HomeMy WebLinkAbout12/15/04 AGENDA FILE
ClTYCOUNClL 345 6th Street, Suite600, Bremerton, WA 98337-1873 (.~ (360)473-5280
DECEMBER t5, 2004
CITY COUNCIL MEETING AGENDA
1. PRE-COUNCIL STUDY SESSION: 5:00 - 5:30 P.M. in COUNCIL CONFERENCE ROOM 603
A. General Council Business
2. CALL TO ORDER: 5:30 P.M. in COUNCIL CHAMBERS LOCATE[) ON FIRST FLOO~
A, Pledge of Allegiance
B. Invocation
3.
4. PUBLIC SERVICE ANNOUNCEMENTS
5. CONSENT AGENDA ~d~
A. Claims & Check Register (#AB04-253)
B. Appointment of Lois E. Hoell to the Planning Commission (#AB04-254)
C. Proposal to Purchase Diesel Vehicle Exhaust Extractors for Fire Stations No. 2 & 3 from AIR
EXCHANGE, INC. (#AB04-255)
D. Proposal to Purchase 4-WD Tractor for Gold Mountain Golf Complex, utilizing the State Bid for
$21,612.75 (#AB04-256)
E. Amendment to Professional Services Agreement with Ed Faulk, Greens Superintendent of Gold
Mountain Golf Complex (#AB04-257)
F. Professional Services Agreement with the Law Office of DAVID P. HORTON, INC., P.S. for Legal ,~-
Services (#AB04-258)
6. NEW BUSINESS - There are no NEW BUSINE$S items this week
7. PUBLIC HEARINGS - ORDINANCES & RESOLUTIONS
A. Ordinance [First Reading], annexing approx. 6.14 acres, generally bounded on the east side of Pine c~
Road just South of NE Roswell Drive ("Racus Annexation") to the City of Bremerton (#AB04-259)
B. Ordinance [First Reading], amending Chapter 3.48 of the Bremerton Municipal Code (BMC),
updating the "Business & Occupation Tax" provisions consistent with EHB2030 (#AB04-260)
C. Ordinance [First Reading] amending FY 2004 Budget (#AB04-261) ~,.~
8. EXECUTIVE SESSION
A. The Council will meet for a 15-minute Executive Session to discuss a Real Estate Transaction per
RCW 42.30.110( 1 )(c) (#AB04-262)
9. PUBLIC RECOGNITION
10. COUNCIL MEMBER REPORTS
11. ADJOURNMENT OF CITY COUNCIL BUSINESS MEETING
[] Americans with Disabilities Act (ADA) accommodations provided upon request. Those requiting
special accommodations should contact the City Clerk's Office at (360) 473-5323 by noon on the
Monday preceding the Council meeting.
DATE SUBMITTED: BILl#
AGENDA BILL
CITY OF BFcEMERTON
CITY COL~ICIL
SUBJECT: Approva! o£ Claims and Checks Commitiee Meeting Date:
Register COUNCIL MEETING Date: /:2 ~ ?~-~ ~
Depm~ment: Fiuancial Smwices
Presenter: Cathy Jolmson
Phone: 473-5296
SUMMARY: Consent agenda kern. Approval ofpayroli, checks m~d electrmfic fund Iraus£ers.
ATTACHMENTS:
FISCAL IMPACTS (Include Budgeted Amount):.
APPROVALS:
DEPARTMENT DIRECTOR:
CITY ATTORNEY:
FINANCE DIRECTOR:
MAYOR:
FISCAL/BUDGET:
OPERATIONS: CONSENT AGENDA
COUNCIL PRESIDENT: '~-~a,,',.44...~ ¢~,,,.~.
RECOMMENDED MOTION: Move to Approve:
1) Check#'scz:~"~>tt~'~ througt~/~.~andEFT's ~'-~k'~through_
_ ~) ~2 ~-x~[ in the amount of $~
2) Regular Payroll for the pay period ending_ in the amount of $ '
3) Retiree Payroll for the pay period ending h~'ihe amount of
COUNCIL ACTION: [~pprove [] Deny [] Table [] Conth~ue [] No Action
DATE SUBMITTED: November 30, 2004 BILL # 0q"
AGENDA BILL
CITY OF BREMERTON ~ g
CITY COUNCIL
SUBJECT: Appointment to the Committee Meeting Date: December 8, 2004
Planning Commission COUNCIL MEETING Date: December 15, 2004
Department: Executive
Presenter: Mayor Bozeman
Phone: 473-5266
SUMMARY: There is a vacancy on the Planning Commission due to the resignation of Scott
Buckingham. It is recommended the vacancy be filled by Lois E Hoell.
ATTACHMENTS: Application for appointment.
FISCAL IMPACTS (Include Budgeted Amount): n/a
APPROVALS:
DEPARTMENT DIRECTOR:
CITY ATTORNEY: /~/q~%.)
FINANCE DIRECTOR: ~._
MAYOR: (,~, _/'~ .
FISCAL/BUDGET: '~~~ ~-- AGENDA
OPERATIONS: ! }_~_.~.~_.> CONSENT
RECOMMENDED MOTION:
Motion to confirm the appointment of Lois E. Hoell to the Planning Commission.
COUNCIL ACTION: [] Approve [] Deny [] Table [] Continue [] No Action
/
Note: ~ ~ ~li~ for a Ci~ ~ ~s~on or ~i~, ~ ~e, ~, ~d
reline n~ ~1 ~ av~ble to ~e ~ ~d ~bli~ You ~I ~ ~ ~om mv
P~ & R~on Come.ion
Which of your personal and/or professional interests vrompted you to aup~v for this ap]mJntment?
H~e yo~ ~er se~--~_ o~ sm,. ~ber
Ple~ ~,t yoal~, q~lificafions for tlfi~ appointtnent (~nclud¢
~ ~l~mo yo~ ~s to ~e ~. ar m~ ~on pl~c ~ to Mayor's Offi~ at
(3~) 473-3266, F~ (3~) 473-SSg3 or ~a ~ a m~o~d.~n.~.~. PIe~ r~ ~e ~1~
fis~a w: ~or's ~, 239 4~ ~, B~ WA
DATE SUBMITTED: 12-1-04 BILL
AGENDA BILL
CITY OF BREMERTON ~/~
CITY COUNCIL
SUBJECT: Proposal to purchase diesel Committee Meeting Date: 12-8-04
vehicle exhaust extractors for Fire Stations # COUNCIL MEETING Date: 12-15-04
2 & 3 from "Air Exhange, Inc". Department: FIRE
Presenter: Fire Chief Duke
Phone: 473-5831
SUMMARY: Attached is a contract proposal to purchase diesel vehicle exhaust extractors for Fire
Stations # 2 & 3. Currently diesel fumes linger through the station after the fire engines and medic
units leave and return to the fire stations. In 2003, the King County Fire District #2 with to bid for
vehicle diesel exhaust extractor with Plymovent winning the award. The City of Bremerton has an
Intergovernmental Cooperative Purchasing agreement with the King County Fire District #2.
ATTACHMENTS: Public Works Agreement with Air Exhange, Inc. The Intergovernmental
Cooperative Pumhasing agreement with the King County Fire District #2.
FISCAL IMPACTS (Include Budgeted Amount): $156,016.18 with applicable WA state sales tax.
The Fire Department has obtained a FEMA grant in the amount of $166,000 of which FEMA pay
$149,400 and the City is obligated for potentially $16,600. The items were also part of the bond fund,
so the $16,600 will be taken from the bond fund.
DEPARTMENT DIRECTOR:
CITY ATTORNEY:
FINANCE DIRECTOR:
MAYOR:
OPERATIONS: C~,~:,_] .~~ [CONSENT AGENDA ~]
COUNCIL PRESIDENT: ~,/k~ ?~/ig._ ·- {~ ~
RECOMMENDED MOTION: To authorize, the 1V[ayor to execute the contract between the City of
Bremerton and "Air Exhange, Inc. in the amount of $156,016.16.
COUNCIL ACTION: [] Approve [] Deny [] Table [] Continue [] No Action
PUBLIC WORKS AGREEMENT
THIS AGREEMENT, is entered into between the City of Bremerton, a Washington
Mtmicipal Co~poration ("City"), and .Air Exchange, Inc. ("Contractor"), whose mailing address is
1185 San Mateo, San Bruno, CA 94066.
The parties agree as follows:
CONTRACTOR SERVICES. The Contractor shall perform the following services for the
City: For Fire Station //2 - vehicle exhaust point source 100% capture system. All
materials, ductwork, installation hardware, miscellaneous parts, and labor are included, turn
key installation to owner. One (1) Plymovent Stra 551 straight rail system, w/hose pak 4/2
end shock. Two (2) Plymovent Stra 551 straight rail system, w/hose pak 4/1 end shock. One
(1) Plymovent almag non sparking fan w/7.5hp, 208-240v 1 ph TEFC motor, 67007U. One
(1) Plymovent control panel, UL listed w/pressure sensors, 0S3-706042.
For Fire Station 4/ 3 - vehicle exhaust point source 100% capture system. Ail materials,
ductwork, installation hardware, miscellaneous parts, and labor are included, turn key
installation to owner. One (1) Plymovent Stra 551 straight rail system, w/hose pak 4/2 end
shock. Two (2) Plymovent Stra 551 straight rail system, w/hose pak #1 end shock. One (1)
Plymovent almag non sparking fan w/7.5hp, 208-240v 1 ph TEFC motor, 67007U. One (1)
Plymovent control panel, UL listed w/pressure sensors, 0S3-706042
For Fire Station # 3 Maintenance - Two (2) Plymovent Stra 551 straight rail system, w/hose
pak #1 end shock. One (1) Plymovent almag non sparking fan w/ 7.5hp, 208-240v 1 ph
TEFC motor, 67007U. One (1) Plymovent control panel, UL listed w/pressure sensors, 0S3-
706042
2. TIME OF COMPLETION. Contractor shall complete the work within 30 calendar
days from the date of issuance of the City's Notice to Proceed.
3. COMPENSATION. The City shall pay the Contractor the total amount of $
156,016.18, with any applicable Wash/ngton State Sales Tax, for the work and services
contemplated in this agreement. The Contractor shall invoice the City monthly. The City will pay
for the portion of the work described in the invoice that has been completed by the Contractor and
approved by the City. The City payment shall not constitute a waiver of the City's right to final
inspection and acceptance of the project.
A. Performance Bond. Pursuant to Chapter 39.08 RCW, the Contractor, shall
provide the City a performance bond for the full contract amount to be in
effect until sixty (60) days after the date of final acceptance, or until receipt
of all necessary releases from the State Department of Revenue and the State
Department of Labor and Industries and until settlement of any liens filed
under Chapter 60.28 RCW, whichever is later.
B. Retainage. The City shall hold back a retainage in the amount of five percent
(5%) of any and all payments made to contractor for a period of sixty (60)
days after the date of final acceptance, or until receipt of all necessary
releases from the State Department of Revenue and the State Department of
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Labor & Industries and until settlement of any liens filed under Chapter 60.28
RCW, whichever is later.
C. Defective or Unauthorized Work. The City reserves its right to withhold
payment from Contractor for any defective or unauthorized work. Defective
or unauthorized work includes, without limitation: work and materials that
do not conform to the requirements of this agreement; and extra work and
materials furnished without the City's written approval. If Contractor is
unable, for any reason, to satisfactorily complete any portion of the work, the
City may complete the work by contract or otherwise, and Contractor shall be
liable to the City for any additional costs incurred by the City. "Additional
costs" shall mean all reasonable costs, including legal costs and attorney fees,
incurred by the City beyond the maximum Contract price specified above.
The City further reserves its right to deduct the cost to complete the Contract
work, including any Additional Costs, from any and all amounts due or to
become due the Contractor.
D. Final Payment: Waiver of Claims. THE ACCEPTANCE OF FINAL
PAYMENT (EXCLUDING WITHHELD RETAINAGE) SHALL
CONSTITUTE A WAIVER OF CLAIMS, EXCEPT THOSE PREVIOUSLY
AND PROPERLY MADE AND IDENTIFIED BY CONTRACTOR AS
UNSETTLED AT THE TIME REQLrEST FOR FINAL PAYMENT IS
MADE.
4. INDEPENDENT CONTRACTOR. Contractor is and shall be at all times acting as
an independent contractor and not as an employee of the City. The Contractor shall secure at its
expense, and shall be responsible for all payments of income tax, social security, state industrial
insurance compensation, unemployment compensation, and all other payroll deductions for the
Contractor, officer, agents, employees and sub-contractors. The Contractor shall also secure all
applicable business licenses, if required, in connection with the contract services, including all
required licenses for Contractor's officers, agents, employees and sub-contractors.
5. TERMINATION. The City may terminate this agreement without notice for good
cause. "Good cause" shall include, without limitation, any one or more of the following events:
A. The Contractor's failure to supply sufficient skilled workers or suitable
materials or equipment.
B. The Contractor's failure to prosecute the work with such diligence as will
ensure its physical completion within the original physical completion time
specified in this Agreement and any extensions of time which may have been
granted to the Contractor by change order or otherwise.
C. The Contractor's failure to make full and prompt payment to subcontractors
or for material or labor.
D. The Contractor's disregard of federal, state or local laws, rules or regulations.
E. The Contractor's filing for bankruptcy or becoming adjudged bankrupt.
F. The Contractor disregards the authority of the City.
G. The Contractor performs work which deviates from the Contract, and
neglects or refuses to correct rejected work.
H. The Contractor's failure to provide continuous competent supervision.
I. The Contractor otherwise violates in any material way any provisions or
requirements of the contract.
If the City terminates this agreement for good cause, the Contractor shall not receive any
monies due under this agreement, if any, until the Contract work is completed.
6. PREVAILING WAGES. Contractor shall file a "Statement of Intent to Pay
Prevailing Wages," with the State of Washington Department of Labor & Industries prior to
commencing the Contract work. Contractor shall pay prevailing wages and comply with Chapter
39.12 of the Revised Code of Washington, as well as any other applicable prevailing wage rate
provisions. The latest prevailing wage rate revision issued by the Department of Labor and
Industries is attached.
7. CHANGES. The City may issue a written or oral work change directive for any
change in the Contract work during the performance of this agreement. If the Contractor
determines, for any reason, that a change order is necessary, Contractor must submit a written
change order request to the City's project manager within two (2) business days of the date the
Contractor knew or should have known of the facts and events giving rise to the requested change.
If the City determines that the change increases or decreases the Contractor's costs or time for
performance, the City will make an equitable adjustment. The City wilt attempt, in good faith, to
reach agreement with the Contractor on all equitable adjustments. However, if the parties are
unable to agree, the City will determine the equitable adjustment as it deems appropriate. The
Contractor shall proceed with the change order work upon receiving either a written or oral work
change directive from the City or a change order from the City. If the Contractor falls to require a
change order within the time allowed, the Contractor waives its right to make any claim or submit
subsequent change order requests for that portion of the contract work. If the Contractor disagrees
with the equitable adjustment the Contractor must complete the change order work; however, the
Contractor may elect to protest the adjustment as provided below:
A. Procedure and Protest by the Contractor. If the Contractor disagrees with
anything required by a written work change directive, oral work change
directive or change order, including any direction, instruction, interpretation,
or determination by the City, the Contractor shall:
1. Give a signed written notice of protest to the City within one business
day;
2. Supplement the written protest within five (5) calendar days with a
written statement that provides the following information:
a. The date of the Contract's protest.
b. The nature and circumstances that caused the protest.
c. The provisions in this agreement that support the protest.
d. The estimated dollar cost, if any, of the protested work and
how that estimate was determined.
7
e. An analysis of the progress schedule showing the schedule
change or disruption if the Contractor is asserting a schedule
change or disruption.
The Contractor shall keep complete records of extra costs and time
incurred as a result of the protested work. The City shall have access
to any of the Contractor's records needed for evaluating the protest.
3. The City will evaluate all protests, provided the procedures in this
section are followed. If the City determines that a protest is valid, the
City will adjust payment for work or time by an equitable adjustment.
No adjustment will be made for an invalid protest.
B. Contractor's Duty to Complete Protested Work. In spite of any protest, the
Contractor shall proceed promptly with the work as the City has ordered.
