease-purchase agreements; and
WHEREAS, Lessee hereby finds and determines that the execution ofa Lease for the purpose ofleasing with the option to purchase the property
designated and set forth in Schedule No. 008-0742593-300 to the Lease is appropriate and necessary to the function and operations ofthe Lessee;
and
WIIEREAS, TCF Equipment Finance, a division ofTCF National Bank, (the "Lessor") shall act as Lessor under said Lease; and
WHEREAS, the Lease shall not constitute a general obligation indebtedness of the Lessee within the meaning of the Constitution and laws of the
State;
NOW, THEREFORE, BE IT RESOLVED BY THE GOVERNING BODY OF City of Kent, Washington:
Section l. The Lease, in substantially the form as presently before the goveming body ofthe Lessee , is hereby approved, and the
ofthe Lessee, is hereby authorized to negotiate, enter into, execute, and deliver the Lease and related documents in
substantially the form as prssently before the governing body ofthe Lessee, with such changes therein as shall be approved by such officer, and
which l,ease will be available for public inspection at the offices of Lessee.
Section 2. Ths Lessee shall, and the officers, agents and employees ofthe Lessee are hereby authorized and directed to take such further action
and execute such other documents, certificates and instruments as may be necessary or desirable to carry out and comply with the intent ofthis
Resolution, and to carry out, comply with and perform the duties ofthe Irssee with respect to the Lease.
Section3. TheLessee'sobligationsundertheLeaseshallbeexpresslysubjecttoannualappropriationbyLessee;andsuchobligationsunderthe
Lease shall not constitute a general obligation of Lessee or indebtedness ofLessee within the meaning ofthe Constitution and laws ofthe State of
Washington.
Section 4. All other related contracts and agreements necessary and incidental to the Lease are hereby authorized, ratified and approved
Section 5. This resolution shall take effect immediately upon its adoption and approval.
CERTIFIED AS TRUE AND CORRECT this day of 20
Signature of Clerk, Secretary or Assistant Secretary
Printed Name ofClerk, Secretary or Assistant Secretary
Mui Le6e M6ter Resolution_NonBmkQualified v.04.20.2016 353877 5llT20l8 6:55 1\l{
6.a
Packet Pg. 35
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Itcf
e.quipment
tlnance
Date of Invoice:
Application Number:
Contract Number:
Invoice
0slt7l20r8
353877
008-0742593-300
To:City of Kent, Washington
220 Fourth Ave. S
Kent, WA 98032
Advance Payments/Secu rity Deposit
Description
First Payment in Advance
Last Payment in Advance
Contract Payment
$14,677.93
$0.00
Sales/Use Tax
$0.00
$0.00
Other Amount
$14,677.93
$0.00
$0.00$0.00
Sub Total $14,677.93
Other Fees/Charges
Fee Description
Documentation Fee
Amount
$250.00
Other Fees/Charges Sub Total $250.00
Invoice Total Due
Remit Payment with
Completed Documents to:
866-465-3149
OR
TCF Equipment Finance, a division of TCF
National Bank
1111 West San Marnan Dr, Suite 42 West
Waterloo, IA 50701-8926
Invoice Total Due ($1 7.93
lnvoice_Waterloo v.08.01.1235387'l SL 5/1712018 6:55 AM
6.a
Packet Pg. 36
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
Room/suite
11
12
13
14
15
16
17
18
(al Final maturity date (bl lssue price (c) Stated redemption
price at maturity
(d) Weighted
average maturity
$$vears
22
23
25
26
27
28
29
30
Part I
Part ll
Part lll
Part lV
Part V
Form
Department of the
lntemal Revenue Service
8038-G I nformation Retum for Tax-Exempt Governmental Obligations
(Rev. September2011)) Under lnternal Revenue Gode section 1€(e)
) See separate instructions.
Caution: lf the issue price is under $100,000, use Form 8038-GC.
10a Name and title of officer or other employee of the issuer whom the IRS may call for more information (see
instructions)
OMB No. 1545-0720
10b Telephone number of otficer or other
employee shown on 10a
(e) Yield
years
vears
lf Amended check here )
1 lssuer's name 2 lssuer's employer identification number (ElN)
3a Name ol person (other than issuer) with whom the IRS may communicate about this return (see instructions)3b Telephone number of other person shown on 3a
4 Number and sveet (or P.O. box if mail is not delivered to street address)5 Report numbet (For IRS Use OnM
z
6 City, town, or post office, state, and ZIP code 7 Date of issue
8 Name of issue 9 CUS|Pnumber
11
12
13
14
15
16
17
18
19
of lssue the issue . See the instructions and attach schedule.
Education .
Health and hospital
Transportation
Public safety .
Environment (including sewage bonds)
Housing
Utilities
Other. Describe )
lf obligations are TANs or RANs, check only box 19a
lf obligations are BANs, check only box 19b
lf obligations are in the form of a lease or installment sale, check box
of for the entire issue for which this form is filed.
lssue underulriters'
Proceeds used for accrued interest
lssue price of entire issue (enter amount from line 21, column (b))
Proceeds used for bond issuance costs (including underwriters' discount) .
