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HomeMy WebLinkAbout11/15/2006 AGENDA FILE CITY COUNCIL 345 6th Street, Suite 600, Bremerton, WA 98337-1873 0 (360) 473-5280 ***AMENDED*** NOVEMBER 15, 2006 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 CHAMBERS LOCATED 01\1 FIRST FLOOR A. Pledge of Allegiance B. Invocation 3. MAYOR'S REPORT 4. PUBLIC RECOGNITION & ANNOUNCEMENTS 5. CONSENT AGENDA A. Claims & Check Register (#AB06-239) B. Minutes of Meeting - October 4,2006 (#AB06-240) C. Minutes of Meeting - October 11, 2006 (#AB06-241) D. Minutes of Meeting - October 18,2006 (#AB06-242) E. Minutes of Meeting - October 25,2006 (#AB06-243) F. Minutes of Meeting- November 1, 2006 (#AB06-244) G. Minutes of Meeting - November 8, 2006 (#AB06-245) H. Budget Adjustment related to the Harborside Park Annex Building (#AB06-246) I. Lease Agreement between City of Bremerton and Bremerton Area Chamber of Commerce (BACC) for approx. 3000 square feet of office space at 286 4th Street (#AB06-247) J. Budget Adjustment for Equipment Purchases towards the New Police Building (#AB06-248) K. Cooperative Purchasing Agreement for Mobile Computer Terminal (#AB06-249) L. Resolution No. 3014, approving the Transfer of Real Property to the Washington State Department of Transportation (WSDOT) as part of the Sundry Site Plan for the Bremerton Transportation Center (#AB06-250) M. Purchase of Two Vaults from HANSON PIPE & PRODUCTS INC. for Replacement of Vacated Fire Pump Test Pit at Old Capital Hill Fire Station (#AB06-251) N. Approval of Utility Easements, Equipment Transportation Agreement, and Schedule 74 Underground Conversion Agreement for Under-grounding of Utilities (#AB06-252) CONTINUED ON BACK... II Americans with Disabilities Act (ADA) accommodations provided upon request. Those requiring special accommodations should contact the City Clerk's Office at (360) 473-5323 by noon on the Monday preceding the Council meeting. 6. GENERAL BUSINESS A. Budget Amendment to Recklssify Parks Dep::lrtment Expenditures from Personnel to Supplies & Services (1tAB06 253) Item pulled at the request of the Paries & Recreation Director B. Real Estate Purchase and Sale Agreement with Roberto Victoria for property located at 102 & 108 Oyster Bay Avenue (#AB06-254) 7. PUBLIC HEARINGS A. Second of Two Public Hearings on Lease Agreement with Claremont East Retirement Apartments First Public Hearing was held on November 1,2006 (#AB06-234) B. Public Hearing on Revenue Sources for 2007 Budget and Ordinance No. 4987, levying Property Taxes for Collection in 2007 (#AB06-255) C. Public Hearing and Ordinance No. 4988, amending Chapter 3.48 of the Bremerton Municipal Code related to Business & Occupation (8&0) Tax Exemptions and Tax Credits and Chapter 3.50 related to reducing the Utility Tax Rate for Solid Waste (#AB06-256) 8. COUNCIL MEMBER REPORTS 9. ADJOURNMENT OF CITY COUNCIL BUSINESS MEETING DATE SUBMITTED: I \!I~/00 BILL # ob - ;J.. 4- 0 AGENDA BILL CITY OF BREMERTON CITY COUNCIL 58 ........................................................................................ SUBJECT: Minutes of Meeting - OC-W beAr- 4) ;;).J';] 0 G Committee Meeting Date: N! A COUNCIL MEETING Date: N{)VeW\6e..r \,s-, -::Loo ~ Department: City Council' Presenter: Cecil McConnell, Council President Phone: (360) 473-5280 SUMMARY: Attached are the meeting minutes for the Council Meeting held 0 c-\-D6er- .:::.t. 2-00 CO J ATTACHMENTS: Meeting Minutes for Oc-W 6€r 4 J J-oo c::> FISCAL IMPACTS (Include Budgeted Amount): None APPROV ALS: DEP ARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: FISCAL/BUDGET: OPERA TIONS: COUNCIL PRESIDENT: CONSENT AGENDA ~ , /?~~~,/~~::':.:z':",:;,/('/I RECOIVIMENDED .MOTION: Move to pass the CONSENT AGENDA as presented. COUNCIL ACTION: !2'J Approve 0 Deny r-, ~::r 1 1 i_I JEWle [J Continu-e U 1.J0 .Action DIGITAL RECORDING CITY COUNCIL MEETING MINUTES wednesday, October 4,2006 The weekly meeting of the City Council of the City of Bremerton was called to order in the City Council Chambers, of the NORM DICKS GOVERNMENT CENTER 345 6th Street, Bremerton, Washington, Wednesday, October 4, 2006, at 5:30 PM, with Council President Cecil McConnell presiding. Council members present were Nick Wofford, Will Maupin, Carol Arends, Dianne Robinson, Mike Shepherd, Wendy Priest, Adam Brockus, and Brad Gehring. Also present were City Attorney Roger Lubovich; Assistant City Attorney Mark Koontz; City Clerk Paula Johnston; and Legislative Assistant Lori Smith. The Pledge of Allegiance was led by Council Member Brad Gehrin~ followed by the invocation provided by Pastor Dennis Payne of Ebenezer African Methodist Episcopal (A.M.E.) Church. President McConnell announced that a Pre-Council Session to discuss General Council Business was held in Council Conference Room 603 from 5:00 to 5:30 PM; and that the order of Public Hearings to be heard on the agenda was amended. MAYOR'S REPORT - The Mayor volunteered to eliminate his report due to the anticipated length of the meeting tonight... PUBLIC RECOGNITION & ANNOUNCEMENTS Mike Walton, Marketing Director with the YMCA, provided a monthly report on "Y" activities. Mike Mecham, City Engineer, welcomed the public to provide their input at an Open House and Design Charette from 9:00 AM to 8:00 PM on Friday, October 6 in the Meeting Chambers. Gordy Byrd was sad to report that his wife filed for divorce yesterday. Pastor Dennis Payne of Ebenezer African Methodist Episcopal Church, appealed to anyone interested in being a big brother or big sister tb mentor a high school student who has been targeted as struggling with the WASL to please call (360) 286-9841. CONSENT AGENDA A. Check Numbers 311656 through 311754; and EFT-9260 through EFT-9278 in the amount of $1,364,086.35; Retiree Payroll in the amount of $77,826.43 for the pay period ending September 30, 2006 (#AB06-201) B. Meeting Minutes - September 20, 2006 (#AB06-202) C. Meeting Minutes - September 27,2006 (#AB06-203) D. Appointment of Tanya N. Stansberry to the Bremerton Housing Authority Board of Commissioners (#AB06-204) E. Approval of Telecommunications Facilities 5-Year Lease Agreement with TOWER ASSET SUB, LLC (#AB06-205) F. Resolution No. 3010 amending Section 2 of Resolution No. 3004 to correct the sale price of property located between Trenton Avenue and Jacobsen Boulevard (#AB06-206) G. Resolution No. 3011, updating the Housing Rehabilitation Loan Program (#AB06-207) There were no comments from the public 05:43:35 M/S/C/U (Priest/Arends) Move to approve the CONSENT AGENDA as presented. GENERAL BUSINESS - There were no GENERAL BUSINESS items this week... City Council Reg. Mtg. Minutes Wednesday, October 4, 2006 Page 2 of 6 7A - PUBLIC HEARING ON ORDINANCE NO. 4968 RELATING TO EXEMPTION OF AD VALOREM PROPERTY TAX FOR NEW MULTI-FAMILY HOUSING IN DESIGNATED TARGET AREAS {THIS ITEM WAS ORIGINALL Y SCHEDULED APRIL 19. 2006 AND JUL Y 5. 2006; AND DISCUSSED A T A STUDY SESSION MA Y 9. 20061 (#AB06-083): ROQer Lubovich, City Attorney stated that in 1995, the State Legislature passed 84.14 RCW that allows cities to create a tax incentive program to induce development of new, multi-family housing within designated targeted areas. The incentive in the proposed ordinance is a 1 O-year exemption of all new property tax on new or rehabilitated buildings that create 10 or more housing units. Andrea Spencer, Interim Director of Community Development, displayed Figure 3.78, which is a map of the designated Residential Target Area downtown that shows the area eligible for exemption. Ms. Johnston announced that e-mails and letters were received from GUY Stitt, President of AMI INTERNATIONAL; Elizabeth Wilson, President of KITSAP ECONOMIC DEVELOPMENT COUNCil (KEDC) Board of Directors; Chris Rafterv, President of M.S. CAVOAD COMPANY; J.J. McCament with MCCAMENT & ROGERS; Del Knauss; and Jessica Kennedy, Windermere Real Estate. All letters were made a part of the official record. Vivian Henderson"Executive Director of Kitsap Alliance of Property Owners, read a statement into the record to express her reasons for not supporting this ordinance and urged the Council to vote "No"; or at a minimum to amend the proposal to hold the property owner more accountable during the annual compliance review, to. require staff to conduct onsite verification every year, and to list penalties for any abuse of this exemption. Helen Miller asked if there is any option for enforcement of the requirement for owner occupancy in the proposed projects. Mr. Lubovich responded that within the definition portion of the ordinance, there is reference to the exemption to be allowed to owner occupied units only and any units that may become rentals would be not be eligible for the exemption. Art Castle, Home Builders Association, encouraged Council to approve the ordinance so that redevelopment may continue. VirQinia Starr believed that the proposed projects would fit better in other areas in the City rather than the Highland and Pleasant neighborhoods. Ayvon Card emphasized the unfairness of this proposal since the burden of additional residents on the infrastructure would be paid for by current homeowners. Mike Eastman, County Assessor's Office, stated that the requirement for owner occupancy is unique to Bremerton relative to programs throughout the State, and it would be the responsibility of the Assessor's Office to remove the property from the exempt list once an owner no longer lives in the unit. Mr. Lubovich stated that the intent of the ordinance is to establish whether a unit was to qualify for the exemption, not to monitor each unit for occupancy. Jerrv Davidson asked which Council Members had the single-family homeowner's interest in mind, and perhaps offer them a helpful tax break. David Card was concerned that the cost of managing the infrastructure will be unfairly placed on the current property owners, and believed that the condominiums will sell without the exemption. Chris Rafterv, M.S. CAVOAD COMPANY, spoke in favor of this proposal which would enable private investment, allow for the potential for increased revenue in the future, and would mean more home ownership opportunities available in the downtown area. City Council Reg. Mtg. Minutes Wednesday, October 4,2006 Page 3 of 6 Jessica Kennedv, City resident, Bremerton Planning Commissioner, and Designated Broker with Windermere Real Estate/West Sound, Inc. expressed her reasons for support of this ordinance which included affordable housing options for younger families. Mark Huppert provided examples of programs where redevelopment took place when exemption programs were allowed. Norman McLauahlin, Executive Director of the KITSAP COUNTY CONSOLIDATED HOUSING AUTHORITY (KCCHA), hoped Council would approve this proposal to allow another component of redevelopment and further investment in downtown to bring in more residents who will then sustain businesses downtown. 06:25:20 Main Motion was made as discussion by the Council continued... Mr. Shepherd expressed three main concerns; the lack of a plan for the downtown area; the potential for increased volume of traffic; and the enforceability of the owner occupied residency. 6:40:15 A-M/S/C/U (Brockus/Shepherd) Amendment to Main Motion to replace the word "may" with the word "shall" and remove the language "as determined by the Director" in Item (a) of Section 3.78.110 titled "ANNUAL COMPLIANCE REVIEW'; and to also replace the word "may"with the word "shall" in two places in Item (b) of the same Section. Amendment to the Motion passed unanimously. Ms. Priest read a statement to explain why she could notsupport this proposal at this time. Specifically, she could not support putting development interests before citizen interests, and emphasized that before such.a conceptcould. be. considered, a sub-area plan must be completed so that the downtown will redevelop with an identity. 6:50:15 A-S/F (Priest/Shepherd) Amendment that the provisions of Section I and Section II of the Ordinance would be effective upon adoption bf a Sub-Area Plan and recommendation by the Bremerton Planning Commission for the downtown core and the multi-family residential zone. Voted in favor of Amendment: Priest, Shepherd, Robinson Voted opposed to Amendment: Arends, Maupin, Wofford, Gehring, Brockus, McConnell Amendment failed: 3-Yes; 6-No 07:25:20 M/S/C (Maupin/Wofford) Move to pass Ordinance No. 4968 to provide exemptions from ad valorem property taxation for new multi-family housing in designated residential targeted areas of the City. Voted in favor of Motion: Maupin, Wofford, Gehring, Brockus, McConnell Voted opposed to Motion: Shepherd, Robinson, Arends, Priest Motion carried: 5-Yes; 4-No At the conclusion of the vote, a break was taken. . . 7B - PUBLIC HEARING TO ADOPT THE 2007 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDING RECOMMENDATIONS (#AB06-208): Betsv Howe of the CDBG Program, explained that on May 17, 2006, the City Council approved the CDBG/HOME Policy Plan which outlined the funding allocation process and included CDBG rules and regulations. The Citizens Advisory Committees (CAC's) have completed their review process and the funding recommendations on the following pages have been made for your consideration and approval. If approved, these submissions will be sent to the Department of Housing and Urban Development (HUD) in the 2007 Annual Action Plan. City Council Reg. Mtg. Minutes Wednesday, October 4, 2006 Page 4 of 6 Mike Walton, Board President with the KITSAP COUNTY COMMUNITY DEVELOPMENT CORPORATION (KCCDC), expressed his disappointment that the City did not continue its support of KCCDC and discussed loan programs for low income individuals that the agency tries to support. 07:54:35 M/S/C/U (Maupin/Arends) Move to approve 2007 funding recommendations and authorize the Mayor to execute contracts once all funding has been secured and HUD has approved the Annual Action Plan. 7C - PUBLIC HEARING TO CONSIDER THE REQUEST FOR ADDITIONAL HOME FUNDS BY HABITAT FOR HUMANITY FOR PROJECT"NEW HOPE" (#AB06-209): Betsv Howe of the CDBG Program, summarized that the City accepts applications for HOME funding throughout the year, with final funding decisions made by the Council. HABITAT FOR HUMANITY is requesting additional funding for New Hope, an 18-unit project on Arsenal Way. A staff memo with further information is attached. If approved, additional funding for this project will be added to the City's Action Plan to be submitted to HUD. Lori Oberlander, Executive Director with the HABITAT FOR HUMANITY, thanked the Council for all their past support, and provided a brief update of the project, explaining that construction is expected to start this year. Mr. McConnell expressed his concern that Habitat for Humanity was going to receive the majority of the funding. Ms. Howe explained that no additional applications have been submitted, so funding HABITAT FOR HUMANITY'S request was appropriate at this time. 07:59:50 M/S/C (Arends/Brockus) Move to approve HOME funding request and authorize the Mayor to execute the contract once the Action Plan has been approved by HUD. Voted in favor of Motion: Arends, Maupin, Wofford, Gehring, Brockus, Priest, Shepherd, Robinson Voted opposed to Motion: McConnell Motion carried: 8-Yes; 1-No 70 - PUBLIC HEARING AND RESOLUTION NO. 3012 DECLARING AN INTENT TO ANNEX TERRITORY IN THE TRACYTON AREA OF EAST BREMERTON (#ABO&210): Andrea Spencer, Interim Director of Community Development stated that the Resolution approves the Petition for Annexation of Territory by owners of not less than 75% of assessed property value in the proposed area. Lisa Mullenix asked what benefit the City would receive by annexing this area into the City. Ms. Spencer stated that the City would be providing services to this area and receiving taxes, and following a fiscal analysis, it was determined that the additional property taxes would be a revenue source to the City. John Tietien hoped the Council would exclude his neighborhood located between the watershed and Tracy ton parcel from this annexation proposal. Mr. Gehrina further explained that annexation would allow residents to have access to enhanced Police and Fire services. 08:10:35 M/S/C/U (Maupin/Arends) Move to pass Resolution No. 3012 accepting the proposal to commence annexation proceedings. City Council Reg. Mtg. Minutes Wednesday, October 4, 2006 Page 5 of 6 7E - PUBLIC HEARING ON ORDINANCE NO. 4980 ESTABLISHING A NEW CHAPTER 20.12 "LAND DIVISIONS" FOR LAND SUBDIVISION PROCEDURES: AMENDING CHAPTER 20.02 "PROJECT PERMITS" TABLE 040; AND AMENDING RATE TABLE C OF CHAPTER 3 OF THE BREMERTON MUNICIPAL CODE (#AB06-211 ): Andrea Spencer, Interim Director of Community Development emphasized thatthe action before the Council is to conduct a public hearing and consideration of an ordinance for land subdivision procedures, amendments to BMC 20.02 Table 040 Permit Processing Procedures to reflect the new land subdivision regulations, and amendments to Rate Table C of BMC 3.01.040 to reduce subdivision fees. Art Castle with the HOMEBUILDERS ASSOCIATION suggested that the current owner (rather than original owner) be able to file any alteration within five years; recommended that a notarized statement from the property owner be required at the application stage in order to facilitate the title report which is usually pulled during the preliminary approval part of the process; also suggested that lot information be processed at the building permit level, not in public works; further recommended that the director decide what may be considered substantial in terms of modifying road location to a plat; lastly, asked that vesting be effective after preliminary approval. 08:18:25 Main Motion was made as discussion by the Council continued... . 08:18:25 M/S (Wofford/Maupin) Move to pass Ordinance No. 4980 to establish a new BMC 20.12 Land Division, to revise BMC 20.02, Table 040 Permit Processing Procedures, and amend Rate Table C of BMC 3.01.040. 8:21 :58 M/S/C/U (Brockus/Maupin) Move to Table the Main Motion until later this evening. 7F - PUBLIC HEARING AND ORDINANCE NO. 4981 ESTABLISHING A "DESIGN REVIEW COMMITTEE" AND AMENDING CHAPTER 20.02 "PROJECT PERMITS" OF THE BREMERTON' MUNICIPAL CODE TO INCLUDE PROVISIONS FOR DESIGN REVIEW (#AB06-212): Andrea Spencer, Interim Director of Community Development explained that in June of this year, the City Council adopted the first set of Design Guidelines (for area of Highland & Pleasant Avenue). The City will soon have building permit applications for this area and the submittals will need to show consistency with the adopted guidelines. Formal design review will be a critical component of the building permit review process to ensure that proposed developments are meeting the intent of these adopted guidelines. The proposed ordinance establishes a City of Bremerton Design Review Board which will be an advisory board to the Director of Community Development. It is anticipated that the Board will have increased responsibilities as the sub area planning and the future adoption of area- specific design guidelines throughout the city continues. Helen Miller questioned if there would be any enforcement of guidelines. Mr. McConnell responded yes; and Ms. Spencer added that there will be a series of steps to be followed by applicants during the permit process even before an architect is brought in to design the project to ensure that the guidelines are followed. 08:27:24 Main Motion was made and discussion by the Council continued... Mr. Shepherd asked for clarification on how a sub-area plan and design guidelines fit together. Ms. Spencer stated that once a sub-area plan is adopted for an area, then design guidelines can be developed for that area. City Council Reg. Mtg. Minutes Wednesday, October 4, 2006 Page 6 of 6 Mr. Brockus asked if projects that are eligible for multi-family property tax exemptions would be subject to the rules. Mr. Koontz, Assistant City Attorney, responded no. 08:41 :32 M/S/C/U (PriestlBrockus) Move to pass Ordinance No. 4981 establishing a Design Review Board and amending BMC 20.02 Project Permits to include provisions for design review. 8:42:58 M/S/C (Brockus/Shepherd) Move to bring back the Main Motion Tabled earlier tonight. Voted in favor of Motion: Brockus, Priest, Shepherd, Robinson, Arends, Maupin, Wofford, McConnell Voted opposed to Motion: Gehring Motion carried: 8-Yes; 1-No Discussion on Item 7E, the "Public Hearing on proposed Ordinance No. 4980" then continued... Joann Vindinhar addressed each suggestion by Mr. Castle. The language regarding "original owner" is included to be consistent with the Revised Code of Washington; it is important for the City to receive a title report at preliminary plat submittal and would allow the applicant to realize any financial impact to the project; the lot address must be available at the time of the preliminary plat approval, beforethe building permit stage, and information at. that time is available at public works; staff would need to justify any changes and recommended not including language "substantial"; and the timing of. vesting is consistent with state standards. .. .. 08:49:10 M/S/C (Wofford/Maupin) Move to pass Ordinance No. 4980 to establish a new BMC 20.12 Land Division, to revise BMC 20.02, Table 040 Permit Processing Procedures, and amend Rate Table C of BMC 3.01.040. Voted in favor of Motion: Brockus, Priest, Shepherd, Arends, Maupin, Wofford, McConnell Voted opposed to Motion: Robinson, Gehring Motion carried: 7-Yes; 2-No President McConnellannounced thatdue to the length of the Council Meeting tonight, "COUNCIL MEMBER REPORTS" would be delayed until next week's Council Meeting. With no further business, President McConnell adjourned the Council Meeting at 8:50 PM. pre~~ LORI SMITH Legislative Assistant Attest: PAULA JOHNSTON, City Clerk CECIL McCONNELL, City Council President CM:PJ:ls:cg I DATE SUBMITTED: \D / \\ (00 I BILL # Oc::; - ;;;.4 / AGENDA BILL CITY OF BREMERTON CITY COUNCIL 5C!..- .......................................................................8.....8.......... SUBJECT: Minutes of Meeting - o cA'u \cor \ \ i ')..00 (;0 Committee Meeting Date: COUNCIL MEETING Date: Department: Presenter: N/A IV fJ/jp flv!.L./.l/"r 1),71-00(,7 # ~ / City Council Cecil McConnell, Council President (360) 473-5280 Phone: SUMMARY: Attached are the meeting minutes for the Council Meeting held 0 c-\-z, berl I \ J ~ (:> <.'c> A TT ACHMENTS: Meeting Minutes for OcA-z::> b-e,(~- II j d-DO (:? FISCAL IMPACTS (Include Budgeted AmOlh'1t): None APPROV ALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: l\tlAYOR: FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: ,-------~ I . l CO~SE~T AGENDA [g] I RECOMMENDED MOTION: ~love to pass the CONSENT AGENDA as presented, ~'OTq'T ~"IL 'C.n1[{)N f:"C" A L _ Ul~L . Aln i ': LSlh.pprDVe r--, .,... l' U i)eny '-~J Lj o }:-~ 0 DIGITAL RECORDING CITY COUNCIL MEETING MINUTES Wednesday, October 11, 2006 The weekly meeting of the City Council of the City of Bremerton was called to order in the City Council Chambers, of the NORM DICKS GOVERNMENT CENTER 345 6th Street, Bremerton, Washington, Wednesday, October 11, 2006, at 5:30 PM, with Council President Cecil McConnell presiding. Council members present were Nick Wofford, Will Maupin, Carol Arends, Dianne Robinson, Mike Shepherd, Wendy Priest, Adam Brockus, and Brad Gehring. Also present were City Attorney Roger Lubovich; City Clerk Paula Johnston; and Council Assistant Christine Grenier. The Pledge of Allegiance was led by Council Member Brad Gehrina followed by the invocation provided by Associate Pastor Bob Westfall of Bremerton First Church of the Nazarene. President McConnell announced that a Pre-Council Session to discuss General Council Business was held in Council Conference Room 603 from 5:00 to 5:30 PM; and invited the public to attend the Council STUDY SESSION in Council Conference Room 603 immediately following the Council Meeting. PUBLIC RECOGNITION & ANNOUNCEMENTS Kurt Wiest, the new Director of the Bremerton Housing Authority, introduced himself to the Council and looked forward to working with the Council on the Westpark Project. Jackie Aitchison announced that October is Domestic Violence Awareness Month and that the YWCA will be observing a "Week Without Violence" beginning Monday, October 16th. Events include a Survivors Recognition meeting from 4:00 to 5:00 PM on Monday, October 16th at the YWCA Community Center; a Faith Forum and Workshop on Tuesday, October 17th from 11 :30 AM to 2:00 PM at the YWCA Community Center; a Unity Luncheon from 11 :30 AM to 1 :00 PM at Mary Mac's Restaurant; a Kids KAMP on Wednesday, October 18th from 11 :30 AM to 1 :00 PM at the YWCA Community Center; and a Domestic Violence Task Force Summit from 8:00 AM to 4:00 PM at Crossroads Neighborhood Church. CONSENT AGENDA A. Check Numbers 311755 through 312009; and EFT-9279 through EFT-9292 in the amount of $971,073.40; and Regular Payroll in the amount of $643,348.46 for the pay period ending September 30,2006 (#AB06-213) There were no comments from the public. 05:33:09 M/S/C/U (Priest/Arends) Move to approve the Consent Agenda as presented. COUNCIL MEMBER REPORTS Adam Brockus announced that the next District 3 Meeting would be held on Thursday, October 26th beginning at 7:00 PM at the Manette Community Church. Mike Shepherd reported on a neighborhood meeting that he attended and hoped that improvements in parking management may be made to address the conflict between residents and shipyard workers. Carol Arends offered sympathy to the family of Reverend Talmage Wilson of Charleston Baptist Church after his passing about a week ago, and stated how much the Council appreciated his service of providing the invocation at Council Meetings for many years. City Council Reg. Mtg. Minutes Wednesday, October 11, 2006 Page 2 of 2 Will Maupin attended a Department of Community, Trade & Economic Development Conference in Olympia a few weeks ago and noted that attendees were concerned over siting of schools, and explained that there are plans to hold a summit in the near future to address this issue; and attended a Kitsap Transit sponsored field trip with legislators and officials to observe how the San Francisco Bay area passenger ferry system operates. With no further business, President McConnell adjourned the meeting of the City Council at 5:45 PM. The Council reconvened in Council Conference Room 603 for a STUDY SESSION to hear presentations on upcoming agenda items. Prepared and Submitted by: a~... Ma .. -,",,- ~ CHRISTINE GRENIER ' Council Assistant Attest: PAULA JOHNSTON, City Clerk CECIL McCONNELL, City Council President CM:PJ:ls:cg DA TE SUBMITTED: Dc 10 W d-- 3 ~;)-o (;) G AGENDA BILL CITY OF BREMERTON CITY COUNCIL BILL # 0 6 - d- 4d---.- 5D I..........................................a.m.a.............a..........a....a..a.....as SUBJECT: Minutes of Meeting - Octobe;y- I g I J-oO(P Committee Meeting Date: COUNCIL MEETING Date: Department: Presenter: N/A N bVeJtvlbu- (~l .JOD ~ City Council . Cecil McConnell, Council President (360) 473-5280 Phone: SUMMARY: Attached are the meeting minutes for the Council Meeting held Oc...--(v0er (0 I d-c>O ~ ATTACHMENTS: Meeting Minutes for Dew Ioe..-r /101 ;;;Loo (p FISCAL IMP ACTS (Include Budgeted Amount): None APPROV ALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: ESENT AGENDA ISII / ..-- -/ '-' 7' --p- y'- "~ ;:;/ --"."r . ~ C,--,i' -1: ," "'" ~-.. .;1"'-':'/ _.- --/.: / ,--1 ' ~ ,';v /' ,~---'-_-, /7' V,_ .' - f c~< -,.: t-'L:"'r --1!">:7 --,--- '-- ~_: ~.--~.-<" ~- _.,-/~-- -,. RECOMMENDED MOTION: Move to pass the CONSENT AGENDA as presented. COUNCIL ACTION: rg] Approve D Deny D Table D Continue D No Action DIGITAL RECORDING CITY COUNCIL MEETING MINUTES Wednesday, October 18, 2006 The weekly meeting of the City Council of the City of Bremerton was called to order in the City Council Chambers, of the NORM DICKS GOVERNMENT CENTER 345 6th Street, Bremerton, Washington, Wednesday, October 18, 2006, at 5:30 PM, with Council President Cecil McConnell presiding. Council members present were Nick Wofford, Will Maupin, Carol Arends, Dianne Robinson, Adam Brockus, and Brad Gehring. Council Members Wendy Priest and Mike Shepherd were absent. Also present were City Attorney Roger Lubovich; City Clerk Paula Johnston; and Council Assistant Christine Grenier. The Pledge of Allegiance was led by Council Member Brad Gehrina followed by the invocation provided by Pastor Rick Beaudry of Calvary Chapel. President McConnell announced that a 10-minute EXECUTIVE SESSION to "EVALUATE THE QUALIFICATIONS OF AN ApPLICANT FOR PUBLIC EMPLOYMENT" per RCW 42.30.11 0 (1) (g) and a Pre- Council Session were held in Council Conference Room 603 from 5:00 to 5:30 PM; and Item 6C will be heard before Item 6B on tonight's agenda. MA VOR'S REPORT · Invited Wyn Birkenthal, Parks and Recreation Director presented the Employee of the Month Award for the Month of September 2006 to Lena D'Aaostino of the Parks and Recreation Department. · Met with representatives with Harrison Hospital and hopes that the City can help with signage issues and continue to support their needs. · Provided an update on passenger ferry service and future plans that would impact Bremerton · Thanked Pam Ransier of Community Development who has volunteered to be the City of Bremerton's Employee United Way Campaign Coordinator for this year's campaign. · Was pleased with the progress of the Harborside Park project. . Proclaimed October 22, 2006 as "Ebenezer African Methodist Episcopal Church 94th Anniversary Celebration Day' and the proclamation was accepted by Deacon Farrior; and · Introduced Joanie Pearson as the candidate for the Arts Commission. PUBLIC RECOGNITION & ANNOUNCEMENTS Gordy Byrd asked Council Members to not support Kitsap Transit and any of its proposals since the service rates have increased and service routes have been decreased. Ed Pietras of the Knights of Columbus invited Council Members to attend the 24th Annual Italian Spaghetti Festa which will benefit the Olympic Peninsula Kidney Center on Sunday, October 29th from 1 :00 to 7:00 PM at the Our Lady Star of the Sea Hall located at 6th & Veneta Streets. The cost is $3 for children ages 6 to 12 and $6 for adults. Dianne Robinson announced on behalf of Council Member Mike Shepherd that a Community Halloween Party will be held on October 31st from 6:00 to 8:00 pm at the Seaside Church located next to Evergreen Park which will include safe and fun activities as well as free photography. Adam Brockus invited the public to attend the next District 3 Community Meeting to be held on Thursday, October 26th at the Manette Community Church located at East 13th Street & Hayward Avenue from 7:00 to 8:30 PM. The program will include a presentation on "Property Taxes 101" from Laura Lyon, Financial Services Director. City Council Reg. Mtg. Minutes Wednesday, October 18,2006 Page 2 of 5 CONSENT AGENDA A. Check Numbers 312010 through 312038; and EFT-9293 through EFT-9306; and EFT-9308 in the amount of $1,162,706.43 (#AB06-214) B. Appointment of Joanie D. Pearson to the Arts Commission (#AB06-215) C. Purchase of 4 Traffic Signal Cabinets off State Bid List from CASCADE SIGNAL CORPORATION, and 4 Traffic Signal Controllers off State Bid List from ECONOLlTE, INC. (#AB06-216) D. Reclassification of three (3) Firefighters to three (3) Lieutenants (#AB06-217) E. Ordinance No. 4982, amending Section 2.09.060 of the Bremerton Municipal Code (BMC) relating to the duties of the Human Resources Manager (#AB06-218) F. EPA Grant Acceptance for Phase II Environmental Site Assessment of Old Bremerton Gasworks & McConkey/Sesko Properties (#AB06-219) G. Bremerton Tunnel Construction Cooperative Agreement (#AB06-220) H. Sale of Tennis Court Property located at corner of 11 th Street and Warren Avenue (#AB06- 221) There were no comments from the public 05:48:51 M/S/C (Arends/Robinson) Move to approve the CONSENT AGENDA as presented. Voted in favor of Motion: Gehring, Robinson, Arends, Maupin, Wofford, McConnell Abstained: Brockus Motion carried: 6-Yes; 1-Abstention GENERAL BUSINESS 6A - ORDINANCE NO. 4983. AMENDING CERTAIN CHAPTERS OF TITLE 2 OF THE BREMERTON MUNICIPAL CODE (BMC) RELATING TO ADMINISTRATION AND PERSONNEL (#AB06-222): Laura Lvon, Financial Services Director and Phil Williams, Public Works & Utilities Director proposed amendments to Title 2 BMC relating to the reorganization of certain offices in order to obtain greater efficiency in the provision of administrative and support services for the City. The recommended change includes moving Information Technology functions to the Public Works and Utilities Department and adding responsibility for management of the Conference Center Operating Fund to the responsibilities of the Director of Financial Services. There were no comments from the public. Mrs. Arends expressed her concern about the additional workload being added to Public Works & Utilities and believed that Information Technology should be a separate department. She asked if there were any money saving outcomes achieved by this move. Ms. Lvon indicated that there are no true savings by this proposed change but there is a convergence of technology and coordination of services. Mr. McConnell agreed with Mrs. Arends concerns. 05:52:55 M/S/C (RobinsonlWofford) Move to approve Ordinance No. 4983 amending Title 2 BMC relating to reorganization of certain offices. Voted in favor of Motion: Brockus, Robinson, Maupin, Wofford, Gehring Voted opposed to Motion: Arends, McConnell Motion carried: 5-Yes; 2-No City Council Reg. Mtg. Minutes Wednesday, October 18,2006 Page 3 of 5 6C - ORDINANCE NO. 4984. AMENDING CHAPTER 2.50 OF THE BREMERTON MUNICIPAL CODE (BMC) INCORPORATING RECOMMENDED CHANGES BY THE MANAGEMENT AND PROFESSIONAL EMPLOYEE COMPENSATION ADVISORY COMMITTEE (#AB06-224): Council Member Will Maupin explained that the Management/Professional Compensation Advisory Committee comprised of Nick Wofford, Brad Gehring, and himself have completed their review of all Management/Professional benefits as outlined in BMC Chapter 2.50 as part of the Management/Professional Compensation Study. Employees requested that the committee review and consider the benefit package for management/professional, since the benefits offered to this group have not changed for at least 10 years; while in the interim, represented employees gained additional benefits through negotiations. A survey was completed by Human Resources based on those benefits that management/professional employees expressed interest. The recommended changes to BMC Chapter 2.50 incorporate the additional benefits proposed by the Committee. Bob Tulp, of Public Works & Utilities, did not support the change in study timeframes from three years to five years; and emphasized that the vision component of the benefits plan is being proposed since it is already offered to all other employee groups. 06:04:10 Main Motion was made and discussion among Council Members continued... Ms. Arends asked what reasoning the committee had for changing the timeframe for review from three to five years. Mr. Maupin responded that the process was quite extensive and time consuming, and five years seemed reasonable. Mr. Gehrina decided that keeping pay competitive with Puget Sound is important and hoped that his concerns over the pay plan itself could be addressed at a later time. Mr. Maupin added that there was discussion on the structure of the pay plan, specifically the number of bands and the number of steps, and the related rate of progression through the pay system. Mr. Brockus appreciated the effort by staff members and committee members who participated in bringing the proposal forward. 