C. Contractor's Acceptance of Changes. The Contractor accepts all
requirements of a change order by: (1) endorsing it, (2) writing a separate
acceptance, or (3) not protesting in the way this section provides. A change
order that is accepted by Contractor as provided in this section shall
constitute full payment and final settlement of all claims for contract time and
for direct, indirect and consequential costs, including costs of delays related
to any work, either covered or affected by the change.
D. Failure to Protest Constitutes Waiver. By not protesting as this section
provides, the Contractor also waives any additional entitlement and accepts
from the City any written or oral order (including directions, instructions,
interpretations, and determination).
E. Failure to Follow Procedures Constitutes Waiver. By failing to follow the
procedures of this section, the Contractor completely waives any claims for
protested work and accepts form the City any written or oral order (including
directions, instructions, interpretations, and determination).
8. CLAIMS. The Contractor shall give written notice to the City of all claims other
than change orders within fourteen (14) calendar days of the occurrence of the events giving rise to
the claims. Any claim for damages, additional payment for any reason, or extension of time,
whether under this agreement or otherwise, shall be conclusively deemed to have been waived by
the Contractor unless a timely written claim is made in strict accordance with the applicable
provisions of this agreement; or, if (and only if) no such provision is applicable, unless that claim is
set forth in detail in writing and received by the City within seven (7) calendar days from the date
Contractor knew, or should have known, of the facts giving rise to the claim. At a minimum, a
Contractor's written claim must include the information set forth regarding protests in Section
7.A.2.a.-e.
FAILURE TO PROVIDE A COMPLETE, WRITTEN NOTIFICATION OF CLAIM
WITHIN THE TIME ALLOWED SHALL BE AN ABSOLUTE WAIVER OF ANY CLAIMS
ARISING 1N ANY WAY FROM THE FACTS OR EVENTS SURROUNDING THAT CLAIM
OR CAUSED BY THAT DELAY.
Contractor must, in any event, file any claim or bring any suit arising from or connected
with this agreement within 120 calendar days from the date the contract work is complete.
9. WARRANTY. The Contractor shall correct all defects in workmanship and
materials within one year from the date of the Contractor's acceptance of the City's final payment
under this contract. When defects are corrected, the warranty for that portion of the work shall
extend for one year form the date such correction is completed and accepted by the City. The
Contractor shall begin to correct any defects within seven (7) calendar days of its receipt of notice
from the City of the defect. If the Contractor does not accomplish the corrections within a
reasonable time, the City may complete the corrections and the Contractor shall pay all costs
incurred by the City in order to accomplish the correction.
10. INDEMNIFICATION. Contractor shall defend, indemnify and hold the City. its
officers, officials, employees, agents and volunteers harmless from any and all claims, injuries,
damages, losses or suits including all legal costs and attorney fees, arising out of or in connection
with the performance of this agreement, except for injuries and damages solely caused by the City's
negligence.
The City's inspection or acceptance of any of Contractor's work when completed shall not
be grounds to avoid any of these covenants of indenmification.
Should a court of competent jurisdiction determine that this agreement is subject to RCW
4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or
damages to property caused by or resulting from the concurrent negligence of the Contractor and
the City, its officials, employees, agents and volunteers, the Contractor's liability hereunder shall be
only to the extent of the Contractor's negligence.
1T IS FURTHER SPECIFICALLY AND EXPRESSLY UNDERSTOOD THAT THIS
INDEMNIFICATION CONSTITUTES THE CONTRACTOR'S WAIVER OF IMMUNITY
UNDER INDUSTRIAL INSURANCE, TITLE 51 RCW, SOLELY FOR THE PURPOSE OF THIS
INDEMNIFICATION. THE PARTIES ACKNOWLEDGE THAT THEY HAVE MUTUALLY
NEGOTIATED THIS WAIVER.
The provisions of this section shall survive the expiration or termination of this agreement.
11. INSURANCE. The Contractor shall procure and maintain for the duration of this
agreement, insurance against claims for injuries to persons or damage to property that may arise
from or in connection with the performance of the Contract work by the Contractor, its agents,
representatives, employees or subcontractors.
Before beginning the work on the project described in this agreement, the Contractor shall
provide a Certificate of Insurance evidencing:
A. Automobile Liability insurance with limits no less than $1,000,000 combined
single limit per accident for bodily injury and property damage; and
B. Commercial General Liability insurance written on an occurrence basis with
limits no less than $2,000,000 combined single limit per occurrence and
$2,000,000 aggregate for personal injury, bodily injury and property damage.
Coverage shall include but not be limited to: blanket contractual;
products/completed operations/broad form property damage; explosion, collapse
and underground (XCU) if applicable; and employer's liability.
Any payment of deductible or self insured retention shall be the sole responsibility of the
Contractor.
The City reserves the right to receive a certified copy of all the required insurance policies.
The City, its officials, employees, agents and volunteers shall be named as an additional
insured on the insurance policy, as respects work performed by or on behalf of the Contractor and a
copy of the endorsement naming the City as additional insured shall be attached to the Certificate of
Insurance.
The Contractor's insurance shall contain a clause stating that coverage shall apply
separately to each insured against whom claim is made or suit is brought, except with respects to the
limits of the insurer's liability.
The Contractor's insurance shall be primary insurance as respects the City, and the City
shall be given thirty (30) calendar days prior written notice by certified mail, return receipt
requested, of any cancellation, suspension or material change in coverage.
If this contract requires work to be performed in or on navigable waters, the Contractor
shall provide insurance written on an occurrence basis with limits no less than $2,000,000 combined
single limit per occurrence and $2,000,000 aggregate for claims made under the Longshoreman and
Harbor Workers Act and the Jones Act.
12. MISCELLANEOUS.
A. Nondiscrimination. In the hiring of employees for the performance of work
under this Agreement or any sub-contract hereunder, the Contractor, its sub-
contractors, or any person acting on behalf of such Contractor or sub-
contractor shall not, by reason of race, religion, color, sex, national origin, or
the presence of any sensory, mental, or physical disability, discriminate
against any person who is qualified and available to perform the work to
which the employment relates.
B. Compliance with Laws. Contractor shall comply with all federal, state and
local laws, roles and regulations throughout every aspect in the performance
of this agreement.
C. Work Performed at Contractor's Risk. Contractor Shall take all precautions
necessary and shall be responsible for the safety of its employees, agents, and
subcontractors in the performance of this agreement. All work shall be done
at Contractor's own risk, and Contractor shall be responsible for any loss of
or damage to materials, tools, or other articles used or held for use in
connection with the work.
D. Nonwaiver of Breach. The failure of the City to insist upon strict
performance of any of the terms and rights contained heroin, or to exercise
any option herein conferred in one or more instances, shall not be constructed
[0
to be a waiver or relinquishment of those terms and rights and they shall
remain in full force and effect
E. Governing Law. This agreement shall be governed and construed in
accordance with the laws of the State of Washington. If any dispute arises
between the City and Contractor under any of the provisions of this
agreement, resolution of that dispute shall be available only through the
jurisdiction, venue and rules of the Kitsap County Superior Court, Kitsap
County, Washington.
F. Attorney's Fees. To the extent not inconsistent with RCW 39.04.240, in any
claim or lawsuit for damages arising from the parties' performance of this
agreement, each party shall be responsible for payment of its own legal costs
and attorney's fees incurred in defending or bringing such claim or lawsuit;
however, nothing in this subsection shall limit the City's right to
indemnification under Section 10 of this agreement.
G. Written Notice. All communications regarding this agreement shall be sent
to the parties at the addresses listed on the signature page of this agreement,
unless otherwise notified. Any written notice shall become effective upon
delivery, but in any event three (3) calendar days after the date of mailing by
registered or certified mail, and shall be deemed sufficiently given if sent to
the addressee at the address stated on this agreement.
H. Assignment. Any assignment of this agreement by the Contractor without
the written consent of the City shall be void.
I. Modification. No waiver, alteration, or modification of any of the provisions
of tkis agreement shall be binding unless in writing and signed by a duly
authorized representative of the City and Contractor.
J. Severabilitv. If any one or more sections, sub-sections, or sentences of this
agreement are held to be unconstitutional or invalid, that decision shall not
affect the validity of the remaining portion of this agreement and the
remainder shall remain in full force and effect.
K. Entire Agreement. The written provisions and terms of this agreement,
together with any attached Exhibits, supersede all prior verbal statements by
any representative of the City, and those statements shall not be construed as
forming a part of or altering in any manner this agreement. This agreement
and any attached Exhibits contain the entire agreement between the parties.
Should any language in any Exhibit to this agreement conflict with any
language contained in this agreement, the terms of this agreement shall
prevail.
IN WITNESS WHEREOF, the parties below have executed this agreement.
CONTRACTOR THE CITY OF BREMERTON
Print Name: Print Name:
Title: Title:
DATE DATE
Notices to be sent to: Notices to be sent to:
CONTRACTOR: CITY OF BREMERTON:
Bremerton, WA 98???
(360)
(360) (facsimile)
APPROVED AS TO FORM:
Bremerton City Attorney
ATTEST:
Bremerton City Clerk
PROPOSAL Page I of 1
AIR EXCHANGE, INC.
The Clean Air Specialists
1185 san Mateo Avenue Phone: 206-484-7179 650-871-2945
San Bruno, CA 94066 Fax: 253-815-6684 650-871-2946
~roposal submitted to: Bremerton Fire Dept. Phone 360-473-5383 Date 5/12/03 12/01/04
~treet 817 Pacific Ave. Application Engineer Phil Herrera
Salemen PHIL Herrera
;ity, State and Zip Code Bremerton, WA. 98337-1981 Job Location Stations, 2,3, and shop
Fax: 360-473-5397
~ustomer Representative Ron McKieman Title Job Phone:
~Ve hereby submit estimate for our AIR CLEANING SYSTEM in accordance with the following:
]'otal contract amount to provide the supply and installation of vehicle exhaust extraction system
n Bremerton Fire department facilities referenced below. See individual station quotes for details.
~tation 2
$ 52,441.00
~tation 3 $ 52,043.00
Shop $ 34,993.00
Performance bond
Material Subtotal: $ 139,477.00
Exclusions and notes: 8.600% Sales Tax $ 11,995.02
Performance bond, 3% of contract amount. 0.03 $ 4,544.16
FEMA Grant TOTAL: $ 156,016.18
Prevailing wage rules apply to all labor on this project.
Delivery of system will be within 4 to 5 weeks of proposal acceptance.
Payment to be made as follows: Equipment due on delivery, balance due on completion of mechanical installation
All matedal is guaranteed to be as specified. All work to be completed Authorized Signature:
in a workmanlike manner according to standard practices. Any Phil Herrera
alteration or deviation from above specifications involving extra costs
will be executed only upon written orders, and will become an extra
charge over and above the estimate. All agreements contingent upon
strikes, accidents or delays beyond our control. Owner to carry fire, Note: This proposal may be with-drawn by us
tornado, and other necessary insurance. Our workers are fully covered if not accepted within 45 days.
by Workman's compensation Insurance.
ACCEPTANCE OF PROPOSAL and TERMS AND
SIGNATURE:
CONDITIONS. (Pages 1 and 2, inclusive[y.) The above prices,
specifications and Terms and Conditions are satisfactory and
are hereby accepted. You are authorized to do the work as
Ispecified. By signing where indicated, you, as agent for the
organization proposed, hereby authorized Air Exchange, Inc. DATE OF
to perform the work as specified on Page 1 of 2 of this ACCEPTANCE:
proposal and agree and accept the Terms and Conditions
(Page 2 of 2) of this proposal. Payment will be made as
outlined above.
PROPOSAL Page I of 1
AIR EXCHANGE, INC.
The Clean Air Specialists
1185 san Mateo Avenue Phone: 206-484-7179 650-871-2945
San Bruno, CA 94066 Fax: 253-815-6684 650-871~2948
Proposal submitted to: Bremerton Fire Dept. ~hone 360-473-5383 Date 5/12/03 12/01/04
Street 817 Pacific Ave. ~pplication Engineer Phil Herrera
Salemen PHIL Herrera
City, State and Zip Code Bremerton, WA. 98337-1981 Job Location 5005 Kitsa.p Station 2
IFax: 360-473-5397
;ustomer Representative Ron McKieman Title I Job Phone:
We hereby submit estimate for our AIR CLEANING SYSTEM in accordance with the following:
One (1) Plymovent Stra 551 straight rail system, w/Hose pak #2, end shock $ 14,012.00
Two (2) Plymovent Stra 551 straight rail system, w/Hose pak #1, end shock $ 19,840.00
One (1) Plymovent almag non sparking fan w/7.5hp, 208-240v 1 ph TEFC motor, 67007U $ 2,535.00
One (1) Plymovent control paneI,UL listed w/pressure sensors, OS3-706042 $ 1,224.00
Ductwork, installation hardware and miscellaneous parts $ 5,275.00
Material Subtotal: $ 42,886.00
Exclusions and notes: Sales Tax $
Performance bond not included, 3% of contract amount. Electrical Hookup: $ 1,800.00
Electrical hook-up not included, unless noted Tailpipe Modification (3): $ 480.00
Roof Jack installation not included Lifts & Other Expenses: $ 400.00
Painting of any kind not included Freight: $ 875.00
Permit fees of any kind not included Installation Labor: $ 6,000.00
Special drawings not included TOTAL: $ 52,441.00
Delivery of system will be within 4 to 5 weeks of proposal acceptance.
Payment to be made as follows: Equipment due on delivery, balance due on completion of mechanical installation
~,11 material is guaranteed to be as specified. All work to be completed Authorized Signature:
in a workmanlike manner according to standard practices. Any Phil Herrera
~lteration or deviation from above specifications involving extra costs
¢~ill be executed only upon written orders, and will become an extra
;barge over and above the estimate. All agreements contingent upon
stdkes, accidents or delays beyond our control. Owner to carry fire, Note: This proposal may be with-drawn by us
~ornado, and other necessary insurance. Our workers are fully covered if not accepted within 45 days.
~ Workman's compensation Insurance.
ACCEPTANCE OF PROPOSAL and TERMS AND SIGNATURE:
CONDITIONS. (Pages 1 and 2, inclusively.) The above prices,
specifications and Terms and Conditions are satisfactory and
are hereby accepted. You are authorized to do the work as
Ispecified. By signing where indicated, you, as agent for the
organization proposed, hereby authorized Air Exchange, Inc. DATE OF
to perform the work as specified on Page 1 of 2 of this ACCEPTANCE:
proposal and agree and accept the Terms and Conditions
{Page 2 of 2) of this proposal. Payment will be made as
outlined above.
PROPOSAL Page I of 1
AIR EXCHANGE, INC.
The Clean Air Specialists
1185 san Mateo Avenue Phone: 206-484-7179 650-871-2945
San Bruno, CA 94066 Fax: 253-815-6684 650-871-2948
Proposal submitted to: Bremerton Fire Dept. Phone 360-473-5383 Date 5/12/03 12/01/04
Street 817 Pacific Ave. Application Engineer Phil Herrera
Salemen Phil Herrera
,3ity, State and Zip Code Bremerton, WA. 98337-1981 Job Location 3031 Olympic Dr. Station 3
Fax: 360-473-5397
3ustomer Representative Ron McKieman Title Job Phone:
We hereby submit estimate for our AIR CLEANING SYSTEM in accordance with the following:
One (1) Plymovent Stra 551 straight rail system, w/Hose pak #2, end shock $ 14,012.00
Two (2) Plymovent Stra 551 straight rail system, w/Hose pak #1, end shock $ 19,840.00
One (1) Plymovent almag non sparking fan w/7.Shp, 208-240v 3ph TEFC motor, 67008U $ 2,295.00
Dna (1) Plymovent control paneI,UL listed w/pressure sensors, OS3-706040 $ 1,066.00
Ductwork, installation hardware and miscellaneous parts $ 5,275.00
Material Subtotal: $ 42,488.00
Exclusions and notes: Sales Tax $
Performance bond not included, 3% of contract amount. Electrical Hookup: $ 1,800.00
Electrical hook-up not included, unless noted Tailpipe Modification (3): $ 480.00
Roof Jack installation not included Lifts & Other Expenses: $ 400.00
Painting of any kind not included Freight: $ 875.00
Permit fees of any kind not included Installation Labor: $ 6,000.00
Special drawings not included TOTAL: $ 52,043.00
Delivery of system will be within 4 to 5 weeks of proposal acceptance.