Proceeds used for credit enhancement
Proceeds allocated to reasonably required reserve or replacement fund
Proceeds used to currently refund prior issues
Proceeds used to advance refund prior issues
Total (add lines 24 through 28) .
Nonrefunding proceeds of the issue line 29 from line 23 and enter amount
ol Refunded Bonds. Com lete this on for refund bonds.
Enter the remaining weighted average maturity of the bonds to be currently refunded
Enter the remaining weighted average maturity of the bonds to be advance refunded
Enter the last date on which the refunded bonds will be called (MM/DD/YYYY) .
Enter the date(s) the refunded bonds were issued ) (MM/DD/yyyy)
21
22
23
24
25
26
27
28
2S
30
20
31
32
gt
u
24
For Paperwork Reduction Act Notice, see separate instructions.Cat. No.63773S rorm 8038-G (Rev.9-2011)
6.a
Packet Pg. 37
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
35
36a
s7
Part Vl
Form 8038-G (Rev. 9-2011)Page2
35 Enter the amount of the state volume cap allocated to the issue under section 141 (bX5) .
36a Enter the amount of gross proceeds invested or to be invested in a guaranteed investment contract
(GlC) (see instructions)
b Enter the final maturity date of the GIC )
c Enter the name of the GIC provider )
37 Pooled financings: Enter the amount of the proceeds of this issue that are to be used to make loans
to other governmental units .
38a lf this issue is a loan made from the proceeds of another tax-exempt issue, check box ) n and enter the following information
Enter the date of the master pool obligation )
Enter the EIN of the issuer of the master pool obligation )
Enter the name of the issuer of the master pool obligation )
lf the issuer has designated the issue under section 265(bX3XBXD(|ll) (small issuer exception), check box
lf the issuer has elected to pay a penalty in lieu of arbitrage rebate, check box
lf the issuer has identified a hedge, check here ) n and enter the following information:
Name of hedge provider )
Type of hedge )
Term of hedge )
42 lf the issuer has superintegrated the hedge, check box . >
43 lf the issuer has established written procedures to ensure that all nonqualified bonds of this issue are remediated
according to the requirements under the Code and Regulations (see instructions), check box >
4 lf the issuer has established written procedures to monitor the requirements of section 148, check box . >
45a lf some portion of the proceeds was used to reimburse expenditures, check here ) n and enter the amount
of reimbursement . >
b Enter the date the official intent was adopted )
b
c
d
39
40
41a
b
G
d
Signature
and
Gonsent
Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge
and belief, they are true, correct, and complete. I further declare that I consent to the IRS'S disclosure of the issuer's return information, as necessary to
process this return, to the person that I have authorized above.
PrinvType preparer's name Preparer's signature Date check ! if
self-employed
Firm's name >
Firm's address )
Signature of issuer's authorized representative Date or name and title
Firm's EIN >
PTIN
rorm 8038-G (Rev. e-201 1)
Paid
Preparer
Use Only
6.a
Packet Pg. 38
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
6.a
Packet Pg. 39
At
t
a
c
h
m
e
n
t
:
R
i
v
e
r
b
e
n
d
M
a
s
t
e
r
E
q
u
i
p
m
e
n
t
L
e
a
s
e
P
u
r
c
h
a
s
e
A
g
r
e
e
m
e
n
t
N
u
m
b
e
r
7
4
2
5
9
3
L
(
2
)
(
1
2
4
9
:
E
q
u
i
p
m
e
n
t
P
u
r
c
h
a
s
e
R
i
v
e
r
b
e
n
d
G
o
l
f
OFFICE OF THE MAYOR
Derek Matheson, Chief Administrative Officer
220 Fourth Avenue South
Kent, WA 98032
253-856-5710
DATE: June 5, 2018
TO: Operations Committee
SUBJECT: Strategic Framework resolution
MOTION: Recommend Council adopt a resolution amending the City’s
vision, mission, goals and values, and adopting a strategic framework.
SUMMARY: On October 18, 2016, the city council passed Resolution No. 1936
which set forth a Strategic Plan for the City.
Recently, the mayor and city council reviewed the City’s vision, mission, goals and
values to ensure they align with those of the current administration and council.
After consulting with department directors, the mayor and council president
proposed changes to the City’s vision, mission, goals and values, and reframed
these into a Strategic Framework that will guide future activities of the City.
The purpose of this resolution is to set forth the City’s Strategic Framework to
provide direction and guidance to the City’s elected officials and city employees as
they prioritize, schedule, and complete their work for the City.
BUDGET IMPACT: None
SUPPORTS STRATEGIC PLAN GOAL:
Innovation Government, Authentic Connectivity and Communication, Thriving
Neighborhoods and Urban Centers, Sustainable Funding, Inclusive Community
ATTACHMENTS:
1. Strategic Framework Resolution (DOCX)
7
Packet Pg. 40
1 Resolution –
Strategic Framework
RESOLUTION NO. ___________
A RESOLUTION of the city council of the
City of Kent, Washington, amending the City’s
vision, mission, goals and values, and adopting a
Strategic Framework.