6:09:28 M/S/C/U (ArendslWofford) Move to approve Ordinance No. 4984 and the amendments to Chapter 2.50 of the BMC incorporating recommended benefit enhancements for Management/Professional employees and to authorize a budget adjustment from the 2006 General Fund non-departmental budget labor set aside to the appropriate departments to cover the additional cost for implementation of the recommended benefits. 6B - ACCEPTANCE OF MANAGEMENT AND PROFESSIONAL EMPLOYEE COMPENSATION ADVISORY COMMITTEE (#AB06-223): Council Member Will Maupin summarized that the Management/ Professional Compensation Advisory Committee which was comprised of Council Members Nick Wofford, Brad Gehring, and himself, have completed their review of all Management/Professional positions' classifications and pay band assignments. This was accomplished by an in depth review of salary information gathered and prepared by the HR staff at the direction of the committee. A second review was undertaken for those positions that did not have good com parables including an internal review rating by the committee and/or expansion of the survey area to get better matches. To complete this process, a final appeal hearing was held for one incumbent, who did not feel the recommended band assignment was correct. The Management/Professional Pay Plan as recommended by the committee also takes into account internal equity, parity, and compression issues as identified in the course of this review. City Council Reg. Mtg. Minutes Wednesday, October 18, 2006 Page 4 of 5 Bob Tulp, Public Works and Utilities, thanked everyone who participated in this process and offered his support for the proposal. 06:16:26 Main Motion was made and discussion among Council Members continued... Mr. GehrinQ thanked staff for their patience and time spent on this process. 06:18:48 M/S/C/U (Brockus/Arends) Move to remove asterisk from Band 17 City Auditor on the Management Salary Plan. Mr. McConnell believed that several moves of directors on the pay plan were unfair based on the type of work these directors are involved. Ms. Robinson asked for clarification on the new Band 23 that has been added. Carol Conley explained that Band 23 was added to allow for any future changes in salary ranges and is allowed by the Bremerton Municipal Code. Mrs. Arendsasked why comparable positions were not kept at the same level. Mrs. Conley answered that the survey and relative median that resulted from the study allowed for the proposed placement. Mrs. Arends also asked for clarification regarding salary difference between bands. Mrs. Conley stated that 15 to 20% is the usual difference between directors and managers. Mr. Maupin stated that the initial goal is that the positions are paid the same as comparable positions in other cities and while some positions may be grouped together, it turned out that the study countered what are assumed pay for the city is normally set at. He also thanked Laura Lyon, Financial Services Director; Carol Conley and Charlotte Belmore, Human Resources for the time they spent on this process. 06:30:48 M/S/C (Brockus/Wofford) Move to approve the Revised Management/Professional Pay Plan and to authorize a budget adjustment from the miscellaneous non-departmental budget labor set aside to the appropriate departments to cover the additional cost for implementation of the recommended Pay Plan. Voted in favor of Motion: Maupin, Wofford, Gehring, Brockus, Robinson, Arends Voted opposed to Motion: McConnell Motion carried: 6-Yes; 1-No COUNCIL MEMBER REPORTS Carol Arends thanked City staff and Council Members for their efforts on the pay and classification study process. Adam Brockus encouraged people to vote this election. Brad GehrinQ reported on the Emergency Management Class he attended today regarding rapid damage assessment as it relates to earthquakes and natural disasters; and encouraged people to have an emergency kit at home. President McConnell thanked Council Members Brad Gehring, Will Maupin, and Nick Wofford for the time they committed to review employee salaries and benefits, as well as Finance and Human Resources staff who put together all of the information for the committee. City Council Reg. Mtg. Minutes Wednesday, October 18, 2006 Page 5 of 5 With no further business, President McConnell adjourned the Council Meeting at 6:34 PM. The Council then reconvened in the 6th Floor Council Conference Room for a STUDY SESSION to receive an "UPDATE ON THE MUNICIPAL COURT BUILDING AT 8TH STREET AND PARK AVENUE". Prepared and Submitted by: It~~ ~ CHRISTINE GRENIER Council Assistant Attest: PAULA JOHNSTON, City Clerk CECIL McCONNELL, City Council President CM:PJ:ls:cg O ~ I .tJ~r- d.-Ct) :LaO <0 DATE SUBMITTED: c; j 0 10 v l' AGENDA BILL CITY OF BREMERTON CITY COUNCIL BILL # 00 - ;:;1.13 5e- ....................a......................a...m......................m......m....a..... SUBJECT: Minutes of Meeting - Oc.+D6'€K' ~s I ~O(p Committee Meeting Date: N/A COUNCIL MEETING Date: fDo\!€-'IV\.b0r- 15~DO~ Department: City Council Presenter: Cecil McConnell, Council President Phone: (360) 473-5280 SUMMARY: Attached are the meeting minutes for the Council Meeting held Oc- tv ~ :J- 512()0 (;; ATTACHMENTS: Meeting Minutes for OG-\-V b-er- J- '5) ;;)..00(0 FISCAL IMP ACTS (Include Budgeted Amount): None APPROV ALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: I CONSENT AGENDA I2J I / -:;~- -;" yt~; r:;:;-'--., . _.< /./:'7' /~-,;r ,.--f~J',1.,1' ~ ..r:y.l>< ~~;... /~-""".'~_.'<:,/'7" k.~c't. - t/.f .c~' _..~-- - .1 -7 7;. ~/"...... --. ... -. --~-- -.. ---~/-.. .. RECOMMENDED MOTION: Move to pass the CONSENT AGENDA as presented. COUNCIL ACTION: [SJ Approve 0 Deny 0 Table o Continue 0 No Action DIGITAL RECORDING CITY COUNCIL MEETING MINUTES Wednesday, October 25,2006 The weekly meeting of the City Council of the City of Bremerton was called to order in the City Council Chambers, of the NORM DICKS GOVERNMENT CENTER 345 6th Street, Bremerton, Washington, Wednesday, October 25, 2006, at 5:30 PM, with Council President Cecil McConnell presiding. Council members present were Will Maupin, Carol Arends, Dianne Robinson, Mike Shepherd, Wendy Priest, Adam Brockus, and Brad Gehring. Council Member Nick Wofford was absent. Also present were City Attorney Roger Lubovich; City Clerk Paula Johnston; and Legislative Assistant Lori Smith. The Pledge of Allegiance was led by Council Member Brad Gehrina followed by the invocation provided by Council Member Carol Arends. President McConnell announced that a Pre-Council Session to discuss General Council Business was held in Council Conference Room 603 from 5:00 to 5:30 PM; and invited the public to attend the Council STUDY SESSION in Council Conference Room 603 immediately following the Council Meeting. He also announced that the Joint Study Session with the Planning Commission that was scheduled for Monday, October 30,2006 at 5:00 PM was canceled. PUBLIC RECOGNITION & ANNOUNCEMENTS Adam Brockus announced that he would host a District 3 Neighborhood Meeting tomorrow night on Thursday, October 26, 2006 from 7:00 to 8:30 PM at the Manette Community Church located at East 13th Street & Hayward Avenue. A presentation on "City Property Taxes 101" would be provided by Laura Lyon, Finance Director for the City of Bremerton. CONSENT AGENDA A. Check Numbers 312039 through 312332; and EFT-9307; EFT-9309 through EFT-9326 in the amount of $1,130,603.29; and Regular Payroll in the amount of $626,250.42 for the pay period ending October 15, 2006 (#AB06-225) B. Confirmation of Andrea L. Spencer as the Director of Community Development (#AB06-226) There were no comments from the public. 05:32:50 M/S/C/U (Priest/Arends) Move to approve the Consent Agenda as presented. In Favor of Motion: Gehring, Brockus, Shepherd, Robinson, Arends, Maupin, McConnell Opposed to Motion: Priest Motion carried: 7-Yes; 1-No With no further business, President McConnell adjourned the meeting of the City Council at 5:33 PM. The Council reconvened in Council Conference Room 603 for a STUDY SESSION to hear presentations on upcoming agenda items. LO I SMITH Legislative Assistant Attest: PAULA JOHNSTON, City Clerk CECIL McCONNELL, City Council President DATE SUBMITTED: Nove..W\60v""' (r; ;:LoO 0 I AGENDA BILL CITY OF BREMERTON CITY COUNCIL BILL # 0 (b - ;;;. ~4 SF ........................................................e.............a..m...m.......... SUBJECT: Minutes of Meeting - /'Jov~VVt~ I) 'd-OO ~ Committee Meeting Date: N/A COUNCIL MEETING Date: NbVVL'M.b-&v- 15 ~oo <P Department: City Council Presenter: Cecil McConnell, Council President Phone: (360) 473-5280 SUMMARY: Attached are the meeting minutes for the Council Meeting held Nove VVLb-e-v- I J d-oO (0 ATTACHMENTS: Meeting Minutes for Nov"e..Vi^Io0y- {1:20o ~ FISCAL IMPACTS (Include Budgeted Amount): None APPROVALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: CONSENT AGENDA [5<J I FISCAL/BUDGET: OPERATIONS: :7 -,,-~', //~" /: ,<<;;?~' .;:/ COUNCIL PRESIDENT: cfi;::::::J:>(Je:[:?~,;;'/'~~'!<'[:?J..?<';,. .. RECOMMENDED MOTION: Move to pass the CONSENT AGENDA as presented, COUNCIL ACTION: C8J Approve D Deny D Table o Continue D No Action DIGITAL RECORDING CITY COUNCIL MEETING MINUTES Wednesday, November 1,2006 The weekly meeting of the City Council of the City of Bremerton was called to order in the City Council Chambers, of the NORM DICKS GOVERNMENT CENTER 345 6th Street, Bremerton, Washington, Wednesday, November 1, 2006, at 5:30 PM, with Council President Cecil McConnell presiding. Council members present were Will Maupin, Carol Arends, Dianne Robinson, Mike Shepherd, Wendy Priest, Adam Brockus, and Brad Gehring. Council Member Nick Wofford was absent. Also present were Assistant City Attorney Ken Bagwell; City Clerk Paula Johnston; and Legislative Assistant Lori Smith. The Pledge of Allegiance was led by Council Member Brad Gehring followed by the invocation provided by Associate in Ministry Ethyl Mae Nelson of Our Saviour's Lutheran Church. President McConnell announced that a Pre-Council Session to discuss General Council Business was held in Council Conference Room 603 from 5:00 to 5:30 PM; and that a Budget Work Session would be held on Thursday, November 2,2006 at 5:00 PM in the Council Conference Room. MAYOR'S REPORT - Mayor Bozeman... . Encouraged the Council to support his recommendations for several appointments and reappointments on the agenda tonight; . Set up a meeting his week to start the process for renewing the Anderson Cove area, and thanked Council Member Dianne Robinson for "prodding" this action along; . Asked the Council for their support in approving the Interim Lease for the temporary location of the Municipal Court that is on the agenda tonight; . Announced that a $50,000 grant was received by the Governor's Office to be used for preliminary concept work on developing a retail center in the old J.C. Penney's building; and . A Grand Opening date for the "Fountain Phase" of Maritime Park would soon be announced. PUBLIC RECOGNITION & ANNOUNCEMENTS Mike Walton Marketing Director for the Kitsap Family YMCA, provided an update on recent activities at the "Y" which included the "Military Fall Festival" held last weekend; "Military Date Night" on the 1st Saturday of each month from 5:30 to 9:30 PM; "Military Family Month" for the Month of November; "Teen Late Night" every Friday from 8:30 to 11 :00 PM; "S~lash & Jam" the 3rd Saturday of each month; and the "Harvest Social" that was held on October 26 h. Gordy Byrd was here to say hello and encouraged everyone to "keep smiling". Jerry Reid, of Reid Realty and President of the Boys & Girls Club, provided a briefing on the newly opened Boys & Girls Club at the Naval Avenue School in Bremerton. Adam Brockus announced a special neighborhood meeting will be held on Thursday, November 16, 2006 beginning at 6:30 PM to discuss options for turning the existin~ reservoir LID into a park. The property may soon be sold to a developer and is located at East 17 h Street & Ironsides Avenue. CONSENT AGENDA A. Check Numbers 312333 through 312450; and EFT-9327 through EFT-9339 in the amount of $606,853.90; and Retiree Payroll in the amount of $81,536.43 for the pay period ending October 31, 2006 (#AB06-227) City Council Reg. Mtg. Minutes Wednesday, November 1, 2006 Page 2 of 4 B. Appointment of John C. Hassett to the Public Access Citizens Advisory Committee (#AB06-228) C. Reappointment of Wanda Butler; and Appointments of William North, Richard Nerf, and Terry Boyle to the Parks & Recreation Commission (#AB06-229) D. Contract for Supplemental Police Services with Bremerton Housing Authority (BHA) for Westpark (#AB06-230) E. Budget Adjustment request for the Parks and Recreation Department to construct a Greenhouse at Stephenson Canyon and to replace damaged trees in the Gateway (#AB06-231 ) F. Resolution No. 3013, appointing Council Member Brad Gehring as a representative to the Public Transportation Improvement Conference (#AB06-232) G. Staffing request for the Department of Community Development (#AB06-233) William North and Richard Nerf expressed their appreciation for the opportunity to serve the City of Bremerton as members of the Parks & Recreation Commission. 05:47:30 M/S/C/U (Priest/Shepherd) Move to approve the CONSENT AGENDA as presented. GENERAL BUSINESS 6A - LEASE AGREEMENT WIH JOHN BREMER AND EDWARD BREMER CONSOLIDATED TRUST FOR THE MUNICIPAL COURT (#AB06-237): Gary Sexton stated that the proposed lease agreement provides facilities for the municipal court at 900 Pacific Avenue. This lease is for a two-year term starting January 1, 2007. There were no comments from the public. 05:49:00 M/S/C/U (Arends/Robinson) Move to approve the lease with John Bremer and Edward Bremer Consolidated Trust and authorize the Mayor to negotiate, finalize, and execute the lease. 7A - FIRST OF TWO PUBLIC HEARINGS ON LEASE AGREEMENT WITH CLAREMONT EAST RETIREMENT APARTMENTS (#AB06-234): Wvn Birkenthal, Parks & Recreation Director, explained that the Claremont East has used approximately 3,609 feet of City right-of-way and park property located north of Sheridan Community Center on the south side of Juniper Street since 1995 for employee parking. Claremont East's owners are requesting a formal arrangement for the parking use. On September 27, 2006 the Parks & Recreation Commission approved a recommendation that the City enter into a lease agreement for the purpose of allowing Claremont East to continue utilizing parks property. The Public Works Department has agreed to issue a Right-of-Way permit for the use of Juniper Street Right-of-Way. Payment will be made to both the City's Parks and Public Works Departments for the use of the public property. The 2006 assessed value of the property is $12 per square foot. There were no comments from the public. President McConnell announced that this was the first of two Public Hearings; and that action will be taken during the second public hearing that is scheduled for November 15, 2006. Mr. Shepherd stated that at the next hearing, he would like to discuss the difference between parking and normal street lighting, and whether or not more lighting will be required. Mr. Gehrina requested that at the second Public Hearing, the new revised numbers for the square footage be provided, and the figures amended accordingly. City Council Reg. Mtg. Minutes Wednesday, November 1,2006 Page 3 of 4 7B - PUBLIC HEARING AND ORDINANCE NO. 4985. ADOPTING THE 2006 COMPREHENSIVE PLAN AMENDMENT DOCKET (#AB06-235): Andrea Spencer, Community Development Director, stated that the action before the Council is to conduct a public hearing and adopt the proposed ordinance for the 2006 Comprehensive Plan Amendment Docket. It was explained that the public may request amendments to the Comprehensive Plan in even-numbered years by submitting a request to the Department of Community Development. No requests for amendments were submitted by the public during the application window of January to April of this year. However, a briefing on the four minor amendments that were identified by Department of Community Development staff was provided. Following a Planning Commission Public Hearing on August 29, 2006, it is now recommended that the City Council adopt these amendments. There were no comments from the public. 05:57:50 Main Motion was made and seconded, as discussion continued... Mr. Shepherd would like to note in the record that Elandan Gardens is currently designated as an "Employment Center" and not a "Low-Density Residential" area, which should be corrected. 06:02:55 M/S/C/U (Priest/Maupin) Move to pass Ordinance No. 4984 4985 adopting amendments to the Comprehensive Plan Text and Official Land Use Map as recommended by the Planning Commission. 7C - CLOSED RECORD HEARING AND ORDINANCE NO. 4986. APPROVING THE REZONE THAT WILL CORRECT A MAPPING ERROR FOR THE PROPERTY AT 4475 BIRCH AVENUE WEST (#AB06-236): Andrea Spencer, Community Development Director, mentioned that the action before the Council is to grant approval of a site specific rezone to correct a mapping error for the property at 4475 Birch Avenue West, which is. consistent with the 2006 Comprehensive Plan Amendments. President McConnell read the Appearance of Fairness Doctrine and asked if any Council Member should be excused from the vote on this item; he then asked the public if any Council Member should recuse himself from the vote. All Council Members remained seated. Mr. Baawell explained that this was a Closed Record Hearing, so no new testimony or information will be accepted. The Council may approve and adopt the findings and recommendations; modify and approve the findings and recommendations; reject and deny the findings and recommendations; or continue the closed record hearing and remand the issue to the hearing examiner for clarification. There were no comments from the public. 06:07:50 M/S/C/U (Priest/Arends) Move to pass Ordinance No. 498a 4986 to rezone the property at 4475 Birch Avenue West from City Utility Land to R-10. COUNCIL REPORTS Brad Gehrina was pleased to report that he used the pedometer donated by the "Y" and logged 8- miles worth of steps. He was sad to report that Jim Stephenson of Step's Chop Shop lost his battle with cancer and a memorial was scheduled November 11 at 12:00 Noon at the Manette Community Church; and Karen Bolin, a longtime community activist, also recently passed away and her memorial service would be held in Auburn. City Council Reg. Mtg. Minutes Wednesday, November 1, 2006 Page 4 of 4 Adam Brockus contacted the Department of Elections and was dismayed to learn that only approximately 27% of the Kitsap registered voters have voted to date, and therefore encouraged everyone to go out and vote. Wendy Priest thanked all of the downtown business owners who stayed open late last night to participate in the Halloween activities. Mike Shepherd had a good time with the Halloween events in his neighborhood. With no further business, President McConnell adjourned the Council Meeting at 6:12 PM. PIP2Z~ LORI SMITH Legislative Assistant Attest: PAULA JOHNSTON, City Clerk CECIL McCONNELL, City Council President CM:PJ:ls:cg DA TE SUBMITTED: tJo"~wvber ~/ .?--t:::V0 AGENDA BILL CITY OF BREMERTON CITY COUNCIL BILL # 00 -:;;. 2.)5 56- I.........................................................................a..aa......... SUBJECT: Minutes of Meeting - NDV~~ 8 i d-.oo(?? Committee Meeting Date: N! A COUNCIL MEETING Date: NoV~~r (S; I dcOG Department: City Council ' Presenter: Cecil McConnell, Council President Phone: (360) 473-5280 SUMMARY: Attached are the meeting minutes for the Council Meeting held ND\J~ B j d-oo(P~ ATTACHMENTS: Meeting Minutes for t0o\Je.~ g) ;;)...00 ~ FISCAL IMPACTS (Include Budgeted Amount): None APPROV ALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: I CONSENT AGENDA ~ I -".?,~'/Z; /' v~Y-. _ ,". .c:;;/ .~.f'/,1.(/ ":7:/ L- ,.,.".---?t<Pl-.?~ . 1 -::'~ '-', 'T'/ ;.;7"" ., '. f . RECOMMENDED MOTION: Move to pass the CONSENT AGENDA as presented. COUNCIL ACTION: [8J Approve 0 Deny D Table o Continue 0 No Action DIGITAL RECORDING CITY COUNCIL MEETING MINUTES Wednesday, November 8,2006 The weekly meeting of the City Council of the City of Bremerton was called to order in the City Council Chambers, of the NORM DICKS GOVERNMENT CENTER 345 6th Street, Bremerton, Washington, Wednesday, November 8, 2006, at 5:30 PM, with Council President Cecil McConnell presiding. Council members present were Will Maupin, Carol Arends, Dianne Robinson, Mike Shepherd, Wendy Priest, Adam Brockus, and Brad Gehring. Council Member Nick Wofford was absent. Also present were City Attorney Roger Lubovich; City Clerk Paula Johnston; and Legislative Assistant Lori Smith. The Pledge of Allegiance was led by Council Member Brad Gehrina followed by the invocation provided by Pastor Eric Roberts of New Life Assembly. President McConnell made the following announcements... . A Pre-Council Session to discuss General Council Business was held in Council Conference Room 603 from 5:00 to 5:30 PM; and included presentations by Gary Sexton, Redevelopment Projects Administrator on upcoming agenda items; . Immediately following the Council Meeting, the Council would reconvene in the Council Conference Room for a STUDY SESSION to hear presentations on upcoming agenda items and the 2007 Budget; and . Two additional Budget Work Sessions would be held on Thursday, November 9, 2006 and Tuesday, November 14, 2006 at 5:00 PM in the Council Conference Room. PUBLIC RECOGNITION & ANNOUNCEMENTS Adam Brockus thanked everyone who voted in the Primary Election, and noted that per the Elections Office at least 40% of registered voters submitted their ballots as of yesterday. He also invited residents to a Special Meeting on Thursday, November 16, 2006 at 6:30 PM at the L.I.D. site located at E. 17'h Street & Ironsides Avenue to discuss options for the property. CONSENT AGENDA A. Check Numbers 312451 through 312642; and EFT-9340 through EFT-9351 in the amount of $1,239,678.13; and Regular Payroll in the amount of $717,542.48 for the pay period ending October 31, 2006 (#AB06-237) 05:34:45 M/S/C/U (Priest/Arends) Move to approve the CONSENT AGENDA as presented. With no further business, President McConnell adjourned the Council Meeting at 5:35 PM. The Council reconvened in the Council Conference Room for a STUDY SESSION to hear presentations on upcoming agenda items and the 2007 Budget. ~ LO I SMITH Legislative Assistant Attest: PAULA JOHNSTON, City Clerk CECIL McCONNELL, City Council President CM:PJ:ls:cg ...~_.....,~ - ._'> --::" ~\. : DA TE SUBMfTTED: October :r( 2006 ~ ./ "-" BILL # $06-d..~(P AGENDA BILL CITY OF BREMERTON CITY COUNCIL 5H ....ma.aa.BD...a.....ma.....a.....B..a......aaa.DD.aa.......a.a.........B.....aBa....... SUBJECT: Budget Adjustment Related to the Harborside Park Annex Building Committee Meeting Date: November 8, 2006 COUNCIL MEETING Date: November 15, 2006 Department: Economic Developmnt. Presenter: Gary Sexton Phone: 360-473-5282 SUMMARY: The Harborside Park-ami Memorial Naval Museum project includes the constmction of an annex building to the Naval Museum (Building 50). The annex is designed to provide overflow and support services for the existing City Conference Center - with a warming kitchen and additional conference/meeting room space. In order to constmct and equip the facilities adequately to perform these functions - additional funding in the amount of $250,000 will be necessary. The Kitsap Conference Center Constmction Fund is in the process of being wrapped up and the majority of residual funds were transfened at the end of 2005 to the General Capital Improvement Fund. The balance of those funds is $410,088.43 which have been designated as "restricted" - requiring Council action to initiate expenditures. These residual funds represent interest revenues earned on the fund balances during the life ofthe project and remaining proceeds received from the sale of the hotel and restaurant pad which were the last funding sources used in the constmction process. Staff is recommending that $250,000 of the residual funds set aside in the General Capital Improvement Fund be approved for usage in constmcting and equipping the annex building for the purpose of providing additional conference center facilities and support. ATTACHMENTS: FISCAL IMP ACTS (Include Budgeted. Amount): The budget for 2006 requires amendment to authorize the transfer of $250,000 from the General Capital Improvement Fund to the Harborside Park Constmction Fund and to authorize additional expenditures in the Harborside Project budget for these purposes. Funds are available for this purpose in the General Capital Improvement Fund from the residual Conference Center Constmction Funds which have been placed there pending further review and Council action. APPROVALS: DEP AR TMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: aid FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: CONSENT AGENDA tr RECOMMENDED MOTION: Move to approve a 2006 budget amendment and transfer of $250,000 from the General Capital Improvement Fund to the Harborside Park Constmction Fund and to authorize expenditure of these funds for the purpose of constmcting and equiping the annex building to further support the City's Co_~fe_r~Ilce Center operations. I COUNCIL ACTION: 0 Approve 0 Deny 0 Table 0 Continue 0 No Action DATE SUBMITTED: November 3, 2006 BILL# 66 - d-.47 AGENDA BILL CITY OF BREMERTON CITY COUNCIL SI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .-. SUBJECT: Lease Agreement between the City of Bremerton and the Bremerton Area Chamber of Commerce. Committee Meeting Date: Nov. 8, 2006 COUNCIL MEETING Date: Nov. 15,2006 Department: Economic Dev. Presenter: Gary Sexton Phone: 473-5282 SUMMARY: The Bremerton Area Chamber of Commerce is asking to lease approximately 3,000 square feet at the Permit Center Building, located at 286 4th Street. The monthly rent will be $2,200.00/month with annual CPI adjustments. A TT ACHMENTS: Letter of Intent to Lease FISCAL IMPACTS (Include Budgeted Amount): None FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: ~/ I CONSENT AGENDA ~ I APPROV ALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: RECOMMENDED MOTION: Move to approve a lease agreement between the City of Bremerton and the Bremerton Area Chamber of Commerce and authorize the Mayor to finalize and execute a lease based on the tenns and conditions as set forth in the Letter of Intent to Lease. COUNCIL ACTION: 0 Approve 0 Deny 0 Table o Continue 0 No Action BRADLEY SCOTT, INC. LETTER OF INTENT TO LEASE This expression of intent to lease is made this ~ day of November 2006 by and bet ween City of Bremerton (hereinafter called "Landlord"), and Bremerton Area Chamber of Commerce (hereafter called "Tenant"). It is the intent of the parties hereto that Landlord and Tenant shall enter into a Lease Agreement regarding the Permit Center Building located at 286 4th Street, Bremerton, Washington. The following are the basic provisions for a proposed Lease Agreement: 1. TENANT: Bremerton Area Chamber of Commerce 2. TYPE OF BUSINESS/USE: General Office 3. SIZE OF LEASED SPACE: Approximately 3,000 Square Feet 4. LEASE TERM: 3 years plus 1 - 2 year options 5. OCCUPANCY DATE: December 1, 2006 6. MONTHLY RENT: $2,200.00 8. RENT INCREASES: Annual cpr 9. SECURITY DEPOSIT: None 10. TENANT IMPROVEMENTS: Tenant accepts building "as is", except Landlord will provide a way to secure access to the second level for safety purposes. 11. WATER/SEWER: Landlord 12. TRASH: Landlord 13. POWER: Landlord 14. TELEPHONE: Tenant 15. JANITORIAL: Tenant 16. REAL ESTATE TAXES: Landlord 17. PROPERTY INSURANCE: Landlord 18. TENANT'S BUSINESS LIABILITY INSURANCE: Tenant 19: PARKING: Landlord shall provide 6 parking spaces in the City Garage or other nearby parking facilities 20. SIGNAGE: Tenant to install sib,Tflage subject to Landlord approval. 1 21. OTHER PROVISIONS: Tenant shall have the option to purchase the building anytime during the initial three (3) lease term. Purchase price shall be $360,000.00 as established by the existing A.C.E. PS, Inc. appraisal. 22. AGENCY DISCLOSURE: At the signing of this agreement the Bradley Scott, Inc. represented the Landlord. Each party signing this document confirms that prior oral and/or written disclosure of agency was provided to him/her in this transaction. Landlord agrees to pay Bradley Scott, Inc. a broker fee equivalent to three percent (3%) of the gross value of the Base lease, paid 50% upon execution of said lease and remaining 50% upon occupancy by Tenant. 23. LEASE AGREEMENT: Landlord agrees to prepare, at Landlord's sole expense, a Lease Agreement to be delivered to Tenant within lQ..business days following mutual acceptance of this Letter of Intent to Lease. 24. OFFER TERM: This Letter of Intent to Lease is in force until midnight i-business days from it's date, after which time, if not accepted by Landlord, said Letter of Intent shall automatically expire and all terms and conditions of this Letter of Intent, expressed or implied, shall be null and void and all sums deposited herewith shall be promptly returned to Tenant upon written request thereof. 25. BOARD APPROVAL: Final lease approval is subject to approval by Bremerton Area Chamber of Commerce Board of Directors and the City of Bremerton. IT IS UNDERSTOOD that the above provisions are part of an earnest attempt by said parties to enter into the lease which, when completed, will elaborate upon the provisions referred to inthe itemized paragraphs above and contain additional provisions customarily contained in leases of property similar to that which is the subject matter of the Lease. The final consummation of the lease will depend upon mutual acceptance by both Landlord and Tenant. TENANT: Bremerton Area Chamber of Commerce MAILING ADDRESS: By: Date: PHONE: FAX: LANDLORD: City of Bremerton BRADLEY SCOTT, INe. By: By: Gary K. Gartin, CCIM Date: Date: 2 LEASE WITH OPTION TO PURCHASE This Lease is entered into this day of November, 2006, between THE CITY OF BREMERTON, a municipal corporation, (hereinafter referred to as "Lessor"), and THE BREMERTON AREA CHAMBER OF COMMERCE, a non-profit corporation, (hereinafter referred to as "Lessee"). WHEREAS, Lessor owns certain real property and a building situate thereon, and WHEREAS, Lessee desires to lease a portion of the building for use as general office space for its operations as a chamber of commerce, NOW, THEREFORE, the Lessor and Lessee agree as follows: 1. PREMISES. Lessor does, by these presence, lease to the Lessee a portion of a building situate upon real property located at 286 4th Street, Bremerton, Washington and more particularly set forth in Exhibit A attached hereto and incorporated by reference. The leased portion of the building is situated on the main floor (the second level) and consists of approximately 3,000 square feet of floor area (hereinafter "Premises"). 2. TERM. The term of this lease shall be for three years commencing December 1, 2006, ("Commencement Date") and ending November 30, 2009, unless otherwise extended or terminated. If Lessee is compliance with all terms and conditions ofthis lease, Lessee shall have one option to extend the term of this lease for an additional two year term. To exercise this option, Lessee shall delver to Lessor a notice to exercise said option within 90 days prior to the expiration of the original term of this lease. If Lessee remains in possession of the Premises or any part thereof after the expiration of the term of this Lease, including any exercised option, without the express written consent of Lessor, such occupancy shall be a tenancy from month-to- month which may be terminated by either Lessor or Lessee by delivering written thirty (30) day notice of termination. 3. CONSIDERATION. (a) Base Lease Payment. In addition to other consideration of this Lease, Lessee agrees to pay Lessor, without notice or demand, the sum (based on $9.00 per square foot annually) of Two Thousand dollars and 001100 ($2,000.00) per month ("Lease Payment"), in advance, on or before the first day of the first full calendar month of the term hereof and a like sum on or before the first day of each and every successive calendar month thereafter during the term hereof. (b) Consumer Price Index Adjustments. The monthly Base Lease Payment rate shall be adjusted at each annual anniversary date by using the revised Consumer Price Index 1 Chamber of Commerce (CPI) for all urban consumers as published by the United Stated Department of Labor for Seattle- Tacoma-Bremerton Average, all items (1982-84=100) or a comparable CPI index that is reasonably available and appropriate, as may be determined by the Lessor. The index used shall be for the most current period preceding the month of the anniversary date. The percentage of change from the earlier index to the later index shall be multiplied by the Base Lease Payment at the beginning of the Lease Year and the result added to the said beginning rate to arrive at the adjusted Base Lease Payment, which will apply to each of the twelve (12) months of the succeeding Lease Year. Notwithstanding other provisions of this paragraph, the Base Lease Payment payable by Lessee shall in no event be less than the Base Lease Payment as may have been previously adjusted upward. Lessee may prepay these monthly payments on a quarterly, semi-annual or annual basis or as otherwise approved by the Lessor. (c) Leasehold Excise Tax, Other Taxes and Assessments. In addition to the Base Lease Payment, Lessee shall pay a leasehold excise tax, pursuant to RCW 82.29A.030, on all Lease Payment amounts paid to the City, currently in the amount of 12.84 percent of the base Lease Payment and as may be adjusted pursuant to Ch. 82.29A RCW. Lessee shall pay the Leasehold tax with the monthly payment. Lessee shall also pay all taxes assessments, and all other governmental charges, of any kind whatsoever, applicable or attributable to the Property, Lessee's leasehold interest, the improvements, or Lessee's use and enjoyment of the Property. Lessee shall pay these taxes and assessments when due or as otherwise requested by the Lessor. 4. USE OF PREMISES. Lessee's use and occupancy of the Premises shall be for general office space for its operations as a chamber of commerce and other related purposes. 5. UTILITIES. Lessor agrees to provide and pay all charges for water and sewer service. Lessee agrees to provide and pay for all charges for power for the entire building, garbage pickup, janitorial, telephone and for all other utilities which shall be used in the Premises during the full term of this Lease. 6. IMPROVEMENTS. (a) Specifically. Lessee accepts the Premises "as is" except that Lessor will provide a way to secure access to the second level for safety purposes. Lessee may install signage subject to Lessor approval. (b) Generally. Lessee shall not make or allow to be made any alterations, improvements, or changes to or of the Premises or any party thereof without the prior written consent of Lessor, and all improvements, alterations, or changes so made shall become a part of the lease Premises and shall belong to Lessor upon expiration or sooner termination of this Lease. With respect to such alterations, improvements or changes to the Premises requested by Lessee, Lessor's consent shall not be unreasonably withheld. In the event Lessor consents to the making of any alterations, additions, or improvements to the Premises by Lessee, the same shall be made by Lessee at Lessee's sole cost and expense, the Premises and Lessee's leasehold interest therein shall remain free from any lien of any kind whatsoever, and construction of such 2 Chamber of Commerce alterations, additions or improvements shall be done in compliance with all laws and governmental requirements by qualified city staff or licensed and bonded contractors. 