Payment to be made as follows: Equipment due on delivery, balance due on completion of mechanical installation
All material is guaranteed to be as specified. All work to be completed Authorized Signature:
in a workmanlike manner according to standard practices. Any Phil Herrera
alteration or deviation from above specifications involving extra costs
will be executed only upon written orders, and will become an extra
charge over and above the estimate. All agreements contingent upon
stdkes, accidents or delays beyond our control. Owner to carry fire, Note: This proposal may be with-drawn by us
tornado, and other necessary insurance. Our workers are fully covered if not accepted w~thin 45 days.
by Workman's compensation Insurance.
ACCEPTANCE OF PROPOSAL and TERMS AND
SIGNATURE:
CONDITIONS. (Pages 1 and 2, inclusively.) The above prices,
specifications and Terms and Conditions are satisfactory and
are hereby accepted. You are authorized to do the work as
Ispecified. By signing where indicated, you, as agent for the
organization proposed, hereby authorized Air Exchange, Inc. DATE OF
to perform the work as specified on Page 1 of 2 of this ACCEPTANCE:
proposal and agree and accept the Terms and Conditions
(Page 2 of 2) of this proposal. Payment will be made as
outlined above.
PROPOSAL Page I of 1
AIR EXCHANGE, INC.
The Clean Air Specialists
185 san Mateo Avenue Phone: 206-484-7179 650-871-2945
San Bruno, CA 94066 Fax: 253-815-6684 650-871-2948
Bremerton Fire Dept. Phone 360-473-5383 5/12/03 12/01/04
.~treet 817 Pacific Ave. ~lication Engineer Phil Herrera
Salemen Phil Herrera
State and Zip Code Bremerton, WA. 98337-1981 Maintenance shop
Fax: 360-473-5397
Pon McKiernan Job Phone:
We hereby submit estimate for our AIR CLEANING SYSTEM in accordance with the following:
rwo (2) Plymovent Stra 551 straight rail system, w/Hose pak #1, end shock $ 19,840.00
~)ne (1) Plymovent almag non sparking fan w/5hp, 208-240v lph TEFC motor, 67005U $ 2,442.00
One (1) Plymovent control paneI,UL listed w/pressure sensors, OS3-706039 $ 1,194.00
Ductwork, installation hardware and miscellaneous parts $ 4,155.00
Material Subtotal: $ 27,631.00
Exclusions and notes: Sales Tax $
Performance bond not included, 3% of contract amount. Electrical Hookup: $ 1,800.00
Electrical hook-up not included, unless noted Tailpipe Modification (2): $ 220.00
Roof Jack installation not included Lifts & Other Expenses: $ 400.00
Painting of any kind not included Freight: $ 342.00
Permit fees of any kind not included Installation Labor: $ 4,600.00
Special drawings not included TOTAL: $ 34,993.00
Delivery of system will be within 4 to 5 weeks of proposal acceptance.
Payment to be made as follows: Equipment due on delivery, balance due on completion of mechanical installation
All material is guaranteed to be as specified. All work to be completed Authorized Signature:
in a workmanlike manner according to standard practices. Any Phil Herrera
alteration or deviation from above specifications involving extra costs
will be executed only upon written ordem, and will become an extra
charge over and above the estimate. All agreements contingent upon
strikes, accidents or delays beyond our control. Owner to carry fire, Note: This proposal may be with-drawn by us
tornado, and other necessary insurance. Our workers are fully covered if not accepted within 45 days.
i Workman's compensation Insurance.
ACCEPTANCE OF PROPOSAL and TERMS AND
SIGNATURE:
CONDITIONS. (Pages 1 and 2, inclusively.) The above prices,
specifications and Terms and Conditions are satisfactory and
are hereby accepted. You are authorized to do the work as
ispecified. By signing where indicated, you, as agent for the
organization proposed, hereby authorized Air Exchange, inc. DATE OF
to perform the work as specified on Page 1 of 2 of this ACCEPTANCE:
proposal and agree and accept the Terms and Conditions
(Page 2 of 2) of this proposal. Payment will be made as
outlined above.
INTERGOVERNMENTAL COOPERATIVE PURCHASING
AGREEMENT
Pursuant to Chapter 39.34 RCW and to other applicable laws, the CITY OF
BREMERTON and KING COUNTY FIRE DISTRICT 2 (BURIEN), both political
subdivisions of the State of Washington, hereby agree to cooperative
governmental purchasing upon the following terms and conditions:
This Agreement pertains to bids and contracts for supplies, material,
equipment, or services that may be required from time to time both by the
CITY OF BREMERTON and KING COUNTY FIRE DISTRICT 2 (BURIEN).
1. Each of the parties from time to time goes out to public bid and
contracts to purchase supplies, material, equipment and services.
Each of the parties hereby agrees to extend to the other party the right
to purchase pursuant to such bids and contracts to the extent
permitted by law, and to the extent agreed upon between each party
and the bidder, contractor, vendor, supplier, or service provider.
2. Each of the parties shall comply with the all applicable laws and
regulations governing its own purchases.
3. Each of the parties shall contract directly with the bidder, contractor,
vendor, supplier, or service provider, and pay directly in accordance
with its own payment procedures for its own purchases. Each party
will indemnify and hold the other party harmless as to any claim, arising
out of its participation in this Agreement.
4. Any purchase made pursuant to this Agreement is not a purchase from
either of the parties. The Agreement shall create no obligation to
either of the parties to purchase any particular good or service, nor
create to either of the parties any assurance, warranty, or other
obligation from the other party with respect to purchasing or supplying
any good or service.
5. No separate legal or administrative entity is intended to be created
pursuant to this Agreement. No obligation, except as stated herein,
shall be created between the parties or between the parties and any
applicable bidder or contractor.
6. The CITY CLERK of CITY OF BREMERTON and the DISTRICT
SECRETARY of KING COUNTY FIRE DISTRICT2 (BURIEN) shall be
representatives of the entities for carrying out the terms of this
Agreement,
7. This Agreement shall continue in force until canceled by either party,
which cancellation may be effected upon receipt by one of the parties
of the written notice of cancellation of the other party.
APPROVED this Z&~(...day of APPROVED this ~'/~ day of
~_Z,¢~, 2004 0 c Jro ~~w* ,2004
CITY OF/BR~E~ KING COUNTY FIRE DIST, 2
M'a)~.RCu'A~mar~
Mayor Chairman of the Board
APPROVED AS TO FORM:
Roger Lubovich Mike Marrs
City Attorney Fire Chief
ATTEST:
BY: ~ ~ ~. -.~.v~VarnelI
'"' Pc~t~'~DIJe°~n'-' - District Secretary
09?0]/2004 16:81 2538566368 FIRE ADMIN PAGE 02/66
King County Fire District # 2
15100 8'~ Ave. S,W,
Burlen, WA 98166
Phone(206)242-2040 Fax (206)43340a2
January 21, 2003
To Whom it May Concern:
The bidding process for the air evacuation syste~axs for Station 28 and St~;ion h~s b~en completed. The
results ~e as folbws,
Comp~n~.., ~ Bid
lair Exch,~g~-- ~lymove~t $58,987.00
3~824 1"~ Way S.W.
Federal Wa):~A 98023
Superior Sys~s - Blase~e ~,xb~ust Systems $59,241.00
1136 Konnee'Drive
Id~o Fa,1b .l'd~ 83~02
Beaz Air En~neerlng Co, - N~e~ Ma~ack V~icle Exhaust Exaction S~t~ $83,84&00
B~22 SW Corb~ A~enue
Po~Iaid~,OR 97239-a388
All ofthe~e ~ t~ of~e ~e s~te~, i~t~l~fl by re~ble
indusl~ [bra 10~g period of time, ~ere
recommendation is to awed the bid to the folt~4ng ~m~y.
Air Exeh~ge - Pl~ngvent
36824 Igt Way
~I Way WA 98023
If you have ~y queaions, ~e~l ~ ~o ~k.
Th~ you vc~ muc~,
Doug Luedm~
~analion Chief
DATE SUBMITTED: November 23, 2004 BILL # ~i~l}
AGENDA BILL
CITY OF BREMERTON 5 D
CITY COUNCIL
SUBJECT: Approval of Purchase of Committee Meeting Date: 12/8/04
Equipment for Gold Mountain Golf Complex COUNCIL MEETiNG Date: 12/15/04
Department: Parks & Recreation
Presenter: Ken Mickelsen
Phone: 473-5452
SUMMARY: Funds have been allocated in the 2004 budget for Gold Mountain Golf Course for the
purchase ora 4WD tractor. Staffis proposing purchasing a tractor in the amount of $21,612.75
utilizing the State Bid. Such a purchase is authorized pursuant to BMC 2.76.600(2).
ATTACHMENTS:
FISCAL IMPACTS (Include Budgeted Amount):
DEPARTMENT DIRECTOR:
CITY ATTORNEY: ~ z:~-/-~-v~
FiNANCE DIRECTOR: ~
MAYOR: ~-~.~.~ ~ ""
F ISC AL/13 U D GET: .~0~~__-_~
COUNCIL PRESIDENT:
RECOMMENDED MOTION: I move to authorize toe purchase ofa 4WD tractor utilizing the State
Bid for $21,612.75
COUNCIL ACTION: [] Approve [] Deny [] Table [] Continue [] No Action
DATE SUBMITTED: November 22, 2004 BILL # _ (9 ~t -
AGENDA BILL
CITY OF BREMERTON ~ ~
CITY COUNCIL
SUBJECT: Professional Services Committee Meeting Date: 12/8/04
Agreement amendment with Ed Faulk, COUNCIL MEETiNG Date: 12/15/04
Greens Superintendent Gold Mountain Golf Department: Parks and Recreation
Complex Presenter: Ken Mickelsen
Phone: 473-5752
SUMMARY: Staffproposes to amend the provisions of the Professional Services Agreement
(Greens Superintendent) between Mr. Ed Faulk and the City of Bremerton relating to compensation
and the term of the contract.
ATTACHMENTS:
1. Memorandum
2. Professional Services Agreement
3. Proposed Amendment to Professional Services Agreement
FISCAL IMPACTS (Include Budgeted Amount): The funds for the compensation package have
been budgeted for in the 2005 Gold Mountain budget.
APPROVALS:
DEPARTMENT DIRECTOR:
CITY ATTORNEY:
F1NANCE DIRECTOR:
MAYOR:
FISCAL/BUDGET: '/~)..e'~.-~ ' I
....... ~"~7/;"~ '{' )l~._..<.~~''' -- CONSENT AGENDA
ur~v,A'nONS: /l 'Y~==:=P~X.~5~ 'TX '~' I
COUNCIL PRESIDENT: ~ ,k~,,4--,.-- /Lq/l;~/~_ _
RECOMMENDED MOTION: I move to approve the ?ropoLffsed amendment to the Professional
Services Agreement between Ed Faulk and the City of Bremerton and authorize the Mayor to finalize
and execute the amendment with substantially the same terms and conditions as presented.
COUNCIL ACTION: [] Approve [] Deny [] Table [] Continue [] No Action
Parks and Recreation
Memorandum
TO: City Council
From: Ken Mickelsen, Director Parks and Recreation
I~e: Amending Professional Services Agreement with Mr. Ed Faulk
Dato: November 22, 2004
BACKGROUND:
Ed Faulk has been the Greens Superintendent at the Gold Mountain Golf Complex since
October 1, 1996. Under his leadership, the maintenance associated with the facility
continues to be of exceptional quality and is recognized as one of the top public golf
facilities in the Northwest. Mr. Faulk brings over 25 years of experience to this position,
including 13 years as assistant Greens Superintendent at Gold Mountain.
In 2003, the City of Bremerton entered into a one (1) year professional services
agreement with Mr. Ed Faulk as Greens Superintendent for the Gold Mountain Golf
Complex. The contract has an automatic renewal clause that allows the agreement to be
renewed yearly unless either party requests changes be made to the existing agreement.
SYNOPSIS:
I am recommending to the City Council that the contract with Ed Faulk be continued and
that the following sections to the existing agreement be amended as follows beginning
January 1, 2005:
Section 2. Terms:
Terms of the existing agreement be continued for three (3) additional years.
Section 4. Compensation:
The Director of Parks and Recreation shall be authorized to increase the compensation
annually, subject to City Council budgeting for the same. Any annual adjustment
exceeding 3% shall require City Council approval.
AMENDMENT NO. 1
TO PROFESSIONAL SERVICES AGREEMENT
BETWEEN THE CITY OF BREMERTON
AND EDWARD G. FAULK
This Amendment No. I specifically amends the Professional Services Agreement (Agreement)
entered into between the City of Bremerton (City) and Edward G. Faulk (Contractor) on
January 8, 2003. This Amendment shah become effective upon the date fully executed below.
All provisions in the Agreement shalI remain in full force and effect except as expressly modified
by this document.
For valuable consideration and by mutual consent of the parties, the modifications to the Agreccnent
are as follows:
I.
Section 2. Term is modified as follows:
This Agreement will commence on January 1, 2003 2005 and terminate on December 31,
terminated pursuant to Section 13.
Section 4. Compensation is modified as follows:
The Superintendent will be paid seven hundred twenty thousand dollars ($700,000720,000)
annually during 2005 for the services described herein fc, r 2003. Payments will be made in 24 equal
installments totaling ......... ;~ *~' ...... ~ ~ ~--~ ~ ..... ;"ttfirty th d d 11 ($30 000)
........ j ......... ~,~,, ...... ~. These installments will be made twice mon on a mutua
agreed schedule. The Director of Parks and Recreation is author/zed to increase the compensation
annually during the term of this Agreement in and amount not to exceed 3% per year. The parties
acknowledge and agree that, except as otherwise provided for in this contract, this compensation
covers all the Superintendent's costs of operations including:
a. Labor costs including, but not limited to, medical coverage for
Superintendent and employees, payroll, insurance, L&I, Board Expenses, dues, laundry, and
travel.
b. Taxes and fees including, but not limited to, retail sales, state and local B&O,
federal income, social security, and unemployment, and
c. Other costs and expenses related to Superintendent's operations under this
contract at the Gold Mountain Complex.
II.
Contractor accepts all requirements of this Amendment by endorsing below.
The parties whose names appear below swear under penalty of perjury that they are
authorized to enter into an Agreement Modification that is binding on the parties of this
contract. ~1 ~.~
IN WITNESS WHEREOF, the parties have executed this Amendment No. 1 on the day and
year written below.
EDWARD G. FAULK THE CITY OF BREMERTON
By Cary Bozeman
Its Mayor
DATE: DATE:
APPROVED AS TO FOR3/I: ATTEST:
Bremerton City Attorney City Clerk
R:\LEGAL\Conu-acts~PARKS~Faulk )anend 1.doc
DATE SUBMITTED: December 2, 2004 BILL # 0 q - a,~ 58
AGENDA BILL
CITY OF BREMERTON 5 ~
CITY COUNCIL
SUBJECT: Professional Services Committee Meeting Date: December 8, 2004
Agreement with the Law Office of David P. COUNCIL MEETiNG Date: December 15, 2004
Horton, Inc., P.S. for legal services Depamnent: City Attorney's Office
Presenter: Roger A. Lubovich
Phone: 473-2345
SUMMARY: David P. Horton is currently the Assistant City Attorney handling all of the City's
litigation. Mr. Horton also provides essential legal review and analysis for many of the City's
activities and projects. On January 1, 2005, Mr. Horton intends to leave the City and enter into
private practice. The proposed professional services agreement retains Mr. Horton's firm in order to
maintain continuity of representation for the City.
ATTACHMENTS: Proposed Professional Services Agreement
FISCAL IMPACTS (Include Budgeted Amount): Funds are budgeted in the 2005 budget for Risk
Management and the City Attorney's Office to fulfill the terms of the contract.