RECITALS
A. On October 18, 2016, the city council passed Resolution No.
1936 which set forth a Strategic Plan for the City.
B. Recently, the mayor and city council reviewed the City’s
vision, mission, goals and values to ensure they align with those of the
current administration and council. After consulting with department
directors, the mayor and council president proposed changes to the City’s
vision, mission, goals and values, and reframed these into a Strategic
Framework that will guide future activities of the City.
C. The purpose of this resolution is to set forth the City’s
Strategic Framework to provide direction and guidance to the City’s elected
officials and city employees as they prioritize, schedule, and complete their
work for the City.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, DOES HEREBY RESOLVE AS FOLLOWS:
7.a
Packet Pg. 41
At
t
a
c
h
m
e
n
t
:
S
t
r
a
t
e
g
i
c
F
r
a
m
e
w
o
r
k
R
e
s
o
l
u
t
i
o
n
(
1
2
5
1
:
S
t
r
a
t
e
g
i
c
F
r
a
m
e
w
o
r
k
R
e
s
o
l
u
t
i
o
n
)
2 Resolution –
Strategic Framework
RESOLUTION
SECTION 1. – Recitals Incorporated. The foregoing recitals are
incorporated into the body of this resolution and will act as the findings of
the Kent City Council on this matter.
SECTION 2. – Strategic Framework. The Kent City Council adopts
the following Strategic Framework setting forth the City’s vision, mission,
goals and values in order to provide direction and guidance to the City’s
elected officials and city employees as they prioritize, schedule, and
complete their work for the City.
Vision
Where people choose to live and businesses change the world.
Mission
The City of Kent is committed to building a safe, thriving,
sustainable, and inclusive community.
Goals
Thriving City: Creating safe neighborhoods, healthy people,
vibrant commercial districts, and inviting parks and
recreation.
Evolving Infrastructure: Connecting people and places
through strategic investments in physical and technological
infrastructure.
Inclusive Community: Embracing our diversity and
advancing equity through genuine community engagement.
Innovative Government: Delivering outstanding customer
service, developing leaders, and fostering innovation.
7.a
Packet Pg. 42
At
t
a
c
h
m
e
n
t
:
S
t
r
a
t
e
g
i
c
F
r
a
m
e
w
o
r
k
R
e
s
o
l
u
t
i
o
n
(
1
2
5
1
:
S
t
r
a
t
e
g
i
c
F
r
a
m
e
w
o
r
k
R
e
s
o
l
u
t
i
o
n
)
3 Resolution –
Strategic Framework
Sustainable Services: Providing quality services through
responsible financial management, economic growth, and
partnerships.
Values
Integrity: Do the Right Thing.
Caring: Care for Those We Serve.
Communication: Connect to Understand.
Teamwork: Work Together.
Innovation: Find a Way.
Achievement: Be the Difference.
SECTION 3. – Corrections by City Clerk. Upon approval of the city
attorney, the city clerk is authorized to make necessary corrections to this
resolution, including but not limited to the correction of clerical errors, and
resolution, section, or subsection numbering.
SECTION 4. – Effective Date. This resolution shall take effect and
be in force immediately upon its passage.
PASSED at a regular open public meeting by the City Council of the
City of Kent, Washington, this day of , 2018.
CONCURRED in by the Mayor of the City of Kent this _____ day of
__________, 2018.
DANA RALPH, MAYOR
7.a
Packet Pg. 43
At
t
a
c
h
m
e
n
t
:
S
t
r
a
t
e
g
i
c
F
r
a
m
e
w
o
r
k
R
e
s
o
l
u
t
i
o
n
(
1
2
5
1
:
S
t
r
a
t
e
g
i
c
F
r
a
m
e
w
o
r
k
R
e
s
o
l
u
t
i
o
n
)
4 Resolution –
Strategic Framework
ATTEST:
KIMBERLEY A. KOMOTO, CITY CLERK
APPROVED AS TO FORM:
ARTHUR “PAT” FITZPATRICK, CITY ATTORNEY
7.a
Packet Pg. 44
At
t
a
c
h
m
e
n
t
:
S
t
r
a
t
e
g
i
c
F
r
a
m
e
w
o
r
k
R
e
s
o
l
u
t
i
o
n
(
1
2
5
1
:
S
t
r
a
t
e
g
i
c
F
r
a
m
e
w
o
r
k
R
e
s
o
l
u
t
i
o
n
)
FINANCE DEPARTMENT
Aaron BeMiller, Finance Director
220 Fourth Avenue South
Kent, WA 98032
253-856-5264
DATE: June 5, 2018
TO: Operations Committee
SUBJECT: Utility Ordinance Update
MOTION: Recommend Council adopt an ordinance amending Chapter 7.01
of the Kent City Code, to update the Lifeline program application
requirements, add an appeal process for perceived billing errors, and to
remove the two-tiered shut-off fee.