7. MAINTENANCE AND REPAIRS. (a) Lessee's Obligations. By taking possession of the Premises, Lessee shall be deemed to have accepted the Premises as being clean and in good order, condition, and repair. Lessee shall, at Lessee's expense, keep the Premises and every part thereof in good condition and repair (except as hereinafter provided with respect to Lessor's obligations set forth in paragraph 7.(b) below). Lessee shall, upon the expiration or sooner termination of this Lease, surrender the Premises to Lessor in good condition, clean, excepting only ordinary wear and tear and destruction or damage by such conditions over which Lessee has no control, or such damage as may be due to the failure of Lessor to comply with any covenant herein contained to be performed by Lessor. Damage caused by Lessee's use of the Premises shall be repaired at the sole cost and expense of Lessee. (b) Lessor's Obligations. Lessor shall, at Lessor's expense, repair and maintain the structural portions of the Building, including the roof, foundation, bearing and exterior beams and supports and exterior walls (excluding glass). There shall be no abatement of Rent and no liability for Lessor by reason of any injury to or interference with Lessee's business arising from the making of any repairs, alterations, or improvements in or to any portion of the Building or the Premises or in or to fixtures, appurtenances, and equipment if Lessor shall have taken every reasonable measure to avoid any such injury and interference. 8. LIENS. Lessee shall keep the Premises, Lessee's leasehold interest therein and the Building and Land on which the Premises are situated free from any liens arising out of any work performed, materials furnished, or obligations incurred by Lessee. 9. INDEMNIFICATION. Lessee shall indemnify, defend and hold Lessor harmless from all loss damage, liability or expense resulting from any injury to any person or any loss of or damage to any property caused by or resulting from any act or omission of Lessee or any officer, agent, employee, guest, invitee or visitor of Lessee in or about the Premises or the Building, but the foregoing provision shall not be construed to make Lessee responsible for injuries to third parties caused by the negligence of Lessor or any officer, agent, employee, guest, invitee or visitor of Lessor. Lessor shall not be liable for any loss or damage to person or property sustained by Lessee, or other persons, which may be caused by theft or any act of neglect of Lessee or occupant of the building, or of any other person, or by any other cause, unless caused by the negligence of Lessor or its officers, licensees, agents, employees, guests, invitees or visitors. 10. LIABILITY INSURANCE; HAZARD INSURANCE. (a) Liability Insurance. Lessee, at its own expense, shall provide and keep in force comprehensive general liability insurance in the amount of not less than One Million 3 Chamber of Commerce Dollars ($1,000,000.00 per occurrence for bodily injury and property damage. Lessee shall furnish Lessor with a certificate of such policy within thirty (30) days of the Commencement Date of this Lease and whenever required shall satisfy Lessor that such policy is in full force and effect. Such policy shall name Lessor as an additional insured and shall be primary and noncontributing with any insurance carried by Lessor. The policy shall further provide that it shall not be canceled without twenty (20) days prior written notice to Lessor. (b) Hazard Insurance. Throughout the term of this Lease, Lessor shall procure and maintain fire, hazard and extended coverage insurance on the Improvements. Should the property become uninhabitable due to loss or become uninhabitable for any other reason the City shall have the option of terminating this lease. 11. PERSONAL PROPERTY. Where furnished by or at the expense of Lessee, all movable property, furniture, furnishings and trade fixtures, other than those affixed to the Premises so that they cannot be removed without material damage, shall remain the property of and be removable by Lessee, and in case of damage by reason of such removal, Lessee shall restore the Premises, Building or common areas to good order and condition. Lessee shall payor cause to be paid before delinquency any and all taxes levied or assessed and which become payable during the term hereof upon all Lessee's Improvements, equipment, furniture, fixtures, and other personal property located in the Premises. Lessee shall be responsible for all personal property insurance coverage during the term of this Lease. 12. ENTRY BY LESSOR. At any and all reasonable times during regular business hours, upon one (1) day's prior notice to Lessee, Lessor reserves and shall have the right to enter the Premises to inspect the same a reasonable number of times, to submit the Premises to prospective purchasers or Lessees, to repair the Premises and any portion of the Building that Lessor may deem necessary or desirable, without abatement of Rent, and may for the purpose erect scaffolding and other necessary structures where reasonably required by the character of the work to be performed, always providing that the entrance to the Premises shall not be blocked thereby and further providing that the business of Lessee shall not be interfered with unreasonably. Lessee hereby waives any claim for damages or for any injury or inconvenience to or interference with Lessee's business or any loss of occupancy or quiet enjoyment of the Premises, and any other loss occasioned thereby, if Lessor shall have taken every reasonable measure to avoid any such injury, inconvenience or interference. Lessor shall have the right to use any and all means which Lessor may deem proper to open any doors or otherwise obtain access to the Premises in an emergency, without liability to Lessee except for any failure to exercise due care for Lessee's property, and any entry to the Premises obtained by Lessor by any of said means or otherwise shall not under any circumstances be construed or deemed to be a forcible or unlawful entry into or a detainer of the Premises or an eviction of Lessee from the Premises or any portion thereof. 13. ASSIGNMENT AND SUBLETTING. Lessee shall not either voluntarily or by operation of law assign, transfer, mortgage, pledge hypothecate, or encumber this Lease or any interest therein and shall not sublet the Premises or any part thereof or any right or privilege 4 Chamber of Commerce appurtenance thereto or allow any person (the employees, agents, servants, and invitees of Lessee excepted) to occupy or use the Premises or any portion thereof, without the prior written consent of Lessor, which consent by Lessor shall not be unreasonably withheld. Any such assignment or subletting without compliance with the terms of this paragraph shall be void and shall, at the option of Lessor, constitute a default under the terms of this Lease. Consent to one assignment, subletting, occupation, or use by any other person shall not be deemed to be a consent to any subsequent assignment, subletting, occupation, or use by another person. Consent to any such assignment or subletting shall in no way relieve Lessee of any liability under this Lease. Lessor may assign the Rent herein provided to any person, partnership, corporation, or bank, and Lessee agrees when notified in writing by the assignee of such assignment to make the Rent payments to assignee under the terms of said assignment. 14. LESSEE'S DEFAULT. The occurrence of any one or more of the following events shall constitute a default and breach ofthis Lease by Lessee. (a) Abandonment. Lessee vacates or abandons the Premises; (b) Failure to Pay Lease Payment. Lessee fails to make any payment of the Lease Payment or any other payment required to be made by Lessee hereunder; (c) Failure to Observe Other Covenants. Lessee fails to observe or perform any ofthe covenants, conditions, or provisions of this Lease to be observed or performed by Lessee where such failure shall continue for a period of thirty (30) days after written notice thereof by Lessor to Lessee; provided, however, that ifthe nature of Lessee's default is such that more than thirty (30) days are reasonably required for such cure, then Lessee shall not be deemed to be in default if Lessee commences such cure within said thirty (30) days and thereafter, diligently prosecutes such cure to completion. 15. REMEDIES ON DEFAULT. (a) Termination. In the event Lessee fails to cure such default, Lessor may, at any time thereafter, terminate this Lease by written notice to Lessee. Lessor may also seek any other remedy provided by law. (b) Removal of Personal Property. In the event of a retaking of possession of the Premises by Lessor, Lessee shall remove all personal property located thereon and upon failure to do so upon demand of Lessor, Lessor may remove and store the same in any place selected by Lessor, including but not limited to a public warehouse, at the expense and risk of Lessee. If Lessee shall fail to pay the cost of storing any such property after it has been stored for a period of thirty (30) days or more, Lessor may sell any or all of such property at a public or private sale and shall apply the proceeds of such sale first to the cost of such sale, secondly to the payment of the charges for storage, if any, and thirdly to the payment of any other sums of money which may be due from Lessee to Lessor under the terms of this Lease, and the balance, if any, to Lessee. Lessee hereby waives all claims for damages that may be caused by Lessor's lawfully 5 Chamber of Commerce reentering and taking possession of the Premises or lawfully removing and storing the property of Lessee as herein provided and will save Lessor harmless from loss or damages occasioned by Lessor thereby, whether such lawful reentry shall be considered or construed to be a forcible entry. (c) Remedies Cumulative. The remedies hereinafter described shall be cumulative and Lessor shall be entitled to pursue any other remedy now or hereafter available to Lessor under the law or judicial decisions of the State of Washington. 16. LESSOR'S DEFAULT. Lessor fails to observe or perform any of the covenants, conditions, or provisions of this Lease to be observed or performed by Lessor, where such failure shall continue for a period of thirty (30) days after written notice thereof by Lessee to Lessor; provided, however, that if the nature of Lessor's default is such that more than thirty (30) days are reasonably required for such cure, then Lessor shall not be deemed to be in default if Lessor commences such cure within said thirty (30) days and thereafter, diligently prosecutes such cure to completion. In the event Lessor fails to cure such default, Lessee may, at any time thereafter, terminate this Lease by written notice to Lessor. Lessee may also seek any other remedy provided by law. 17. EMINENT DOMAIN. If the whole of the Premises (or the whole or part of the Building or Improvements) shall be acquired or condemned by eminent domain for any public or quasi-public use, or if a part of the Premises is so taken so that the Premises are rendered unsuitable for the business of Lessee, then the term of this Lease shall terminate as of the date title or possession shall be transferred in such proceeding, whichever shall occur first. In the event of a partial taking or condemnation which is not extensive enough to render the Premises unsuitable for the business of Lessee, then Lessor shall restore the Premises to a condition comparable to its condition immediately prior to such taking less the portion lost in the taking, and this Lease shall continue in full force and effect provided, however, that the monthly Rent shall abate in the same ratio that the portion of the Premises so taken bears to the whole of the Premises.. Lessor shall have the right to receive the compensation of damages awarded upon either such total or partial taking and Lessee shall have no claim thereto; provided that Lessee may independently pursue an award or compensation to Lessee for the taking of Lessee's personal property or fixtures or for the interruption of or damage to Lessee's business and for any other interest of Lessee. 18. HAZARDOUS SUBSTANCES. Lessee shall not generate, release, spill, store, deposit, transport, or dispose of (collectively "Release") any hazardous substances, sewage, petroleum products, hydrocarbons, radioactive substances, medicinal, bacteriological, or disease- producing substances, hazardous materials, toxic substances or any pollutants or substances defined as hazardous or toxic in accordance with applicable federal, state, and local laws and regulations ("Hazardous Substances") in, on or about the Premises. Lessee shall indemnify, defend and hold Lessor harmless from any and all claims, liabilities, losses, damages, cleanup costs, response costs, and expenses (including reasonable attorneys' fees) arising out of or in any way related to the Release by Lessee, or any of its agents, representatives, or employees, or the 6 Chamber of Commerce presence of such Hazardous Substances in, on or about the Premises occurring at any time after the Commencement Date and arising out of the activities of Lessee, or any of its agents, representatives or employees. The provisions of this paragraph shall survive termination or expiration of this Lease. 19. OPTION TO PURCHASE. Lessee shall have the option to purchase the real property and building situate thereon anytime during the initial three (3) lease term. Purchase price shall be $360,000.00 as established by the existing A.C.E. PS, Inc. appraisal. To exercise this option, Lessee must provide written notice to Lessor prior to expiration of the initial three year lease term. 20. GENERAL PROVISIONS. Lessor and Lessee agree to the following general provIsIOns: (a) Waiver. No waiver of default by either party of any of the terms, covenants and conditions hereof to be performed, kept and observed by the other party shall be construed as, or operate as, a waiver of any subsequent default of any of the terms, covenants and conditions herein contained, to be performed, kept and observed by the other party. The subsequent acceptance of Rent hereunder by Lessor shall not be deemed to be a waiver of any preceding default by Lessee of any term, covenant, or condition of this Lease other than the failure of Lessee to pay the particular renta~ so accepted, regardless of Lessor's knowledge of such preceding default at the time of the acceptance of such Rent. (b) Time. Time is of the essence ofthis Lease and each and all of its provisions in which performance is a factor. (c) Paragraph Headings. The paragraph or section headings of this Lease are not a part of this Lease and shall have no effect upon the construction or interpretation of any part hereof. (d) Successors and Assigns. The covenants and conditions herein contained, subject to the provisions as to assignment, apply to bind the heirs, successors, executors, administrators, and assigns of the parties hereto. (e) Recordation. Neither Lessor nor Lessee shall record this Lease, but a short form memorandum hereof may be recorded at the request of Lessor. (1) Quiet Possession. Upon Lessee paying the Rent reserved hereunder and performing all of the covenants, conditions, and provisions on Lessee's part to be observed and performed hereunder, Lessee shall have quiet possession of the Premises for the entire term hereof, subject to all the provisions of this Lease. The Premises are leased subject to any and all existing encumbrances, conditions, rights, covenants, easements, restrictions, rights-of-way, and any matters of record, applicable zoning and building laws, and such matters as may be disclosed by inspection or survey. 7 Chamber of Commerce (g) Prior Agreements. This Lease contains all of the agreements of the parties hereto with respect to any matter covered or mentioned in this Lease and no prior agreements or understandings pertaining to any such matters shall be effective for any purpose. No provision of this Lease may be amended or added to except by agreement in writing signed by the parties hereto or their respective successors in interest. This Lease shall not be effective or binding upon any party until fully executed by both parties hereto. (h) Inability to Perform. The time period within which any party is to fulfill an obligation of such the party under this Lease shall be extended by such time period that any party is unable to fulfill any of its obligations hereunder or is delayed in doing so, if such inability or delay is caused by reason of strike, labor troubles, acts of God, or any other cause beyond the reasonable control of such party. (i) Severability. Any provisions of this Lease which shall prove to be invalid, void, or illegal shall in no way affect, impair, or invalidate any other provision hereof and such other provision shall remain in full force and effect. (j) Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall whenever possible be cumulative with all other remedies at law or in equity. (k) Choice of Law. This Lease shall be construed under all of the applicable laws, statutes, ordinances, rules and regulations of the United States, the State of Washington, County of Kitsap, and the City of Bremerton. In the case ofa dispute between the parties, venue over such dispute shall be with the Superior Court of Kitsap County, Washington. (I) Execution. This Lease may be executed in several counterparts, each of which shall be deemed an original instrument. (m) Notices. All notices to be given hereunder shall be in writing and shall be personally delivered and receipt acknowledged, sent by United States certified mail, return receipt requested, sent by facsimile, with original delivered within three (3) days, or sent by overnight delivery through public or private service, delivery charge prepaid, and addressed to the party at the respective mailing address as herein set forth. To Lessor: Mayor City of Bremerton 345 6th Street, Suite 600 Bremerton, W A 98337 To Lessee: Bremerton Area Chamber of Commerce 286 4th Street Bremerton, W A 98337 8 Chamber of Commerce It is understood that each party may change the address to which notice may be sent by giving a written notice of such change to the other party hereto in the manner herein provided. (0) Lessee's Corporate Authority. Lessee is a Washington corporation, and each individual executing this Lease on behalf of said corporation represents and warrants that he or she is duly authorized to execute and deliver this Lease on behalf of said corporation, in accordance with a duly adopted resolution of the board of directors of said corporation or in accordance with the bylaws of said corporation, and that this Lease is binding upon said corporation in accordance with its terms. Lessee further represents and warrants that it is fully registered and qualified to do business in the State of Washington. IN WITNESS WHEREOF, the parties hereto have executed this Lease the day and year first above written. LESSOR LESSEE CITY OF BREMERTON BREMERTONAREACHAMBEROF COMMERCE By: Cary Bozeman Its: Mayor By: Its: Notaries on Next Page Remainder of This Page Intentionally Blank 9 Chamber of Commerce STATE OF WASHINGTON) ) ss. COUNTY OF KlTSAP ) I certify that I know or have satisfactory evidence that CARY BOZEMAN is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Mayor of the City of Bremerton to be the free and voluntary act of such City for the uses and purposes mentioned in the instrument. DATED: NOTARY PUBLIC in and for the State of Washington, residing at My commission expires / / . STATE OF WASHINGTON) ) ss. COUNTY OF KlTSAP ) I certify that I know or have satisfactory evidence that is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the of the Bremerton Area Chamber of Commerce to be the free and voluntary act of such Corporation for the uses and purposes mentioned in the instrument. DATED: NOTARY PUBLIC in and for the State of Washington, residing at My commission expires / / . R: \Lcgal\F orms\Rcal Estatc\Lcascs\DCD Bui Id ing\.doc 10 Chamber of Commerce DATE SUBMITTED: October 11, 2006 BILL # 06 - ;;;. 48 AGENDA BILL CITY OF BREMERTON CITY COUNCIL 5J' ........................................................................................ SUBJECT: 2006 Budget Adjustment Request for Equipment Purchases towards the New Police Building Committee Meeting Date: November 8, 2006 COUNCIL MEETING Date: November 15,2006 Department: Police Presenter: Chief Rogers Phone: 473-5750 SUMMARY: The Bremerton Police Department has been preparing for its relocation to a new facility for over two years. Part ofthis preparation involved purposely tightening its operating spending this year with out hindering police services for our citizens or to the detriment of employee performance. The current budget status reflects the Police Department's good stewardship of the entmsted operating funds. No major purchases are planned for the remainder of2006. The last quarter of 2006 work will be completed, but perhaps on a thinner dime. A TT ACHMENTS: Attached Explanatory Memorandum FISCAL IMP ACTS (Include Budgeted Amount): $46,000.00 will be moved from the operating budget accounts and line items into the police capital fund. Funds are available in the existing 2006 budget. APPRO V ALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MAYOR: l!f CONSENT AGENDA ~ FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: RECOMMENDED MOTION: Move to approve the requested budget adjustment of$46,000.00 to the 2006 Police capital budget fund in support of equipment purchases for the new Police building. COUNCIL ACTION: D Approve D Deny D Table D Continue D No Action h ,__o_,__~~,_,~~".~,,~, ...,. -'_,,, ,_ _~ _..._..._...._,_m_. {~",c:;;:;;:;;,r"'....!. i..m---~~-!.I .' ri) ;: !: L._-_,_.~ ..,.~__.,,~'_".."'~O .._.:..;~ 'I I'v1eIllCJa din BREMERTON POLICE DEPARTMENT CHIEF I Craig E. Rogers Cralg.Rogers@Cl.bremerton.wa.us To: Bremerton City Council President and Its Members cc: NA From: Police Chief Rogers Date: 10/1612006 (II;!! Re: 2006 Budget Adjustment Request for Equipment Purchases in the New Police Building Reference Fund 001/General Fund. The following funding/money amounts will be taken from the following accounts and transferred to a police capital fund. This funding will be used for equipment purchases towards the new Police building: $5,000.00 - 521.1020.54910 $5,000.00 - 521.2120.54910 $20,000.00 - 521.2220.53510 $5,000.00 - 521.2320.54910 $5,000.00 - 521.3020.54910 $3,000.00 - 521.2120.53110 $3,000.00 - 521.1020.54300 The total dollar amount ofthe adjustment request is $46,000.00. The Bremerton Police Department has been preparing for its relocation to a new facility with the realization that allocated bond funding would not provide all the required equipment. Throughout 2006 the purchasing of supplies and equipment has been curtailed in anticipation of new building needs. The current budget status reflects the Police Department's good stewardship to conduct business with the entrusted operating funds. The pre-planning also assures that the last quarter of 2006 work will be completed with in the current budget. Request favorable consideration on the agenda bill for the budget adjustment. Bremerton Police Department Lab Equipment Upgrades for new Police Station --- ~,,. I Current forensic workstation New workstation - Sirchie AC648A I Forensic Workstations - Old & New I Page 1 of 4 Bremerton Police Department Lab Equipment Upgrades for new Police Station -- a Current fuming chamber - homemade New fuming chamber - Sirchie CAS 48 Fuming Chambers - Old & New Page 2 of 4 Bremerton Police DepartInent Lab Equipment Upgrades for new Police Station -~_. _"",,"l\..--..,::~-:,"",,: It . A'" .. ',n' ' t' ~~_ -= .-mlI.. ,.;"if 59,;', . - '" " ., l'. ' ! ~. ...."~~~~.._,-:--"t , _, B[; , I I:-'-~--" ---""~ii:- " '''.''. f: ! 1;---' I ;; II.: L__;: , , I -I,; , :,,' ! ;~__'__ti_', L I Mi, l, ' l.~--J ; Iii; 1_-_. IB" , Current Evidence Lockers - homemade plywood construction , , ,-' me, New evidence lockers - Sentinel metal lockers Evidence Lockers - Old & New Page 3 of 4 Bremerton Police Department Lab Equipment Upgrades for new Police Station Current: No professional drying cabinet. Technicians currently hang items to be dried (example - bloody clothing) over butcher paper in a locker or in the open. Drying cabinet - Sirchie ACEVD60A Drying Cabinets - Old & New Page 4 of 4 AGENDA BILL CITY OF BREMERTON CITY COUNCIL BILL # 06 - d- q, Cf 5K DATE SUBMITTED: September 12, 2006 ........................................................................................ SUBJECT: Mobile Computer Terminal Purchase Using the Cooperative Purchasing Agreement Committee Meeting Date: November 8, 2006 COUNCIL MEETING Date: November 15,2006 Department: Police Presenter: Tim Sholtis Phone: 473-5277 SUMMARY: The Cooperative Purchasing Agreement allows the City of Bremerton to purchase mobile computer tenninals for police vehicles using a consortium contract with the City of Lynnwood, its Police Department, and other jurisdictions in Snohomish and King Counties. The agreement is with DATEC Corporation from Seattle, Washington. The price is $46,548. for 12 mobile computers. These 12 are the last mobile computer purchase under the COPS MORE technology grant. ATTACHMENTS: The Cooperative Purchasing Agreement IT Price Quote, dated August 7, 2006 The City of Lynnwood ContraCt Extension Request and Terms FISCAL IMPACTS (Include Budgeted Amount): $46,548.00 will be charged against the funds provided under the COPS MORE 2002 federal technology grant. These expenditures are included in the adopted 2006 budget. APPROV ALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: MAYOR: ~\ lo.Jo..~...K ~ t)\ ~~..,..~ FISCAL/BUDGET: OPERA nONS: COUNCIL PRESIDENT: RECOMMENDED MOTION: Move to approve the mobile computer terminal puchase for $46,548.00 using the Cooperative Purchasing Agreement with the City of Lynnwood and authorize the Mayor to execute same. COUNCIL ACTION: D Approve D Deny D Postpone D No Action AGENDA STATUS: Consent New Business Old Business Ordinance Resolution Public Hearing Information Shldy Session 06/10/2003 TUE 9:34 FAX ~ 002/002 06/10/2003 07:32 3504785200 PAGE 82/82 COOPERATIVE PURCHASING AGRfOEME{;IR I G / Ii , , ivAi !rI accordance with Flew Chapter 39.34 and to all other applicable laws, The City of ('" ,-, Lynnwood and the _ ..~~. of c,.'i.cl'.............(A' .hr--v-,) ,hereby agree to cooperative governrnenta purchasing agreement for various supplies, matenals, , equipment and services) using competitively awarded contracts. The following terms and conditions: 1. Each agency, In contracting for the purchase of supplies, materials, equipment and services, agrees; at its discretion, to eXtend contracts for shared use to the extent permitted by law and agreed upon by those parties and vendors. 2. Each agency is responsible for compliance with any additional or varying laws and . regulatIons regarding purchases. 3. Any purchases ;~hall be affected by a purchase order irom the purchasing agency and directed to 'lhe'vendor(s). 4. The originating contracting agency does not accept responsibility or liability Tor the performance of any vendor used by the purchasing agency as a result of thls agreement. 5. Each agency shall be responsible for the, payment of any item(s) purchased through a contract Dr purchase order that resulted trom this Agreement. 6. This Agreement shall remain in force until cancelled in writing by either party. Accepted forlhe p~erlon: .P~ L---t.-, t, J -- By:_ I "'~/ ;;. / r-) Name: t:- tffiJ' P.tY 2-~ /J1;?'J~ 6ft?~3. I / City of Lynnwood: By; \. Name: } M A-na; /--IJd< & Title: JW~~ ~ e 1rtf!rtte/5 wor- Dale: b /eft Title: Date: Page 1 of2 Bill Eley From: Timothy Sholtis Sent: Monday,August 28,20068:35 AM To: Bill Eley Cc: James Burchett Subject: RE: New Mlntel Core Duo T2400 1.83Ghz CentrinoCTs Bill, Thank you. The dollar amount with the three warranty is just over $46,548.00 for 12 units. I too budgeted for new mounting brackets even though these units are gOing to replace the oldest models which are in their fifth year or better. I used the three year warranty, it is a difference of $4440.00. The number of laptops purchased depends on the final cost of the site installations. We need to purchase more IjLEADS licenses too. What is WSST? Regards, Tim Sholtis From: Bill Eley Sent: Monday, August 07,2006 12:03 PM To: James Burchett Cc: Timothy Sholtis Subject: New Mlntel Core Duo T2400 1.83Ghz CentrinoCTs Jim, I have obtained a quote for new MCTs as per Tim's request. I would recommend the Panasonic Toughbook CF74 configured as follows: Intel Core Duo T2400 1.83Ghz Centrino 13.3" Transmissive XGA Touch Screen 1GB RAM 80GB HOD 56K Modem Ethernet Intel 802.11 a+b+g OVD/CORW AC Adapter Lithium Ion Battery Windows XP SP2 3 Year Limited Warranty 10/6/2006 Page 2 of2 In addition to the above I would recommend an additional no fault warranty (3yr & 4yr prices supplied). I'm not sure what vehicles these are going in and I am including a price for mounting hardware in a new vehicle. I'm not sure if they are compatible with existing mounting hardware if they are to be used in an existing vehicle. Base Price $2854.00 3yr no fault warranty $250.00 4yr no fault warranty $620.00 Mounting hardware $775.00 You may want to consider a unit like this (excluding mounting hardware) for the Orion tracking system laptop. If you have any questions, please contact me. Bill Bill Eley, IT Manager City of Bremerton 345 6th Street, Suite 600. Bremerton, WA 98337-1873 (360) 473-5293 10/612006 ( ( \, . 1lL!!1.r:~~ .Panasonic@ .Computer Solutions Company. CilntractExtension ReQuest September 21;2006 Gary Kaufmann,CP.M. Buyer .. .... .. .. Purchasing & Contracts Division Lynnwood City Hall .. '.. 2052560th Ave W. Lynnwood,WA98036.. Direct Ph.: (425) 670,.6279 Fax: (425) 778-5632 . Dear Gary, The City ofLynnwoodcontraCthasbeen a beneficial procuremeptvehicIe for the City of Lynnwood, and several other agencies through ounhe NWRegion. Panasonic makes. periodic changes .totheirManufacturersSuggestedHetail Pricing. for mostof.their SKU's,on.a regular bas.is: It isnecessaryfor Datecto review these changes with the City, as i(pertains 10 the annual renewalclauseofthecontracLlam.happy to report that, at this lime, and for the specified models of equipment, our pricing discounis will not be reduced, orin other words, will remain at the same level as the renewal in 2005. Thisis in spite of many MSRPpricereductions thalPanasonic has announcedinthepast year. The following. table reflects per<:entages off .current MSRP. Taxes andshipping charges. arenotincludediri these discounts; and mayappiyto each order. To avoid obsoleting this contract renewal,.itisnecessary to add new model laptops (CF-30, CF- 19, .CF-08) to this contract:! have iricluded atable for the related discounts. to be entered once the products are shipping. in. addition, 'I.haveproposed adding SOme additional MDC-related items such as mounting hardware and non-Panasonic manufactui'edaccessories.. . '- - -- " -. SpecifYPanasollicPricing (Discounts below Panasonic retaiLpriceiist ineffectlhe day each Purchase Order is received): Panasonic Laptop Accessories: Panasonic manufacturers laptop accessories foraU models named above. . Field TechnicalSer'liCes Includes: Mobile installations, pre~sales . en ineerin GaniberJohnson Mounting. Hardware LedCo Mounting Hardware Mobile Antenna Products 15% below retail Panasonic Arbitrator Mobile Digital Video Equipment . Please let me knowif these changes are acceptablebysigningandreturning a copy of this Contract Extension Request with your mandatory expIry date.... If I can answer any additional questions, please do not hesitate to contact meat 206-465- 3387. . This contractextension#validuritil . ~f o.,iLDb'-1 Renewable after? Y or@ (circle one) Bob Stein Director - Mobile Solutions Datec;Jnc. 364 Upland Drive SeattleWA98188 800"525-9905 Accepted By: j)"e 1/:>rd.{jJ.f(,I-"~ . Gary auflnan.. .. . . .. Senior Buyer City of L yruiwood, W A Dateq - 2. '2,.bt-, Approved by: M,~~ . .. DATE SUBMITTED: BILL # () to - ;;< 5 0 AGENDA BILL CITY OF BREMERTON CITY COUNCIL 5L ........................................................................................ SUBJECT: Resolution # 20 l!:/ Approving the Transfer of Real Property to the Washington State Department of Transportation. Committee Meeting Date: November 8, 2006 COUNCIL MEETING Date: November 15,2006 Department: PW &U, Engineering Presenter: Michael Mecham Phone: 473-5288 SUMMARY: The WSDOT is planning for the construction of the Downtown Bremerton Pedestrian/BTC Access Improvement Project. As part of the Sundry Site Plan for the Bremerton Transportation Center, WSDOT has requested the City transfer a 333 square foot parcel of vacated 15t Street to incorporate into their site. This parcel has no inherent value to the City. The proposed resolution authorizes the transfer of property to the WSDOT. ATTACHMENTS: 1. Council Summary 2. Resolution 3. Aerial Photo Exhibit FISCAL IMP ACTS (Include Budgeted Amount): No impact APPROV ALS: DEP ARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: ~ CONSENT AGENDA .r.1r FISCAL/BUDGET: OPERA TrONS: COUNCIL PRESIDENT: RECOMMENDED MOTION: Move to pass Resolution # 0 \ approving the transfer of real property to the Washington State Department of Transportation and authorizing the Mayor to finalize and execute a Quit Claim Deed and all other documents related to the closing of this transaction. COUNCIL ACTION: D Approve D Deny D Table Ab, Agenda Bills 2006, Transfer of Real Prop to WSDOT D Continue D No Action COUNCIL SUMMARY PROPERTY TRANSFER TO WSDOT FOR BTC Historv The Washington State Department of Transportation (WSDOT) is planning for the construction of the Downtown Bremerton PedestrianJBTC Access Improvement Project. The project will construct a westbound tunnel from the Bremerton Transportation Center (BTC) at 151 Street and Washington A venue to an exit on Burwell Street just east of Park A venue. Included in the project are new sidewalks, crosswalks, signals, lighting and other surface improvements, along with the City's Pacific Avenue Combined Sewer Outfall (CSO) project. As part of the Sundry Site Plan for the BTC, WSDOT has requested the City transfer a 333 square foot parcel of vacated 151 Street to incorporate into their site. Fiscal It is proposed to transfer the property to WSDOT without compensation for the following reasons: . The City of Bremerton received this parcel as part of the vacation of 151 Street for the original construction of the BTC terminal. No City monies were expended to receive the parcel. . The City will derive a mutual benefit in cost savings through economies of scale and other efficiencies by incorporating the Pacific Avenue CSO work into the larger WSDOT project. . This very small parcel has no inherent value to the City. RESOLUTION NO. 30 \ 4- A RESOLUTION of the City Council of the City of Bremerton, Washington, declaring certain property, consisting of approximately 333 square feet, surplus to the City's needs and approving a conveyance of the property in accordance with the provisions of BMC 2.78.010. WHEREAS, the City acquired a portion of 1st Street right of way when the roadway was vacated in 2000 for construction of the Bremerton Transportation Center (BTC) consisting of approximately 333 square feet, more particularly described in Exhibit A; and WHEREAS, the City has expended no monies to receive the parcel; and the BTC has had continuous use of the property since being conveyed to the City; and WHEREAS, the City has no current or future plans for the property; and WHEREAS, BMC 2.78.010(c) provides that if the real property has value only to an abutting owner of land, the City shall notify the abutting owner that the property is for sale and allow them an opportunity to submit an offer to purchase the property and/or match any offer presented; and WHEREAS, the abutting property owner is the Washington State Department of Transportation (WSDOT) and they have expressed a desire to incorporate the property into the BTC Site Sundry Plan; and WHEREAS, the City Council has determined that this property is not utility property and is surplus to the City's needs; and WHEREAS, the property has no inherent value to the City; NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. The property legally described in Exhibit A is hereby declared surplus to the City's needs and approved for transfer to WSDOT pursuant to BMC 2.78.010. SECTION 2. The property shall be transferred by Quit Claim Deed, with no compensation due for the property transfer. SECTION 3. The Mayor is hereby authorized to finalize and execute any and all documents, including but not limited to quit claim deeds and real estate excise tax affidavits, necessary to complete the transaction. Surplus and Transfer of Property to WSDOT For Site Sundry Plan at BTC SECTION 4. Severability. If anyone or more sections, subsections, or sentences of this Resolution are held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this Resolution and the same shall remain in full force and effect. SECTION 5. Effective Date. This Resolution shall take effect and be in force immediately upon its passage. of PAS SED by the City Council of the City of Bremerton, Washington this ,2006. . day CECIL McCONNELL, Council President APPROVED AS TO FORM: ATTEST: ROGER A. LUBOVICH, City Attorney PAULA JOHNSTON, City Clerk R:\Legal\Legal\Resolutions\Public Works\Surplus & Transfer to WSDOT.doc 2 Surplus and Transfer of Property to WSDOT For Site Sundry Plan at BTC EHIBIT A LEGAL DESCRIPTION Those portions of 1 sl Street (formerly Front Street) of the Plat of the Town of Bremerton, as recorded in Volume 2 of the book of plats, Page 30, records of Kitsap County, Washington, situate in Government Lot 1, Section 24, T. 24 N., R. 1 E., Willamette Meridian, Kitsap County, Washington, lying east of the easterly right of way for W ashington Avenue, and southerly of a line more particularly described as follows: Beginning at the centerline intersection of Pacific Avenue and said 1 sl Street; thence east along the centerline of said 1 sl Street S 88024' 32" E 329.63 feet to the centerline intersection with Washington Avenue and the True Point of Beginning; thence leaving said centerline, S 88024'32" E 26.37 feet; thence S 13034'15" E 18.74 feet to the intersection with the easterly right of way of said W ashington Avenue; thence continuing S 13034' 15" E 10.43 feet; thence on a curve to the left, the center of which bears N 76025'45" E 157.00 feet, through an angle of 14038'18", an arc length of 40.11 feet; thence S 28012'33" E 41.84 feet; thence S 29013'24" E 106.47 feet; thence S 29012'05"E 50.69 feet; thence S 45049'54" E 115.55 feet to the Inner Harbor Line and the Terminus. EXHIBIT FOR PARCEL TRANSFER TO WSDOT PORTION OF SEC. 24 T. 24 N. ; R. 1.E., WM. . :-JI. i CITY OF BREMERTON 10/31/06 S.J. DATE SUBMITTED: October 23, 2006 AGENDA BILL CITY OF BREMERTON CITY COUNCIL BILL # tJ6 - d.5 / 511\ .a........................................................a............................. SUBJECT: Purchase of 2 vaults from Hanson Pipe & Products Inc. for replacement of vacated fire pump test pit at old Capital Hill Fire Station. Committee Meeting Date: November 8, 2006 COUNCIL MEETING Date: November 15,2006 Department: PW&U, Streets Presenter: Bob Tul Phone: 473-5357 SUMMARY: Staff recommends the purchase of2 vaults in the amount of$29,500.00to replacethe fire pump test pit, being vacated from the old Capital Hill Fire Station. ATTACHMENTS.: Quote from Hanson Pipe and Products Inc. FISCAL IMPACTS: This is in the approved budget of the 102 Fund for 2006 APPROVALS: '~'I .>I / DEPARTMENT DIRECTORf/;7A / ) JIU{~ CITY ATTORNEY: FINANCE DIRECTOR: MAYOR: Mil CONSENT AGENDA GAL / FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: RECOMMENDED MOTION: Move to approve purchase of 2 vaults from Hanson Pipe & Products Inc. COUNCIL ACTION: 0 Approve 0 Deny 0 Table o Continue 0 No Action . . ~--"'1 HANSON PIPE Fax:2534714747 Sep 29 2006 8:22 P. 01 ",~..,:~'l.......,_. .1--- ..."."..,,' ~ .. 6 pif1g~ ... . ~A-fJ aa-Hanson: rr~ '\\'-- JIIIO. i...... 4601 South orchard Street. TACOMA, WA 98%6. 1_800-922-5338.253-<<7$-8886 . fAX 253-471-4747 :TO: ~hris @ City of Brernerton 360~413~ 2316 . 360-473-5360 Fax PROJECT: Flush Tanks' . BremertQn, VII A BID DATE: WE AREP~EASED TO PRESENT THIS QUOTATION, SUBJECT TO 1liE TERMS AND CONomONS ON BOTH SIDES HEREOF, FOR. _ . ... . MATERIALS llSfED aELOW FOR. USE IN CONSTRUCTION OF 1liE SUBJECT PROJECT. "-~'~-"~--"'--'-'.""'" ..... .... : . ITEM ..,. NO: QTY U 1M PRODUCT DESCRIPTION UNIT PRICe EXTENDED PRICE l. EA 818-11-02 Vault w/lea 36"x36" & 1ea 36"X72.". . $13,555.00 $27,110.00 H-2,O Galvanized Steel Hatch . CONTRACTOR TO PROVIDE RIGGING, UN.LOAD AND SETVAUl.T ..-..~....,_......_.-:..~.. ::HH...... /HJ.8 QtJDTIi- f.fA-s. ~ ... ';~. .( p~ 0,) .5 M'f.pj 't CiVIL /'AA evr 51.ft-fV2JI wl w~f4r~. Co\J,tVL-- C ()}J~i)RA ~pj ftTlJ" R{44tV\ JJ3 4 U t6-A11-... TERMS.: This offer is capable of aCl;:eptance withirl thirty (30) days. Acceptanl;:e shall be in writing only; no verbal al:ceptanl;:e shall be recognized. EffECT OF TERMS AND/OR CONDITIONS IN BOYER'S ACCEPTANCE: Through this provision Seller expresslY limits Buyer's acceptance of this offer to the terms and conditions i.'lppe~rlng in this offer. Any terms and/or conditions appearing in Buyer's acceptance whi<::h ,are additional tQ or different from the terms and/ or I;:onditions appearing in this offer will not . become part of the contract between Seiter and Buyer. .ACCE~XEO:lf>lACCOROANCE WITH ACCOMPANYING .;.. TEIU>lS AND cormnWNS. BY: TITLE: DATE: l1anson..pipe and Products, Inc. Jeff Case. Sales Representative. October Z5t 2.005 --:FIRM::: ..BY:........ TItLE: -:._~__..__.:.DAIE~_: ~__:_:_ Page 1 of 1 ry HANSON PIPE Fax:2534714747 Sep 29 2006 8:22 P.02 :' 3 - 3' X3' DIAMOND PLATE DOORS .;. .,.....-:.~< "\, :) .........,..,." '., I .,. j,.... '. .t:. 2 - CHANNELS EACH SIDE PER 4' !;:XTE,NSION :'1- CHANN",L EACH SIDE P~:~ 3.' EXTENSION fRENCH. S~M~ ~[::Jg/ '~ \ i . ~ ! '!+ ~.. ';.1.:. "" . . : !r'! . i. .,.q.'.. ,', . .,.,. 1. ::l'Xa' .OIAMOND PlATE DOOR 2""'X!\'~ DIAMOND PLATE DOOR9 .co~ , 8" It\~' ~<( . v€V5 fir t\v ~.~. t\~~ 1;;' ';;;:;';' , :.. .' ..i.f: .. .:, " ,I:. :::i' :. T1:.' " :. . ~;. .' : ":, -I:: "t' . ;~i. ,".j eM!: 11 er1bt'.\i ~ 20.00p Le5. uFf ANCHOR . '(1YP.) COVER 11 ~br.23 20,000 Leo5. I..IFT ANCHOI'( (TYP.) "~ ,V . .' :. . . . .. . .. . . .",......."._,..:.~-,.... ':.",.;,.....""\~..,,..:.; ..,' Cover Option wi (1) 3' x 3' AliImlnum Hinged Door H-20 COV8r Option w! (2) 3' x 3' Aluminum Hinged Doors H-20 " ......':".( :::'Nllti!'O\7tionalcovcr,; are avail,.ble. ,;,::....,,:...;\.::-...1' ."".,.... --.....-, ,.- Vault 818-*-02 117 DAn: .0. ... .0-Han_Cton 11-01-04 ~ TITLE PAGE HANSON PIPE " . : :- ,"'" ..~. '" -.. '. ~gt.-28'z2.a0K. ~:n; 22 _ ...... 36.047.3.53.50 . / " '; .:.... . .,',',. ,',: .: , .. . -_. -.....;... '....--.....-..-.. ~,...:,.. .....",. . . ':: : ..:.1' : -....... .... ,... :. ..---... ...-.....-,...-- --.....-.......:.. --.;--' .. .... \ . ./ Fax: 2534714747 319 f( ~/\.o 3t'/' 3' , 5l..J~- ... . '" . ~~ .~f\l~ . \Wt.tM _^^ fLc.... ~(L ~ ,,~_? . 't)\.~ O,..JO PVN IN ~ cS f~"","" \<0~ ~~ Sep 29 2006 8:22 CITY BRE~ERTQN._PW&U '\) ~~Vt. . ~. t\\~ ~~ :. ~f\Y\- .~i ~~\.". \)\I't~ ~ ~~~ o . .-- ~l <(R~~~~~ ''"3' - t..... '. "J, . elL ~~ .- ~ 'f P.03 PAGE 02/e2. .. .... '. "_. h_O..__.... J1f 7 ..4 " ."'.. ... . . '3'bK~ DATE SUBMITTED: October 23,2006 BILL # 6 b - ~ 5 .=t..... AGENDA BILL CITY OF BREMERTON CITY COUNCIL 5N ........................................................................................ SUBJECT: Approval of utility easements, Equipment Transportation Agreement, and Schedule 74 Underground Conversion Agreement Committee Meeting Date: November 8, 2006 COUNCIL MEETING Date: November 15, 2006 /', Department: Public Works & Utilitie/ 1 Presenter: Bob Tulp ..... &. L.../ fI,..? Phone: 473-5753 ~ SUMMARY: The proposed easements, Equipment Transportation Agreement and Schedule 74 Underground Conversion Agreement provide terms for converting the aerial utilities to underground in the alley adjacent to the Admiral Theater. ATTACHMENTS: Proposed Easements; Proposed Equipment Transportation Agreement; Proposed Schedule 74 Underground Conversion Agreement FISCAL IMPACTS (Include Budgeted Amount): Total project cost of the undergrounding requested by the City is estimated to be $141,000. PSE would pay 60% of the eligible costs under the Schedule 74 Tariff, approximately $74,000, leaving the City of Bremerton's share approximately $67,000. The adjacent property owner, who will also benefit from the project, will contribute (j appro~ilIlate,1~ $49,400: !he resu1En~_! to th~ City will be ,approximately $18,000. ~~ \=-.3 W 0 eN-"t.OQG \~ 5vW'c.\e.."....-\- .ro~';." \~. . G.'-......s \,Q'I"~<J-' \J. I APPROVALS: (-4' '-)'^'- "t. IQ l. DEPARTMENT DIRECTOR: \.~- . .~ / /" CITY ATTORNEY: FINANCE DIRECTOR: MAYOR: ~ FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: CONSENT AGENDA .~ COUNCIL ACTION: 0 Approve 0 Deny 0 Table o Continue 0 No Action RETURN ADDRESS: Puget Sound Energy, Inc. Attn: ROW Oepartment 6522 Klt..p Way Bremerton, WA 98312 EASEMENT REFERENCE #: GRANTOR: CITY OF BREMERTON GRANTEE: PUGET SOUND ENERGY, INC. SHORT LEGAL: PTN. SW-SW-13-24N-41E ASSESSOR'S PROPERTY TAX PARCEL: 3718-416-421-4008 For and in consideration of One Dollar ($1.00) and other valuable consideration In hand paid, CITY OF BREMERTON, a Washington Municipal Corporation ("Grantor" herein), hereby conveys and warrants to PUGET SOUND ENERGY, INC., a Washington Corporation ("Grantee" herein), for the purposes hereinafter set forth, a nonexclusive perpetual easement over, under, along across and through the following described real property ("Property" herein) In K1TSAP County, Washington: THE EAST FIVE FEET OF LOT 21, AND LOTS 22 THROUGH 25 INCLUSIVE, BLOCK HI, BREMERTON, AS PER PLAT RECORDED IN VOLUME 2 OF PLATS, PAGE 30, RECORDS OF KITSAP COUNTY. > Except as may be otherwise set forth herein Grantee's rights shall be exercised upon that portion of the Property ("Easement Area" herein) described as follows: , )I.R l!aSeRleRt ^ Fea feet IR v,'iElth "'a\'iR!l feet of SIlSR "~EltR OR easR slEle of a seRteFlIR8 ElesslilleEl as f9118".I8> THE NORTH FIVE (5)FEET OF THE WEST (5) FEET OF THE ABOVE DESCRIBED REAL PROPERTY. 1. Purpo.e. Grantee shall have the right to use the Easement Area to construct, operate. maintain, rapair, replace, improve, remove, and enlarge one or more utility systems for purposes of transmission, distribution and sale of electricity. Such systems may Include, but ara not limited to: Underground facllltl... Conduits, lines, cables, vaults, s"ritSRM aREllRIR8fel'Rl8Fe for electricity; fiber optic cable and other lines, cables and facilities for communications; semi-buried or ground. mounted facilities and pads, manholes, metera, flxtures, attachments and any and all other facilities or appurtenances necessary or convenient to any or all of the foregoing. Following the initial constructlon of all or a portion of its systems. Grantee may, from time to time, construct such additional facilities as It may requlra for such systems. Grantee shall have the right of access to the Easement Area over and across the Property to enable Grantee to exercise Its rights heraunder. Grantee shall compensate Grantor for any damage to the Property caused by the exercise of such right of access by Grantee. 2. Ea..ment Area Clearing and Maintenance. Grantee shall have the right to cut, remove and dispose of any and all brush, traes or other vegetation in the Easement Area. Grantee shall also have the right to control, on a continuing basis and by any prudant and raasonable means, the establishment and growth of brush, trees or other vegetation in the Easement Area. 3. Grantor'. U.e of Enement Area. Grantor reserves the right to use the Easement Area for any purpose not inconsistent with the rights herein granted, provided, however, Grantor shall not construct or maintain any buildings, structures or other objects on the Easement Area and Grantor shall do no blasting within 300 feet of Grantee's facilities without Grantee's prior written consent. 4. Indemnity. Grantee agrees to indemnify Grantor from and against liability incurred by Grantor as a result of Grantee's negligence in the exercise of the rights herein granted to Grantee, but nothing herein shall require Grantee to indemnify Grantor for that portion of any such liability attributable to the negligence of Grantor or the negligence of athens. 5. Abandonment. The rights herein granted shall continue until such lime as Grantee ceases to use the Easement Area for a period of flve (5) successive years, in which event, this easement shallterrninate and all rights hereunder, and any improvements remaining In the Easement Area, shall revert to or otherwise become the property of Grantor; provided, however, that no abandonment shall be deemed to have occurred by reason of Grantee's failure to initially install its systems on the Easement Area within any period of time from the date hereof. UG Electric 1012003 ..WONO>> i h":d. . T~.:l\. (. I rF. 6. Succe..ors and Asslgna. Grantee shall have the right to assign, apportion or otherwise transfer any or all of its rights, benefits, privileges and interests arising in and under this easement. Without limiting the generality of the foregoing, the rights and obligations of the parties shall inure to the benefit of and be binding upon thair respective successors and assigns. DATED this day of ,2006. GRANTOR: CITY OF BREMERTON, a Washington Municipal Corporation BY: ITS: (TITLE) STATE OF WASHINGTON ) ) SS COUNTY OF ) On this _ day of , 2006, before me, the undersigned, a Notary Public in and for the State of Washington. duly commissioned and sworn, personally appeared . to me known to be the person who signed as (title) of the City of Bremerton, the municipal corporation that executed the within and foregoing Instrument, and acknowledged said instrument to be (hlslher) free and voluntary act and deed and the free and voluntary act and deed of the City of Bremerton for the uses and purposes therein mentioned; and on oath stated that _(he/she) was authorized to execute the said instrument on behalf of said the City of Bremerton. GIVEN under my hand and official seal this hereto affixed the day and year In this certificate first above written. ( Signature of Notary ) ( Print name of Notary ) NOTARY PUBLIC In and for the State of Residing at My appointment expires Notary Seal RETURN ADDRESS: Puget Sound Energy, Inc. Altn: ROW Department 6522 Kltsap Way Sremerton, WA 98312 EASEMENT REFERENCE #: GRANTOR: CITY OF BREMERTON GRANTEE: PUGET SOUND ENERGY, INC. SHORT LEGAL: PTN. SW-SW.13-24N~1E ASSESSOR'S PROPERTY TAX PARCEL: 3718~16~12~009 For and in consideratton of One Dollar ($1.00) and other valuable consideration in hand paid, CITY OF BREMERTON, a Washington Municipal Corporation ("Grantor' herein), hereby conveys and warrants to PUGET SOUND ENERGY, INC., a Washington Corporation ("Grantee" herein), for the purposes hereinafter set forth, a nonexclusive perpetual easement over, along, across and through the following described real property ("Property" herein) in KITSAP County, Washington: THE EAST TEN FEET OF LOT 12, AND LOTS 13 THROUGH 18 INCLUSIVE, BLOCK 18. BREMERTON, AS RECORDED IN VOLUME 2 OF PLATS, PAGE 30, RECORDS OF K1TSAP COUNTY, WASHINGTON. Except as may be otherwise set forth heraln Grantee's rights shall be exercised upon that portion of the Property ("Easement Area" herein) described as tollows: AA l!a~amaAt .4.1'98 feet iA width RaviA!! feat af 811GR '.'JIElUl eA aasR slEla af a saAtaFliA8 sessFi9aEl a8 felle!fJo: THE NORTH FIVE (5) FEET OF THE EAST ONE.HUNDRED (100) FEET OF THE ABOVE DESCRIBED REAL PROPERTY. 1. Purpo... Grantee shall have the right to use the Easement Area to construct, operate, maintain, repair, replace, improve, remove, and enlarge for one or mons utility 8ystems for purposes of transmission, distribution and sale of electricity. Such systems may Includa, but ans not limited to: Pele8, tau'8Rl aAEI aUler slIppaR SIFWsWl'9S witA crossanns, braces, !!IIYS aAE! aASReRl; electric transmission and distribution lines; fiber optic cable and other 'IInes, cables and facilities for communications; tFaA8feFmeRl, slF9alliljR18, mataRl, 111<<111'98, altaGRmeA18 aAEI aAY and all othar facilities or appurtenances nacessary or convenient to any or all of the foregoing; Following the initial construction of all or a portion of its systems, Grantae may, from time to lime, construct such additional facilities as it may nsquire for such systems. Grantee shall have the right of access to the Easement Ansa over and across the Property to enable Grantea to exercise its rights hereunder. Grantee shall compensate Grantor tor any damage to the Property caused by the exercise of such right of access by Grantee. 2. Ea.ement Area Clearing and Maintenance. Grantee shall have the right to cut, remove and dispose of any and all brush, trees or other vegetation In the Easement Area. Grantee shall also have the right to control, on a continuing basis and by any prudent and nsasonable means, the establishment and growth of brush, trees or other vegetation in the Easement Area. 3. Tree. Outside Ea.sment Area. Grantee shall have the right to cut, trim remove and dispose of any trees located on the Property outside the Easement Area that could, in Grantee's sole judgment, interfere with or create a hazard to Grantee's systems. Grantee shall, prior to the exercise of such right. identify such trees and make a reasonable effort to give Grantor prior notice that such trees will be cut, trimmed, removed or disposed ot (except that Grantee shall have no obligation to identify such trees or give Grantor such prior notice when trees are cut, trimmed, removed or otherwise disposed of in response to emergency conditions). Grantor shall be entitled to no compensation for trees cut, trimmed, removed or dispOSed ot except tor the actual market value ot merchantable timber (it any) cut and removed from the Property by Grantee. 4. Grantor's Use of Easement Area. Grantor reserves the right to use the Easement Area tor any purpose not inconsistent with the rights herein granted, provided, however, Grantor shall not construct or maintain any buildings. structures or other objects on the Easement Area and Grantor shall do no blasting within 300 teet ot Grantee's tacilities without Grantee's prior written consent. 5. Indemnity. Grantee agrees to indemnify Grantor from and against liability incurred by Grantor as a result of Grantee's negligence in the exercise ot the rights herein granted to Grantee. but nothing herein shall reqwre Grantee to indemnify Grantor tor that portion of any such liability attributable to the negligence of Grantor or tho negligence of others. OH E'ectric E"sement '0/2003 ,,'hONG,,) ,. I '~-f: \ I .. I ;'Y" 6. Abandonment. The rights herein granted shall continue until such time as Grantee ceases to use the Easement Area for a period of five (5) successive years. in which event. this easement shall terminate and all rights hereunder. and any improvements remaining in the Easement Area, shall revert to or otherwise become the property of Grantor; provided, however. that no abandonment shall be deemed to have occumad by reason of Grantee's failure to initially install its systems on the Easement Area within any period of time from the date hereof. 7, Succes.o/"l and Assign.. Grantee shall have the right to assign, apportion or otherwise transfer any or all of its rights, benefits, privileges and interests arising in and under this easement. Without limiting the generality of the foregoing, the rights and obligations of the parties shall Inure to the beneflt of and be binding upon their respective successors and assigns. DATED this day of ,2006. GRANTOR: CITY OF BREMERTON, a Washington Municipal Corporation BY: ITS: (TITLE) STATE OF WASHINGTON ) ) 55 COUNTY OF ) On this _ day of , 2006, before me, the Undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn, personally appeared , to me known to be the person Who signed as (title) of the City of Bremerton, the municipal corporaUon that executed the within and foregoing instrument, and acknowledged said instrument to be (his/her) free and voluntary act and deed and the free and voluntary act and deed of the City of Bremerton for the uses and purposes therein mentioned; and on oath stated that _(he/she) was authorized to execute the said Instrument on behalf of said the City of Bremerton. GIVEN under my hand and official seal this hereto affixed the day and year In this certificate first above written. ( Signature of Notary ) ( Print name of Notary ) NOTARY PUBLIC In and for the State of Residing at My appointment expires Notary Seal EQUIPMENT TRANSPORTATION AGREEMENT This agreement is made and entered into this day of , 2006 by and between Puget Sound Energy, Inc., a Washington Corporation, hereinafter referred to as "Puget Sound Energy," and City of Bremerton, a Washington Municipal Corporation, hereinafter referred to as the "City." WITNESSETH: WHEREAS the City is undertaking a Schedule 74 electric utility undergrounding project in conjunction with Puget Sound Energy about and around the real property legally described as follows: LOTS 26 THROUGH 29 INCLUSIVE, BLOCK 16, BREMERTON, AS RECORDED IN VOLUME 2 OF PLATS, PAGE 30, RECORDS OF KITSAP COUNTY, WASHINGTON. WHEREAS, the City desires that Puget Sound Energy installs transformer(s), cable(s), switch(es), and any other necessary appurtenances, hereinafter referred to as "Equipment", within a building ("Building") located on the real property described above in a location inaccessible to Puget Sound Energy's mobile crane; and WHEREAS, Puget Sound Energy is not equipped to transport the Equipment to and from the City's desired location; and WHEREAS, this Agreement is for the benefit of th~ City, permitting the City to save substantial cost in Building wiring by locating the power supply points closer to the Building loads; that Puget Sound Energy derives absolutely no benefit from this Agreement, and Puget Sound Energy entered into this Agreement, solely for the benefit of the City; NOW THEREFORE, it is mutually agreed as follows: 1. Delivery and Installation. 1.1 Puget Sound Energy shall deliver the Equipment onto the street area adjacent to the Building at the location which the City shall designate, and which is accessible to Puget Sound Energy's mobile crane. When possible, reasonable notice shall be given the City prior to delivery and all work shall be performed during normal working hours. 1.2 The City or its designee shall immediately move the Equipment to the City's desired location. Any damage to the Equipment which occurs after it is delivered to the Building and during the transportation by the City, and any additional expense incurred as a result of said damage, shall be paid by the City. 1.3 Puget Sound Energy shall be present during the transportation of the Equipment, and shall thereupon proceed with all the necessary electrical connections. 1.4 The City or its designee shall remove all walls, doors, sills, Building fixtures, carpets, etc.as necessary to provide a clear route for the transport of equipment as described above. 2. Replacement and/or Removal. In the event it is necessary to remove the Equipment for replacement or any other purpose, Puget Sound Energy shall provide replacement Equipment. Installation and delivery of replacement Equipment, and removal of the Equipment shall be made in accordance with the terms of Section 1, above, and the following: 2.1 Puget Sound Energy shall disconnect the Equipment, and the City will assume transportation responsibility. 2.2 The City or its designee shall thereupon transport the Equipment to a location outside the Building which is accessible to Puget Sound Energy's mobile crane. 2.3 Thereupon, Puget Sound Energy shall remove the Equipment from the location accessible to Puget Sound Energy's mobile crane. Agreement and Easement for Electric System I Equipment Transportation Agreement 105039861 3. Delavs. Any delays on the part of the City may subject the Building or other property to the loss of electric service. Puget Sound Energy shall not be responsible for claims or damages resulting from said delays or loss of electric service, or any other claims for damage of any kind whatsoever incurred as a result of the loss of said electric service. 4. Damaae to Eauioment. The City hereby accepts full responsibility for any damage to the Equipment while under the City's control and agrees to furnish to Puget Sound Energy, prior to the performance of the activity contemplated by this agreement, satisfactory evidence of self insurance. 5. Indemnitv. The City shall defend, indemnify, and hold harmless Puget Sound Energy, its agents, employees and assigns from and against all claims, losses and expenses, including but not limited to attorney's fees, arising out of or resulting from the City's transportation of the Equipment pursuant to the terms of this agreement. Upon notice by Puget Sound Energy to the City of any claim or commencement of any legal action arising from such transportation, the City will defend the same at its sole cost and expense and will fully satisfy any judgment after said suit shall have been finally determined, if adverse to Puget Sound Energy. Nothing else in this Agreement shall absolve the City of this responsibility. City shall not be so obligated, however, with respect to claims, losses, expenses, or legal actions resulting from the sole negligence of Puget Sound Energy. 6. Successors and Assians. The rights and liabilities under this Agreement shall run with the land. A violation of this Agreement shall be enforceable at the suit of the City, their successors and assigns (assigns including any person or persons subsequently deriving title to the Building from the City). CITY OF BREMERTON, a Washington Municipal Corporation: BY: ITS: (TITLE) PUGET SOUND ENERGY, INC., a Washington Corporation BY: Steven R. Botts, Real Estate Representative Agreement and Easement for Electric System I Equipment Transportation Agreement 105039861 STATE OF Washington COUNTY OF Kitsap ) ) SS ) On this _ day of , 2006, before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and swom, personally appeared , to me known to be the person who signed as (title) of The City of Bremerton, the municipal corporation that executed the within and foregoing instrument, and acknowledged said instrument to be (his/her) free and voluntary act and deed and the free and voluntary act and deed of The City of Bremerton for the uses and purposes therein mentioned; and on oath stated that _(he/she) was authorized to execute the said instrument on behalf of said The City of Bremerton. GIVEN under my hand and official seal this hereto affixed the day and year in this certificate first above written. ( Signature of Notary ) ( Print name of Notary ) NOTARY PUBLIC in and for the State of Residing at My appointment expires Notary Seal STATE OF WASHINGTON ) )SS COUNTY OF ) On this day of , 2006, before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and swom, personally appeared Steven R. Botts, to me known to be the person who signed as Real Estate Representative of PUGET SOUND ENERGY, INC., that executed the within and foregoing instrument, and acknowledged said instrument to be his free and voluntary act and deed and the free and voluntary act and deed of PUGET SOUND ENERGY, INC., for the uses and purposes therein mentioned; and on oath stated that he was authorized to execute the said instrument on behalf of said of PUGET SOUND ENERGY, INC., GIVEN under my hand and official seal this hereto affixed the day and year in this certificate.first above written. ( Signature of Notary ) ( Print name of Notary ) NOTARY PUBLIC in and for the State of Washington Residing at My appointment expires Notary Seal Agreement and Easement for Electric System I Equipment Transportation Agreement 105039861 SCHEDULE 74 UNDERGROUND CONVERSION Project Construction Agreement Project Name: City of Bremerton - 6th & Pacific Avenues Project Number: #101035243 THIS Agreement, dated as of this _ day of ,200_, is made by and between City of Bremerton, a Municipal Corporation (the "Government Entity"), and PUGET SOUND ENERGY, Inc., a Washington Corporation (the "Company"). RECITALS A. The Company is a public service company engaged in the sale and distribution of electric energy, and pursuant to its franchise or other rights from the Government Entity, currently locates its electric distribution facilities within the jurisdictional boundaries of the Government Entity. B. The Government Entity has determined that it is necessary to replace the existing overhead electric distribution system within the area specified in the Project Plan (as defined below) (the "Conversion Area") with a comparable underground electric distribution system, all as more specifically described in the Project Plan (the "Conversion Project"). C. The Government Entity and the Company have previously entered into a Project Design Agreementdatedas'of June 12,2006;(the "Design Agreement"), pursuant to which the parties completed certain engineering design, cost assessment, operating rights planning and other preliminary work relating to the.Conversion Project and, in connection with that effort, developed the Project Plan. D. The Government Entity and the Company wish to execute this written contract in accordance with Schedule 74 of the Company's Electric Tariff G ("Schedule 74") to govern the completion of the Conversion.Project, which both parties intend shall qualify as an underground conversion under the terms of Schedule 74. . AGREEMENT The Government Entity and the Company therefore agree as follows: 1. Definitions. (a) Unless specifically defined otherwise herein, all terms defined in Schedule 74 shall have the same meanings when used in this Agreement, including, without limitation, the following: . i) Cost of Conversion; ii) Public Thoroughfare; iii) Temporary Service; iv) Trenching and Restoration; v) Underground Distribution System; and vi) Underground Service Lines. (b) "Company-Initiated Upgrade" shall mean any feature of the Underground Distribution System which is required by the Company and is not reasonably required to make the Underground Distribution System comparable to the overhead distribution system being replaced. For purposes of the foregoing, a "comparable" system shall include, unless the Parties otherwise agree, the number of empty ducts (not to exceed two (2), typically having a diameter of 6" or less) Construction Agreement. Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 1 Order #101035243 of such diameter and number as may be specified and agreed upon in the Project Plan necessary to replicate the load-carrying capacity (system amperage class) of the overhead system being replaced. (c) "Estimated Reimbursable Private Conversion Costs" shall mean the Company's good faith estimate of the Reimbursable Private Conversion Costs, as specified in the Project Plan and as changed and adjusted from time to time in accordance with Section 6, below. (d) "Estimated Reimbursable Temporary Service Costs" shall mean the Company's good faith estimate of the Reimbursable Temporary Service Costs, as specified in the Project Plan and as changed and adjusted from time to time in accordance with Section 6, below. (e) "Estimated Reimbursable Upgrade Costs" shall mean the Company's good faith estimate of the Reimbursable Upgrade Costs, as specified in the Project Plan and as changed and adjusted from time to time in accordance with Section 6, below. (f) "Estimated Shared Company Costs" shall mean the Company's good faith estimate of the Shared Company Costs, as specified in the Project Plan and as changed and adjusted from time to time in accordance with Section 6. below. (g) "Estimated Shared Government Costs" shall mean the Government Entity's good faith estimate of the Shared Government Costs, as specified in the Project Plan and as changed and adjusted from time to time in accordance with Section 6, below. (h) "Government-Requested Upgrade" shall mean any feature of the Underground Distribution System which is requested by the Government Entity and is not reasonably required to make the Underground Distribution System comparable to the overhead distribution system being rep'laced. For purposes of the foregoing, any empty ducts installed at the request of the Government Entity shall be a Government-Requested Upgrade. (i) "Party" shall mean either the Company, the Government Entity. or both. m "Private Property Conversion" shall mean that portion, if any, of the Conversion Project for which the existing overhead electric distribution system is located. as of the date determined in accordance with Schedule 74, (i) outside of the Public Thoroughfare, or (ii) pursuant to rights not derived from a franchise previously granted by the Government Entity or pursuant to rights not otherwise previously granted by the Government Entity. (k) "Project Plan" shall mean the project plan developed by the Parties under the Design Agreement and attached hereto as Exhibit A. as the same may be changed and amended from time to time in accordance with Section 6. below. The Project Plan includes. among other things, (i) a detailed description of the Work that is required to be performed by each Party and any third party, (ii) the applicable requirements and specifications for the Work, (iii) a description of the Operating Rights that are required to be obtained by each Party for the Conversion Project (and the requirements and specifications with respect thereto), (iv) an itemization and summary of the Estimated Shared Company Costs, Estimated Shared GovernmentCosts, Estimated Reimbursable Private Conversion Costs (if any), Estimated Reimbursable Temporary Service Costs (if any) and Estimated Reimbursable Upgrade Costs (if any), and (v) the Work Schedule. (I) "Operating Rights" shall mean sufficient space and legal rights for the construction, operation, repair, and maintenance of the Underground Distribution System. (m) "Reimbursable Private Conversion Costs" shall mean (i) all Costs of Conversion, if any. incurred by the Company which are attributable to a Private Property Conversion, less (ii) the distribution pole replacement costs (if any) that would be avoided by the Company on account of such Private Property Conversion, as determined consistent with the applicable Company distribution facilities Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 2 Order #101035243 replacement program, plus (iii) just compensation as provided by law for the Company's interests in real property on which such existing overhead distribution system was located prior to conversion; provided that the portion of the Reimbursable Private Conversion Costs attributable to the Costs of Conversion under subparagraph (i) of this paragraph shall not exceed the Estimated Reimbursable Private Conversion Costs without the prior written authorization of the Government Entity. (n) "Reimbursable Temporary Service Costs" shall mean all costs incurred by the Company which are attributable to (i) any facilities installed as part of the Conversion Project to provide Temporary Service, as provided for in Schedule 74, and (ii) the removal of any facilities installed to provide Temporary Service (less salvage value of removed equipment); provided that the Reimbursable Temporary Service Costs shall not exceed the Estimated Reimbursable Temporary Service Costs without the prior written authorization of the Government Entity. (0) "Reimbursable Upgrade Costs" shall mean all Costs of Conversion incurred by the Company which are attributable to any Government-Requested Upgrade; provided that the Reimbursable Upgrade Costs shall not exceed the Estimated Reimbursable Upgrade Costs without the prior written authorization of the Government Entity. (p) "Shared Company Costs" shall mean all Costs of Conversion (other than Reimbursable Upgrade Costs, Reimbursable Private Conversion Costs and Reimbursable Temporary Service Costs) incurred by the Company in connection with the Conversion Project; provided, however, that the Shared Company Costs shall not exceed the Estimated Shared Company Costs without the prior written authorization of the Government Entity. For the avoidance of doubt, the "Shared Company Costs" shall, as and to the extent specified in the Design Agreement, include the actual, reasonable costs to the Company for the "Design Work" performed by the Company under the Design Agreement. .. (q) "Shared Government Costs'~shall mean all Costs of Conversion incurred by the Government Entity in connection with (i)any.ductand vault installation Work which the Parties have specified in the Project Plan is to be performed by the Government Entity as part of the Government Work, and (ii) the acquisition of any Operating Rights which the Parties have, by mutual agreement, specified in the Project Plan are to be obtained by the Government Entity for the Conversion Project, but only to the extent attributable to that portion of such Operating Rights which is necessary to accommodate the facilities of the Company; provided, however, that the Shared Government Costs shall not exceed the Estimated Shared Government Costs without the prior written authorization of the Company. . (r) "Total Shared Costs" shall mean the sum of the Shared Company Costs and the Shared Government Costs. For the avoidance of doubt, the Total Shared Costs shall not include, without limitation, (i) costs to the Government Entity for Trenching and Restoration, or (ii) costs associated with any joint use of trenches by other utilities as permitted under Section 3(b). (s) 'Work" shall mean all work to be performed in connection with the Conversion Project, as more specifically described in the Project Plan, including, without limitation, the Company Work (as defined in Section 2(a), below) and the Government Work (as defined in Section 3(a), below). (t) 'Work Schedule" shall mean the schedule specified in the Project Plan which sets forth the milestones for completing the Work, as the same may be changed and amended from time to time in accordance with Section 6, below. 