APPROVALS:
DEPARTMENT DIRECTOR: ~
CITY ATTORNEY:
FINANCE DIRECTOR:
MAYOR:
OPERATIONS: t';-~ /f'/ CONSENT
COUNCIL PRESIDENT: ~ ~ ? !~,4,-~ ~
RECOMMENDED MOTION:
I move to approve the Professional Services Agreement between the City of Bremerton and the Law
Office of David P. Horton, Inc., P.S. and authorize the Mayor to finalize and execute the agreement
with substantially the same terms and conditions as presented.
COUNCIL ACTION: [] Approve [] Deny [] Table [] Continue [] No Action
PROFESSIONAL SERVICES AGREEMENT
The City of Bremerton ("City") and Law Office of David P. Horton, Inc., P.S. ("Retained
Counsel"), referred to collectively as the "Parties," enter i ~to the following Agreement for
professional services:
I. Scope:
A. The Retained Counsel will represent the City oi!Bremerton on an as needed basis
in matters related to municipal government ~ervices as directed by the City
Attorney. Retained Counsel's primary role is prosecuting and defending lawsuits
for the City. Retained Counsel's secondary roll is work on general municipal and
transactional work. City shall provide the use, ~f City facilities and personnel for
administrative support for City related represen! ation.
B. It is acknowledged by the Parties that the servi :es contemplated herein are based
on Retained Counsel providing services equivaient to 60% of a full time
employee, however, it is further acknowledged ~hat such is only a benchmark and
that Retained Counsel may in fact provide le~;s or more services based on the
need. It is further acknowledged that any significant deviation from this
benchmark may warrant a renegotiation of term~ to the mutual satisfaction of both
Parties.
H. Term: This Agreement commences on January 1, 20C 5, and terminates on December 1,
2005.
IH. Compensation: In consideration of the services pro~ ided pursuant to this Agreement,
the City shall pay Retained Counsel a fixed retainer f, ir ail legai services provided in a
total amount not to exceed Sixty Seven Thousand Fi~ e Hundred Dollars and No Cents
($67,500) payable in twelve equal monthly installment,, no later than the fifteenth of each
month. City shall pay reasonable costs and expense~ related to services rendered by
Retained Counsel under this Agreement including but not limited to copy fees, postage,
phone expenses, court reporter fees, witness fees and mileage for out of county travel.
Payment will be made within thirty (30) days of billing.
IV. Insurance and Hold Harmless: Retained Counsel shall provide Certificates of
Insurance to the City's Risk Manager verifying the following coverage: a professional
liability policy ("E&O") providing coverage of One Million Dollars ($1,000,000) for
errors and omissions committed by Retained Counsel while performing its obligations
under this Agreement. The policy shall remain in fall force and effect, and provide
coverage for the full term of this Agreement. Insure shail provide the Risk Manager
with thirty (30) days' written notice of any cancellation or change of coverage of the
policy.
Retained Counsel shail be solely responsible for th: acts and failures to act of its
personnel, which arise in any way out of performance of this Agreement. Retained
Counsel agrees to defend, indemnify, and hold harmless the City and its officiais and
employees from and against all liability, loss, damages, and expenses, including costs and
attorneys' fees, resulting fi.om actions, claims, and lawsuits arising or alleged to have
arisen, in whole or in part, out of or in consequence of the acts or failures to act of
Retained Counsel, its employees, its subcontractors, its agents, or its assigns in the
performance of this Agreement. The City and Retained Counsel have specificaily
negotiated Retained Counsel's waiver of its immunity under Title 51 RCW, which is
hereby waived for purposes of Retained Counsel's indemnification and hold harmless of
the City, including the duty to defend. This provision shall be inapplicable to the extent
such action, claim, or lawsuit is judicially found to arise solely from the acts or failures to
act of the City.
V. Termination: The Parties agree that this Agreement will continue in full force and effect until
terminated. The City may terminate representation at any time, with or without cause upon
written notice to Retained Counsel. Retained Counsel reserves the right to withdraw from
representing the City if fees are not timely paid, or for any other appropriate cause.
VI. General Conditions:
A. Reports and Information: When requested by the City Attorney or a Bremerton
Assistant Attorney, Retained Counsel shall furnish periodic reports and
documents on matters covered by this Agreement. The reports and documents
shall be furnished in the time and form requested.
B. Entire Agreement: This Agreement constitutes the entire agreement between the
Parties, and the Parties acknowledge that there are no other agreements, written or
oral, that have not been set forth in the text of this Agreement.
C. Severability: Should any part of this Agreement be found void, the balance of
the Agreement shall remain in full force and effect.
D. Modification: This Agreement may only be modified by written instrument
signed by both Parties.
E.Notices: Notices shall be in writing and delivered to the following addresses:
CITY: RETAINED COUNSEL:
Roger A. Lubovich, City Attorney David P. Horton
City of Bremerton Law Office of David P. Horton, Inc., P.S.
345 Sixth Street, Suite 600 3212 NW Byron Street, Suite 104
Brc~merton, WA 98337 Silverdale, WA 98383
F. Waiver: Failure to enforce any provision ofth~s Agreement shall not be deemed
a waiver of that provision. Waiver of any right or power arising out of this
Agreement shall not be deemed a waiver of any other right or power.
G. Compliance with Laws: Retained Counsel shall comply with all applicable
Federal, State and local laws in performing its obligations under this Agreement.
Ici. Choice of Law and Venue: Tkis Agreement shall be interpreted according to the
laws of the State of Washington. Any judicial action to resolve disputes arising
out of this Agreement shall be brought in Kitsap County Super/or Court.
I. Attorneys' Fees: In the event of litigation to enforce any of the terms or
provisions herein, each party shall pay all its own costs and attorneys' fees.
VII. Nondiscrimination: Retained Counsel shall not discriminate in employment or services
to the public on the basis of race, color, national or/gin, sex, religion, age, marital status,
or disability, except for employment actions based on bona fide occupational
qualification.
CITY OF BREMERTON LAW OFFICE OF
DAVID P. HORTON, INC., P.S.
By: Cary Bozeman By: David P. Horton
Its: Mayor Its: President
APPROVED AS TO FORM: RECEIVED FOR FILiNG:
Roger A. Lubovich, City Attorney Paula Johnston, City Clerk
R:\LEGAL\Contracts\LEGAL\Horton Agreement.doc
DATE SUBMITTED: December 1,2004 BILL
AGENDA BILL
CITY OF BREMERTON
CITY COUNCIL
SUBJECT: Public hearing on Ordinance Committee Meeting Date: December 8, 2004
annexing land to the City of Bremerton COUNCIL MEETiNG Date: Dec. 15 and 22, 2004
Department: Community Development
Presenter: Chris Hugo
Phone: 473-5243
SUMMARY: The City received a petition for annexation requesting annexation of approximately
6.14 acres to the City of Bremerton. All of the requirements for annexation have been met and staff
recommends approval of the annexation under the terms and conditions of the proposed ordinance.
ATTACHMENTS:
Proposed Ordinance
Petition for Annexation
FISCAL IMPACTS (Include Budgeted Amount):
APPROVALS:
DEPARTMENT DIRECTOR:
CITY ATTORNEY:
FINANCE DIRECTOR:
MAYOR:
FISCAL/BUDGET:
-~:'~ ,-4-~--,~--'~T'~7~\7[; - ~'''7:'~:'7~'~ CONSENT AGENDA []
OPE~TIONS:
CO~CIL PRESIDENT:
~COMMENDED MOTION:
1. I move to approve the proposed ordin~ce on first reading ~exing approximately 6.14 acres to
the City of Br~on.
2. I move to pass Ordin~ce No. on second reading ~exing approximately 6.14 acres to
the City of Br~e~on.
COUNCIL ACTION: [] Approve [] Deny [] Table [] Continue [] No Action
ORDINANCE NO.
AN ORDINANCE of the City Council of the City
of Bremerton, Washington, annexing to the City certain
contiguous lands, comprised of approximately 6.14 acres,
generally bounded on the east side of Pine Road just south
of NE Roswell Drive, generally referred to as the "Racus
Annexation"; making the property annexed assume and be
subject to the City's proportionate share of its existing
indebtedness; requiring the adoption of the City's
Comprehensive Plan land use designation for the area as
well as a corresponding Zoning Map designation for the
area annexed; making January 10, 2005 the effective date
of the annexation; and authorizing the City Clerk to
determine the resident population within the annexation
area and to deliver required armexation information to the
State Office of Financial Management and to the Kitsap
County Board of Commissioners.
WHEREAS, in accordance with RCW 35.13.130, Applicant Kenneth A.
Racus as the owner of not less than 75 percent of the assessed valuation for general
taxation of certain real property, comprised of approximately 6.14 acres, the "Racus
Annexation" area, which is more particularly described in Exhibit A to this ordinance
(map attached as Exhibit B), petitioned the Bremerton City Council to annex the Racus
Annexation Area to the City of Bremerton; and
WHEREAS, the City has determined the Racus Annexation area petition
to be sufficient in all respects; and
WHEREAS, in accordance with RCW 35.13.130 the City Council,
pursuant to Resolution No. 2934, considered and authorized for circulation, a petition for
annexation of the proposed area for annexation; and
WHEREAS, on or about November 5, 2004, Kenneth A. Racus, as sole
owner of the property to be annexed into the City, sold all right, title and interest in said
property to The Brandywine Co., Inc.; and
WHEREAS, The Brandywine Co., Inc. concurs with the annexation
proceedings initiated by Kenneth Racus and desiring to continue with the same, as
Applicant, filed with the City on or about November 18, 2004, the required petition for
annexation as outlined by Resolution No. 2934 assuming the obligations of Mr. Kenneth
Racus for annexing the proposed property to the City; and
1
,30 Racus ~lnnexation
WHEREAS, the Applicant filed a Notice of Intention document with the
Washington State Boundary Review Board for Kitsap County ("BRB") on or about
October 14, 2004; and
WHEREAS, the BRB has completed its review of the Applicant's Notice
of Intention and annexation proposal; and
WHEREAS, pursuant to WAC 197-11-800(6)(d), armexation of territory
by a city or town is exempt from environmental (SEPA) review; and
WHEREAS, the City has published in The Sun newspaper on December
3, 2004, and posted notice of a public hearing on the proposed Racus Annexation in
accordance with RCW 35.13.140 so that interested persons could voice their approval or
disapproval of the annexation; and
WHEREAS, the City Council of the City of Bremerton held a public
hearing on the Racus Annexation in the City Council Chambers at a regularly scheduled
meeting of the Bremerton City Council at 5:30 p.m. on December 15, 2004 and on
December 22, 2004; and
WHEREAS, it appears to the City of Bremerton that the Racus
Annexation meets all requirements specified by law, that the land to be annexed is
contiguous to the City of Bremerton, and that the annexation area has not heretofore been
incorporated in or as a city or town; NOW THEREFORE,
THE CITY COUNCIL OF THE CITY OF BREMERTON,
WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS:
SECTION L The foregoing recitals are incorporated by this reference
and made a part hereof.
SECTION 2. There shall be annexed to the City of Bremerton, Washington,
certain property situated in Kitsap County, Washington, commonly known as the "Racus
Annexation" area, which property is legally described in Exhibit A, attached and incorporated by
this reference, and which is located and having the boundaries as indicated in the maps attached
as Exhibit B, which is incorporated by this reference.
SECTION 3. In accordance with the Racus Annexation property owners'
petition, the property hereby annexed shall assume and be subject to its proportionate share of
the City's existing indebtedness and shall be assessed and taxed at the same rate and on the same
basis that other property within the City of Bremerton is assessed and taxed to pay for any
outstanding general indebtedness of the City, if that indebtedness has been approved by the
voters, contracted for, or incurred prior to, or existing at the effective date of this annexation.
2
~l Racus Annexation
SECTION 4. The Racus Annexation area shall be subject to the City's
Comprehensive Plan land use designation of Low Density Residential (LDR) and Zoning of
Residential Low Density (SF3) and the Zoning map is hereby amended accordingly.
SECTION $. This annexation will become effective January 10, 2005, and on
that date, the annexation area shall become a part of the City of Bremerton, subject to all the laws
and ordinances of the City except as otherwise provided by law.
SECTION 6. Pursuant to RCW 35.13.260, within thirty (30) days from the
effective date of this annexation as provided by law, the City Clerk of the City of Bremerton
shall, under the direction of the Mayor of the City of Bremerton, determine the resident
population of the annexed territory, which population determination shall consist of an actual
enumeration of the population that shall be made in accordance with the practices and policies
and subject to approval of the State of Washington's Office of Financial Management and which
population shall be determined as of the effective date of this annexation as specified in this
ordinance. The City Clerk shall prepare a certificate signed by the Mayor and attested by the
City Clerk in such form and containing such information as shall be prescribed by the State
Office of Financial Management, and the City Clerk shall thereafter submit that certificate in
triplicate to the Office of Financial Management together with the population determination of
the annexed territory.
SECTION 7. Upon passage of this annexation ordinance, the City Clerk of the
City of Bremerton, pursuant to RCW 35.13.150, shall send to the Office of the Clerk of the
Kitsap County Board of Commissioners a certified copy of this ordinance together with a copy
of a letter from the BRB's Executive Secretary of the Kitsap County Boundary Review Board
that declares the BRB's decision relating to this annexation.
SECTION & Severability. If any one or more sections, subsections, or
sentences of this ordinance are held to be unconstitutional or invalid, such decision shall not
affect the validity of the remaining portion of this ordinance and the same shall remain in full
force and effect.
SECTION 9. Effective Date. This ordinance shall take effect and be in force ten
(10) days from and after its passage, approval and publication as provided by law.
APPROVED by the City Council the day of ,2004
PASSED by the City Council the day of ,2004
DAREN NYGREN, Council President
Approved this day of ,2004
CARY BOZEMAN, Mayor
3
~.~ Racus Annexation
ATTEST: APPROVED AS TO FORM:
PAULA JOHNSTON, City Clerk ROGER A. LUBOVICH, City Attorney
PUBLISHED the day of ,2004
EFFECTIVE the day of ,2004
ORDINANCE NO.
R:\LEGAL\Ordinances\Community Development\Racus Annexation.doc
4
~3 Racus Annexation
Part of Tract 18, Robeson's One, Two and Five Acre Tracts, as per Volume 1 of Plats,
Page 72, records of Kitsap County, described as follows:
Beginning at the Southwest comer of said Tract 18; thence North 2055'27'' East along the
West line of Tract 18, 95.99 feet, more or less to existing fence; thence South 85049'08''
East following the fence, 651.69 feet to the East line of Tract 18; thence following the
East line of Tract 18, South 3°02'33" West 59.80 feet more or less, to the Southeast
comer of said Tract 18; thence following the South line of Tract 18, North 88059'56''
West 652.46 feet to the point of beginning; situate in Kitsap County, Washington; and
TOGETHER WITH the East half of the fight-of-way of Pine Road abutting the above
described part of said Tract 18; and
Tract 19, Robeson's 1, 2, and 5 Acre Tracts, Volume 1 of Plats, Page 72, Kitsap County,
Washington.
Said parcels being situated on the east side of Pine Road approximately 100 feet south of
NE Roswell Drive, in the Northeast ¼ of Section 2, Township 24 North, Range 01 East,
W.M.; and
TOGETHER WITH the east half of the right-of-way of Pine Road abutting the above
described Tract 19.
EXHIBIT A
SHERIDAN
BURWE,LI . .,,
EXHIBIT B
PETITION FOR ARNEXATION OF TERRITORY
TO
CITY OF BREMERTON
City Council
CITY OF BREMERTON
239 - 4TM Street
Bremerton, Washington 98337
Whereas on August 11, 2004 the City Council of Bremerton held a
duly advertised public hearing to consider the Annexation
Petition of Kenneth A. Racus and did agree to proceed to take
the steps necessary to annex the Racus property so that such
property be included within the Corporate Limits of the City of
Bremerton; and
Whereas on November 5, 2004 Mr. Kenneth A. Racus did sell and
transfer all rights of ownership to the property described
herein to The Brandywine Co., Inc., Mr. Racus is no longer in a
position to pursue the annexation process started on August 11,
2004; and
Whereas Mr. Jerry L. Clark, the President of The Brandywine Co.,
Inc. does concur with the annexation proceedings started by Mr.
Racus and wishes continue with the annexation started by Mr.