SUMMARY: The current Utility Service Billing ordinance for the City of Kent needs
to be updated to allow some desired changes to our business processes.
In addition to minor housekeeping changes, the adjustments to the ordinance
Finance is proposing address following items:
Removal of the notary requirement for Lifeline applications to streamline the
process for applicants and City staff, and to simplify our ability to perform a
yearly renewal process;
Allowing low-income residents that care for their child that is totally and
permanently disabled to apply for Lifeline rates;
Providing residents an opportunity to appeal perceived billing errors prior to
water service interruption; and
Removing the two-tiered shut-off fee and replace it with a single fee.
BUDGET IMPACT: The proposed changes to the Utility Service Billing ordinance
will have a minimal impact on revenues. There is a replacement of a two-tiered turn
off fee with a single fee structure that will result in a slight increase in revenues.
The proposed adjustments to this ordinance will allow for Finance to identify
individuals who no longer qualify for Lifeline by simplifying our ability to perform
annual account audits. It is difficult to estimate the impact of this audit due to the
unknown number of applicants that no longer qualify for reduced rates, but the
impact is not expected to be material.
SUPPORTS STRATEGIC PLAN GOAL:
Innovation Government, Inclusive Community
ATTACHMENTS:
8
Packet Pg. 45
1. KCC 7.01 Utility Ordinance Update 4.12.18 (DOCX)
8
Packet Pg. 46
1 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
ORDINANCE NO.
AN ORDINANCE of the City Council of the
City of Kent, Washington, replacing Chapter 7.01 of
the Kent City Code concerning the billing and
collection for utility services, adding an
administrative appeal process, and refining the
application and approval process for rate
reductions under the lifeline program for low-
income citizens who are also seniors or disabled.
RECITALS
A. Utilities are collected by the City’s Finance Department in
accordance with Chapter 7.01 of the Kent City Code.
B. The lifeline program offers utility rate reductions for those
low-income citizens who are also either senior citizens or totally and
permanently disabled. The Finance Department has recommended that
amendments be made to refine the application process by making it more
consistent with surrounding jurisdictions and streamlining the process for
applicants and City staff.
C. The Law Department has also recommended codifying an
informal appeal process through which customers may challenge perceived
billing errors prior to water service being shut-off due to non-payment.
Notification of this appeal process will be expressly provided at the time
notice of the water shut-off date is provided.
8.a
Packet Pg. 47
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
2 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
D. The ordinance also makes other housekeeping amendments
for clarity.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS:
ORDINANCE
SECTION 1. – Amendment – Ch. 7.01 KCC. Chapter 7.01 of the
Kent City Code, entitled “Utility Service Billing”, is hereby repealed and
replaced with the following:
CHAPTER 7.01
UTILITY SERVICE BILLING
Sec. 7.01.010. Administration of utility billing. The customer
service manager of the city’s finance department shall be responsible for
the billing of utility services and the administration and enforcement of
utility accounts.
Sec. 7.01.020. Utility service applications. All requests for
utility service on established accounts shall be made to the customer
service division of the finance department. The request shall be made by
the owner or authorized agent of the property where service is requested.
For new utility service, the application shall be made to the public works
department for approval and then to the customer service division of the
finance department. Whenever an application for utility service is made by
an agent, the agent shall submit written authority from the property owner
authorizing such agent to receive the utility service requested. An
acknowledgment that the owner remains legally liable for all service shall
be included in this written authority.
Sec. 7.01.030. Utility accounts. All accounts for utility service
shall be kept in the name of the property owner. As provided in RCW
8.a
Packet Pg. 48
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
3 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
35.21.217, a property owner or their designee may request that the
account be billed to tenant or property manager, and may also request
that the owner receive a duplicate bill or any notice of a residential
tenant’s delinquency. If the city provides a property owner or the owner's
designee with duplicates of residential tenant utility service bills or notice
that a tenant's utility account is delinquent, the city shall notify the tenant
that such duplicates have been provided to the owner. However, the
owner remains liable for payment of all utility service as provided by law.
Sec. 7.01.040. Payments received. All money for the payment
of utility bills shall be received by the finance customer service manager or
designee.
Sec. 7.01.050. Utility bills – due date – collection.
A. Due date. All utility bills are due and payable in the office of the
finance customer service manager within 15 days after the billing date
appearing on the bill. Bills not paid within 21 days of the billing date shall
be considered delinquent. If the 21st day falls on a legal holiday, Saturday,
or Sunday, the first business day thereafter shall be considered the 21st
day.
B. Delinquency—water or sewerage service.
1. Initial delinquency notice. The city will provide written notice
of initial delinquency in the customer’s subsequent monthly utility bill.