2. Obliqations of the Company. (a) Subject to the terms and conditions of this Agreement, the Company shall do the following as specified in, and in accordance with the design and construction specifications and other requirements set forth in, the Project Plan (the "Company Work"): Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 3 Order #101035243 i) furnish and install an Underground Distribution System within the Conversion Area (excluding any duct and vault installation or other Work which the Parties have specified in the Project Plan is to be performed by the Government Entity); ii) provide a Company inspector on-site at the times specified in the Work Schedule to inspect the performance of any duct and vault installation Work which the Parties have specified in the Project Plan is to be performed by the Government Entity; and iii) upon connection of those persons or entities to be served by the Underground Distribution System and removal of facilities of any other utilities that are connected to the poles of the overhead system, remove the existing overhead system (including associated wires and Company-owned poles) of 15,000 volts or less within the Conversion Area except for Temporary Services. (b) Upon request of the Government Entity, the Company shall provide periodic reports of the progress of the Company Work identifying (i) the Company Work completed to date, (ii) the Company Work yet to be completed, and (iii)an estimate regarding whether the Conversion Project is on target with respect to the Estimated Shared Company Costs, the Estimated Reimbursable Private Conversion Costs (if any), the Estimated Reimbursable Temporary Service Costs (if any), the Estimated Reimbursable Upgrade Costs (if any) and the Work Schedule. (c) Except as otherwise provided in the Company's Electric Tariff G, the Company shall own, operate and maintain all electrical facilities installed pursuant to this Agreement including, but not limited to, the Underground Distribution System and Underground Service Lines. (d) Subject to the terms and conditions of this Agreement, the Company shall perform all Company Work in accordance with the Project Plan, the Work Schedule and this Agreement. 3. Obliaations of the Government Entitv., (a) Subject to the terms and conditions of this Agreement, the Government Entity shall do the following as specified in, and in accordance with the design and construction specifications and other requirements set forth in, the Project Plan (the "Government Work"): i) provide the Trenching and Restoration; ii) perform the surveying for alignment and grades for ducts and vaults; and iii) perform any duct and vault installation and other Work which the Parties have specified in the Project Plan is to be performed by the Government Entity. (b) Other utilities may be permitted by the Government Entity to use the trenches provided by the Government Entity for the installation of their facilities so long as such facilities or the installation thereof do not interfere (as determined pursuant to the Company's electrical standards) with the Underground Distribution System or the installation or maintenance thereof. Any such use of the trenches by other utilities shall be done subject to and in accordance with the joint trench design specifications and installation drawings set forth or otherwise identified in the Project Plan, and the Government Entity shall be responsible for the coordination of the design and installation of the facilities of the other utilities to ensure compliance with such specifications and drawings. (c) Upon request of the Company, the Government Entity shall provide periodic reports of the progress of the Government Work identifying (i) the Government Work completed to date, (ii) the Government Work yet to be completed, and (iii) an estimate regarding whether the Conversion Project is on target with respect to the Estimated Shared Government Costs and the Work Schedule. (d) The Government Entity shall be responsible for coordinating all work to be performed in connection with the street improvement program within the Conversion Area. Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 4 Order #101035243 (e) Subject to the terms and conditions of this AgreerTlent, the Government Entity shall perform all Government Work in accordance with the Project Plan, the Work Schedule and this Agreement. 4. Work Schedule. (a) The Government Entity and the Company have agreed upon the Work Schedule as set forth in the Project Plan. Changes to the Work Schedule shall be made only in accordance with Section 6, below. (b) Promptly following the execution of this Agreement, and upon completion by the Government Entity of any necessary preliminary work, the Government Entity shall hold a pre-construction meeting involving all participants in the Conversion Project to review project design, coordination requirements, work sequencing and related pre-mobilization requirements. Following the pre- construction meeting, the Government Entity shall give the Company written notice to proceed with the Work at least ten (10) business days prior to the commencement date specified in the Work Schedule. (c) Subject to the terms and conditions of this Agreement, each Party shall perform the Work assigned to it under this Agreement in accordance with the Work Schedule. So long as the Company performs the Company Work in accordance with the Work Schedule, the Company shall not be liable to the Government Entity (or its agents, servants, employees, contractors, subcontractors, or representatives) for any claims, actions, damages, or liability asserted or arising out of delays in the Work Schedule. 5. Location of Facilities. All facilities. of the Company. installed within the Conversion Area pursuant to this Agreement shall be located, and all related Operating Rights shall be obtained, in the manner set forth in the applicable provisions of Schedule 74; as specified by the Parties in the Project Plan. 6. Chanaes. (a) Either Party may, at any time, by written notice thereof to the other Party, request changes in the Work within the general scope of this Agreement (a "Request for Change"), including, but not limited to: (i) changes in, substitutions for, additions to or deletions of any Work; (ii) changes in the specifications, drawings and other requirements in the Project Plan, (iii) changes in the Work Schedule, and (iv) changes in the location, alignment, dimensions or design of items included in the Work. No Request for Change shall be effective and binding upon the Parties unless signed by an authorized representative of each Party. (b) If any change included in an approved Request for Change would cause a change in the cost of, or the time required for, the performance of any part of the Work, an equitable adjustment shall be made in the Estimated Shared Company Costs, the Estimated Shared Government Costs, the Estimated Reimbursable Private Conversion Costs (if any), the Estimated Reimbursable Temporary Service Costs (if any), the Estimated Reimbursable Upgrade Costs (if any) and/or the Work Schedule to reflect such change. The Parties shall negotiate in good faith with the Objective of agreeing in writing on a mutually acceptable equitable adjustment. If the Parties are unable to agree upon the terms of the equitable adjustment, either Party may submit the matter for resolution pursuant to the dispute resolution provisions in Section 10, below. (c) The Work Schedule, the Estimated Shared Company Costs, the Estimated Shared Government Costs, the Estimated Reimbursable Private Conversion Costs, the Estimated Reimbursable Temporary Service Costs and/or the Estimated Reimbursable Upgrade Costs shall be further equitably adjusted from time to time to reflect any change in the costs or time required to perform the Work to the extent such change is caused by: (i) any Force Majeure Event under Section 11, below, (ii) the discovery of any condition within the Conversion Area which affects the scope, cost, Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 5 Order #101035243 schedule or other aspect of the Work and was not known by or disclosed to the affected Party prior to the date of this Agreement, or (iii) any change or inaccuracy in any assumptions regarding the scope, cost, schedule or other aspect of the Work which are expressly identified by the Parties in the Project Plan. Upon the request of either Party, the Parties will negotiate in good faith with the objective of agreeing in writing on a mutually acceptable equitable adjustment. If, at any time thereafter, the Parties are unable to agree upon the terms of the equitable adjustment, either Party may submit the matter for resolution pursuant to the dispute resolution provisions in Section 10, below. (d) Notwithstanding any dispute or delay in reaching agreement or arriving at a mutually acceptable equitable adjustment, each Party shall, if requested by the other Party, proceed with the Work in accordance with any approved Request for Change. Any request to proceed hereunder must be accompanied by a written statement setting forth the requesting Party's reasons for rejecting the proposed equitable adjustment of the other Party. 7. Compensation and Pavment. (a) Subject to and in accordance with the terms and conditions of this Agreement (including, without limitation, the payment procedures set forth in this Section 7), payment in connection with the Conversion Project and this Agreement shall be as follows: i) The Total Shared Costs shall be allocated to the Parties in the following percentages: (A) sixty percent (60%) to the Company, and (B) forty percent (40%) to the Government Entity. ii) The Government Entity shall pay one hundred percent (100%) of all Reimbursable Private Conversion Costs, if any; iii) The Government Entity shall pay one hundred percent (100%) of all Reimbursable Upgrade Costs, if any. iv) The Government Entity shall pay one hundred percent (100%) of all Reimbursable Temporary Service Costs, if any. v) The Government Entity shall pay one hundred percent (100%) of the costs it incurs to perform that portion of the Government Work specified in Section 3(a)(i) and (ii) (Le., Trenching and Restoration and surveying). vi) The Company shall pay one hundred percent (100%) of the costs it incurs to design, provide and construct any Company-Initiated Upgrade. vii) The Company shall pay one hundred percent (100%) of the costs it incurs to obtain Operating Rights outside the Public Thoroughfare. (b) Based on the allocation of responsibilities set forth in Section 7(a), above, the Parties shall determine the net amount payable by the Government Entity or the Company, as applicable, to the other Party under this Agreement (the "Net Amount"). The Net Amount shall be determined by using the amount of the Total Shared Costs allocated to the Government Entity under Section 7(a)(i), and adjusting such amount as follows: i) Subtracting (as a credit to the Government Entity) the amount of the Shared Government Costs. ii) Adding (as a credit to the Company) the amount of all Reimbursable Private Conversion Costs, Reimbursable Upgrade Costs and Reimbursable Temporary Service Costs. iii) Subtracting (as a credit to the Government Entity) any payments previously made to the Company by the Government Entity under the Design Agreement which, under the terms of the Design Agreement, are to be credited to the Government Entity under this Agreement. The Net Amount, as so calculated, (A) will be an amount payable to the Company if it is a positive number, and (B) shall be an amount payable to the Government Entity if it is a negative number. Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 6 Order #101035243 (c) Within sixty (60) business days of completion of the Conversion Project, the Government Entity shall provide the Company with an itemization of the Shared Government Costs (the "Government Itemization"), together with such documentation and information as the Company may reasonably request to verify the Government Itemization. The Government Itemization shall, at a minimum, break down the Shared Government Costs by the following categories, as applicable: (i) property and related costs incurred and/or paid by the Government Entity, including any costs of obtaining Operating Rights, and (ii) construction costs incurred and/or paid by the Government Entity, including and listing separately inspection, labor, materials and equipment, overhead and all costs charged by any agent, contractor or subcontractor of the Government Entity. (d) Within thirty (30) business days after the Company's receipt of the Government Itemization and requested documentation and information, the Company shall provide the Government Entity a written statement (the "Company Statement") showing (i) an itemization of the Shared Company Costs, (ii) the Parties' relative share of the Total Shared Costs based on the Company's itemization of the Shared Company Costs and the Government Entity's itemization of the Shared Government Costs set forth in the Government Itemization, (iii) any Reimbursable Private Conversion Costs, (iv) any Reimbursable Upgrade Costs, (v) any Reimbursable Temporary Service Costs, (vi) any credits to the Government Entity for payments previously made to the Company by the Government Entity under the Design Agreement which, under the terms of the Design Agreement, are to be credited to the Government Entity under this Agreement, and (vii) the Net Amount, as determined in accordance with Section 7(b), above, together with such documentation and information as the Government Entity may reasonably request to verify the Company Statement. The itemization of the Shared Company Costs included in the Company Statement shall, at a minimum, break down the Shared Company Costs by the following categories, as applicable: (i) design and engineering costs, and (ii) construction costs, including and listing separately inspection, labor, materials and equipment, overhead and all costs charged by any agent, contractor or subcontractor of the Company. (e) Within thirty (30) business days after the Government Entity's receipt of the Company Statement and requested documentation' and information, the Net Amount shall be paid by the owing Party to the other Party, as specified in the CompanyStatement. 8. Indemnification. (a) The Government Entity releases and shall defend, indemnify and hold the Company harmless from all claims, losses, harm, liabilities, damages, costs and expenses (including, but not limited to, reasonable attorneys' fees) caused by o(arising out of any negligent act or omission or willful misconduct of the Government Entity in its performance under this Agreement. During the performance of such activities the Government Entity's employees or contractors shall at all times remain employees or contractors, respectively, of the Government Entity. (b) The Company releases and shall defend, indemnify and hold the Government Entity harmless from all claims, losses, harm, liabilities, damages, costs and expenses (including, but not limited to, reasonable attorneys' fees) caused by or arising out of any negligent act or omission or willful misconduct of the Company in its performance under this Agreement. During the performance of such activities the Company's employees or contractors shall at all times remain employees or contractors, respectively, of the Company. (c) Solely for purposes of enforcing the indemnification obligations of a Party under this Section 8, each Party expressly waives its immunity under Title 51 of the Revised Code of Washington, the Industrial Insurance Act, and agrees that the obligation to indemnify, defend and hold harmless provided for in this Section 8 extends to any such claim brought against the indemnified Party by or on behalf of any employee of the indemnifying Party. The foregoing waiver shall not in any way preclude the indemnifying Party from raising such immunity as a defense against any claim brought against the indemnifying Party by any of its employees. Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 7 Order #101035243 9. Conversion of Service to Customers within Conversion Area. (a) Upon commencement of the Work, the Government Entity shall notify all persons and entities within the Conversion Area that service lines to such customers must be converted from overhead to underground service within the applicable statutory period following written notice from the Government Entity that service from underground facilities are available in accordance with RCW 35.96.050. Upon the request of any customer, other than a single family residential customer, within the Conversion Area, the Company shall remove the overhead system and connect such persons' and entities' Underground Service Lines to the Underground Distribution System. (b) The Parties acknowledge that single family residences within the Conversion Area must (i) provide a service trench and conduit, in accordance with the Company's specifications, from the underground meter base to the point of service provided during the conversion, and (ii) pay for the secondary service conductors as defined in Schedule 85 of the Company's Electric Tariff G. The Government Entity shall exercise its authority to order disconnection and removal of overhead facilities with respect to owners failing to convert service lines from overhead to underground within the timelines provided in RCW 35.96.050. 10. Dispute Resolution. (a) Any dispute, disagreement or claim arising out of or concerning this Agreement must first be presented to and considered by the Parties. A Party who wishes dispute resolution shall notify the other Party in writing as to the nature of the dispute. Each Party shall appoint a representative who shall be responsible for representing the Party's interests. The representatives shall exercise good faith efforts to resolve the dispute. Any disputethatis not resolved within ten (10) business days of. the ,date the disagreement was first raised by written notice shall be referred by the. Parties' representatives in writing to the senior management of the Parties for resolution. In the eventthe seniormanagement are unable to resolve the dispute within twenty (20) business days (or such other period as the: Parties may agree upon), each Party may pursue resolution of the dispute through other legal means consistent with the terms of this Agreement. All negotiations' pursuant to these procedures for the resolution of disputes shall be confidential and shall be treated as compromise and settlement negotiations .for purposes of the state and federal rules of evidence. (b) Any claim or dispute arising hereunder which relates to any Request for Change or any equitable adjustment under Section 6, above, or the compensation payable by or to either Party under Section 7, above, and which is not resolved by senior management within the time permitted under Section 10(a), above, shall be resolved by arbitration in Seattle, Washington, under the Construction Industry Arbitration Rules of the American Arbitration Association then in effect. The decision(s) of the arbitrator(s) shall be final, conclusive and binding upon the Parties. All other disputes shall be resolved by litigation in any court or governmental agency, as applicable, having jurisdiction over the Parties and the dispute. (c) In connection with any arbitration under this Section 10, costs of the arbitrator(s), hearing rooms and other common costs shall be divided equally among the Parties. Each Party shall bear the cost and expense of preparing and presenting its own case (including, but not limited to, its own attorneys' fees); provided, that, in any arbitration, the arbitrator(s) may require. as part of his or her decision. reimbursement of all or a portion of the prevailing Party's costs and expenses (including. but not limited to, reasonable attorneys' fees) by the other Party. (d) Unless otherwise agreed by the Parties in writing. the Parties shall continue to perform their respective obligations under this Agreementduring the pendency of any dispute. Construction Agreement. Attachment "S" to Schedule 74, City of Sremerton - 6th & Pacific Avenues Page 8 Order #101035243 11. Uncontrollable Forces. In the event that either Party is prevented or delayed in the performance of any of its obligations under this Agreement by reason beyond its reasonable control (a "Force Majeure Event"), then that Party's performance shall be excused during the Force Majeure Event. Force Majeure Events shall include, without limitation, war; civil disturbance; flood, earthquake or other Act of God; storm, earthquake or other condition which necessitates the mobilization of the personnel of a Party or its contractors to restore utility service to customers; laws, regulations, rules or orders of any governmental agency; sabotage; strikes or similar labor disputes involving personnel of a Party, its contractors or a third party; or any failure or delay in the performance by the other Party, or a third party who is not an employee, agent or contractor of the Party claiming a Force Majeure Event, in connection with the Work or this Agreement. Upon removal or termination of the Force Majeure Event, the Party claiming a Force Majeure Event shall promptly perform the affected obligations in an orderly and expedited manner under this Agreement or procure a substitute for such obligation. The Parties shall use all commercially reasonable efforts to eliminate or minimize any delay caused by a Force Majeure Event. 12. Insurance. (a) PSE shall, and shall require each of its contractors to, secure and maintain in force throughout the duration of the Conversion Project (or, if sooner, until termination of this Agreement) comprehensive general liability insurances, with a minimum coverage of $1,000,000 per occurrence and $2,000,000 aggregate for personal injury; and $1,000,000 per occurrence/ aggregate for property damages, and professional liability insurance in the amount of $2,000,000. (b) The Government Entity shall ensure that each of its contractors performing any Government Work secures and maintains in force throughout the duration of the Conversion Project (or, if sooner, until termination of this Agreement) insurance policies having the same coverage, amounts and limits as specified Section 12(a); above. (c) In lieu of the insurance requirements set forth in Section 12(a), above, the Company may self- insure against such risks in such amounts as are consistent with good utility practice. Upon the Government Entity's request, the Company shall provide the Government Entity with reasonable written evidence that the Company is maintaining such self-insurance. 13. Other. (a) Aqreement Subiect To Tariff. This Agreement is subject to the General Rules and Provisions set forth in Tariff Schedule 80 of the Company's electrical Tariff G and to Schedule 74 of such Tariff as approved by the Washington Utilities and Transportation Commission and in effect as of the date of this Agreement. (b) Termination. The Government Entity reserves the right to terminate the Conversion Project and this Agreement upon written notice to the Company. In the event that the Government Entity terminates the Conversion Project and this Agreement, the Government Entity shall reimburse the Company for all costs reasonably incurred by the Company in connection with the Work performed prior to the effective date of termination. In such event, the costs reimbursable to the Company (i) shall not be reduced by any Shared Government Costs or other costs incurred by the Government Entity, and (ii) shall be paid within thirty (30) days after the receipt of the Company's invoice therefor. Sections 1, 5, 7, 8, 9, 10, 11 and 13 shall survive any term ination of the Conversion Project and/or this Agreement. (c) Facilities Greater Than 15.000 Volts. Nothing in this Agreement shall in any way affect the rights or obligations of the Company under any previous agreements pertaining to the existing or future facilities of greater than 15,000 Volts within the Conversion Area. Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 9 Order #101035243 (d) Compliance With Law. The Parties shall, in performing the Work under this Agreement, comply with all applicable federal, state, and local laws, ordinances, and regulations. (e) No Discrimination. The Company, with regard to the Work performed by the Company under this Agreement, shall comply with all applicable laws relating to discrimination on the basis race, color, national origin, religion, creed, age, sex, or the presence of any physical or sensory handicap in the selection and retention of employees or procurement of materials or supplies. (f) Independent Contractor. The Company and the Government Entity agree that the Company is an independent contractor with respect to the Work and this Agreement. The Company is acting to preserve and protect its facilities and is not acting for the Government Entity in performing the Work. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the Parties. Neither the Company nor any employee of the Company shall be entitled to any benefits accorded employees of the Government Entity by virtue of the Work or this Agreement. The Government Entity shall not be responsible for withholding or otherwise deducting federal income tax or social security or contributing to the State Industrial Insurance Program, or otherwise assuming the duties of an employer with respect to the Company, or any employee of the Company. (g) Nonwaiver of Riqhts or Remedies. No failure or delay of either Party to insist upon or enforce strict performance by the other Party of any provision of this Agreement or to exercise any other right under this Agreement, and no course of dealing or performance with respect thereto, shall, except to the extent provided in this Agreement, be construed, as a waiver or, or choice of, or relinquishment of any right under any provision of this Agreement or any right at law or equity not otherwise provided for herein. The express waiver by either Party of any right or remedy under this Agreement or at law or equity in a particular instance or circumstance shall not constitute a waiver thereof in any other instance or circumstance. (h) No Third Party Beneficiaries. There are no third-party beneficiaries of this Agreement. Nothing contained in this Agreement is intended to confer any right or interest on anyone other than the Parties, their respective successors, assigns and legal representatives. (i) Governmental Authority. This Agreement issubject to the rules, regulations, orders and other requirements, now or hereafter in effect, of all governmental regulatory authorities and courts having jurisdiction over this Agreement, the Parties or either of them. All laws, ordinances, rules, regulations, orders and other requirements, now or hereafter in effect, of governmental regulatory authorities and courts that are required to be incorporated into agreements of this character are by this reference incorporated in this Agreement. G) No Partnershio. This Agreement shall not be interpreted or construed to create an association, joint venture or partnership between the Parties or to impose any partnership obligations or liability upon either Party. Further, neither Party shall have any right, power or authority to enter into any agreement or undertaking for or on behalf of, to act as or be an agent or representative of, or to otherwise bind the other Party. (k) Severability. In the event that any provision of this Agreement or the application of any such provision shall be held invalid as to either Party or any circumstance by any court having jurisdiction, such provision shall remain in force and effect to the maximum extent provided by law, and all other provisions of this Agreement and their application shall not be affected thereby but shall remain in force and effect unless a court or arbitrator holds they are not severable from the invalid provisions. Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 10 Order #101035243 (I) Notice. Any notice under this Agreement shall be in writing and shall be faxed (with a copy followed by mail or hand delivery), delivered in person, or mailed, properly addressed and stamped with the required postage, to the intended recipient as follows: If to the Government Entitv: City of Bremerton 345 6th Street Bremerton, WA 98312 Attn: R. Lubovich Phone: (360) 473-2335 If to the Company: Puget Sound Energy 22884 Ryen Drive Poulsbo, W A 98370 Attn: Linda Streissguth Fax: 360-779-4897 Any Party may change its address specified in this Section 13(1) by giving the other Party notice of such change in accordance with this Section 13(1). (m) Applicable Law. This Agreement shall in all respects be interpreted, construed and enforced in accordance with the laws of the State of Washington (without reference to rules governing conflict of laws), except to the extent such laws maybe preempted by the laws of the United States of America. (n) Entire Aareement. This Agreement constitutes the entire agreement of the Parties with respect to the subject matter hereof and all other agreements and understandings of the Parties, whether written ororal, with respecttoJhesubject matter of this Agreement are hereby superseded in th~ir entireties; provided, however, that except as expressly set forth in this Agreement, nothing herein is intended to or shall alter, amend or supersede the Design Agreement and the same shall remain in full force and effect in accordance with its terms. (0) Successors and Assians. This Agreement shall be binding upon and inure to the benefit of the respective successors, assigns, purchasers, and transferees of the Parties, including but not limited to, any entity to which the rights or obligations of a Party are assigned, delegated, or transferred in any corporate reorganization, change of organization, or purchase or transfer of assets by or to another corporation, partnership, association, or other business organization or division thereof. Government Entity: Company: CITY OF BREMERTON PUGET SOUND ENERGY, INC. BY BY ITS ITS Date Signed Date Signed Approved as to form: Construction Agreement, Attachment "B" to Schedule 74, City of Bremerton - 6th & Pacific Avenues Page 11 Order #101035243 + PUGET SOUND ENERGY Exhibit "A" Project Plan Schedule 74 Underground Conversion City ofl)l"~lJl~l"t()J1- Alley - 6th & Pacific Avenue PSE Project~urn~~~: 101035243 09,,:29..Q(j Pursuant to Puget Sound Energy ("PSE") Rate Schedule 74 and as described in this Project Plan, PSE will convert its existing overhead electrical distribution system of 15,000 volts or less to an equivalent Underground Distribution System. This Project Plan describes work to be performed by PSE and the City of Bremerton (the "City") for the conversion of certain PSE electrical distribution system facilities as described herein (the "Conversion Project"). Construction ofthis Conversion Project is contingent upon and shall not commence prior to both written acceptance of this Project Plan and written execution of a Schedule 74 Construction Agreement by the City and PSE. This Project Plan includes and consists of: . Detailed description of the Construction Work to be performed . Applicable requirements, drawings and specifications for the work (attached) . Operating Rights to be obtained-for the Conversion Project (attached) . ConstructionW ork Schedule' . Construction Costs Estimate Summary (attached) Revisions to this Proiect Plan must be mutually approved bv the City and PSE. Scope of Work This Conversion Project will replace PSE's existing overhead electrical distribution system with an Underground Distribution System within the following area (the "Conversion Area"): Two spans in the alley between 6th and 5th Street, at Pacific Avenue. The Conversion Project is approximately 33$' feet in length, including laterals and road crossings. The Conversion Project includes modification or replacement of all existing services lines within the Conversion Area to connect to the Underground Distribution System and removal ofPSE's existing overhead electric distribution facilities (including PSE distribution poles and pole mounted street lights) from the Conversion Area. There are no Company Initiated Upgrades, Government Entity Requested Upgrades or Temporary Service elements included in the Conversion Project Scope of Work. PSE initiated upgrades included in this project consist of: None. City requested upgrades included in this project consist of: None. Cityof Bremerton 6th&'Pacific Underground Conversion #iOll)~5243 Page I Temporary Service included in this project consists of: None. The following portions ofPSE's existing facilities to be converted are located outside of Public Thoroughfare: An Underground system located between 6th and the alley (between 6th and 5th Avenues), including vault room. Responsibilities of Parties City Responsibilities a) Provide written notice to customers within the Conversion Area in advance of Conversion Project Construction Work start. The notice will include contact information for both the City and PSE, the expected Conversion Project schedule, anticipation of service interruptions and work required to be performed by customers. b) Coordinate other utility conversion, removal and relocation from PSE's poles. c) Provide all surveying for equipment placement, locations, and establish all grade elevations for the Underground Distribution System within the Conversion Area. d) Provide all necessary excavation, bedding, backfill, off.,.site disposal, site restoration and coordination for installation of the Underground Distributio'n System. This includes trenching, backfill, and restoration for cut.:.over and transfer of existing underground system and service lines from the existing overhead distribution system to the new Underground Distribution System. . e) Coordinate private, property trenching, excavation and restoration activity with private property owners affected by this Conversion Project. f) Provide flagging and traffic control as required for all work performed by the City. g) Install and proof all ducts and vaults for the Underground Distribution System (excluding work in ducts or vaults containing energized cables or equipment - see PSE Responsibilities) in accordance with PSE standards and specifications using ducts and vaults provided by PSE. "Proofing" as used herein is defined as verification using a mandrel that the duct and vault system is free and clear of damage, installed to the proper grade and at the proper location and contains a pulling line. h) Provide PSE at least ten (10) business days notice prior to the start of trenching activity to allow for delivery?rYSE materials to the job site and scheduling ofPSE's on-site Inspector. Provide at leastfiye(?) business days notice for scheduled delivery of vaults from the manufacturer. i) Provide secure staging and storage area(s) for duct and vault materials provided by PSE. The City shall be responsible for the security and condition of these materials until they are installed and accepted by PSE or returned to PSE's custody. j) Provide labor and equipment for the off-loading ofPSE duct and vault materials delivered to the job site. k) Promptly following notice from PSE that the Underground Distribution System has been energized, provide notice to customers within the Conversion Area informing them oftheir City of Bremerton 6th~p,a9ific Underground Conversion #101035243 Page 2 obligation and responsibility to convert their overhead service lines to underground service lines as provided by state law or to modify existing underground service lines for connection to the Underground Distribution System. Affected service lines are listed in the Service Lines section ofthis Project Plan. 1) Facilitate weekly (or as otherwise agreed by the City and PSE) construction coordination meetings to include all relevant parties participating in the conversion including PSE and it's contractor(s), the City and it's contractor(s), and other utilities. m) Provide any necessary operating rights for the installation ofPSE's facilities in accordance with PSE's Schedule 74 Section 3 and as mutually agreed by the PSE and the City. Operating rights are further addressed in the Operating Rights section of this Project Plan. n) Modify, reroute or replace service lines to City owned facilities to connect to the Underground Distribution System. 