Kenneth A. Racus, this petition is now made on behalf of that
Company; and
Whereas there were no dissenting property owners represented in
the properties proposed for annexation and therefore no need for
action to modify the petition proposal considered at the August
11, 2004 public hearing, it is necessary for The Brandywine Co.,
Inc. to file this second petition before the annexation process
can be completed; and
Whereas We the undersigned, who are the owners, according to the
records of the auditor of Kitsap County, of not less than 60% of
the area of the following described real property situated in
Kitsap County, Washington, respectfully present our final
petition that the said real property be annexed to the City of
Bremerton, Washington and we respectfully state as follows:
1. The area proposed to be annexed to the City is more
particularly described as follows:
Part of Tract 18, Robeson's One, Two and Five Acre Tracts, as per
Volume 1 of Plats, Page 72, records of Kitsap County, described as
follows:
Beginning at the Southwest corner of said Tract 18; thence North
2*55'27" East along the West line of Tract 18, 95.99 feet, more or
less to existing fence; thence South 85*49'08" East following the
fence, 651.69 feet to the East line of Tract 18; thence following the
East line of Tract 18, South 3*02'33" West 59.80 feet more or less, to
the Southeast corner of said Tract 18; thence following the South line
of Tract 18, North 88*59'56" West 652.46 feet to the point of
beginning; situate in Kitsap County, Washington; and
TOGETHER WITH the right-of-way of Pine Road.abutting the above
described part of said Tract 18; and ~
Tract 19, Robeson's 1,2 and 5 Acre Tracts, Volume 1 of Plats,
Page 72, Kitsap County, Washington
Said parcels being situated on the east side of Pine Road
approximately 100 feet South of NE Roswell Drive, in the
Northeast h of Section 2, Township 24 North, Range 01, East,
W.M.; and
TOGETHER WITH the right-of-way of Pine Road abutting the above
described Tract 19.
2. The said area adjoins the existing boundaries of the City of
Bremerton and is in Kitsap County.
3. A plat map outlining the boundaries of the real property
described above is attached hereto and made a part of this
petition.
4. The undersigned petitioners respectfully request the City
Council of the City of Bremerton to entertain this petition and
fix a date for public hearing thereon, such date to be not less
than fifteen (15) days after notice of the date and time of the
hearing has been published in one issue of a newspaper in
general circulation in the area proposed to be annexed, the said
notices are to specify the time and place of hearing and invite
interested parties to appear and voice approval or disapproval
for the proposed annexation
Property Owner Name: Tax ID No._ 3962-000-018-0000
The Brandywine Co., Inc.
Jerry L. Clark, President
5775 Soundview Dr., #104A, Gig Harbor, Wa. 98335
Date:
2
Property Owner Name: Tax ID No._ 3962-000-019-0009
Jerry ~/Clark, President
5775 Soundview Dr., #104A, Gig Harbor, Wa. 98335
Date: //~ /~--~ ~
STATE OF WASHINGTON )
)ss
KITSAP COUNTY )
On this I~~ day of ~6~A~--YL , 2004, before me, the
undersigned, a Notary Public in and for the State of Washington,
duly commissioned and sworn, personally appeared Jerry L. Clark,
President of The Brandywine Co., Inc., to me known to be the
individual described herein and who executed the within and
foregoing instrument, and acknowledge that H__e signed the same as
His free and voluntary act and deed, for the uses and purposes
therein mentioned, and on oath stated that He was authorized to
execute said instrument.
WITNESS MY HAND AND OFFICIAL SEAL this l~day of November,
2004.
:,,
.~.$'~ .... ~%-~. NOTAR LIC in and for the State of Washington
"~ --- t[~;'" My Co~ission Expires: ~ O ~Z
3
DATE SUBMITTED: 12/2/04 BILL # 0q - 2
AGENDA BILL
CITY OF BREMERTON 7 B
CITY COUNCIL
SUBJECT: Public Hearing & Ordinance Committee Meeting Date: 12/8/04
Amending Chapter 3.48 of Bremerton COUNCIL MEETING Date: 12/15/04 & 12/22/04
Municipal Code Updating B/O Tax Department: City Attorney's Office
Provisions Consistent with EHB 2030 Presenter: Roger A. Lubovich
Phone: 473-2345
SUMMARY:
On December 18, 2002, the City Council passed Ordinance No. 4843 adopting a new B&O Tax Code
codified in Chapter 3.48 BMC. On April 21, 2003, the state legislature passed EHB 2030 establishing
certain mandatory provisions to be included in Cities' B&O tax codes. One oftbe main issues
addressed in this bill is apportionment of taxes among competing taxing jurisdictions. The proposed
ordinance adopts these mandatory provisions and other changes including the following: 1. Changes or additions to the definitions of terms used in Chapter 3.48 BMC.
2. Removes the minimum tax and establishes an exemption from taxation for businesses with
gross proceeds of $20,000 or less per year.
ATTACHMENTS: 1) Proposed Ordinance
FISCAL IMPACTS (Include Budgeted Amount): Implementation of the $20,000 threshold
exemption will result in a $35,000 to $50,000 reduction in annual B/O tax revenue.
APPROVALS:
DEPARTMENT DIRECTOR:
CITY ATTORNEY:
FINANCE DIRECTOR:
MAYOR:
OPERATIONS: ~ ff.~__7~.~o?.__:.~ CONSENT AGENDA []
COUNCIL PRESIDENT:
RECOMMENDED MOTION:
Move to approve an Ordinance on first reading amending Chapter 3.48 oftbe Bremerton Municipal
Code entitled "Business and Occupation Tax" to update provisions consistent with EHB 2030.
Move to pass Ordi~nce No. on second reading.
COUNCIL ACTION: [] Approve [] Deny [] Table [] Continue [] No Action
ORDINANCE NO.
AN ORDINANCE of the City Council of the City of
Bremerton, Washington, amending Chapter 3.48 of the Bremerton
Municipal Code entitled "Business and Occupation Tax" to update
the provisions of Chapter 3.48 consistent with the requirements of
EHB 2030 passed by the state legislature during the 2003
legislative session.
WHEREAS, the City Council passed ordinance No. 4843 on December 18, 2002,
adopting a new business and occupation tax code for the city; and
WHEREAS, the state legislature passed EHB 2030 on April 21, 2003,
establishing certain mandatory provisions to be included in business and occupation tax codes;
and
WHEREAS, cities having business and occupation tax codes must adopt the
mandatory provisions by December 31, 2004; and
WHEREAS, the City Council desires to amend its business and occupation tax
code in compliance with EHB 2030; NOW THEREFORE,
THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON,
DOES HEREBY ORDAIN AS FOLLOWS:
SECTION1. Section 3.48.030 of the Bremerton Municipal Code entitled
"Definitions" relating to Business and Occupation Taxes is hereby amended to read as follows:
3.48.030 DEFINITIONS.
In construing the provisions of this chapter, the following definitions shall be applied. Words
in the singular number shall include the plural, and the plural shall include the singular.
"Advance," "reimbursement."
(1) "Advance" means money or credits received by a taxpayer f~om a cnstomer or client
with which the taxpayer is to pay costs or fees on behalf of the customer or client.
(2) "Reimbursement" means money or credits received from a customer or client to repay
the taxpayer for money or credits expended by the taxpayer in payment of costs or fees of the
customer or client.
"Agricultural product," "farmer."
(1) "Aghcultural product" means any product of plant cultivation or animal husbandry
including, but not limited to: A product of horticulture, grain cultivation, venniculture, viticulture, or
aquaculture as defined in RCW 15.83.480; plantation Christmas trees; turf; or any animal including
but not limited to an animal that is a private sector cultured aquatic product as defined in RCW
15.83.480, or a bird, or insect, or the substances obtained from such an animal. "Agriculttwal product"
does not include animals intended to be pets.
(2) "Farmer" means any person engaged in the business of growing or producing, upon
the person's own lands or upon the lands in which the person has a present right of possession, any
2004 Amendment - B&O Tax
agricultural product whatsoever for sale. "Farmer" does not include a person using such products as
ingredients in a manufacturing process, or a person growing or producing such products for the
person's own consumption. "Farmer" does not include a person selling any animal or substance
obtained therefrom in connection with the person's business of operating a stockyard or a slaughter or
packing house. "Farmer" does not include any person in respect to the business of taking, cultivating,
or raising timber.
"Artistic or cultural organization". As used in this chapter:
(1) The term "artistic or cultural organization" means an organization which is organized
and operated exclusively for the purpose of providing artistic or cultural exhibitions, presentations, or
performances or cultural or art education programs, as defined in subsection (10) of this section, for
viewing or attendance by the general public.
(2) The organization must be a not-for-profit corporation under chapter 24.03 RCW.
(3) The organization must be managed by a goveming board of not less than eight (8)
individuals none of whom is a paid employee of the organization or by a corporation sole under
chapter 24.12 RCW.
(4) No part of its income may be paid directly or indirectly to its members, stockholders,
officers, directors, or trustees except in the form of services rendered by the corporation in accordance
with its purposes and bylaws.
(5) Salary or compensation paid to its officers and executives must be only for actual
services rendered, and at levels comparable to the salary or compensation of like positions within the
state.
(6) Assets of the corporation must be irrevocably dedicated to the activities for which the
exemption is granted and, on the liquidation, dissolution, or abandonment by the corporation, may not
inure directly or indirectly to the benefit of any member or individual except a non-profit organization,
association, or corporation which also would be entitled to the exemption.
(7) The corporation must be duly licensed or certified when licensing or certification is
required by law or regulation.
(8) The amounts received that qualify for exemption must be used for the activities for
which the exemption is granted.
(9) Services must be available regardless of race, color, national origin, ancestry, religion,
age, sex, marital status, sexual orientation, Vietnam or disabled veteran status, or the presence of any
mental or physical disability.
(10) The term "artistic or cultural exhibitions, presentations, or performances or cultural or
art education programs" is limited to:
(a) An exhibition or presentation of works of att or objects of cultural or historical
significance, such as those commonly displayed in art or history museums;
(b) A musical or dramatic performance or series of performances; or
(c) An educational seminar or program, or series of such programs, offered by the
organization to the general public on an artistic, cultural, or historical subject.
"Business." "Business" includes all activities engaged in with the object of gain, benefit, or
advantage to the taxpayer or to another person or class, directly or indirectly.
"Bualness and.occupation tax." "Business and occupation tax" or "gross receipts tax" means a tax
imposed on or measured by the value of products~ the gross income of the business~ or the gross
proceeds of sales~ as the case may be, and that is the legal liability of the business.
"Cash discount." "Cash discount" means a deduction fi.om the invoiced amount allowed by the
seller if the bill is paid within a certain time period or before a specified date.
2004 Amendment- B&O Tax
"City." "City" means City of Bremerton, Washington.
"Commercial or industrial use." "Commercial or industrial use" means the following uses of
products, including by-products, by the extractor or manufacturer thereof: (1) Any use as a consumer;
(2) Any use in the manufacturing of products including articles, substances or
commodities; or
(3) Consigning, shipping or transfen'ing extracted or manufactured products to another
either without consideration or in the performance of contracts.
"Competitive telephone service." "Competitive telephone service" means the providing by any
person 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 Title 80 RCW
and for which a separate charge is made.
"Consumer." "Consumer" means the following:
(1) Any person who purchases, acquires, owns, holds, or uses any tangible or intangible
personal property irrespective of the nature of the person's business and including, among others,
without limiting the scope hereof, persons who install, repair, clean, alter, improve, construct, or
decorate real or personal property of or for a consumer other than for the purpose of:
(a) resale as tangible or intangible personal property in the regular course of
business;
0o) incorporating such property as an ingredient or component of real or personal
property when installing, repairing, cleaning, altering, imprinting, improving, constructing, or
decorating such real or personal property of or for consumers;
(c) incorporating such property as an ingredient or component of a new product or
as a chemical used in processing a new product when the primary propose of such chemical is to
create a chemical reaction directly through contact with an ingredient of a new product; or
(d) consuming the property in producing ferrosilicon which is subsequently used
in producing magnesium for sale, if the primary purpose of such property is to create a chemical
reaction directly through contact with an ingredient of ferrosilicon;
(2) Any person engaged in any business activity taxable under BMC 3.48.050(1)(g);
(3) Any person who purchases, acquires, or uses any competitive telephone service as
herein defined, other than for resale in the regular course of business;
(4) Any person who purchases, acquires, or uses any personal, business, or professional
service defined as a retail sale or retail service in BMC 3.48.030 other than for resale in the regular
course of business;
(5) Any person who is an end user of software;
(6) Any person engaged in the business of"public road construction" in respect to
tangible personal property when that person incorporates the tangible personal property as an
ingredient or component of a publicly-owned street, place, road, highway, easement, right-of-way,
mass public transportation terminal or parking facility, bridge, tunnel, or trestle by installing, placing
or spreading the property in or upon the right-of-way of a publicly-owned street, place, road, highway,
easement, bridge, tunnel, or trestle or in or upon the site ora publicly-owned mass public
transportation terminal or parking facility;
(7) Any person who is an owner, lessee or has the right of possession to or an easement in
real property which is being constructed, repaired, decorated, improved, or otherwise altered by a
person engaged in business;
2004 Amendment- B&O Tax
(8) Any person who is an owner, lessee, or has the right of possession to personal property
which is being constructed, repaired, improved, cleaned, imprinted, or otherwise altered by a person
engaged in business;
(9) Any person engaged in "government contracting." Any such person shall be a
consumer within the meaning of this subsection in respect to tangible personal property incorporated
into, installed in, or attached to such building or other structure by such person;
Nothing contained in this or any other subsection of this section shall be construed to modify any
other definition of "consumer."
"Deficiency." "Deficiency" means the amount of tax imposed by law less any tax repo~ted by the
taxpayer on a tax return.
"Director." "Director" means the Director of Finance of the City or any officer, agent or employee of
the City designated to act on the Director's behalf.
"Eligible gross receipts tax." The term "eligible gross receipts tax" means a tax which:
(1) Is imposed on the act or privilege of engaging in business activities within section
.050; and
(2) Is measured by the gross volume of business, in terms of gross receipts and is not an
income tax or value added tax; and
(3) Is not, pursuant to law or custom, separately stated from the sales price; and
(4) Is not a sales or use tax, business license fee, franchise fee, royalty or severance tax
measured by volume or weight, or concession charge, or payment for the use and enjoyment of
property, property right or a privilege; and
(5) Is a tax imposed by a local jurisdiction, whether within or without the State of
Washington, and not by a Country, State, Province, or any other non-local jurisdiction above the
County level.
"Engaging in business" - "nexus"
(1) The term "engaging in business" means commencing, conducting, or continuing in
business, and also the exercise of corporate or franchise powers, as well as liquidating a business when
the liquidators thereof hold themselves out to the public as conducting such business.
(2) This section sets forth examples of activities that constitute engaging in business in the
City, and establishes safe harbors for certain of those activities so that a person who meets the criteria
may engage in de minimus business activities in the City without having to register and obtain a
business license or pay City business and occupation taxes. The activities listed in this section are
illustrative only and are not intended to narrow the definition of"engaging in business" in subsection
(1). If an activity is not listed, whether it constitutes engaging in business in the City shall be
determined by considering all the facts and circumstances and applicable law.
(3) Without being all inclusive, any one of the following activities conducted within the
City by a person, or its employee, agent, representative, independent contractor, broker or another
acting on its behalf constitutes engaging in business and requires a person to register and obtain a
business license pursuant to Chapter 5.02 BMC.
(a) Owning, renting, leasing, maintaining, or having the right to use, or using,
tangible personal property, intangible personal property, or real property permanently or temporarily
located in the City.
(b) Owning, renting, leasing, using, or maintaining, an office, place of business, or
other establishment in the City.
(c) Soliciting sales.
2004 Amendment - B&O Tax
(d) Making repairs or providing maintenance or service to real or tangible
personal property, including warranty work and property maintenance.
(e) Providing technical assistance or service, including quality control, product
inspections, warranty work, or similar services on or in connection with tangible personal property
sold by the person or on its behalf.
(f) Installing, constructing, or supervising installation or construction of, real or
tangible personal property.
(g) Soliciting, negotiating, or approving fi'anchise, license, or other similar
agreements.
(h) Collecting current or delinquent accounts.