2. Shut-off notice. When a charge for water service, or
sewerage service in accordance with KCC 7.01.050(C), is delinquent and
has been provided an initial delinquency notice, water service shall be
subject to shut-off upon 7 calendar days’ notice to the customer. The city
will provide written notice of pending shut-off to the customer by mail,
door hanger, or other form, and a delinquent notice fee in the amount of
$10 will be assessed against the account. The notice shall advise the
8.a
Packet Pg. 49
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
4 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
customer of possible shutoff of utility service and the assessment of late
payment or related fees added to the utility account if it remains
delinquent. A fee schedule is on file with the customer service division of
the finance department.
3. Multifamily rental units. As provided in RCW 35.21.217, if an
occupied multiple residential rental unit receives utility service through a
single utility account, if the utility account's billing address is not the same
as the service address of a residential rental property, or if the city has
been notified that a tenant resides at the service address, the city shall
make a good faith and reasonable effort to provide written notice to the
service address of pending shut-off for nonpayment at least seven
calendar days prior to disconnection.
4. Procedure. Water shut-off shall occur in accordance with this
section and any regulations the finance customer service manager may
promulgate consistent with this chapter. The following provisions apply to
any shut-off of water service and shall be included in any shut-off notice:
a. The total payment due on the account to avoid shut-off
of water service.
b. A shut-off charge of $45 will be assessed against all
delinquent accounts appearing on the city’s final shut-off report.
c. Water service may not be restored until full payment of
the delinquent account is received, including the shut-off fee.
d. A utility customer or property owner may appeal any
charges included in a utility bill to the finance customer service manager.
If an appeal to a water or sewerage bill is received by the customer service
manager prior to the water shut-off date identified in the notice, water
service will not be turned off during the appeal process. An appeal must
be made in writing, must set forth the reasons why the bill is incorrect or
otherwise not properly due and owing, and must be delivered to the
customer service division of the finance department. The customer service
manager should provide written notice of his or her decision on the appeal
8.a
Packet Pg. 50
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
5 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
within 10 business days of the manager’s receipt of the appeal. That
decision is final, and no additional appeal is available. If still applicable,
that decision will identify the date on which water service will be shut-off if
the account is not brought current in a manner consistent with the
decision.
5. Notice to property owner. Whenever water service is in the
name of a tenant or property manager, and is subject to shutoff for
delinquency, the finance customer service division will attempt to provide a
duplicate delinquency notice to the owner of record shown on the account.
Although a duplicate delinquent notice may be sent in accordance with this
subsection, the $10 delinquent notice charge will not be assessed against
the account a second time.
C. Sewerage — Delinquency.
1. System of sewerage. Pursuant to RCW 35.67.331 and KCC
7.06.010, the city’s sanitary sewage collection and disposal system
(sewage) and the storm and surface water utility (drainage), are combined
as a “system of sewerage” as that term is defined in RCW 35.67.010. In
addition to the provisions of this chapter, delinquent and unpaid rates and
charges for sewage and drainage service shall be subject to Chapter 35.67
RCW and subsection (C)(2) of this section.
2. Delinquent sewer service rates and charges—Lien and
interest.
a. When a charge for sewerage service is delinquent, the
city shall have a lien for delinquent and unpaid charges, plus penalties,
which lien shall be made in accordance with RCW 35.67.210. Liens for
sewerage service shall be effective for a period not to exceed 12 months of
delinquent charges without the necessity of any writing or recording. In
order to make such a lien effective for more than 12 months, the finance
customer service manager shall file for recording in the office of the King
County Recorder a notice setting forth the amount of the delinquency, the
8.a
Packet Pg. 51
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
6 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
name of the owner or reputed owner who owes the bill and the description
of the lot, tract or parcel to which such lien shall attach. For each lien
recorded or released, the city shall assess against the sewerage account a
fee in accordance with the fee schedule on file with the customer service
division as payment of the city’s costs incurred in preparing and recording
each lien or lien release. This fee is in addition to the actual fees charged
to the city by King County to record or release a lien, which fees will also
be assessed against the account. This lien may be foreclosed in an action
filed in superior court pursuant to RCW 35.67.220.
b. Interest may be added to any delinquent and unpaid
charge for sewer service in the maximum amount allowed by RCW
35.67.200.
3. Alternate collection procedure for delinquent sewerage
service—Water shut-off. As an additional method of collecting the
delinquent charges and concurrent method of enforcing the lien authorized
by RCW 35.67.200, and in accordance with the provisions of KCC
7.01.050, the city may shut-off water service to the premises to which
such sewerage service was furnished until the charges are paid and the
delinquent account is brought current. The right to enforce the lien by
cutting off and refusing water service shall be exercised in accordance with
Chapter 35.67 RCW.
Sec. 7.01.060. Remedies cumulative. The remedies set forth in
KCC 7.01.050 are not meant to be exclusive and the city may use any
alternate method of collecting delinquent charges that is available under
common law or the laws of the state.
Sec. 7.01.070. Lifeline utility rate. A utility rate reduction is
available to low-income citizens who are 62 years of age or older, are
unable to work due to a total and permanent disability, or provide care to
their child that has a total and permanent disability.