0) Following notification from PSE that Construction Work is complete, provide to PSE any Shared Government Costs as provided for in the Construction Agreement. Pue:et Sound Enere:v Responsibilities a) Provide all duct and vault materials, cables, electrical equipment and components necessary for installation of the Underground Distribution System. . b) Following notice from the City, deliver or cause to be delivered all duct and vault materials to the designated staging/storage area(s). Acknowledge delivered quantities and condition of duct and vault materials by signing shipping manifests. c) Following notice from the City; provide inspection services needed for overseeing the proper installation of ducts and vaults by the City. d) Accept delivery of the completed duct and vault system once the new system has been proofed (as described above) by the City. PSE will provide a mandrel to the City to be used in proofing of the duct and vault system. e) Provide PSE electrical workers to complete duct installation and proofing when such work is performed at or in any energized vault containing energized cables or equipment. f) Install (except for ducts and vaults installed by the City) and energize the Underground Distribution System. Provide written notice to the City when the Underground Distribution System is energized. g) Perform cut-over and transfer of existing Underground Distribution System and existing underground service lines from the overhead distribution system to the new Underground Distribution System where applicable (see City Responsibility item "d" concerning trenching responsibility). PSE will notify the City for excavation and the affected customers at least two (2) business days prior to installation, transfer, and connection of underground service lines. Affected service lines are listed in the Service Lines section of this Project Plan. h) Install and connect replacement underground service lines to single family residences and connect replacement non-residential underground service lines provided by customers within the Conversion Area pursuant to PSE Tariff Schedule 85. Affected service lines are listed in the Service Lines section of this Project Plan. City of. Bremerton (j'h&J'~2ifi6 Underground Conversion Page 3 #101035243 i) Remove the existing overhead electric distribution system including, conductors~ equipment, down guys, anchors and poles after all service lines to customers within the Conversion Area are connected to the Underground Distribution System and all other utilities have been removed from PSE's poles. Holes left following removal of poles will be filled with crushed rock and compacted in accordance with applicable City standards or specifications. j) Provide flagging and traffic control as required for all work performed by PSE (except as may otherwise be reasonably provided by the City during installation of ducts and vaults in conjunction with City performed trenching, excavation, back-fill and restoration). k) Attend weekly (or as otherwise agreed by the City and PSE) construction coordination meetings facilitated by the City and its contractor. Operatin!! RiJ!hts The Underground Distribution System will be located within existing Public Thoroughfare. The following are necessary: 1. Easement for Vault room and underground system on Ryan property 2. Easement on Bremerton Public Library property 3. Transportation Agreement The Underground Distribution System will be located within Public Thoroughfare except as described in the.operating.Rights Attachment. The Construction Work will not be released by PSE for construction until i) all operating rights necessary for the installation ofPSE's facilities have been obtained ,and have been verified by PSE, or ii) the City otherwise signs an agreement releasing PSE from any and all financial obligations associated with the location or relocation of PSE facilities resulting from commencement of construction prior to acquisition of all identified necessary operating rights. Construction Work Schedule The work will be performed in accordance with the following Work Schedule, unless this schedule is revised by mutual agreement of the City and PSE or circumstances beyond the reasonable control of the City and/or PSE preclude such performance. Installation of ducts and vaults:240ctQb~r/iQ()6 Installation and enerl!ization of the Underl!round Distribution System: 2Q:~~~~~~r~O()6 Removal of overhead facilities:~J:;NQy@&~t2QQ~. Installation and removal of Temporarv Service: NI A. Construction Cost Estimate The estimated costs to perform the Construction Work and the allocation of costs between the parties are presented in the attached Construction Costs Estimate Summary. These estimated Cityof ~remerton 6th & Pacific Underground Conversion #1!)!035243 Page 4 costs are valid for ninety (90) days from the date shown on the attached Construction Costs Estimate Summary. If this Project Plan and a Schedule 74 Construction Agreement are not fully executed within ninety (90) days from this date, the estimated costs shall be subject to revision. Proiect Assumptions The project design, construction plans and cost estimates are based on and reflect the following assumptions. Construction conditions that are not consistent with these assumptions may result in a request for change or an equitable adjustment to project compensation under Section 6 of the Construction Agreement. Cost Assumptions 1. The Construction Work will be performed in accordance with the Construction Work Schedule. 2. PSE's Project Manager will accept or reject (with written justification) the duct and vault installation work performed by the City within five (5) business days notice of completion from the City. In the event PSE rejects any of the ducts or vaults (with reasonable written justification), the City will perform the necessary remedial \york. The City will then re- notify PSE and PSE shall have five (5) business days to accept or reject the remedial work. 3. All PSE cables can be pulled through the ducts and vaults system to be used for the Conversion Project utilizing normal cable pulling techniques. 4{"A City Street Use permit is the only permit necessary for PSE to perform its work for this Conversion Project and' will be issued within two (2) weeks ofPSE submitting a complete permit~pgli.c~tion(i~cll.ldi~s~I~y.sl.lpp~~i~gd~cl.l~~~tati~~.~~.~sonably required by the City). 'D!~~:~U';P~!IJ.o'qii~g~'fg~..fu~p~rintt!:Qi:tii1~P~Rii9A1f~~~i 5. PSE will provide six (6) days of required inspection time for duct and vault installation. During construction, the Inspector will be scheduled in full day increments and in one continuous effort. Changes to a continuous schedule are required a minimum of two days in advance. 6. Traffic control provided by PSE assumes the use of two flaggers, basic signage and simple channelization. 7. Work to be performed by PSE does not include installation and/or removal of Temporary Service facilities at the request of others during construction. 8. All cut-over and transfer work will be completed during regular working hours. 9. Installation of protective bollards may be necessary at some locations and may not be included in the project design. In the event unplanned bollards are required, the associated installation cost will be a shared cost. 10. Where noted on the plans, existing ducts, either empty or currently used, are to be utilized for new cables. The Construction Costs Estimate assumes that such ducts are in place and available for use to pull in new cables using the same equipment and effort as newly installed ducts. City of Bremerton 6th&'Paciflc Underground Conversion #10J035243 Page 5 Schedule 1. There will be a total of three (3) PSE crew mobilizations as follows: i) one mobilization for partial removal of overhead system; ii) one mobilization for of an underground line crew for , installation of underground conductors and equipment; and iii) one mobilization of an overhead line crew for completion of removal of the existing overhead facilities. Once mobilized PSE crews will have continuous productive work until all PSE Construction Work is complete. 2. All PSE Construction Work will be performed during regular working hours from 7:00 a.m. to 5 :00 p.m. excluding holidays. In the event that lane closures are necessary for performance of work, PSE shall be limited to working between the hours of7:00 a.m. to 5:00 p.m. 3 . Work requiring scheduled interruption of electric service (cut -overs and transfers) will be performed during the working hours specified in Schedule Assumption #2 above, and will be scheduled with at least two (2) business days notice. PSE will notify customers of scheduled service interruptions. Additional Considerations Service Lines Service lines within the ,Conversion Area must be replaced or modified to provide underground service from the Underground Distribution System as described in the attached Service Lines Replacement & Modification Requirements List. PSE Tariff Schedule 85 will apply to performance of this work. Cut-overs and Transfers PSE customers within the Conversion Area will experience interruption of electric service during performance of the Construction Work when transferring system and customer loads from the overhead distribution system to the Underground Distribution System. PSE will notify customers at least two (2) business days in advance of expected service interruptions. Customers may request that cut-over and transfer work affecting their service be performed outside the regular working hours listed above subject to the customer's written agreement to reimburse PSE for the additional cost (at overtime rates) to perform such work outside the regular working hours. New Service Connection of new or increased load for City facilities (such as new traffic signals) under terms of PSE Tariff Schedule 85 will be addressed on a separate work order and work sketch. Additional costs may apply and will be quoted separately. City of Bremerton 6tb~:radi~c Underground Conversion #1,01035243 Page 6 PSE Desil!n & Construction Standards This Conversion Project has been designed and will be constructed in accordance with PSE design and construction standards in effect as of the date of this Project Plan. PSE standards applicable to Construction Work to be performed by the City have been provided to the City in PSE's "Electric Distribution Trench/Duct/Vault Construction Standards, 2005". All relevant PSE standard described above are attached to this Project Plan by this reference. Temporary Support (Holdinl!) of PSE Poles Whenever any pole(s) are required to be temporarily supported due to excavation in proximity to such poles, the City will coordinate with PSE to provide such support. The need to temporarily support such poles shall be determined by PSE, and if required, such support shall be provided by PSE. As used herein,-'''temporary support" means supporting one or more poles fora continuous working period of ten hours or less. '. Acceptance of Proiect Plan The City and PSE mutually agree to and accept this Project Planas of the date indicated below: For the City: For PSE: By: By: Its: Its: Date: Date: City of Bremerton 6~'c\};Pacifi~ Underground Conversion #101035243 Page 7 PUGET SOUND ENERGY Date: 10/26/2006 Project Title: Bremerton, 6th and Pacific Conversion Project Description: Convert the overhead distribution system to underground two spans In the alley between 6th and 5th Street and a pole on 6th St. Rate Schedule: 74 Project Manager / Phone #: Dana Marie Smith 253-606-0423 Project Engineer / Phone #: Eric Dodgen 253-606-0716 Municipal Liaison Mgr / Phone #: Linda Streissguth 360-934-6618 Project #: 101035243 Revision #: Revision Date: Construction Costs Statement SUmmary 1 100% Government Entity Reimbursable Costs Prior Total 100% GE Private Gov Req Temporary Conv/Reloc Reimbursable 100% PSE Construction Shared Costs 2 Conversion Upgrade Services Within 5 Years Costs Costs Costs Totals3 Company Labor $ - $ - $ - $ - $ - $ - $ - $ - Materials $ 36,860 $ - $ - $ - $ - $ - $ - $ 36,860 Equipment $ - $ - $ - $ - $ - $ - $ - $ - Inspection $ - $ - $ - $ - $ - $ - $ - $ - Service Provider Outside Services $ 31,913 $ - $ - $ - $ - $ - $ - $ 31,913 Operating Rights $ - $ - $ - $ - $ - $ - $ - $ - Overhead $ 10,261 $ - $ - $ - $ - $ - $ - $ 10,261 Government Entity Labor $ - $ - $ - $ - $ - $ - $ - $ - ODeratina Riahts $ - $ - $ - $ - $ - $ - $ - $ - Total- Construction 3 $ 79,034 $ - $ - $ - $ - $ - $ - $ 79,034 Change Orders Total - Change Orders 3 $ - $ - $ - $ - $ - $ - $ - $ - Construction Costs Totals 3 $ 79,034 $ - $ - $ - $ - $ - $ - $ 79,034 $ - $ $ 47,420 31,614 $ ~: 1 Statement prepared in accordance with Section 7 of Schedule 74 Construction Agreement 2 Shared Costs are allocated 40% to the Government Entity and 60% to the Company 3 Total Costs excludes Government Entity costs of trenching, restoration, and surveying Construction Statement Printed 10/30/2006 2:22 PM DATE SUBMITTED: November 1, 2006 ::r}em '*' 06 - 253 P<<lled roA AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Authorization to spend funds in a different category from what was initially approved in the 2006 budget. Committee Meeting Date: November 8, 06 COUNCIL MEETING Date: Novmeber 1 , 2006 Department: Parks and ecreation Presenter: Phone: SUMMARY: Parks is requesting the ability to spend funds from a different initially approved. During the recruitment and selection process for the Par evelopment Planner position, the most qualified candidate opted to remain at his current posit" n after being offered the job. Of the remaining candidates, none had the requisite mix of both 10 g range planning skills needed to undertake the 2006 park plan update; and the experience to perfo the site design, bidding, grant and construction management skills required of the postion. The ti eframe for the plan update (June 2007) does not allow for training of someone within the existin candidate pool or provide enough time to readvertise the position to recruit new applicants. Par staff recommend using the salary and benefits funding for the Park Planner to obtain contracted se ices needed to carry out the workload of the position until such time as the as the job can be perem ently filled with a qualified individual. The contracted services option also gives the City abilit to draw upon the resources of a local business that have completed park plan updates for Ki ap County and other public jurisdictions. ATTACHMENTS: CONSENT AGENDA 0 FISCAL IMPACTS (Include Budgeted Amou APPROVALS: / r)./ DEPARTMENT DIRECTOR: ,~/Vl (C (,l~;/L CITY ATTORNEY: <;;1:; ..._-~'-- FINANCE DIRECTOR: MAYOR: FISCAL/BUDGET: OPERA nONS: COUNCIL PRESIDENT: RECOMMENDED MO ON: Move to approve an amendment to the 2006 budget reclassifying expenditures in the Park and Recreation personnel expenditure category in the amount of $ 6,123.67 to supplies and servic in order to facilitate the timely development of the park plan and complete other park planning functions. COUNCIL ACTION: 0 Approve 0 Deny 0 Table o Continue 0 No Action DA TE SUBMITTED: October 26, 2006 BILL # O&, -::<. 54 AGENDA BILL CITY OF BREMERTON CITY COUNCIL ~B ........................................................................................ SUBJECT: Real Estate Purchase and Sale Agreement with Roberto Victoria Committee Meeting Date: November 8, 2006 COUNCIL MEETING Date: November 15, 2006 Department: Public Works & Utilities Presenter: Phil Williams Phone: 473-5315 SUMMARY: Roberto Victoria owns the property located at 102 and 108 Oyster Bay A venue, which is adjacent to the Oyster Bay Complex. The home at 102 Oyster Bay Avenue was destroyed by fire in September. Staff proposes purchasing the property for expansion of the Public Works and Utilities facility. A commercial realtor was asked to provide an estimate of value for the property if the structures were removed. That estimate is attached. The owner has agreed to sell these parcels to the City for the estimated value of $140,000. ATTACHMENTS: 1. Proposed Real Estate Purchase and Sale Agreement 2. Aerial Photo Exhibit 3. Estimate of Value FISCAL IMP ACTS (Include Budgeted Amount): The total purchase price for the property is $140,000. The funds to purchase the property will come from the ending balance in the Water Fund. The final balance of the Water Fund will be above the targeted level indicated in the Financial Policy. A budget adjustment is required. APPROV ALS: DEPARTMENT DIRECTOR: (, CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: /) I CONSENT AGENDA D I ci~::~'/t~~ ~.~~t:I~ I RECOMMENDED MOTION: Move to approve the Real Estate Purchase and Sale Agreement with Roberto Victoria and authorize the Mayor to finalize and execute the agreement with substantially the same terms and conditions as presented and further authorize the Mayor to finalize and execute any and all documents necessary to close the transaction, and adjust the 2006 Budget to reflect the property purchase. ..,' COUNCIL ACTION: 0 Approve 0 Deny 0 Table ab, Agenda Bills 2006, Purchase and Sale Agreement Oyster Bay Ave o Continue 0 No Action REAL ESTATE PURCHASE AND SALE AGREEMENT WITH EARNEST MONEY PROVISION This agreement controls the terms ofthe sale of real property. This Agreement is entered between the CITY OF BREMERTON, a Washington municipal corporation ("Buyer"), and Roberto Victoria, a single man ("Seller"), for the sale and purchase of real property as follows: 1. PROPERTY. The property, including all improvements and appurtenances situated thereon, which Buyer agrees to buy and Seller agrees to sell, is commonly known to be located at 102 Oyster Bay A venue and 108 Oyster Bay Avenue, Bremerton, Washington (the "Property"), and which Property is legally described in Exhibit A, attached hereto and incorporated herein by this reference. A map indicating the location of the Property is also attached as Exhibit B, incorporated herein by this reference. 2. EARNEST MONEY. Received from Buyer, Five Thousand and Noll 00 Dollars ($5,000.00) in the form of a promissory note, as earnest money and part payment on the purchase price for the Property. 3. PURCHASE PRICE. The total purchase price for the Property is One Hundred Forty Thousand and Noll 00 Dollars ($140,000.00), including earnest money, payable on closing. 4. CONTINGENCIES. This agreement is contingent upon: (a) Acceptance of its terms by the Bremerton City Council. (b) Prior to closing the Seller shall remove all vehicles, junk or otherwise, that are on the property. (c) Prior to closing, the Seller shall remove any tenants currently using the property in accordance with local, state and federal law. (d) Buyers review and approval of the title report on the property prior to Closing. (e) Buyer's review and approval of Seller's information contained in the Real Property Transfer Disclosure Statement as set forth in Exhibit C. (f) A Feasibility Study as follows: (1) Buyer shall have six (3) months from the date of mutual acceptance of this Agreement to determine, in Buyer's sole and absolute discretion, if the Real Property is feasible for investment and/or development by Buyer. (2) Buyer's feasibility study may include (but is not limited to) a Phase I and/or Phase II environmental assessment, utilities availability and capacity, access availability, zoning, preliminary architectural and engineering studies, marketing feasibility. (3) A Phase I environmental assessment generally will consist of a review of title of ownership and land use, review of geologic and REAL ESTATE PURCHASE AND SALE AGREEMENT Page 1 of 5 hydrologic maps of the area, review of federal and state databases for known hazardous water generators or contaminated sites and a site visit. If the Phase I review reveals the potential of a contaminated site, a Phase II environmental assessment may be conducted which generally will consist of on-site sampling, including the digging or boring of test holes for soil samples. By executing this agreement, Seller hereby authorizes Buyer a right of entry on to the property for the purpose of conducting this feasibility study including a Phase !, and ifnecessary, a Phase II environmental assessment. Seller will be notified if a Phase II environmental assessment is to be conducted. (4) Buyer agrees to conduct its feasibility study at its sole cost and expense; and if Buyer does not remove the feasibility contingency on or before the expiration of the feasibility period, then Buyer also agrees, if requested by Seller, to deliver to Seller copies of all information and documentation obtained by Buyer in connection with its feasibility study. (5) If Buyer fails to notify Seller of its approval of the Real Property, in writing, on or before the expiration of the feasibility period, then this Agreement shall be terminated, and neither Buyer nor Seller shall have any further rights, duties or obligations hereunder, except that the Earnest Money held in Accountable Escrow, by Buyer to Seller shall be immediately returned to Buyer. Buyer agrees to return the Real Property to its original state (i.e., fill all boring holes, etc.). Should any of these contingencies not be met prior to closing, then this Agreement shall terminate except neither Buyer nor Seller shall have any further rights, duties or obligations hereunder, except that the Earnest Money held in escrow shall be immediately returned to Buyer or as set forth in this agreement. 5. CONVEYANCE AND CONDITION OF TITLE. The title to the real property shall be conveyed by Seller to Buyer at closing by Statutory Warranty Deed, free and clear of all liens, encumbrances or defects except those described in Paragraph 6 below. 6. TITLE INSURANCE. At Closing, Seller shall cause LandAmerica Transnation Title Insurance Company, whose address and telephone number is 9619 Levin Road NW, Silverdale, W A 98383, (360) 692-4556, to issue a standard form owner's policy of title insurance to Buyer in an amount equal to the total purchase price of the Property. The cost ofthis policy shall be paid from Seller's funds at Closing. For purposes of this Agreement, the following shall not be deemed encumbrances or defects: rights reserved and federal patents or state deeds; building or use restrictions consistent with current zoning, and utility and road easements of record. Iftitle cannot be made so insurable prior to the Closing date called for herein, unless, Buyer elects to waive such defects or encumbrances, this agreement shall terminate. 7. CLOSING COSTS AND PRO-RATIONS. The cost of escrow shall be shared equally between Buyer and Seller, except those fees which are expressly limited by Federal Regulation. Seller shall pay for excise tax and revenue stamps. Taxes for the current year, rents, REAL EST A TE PURCHASE AND SALE AGREEMENT Page 2 of 5 interest, Association, Condominium and/or Homeowner's fees, water and other utility charges, if any, shall be pro-rated as of date of closing unless otherwise agreed. 8. CLOSING OF THE SALE. With the understanding that time is of the essencefor this agreement, this sale shall be closed by January 15,2007, or earlier by mutual agreement, which shall also be the termination date of this agreement unless said closing date is extended in writing by mutual agreement ofthe parties. When notified, the Buyer and Seller will deposit, without delay, in escrow with LandAmerica Transnation Title Insurance Company, all instruments and monies required to complete the transaction in accordance with this agreement. Closing, for the purpose of this agreement, is defined as the date that all documents are executed and the sale proceeds are available for disbursement to the Seller. 9. POSSESSION. Buyer shall be entitled to possession on closing. 10. SELLER'S REPRESENTATIONS. Seller represents that: (a) Seller will maintain the property in present or better condition until time of agreed possession, (b) Seller has no knowledge or notice fromo any governmental agency of any violation of laws relating to the subject property except: (c) the property is not encumbered by any leases. 11. SELLER'S ENVIRONMENTAL REPRESENT A TIONS. Seller represents that to the best of his /her knowledge that he/she is not aware of existence of, or has caused or allowed to be caused~ any environment condition (including, without limitation, a spill, discharge or contamination) that existed as of and/or prior to the closing date or any act of omission occurring prior to the closing date, the' result of which may require remedial action pursuant to any federal, state or local law or may be the basis for the assertion of any third party claims, including claims of governmental entities except: This provision shall survive the closing and be in addition to Seller's obligation for breach of a representation or warranty as may be set forth herein. 12. SELLER'S INDEMNITIES: Seller agrees to indemnify and hold harmless the Buyer, against and in respect of, any and all damages, claims, losses, liabilities, judgments, demands, fees, obligations, assessments, and expenses and costs, including, without limitation, reasonable legal, accounting, consulting, engineering and other expenses which may be imposed upon or incurred by Buyer, or asserted against Buyer, by any other party or parties (including, without limitation, a governmental entity), arising out of or in connection with any environmental condition existing as of and/or prior to the closing date, including the exposure of any person to any such environmental condition, regardless of whether such environmental condition or exposure resulted from activities of Seller or Seller's predecessors in interest. This indemnity shall survive the closing and be in addition to Seller's obligation for breach of a representation or warranty as may be set forth herein. REAL EST A TE PURCHASE AND SALE AGREEMENT Page 3 of 5 13. DEFAULT AND ATTORNEY'S FEES. (a) Buyer's Default. If Buyer defaults hereunder, Seller's sole remedy shall be limited to damages against Buyer in the liquidated amount of the earnest money previously paid the Buyer. Buyer and Seller intend that said amount constitutes liquidated damages so as to avoid other costs and expenses to either party in connection with potential litigation on account of Buyers' default. Buyer and Seller believe said amount to be a fair estimate of actual damages. (b) Seller's Default. If Seller defaults hereunder, Buyer shall have all the rights and remedies available at law or in equity. (c) Attorney's Fees and Costs. In the event oflitigation to enforce any of the terms or provisions herein, each party shall pay all its own costs and attorney's fees. 14. NOTICE TO SELLER. This form contains provisions for an agreement for the purchase and sale of real estate. Buyer makes no warranty or representation of any kind that this form, or any of its provisions, is intended to meet the factual and legal requirements of a particular transaction, or that it accurately reflects that laws of the State of Washington at the time you enter the agreement. This agreement has significant legal and financial consequences. By signing this agreement, Seller. acknowledges that Seller has or has had the opportunity to consult with an attorney regarding Sellers rights and obligations in this agreement. 15. BROKERS FEES/COMMISSIONS. Seller agrees to indemnify, defend and hold harmless Buyer with respect to any claim by any person or entity claiming through Seller to be entitled to a commission with respect to the transaction contemplated by this agreement. 16. NON-MERGER. The terms, conditions, and provisions of this Agreement shall not be deemed merged into the deed, and shall survive the Closing and continue in full force and effect. 17. NOTICES. All notices required or permitted to be given hereunder shall be in writing and shall be sent u.S. certified mail, return receipt requested, or by facsimile transmission addressed as set forth below: (a) All notices to be given to Buyer shall be addressed as follows: Mayor City of Bremerton 345 6th Street, Suite 600 Bremerton, Washington 98337-1873 (b) All notices to be given to Seller shall be addressed as follows: Either party hereto may, by written notice to the other, designate such other address for the giving of notices as being necessary. All notices shall be deemed given on the day such notice is REAL EST A TE PURCHASE AND SALE AGREEMENT Page 4 of5 personally served, or on the date of the facsimile transmission, or on the third day following the day such notice is mailed in accordance with this paragraph. 18. ENTIRE AGREEMENT. This agreement, including all incorporated exhibits, constitutes the full understanding between seller and buyer. There have been no verbal or other agreements that modify this agreement. 19. BINDING EFFECT AND SURVIVAL. This Agreement shall be binding upon parties hereto and their respective heirs, successors and assigns; and the terms, conditions and provisions of this Agreement shall survive the closing of this transaction. 20. DATE OF MUTUAL ACCEPTANCE. For the purposes of this Agreement, the date of mutual acceptance of this Agreement shall be the last date on which the parties to this Agreement have executed this Agreement as indicated below. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date set forth below. BUYER: SELLER: THE CITY OF BREMERTON ROBERTO VICTORIA By: Cary Bozeman, Mayor Dated: Dated: APPROVED AS TO FORM: By: Roger A. Lubovich, City Attorney R:\Legal\Legal\Contracts\PUBLIC WORKS\PSA - Olympus Property. doc REAL EST A TE PURCHASE AND SALE AGREEMENT Page 5 of 5 Kitsap County Assessor's Tax Description Page 1 of I Tax Description Tax Account No. ftS02-00l-001-0002 Process No. 111671387 Situs Address 11102 OYSTER BAY AVE S BREMERTON HEIGHTS PARCEL I: THAT PORTION OF LOTS 1 AND 2, BLOCK 1, BREMERTON HEIGHTS, ACCORDING TO THE PLAT RECORDED IN VOLUME 3 OF PLATS, PAGE 41, RECORDS OF KITSAP COUNTY, WASHINGTON, DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWEST CORNER OF SAID LOT 1; THENCE EAST ALONG THE NORTH LINE THEREOF 90 FEET; THENCE SOUTH 112 FEET; THENCE WEST 90 FEET; THENCE NORTH 112 FEET TO THE POINT OF BEGINNING. EXCEPT THAT CERTAIN TRIANGLE IN THE SOUTHEAST CORNER THEREOF, BEING 4 FEET MEASURED ALONG THE SOUTH BOUNDARY AND 4 FEET MEASURED ALONG THE EAST BOUNDARY; TOGETHER WITH THAT PORTION OF VACATED 1ST STREET ADJOINING BY ORDINANCE NO. 4340, CITY OF BREMERTON, DATED SEPTEMBER 9,1991 WHICH ATTACHED BY OPERATION OF LAW; EXCEPT THE NORTH 15 FEET OF SAID VACATED PORTION CONVEYED TO THE CITY BY DEE,D RECORDED UNDER AUDITOR'S FILE NO. 9109200116. PARCEL II: AN EASEMENT FOR ACCESS PURPOSES 15 FEET IN WIDTH OVER A PORTION OF VACATED 1ST STREET ABUTTING A PORTION OF LOTS 1 AND 2, BLOCK 1, BREMERTON HEIGHTS, ACCORDING TO THE PLAT RECORDED IN VOLUME 3 OF PLATS, PAGE 41, RECORDS OF KITSAP COUNTY, WASHINGTON, SAID EASEMENT BEING ESTABLISHED BY DOCUMENT FILED UNDER AUDITOR'S FILENO. 