(i) Picking up and transponSng tangible personal property, solid waste,
construction debris, or excavated materials.
(j) Providing disinfecting and pest control services, employment and labor pool
services, home nursing care, janitorial services, appraising, landscape architectural services, security
system services, surveying, and real estate services including the listing of homes and managing mai
property.
(k) Rendering professional services such as those provided by accountants,
architects, attorneys, auctioneers, consultants, engineers, professional athletes, barbers, baseball clubs
and other sports organizations, chemists, consultants, psychologists, court reporters, dentists, doctors,
detectives, laboratory operators, teachers, veterinarians.
(1) Meeting with customers or potential customers, even when no sales or orders
are solicited at the meetings.
(m) Training or recruiting employees, agents, representatives, independent
contractors, brokers or others, domiciled or operating on a job in the City, acting on its behalf, or for
customers or potential customers.
(n) Investigating, resolving, or otherwise assisting in resolving customer
complaints.
(o) In-store stocking or manipulating products or goods, sold to and owned by a
customer, regardless of where sale and delivery of the goods took place.
(p) Delivering goods in vehicles owned, rented, leased, used, or maintained by the
person or another acting on its behalf.
(q) Accepting or executing a contract with the City, flrespective of whether goods
or services are delivered within or without the City, or whether the person's office or place of business
is within or without the City.
(4) If a person, or its employee, agent, representative, independent contractor, broker or
another acting on the person's behalf, engages in no other activities in or with the City but the
following, it need not register and obtain a business license and pay tax.
(a) Meeting with suppliers of goods and services as a customer.
(b) Meeting with government representatives in their official capacity, other than
those performing contracting or purchasing functions.
(c) Attending meetings, such as board meetings, retreats, seminars, and
conferences, or other meetings wherein the person does not provide training in connection with
tangible personal property sold by the person or on its behalf.
(d) Renting tangible or intangible property as a customer when the property is not
used in the City.
2004 Amendment- B&O Tax
(e) Attending, but not participating in a "trade show" or "multiple vendor events".
Persons participating at a trade show shall review the City's trade show or multiple vendor event
ordinances.
(f) Mere delivery ofgnods via common carder.
(g) Conducting advertising through the mail.
(h) Soliciting sales by phone from a location outside the City.
(5) A seller located outside the City merely delivering goods into the City by means of
common cartier is not required to register and obtain a business license provided that it engages in no
other business activities in the City.
(6) "Nexus" A person has created nexus with the City if, whether itself or by its
employees, agents, representative, independent contractom, brokers or othem acting on its behalf, it:
(a) is physically present in the City;
(b) endeavors to maintain a share of the market within the City; or
(e) avails itself of the economic benefits of the City.
The City expressly intends that engaging in business include any activity sufficient to establish
nexus for purposes of applying the tax under the law and the constitutions of the United States and the
State of Washington. Nexus is presumed to continue as long as the taxpayer benefits from the activity
that constituted the original nexus generating contact or subsequent contacts.
"Extracting." "Extracting" is the activity engaged in by an extractor and is reportable under the
extracting classification.
"Extractor." "Extractor" means every person who from the person's own land or from the land of
another under a right or license granted by lease or contract, either directly or by contracting with
others for the necessary labor or mechanical services, for sale or for commercial or industrial use,
mines, quarries, takes or produces coal, oil, natural gas, ore, stone, sand, gravel, clay, mineral or other
natural resource product; or fells, cuts or takes timber, Christmas trees, other than plantation Christmas
trees, or other natural products; or takes fish, or takes, cultivates, or raises shellfish, or other sea or
inland water foods or products. "Extractor" does not include persons performing under contract the
necessary labor or mechanical services for others; persons cultivating or raising fish entirely within
confined rearing areas on the person's own land or on land in which the person has a present right of
possession; or persons who fell, cut, or take plantation Christmas trees from the person's own land or
from land in which the person has a present right of possession.
"Extractor for Hire" "Extractor for hire" means a person who performs under contract necessary
labor or mechanical services for an extractor.
"Government contracting." "Govemment contracting" means the constmcfing, repairing,
decorating, or improving of new or existing buildings or other structures under, upon, or above real
property of or for the United States, any instrumentality thereof, or a county or city housing authority
created pursuant to RCW Chapter 35.82, including the installing or attaching of any article of tangible
personal property therein or thereto, whether or not such personal property becomes a part of the
realty by virtue of installation. The term shall include the clearing of land and the moving of earth of
or for the Untied States, any instrumentality, thereof, or a county of city housing authority.
"Gross income of the business." "Gross income of the business" means the value proceeding or
accruing by reason of the cf ~c business activity engaged in and includes gross proceeds of sales,
compensation for the rendition of services, gains realized t?om trading in stocks, bonds, or other
evidences of indebtedness, interest, discount, rents, royalties, fees, commissions, dividends, and other
emoluments however designated, all without any deduction on account of the cost of tangible property
2004 Amendment- B&O Tax
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.
"Gross proceeds of sales." "Gross proceeds of sales" means the value proceeding or accruing from
the sale of tangible personal property or for services rendered, without any deduction on account of
the cost of property sold, the cost of materials used, labor costs, interest, discount paid, delivery costs,
taxes, or any other expense whatsoever paid or accrued and without any deduction on account of
losses.
"In this City," "within this City." "In this City" or "within this City" includes all federal areas lying
within the corporate city limits of the City.
"Janitorial Services." The term "Janitorial Services" shall mean those cleaning and care taking
services ordinarily performed by commercial janitor service businesses including, but not limited to,
wall and window washing, floor cleaning and waxing, and the cleaning in place of rugs, drapes and
upholstery. The term does not include painting, papering, repairing, furnace or septic tank cleaning,
snow removal, sandblasting, or cleanup related to construction activities.
"Manufacturing." "Manufacturing" means the activity conducted by a manufacturer and is reported
under the manufacturing classification.
"Manufacturer," "to manufacture."
(I) "Manufacturer" means every person who, either directly or by contracting with others
for the necessary labor or mechanical services, manufactures for sale or for commercial or industrial
use from the person's own materials or ingredients any products. When the owner of equipment or
facilities furnishes, or sells to the customer prior to manufacture, materials or ingredients equal to less
than twenty percent (20%) of the total value of all materials or ingredients that become a part of the
finished product, the owner of the equipment or facilities will be deemed to be a processor for hire and
not a manufacturer. A business not located in this City that is the owner ofmat~-ials or ingredients
processed for it in this City by a processor for hire shall be deemed to be engaged in business as a
manufacturer in this City.
(2) "To manufacture" means all activities of a commercial or industrial nature wherein
labor or skill is applied, by hand or machinery, to materials or ingredients so that as a result therenf a
new, different or useful product is produced for sale or commercial or industrial use, and shall include:
(a) the production of special made or custom made articles;
(b) the production of dental appliances, devices, restorations, substitutes, or other
dental laboratory products by a dental laboratory or dental technician;
(c) crushing and/or blending of rock, sand, stone, gravel, or ore; and
(d) the producing of articles for sale, or for commercial or industrial use from raw
materials or prepared materials by giving such materials, articles, and substances of trade or
commerce new forms, qualities, properties or combinations including, but not limited to, such
activities as making, fabricating, processing, refining, mixing, slaughtering, packing, aging, curing,
mild curing, preserving, canning, and the preparing and freezing of fresh fruits and vegetables.
"To manufacture" shall not include the production of computer soi~vare if the computer
software is delivered from the seller to the purchaser by means other than tangible storage media,
including the delivery by use ora tangible storage media where the tangible storage media is not
physically transferred to the purchaser.
"Newspaper," "magazine," "periodical." "Newspaper" means a publication offered for sale
regularly at stated intervals at least once a week and printed on newsprint in tabloid or broadsheet
format folded loosely together without stapling, glue, or any other binding of any kind.
2004 Amendment- B&O Tax
"Magazine, or periodical" means any printed publication, other than a newspaper, issued and offered
for sale regularly at stated intervals at least once every three (3) months, including any supplement or
special edition of the publication. Any publication meeting this definition qualifies regardless of its
content.
"Non-profit corporation or non-profit organization." "Non-profit corporation or non-profit
organization" means a corporation or organization in which no part of the income can be distributed to
its members, directors, or officers and that holds a current tax exempt status as provided under Sec.
501 (c)(3) of the Internal Revenue Code, as hereafter amended, or is specifically exempted fi'om the
requirement to apply for its tax exempt status under Sec. 501(c)(3) of the Internal Revenue Code, as
hereafter amended. Where the term non-profit organization is used, it is meant to include a non-profit
corporation.
"Office", "place of business." "Office" or "place of business" means a fixed location or permanent
facility where the regular business of the person is conducted and which is either owned by the person
or over which the person exercises legal dominion and control. The regular business of the person is
presumed conducted at a location:
(1) Whose address the person uses as its business mailing address,
(2) Containing a telephone line listed in a public telephone directory or other similar
publication under the business name; and
(3) Where the person holds itself out to the general public as conducting its regular
business through signage or other means; and
(4) Where the person is required to obtain any appropriate state and local business license
or registration unless they are exempted by law from such requirement.
A vehicle such as a pick-up, van, truck, boat or other motor vehicle is not an office or place of
business. A post office box is not an office or place of business.
If a person has an office or place of business, the person's home is not an office or place of business
unless it meets the criteria for office or place of business above. Ifa person has no office or place of
business, the person's home or apartment within the City will be deemed the place of business.
"Person." "Person" means any individual, receiver, administrator, executor, assignee, trustee in
bankruptcy, trust, estate, finn, co-partnership, joint venture, club, company, joint stock company,
business trust, municipal corporation, political subdivision of the State of Washington, corporation,
limited liability company, association, society, or any group of individuals acting as a unit, whether
mutual, cooperative, fraternal, non-profit, or otherwise and the United States or any instrumentality
thereof.
"Precious metal bullion or monetized bullion." "Precious metal bullion" means any precious metal
which has been put through a process of smelting or refining, including, but not limited to, gold, silver,
platinum, rhodium, and palladium, and which is in such state or condition that its value depends upon
its contents and not upon its form. For purposes of this section, "monetized bullion" means coins or
other forms of money manufactured fi-om gold, silver, or other metals and heretofore, now, or
hereafter used as a medium of exchange under the laws of this state, the United States, or any foreign
nation, but does not include coins or money sold to be manufactured into jewelry or works of art.
"Processing for hire." "Processing for hire" means the performance of labor and mechanical services
upon materials or ingredients belonging to others so that as a result a new, different or useful product
is produced for sale, or commercial or industrial use. A processor for hire is any person who would be
a manufacturer if that person were performing the labor and mechanical services upon that person's
own materials or ingredients. Ifa person fumishes, or sells to the customer prior to manufacture,
materials or ingredients equal to twenty percent (20%) or more of the total value of all materials or
8
~_ 2004 Amendment- B&O Tax
ingredients that become a part of the finished product the person will be deemed to be a manufacturer
and not a processor for hire.
"Product", "Byproduct." "Product" means tangible personal property, including articles, substances,
or commodities created, brought forth, extracted, or manufactured by human or mechanical effort.
"Byproduct" means any additional product, other than the principal or intended product, which results
fi:om extracting or manufacturing activities and which has a market value, without regard to whether
or not such additional product was an expected or intended result of the extracting or manufacturing
activities.
"Public road construction." "Public road construction" means the building, repairing, or improving
of any street, place, mad, highway, easement, right-of-way, mass public transportation terminal or
parking facility, bridge, tunnel, or trestle which is owned by a municipal corporation or a political
subdivision of the state or by the United States and which is used or to be used primarily for foot or
vehicular traffic including mass transportation vehicles of any kind.
"Reporting period." "Reporting period" means:
(1) A one-month period beginning the first day of each calendar month (monthly); or
(2) A three-month period beginning the first day of January, April, July or October of each
year (quarterly); or
(3) A twelve-month period beginning the first day of January of each year (annual).
"Retailing." "Retailing" means the activity of engaging in making sales at retail and is reported
under the retailing classification.
'_'Retail Service."_ "Retail service" shall include the sale of or charge made for personal, business, or
professional services including amounts designated as interest, rents, fees, admission, and other
service emoluments however designated, received by persons engaging in the following business
activities:
(1) Amusement and recreation services including but not limited to golf, pool, billiards,
skating, bowling, swimming, bungee jumping, ski lifts and tows, basketball, racquet ball, handball,
squash, tennis, batting cages, day trips for sightseeing purposes, and others, when provided to
consumers. "Amusement and recreation services" also include the provision of related facilities such
as basketball courts, tennis courts, handball courts, swimming pools, and charges made for providing
the opportunity to dance. The term "amusement and recreation services" does not include instructional
lessons to learn a particular activity such as tennis lessons, swimming lessons, or archery lessons.
(2) Abstract, tire insurance, and escrow services;
(3) Credit bureau services;
(4) Service charges associated with tickets to professional sporting events; and
(5) The following personal services: Physical fitness services, tanning salon services,
tattoo parlor services, steam bath services, turkish bath services, escort services, and dating services.
(6) The term shall also include the renting or leasing of tangible personal property to
consumers and the rental of equipment with an operator.
"Return." "Return" means any document a person is required by the City to file to satisfy or
establish a tax or fee obligation that is administered or collected by the City and that has a statutorily
defined due date.
"Royalties." "Royalties" means compensation for the use of intangible property, such as copyrights,
patents, licenses, fi:anchises, trademarks, tradenames, and similar items.
"Sale," "casual or isolated sale."
(1) "Sale" means any transfer of the ownership of, title to, or possession of, property for a
valuable consideration and includes any activity classified as a "sale at retail," "retail sale, or "retail
2004 Amendment - B&O Tax
service." It includes renting or leasing, conditional sale contracts, leases with option to purchase, and
any contract under which possession of the property is given to the purchaser but title is retained by
the vendor as security for the payment of the purchase price. It also includes the furnishing of food,
drink, or meals for compensation whether consumed upon the premises or not.
(2) "Casual or isolated sale" means a sale made by a person who is not engaged in the
business of selling the type of property involved on a routine or continuous basis.
"Sale at retail," "retail sale."
(1) "Sale at retail" or "retail sale" means every sale of tangible personal property
(including articles produced, fabricated, or imprinted) to all persons irrespective of the nature of their
business and including, among others, without limiting the scope hereof, persons who install, repair,
clean, alter, improve, construct, or decorate real or personal property of or for consumers, other than a
sale to a person who presents a resale certificate under RCW 82.04.470 and who:
(a) Purchases for the purpose of resale as tangible personal property in the
regular course of business without intervening use by such person; or
(b) Installs, repairs, cleans, alters, imprints, improves, constructs, or decorates
real or personal property of or for consumers, if such tangible personal property becomes an
ingredient or component of such real or personal property without intervening use by such
person; or
(c) Purchases for the purpose of consuming the property purchased in
producing for sale a new article of tangible personal property or substance, of which such
property becomes an ingredient or component or is a chemical used in processing, when the
primary purpose of such chemical is to create a chemical reaction directly through contact with
an ingredient of a new article being produced for sale; or
(d) Purchases for the purpose of consuming the property purchased in
producing ferrosilicon which is subsequently used in producing magnesium for sale, if the
primary purpose of such property is to create a chemical reaction directly through contact with
an ingredient of ferrosilicon; or
(e) Purchases for the purpose of providing the property to consumers as part
of competitive telephone service, as defined in RCW 82.04.065. The term shall include every
sale of tangible personal property which is used or consumed or to be used or consumed in the
performance of any activity classified as a "sale at retail" or "retail sale" even though such
property is resold or utilized as provided in (a), (b), (c), (d), or (e) of this subsection following
such use.
(2) "Sale at retail" or "retail sale" also means every sale of tangible personal property to
persons engaged in any business activity which is taxable under BMC 3.48.050(1)(g).