8.a
Packet Pg. 52
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
7 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
A. Definitions.
1. For purposes of this section, “low-income” means a household
of one (1) or more individuals, the adjusted gross personal income for
which all individuals living in the household does not exceed the income
limits set annually by the federal Department of Housing and Urban
Development (“HUD”) for housing assistance in Kent.
2. For purposes of this section, “disabled” means a person who
has been determined to be permanently and totally disabled as defined by
the Social Security Administration and who receives social security benefits
or any other benefits for that disability from any governmental source.
B. Limitations. The following limitations apply to the lifeline utility rate
program:
1. The rate reduction shall only apply to utility charges for
service to residences served by a separate city meter. The residence for
which the rate reduction is requested must be the applicant’s principal
place of residence.
2. The utility account must be in the name of the applicant, the
applicant’s spouse, or the applicant’s landlord. Where the utility account is
in the name of the applicant’s landlord, the applicant may be required to
provide proof of tenancy at the property.
3. No person may claim a rate reduction for more than one
dwelling unit during the same billing period.
4. Only one rate reduction per utility will be given for each
property.
C. Application process. To qualify for the lifeline rate reduction,
persons eligible under this section must file an application with the
customer service division of the city’s finance department. Applications
may be made on behalf of a senior citizen by a family member or an
authorized representative, and applications based on a permanent and
8.a
Packet Pg. 53
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
8 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
total disability may be made on behalf of a child by a parent, legal
guardian, or other authorized representative. The customer service
manager may require applications and accompanying documentation to be
submitted annually.
D. Processing and approval. Determination of eligibility shall be made
by the city’s customer service manager, or his or her designee, based upon
the information given in the eligible customer’s application. The customer
service manager may determine acceptable forms of proof of tenancy,
income, or disability, and such forms may include, but are not limited to,
tax documents and social security documents. If timely received, and upon
approval of the application, the applicant’s household will receive the
reduced utility rate for water and sewerage utilities beginning the first day
of the month following approval.
SECTION 2. – Severability. If any one or more section, subsection,
or sentence of this ordinance is held to be unconstitutional or invalid, such
decision shall not affect the validity of the remaining portion of this
ordinance and the same shall remain in full force and effect.
SECTION 3. – Savings. The existing Chapter 7.01 of the Kent City
Code, which is repealed and replaced by this ordinance, shall remain in full
force and effect until the effective date of this ordinance.
SECTION 4. – Corrections by City Clerk or Code Reviser. Upon
approval of the city attorney, the city clerk and the code reviser are
authorized to make necessary corrections to this ordinance, including the
correction of clerical errors; ordinance, section, or subsection numbering;
or references to other local, state, or federal laws, codes, rules, or
regulations.
8.a
Packet Pg. 54
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
9 Replace Chapter 7.01 KCC –Collection of
Delinquent Utilities & Lifeline Utility Rate
SECTION 5. – Effective Date. This ordinance shall take effect and
be in force thirty days from and after its passage, as provided by law.
DANA RALPH, MAYOR Date Approved
ATTEST:
KIMBERLY A. KOMOTO, CITY CLERK Date Adopted
Date Published
APPROVED AS TO FORM:
ARTHUR “PAT” FITZPATRICK, CITY ATTORNEY
8.a
Packet Pg. 55
At
t
a
c
h
m
e
n
t
:
K
C
C
7
.
0
1
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
4
.
1
2
.
1
8
(
1
2
5
2
:
U
t
i
l
i
t
y
O
r
d
i
n
a
n
c
e
U
p
d
a
t
e
)
FINANCE DEPARTMENT
Aaron BeMiller, Finance Director
220 Fourth Avenue South
Kent, WA 98032
253-856-5264
DATE: June 5, 2018
TO: Operations Committee
SUBJECT: Solid Waste Definitions
MOTION: Recommend Council adopt an ordinance amending Chapter 3.18
of the Kent City Code to add definitions of “solid waste” and “solid waste
collection services.”
SUMMARY: This proposed ordinance seeks to clarify the services that are subject
to the solid waste utility tax authorized in Kent City Code, Chapter 3.18 by adding
definitions for “solid waste” and “solid waste collection services.”
The lack of such definitions has led to confusion and inconsistent payment of utility
taxes on solid waste collection services, including commercial recycling services.
Amending the code to include these definitions will eliminate any confusion as to
which solid waste services are subject to the utility tax and ensuring proper
remittance on all collection services
BUDGET IMPACT: None
SUPPORTS STRATEGIC PLAN GOAL:
Sustainable Funding
ATTACHMENTS:
1. 3.18.010 Utility Tax-Definitions Final 5.21.18 (DOCX)
9
Packet Pg. 56
1 Amend KCC 3.18.020 -
Re: Utility Tax - Definitions
ORDINANCE NO.
AN ORDINANCE of the City Council of the
City of Kent, Washington, amending Chapter 3.18
of the Kent City Code to clarify provisions relating
to solid waste collection services.