9109200116. close this window EXHIBIT A http://kcwppub2.co.kitsap.wa.us/pls/ilisw/online _lis_info -pkg.tax_ desc?p _ in rp acet id... 10120/2006 K..Itsap County Assessor's Tax Description Page I of I Tax Description Tax Account No. ~502-001-002-0001 Process No. 111671429 Situs Address 11108 OYSTER BAY AVE S -..... BREMERTON HEIGHTS THAT PORTION OF LOT 2, BLOCK 1, BREMERTON HEIGHTS, ACCORDING TO THE PLAT THEREOF, RECORDED IN VOLUME 3 OF PLATS, PAGE 41, RECORDS OF KITSAP COUNTY, DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHEAST CORNER OF SAID LOT 2; THENCE SOUTH 112 FEET ALONG THE EAST LINE OF SAID LOT 2; THENCE WEST 48.25 FEET, MORE OR LESS; THENCE NORTH 112 FEET, PARALLEL WITH THE WEST LINE OF LOT 1, BLOCK 1, BREMERTON HEIGHTS; THENCE EAST 48 FEET, MORE OR LESS, TO THE POINT OF BEGINNING. THIS TRACT SHALL ALSO INCLUDE A SMALL TRIANGLE ADJOINING THE SOUTHWEST CORNER OF THE ABOVE TRACT IN LOT 2, BEGINNING AT A POINT 4 FEET NORTH FROM THE SOUTHWEST CORNER; THENCE SOUTH 4 FEET; THENCE WEST 4 FEET, PARALLEL WITH THE NORTH LINE OF LOT 2; THENCE NORTHEASTERLY TO THE POINT OF BEGINNING; ALSO THAT PORTION OF LOT 3, BLOCK~, BREMERTON HEIGHTS, ACCORDING TO THE PLAT THEREOF, RECORDED IN VOLUME 3 OF PLATS PAGE 41, RECORDS OF KITSAP COUNTY, DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWEST CORNER OF SAID LOT 3; THENCE SOUTH 112 FEET ALONG THE WEST LINEOF SAID LOT 3; THENCE EAST 5 FEET, PARALLEL WITH THE NORTH LINE OF SAID LOT 3; THENCE NORTH 112 FEET, PARALLEL WITH THE WEST LINE OF SAID LOT 3; THENCE WEST 5 FEET ALONG THE NORTH LINE OF SAID LOT 3 TO THE POINT OF BEGINNING; TOGETHER WITH THAT PORTION OF VACATED 1ST STREET ADJOINING BY ORDINANCE NO. 4340, CITY OF BREMERTON, DATED SEPTEMBER 9, 1991 WHICH A TT ACHED BY OPERATION OF LAW; EXCEPT THE NORTH 15 FEET OF SAID VACATED PORTION CONVEYED TO THE CITY OF BREMERTON, BY DEED RECORDED UNDER AUDITOR'S FILE NO. 9109200117; SITUATE IN THE CITY OF BREMERTON, KITSAP COUNTY, WASHINGTON. dose this window EXHIBIT A http://kcwppub2.co.kitsap. wa.us/pls/ilisw/online _lis_info Jlkg.tax _ desc?p _in _ rp acct id... 10/20/2006 Print Parcel Search Map Page I of 1 Kitsap County Parcel Search Legend Parcel. Ro.d Nameli :z: MiIiQry ~ a:: l!! 1'1) ~ ~ [I021~J ~4~ II) ~ .4:: ^ ~ (J) ~ 4502-001-001-0002 COPYright @ Kitsao County 2006 DISCLAIMER: This map is intended for display purposes only and is not intended for any legal representations. [Click here to Print] EXHffiIT B http://kcwppub3.co.kitsap.wa.us/website/parcelsearch/presentation/chameleonIPRlNT.AS '" 1 0/20/2006 , . '- ~-----~-- '<-~"--,.-. -~--.,.' .~. ~'.' ~~~""" ':~'.':\-~.'.~.-I-'.. ~\..',':~"-",-".~' '1 . ~ " . y. ~ \1,,"/,.\. .. . \ \.. ~ . '.' " ..' ,.. .c..'!:; \1:;'\ * . ,~" . . . 'I- , " ' - . ~ - -"'~~t-., ~ ---- - ~ I EXHIBIT FOR PROPERTY PURCHASE OYSTER BA Y A VENUE SEC 22, T24N, R1E, WM CITY OF BREMER TON 10-23-06 - GF September 8, 2006 Phil Williams Public Works Dept. City of Bremerton Re: Market Evaluation of Lots South of Oyster Bay Maint. Facility Phil, I checked the two parcels south of the Maintenance Facility, at 102 and 108 Oyster Bay Avenue S. I am familiar with the parcels as I evaluated and listed them for sale for a previous owner several years ago. As you mentioned, the larger structure at 102 is a burned out house and will contribute a negative value to the Land. The smaller house at 108 will have some value as a residence unless there are real problems with habitability, such as mold, dryrot or some safety consideration~ My value breakdoWn follows. 102 Oyster Bay Ave. This parcel only has market value as land since the fire. The amount of trash that has accumulated over. the years and the fire debris actually decreases the value as vacant land. lithe lot was vacantitwouldbe worth $55,000 to $60,000. You know what it costs to bury all that debris ina landfilL The value today, as it exists, is approximately $45,000. 1080ysterBayAve. This is the smaller parcel at approximately 6,500 square feet. The house is slightly over 800 sf, and does have value as a residence. Because of its age and the deferred maintenance, the market value today is approximately $95,000. lfthe structure was removed, the land (IP) would be worth approximately $35,000. Summary. Ifthese two lots "as is" could be purchased together, the fair market value would be $140,000. Patrick L. Boyle, CCIM AGENDA BILL CITY OF BREMERTON CITY COUNCIL /"-1. __ ') ,'-;> 1/ BILL # UI(J ,.3. ') y-. , DATE SUBMITTED: October 11,2006 7A ............~i1~.~~~i;t~............................................................, SUBJECT: Public Hearing on Lease Committee Meeting Date: October 25, 2006 Agreement with Claremont Retirement COUNCIL MEETING Date: Nov..J...aH8 15, 2006 Apartments Department: Parks & Rec/PW &U Presenter: W. BirkenthallP. Williams Phone: 473-5752/473-5755 SUMMARY: Claremont East has used 1,000 square feet of City right-of-way and 3,700 of paved park property, located north of the Sheridan Community Center on the south side of juniper Street for employee parking since 1995. Claremont's owners have requested a formalization of this parking use arrangement. On September 26, 2006, the Parks Board made a recommendation to Council for the City to enter into a lease for the purposes of allowing Claremont,East continued use of the park property. The Public Works Department has agreed to issue a permit to cover the 1,000 square feet of Juniper Street right-of-way. In consideration for the parking use, Claremont East will pay the city an annual fee of$5,076 and provide a one million dollar liability insurance policy for the parking area naming the City as an additional insured. The annual fee is based on the assessed value ofthe property and is adjusted annually for inflation for the duration of the 10 year agreement. ATTACHMENTS: \) fo..\^K ! ~ec..rec~...\'\oV\ (AW\Yv\\SS\oy\ M~V\lA+e..s of ''t/2ro/OfD ;l.) l~se.. ft~r-e.e.W\e.V\..T FISCAL IMPACTS (Include Budgeted Amount): Approximately $5,076 annual revenue. -_..-=---"~ FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: ,,~::,:.,:,','<~ '., /{,,:t ('?-=,', ,/ Lt,' / ('!>>.: . e~ {~ rt""-i'1l.- '1'1.-1 7~ RECOMMENDED MOTION: Move to approve the Lease Agreement between the City and Claremont East Retirement Apartments, Inc., for the City right-of-way and park property located north of Sheridan Community Center and authorize the Mayor to finalize and enter into the agreement in substantially the same form as presented. :+1 \ \\ /Islo ro: Move -to Covrnhtte., Je(;bend-\Of1..5 OAIICL aC1\Oh DVl '1tt1~~~~'1(ZOO", COUNCIL ACTION: 0 Approve 0 Deny 0 Table 0 Continue 0 No Action I CONSENT AGENDA 0 I BREMERTON PARKS & RECREATION DEPARTMENT PARKS & RECREATION COMMISSION MEETING Minutes of September 26, 2006 Sheridan Community Center, 680 Lebo Blvd., Bremerton, W A 98310 Attendance: Absent: Staff: Council: Joan Dingfield, Doug Groneman, Carol Johnson and Matthew Keough Wanda Butler and Steve Corda* Wyn Birkenthal, Tom Cressman, Jeff Elevado and Barbara Forbes Dianne Robinson I. Meeting Called to Order by Chairman Doug Groneman@ 5:40 p.m. * Mr. Corda had submitted his resignation bye-mail this afternoon to the Commission Chairman and to the Parks and Recreation Department. II. Approval of Agenda: M/S/C/U Addition (Dingfield/Johnson) III. Items from Audience: a. Bonnie McIntosh had recently contacted the department regarding two issues: (1) maintenance of the dog park at Pendergast Park (lack of bags, uncut grass, and regular trash pick-up); and (2) the annual dog swim event at the Jarstad Aquatic Center. Mr. Birkenthal announced that maintenance will be provided at the dog park on a regular basis. Although last year's Doggy Dip event was held prior to the pool's annual maintenance; the department received a number of complaints regarding dogs in a public pool. The department canceled the event for 2006. b. The West Sound Disc Golf Association (WSDGA) reported that they are a non-profit organization interested in promoting the sport of disc golf to the community. They feel that the course has attracted a large number of players from outside Kitsap County. Since the WSDGA is not involved in decisions regarding the land (N.A.D.), the Association reported that they will not accept responsibility for the course, maintenance or its use unless they rent the space for specific events. The Association has recently been asked by the City to carry liability insurance; which they are unable to afford at this time. The Association wondered why they are being asked to provide insurance when other user groups are not (e.g. skate boarders, basketball players). How does the City expect the Association to" be responsible for safe tee pads, but won't allow them to provide safer pads with concrete material? The City initially chose the basault tee pads to fitin with the pristine park environment. Mr. Birkenthal reported that Washington State has some protection under the Recreational Immunity Act. Once a person is charged for an activity, there is a higher level of liability on the part of the property owner. The Association also commented that they do not support the land swap between the City and the Bremerton School District, but they will abide with whatever the City decides for the park. If the land swap is approved by City Council, they ask that the City pay for the landscaping for a new course as they will not be able to duplicate the volunteer man hours provided at N.A.D. IV. Approval of Minutes - August 22, 2006 - M/S/C/U (KeoughIDingfield) V. New Business: 1. Review and Discussion of City Code Regulating Dogs in Park. The City had received complaints from citizens who had attended the Blackberry Festival held earlier in the month at the Boardwalk. These citizens wondered if it was appropriate to allow dogs on the Boardwalk during the event (e.g. safety of the public and animal, defecation from the animals on the sidewalk). After some discussion, it was suggested that the department post signs prior to next year's event prohibiting animals rather than consider an amendment to the current ordinaftce. 2. Claremont East Parking Strip (Ed Wolfe, Attorney Representing Claremont East Retirement Apartments, Inc.). Claremont East believed they had an agreement with the City to use the parking strip (behind the Sheridan Center along Juniper Street) for the LEASE AGREEMENT (Claremont East) This Lease is entered into on the date fully executed below by and between THE CITY OF BREMERTON, a municipal corporation of the State of Washington, (hereinafter referred to as "Lessor" or "City"), and CLAREMONT EAST RETIREMENT APARTMENTS, INC., a Washington non-profit corporation, (hereinafter referred to as "Lessee"). RECITALS WHEREAS, the City now owns certain land and public Right-of-Way which Lessee has improved and been using for parking for its business; and WHEREAS, it is the parties' desire to enter into a ten (10) year lease in conjunction with the City issuing a Right-of-Way permit for use of this property to allow Lessee to continue to carry on its business, NOW, THEREFORE, the City and Lessee agree as follows: 1. PROPERTY. (a) Property Defined. The City leases to Lessee and Lessee leases from the City the real property described in Exhibit A, attached hereto and incorporated herein by this reference, together with all the rights of the City, if any, to improvements on and easements benefiting the property but subject to the exceptions and restrictions set forth in this Lease (hereinafter the "Property"). This Lease is granted in conjunction with the Right-of-Way permit i~sued by the Lessee as set forth in Exhibit B, attached hereto and incorporated herein by this reference. A site plan designating the lease area and the right-of-way permit area is attached as Exhibit C and incorporated herein by this reference. (b) Survey, Maps, and Plans. Lessee is not relying upon and the City is not making any representations about any survey, plat, diagram, and/or legal description provided by the City. (c) Inspection. The City makes no representation regarding the condition of the Property, or the improvements located on the Property. 2. USE. (a) Permitted Use. Lessee shall have the right to maintain and use the Property for parking for its business and for no other business or purpose, without the prior written consent of the City. The Property shall not be used for illegal purposes. It is agreed that this Lease shall not be construed as the City's waiver of land use or building code provisions that would otherwise apply to any improvements or uses of the site, (b) Restrictions on Use. Lessee shall not cause or permit any damage to natural resources on or adjacent to the Property. Lessee shall also not cause or permit any filling activity to occur on the Property without required permits. This requirement may pertain to Claremont East Lease moving deposits of rock, earth, ballast, refuse, garbage, waste matter (including chemical, biological or hazardous substances, or toxic wastes), hydrocarbons, any other pollutants, or other matter in or on the Property, except as is permitted herein and performed in the ordinary course of the business of Lessee's use and except as otherwise approved in writing by the City. If Lessee fails to comply with all or any of the restrictions on the use of the Property set out in this Subsection 2(b), the City shall notify Lessee and provide Lessee a reasonable deadline to take all steps necessary to remedy the failure. If Lessee fails to do so in a timely manner, then the City may take any steps reasonably necessary as determined by the City, to remedy this failure. Upon demand by the City, Lessee shall pay all costs of such remedial action, including but not limited to the costs of removing and disposing of any material deposited improperly on the Property. This section shall not in any way limit Lessee's liability under Section 8, below. The covenants contained in Section 2(b) shall survive expiration or termination of this Lease. (c) Conformance with Laws. Lessee shall, at all times, keep current and comply with all conditions and terms of any permits, licenses, certificates, regulations, ordinances, statutes, and other government rules and regulations regarding its use or occupancy of the Property. (d) Liens and Encumbrances. Lessee shall keep the Property free and clear of any liens and encumbrances arising out of or relating to its use or occupancy of the Property. 3. TERM. (a) Term Defined. The term of this Lease is ten (10) years (the "Term"), beginning on the _st day of , 2006 (the "Commencement Date"), and ending on the _th day of _, 2016 (the "Termination Date"), unless terminated sooner under the terms of this Lease. The Lease term in consistent with the term of the Right-of-Way permit set forth in Exhibit B. If there is a conflict in the dates of the term of this Lease and the Right-of-Way permit, the dates of the term of the Right-of-Way permit shall prevail and shall serve as the dates of lease term of this Lease. (b) Lease Extension. The parties hereto may extend this agreement upon terms mutually agreeable. There is no option to extend granted herein. (c) End of Term. Upon the expiration or termination of the Term, as applicable, Lessee shall surrender the Property to the City in the same or better condition as existed on the Commencement Date, reasonable wear and tear excepted. (d) Hold Over. If Lessee remains in possession of the Property after the Termination Date, the occupancy shall not constitute an extension or renewal of the Term. The occupancy shall be a month-to-month tenancy, on terms identical to the terms of this Lease, which may be terminated by either party on thirty (30) days written notice. The monthly rent during the holdover shall be the same rent which would be due if the Lease were still in effect and all adjustments in rent were made in accordance with its terms. If the City provides a notice to vacate the Property in anticipation of the termination of this Lease or at any time after the Termination Date and Lessee fails to do so within the time set forth in the notice, then Lessee shall be a trespasser and shall owe the City all amounts due under applicable law. 2 Claremont East Lease 4. LEASE PAYMENT. (a) Monthly Payment. During the term of this Lease, Lessee agrees to pay Lessor, without notice or demand, the sum of four hundred twenty dollars ($420.00) per month ("Lease Payment") plus the leasehold tax as set forth in Section 5, in advance, on or before the first day of the first full calendar month of the term hereof and a like sum on or before the first day of each and every successive calendar month thereafter during the term hereof. (b) Consumer Price Index Adjustments. The monthly Lease Payment shall be adjusted every year during the term(s) of this Agreement based upon the prior years' Consumer Price Index (CPI) for all urban consumers as published by the United States Department of Labor for Seattle- Tacoma-Bremerton, all items (1982-84-100). For purposes of the CPI adjustment, the base shall be the June 2006 CPI index June to June every year (i.e. June 2006- June 2007). The CPI adjustment shall occur on the following January 1 st of each year during the term of this Agreement. Lessee shall make this payment to Lessor by the fifteenth day of the month following the end of each month. Lessee may prepay these monthly payments on a quarterly, semi-annual or annual basis or as otherwise approved by the Lessor. (c) Payment Place. Payment is to be made to the City of Bremerton, Attn: Director of Financial Services, 345 Sixth Street, Suite 600 BreIllerton, Washington 98337. 5. OTHER EXPENSES. During the Term, Lessee shall pay the following additional expenses: (a) Leasehold Excise Tax, Other Taxes and Assessments. Lessee shall pay all taxes (including the leasehold excise tax on all lease amounts paid to the City pursuant to RCW 82.29A.030 currently in the amount bf 12.84 percent and as may be adjusted pursuant to Ch. 82.29A RCW), assessments, and all other governmental charges, of any kind whatsoever, applicable or attributable to the Property, Lessee's leasehold interest, the improvements, or Lessee's use and enjoyment of the Property. Lessee shall pay quarterly to the City by the fifteenth day of the month following the end of each quarter, or as otherwise required by the State of Washington, the amount of the leasehold tax owing. Lessee may prepay these quarterly payments on a semi-annual or annual basis or as otherwise approved by the City. 6. LATE PAYMENTS AND OTHER CHARGES. (a) Late Charge. If any rental payment is not received by the City within ten (10) days of the date due, Lessee shall pay to the City a late charge equal to ten percent (10%) of the amount of the Lease to defray the overhead expenses of the City incident to the delay. (b) Overdue Lease Payment. Unpaid installments of the Monthly Lease Payment or other sums due hereunder shall, if not timely paid, be subject to a later charge of Fifty and No/lOO Dollars ($50.00) to cover the excess costs of administration and shall bear interest from the date due of twelve percent (12%) until all rent and interest has been paid in full. Lessee hereby further agrees to pay any attorneys' fees and expenses incurred by Lessor by reason of Lessee's failure to pay Monthly Lease Payment or other charges when due hereunder. (c) No Counterclaim, Setoff, or Abatement of Lease Payment. Except as expressly set forth elsewhere in this Lease, Lease Payments and all other sums payable by Lessee 3 Claremont East Lease pursuant to this Lease shall be paid without the requirement that the City provide prior notice or demand, and shall not be subject to any counterclaim, setoff, deduction, defense or abatement. 7. IMPROVEMENTS. (a) Lessee-Owned Improvements. So long as this Lease remains in effect, Lessee shall retain ownership of all Existing Improvements and all authorized improvements it may place on the Property (collectively "Lessee-Owned Improvements"). Lessee-Owned Improvements shall not include any construction, reconstruction, alteration, or addition to the Property by the City (City-Owned Improvements) or any Unauthorized Improvements as defined in Subsection 7(d) below. No Lessee-Owned Improvements shall be placed on the Property without the City's prior written consent. (b) Construction. Prior to Lessee commencing any construction, alteration, replacement, removal or major repair of any improvements (whether City-Owned or Lessee- Owned), Lessee shall submit to the City plans and specifications which describe the proposed activity. Construction shall not commence until the City has approved those plans and specifications in writing and Lessee has obtained a performance and payment bond in an amount equal to 100% of the estimated cost of construction. The performance and payment bond shall be maintained until the costs of construction, including all laborers and material persons, have been paid in full. The City shall have thirty (30) days in which to review the proposed plans and specifications. The plans and specifications shall be deemed approved and the requirement for the City's written consent shall be treated as waived, unless the City notifies Lessee otherwise within the thirty (30) days. Upon completion of construction, Lessee shall promptly provide the City with as-built plans and specifications. The City's consent and approval shall not be required for any routine maintenance or repair of improvements made by the Lessee pursuant to its obligation to maintain the Property in good order and repair that does not result in the construction, alteration, replacement, removal, or mp.jor repair of any improvements on the Property. The provisions of this section do not obviate any permit requirements that may apply to the proposed activity. (c) Removal. Unless otherwise agreed by the City in writing, Lessee-Owned Improvements shall not be removed by Lessee during the Lease term or upon expiration or termination of this Lease and upon expiration or termination of this Lease, shall become the property of the City without payment by the City. (d) ,Unauthorized Improvements. Improvements made on the Property without the City's prior consent pursuant to Subsection 7(b) or which are not in conformance with the plans submitted to and approved by the City ("Unauthorized Improvements") shall immediately become the property of the City, unless the City elects otherwise. Regardless of ownership of Unauthorized Improvements, the City may, at its option, require Lessee to sever, remove, and dispose of them, charge Lessee rent for the use of them, or both. If Lessee fails to remove an Unauthorized Improvement upon request, the City may remove it and charge Lessee for the cost of removal and disposal. (e) Liens. Lessee shall keep the Property and Lessee's leasehold interest free from any liens arising out of any work performed, materials furnished, or obligations incurred by Lessee. 4 Claremont East Lease 8. HAZARDOUS SUBSTANCES. Lessee shall not generate. release. spill. store. deposit, transport, or dispose of (collectively "Release") any hazardous substances, sewage, petroleum products, hydrocarbons, radioactive substances, medicinal, bacteriological, or disease- producing substances, hazardous materials, toxic substances or any pollutants or substances defined as hazardous or toxic in accordance with applicable federal, state, and local laws and regulations ("Hazardous Substances") in, on or about the Property. Lessee shall indemnify, defend and hold Lessor harmless from any and all claims, liabilities, losses, damages, cleanup costs, response costs, and expenses (including reasonable attorneys' fees) arising out of or in any way related to the Release by Lessee, or any of its agents, representatives, or employees, or the presence of such Hazardous Substances in, on or about the Property occurring at any time after the Commencement Date and arising out of the activities of Lessee, or any of its agents, representatives or employees. The provisions of this paragraph shall survive termination or expiration of this Lease. 9. ASSIGNMENT AND SUBLETTING. (a) City Consent Required. Lessee shall npt sell, convey, mortgage, assign, pledge, sublet, or otherwise transfer or encumber all or any part of Lessee's interest in this Lease or the Property without the City's prior written consent, which may not be unreasonably withheld by the City. Recognizing that the Lease serves property Lessee owns commonly known as Claremont East and is therefore an integral part of its property, Lessor agrees that Lessee or its assigns may assign its interests in the Lease to any subsequent purchaser of its property so that the leasehold interest transfers with ownership of the property. In the event of such consent, each permitted transferee shall assume all obligations under this Lease, including the payment of rent. No assignment, sublet, or transfer shall release, discharge, or otherwise affect the liability of Lessee. (b) Rent Payments Following Assignment. The acceptance by the City of the payment of rent following an assignment or other transfer shall not constitute consent to any assignment or transfer. 10. INDEMNITY. (a) The City shall not be liable for any injury to any person or for any loss of or damage to any property (including property of Lessee) occurring in or about the leased Property and caused by or resulting from any act or omission by Lessee any officer, agent, employee, guest, invitee, or visitor of Lessee; and, during the full term hereof, Lessee agrees and covenants to indemnify, defend, and hold harmless the City and those persons who were, now are, or shall be duly elected or appointed officials or members or employees or agents thereof, against and from any loss, damage, costs, charge, expense, liability, claim, demand, or judgments of whatsoever kind or nature whether to persons or property, to the extent arising on said Property or on any areas adjoining the same, which is under the control or use of Lessee pursuant to this lease and arising out of or in connection with Lessee's use and occupancy of said Property. The foregoing provision shall not be construed to make Lessee responsible for injuries 5 Claremont East Lease to third parties caused by the negligence of Lessor or any officer, agent, employee, guest, invitee or visitor of Lessor. (b) Should a court of competent jurisdiction determine that this Lease 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 Lessee and the City, its officers, officials, employees, and volunteers, the Lessee's liability hereunder shall be only to the extent of the Lessee's negligence. IT IS FURTHER SPECIFICALLY AND EXPRESSLY UNDERSTOOD THAT THE INDEMNIFICATION PROVIDED HEREIN CONSTITUTES THE LESSEE'S WAIVER OF IMMUNITY UNDER INDUSTRIAL INSURANCE, TITLE 51, RCW, SOLELY FOR THE PURPOSES OF THIS INDEMNIFICATION. This waiver has been mutually negotiated by the parties. The provisions of Section 10 shall survive the expiration or termination of this Lease. 11. INSURANCE. (a) General Commercial Liability Insurance. Lessee, at its own expense, shall provide and keep in force with companies acceptable to Lessor comprehensive general liability insurance in the amount of not less than One Million Dollars ($1,000,000.00) per occurrence for bodily injury and property damage. Lessee shall furnish Lessor with a certificate of such policy within thirty (30) days of the Commencement Date of this Lease and whenever required shall satisfy Lessor that such policy is in full force and effect. Such policy shall name Lessor as an additional. insured and shall be primary and noncontributing with any insurance carried by Lessor. The policy shall further provide that it shall not be canceled or altered without twenty (20) days prior written notice to Lessor. (b) Certificate, of Insurance. Lessee shall provide to the City documentary evidence, certified by the insurer, of all insurance( s) required in this Lease. (c) Subrogation. The City shall not be liable to Lessee (by way of subrogation or otherwise) or to any insurance company insuring the other party for any. loss or damage to any building, structure, or other tangible property, or any resulting loss of income, or losses under worker's compensation laws and benefits, if any such loss or damage is covered by insurance benefiting the party suffering such loss or damage or was required to be covered by insurance pursuant to this Lease. Lessee shall, upon obtaining the policies of insurance required give notice to the insurance carrier or carriers that the foregoing mutual waiver of subrogation is contained in this Lease. 12. MAINTENANCE AND REPAIR. (a) The City's Repairs. The City shall not be required to make any alterations, maintenance, replacements, or repairs in, on, or about the Property, or any part thereof, during the Term. (b) Lessee's Repairs, Alteration, Maintenance and Replacement. (i) Lessee shall, at its sole cost and expense, keep and maintain the Property and all improvements in good order and repair, in a clean, attractive, and safe condition including maintenance of the parking area, signage, striping and sweeping. 6 Claremont East Lease (ii) Lessee shall, at its sole cost and expense, make any and all additions, repairs, alterations, maintenance, replacements, or changes to the Property or to any improvements on the Property which may be required by any public authority. (iii) All additions, repairs, alterations, replacements or changes to the Property and to any improvements on the Property shall be made in accordance with, and ownership shall be governed by, Section 7, above. 13. DAMAGE OR DESTRUCTION. (a) In the event of any damage to or destruction of the Property or any improvements, Lessee shall promptly give written notice to the City. (b) Unless this Lease is terminated, there shall be no abatement or reduction in rent due to any damage or destruction of the Property. 14. DEFAULT AND REMEDIES. (a) Acts Constituting Default. Lessee shall be in default of this Lease on the occurrence of any of the following: (i) Failure to pay the Lease Payment~ or other expenses when due; (ii) Failure to comply with any law, regulation, policy, or order of any lawful governmental authority; (iii) Failure to comply with any other provision of this Lease; (iv) Failure to cure a default pursuant to Section 14(b) below; (v) Lessee vacates or abandons the Property; (vi) Failure to comply with the terms of the Right-of-Way permit set forth in Exhibit B; or (vii) Proceedings are commenced by or against Lessee under any bankruptcy act or for the appointment of a trustee or receiver of Lessees' property. (b) Failure to Cure. A default shall become an event of default ("Event of Default") if Lessee fails to cure the default within thirty (30) days after the City provides Lessee with written notice of default, which specifies the nature of the default. Notice of default is not required in the case Lessee vacates or abandons the Property or the Lease is terminated as a result ofa revocation of the Right-of-Way permit as set forth in Section 15(d) below. 15. REMEDIES ON DEFAULT. (a) Termination and Re-entry. In the event of any default or breach by Lessee, Lessor may, at any time thereafter with or without notice, terminate this Lease by written notice to Lessee and the Lessor shall have the right to enter upon the Property and re-take possession thereof. (b) Removal of Personal Property. In the event of a retaking of possession of the Property by Lessor, Lessee shall remove all personal property located thereon and upon failure to do so upon demand of Lessor, Lessor may remove and store the same in any place selected by Lessor, including but not limited to a public warehouse, at the expense and risk of Lessee. If Lessee shall fail to pay the cost of storing any such property after it has been stored for a period of thirty (30) days or more, Lessor may sell any or all of such property at a public or 7 Claremont East Lease private sale and shall apply the proceeds of such sale first to the cost of such sale, secondly to the payment of the charges for storage, if any, and thirdly to the payment of any other sums of money which may be due from Lessee to Lessor under the terms of this Lease, and the balance, if any, to Lessee. Lessee hereby waives all claims for damages that may be caused by Lessor's lawfully reentering and taking possession of the Property or lawfully removing and storing the property of Lessee as herein provided and will save Lessor harmless from loss or damages occasioned by Lessor thereby, whether such lawful reentry shall be considered or construed to be a forcible entry. (c) Remedies Cumulative. The remedies hereinafter described shall be cumulative and Lessor shall be entitled to pursue any other remedy now or hereafter available to Lessor under the law or judicial decisions of the State of Washington. 16. REVOCATION OF RIGHT-OF-WAY PERMIT AND TERMINATION OF LEASE. Lessee acknowledges that the Right-of-Way issued in conjunction with this Lease is an integral part of this Lease and further that said permit is conditionally issued subject to the Lessor's use and need for the permitted Right-of-Way. Since ,this Lease and the Right-of-Way permit set forth in Exhibit B are inter-connected, a revocation of the Right-of-Way permit shall constitute a termination of this Lease without further notice, and likewise, a termination of this Lease pursuant to the provisions hereof shall constitute a revocation of the Right-of-Way permit without further notice. Lessee acknowledges that in the event the Lessor has a need for the permitted Right-of-Way for any purpose, the Right-of-Way permit may be revoked and this Lease terminated accordingly.. A notice of default is not required in the event this Lease is terminated due to a revocation of the Right-of-Way permit. 17. ENTRY BY LESSOR. The City shall have the ~ight to enter the Property at any time to inspect for compliance with the terms of this Lease. The City and/or City's agents shall comply with all of Lessee's work safety rules and restrictions, including but not limited to following Lessee's warning instructions and, without prior approval of the Lessee, keep out of restricted areas of the Property due to pesticide, fertilizer, and other chemical and hazardous substance exposures on the Property. 18. NOTICE. Any notices required or permitted under this Lease may be personally delivered, delivered by facsimile machine, or mailed by certified mail, return receipt requested, to the following addresses or to such other places as the parties may direct in writing from time to time: Lessor: Director of Parks and Recreation City of Bremerton 345 Sixth Street, Suite 600 Bremerton, Washington 98337 8 Claremont East Lease Lessee: Claremont East Retirement Apartments, Inc. Bremerton, Washington 98_ A notice shall be deemed given and delivered upon personal delivery, upon receipt of a confirmation report if delivered by facsimile machine, or three (3) days after being mailed as set forth above, whichever is applicable. 19. GENERAL PROVISIONS. Lessor and Lessee agree to the following general proVIsIons: (a) Authority. Lessee and the person or persons executing this Lease on behalf of Lessee represent that Lessee is qualified to do business in the State of Washington, that Lessee has full right and authority to enter into this Lease, and that each and every person signing on behalf of Lessee is authorized to do so. (b) Successors and Assigns. The covenants and conditions herein contained, subject to the provisions as to assignment, apply to bind the hei~s, successors, executors, administrators, and assigns of the parties hereto. (c) Entire Agreement. This Lease, including the exhibits and addenda, if any, contains the entire agreement of the parties. All prior and contemporaneous agreements, promises, representations, and statements relating to this transaction 01' to the Property, if any, are merged into this Lease. (d) Modification. No provision of this Lease may be amended or added to except by agreement in writing signed by the parties hereto or their respective successors in interest. The City shall not be bound by any oral representations or statements. (e) . Cumulative Remedies. The rights and remedies of the City under this Lease are cumulative and in addition to all other rights and remedies afforded to the City by law or equity or otherwise. (f) Time is of the Essence. Time is of the essence of this Lease and each and all of its provisions in which performance is a factor. (g) Severability. Any provisions of this Lease which shall prove to be invalid, void, or illegal shall in no way affect, impair, or invalidate any other provision hereof and such other provision shall remain in full force and effect. (h) Applicable Law and Venue. This Lease shall be interpreted and construed in accordance with the laws of the State of Washington. Any reference to a statute shall mean that statute as presently enacted or hereafter amended or superseded. Venue for any action arising out of or in connection with this Lease shall be in the Superior Court for Kitsap County, Washington. (i) Waiver. No waiver of default by either party of any of the terms, covenants and conditions hereof to be performed, kept and observed by the other party shall be construed as, or operate as, a waiver of any subsequent default of any of the terms, covenants and conditions herein contained, to be performed, kept and observed by the other party. 