(3) "Sale at retail" or "retail sale" shall include the sale of or charge made for tangible
personal property consumed and/or for labor and services rendered in respect to the following:
(a) The installing, repairing, cleaning, altering, imprinting, or improving of
tangible personal property of or for consumers, including charges made for the mere use of
facilities in respect thereto, but excluding charges made for the use of coin-operated laundry
facilities when such facilities are situated in an apartment house, rooming house, or mobile home
park for the exclusive use of the tenants thereof, and also excluding sales of laundry service to
nonprofit health care facilities, and excluding services rendered in respect to live animals, birds
and insects;
(b) The constructing, repairing, decorating, or improving of new or existing
buildings or other structures under, upon, or above real property of or for consumers, including
10
rtl 2004 Amendment - B&O Tax
the installing or attaching of any article of tangible personal property therein or thereto, whether
or not such personal property becomes a part of the realty by virtue of installation, and shall also
include the sale of services or charges made for the clearing of land and the moving of earth
excepting the mere leveling of land used in commercial farming or agriculture;
(c) The charge for labor and services rendered in respect to constructing,
repairing, or improving any structure upon, above, or under any real property owned by an owner
who conveys the property by title, possession, or any other means to the person performing such
constxuction, repair, or improvement for the purpose of performing such construction, repair, or
improvement and the property is then reconveyed by title, possession, or any other means to the
original owner;
(d) The sale of or charge made for labor and services rendered in respect to
the cleaning, fumigating, razing or moving of existing buildings or structures, but shall not
include the charge made for janitorial services, which is taxed as a service in this chapter;
(e) The sale of or charge made for labor and services rendered in respect to
automobile towing and similar automotive transportation services, but not in respect to those
required to report and pay taxes under chapter 82.16 RCW;
(f) The sale of and charge made for the furnishing of lodging and all other
services, except network telephone service and cable service, by a hotel, rooming house, tourist
court, motel, trailer camp, and the granting of any similar license to use real property, as
distinguished from the renting or leasing of real property, and it shall be presumed that the
occupancy of real property for a continuous period of one month or more constitutes a rental or
lease of real property and not a mere license to use or enjoy the same;
(g) The sale of or charge made for tangible personal property, labor and
services to persons taxable under (a), (b), (c), (d), (e), and (f) of this subsection when such sales
or charges are for property, labor and services which are used or consumed in whole or in part by
such persons in the performance of any activity defined as a "sale at retail" or "retail sale" even
though such property, labor and services may be resold after such use or consumption. Nothing
contained in this subsection shall be construed to modify subsection (1) of this section and
nothing contained in subsection (1) of this section shall be construed to modify this subsection.
(4) "Sale at retail" or "retail sale" shall also include the providing of competitive
telephone service to consumers.
(5) "Sale at retail" or "retail sale" shall also include the sale of canned sofiware other than
a sale to a person who presents a resale certificate under RCW 82.04.470, regardless of the method of
delivery to the end user, but shall not include custom software or the customization of canned
sofavare.
(6) "Sale at retail" or "retailsale" shall also include' the sale of or charge made for labor
and services rendered in respect to "pubhc road construction."
(7) "Sale at retail" or "retail sale" shall also include the sale of or charge made for labor
and services rendered in respect to "government contracting."
(8) "Sale at retail" or "retail sale" shall also include automobile parking and storage garage
services;
(9) "Sale at retail" or "retail sale" shall also include landscape maintenance and
horticultural services but excluding (i) horticultural services provided to farmers and (ii) pruning,
trimming, repairing, removing, and clearing of trees and bmsh near electric transmission or
distribution lines or equipment, if performed by or at the direction of an electric utility;
11
~5~ 2004 Amendment- B&O Tax
(10) "Sale at retail" or "retail sale" shall not include the sale of services or charges made for
the cleating of land and the moving of earth of or for the United States, any instrumentality thereof, or
a county or city housing authority. Nor shall the term include the sale of services or charges made for
cleaning up for the United States, or its instrumentalities, radioactive waste and other byproducts of
weapons production and nuclear research and development. ~This is reported under the service or
other classification).
(11) "Sale at retail" or "retail sale" shall not include the sale of or charge made for labor and
services rendered for environmental remedial action as defined in RCW 82.04.2635(2) (This is
reported under the service and other classification).
"Sale at wholesale," "wholesale sale." "Sale at wholesale" or "wholesale sale" means any sale of
tang/ble personal property which is not a retail sale, and any charge made for labor and services
rendered for persons who are not consumers, in respect to real or personal property, if such charge is
expressly defined as a retail sale when rendered to or for consumers. Sale at wholesale also includes
the sale of network telephone service to a telecommunications company as defined in RCW 80.04.010
for the purpose of resale, as contemplated by RCW 35.21.715.
"Services." "Services" means any business activity other than or in addition to those defined in this
section.
"Software", "canned software," "custom software," "customization of canned software,"
"master copies," "retained rights."
(1) "Canned software" means software that is created for sale to more than one (1) person.
For purposes of this chapter, carmed sofb,vare is deemed to be tangible personal property regardless of
the method of delivery-tangible media (e.g., disk or installed on hardware) or intangible (e.g.,
electronically over telecommunications paths).
(2) "Custom software" means software created for a single person.
(3) "Customization of canned software" means any alteration, modification, or
development of applications using or incorporating canned sofavare to specific individualized
requirements of a single person. Customization of canned software includes individualized
configuration of software to work with other software and computer hardware but does not include
routine installation. Customization of canned software does not change the underlying character or
taxability of the original canned software.
(4) "Master copies" of sofavare means copies of software fi.om which a software
developer, author, inventor, publisher, licensor, sublicensor, or distributor makes copies for sale or
license. The soiq:ware encoded on a master copy and the media upon which the sotkvare resides are
both ingredients of the master copy.
(5) "Retained rights" means any and all rights, including intellectual property rights such
as those rights arising fi.om copyrights, patents, and trade secret laws, that are owned or are held under
contract or license by a software developer, author, inventor, publisher, licensor, sublicensor, or
distributor.
(6) "Software" means any information, program, or routine, or any set of one (1) or more
programs, routines, or collections of information used, or intended for use, to convey information that
causes one or more computers or pieces of computer-related peripheral equipment, or any
combination thereof, to perform a task or set oftasks. "Software" includes the associated
documentation, materials, or ingredients regardless of the media upon which that documentation is
provided, that describes the code and its use, operation, and maintenance and that typically is
delivered with the code to the consumer. All software is classified as either canned or custom.
12
5{a 2004 Amendment - B&O Tax
"Successor." "Successor" means any person to whom a taxpayer quitting, selling out, exchanging, or
disposing of a business sells or otherwise conveys, directly or indirectly, in bulk and not in the
ordinary course of the taxpayer's business, any part of the materials, supplies, merchandise, inventory,
fixtures, or equipment of the taxpayer. Any person obligated to fulfill the terms ora contract shall be
deemed a successor to any contractor defaulting in the performance of any contract as to which such
person is a surety or guarantor.
"Taxpayer." "Taxpayer" means any "person", as herein defined, required to have a business license
under this chapter or liable for the collection of any tax or fee under this chapter, or who engages in
any business or who performs any act for which a tax or fee is imposed by this chapter.
"Tax year," "taxable year." "Tax year" or "taxable year" means the calendar year.
"Tuition fee." "Tuition fee" includes library, laboratory, health service and other special fees, and
amounts charged for mom and board by an educational institution when the property or service for
which such charges arc made is furnished exclusively to the students or faculty of such institution.
"Educational institution," as used in this section, means only those institutions created or generally
accredited as such by the state and includes educational programs that such educational institution
cosponsors with a non-profit organization, as defined by the Intemal Revenue Code Section 501(c)(3),
as hereafter amended, if such educational institution grants college credit for coursework successfully
completed through the educational program, or an approved branch campus of a foreign degree-
granting institution in compliance with chapter 28B.90 RCW, and in accordance with RCW
82.04.4332 or defined as a degree-granting institution under RCW 28B.85.010(3) and accredited by
an accrediting association recognized by the United States secretary of education, and offering to
students an educational program ora general academic nature or those institutions which are not
operated for profit and which are privately endowed under a deed of trust to offer instruction in trade,
industry, and agriculture, but not including specialty schools, business colleges, other trade schools, or
similar institutions.
"Value proceeding or accruing." '"value proceeding or accruing" means the consideration, whether
money, credits, rights, or other property expressed in terms of money, a person is entitled to receive or
which is actually received or accrued. The term shall be applied, in each case, on a cash receipts or
accrual basis according to which method of accounting is regularly employed in keeping the books of
the taxpayer. The value proceeding or accruing from sales on the installment plan under conditional
contracts of sale shall be reported as of the dates when the payments become due.
"Value of products."
(1) The value of products, including by-products, extracted or manufactured, shall be
determined by the gross proceeds derived from the sale thereof whether such sale is at wholesale or at
retail, to which shall be added all subsidies and bonuses received irom the purchaser or from any other
person with respect to the extraction, manufacture, or sale of such products or by-products by the
seller.
(2) Where such products, including by-products, are extracted or manufactured for
commercial or industrial use; and where such products, including by-products, are shipped,
transported or transferred out of the City, or to another person, without prior sale or are sold under
circumstances such that the gross proceeds ir:om the sale are not indicative of the tree value of the
subject matter of the sale; the value shall correspond as nearly as possible to the gross proceeds from
sales in this state of similar products of like quality and character, and in similar quantities by other
taxpayers, plus the amount of subsidies or bonuses ordinarily payable by the purchaser or by any third
person with respect to the extraction, manufacture, or sale of such products. In the absence of sales of
similar products as a guide to value, such value may be determined upon a cost basis. In such cases,
13
~-m 2004 Amendment - B&O Tax
there shall be included every item of cost atthbutable to the particular article or article extracted or
manufactured, including direct and indirect overhead costs. The Director may prescribe roles for the
purpose of ascertaining such values.
(3) Notwithstanding subsection (2) above, the value of a product manufactured or
produced for purposes of serving as a proto .type for the development of a new or improved product
shall correspond to (a) the retail selling price of such new or improved product when first offered for
sale; or (b) the value of materials incorporated into the prototype in cases which the new or improved
product is not offered for sale.
"Wholesaling." "Wholesaling" means engaging in the activity of making sales at wholesale, and is
reported under the wholesaling classification.
SECTION2. Section 3.48.050 of the Bremerton Municipal Code entitled
"Imposition of the Tax - Tax or Fee Levied" relating to Business and Occupation Taxes is
hereby amended to read as follows:
3.48.050 IMPOSITION OF TItE TAX - TAX OR FEE LEVIED.
(1) Tax Lc-Ar. SImposition of the tax - tax or fee levied. Except as provided in
subsection (2) of this section, trl~here is hereby levied upon and shall be collected fi.om every person a
tax for the act or privilege of engaging in business activities within the City, whether the person's
office or place of business be within or without the City. The tax shall be in amounts to be determined
by application of rates against gross proceeds of sale, gross income of business, or value of products,
including by-products, as the case may be, as follows:
(a) Extractor. Upon every person engaging within the City in business as an
extractor; as to such persons the amount of the tax with respect to such business shall be equal to the
value of the products, including by-products, extracted for sale or for commercial or industrial use,
multiplied by the rate of one and six-tenths of one percent (.0016). The measure of the tax is the value
of the products, including by-products, so extracted, regardless of the place of sale or the fact that
deliveries may be made to points outside the City.
(b) Manufacturer. Upon every person engaging within the City in business as a
manufacturer; as to such persons the amount of the tax with respect to such business shall be equal to
the value of the products, including by-products, manufactured, multiplied by the rate of one and six-
tenths of one percent (.0016). The measure of the tax is the value of the products, including by-
products, so manufactured, regardless of the place of sale or the fact that deliveries may be made to
points outside the City.
(c) Wholesale. Upon every person engaging within the City in the business of
making sales at wholesale, as to such persons, the mount of tax with respect to such business shall be
equal to the gross proce, eds of such sales of the business without regard to the place of delivery of
articles, commodities or merchandise sold, multiplied by the rate of one and six-tenths ofone'percent
(.0016).
(d) Retail. Upon every person engaging within the City in the business of making
sales at retail; as to such persons, the amount of tax with respect to such business shall be equal to the
gross proceeds of such sales of the business without regard to the place of delivery of articles,
commodities or merchandise sold, multiplied by the rate of one and one quarter of one percent
(.00125).
(e) Printing and Publishing. Upon every person engaging within the City in the
business of(i) printing, (ii) both printing and publishing newspapers, magazines, periodicals, books,
14
~t~ 2004 Amendment - B&O Tax
music, and other printed items, (iii) publishing newspapers, magazines and periodicals, (iv) extracting
for hire, and (v) processing for hire; as to such persons, the amount of tax on such business shall be
equal to the gross income of the business multiplied by the rate of one and nine-tenths of one percent
(.0019).
(f) Retailservice. Upon every person engaging within the City in the business of
making sales of retail services; as to such persons, the amount of tax with respect to such business
shall be equal to the gross proceeds of sales multiplied by the rate of two tenths of one percent (.002).
(g) Service. Upon every other person engaging within the City in any business
activity other than or in addition to those enumerated in the above subsections; as to such persons, the
amount of tax on account of such activities shall be equal to the gross income of the business
multiplied by the rate of two tenths of one percent (.002). This subsection includes, among others, and
without limiting the scope hereof(whether or not title to material used in the performance of such
business passes to another by accession, merger or other than by outfight sale), persons engaged in the
business of developing, or producing custom software or of customizing canned software, producing
royalties or commissions, and persons engaged in the business of rendering any type of service which
does not constitute a sale at retail or a sale at wholesale or a retail service.
(2) The gross receipts tax imposed in this section shall not apply to any ¢erson whose
gross proceeds of sales, gross income of the business, and value of products~ including by-products, a~s
the case may be, fi.om all activities conducted within the City during any calendar year is equal to or
less than $20~000.
(3) The tax levied pursuant to tiffs chapter shall be in addition to any other tax or fee that
may be imposed or levied by the City of Bremerton.
SECTION3. A new section, Section 3.48.076 entitled "Assigmnent of Gross
Income Derived From Intangibles" relating to Business and Occupation Taxes is hereby added to
the Bremerton Municipal Code to read as follows:
3.48.076 ASSIGNMENT OF GROSS INCOME DERIVED FROM
INTANGIBLES.
Gross income derived fi.om the sale of intangibles such as royalties~ trademarks~ patents~ or
goodwill shall be assigned to the jurisdiction where the person is domiciled (its headquarters is
located).
SECTION4. Section 3.48.090 of the Bremerton Municipal Code entitled
"Exemptions" relating to Business and Occupation Taxes is hereby amended to read as follows:
3.48.090 EXEMPTIONS.
(1) Non-Profit Corporations Or Non-Profit Organizations. This section shall not apply to
non-profit organizations exempt fi'om federal income tax under Section 501(c)(3) of the Intemal
Revenue Code, as hereafter amended, except with respect to retail sales of such persons.
15
~ 2004 Amendment - B&O Tax
(2) Health maintenance organization, health care service contractor, certified health plan.
Beginning on January 1, 2000 this chapter does not apply to any health maintenance organization,
health care service contractor, or certified health plan in respect to premiums or prepayments that are
taxable under RCW 48.14.0201.
(3) Public utilities. This chapter shall not apply to any person in respect to a business
activity with respect to which tax liability is specifically imposed under the provisions of Chapter 3.50
BMC.
(4) Investments - dividends fi.om subsidiary corporations. This chapter shall not apply to
amounts derived by persons, other than those engaging in banking, loan, security, or other financial
businesses, fi.om investments or the use of money as such, and also amounts derived as dividends by a
parent fi.om its subsidiary corporations.
(5) International banking facilities. This chapter shall not apply to the gross receipts of an
international banking facility. As used in this subsection, an "international banking facility" means a
facility represented by a set of asset and liability accounts segregated on the books and records 0fa
commercial bank, the principal office of which is located in this state, and which is incorporated and
doing business under the laws of the Un/ted States or of this state, a Un/ted States branch or agency of
a foreign bank, an Edge corporation organized under Section 25(a) of the Federal Reserve Act, 12
United States Code 611-631, or an Agreement corporation having an agreement or undertaking with
the Board of Govemors of the Federal Reserve System under Section 25 of the Federal Reserve Act,
12 United States Code 601-604(a), that includes only intemational banking facility time deposits (as
defined in subsection (a)(2) of Section 204.8 of Regulation D (12 CFR Part 204), as promulgated by
the Board of Governors of the Federal Reserve System), and international banking facility extensions
of credit (as defined in subsection (a)(3) of Section 204.8 of Regulation D).