RECITALS
A. The City had levied a utility tax on “garbage service” until
2003, when it amended the code to include a broader set of collection
services under the term “solid waste collection services.”
B. Although the City has changed its terminology from “garbage
service” to “solid waste collection services,” it has not provided a definition
of “solid waste” or “solid waste collection services” in Chapter 3.18. The
City has instead relied on its definition of “solid waste” from a separate
chapter of the Kent City Code, Chapter 7.03.
C. The lack of such definitions in Chapter 3.18 has led to
confusion and the inconsistent payment of utility taxes on solid waste
collection services, including commercial recycling services.
D. This amendment to Chapter 3.18 is meant to clarify the
services that are subject to the tax to ensure that those businesses subject
to the provisions of Chapter 3.18 are properly remitting the utility tax on
all collection services, including commercial recycling services.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS:
9.a
Packet Pg. 57
At
t
a
c
h
m
e
n
t
:
3
.
1
8
.
0
1
0
U
t
i
l
i
t
y
T
a
x
-
D
e
f
i
n
i
t
i
o
n
s
F
i
n
a
l
5
.
2
1
.
1
8
(
1
2
5
3
:
S
o
l
i
d
W
a
s
t
e
D
e
f
i
n
i
t
i
o
n
s
)
2 Amend KCC 3.18.020 -
Re: Utility Tax - Definitions
ORDINANCE
SECTION 1. – Amendment – KCC 3.18.010. Section 3.18.010 of
the Kent City Code, entitled “Definitions,” is amended as follows:
Sec. 3.18.010. Definitions. The following words, terms, and
phrases, when used in this chapter, shall have the meanings ascribed to
them in this section, except where the context clearly indicates a different
meaning:
Cable television business means:
1. A system providing service pursuant to a franchise issued by
the city under the Cable Communications Policy Act of 1984 Public Law No.
98-549, 47 U.S.C. Section 521, as it may be amended or superseded; or
2. Any system that competes directly with such franchised
system by employing antennas, microwaves, wires, wave guides, coaxial
cables, or other conductors, equipment, or facilities designed, construed,
or used for the purpose of:
a. Collecting and amplifying local and distant broadcast
television signals and distributing and transmitting them;
b. Transmitting original cable-cast programming not
received through television broadcast signals; or
c. Transmitting television pictures, film, and videotape
programs not received through broadcast television signals, whether or not
encoded or processed to permit reception by only selected receivers;
provided, however, that “cable television service” shall not include entities
9.a
Packet Pg. 58
At
t
a
c
h
m
e
n
t
:
3
.
1
8
.
0
1
0
U
t
i
l
i
t
y
T
a
x
-
D
e
f
i
n
i
t
i
o
n
s
F
i
n
a
l
5
.
2
1
.
1
8
(
1
2
5
3
:
S
o
l
i
d
W
a
s
t
e
D
e
f
i
n
i
t
i
o
n
s
)
3 Amend KCC 3.18.020 -
Re: Utility Tax - Definitions
that are subject to charges as “commercial TV stations” under 47 U.S.C.
Section 158, as it may be amended or superseded.
Cellular telephone service means any two (2) way voice and/or data
telephone or similar communications system based in whole or in
substantial part on wireless radio communications, including cellular mobile
service, and which is not subject to regulation by the Washington State
Utilities and Transportation Commission that conflicts with or overrides this
chapter. Cellular telephone service includes other wireless radio
communications services including, without limitation, specialized mobile
radio, paging services, personal communications, and data services, and
any other evolving wireless radio communications technology that
accomplishes a purpose substantially similar to cellular telephone service.
Cellular telephone service is included within the definition of “telephone
business” for the purposes of this chapter.
Competitive telephone service means the providing by any person, firm, or
corporation of telecommunications equipment or apparatus, or service
related to that equipment or apparatus such as repair or maintenance
service, if the equipment or apparatus is of a type which can be provided
by persons that are not subject to regulation as telephone companies
under RCW Title 80 and for which a separate charge is made.
Gross income means the value proceeding or accruing from the
performance of the particular public service business involved, including
operations incidental thereto, but without any deduction on account of the
cost of the commodity furnished or sold, the cost of materials used, labor
costs, interest, discount, delivery costs, taxes, or any other expense
whatsoever paid or accrued and without any deduction on account of
losses. In addition, when determining total gross income from cellular
telephone service, “gross income” shall include all income from cellular
9.a
Packet Pg. 59
At
t
a
c
h
m
e
n
t
:
3
.
1
8
.
0
1
0
U
t
i
l
i
t
y
T
a
x
-
D
e
f
i
n
i
t
i
o
n
s
F
i
n
a
l
5
.
2
1
.