9 Claremont East Lease (k) Survival of Covenants. The covenants contained herein survIve the termination or expiration of the Lease for the applicable statute oflimitation periods. (I) Quiet Enjoyment. The City covenants and agrees that Lessee, upon performing the terms and conditions of the Lease, may peacefully hold and enjoy the Property during said term without any interruption by the City, its successors or assigns. City will use its best efforts not to interfere with Lessee's business or right of access to and from the Property during the term of this Lease. (m) Recording of Short Form Lease. Neither the City nor Lessee may record this Lease without the other's prior approval, but the parties will at any time at the request of either party promptly execute duplicate originals of an instrument, in recordable form, which will constitute a short form of this Lease, setting forth a description of the Property, the terms of this Lease and other provisions hereof, except the rental and other provisions as either party may request, which may be recorded. (n) Paragraph Headings. The paragraph or section headings of this Lease are not a part of this Lease and shall have no effect upon the construction or interpretation of any part hereof. (0) Duplicate Originals. This Lease Agreelllent may be executed in duplicate originals. IN WITNESS WHEREOF, the parties hereto have executed this Lease on the date of the last signature below: CITY OF BREMERTON By: Cary Bozeman Its: Mayor Date: By: Its: Date: Date: APPROVED AS TO FORM: Roger A. Lubovich, City Attorney [Notaries are on next page] 10 Claremont East Lease STATE OF WASHINGTON) ) ~ COUNTY OF KITSAP ) I certify that I know or have satisfactory evidence that Cary Bozeman is the person who appeared before me, and acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as Mayor of the City of Bremerton to be the free and voluntary act of such City for the uses and purposes mentioned in the instrument. WITNESSETH my hand and seal this day of ,2006. NOTARY PUBLIC in and for the State of Washington, residing at My commission e)(pires / / STATE OF WASHINGTON) ) ~ COUNTY OF KITSAP ) I certify that I know or have satisfactory evidence that is the person who appeared before me, and acknowledged that (s)he signed this instrument, on oath stated that (s)he was authorized to execute the instrument, and acknowledged it as of the Claremont East Retirement Apartments, Inc. to be the free and voluntary act of said corporation for the uses and purposes mentioned in the instrument. WITNESSETH my hand and seal this day of ,2006. NOTARY PUBLIC in and for the State of Washington, residing at My commission expires / / R: \Legal\Legal\F orms\Real Estate\Leases\Land Lease-Claremont East as Lessee. doc 11 Claremont East Lease ~\ /1'. /i\ AES k't~ /~'lj[;J'--::, · ~ "':::--.--.. -.--.~'" CONSULTANTS. me. PROFESSIONAL LAND SURVEYORS Po. IK)X 930 . 3471 NW. LOWELL "OLD TOWNE" , SILVERDALE, \VA 98383 . 360.692-6400 . FAX 36().692.8927 LEGAL DESCRIPTION LEASE AREA 1 JUNIPER STREET THAT PORTION OF PARCEL 1, BLOCK 1, 2ND ADDITION TO SHERIDAN PARK, AS PER PLAT RECORDED IN VOLUME 8 OF PLATS, PAGES 74 AND 75, RECORDS OF KITSAP COUNTY, WASHINGTON, DESCRIBED AS FOLLOWS: COMMENCING AT THE INTERSECTION OF THE CENTERLINES OF JUNIPER STREET AND CLARE AVENUE WITHIN SAID PLAT OF 2ND ADDITION TO SHERIDAN PARK; THENCE NORTH 87025'29" WEST ALONG THE CENTERLINE OF SAID JUNIPER STREET 37.14 FEET TO THE BEGINNING OF A 541.65 FOOT RADIUS CURVE; THENCE ALONG SAID CURVE TO THE RIGHT THROUGH A CENTRAL ANGLE OF 7050'49" FOR AN ARC DISTANCE OF 74.18 FEET; THENCE SOUTH 10~5'20" WEST ALONG A RADIAL LINE TO SAID CURVE 20.00 FEET TO THE SOUTHERLY RIGHT-OF-WAY LINE OF SAID JUNIPER STREET AND THE POINT OF BEGINNING; THENCE WESTERLY ALONG SAID RIGHT-OF-WAY LINE BEING A 561.65 FOOT RADIUS CURVE TO THE RIGHT THROUGH A CENTRAL ANGLE OF 13017'09" FOR AN ARC DISTANCE OF 130.24 FEET; THENCE NORTH 66017'31" WEST ALONG SAID RIGHT- OF-WAY LINE 73.35 FEET; THENCE LEAVING SAID RIGHT-OF-WAY LINE SOUTH 13034'47" WEST 5.28 FEET; THENCE SOUTH 66017'31" EAST 72.42 FEET TO THE BEGINNING OF A 566.85 FOOT RADIUS CURVE; THENCE ALONG SAID CURVE TO THE LEFT THROUGH A CENTRAL ANGLE OF 13017'09" FOR AN ARC DISTANCE OF 131.44 FEET; THENCE NORTH 10025'20" EAST 5.20 FEET TO THE POINT OF BEGINNING. 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SILVf:RDALE. y'/;\ S'8383 ' 360-692.6400 ' FAX 3t>O.(i92-8927 LEGAL DESCRIPTION LEASE AREA 2 JUNIPER STREET THAT PORTION OF PARCEL 1, BLOCK 1, 2ND ADDITION TO SHERIDAN PARK, AS PER PLAT RECORDED IN VOLUME 8 OF PLATS, PAGES 74 AND 75, RECORDS OF KITSAP COUNTY, WASHINGTON, DESCRIBED AS FOLLOWS: COMMENCING AT THE INTERSECTION OF THE CENTERLINES OF JUNIPER STREET AND CLARE AVENUE WITHIN SAID PLAT OF 2ND ADDITION TO SHERIDAN PARK; THENCE NORTH 87~5'29" WEST ALONG THE CENTERLINE OF SAID JUNIPER STREET 37.14 FEET TO THE BEGINNING OF A 541.65 FOOT RADIUS CURVE; THENCE ALONG SAID CURVE TO THE RIGHT THROUGH A CENTRAL ANGLE OF 7050'49" FOR AN ARC DISTANCE OF 74.18 FEET; THENCE SOUTH 10025'20" WEST ALONG A RADIAL LINE TO SAID CURVE 20.00 FEET TO THE SOUTHERLY RIGHT-OF-WAY LINE OF SAID JUNIPER STREET; THENCE WESTERLY ALONG SAID RIGHT -OF - WAY LINE BEING A 561.65 FOOT RADIUS CURVE TO THE RIGHT THROUGH A CENTRAL ANGLE OF 13017'09" FOR AN ARC DISTANCE OF 130.24 FEET; THENCE NORTH 66017'31" WEST ALONG SAID RIGHT-OF-WA Y LINE 98.08 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING ALONG SAID RIGHT -OF - WAY LINE NORTH 66017'31" WEST 148.19 FEET; THENCE LEAVING SAID RIGHT-OF-WAY LINE SOUTH 12055'43" EAST 14.29 FEET; THENCE SOUTH 65054'18" EAST 140.35 FEET; THENCE NORTH 37055'03" EAST 19.10 FEET TO THE POINT OF BEGINNING E~~~~~~;;l .:.. ~~ i . I~;;.c?::, !~i .,11.:~lfi,,) ~ ~ ...~, ""Jb.' ..~ ",1../ f:t .. "....,,}~':i~:::t1~.1r;~~:~~~;;p ~3 "'t 0.,,,. l .>.'11 M" F.... QI/".~:,/1t ,~;;;.'~:y."}~\' f::'~ ~ '.'~~;~:~;l ~:~'.,~ /;~~.>: .t'; EXPlht:,::, i j { ; .J! t../ \........ ~;.f t. ' jj,irf1.!J;[Lt{):~'t:tt:Tjli1X~'- !)jf ./ /\ ...-7 .~,I ,/ C;/ 0," (,,. ....." EXHIBIT A 10/20/2006 11:57 360-473-5398 BREMERTON ENGINEERIG PAGE 02/01::. City of Bremerton 3027 Olympus Drive * Bremerton, ViA 98310-4799 ~ Application for Long Term Type C Right-of-Way Use Permit -- - Name: APPLICANT INFORMATION - Company: Address: ~~'{ No.: . Telephone No.: E-Mail: ~Na~e: - PERMITTEE INFORIVlATION (if different) 1----" .. w. - -"-""" Company: - .... Address: . 1 Fax No.: Telephone No.: :=j '. '.- . .~ E-:tv:lail: . SITE INFORMATION . 1. Street Address: ... ..... 2. Description ofpemlit area (distance from property comer, dimensions and shape of area, etc.): May be attached ... .... ..... '"-" '- 3. Attach a drawing of the permit area showing the adjoining property, proposed right-of-way use area including t.he dimensions and angles from the adjoining property comer. This must match the property description in Number 2 above. 4. Area of right-of-way used (square feet); 5. Description ofase (i.e_; paved parking circulation, equipment storage/display, paved parking area signage, etc.): ~ EXHIBIT B 10/20/2006 11:57 360-473-5398 BREMERTON ENGINEERIG PAGE. 03/0E, CITY OF BREMERTON LONG TERM TYPE C RIGHT-OF-WAY USE PERMIT SITE INFORMATION (continued): 6. Requested duration of penn it (minimum 2 months, maximum 5 years): 7. Documentation of allowed use from the City Economic and Community Development Department (attach). 8, Insurance accord form in the amount of$I,OOO,OOO with the City o3.ll1ed as additional insured (attach)'1 9. ApplicatiQnfeeof$100.00. J For City Use Only .._-" 1. Date Received: 2. Application Materi.al Complete: 0 Yes By: 0 No Date: 3. . Value of Adjoining Land: Total . Value per Square Foot: $ . Value of Penn it Area (atmually): : $ No. of Square Feet I Sq Ft 4. Infonnation put on penuit and retumed to applicant for processing (Date): _ Applicant needs to provide first years rent with signed permit. 15 Signed pern,i' re.ceive. d from ap. plicant. 6. Executed penult returned to applicant. , ~~ ~ ROW Type C hmlit App, ab, 07126199 10/20/2005 11:57 350-473-539:3 BREr"lERTCN EHGmEERIG PAGE 04/0t, Pennlttee: Location: LONG-TERM TYPE C RIGHT-OF-WAY USE PERMIT THIS PERMIT is made and entered into this day of 120_, by and between the CITY OF BREMERTON, a municipal corporation hereinafter referred to as "City" and , hereinafter referred to as "Permittee". WITNESSETH: In consideration of the covenants, promises and terms contained herein, the parties hereby agree as follows: 1. Location of Property. City hereby permits the Permittee to use the following described real property within the City right-of-way: ; hereinafter referred to as "Property". 2. Use of Property. Permittee shall have the use and occupancy of the Property for the purpose of: Permittee understands and agrees that the right-of-way can not be used to meet development standards or permit requirements such as parking, landscaping, set bacK or buffer area on a permanent basis. years, commencing on the years thereafter, 3. Term. The term of this Permit shall be day of . 20 . and terminating unless terminated earlier according to the provisions herein. 4. Use Fee. Permittee shall pay City for the rent of said Property the sum of $ to be paid annual,ly the first payment due on the commencement date. Annual payments shall be due January 10th of each year of the agreement. 5. Repairs and Maintenance. Permittee agrees to accept all responsibility for maintenance of all improvements placed on the Property by the Permittee and to keep the Property and any such improvements thereon in a state of good repair and to maintain them at all times so as not to cause any safety hazard nor visual blight on the Property. Permittee agrees to perform City directed repairs and maintenance within 30 days of written notice from the City. 6. Ownership of Improvement. All improvements erected by Permittee on the Property shall remain the property of the Permittee. Type C - ROW Permit - Page 1 Permittee: Location: Rev 4-8-2003 10/20/2005 11:57 350-473-53gS BREMERTON ENGINEERIG PA(:;E 05/E15 7. Removal of Improvements. Improvements shall be permanently removed by the Permittee at the termination of the Permlt or upon sixty days (60) written notice from the City at such time the City finds it necessary to modify the use of the Property. If the required removal is not completed within the time stipulated by the City, the City is authorized to have the removal work done and the cost thereof, including administrative and legal fees, shall become a civil debt of the Permittee and shall be a lien against the Permittee's property. Also, the City may, without notice, remove the improvements as necessary to repair utilities or other public facilities. The City has no obligation to reconstruct or replace such improvements. 8. Compliance with Law. In the use of Property, Permittee shall fully comply with all applicable federal, state, county and municipal laws, ordinances and regulatIons. 9. Assignment of Permit. Permittee shall not assign or transfer its interest in this Permit. or sublet the Property or any parts thereof, or permit the Property to be used for any purpose not permitted by this Permit, without prior written consent of the City. Any attempt to assign or transfer an Interest in this Permit shall be cause for immediate termination. 10. Insurance. Permittee, at its own expense, shall provide and keep in force with companies reasonably acceptable to City comprehensive general liability insurance in the amount of not less than $1,000,000 per occurrence for bodily injury and property damage. Permittee shall provide the City's Risk Manager with a certificate of insurance evidencing this coverage and indicating that the City is an additional named insured thereunder. Thirty (30) days advance notice to City of cancellation shall also be provided. 11. Indemnification. Permittee hereby agrees to defend and indemnify and hold harmless the City from any and all claims, lawsuits, damages or actions or liability which may arise from the Permittee's use of said Property pursuant to this Permit. No employees or agents of Permittee shall be considered employees or agents of the City. 12. Termination. Either pai)y may terminate this Permit by furnishing to the other party, by registered mail, a notice of termination at least sixty (60) days prior to the intended date of termination. If Permittee defaults in payment of rent, or breaches any other covenant or condition of the Permit, City may declare a folieiture of this Permit for such default, reenter the property, and remove the improvements, upon ten (10) days written notice to cure breach or default and Permittee fails to do so. 13. Notices. All notices to be given by either of the parties hereto to the other party shall be in writing and may either be delivered personally or may be deposited in the United States mail, postage prepaid, as either certified or regular mail, addressed as specified below. or to such other designate in writing. City: Permittee: City of Bremerton City Clerk 345 6th Street, Suite 600 Bremerton, W A. 98337 Type C - ROW Permit - Page 2 Permittee; Location: Rev 4-8-2003 10/20/2005 11:57 350-473-5398 BREMERTON ENGINEERIG PAGE 05/05 14. Waiver of Default. No waiver of default of either party of any of the terms, covenants, and conditions hereof to be performed, kept and observed by the other party shall be construed as, or operate as, a waiver of any subsequent default of any of the terms, covenants. and conditions herein contained. to be performed, kept and observed by the other party. IN WITNESS WHEREOF, the parties hereto have executed this Permit as of the date first herein above written. PERMITTEE: Dated: By: CITY OF BREMERTON Date: By: Mayor DEPARTMENT APPROVAL: Public Works and Utilities APPROVED AS TO FORM: City Attorney RECEIVED FOR FILING: City Clerk Type C - ROW Permit - Page 3 Permittee: Location: Rev 4-8-2003 i~ /i\ /! '\ I I f::'t~',,) ,''''''<.'J//'1'~ //1>1 (';l"'e, L:.,':::-.~ _,-:~-J l<':_~':-:~~ AES CONSULTANTS,INC. PROFESSION!~L LAND SURVEYORS :":==::=:=:=---=-":'-,==:=-"'==-.-:-..=--::-:"::.==:-=~-=:=======~-==-:::=-:::':'=:--:=--=:'=--===::=--::-~=====:,===~.~:-.:::~=-"':'==--==~~:'-:=-=._---:_=::"-=-':.-'::::'-=-~_:,=- h) BOX 930 . 3472 N, W, LOWELL "OLD TOw'NE" . SIL Vl"RDALE. W A 98383 . 360.692.6400 . FAX 360.692-1;927 LEGAL DESCRIPTION R/W PERlvlIT AREA JUNIPER STREET THAT PORTION OF JUNIPER STREET SITUATED WITHIN THE PLAT OF 2ND ADDITION TO SHERIDAN PARK, AS PER PLAT RECORDED IN VOLUME 8 OF PLATS, PAGES 74 AND 75, RECORDS OF KITSAP COUNTY, WASHINGTON, DESCRIBED AS FOLLOWS: COMMENCING AT THE INTERSECTION OF THE CENTERLINES OF JUNIPER STREET AND CLARE AVENUE WITHIN SAID PLAT OF 2ND ADDITION TO SHERIDAN PARK; THENCE NORTH 87025'29" WEST ALONG THE CENTERLINE OF SAID JUNIPER STREET 37.14 FEET TO THE BEGINNING OF A 541.65 FOOT RADIUS CURVE; THENCE ALONG SAID CURVE TO THE RIGHT THROUGH A CENTRAL ANGLE OF 7050'49" FOR AN ARC DISTANCE OF 74.18 FEET; THENCE SOUTH 10025'20" WEST ALONG A RADIAL LINE TO SAID CURVE 20.00 FEET TO THE SOUTHERLY RIGHT-OF-WAY LINE OF SAID JUNIPER STREET AND THE POINT OF BEGINNING; THENCE WESTERL Y ALONG SAID RIGHT -OF- WAY LINE BEING A 561.65 FOOT RADIUS CURVE TO THE RIGHT THROUGH A CENTRAL ANGLE OF 13017'09" FOR AN ARC DISTANCE OF 130.24 FEET; THENCENORTH 66017'31" WEST ALONG SAID RIGHT- OF-WAY LINE 73.35; THENCE LEAVING SAID RIGHT-OF-WAY LINE NORTH 23042'29" EAST 5.00 FEET; THENCE SOUTH 66017'31" EAST 73.35 FEET TO THE BEGINNING OF A 556.65 FOOT RADIUS CURVE; THENCE ALONG SAID CURVE TO THE LEFT THROUGH A CENTRAL ANGLE OF 13017'09" FOR AN ARC DISTANCE OF 129.08 FEET; THENCE SOUTH 10025'20" WEST 5.00 FEET TO THE POINT OF BEGINNING. /'ljLI111U fiT. 1!J{IW/IICIIfIZ"'>,, y ,......ta. 1$_11 ..,.. \ ..'" \ E. 0 I, 'C.., .... <': \" . r... 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'" L7 I Saut?erly face..--/ --,_, --___~9..; L2 C~+---f-- of 8 cone c~~SE A::A 7 Y---:r ~ I R/W I L7 "- I. l tJ a:: '- " Q ~ 0:: a <: C) Cf) II LINE LI L2 L3 L4 L5 L6 L7 L8 L9 LID Lll Ll2 Cj -..J " '-' V) LINE TABLE BEARING S 87'25'29" E N 10'25'20" E N 66'17'37" W N 13"34'47" E N 66'17'37" W S 37'55'03" W N 12'55'43" E N 70'25'20" E N 10'25'20" E N 66'17'31" W N 23"42'29" E S 66'17'31" E LENGTH 37.14' 20.00' 72,42' 5.28' 24.73' 19.10' 14,29' 5.20.' 500' 73.35' 500' 73.35' "II I", ..... ,\ [ '" ...........::,S\:..;;.? 7>."" ~ A...,(,; . '(,if\ W A 501' -'&', f::j ~(;f!~ - ~J~)~ ; ~ ..ff'r20795\-"0... ,:; $ ~ ~ <"'J' ..~/ 5 H. \\..- ,,-\.... t1 #". s; ...... r''j''..... r--l ##,,~IVA.L L ,tI.~\) ,~,.... N ".....'" ~,..J.fl}jili'/iO '06 ~ S Q:; ~ dl~ ~ I 30' 30' '\ S'" \ -\,0 \>..'?--C,+- \00 ,?--+-10 <? '",0'0\'" <? f>' 2+ '0 r>-v 1>-01 Ix Q _\v'-'?--\ G r]\-,>.'v <? '"0" v ...JOV CURVE Cl C2 C3 C4 DATE SUBMITTED: 11-03-06 AGENDA BILL CITY OF BREMERTON CITY COUNCIL . ... . ., ... .. ,. ... ~. .. .. .. ... .. .. .. .. .. .. .. . ,/1.. , .. ~ · .. ., ....~"..... · .. · 407.$.7.,. ... ...7 B Pulohc.. ,",,~L~- K.-tVbtve. SOVlces o.f~oo7 '7U~cre\ ~ ut'O\.~GL\A.~t:: v'e. SUBJECT: Proptrty tax levy for collection Committee Meeting Date: 11-02-06 in 2007 COUNCIL MEETING Date: 11-15-06 Department: Financial Services Presenter: Laura Lyon Phone: 473-5722 Jf () ~..:- .2S 5" SUMMARY: The City's property taxes are levied on an annual basis through passage of an ordinance. The proposed ordinance will implement a general property tax levy and a voted EMS levy at the statutory rate limit as well as a bond redemption levy at a rate adequate to provide funds necessary to meet debt service obligations ATTACHMENTS: Ordinance llio i 4q '31 FISCAL IMPACTS (Include Budgeted Amount): The proposed 2007 budget anticipates property tax revenues based on this action. APPROVALS: DEPARTMENT DIRECTOR: CITY ATTORNEY: FINANCE DIRECTOR: MA YOR: FISCALIBUDGET: OPERATIONS: COUNCIL PRESIDENT: .c:;;::~:;;'zV~~--;:;;", /'~t,/,pl' - ! RECOMMENDED MOTION: Move to ~ Ordinance No. 41 B 7 levying property taxes for collection in 2007. I CONSENT AGENDA 0 I COUNCIL ACTION: D Approve D Deny D Table D Continue D No Action ORDINANCE NO. 49&7 AN ORDINANCE of the City Council of the City of Bremerton, Washington, establishing the amount to be collected in 2007 by taxation on the assessed valuation of taxable property within the City limits of Bremerton and setting the property levy rate. WHEREAS, the City Council of the City of Bremerton attest that the population ofthe City of Bremerton for 2006 is 35,910; and WHEREAS, the City Council of the City of Bremerton has properly given notice of the public hearing held on November 15, 2006, to consider the City's revenue sources for the City's General Fund budget; and WHEREAS, the City Council of the City of Bremerton after hearing and duly considering all relevant evidence and testimony presented, has determined that the City of Bremerton requires a regular levy and EMS levy in the maximum amounts allowable, which includes an increase in property tax revenue from the previous year, and amounts resulting from the addition of new construction and improvements to property and any increase in the value of state-assessed property and all allowable levies, and amounts authorized by law as a result of any annexations that have occurred and refunds made, in order to discharge the expected expenses and obligations ofthe City and in its best interest; NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. That an increase in the regular property tax levy is hereby authorized for the 20071evy in the amount of$54,173, which is a percentage increase of 1.0% from the previous year. This increase is exclusive of additional revenue resulting from the addition of new construction and improvements to property and any increase in the value or state assessed property, and any additional amounts resulting from any annexations that have occurred and refunds made. SECTION 2. That an increase in the EMS property tax levy is hereby authorized for the 20071evy in the amount of$8,970,which is a percentage increase of 1.0% from the previous year. This increase is exclusive of additional revenue resulting from the addition of new construction and improvements to property and any increase in the value or state assessed property, and any additional amounts resulting from any annexations that have occurred and refunds made. SECTION 3. That a property tax levy for debt redemption ofthe 2002 Public Safety UTGO Bonds, as previously authorized by the voters, is hereby authorized to levy property taxes to be collected in 2007 at a rate sufficient to provide $900,331 needed to meet debt service obligations in 2007. 1 2007 Taxes SECTION 4. That a property tax levy for debt redemption of the 1997 UTGO Fire Refunded Bonds, as previously authorized by the voters, is hereby authorized to levy property taxes to be collected in 2007 at a rate sufficient to provide $150,085 needed to meet debt service obligations previously paid, however, due to failure of the Kitsap County Assessor office to levy these funds in 2005 as previously requested, a levy in 2007 is now needed to correct the error. SECTION 5. Severabilitv. If anyone 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 6. Effective Date. This ordinance shall take effect and be in force ten (l0) days from and after its passage, approval and publication as provided by law. PASSED by the City Council the day of ,2006 CECIL McCONNELL, Council President Approved this day of ,2006 CARY BOZEMAN, Mayor ATTEST: APPROVED AS TO FORM: P AULA JOHNSTON, City Clerk ROGER A. LUBOVICH, City Attorney ,2006 ,2006 PUBLISHED the EFFECTIVE the ORDINANCE NO. day of day of R:\LEGAL\Ordinances\Finance\2007 Property Taxes.ord.doc 2 2007 Taxes DATE SUBMITTED: 11-03-06 AGENDA BILL CITY OF BREMERTON CITY COUNCIL $ c/~ - :2.S-~ 7C. · · · · · · · · .. · o~;i'~::';~: ':118 'is .-t;; II · · · · · · · · · · · · .. · · · · · · · · · · · · · · .. · · .. · · II · .. .. · · · · · · · · · · · · .. · · · · · I SUBJECT: Amend Chapter 3.48 of the Committee Meeting Date: 11-02-06 BMC related to B&O tax exemptions and tax COUNCIL MEETING Date: 11-15-06 credits and Chapter 3.50 related to reducing Department: Financial Services the utility tax rate for solid waste Presenter: Laura Lyon Phone: 473-5722 SUMMARY: It is the intent of the City to encourage growth and attract new business and it is believed that providing a greater exemption of revenues from the City's business and occupation tax will serve to encourage expansion of existing business and attract new businesses to the City in combination with establishing a tax credit for the creation of new family wage jobs in the City of Bremerton. Also, in order to encourage and accommodate the successful completion of City annexation efforts a three year exemption from local business and occupation taxes for businesses located in an area that has become part of the City by annexation is proposed. Finally, a reduction in the utility tax rate for persons engaging in the business of providing solid waste collection service is proposed from the current rate of 10% to 9.5%. ATTACHMENTS: Ordinance NO. +q8 ~ FISCAL IMP ACTS (Include Budgeted Amount): The proposed 2007 budget anticipates B&O tax and solid waste utility tax revenues as modified by this action. / /.~ APPROVALS: /-]/. /" .~. /-;~7 /" /" /~i/> DEP AR TMENT DIRECTOR:/::::r/;;~~..:..::...... ./"-:;.:>" ,/h ~---~.- y - 11(':1' CITY ATTORNEY: ".--'-t, /.--_?p' FINANCE DIR CT d'. "'~> >/ E OR: ~. '..:::-;"""'~ /'"Z--v,---- MAYOR: /::1/ -" =1 ~~n ~~.-" / ~\_- -", ';...i ' J - FISCAL/BUDGET: OPERATIONS: COUNCIL PRESIDENT: I CONSENT AGENDA 0 I - . //:>'. V .....'..." . . "~., c - - , //:;'" ~.A,t.~ :?J/U-"1-A_~.?.,{~r::' . '---r - - , /' ,- -- " f RECOMMENDED MOTION: Move to approve Ordinance ~o. 416 ~ amending Chapter 3.48 of the Bremerton Municipal Code relating to Business and Occupation tax in order to increase the exemption of revenue subject to taxation, provide a three (3) year exemption from taxes for businesses located in an area annexed by the City, and provide atax credit related to qualified jobs creation within Bremerton and amending Chapter 3.50 of the BMC to reduce the utility tax rate for solid waste. COUNCIL ACTION: D Approve D Deny 0 Table o Continue 0 No Action ORDINANCE NO. 4CfB@ 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 increase the exemption of revenue subject to taxation, provide a three (3) year exemption from taxes for businesses located in an area annexed by the City of Bremerton as of the date of annexation, and provide a tax credit related to qualified jobs creation by businesses located within the City of Bremerton; and further amending Chapter 3.50 of the Bremerton Municipal Code to reduce the utility tax rate for solid waste. WHEREAS, it is the intent of the City Council to encourage growth and attract new businesses to the City of Bremerton; and WHEREAS, the City Council believes that providing a greater exemption of revenues from business and occupation taxes will serve to encourage desired expansion of existing businesses and attract new businesses to the City of Bremerton; and WHEREAS, a three (3) year exemption from local business and occupation taxes for businesses located in an area that has become part of the City by annexation would encourage and accommodate the successful completion of City annexation efforts; and WHEREAS, the creation of family wage jobs is a meaningful measurement of business expansion and new business development in the City of Bremerton and the creation of new full-time positions within the City may be encouraged through the incentive of a business and occupation tax credit; and WHEREAS, the City desires to reduce the utility tax rate for persons engaging in the business of providing solid waste collection service from 10% to 9.5%; NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 3.48.030 of the Bremerton Municipal Code entitled "Definitions" relating to Business and Occupation Taxes is hereby amended to change the definition of "Director" to read as follows: "Director." "Director" means the Director ofFinaneecial Services of the City or any officer, agent or employee of the City designated to act on the Director's behalf. SECTION 2. 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: 1 2006 Amendment - B&O and Utility Tax 3.48.050 IMPOSITION OF THE TAX - TAX OR FEE LEVIED. (1) Imposition of the Tax - Tax or Fee Levied. Except as provided in subsection (2) of this section, there is hereby levied upon and shall be collected from every person a tax for the act or privilege of engaging in business activities within the City, whether the person's office or place of business 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 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 six- tenths of one 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, 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) Retail Service. 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 oftax 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 outright 2 2006 Amendment - B&O and Utility Tax 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) Exemption. The gross receipts tax imposed in this section shall not apply to any person whose gross proceeds of sales, gross income of the business, and value of products, including by-products, as the case may be, from all activities conducted within the City during any calendar year is equal to or less than twenty thousand dollars ($20,000). Beginning on January 1, 2007, the gross receipts tax imposed in this section shall not apply to any person who gross proceeds of sales, gross income of the business, and value of products, including by-products, as the case may be, from all activities conducted within the City during any calendar year is equal to or less than forty thousand dollars $40,000. Persons with grOSS income exceeding forty thousand dollars $40,000 per year shall be taxed only on the amount of gross income exceeding forty thousand dollars $40,000 per year. (3) Job credits. It is the intent ofthe City Council to encourage growth and attract new business to the City. To that end, the City Council finds that an incentive measured by a business's growth in iobs is a meaningful method of attracting and retaining such businesses. Therefore, the incentive in this section is specifically targeted at new full-time positions. A basic credit is made available to all businesses located in the City. (a) Subiect to the limits in this section, an eligible person is allowed a credit against the tax due under this chapter. The credit is based on a qualified employment position located within the City. (i) The credit shall be $500 for each qualified employment position within the City, which positions were created on or after January L 2007, the "effective date". A credit is earned for the calendar year in which the employee is hired to fill the position, plus the four (4) subsequent consecutive years, ifthe position, along with the company's increased workforce of eligible persons, is maintained during the entire period. a. Credit may not be taken for hiring persons into positions existing on the effective date. Credit is authorized for new employees hired for new positions created on or after the effective date, which result in an increase in the total work force of the business located in the City. New positions filled by existing employees are eligible for the credit under this section only ifthe position vacated by the existing employee is filled by a new hire. b. If filled before July 1 st of any given year, a newly created position is eligible for a full yearly credit. If filled after June 30th, the position is eligible for only a half credit for the first calendar year. c. Credit may not be accrued and carried forward or back. No refunds may be granted for unused portion of credits under this section. If the yosition is filled during the calendar year, after the filing of a quarterly tax period, an amended 1 st or 3T quarter tax return will be allowed, if appropriate, to qualify all the credit to which the employer is entitled for that year. (ii) For the purposes ofthis section: a. "Eligible person" means a person or company who resides in the City and is engaging in a business activity within the City; and b. "Qualified employment position" means a permanent, full- time position with compensation of at least a "family wage" within 12 months after the date of hire (allowing for training time and a probation period). If an employee is either voluntarily or involuntarily separated from employment, the employment position is considered filled on a full-time 3 2006 Amendment - B&O and Utility Tax SECTION 3. 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 from federal income tax under Section 501 (c)(3) of the Internal Revenue Code, as hereafter amended, except with respect to retail sales of such persons. (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 from subsidiary corporations. This chapter shall not apply to amounts derived by persons, other than those engaging in banking, loan, security, or other financial businesses, from investments or the use of money as such, and also amounts derived as dividends by a parent from its subsidiary corporations. (5) International banking facilities. This chapter shall not apply to the gross receipts ofan 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 of a 4 2006 Amendment - B&O and Utility Tax commercial bank, the principal office of which is located in this state, and which is incorporated and doing business under the laws ofthe United States or of this state, a United States branch or agency of a foreign bank, an Edge corporation organized under Section 25(a) ofthe Federal Reserve Act, 12 United States Code 611-631, or an Agreement corporation having an agreement or undertaking with the Board of Governors of the Federal Reserve System under Section 25 ofthe Federal Reserve Act, 12 United States Code 60l-604(a), that includes only international 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 ofthis 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 ofthis subsection shall not exempt any bonding company from tax with respect to gross income derived from 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 from 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) AtWetic exhibitions. This chapter shall not apply to any person in respect to the business of conducting boxing contests and sparring or wrestling matches and exhibitions for the conduct of which a license must be secured from the State Boxing Commission. (9) Racing. This chapter.shall.notapply to any person in respect to the business of conducting race meets for the conduct of which a license must be secured from 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 forpersons 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 from that of an independent contractor. For the purposes ofthis subsection, the definition of employee shall include those persons that are defined in the Internal Revenue Code, as hereafter amended. (b) A booth renter, as defined by RCW 18.16.020, is an independent contractor for purposes 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 of thirty (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 ofthird-party costs ifthe accounts are operated in a manner consistent with RCW 19.146.050 and any rules adopted by the director of financial institutions. 5 2006 Amendment - B&O and Utility Tax (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 ofliquor. 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. (19) Three (3) year exemption for annexed businesses. This chapter shall not apply to any person with respect to a business activity conducted in an area that has become part of the City by annexation; provided. however;thatthe business premises of such person be located in the said area . on the date of annexation;' and provided. further. that the exemption provided herein shall cease at the expiration of twelve (12) full calendar quarters: following the date of such annexation. . SECTION 4. Subsection 3.50.050(f) of the Bremerton Municipal Code entitled "Solid Waste" relating to persons subject to the Utility Tax is hereby amended to read as follows: (f) Solid waste. Upon every person engaging in the business of providing solid waste collection service, a fee or tax equal to ten (10)nine and one-half percent (9.5%) ofthe total gross income from such business conducted within the City. SECTION 5. Severability. If anyone 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 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. PASSED by the City Council the day of ,2006 CECIL McCONNELL, Council President 6 2006 Amendment - B&O and Utility Tax Approved this day of ,2006 CARY BOZEMAN, Mayor ATTEST: APPROVED AS TO FORM: P AULA JOHNSTON, City Clerk ROGER A. LUBOVICH, City Attorney PUBLISHED the EFFECTIVE the ORDINANCE NO. day of day of ,2006 ,2006 R:\LegaI\Legal\Ordinances\Finance\2006 B&O Tax Amendment.doc. 7 2006 Amendment - B&O and Utility Tax