(6) Insurance business. This chapter shall not apply to amounts received by any person or
agent who is an insurer upon which a tax based on gross premiums is paid to the state pursuant to
RCW 48.14.020; provided that the provisions of this subsection shall not exempt any person engaging
in the business of insurance as a broker as defined in RCW 48.17.020 or as a solicitor as defined in
RCW 48.17.030; and provided further, that the provisions of this subsection shall not exempt any
bonding company fi'om tax with respect to gross income derived fi.om the completion of any contract
as to which it is a surety, or as to any liability as successor to the liability of the defaulting contractor.
(7) Farmers - agriculture. This chapter shall not apply to any farmer in respect to amounts
received fi.om selling fruits, vegetables, berries, butter, eggs, fish, milk poultry, meats or any other
agricultural product that is raised, caught, produced, or manufactured by such persons.
(8) Athletic exhibitions. This chapter shall not apply to any person in respect to the
business of conducting boxing contests and spatting or wrestling matches and exhibitions for the
conduct of which a license must be secured bom the State Boxing Commission.
(9) Racing. This chapter shall not apply to any person in respect to the business of
conducting race meets for the conduct of which a license must be secured fi.om the Washington State
Horse Racing Commission.
(10) Ride sharing. This chapter does not apply to any funds received in the course of
commuter ride sharing or ride sharing for persons with special transportation needs in accordance with
RCW 46.74.010.
(11) Employees. This chapter shall not apply to:
(a) Any person in respect to the person's employment in the capacity as an
employee or servant as distinguished fi.om that of an independent contractor. For the purposes of this
16
[ce) 2004 Amendment- B&O Tax
subsection, the definition of employee shall include those persons that are defined in the Intemal
Revenue Code, as hereafter amended.
0o) A booth renter, as defined by RCW 18.16.020, is an independent contractor for
proposes of this chapter.
(12) Amounts derived from sale of real estate. This chapter shall not apply to gross
proceeds derived from the sale of real estate. This, however, shall not be construed to allow an
exemption of amounts received as commissions from the sale of real estate, nor as fees, handling
charges, discounts, interest or similar financial charges resulting from, or relating to, real estate
transactions. This chapter shall also not apply to amounts received for the rental of real estate if the
rental income is derived from a contract to rent for a continuous period oft/tiny (30) days or longer.
(13) Mortgage brokers' third-party provider services trust accounts. This chapter shall not
apply to amounts received from trust accounts to mortgage brokers for the payment of third-party
costs if the accounts are operated in a manner consistent with RCW 19.146.050 and any rules adopted
by the director of financial institutions.
(14) Amounts derived from manufacturing, selling or distributing motor vehicle fuel. This
chapter shall not apply to the manufacturing, selling, or distributing motor vehicle fuel, as the term
"motor vehicle fuel" is defined in RCW 82.36.010 and exempt under RCW 82.36.440, provided that
any fuel not subjected to the state fuel excise tax, or any other applicable deduction or exemption, will
be taxable under this chapter.
(15) Amounts derived from liquor~ and the sale or distribution of liquor. This chapter shall
not apply to liquor as defined in RCW 66.04.010 and exempt in RCW 66.08.120.
(16) Casual and isolated sales. This chapter shall not apply to the gross proceeds derived
from casual or isolated sales.
(17) Accommodation sales. This chapter shall not apply to sales for resale by persons
regularly engaged in the business of making retail sales of the type of property so sold to other persons
similarly engaged in the business of selling such property where (1) the amount paid by the buyer
does not exceed the amount paid by the seller to the vendor in the acquisition of the article and (2) the
sale is made as an accommodation to the buyer to enable the buyer to fill a bona fide existing order of
a customer or is made within fourteen days to reimburse in kind a previous accommodation sale by
the buyer to the seller.
(18) Taxes collected as trust funds. This chapter shall not apply to amounts collected by the
taxpayer from third parties to satisfy third party obligations to pay taxes such as the retail sales tax, use
tax, and admission tax.
SECTION $. Severabili.ty. If any one or more sections, subsections, or
sentences of this ordinance are held to be unconstitutional or invalid, such decision shall not
affect the validity of the remaining portion of this ordinance and the same shall remain in full
force and effect.
t7
~! 2004 Amendment- B&O Tax
SECTION 6. Effective Date. This ordinance shall take effect and be in force ten
(10) days from and after its passage, approval and publication as provided by law.
APPROVED by the City Council the day of ., 2004
PASSED by the City Council the day of ,2004
DAREN NYGREN, Council President
Approved this day of ,2004
CARY BOZEMAN, Mayor
ATTEST: APPROVED AS TO FORM:
PAULA JOHNSTON, City Clerk ROGER A. LUBOVICH, City Attorney
PUBLISHED the day of ,2004
EFFECTIVE the day of ,2004
ORDINANCE NO.
R:\LEGAL\Ordinances~Fmance~2004 B&O Tax Amendment. doc
18
~)._ 2004 Amendment- B&O Tax
DATE SUBMITTED: December 8, 2004 BILL #
AGENDA BILL
CITY OF BREMERTON
CITY COUNCIL
SUBJECT: Amendments to Ordinance No. Committee Meeting Date: December 8, 2004
4883 relating to the City of Bremerton's 2004 COUNCIL MEETING Date: December 15, 2004
Annual Budget Department: Financial Services
Presenter: Michael R. Wilson
Phone: 473-5590
SUMMARY: The Bremerton City Council adopted the 2004 Annual City Budget Ordinance
(Ordinance No. 4883) on December 23, 2003. Certain programs have been implemented and actions
taken during the year which have an impact on the City's 2004 Annual Budget resulting in the need to
amend the 2004 budget document.
ATTACHMENTS: Ordinance
FISCAL IMPACTS (Include Budgeted Amount): The following funds and budgets will be impacted
by the action taken by the City Council to amend the respective budgets: General Fund (Fund 001),
Parking System Revenue Fund (Fund 105), ULID NO. 2002-01 (Fund 403), Conference Center
Operating (Fund 410), Stormwater Utility Fund (Fund 481), and Equipment Rental & Revolving Fund
(Fund 510).
/
APPROVALS: ~
DEPARTMENT DIRECTOR:
C1TY ATTORNEY:
FINANCE DIRECTOR: '" ~ ~
MAYOR:
OPERATIONS: CONSENT AGENDA []
COUNCIL PRESIDENT: ~O~-
RECOMMENDED MOTION:
A. I move to approve the Ordinance on first reading which amends Ordinance No. 4883 relating to
the City of Bremerton 2004 Annual Budget.
B. I move to pass Ordinance No. on second reading which amends Ordinance No. 4883 relating
to the City of Bremerton 2004 Annual Budget.
COUNCIL ACTION: [] Approve [] Deny [] Table [] Continue [] No Action
ORDINANCE NO.
AN ORDINANCE of the City Council of the City of
Brcmcrton, Washington, emending Ordinance No. 4883 as
amended by Ordinance No. 4910 relating to the City of Bremerton
Fiscal Year 2004 Budget.
WHEREAS, the City Council passed the Fiscal Year 2004 City Budget Ordinance
(Ordinance No. 4883) on December 23, 2003, which was amended on October 22, 2004 by
Ordinance No. 4910; and
WHEREAS, the General Fund (Fund 001) needs emendments to the following
Departments: City Auditor to fund the interfund service payments to Information Technology for
computer/network services; Non-Departmental to fund the cost of transferring thirty-one (31)
patrol vehicles from the General Fund into the Equipment Rental & Reserve Fund; Non-
Departmental reduction of salary/wages set aside for retirees and labor contract settlements and
shifting of ER&R internal services from a "transfer out" expense to a "service" expense; Fire
Department to cover the increase cost for salary/wages expense for retiring Fire Department
personnel; and the Departments of Finance, Administrative Services, Municipal Court, Law
Enforcement, Parks, and Community Development to fund labor contract settlement wage
increases and unbudgeted retirement costs; General Facilities for capital upgrades to the DCD
facility; Engineering to fund the interfund service payments to Information Technology for
computer/network services; and
WHEREAS, the Parking System Operating Fund (Fund 105) needs to be emended
to reflect increases in expenditures for providing parking garage management services to the new
parking garage, excise tax payments and the $17,500 cost of installing an access door to the 4~
Street garage; and
WHEREAS, the ULID No. 2002-01 Fund (Fund 403) needs to be amended to
fund $50,000 of capital projects cost incurred in 2004; and
WHEREAS, the Conference Center Operating Fund (Fund 410) needs to be
emended to fund the operating expenses and collection of revenues by the Conference Center
concessionaire and receipt of a line of credit to fund the pre-opening operating expenses and
capital expenses for furniture, fumishings and equipment for the center; and
WHEREAS, the Stormwater Utility Fund (Fund 481) needs to be amended to
fund the Brentwood stormwater main replacement project from a $250,000 Public Works Trust
Fund (PWTF) loan; and
WHEREAS, the Equipment Rental & Reserve Fund (Fund 510) needs to be
amended to fund the transfer of the patrol vehicle inventory of thirty-one (31) vehicles currently
funded within the General Fund at a cost of $341,352; increase of $20,000 in supplies/services to
1
{ac[ 2004 Budget Amendment
cover the higher cost of fuel and equipment repairs; and increase of $14,500 for staff overtime
and standby expenses; and
WHEREAS, each of these actions has an impact on the City of Bremerton's FY 2004
Annual Budget resulting in the need to amend this Budget document; NOW THEREFORE,
THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES
HEREBY ORDAIN AS FOLLOWS:
SECTION L Ordinance 4883 establishing the City of Bremerton's 2004 Budget
passed by the City Council on December 23, 2003, is hereby amended as follows:
1) The General Fund (Fund 001) is hereby amended to reflect the following appropriation
adjustments:
GENERAL FUND (Fund 001)
FY 2004
Current Amended
REVENUES 2004 Budget 2004 Budget Difference
State Upgrade Costs 0 4,000 4,000
Misc. Rent - Rent DCD 0 8,000 8,000
Total Revenues 12,000 12,000
EXPENDITURES
Ending Fund Balance 1,240,964 878,612 <362,352>
Department: Fire (001-14)
Personnel - salades (retirement, labor settlement) 4,843,309 4,904,032 60,723
Department: Municipal Court (001-14)
Personnel - salaries (labor contract settlement) 582,313 585,383 3,070
Department: Finance (001-20)
Personnel - salaries (retirement, labor settlement) 445,919 478,108 32,189
Department: Administrative Services (001-13)
Personnel - salaries (labor settlement) 282,817 284,269 1,452
Department: City Auditor (001-18)
Supplies & Services - equipment repair/IFD 4,244 7,244 3,000
Department: Law Enforcement (001-51)
Personnel - salades {labor contract settlements) 6,128,734 6,166,138 37,404
Department: Community Development (001-16)
Personnel - salades (labor contract settlement) 806,817 810,909 4,092
Department: Parks (001-51)
Personnel - salaries (labor contract settlement 1,764,307 1,770,953 6,646
Department: Facilities (001-49)
Supplies & Services - DCD Upgrades 82,200 90,200 8,000
Department: Engineering (001- 61 )
Supplies & Services - equipment repair/IFD 17,735 39,735 22,000
Department: Non-Departmental (001-73)
Supplies & Services - equipment repair/IFD 1,131,293 1,920,523 789,230
Personnel set aside - retirement and labor contracts 309,508 163,932 <145,576>
Other- Transfer out to Equipment Rental 3,149,009 2,701,131 <447,878>
Total Expenditures 20,789,169 20,801,169 t2,000
2004 Budget Amendment
2) The Parking System Revenue Fund (Fund 105) is hereby amended to reflect the
following appropriation amendments:
PARKING SYSTEM REVENUE FUND (Fund 105)
FY 2004
Current Amended
REVENUES 2004 Budget 2004 Bud§et
Beginning Fund Balance 0 0
Fines & Forfeits 220,000 275,000
Misc. Revenues 858,500 753,600
Other Financing Sources 669,009 ..069,000
Total Revenues '1,747,509 1,697,600
EXPENDITURES
Supplies, Services & Taxes (increase tax payments, prof. services new
Parking garage ) 273,000 400,100
Capital Outlay - (fund installation of access door to 4th St. Garage) 945,000 962,500
Ending Fund Balance 529~509 335~000
Total Expenditures 1,747,509 1,697,600
3) The ULID No. 2002-01 Fund (Fund 403) is hereby amended to reflect the following
appropriation amendments:
ULID 2002-01 FUND (Fund 403)
FY 2004
Current Amended
REVENUES 2004 Budget 2004 Budget
Beginning Fund Balance 35,000 35,000
Non-Revenue Receipts 928,654 928,654
Total Revenues 963,654 963,654
EXPENDITURES
Debt Service 963,654 913,654
Capital Outlay 0 50,000
Ending Fund Balance 0 0
Total Expenditures 963,65~ 963,65~
2004 Budget Amendment
4) The Conference Center Operating Fund (Fund 410) is hereby amended to reflect the
following appropriation amendments:
CONFERENCE CENTER OPERATING FUND (Fund 410)
FY 2004
Current Amended
REVENUES 2004 Budqet 2004 Budget
Beginning Fund Balance 0 0
Charges for Services - 0 450,000
Other Financing Sources (receipt of $800,000 line of credit) 865,000 997,000
Total Revenues 865,000 1,447,000
EXPENDITURES
Personnel - 0 0
Supplies & Services- (include conf. center operating expenses) 180,000 754,000
Capital Outlay 370,000 378,000
Debt Service 315,000 315,000
Ending Fund Balance 0 0
Total Expenditures 865,000 1,447,000
5) The Stormwater Utility Fund (Fund 481) is hereby amended to reflect the following
appropriation amendments:
STORMWATER UTILITY FUND (Fund 481)
FY 2004
Current Amended
REVENUES 2004 Bud§et 2004 Budget
Beginning Fund Balance 155,804 155,804
Charges for Services 1,025,000 1,025,000
Intergovernmental - PVVTF loan 0 250,000
Misc. Revenue 10,000 10,000
Total Revenues 1,190,804 1,440,804
EXPENDITURES
Personnel 655,698 655,698
Supplies, Services and Taxes 383,447 383,447
Capital Expenditures - Brentwood Stormwater main 50,000 300,000
Transfers 100,000 100,000
Ending Fund Balance 1,659 1,659
Total Expenditures 1,t90,804 1,440,804
6) The Equipment Rental and Reserve Fund (Fund 510) is hereby amended to reflect the
following appropriation amendments:
2004 Budget Amendment
EQUIPMENT RENTAL & RESERVE FUND (Fund 510)
FY 2004
Current Amended
REVENUES 2004 Budget 2004 Budget
Beginning Fund Balance 3,942,735 3,942,735
Charges for Services - (General Fund transfer for patrol vehicles) 702,824 1,044,176
Misc. Revenues 968,889 968,889
Non- Revenue Receipts 79,693 79,693
Other Financing Sources 120,000 120,000
Total Revenues 5,814,141 6,155,493
EXPENDITURES
Personnel - ovedime/standby expenses ($14,500 increase) 389,800 404,300
Supplies & Services - fuel/equipment repair ($20,000 increase) 694,470 714,470
Capital Outlay 620,000 620,000
Ending Fund Balance 4,109,871 4,416,723
Total Expenditures 5,814,14f 6,155,493
SECTION2. Severability. If any one or more sections, subsections, or
sentences of this Ordinance are held to be unconstitutional or invalid, such decision shall not
affect the validity of the remaining portion of this Ordinance and the same shall remain in full
force and effect.
SECTION3. E.[fective Date. This ordinance shall take effect and be in force ten
(10) days from and after its passage, approval and publication as provided by law.
APPROVED by the City Council the day of ,2004
PASSED by the City Council the day of ., 2004
DAREN NYGREN, Council President
Approved this day of ,2004
CARY BOZEMAN, Mayor
ATTEST: APPROVED AS TO FORM:
PAULA JOHNSTON, City Clerk ROGER A. LUBOVICH, City Attorney
PUBLISHED the day of ,2004
EFFECTIVE the day of ,2004
ORDINANCE NO.
R:\LEGAL\Ordinances~Finance\04 amending budget ordinance2.doc
2004 Budget Amendment