1
8
(
1
2
5
3
:
S
o
l
i
d
W
a
s
t
e
D
e
f
i
n
i
t
i
o
n
s
)
4 Amend KCC 3.18.020 -
Re: Utility Tax - Definitions
telephone service (including roaming charges incurred outside this state)
provided to customers whose “place of primary use” is in the city,
regardless of the location of the facilities used to provide the service. The
customer’s place of primary use is, with respect to each telephone: (a) the
customer’s address shown on the telephone service company’s records; or
(b) the customer’s place of residence if the telephone is for personal use,
and in both cases must be located within the licensed service area of the
home service provider. Roaming charges and cellular telephone charges to
customers whose place of primary use is outside the city of Kent will not
be taxable even though those cellular services are provided within the city
of Kent. There is a rebuttable presumption that the address shown on the
cellular telephone service company’s records is the place of primary use
and is accurate. If the cellular telephone service company knows or should
have known that a customer’s place of primary use address for a telephone
is within the city, then the gross income from cellular telephone service
provided to that customer with respect to that telephone is to be included
in the company’s gross income.
Network telephone service means the providing by any person, firm, or
corporation of access to a local telephone network, local telephone network
switching service, toll service, or coin telephone services, or the providing
of telephonic, video, data, or similar communication, or transmission for
hire via a local telephone network, toll line or channel, cable, microwave,
or similar communication or transmission system. “Network telephone
service” includes interstate service, including toll service, originating from
or received on telecommunications equipment or apparatus in this state if
the charge for the service is billed to a person in this state. “Network
telephone service” includes the provision of transmission to and from the
site of an internet provider via a local telephone network, toll line or
channel, cable, microwave, or similar communication or transmission
system. “Network telephone service” does not include the providing of
9.a
Packet Pg. 60
At
t
a
c
h
m
e
n
t
:
3
.
1
8
.
0
1
0
U
t
i
l
i
t
y
T
a
x
-
D
e
f
i
n
i
t
i
o
n
s
F
i
n
a
l
5
.
2
1
.
1
8
(
1
2
5
3
:
S
o
l
i
d
W
a
s
t
e
D
e
f
i
n
i
t
i
o
n
s
)
5 Amend KCC 3.18.020 -
Re: Utility Tax - Definitions
competitive telephone service, the providing of cable television service, the
providing of broadcast services by radio or television stations, or the
provision of internet service as defined in RCW 82.04.297, including the
reception of dial-in connection, provided at the site of the internet service
provider.
Solid waste means all putrescible and nonputrescible solid and semisolid
wastes including, but not limited to, garbage, rubbish, ashes, industrial
wastes, swill, sewage sludge, demolition and construction wastes,
abandoned vehicles or parts thereof, and recyclable materials.
Solid waste collection service means receiving solid waste for transfer,
storage, or disposal including, but not limited to, all residential and
commercial collection services, public or private solid waste disposal sites,
transfer stations, and similar operations.
Telephone business means the business of providing network telephone
service and cellular telephone service as those terms are defined in this
section and includes cooperative or farmer line telephone companies or
associations operating an exchange. “Competitive telephone service” shall
not be considered “telephone business.” Telephone business shall include
one hundred (100) percent of the business and total gross income derived
from calls originating and/or billed to subscribers within the city.
SECTION 2. – Administrative Rules. The finance director may
develop administrative rules or tax advisories to administer Chapter 3.18
and the changes made by this ordinance.
SECTION 3. – Severability. If any one or more section, subsection,
or sentence of this ordinance is held to be unconstitutional or invalid, such
9.a
Packet Pg. 61
At
t
a
c
h
m
e
n
t
:
3
.
1
8
.
0
1
0
U
t
i
l
i
t
y
T
a
x
-
D
e
f
i
n
i
t
i
o
n
s
F
i
n
a
l
5
.
2
1
.
1
8
(
1
2
5
3
:
S
o
l
i
d
W
a
s
t
e
D
e
f
i
n
i
t
i
o
n
s
)
6 Amend KCC 3.18.020 -
Re: Utility Tax - Definitions
decision shall not affect the validity of the remaining portion of this
ordinance and the same shall remain in full force and effect.
SECTION 4. – Corrections by City Clerk or Code Reviser. Upon
approval of the city attorney, the city clerk and the code reviser are
authorized to make necessary corrections to this ordinance, including the
correction of clerical errors; ordinance, section, or subsection numbering;
or references to other local, state, or federal laws, codes, rules, or
regulations.
SECTION 5. – Effective Date. This ordinance shall take effect and
be in force thirty days from and after its passage, as provided by law.
DANA RALPH, MAYOR Date Approved
ATTEST:
KIMBERLY A. KOMOTO, CITY CLERK Date Adopted
Date Published
APPROVED AS TO FORM:
ARTHUR “PAT” FITZPATRICK, CITY ATTORNEY
9.a
Packet Pg. 62
At
t
a
c
h
m
e
n
t
:
3
.
1
8
.
0
1
0
U
t
i
l
i
t
y
T
a
x
-
D
e
f
i
n
i
t
i
o
n
s
F
i
n
a
l
5
.
2
1
.
1
8
(
1
2
5
3
:
S
o
l
i
d
W
a
s
t
e
D
e
f
i
n
i
t
i
o
n
s
)