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Home My WebLink About10/03/2018 AGENDA PACKET______________________________________________________________ CITY COUNCIL 345 6th Street, Suite 100, Bremerton, WA 98337 - Phone (360) 473-5280 * * *A M E N D E D * * * OCTOBER 3, 2018 CITY COUNCIL MEETING AGENDA 1. BRIEFING: 5:00 – 5:30 P.M. in COUNCIL CONFERENCE ROOM 603 A. Review of Agenda B. General Council Business (As necessary...) 2. CALL TO ORDER: 5:30 P.M. in FIRST FLOOR CHAMBERS A. Pledge of Allegiance B. Invocation 3. POLICE PROMOTION & SWEARING-IN CEREMONY - By Judge James Docter Cancelled 4. MAYOR'S REPORT 5. PUBLIC RECOGNITION 6. CONSENT AGENDA A. Claims & Check Register B. Minutes of Meeting – September 19, 2018 C. Minutes of Study Session – September 26, 2018 D. Confirm Reappointment of Kyle Meagher to the BKAT Advisory Committee E. Confirm Reappointment of Bob Moore to the BKAT Advisory Committee F. Confirm Reappointment of Sheldon Parr to the BKAT Advisory Committee G. Sole Source Purchase of a Pre-built Service/Water Truck for the Parks Department from Cobalt Truck Equipment of Spokane, WA H. Interlocal Agreement with the City of Poulsbo for Cooperative Police Efforts in the Special Operations Group I. Acceptance of Assistance to Firefighters Grant from Federal Emergency Management Agency 7. PUBLIC HEARINGS A. Public Hearing for the 2018 Edward Byrne Memorial Justice Assistance Grant B. Public Hearing on Ordinance No. 5352 to vacate a portion of an alley west of Wheaton Way and south of E. 13th Street C. Public Hearing (1 of 2) for Telecommunications Tower Option & Lease Agreement with Vertical Bridge, LLC for Forest Ridge Park 8. GENERAL BUSINESS A. Acceptance of Lodging Tax Advisory Committee FY-2019 Recommendations B. Ordinance No. 5353 amending Chapter 3.78 of the Bremerton Municipal Code entitled “Multifamily Tax Exemption”; and establishing the Affordable Housing Capital Fund C. Acceptance of Washington State Department of Commerce Grant for the preparation of a Market Study, Subarea Plan, and Planned Action EIS for the Eastside Employment Center Continued on back… 9. COUNCIL MEMBER REPORTS 10. EXECUTIVE SESSION – 15 Minutes to discuss Potential Litigation; which is allowed under RCW 42.30.110(1)(i) No action is anticipated... 11. ADJOURNMENT OF CITY COUNCIL BUSINESS MEETING Americans with Disabilities Act (ADA) accommodations provided upon request. Those requiring special accommodations please contact the City Clerk at (360) 473-5323 at least 24 hours prior to the meeting. Bremerton is in a Housing Crisis2019 Budget Preview Proposed budget includes $100,000 for a rental assistance program managed by BHA Bremerton is in a Housing CrisisRents are increasing Wages are stagnant The supply of rental housing at prices affordable to the working poor and seniors is shrinking From the Kitsap Sun, 4/13/2018 From 2013 to 2018, we have experienced nearly a 50% increase in the average rent in Bremerton & Kitsap County Evictions in Kitsap County •There’s been a 90% increase in evictions over the last three years. •Evictions are a clear indicator of a lack of affordability in the rental market Consequences of an Eviction:•Becomes a public record, attached to a person’s credit report for at least the next 7 years •Disruption of normal life –school for children, employment, etc. •Leads to a downward spiral mentally, emotionally, financially, and physically for the entire household What is “Affordable Housing”? HUD defines “affordable” as a housing cost (rent/mortgage and utilities) that doesn’t exceed 30% of a household’s monthly income. What happens when rent becomes unaffordable? •Economic distress, requiring juggling of other financial obligations –food, child care, utilities, transportation, health care, etc. •Tough choices –move, double-up, seek support from others •Avoidance (wishing the problem away) •Eviction The Mismatch Between Rent and Income : •The hourly wage needed by a householder to afford a 2 -bedroom apartment in Bremerton and Kitsap County (working a 40 hour work week, 52 weeks a year): $23.84 Federal Rental Assistance is Insufficient•Demand for Section 8 rental assistance far exceeds supply •Current federal funding supports 1,800 households county-wide. •Eligible households is 10 times this number (18,000). •Average wait for rental assistance is 7 years. Bremerton Can Help Close the Funding Gap Since Federal rental assistance is insufficient, Mayor Wheeler is proposing $100,000 for a rental assistance program. A Locally-Funding Rental Assistance Program Is Needed•Fill the gap created by federal funding cuts •Prevent eviction •Provide help when needed rather than after years of waiting •Bring stability to vulnerable rent-burdened households •Targeted to the working poor and seniors Three Key Rental Assistance Program Components:•Monthly rent supplement for the working poor & seniors (similar to Section 8) •One-time eviction prevention assistance for those less than 2 months behind in rent •Revolving loan fund for security deposits Permits Approved by Year Year #of Permits Total Valuation 2003 1086 $6,904,795 2004 773 $31,790,746 2005 792 $76,695,990 2006 912 $69,612,099 2007 848 $46,454,987 2008 798 $45,247,585 2009 803 $31,526,778 2010 806 $36,861,186 2011 876 $37,885,512 2012 694 $23,567,771 2013 832 $52,429,161 2014 680 $36,780,006 2015 683 $81,678,047 * 2016 870 $53,476,252 2017 929 $51,297,918 2018 1026 $71,894,072 ** *Includes Olympic College Instructional Center construction valued at 36.3 Million **Permits through September 2018 Code Enforcement Activity Statistics •932 issues addressed so far this year •544 weed issues •124 garbage issues •108 zoning issues •Remainder of issues (156) scattered across other categories (nuisances, graffiti, building code violations, housing code issues) •178 doorknockers issued •46% increase in investigations since Code Enforcement Specialist began in June. 2915 15TH ST First Receiver Appointed Overhaul of yard underway these pictures were taken from the same vantage point; house can barely be seen on September 25th. 1538 LYLE —Abandoned Foreclosure Before During After New fence installed, garbage removed, house and outbuildings secured. 1432/1436 17TH —Weeds & Debris Before After Overgrown vegetation, garbage and debris at rental property 3200 BLK WHEATON WAY —Weeds Before After 820 PARK —Garbage Before After 808 NAVAL —Overgrown Vegetation Before After RCO/Aquatic Lands Enhancement Account for Kitsap Lake Park -$438K (Ranked 2 out of 15) DOE Toxic Algae Grant for Kitsap Lake -$50K Opened Oct. 1, application due in November. DOE Aquatic Weed Planning Grant -$30K Opens October, application due in November. Kitsap Lake Park RCO Grants that have been applied for and ranked: •RCO/Local Parks for Warren Ave. -$500K (Ranked 9 out of 91) •RCO/Youth Athletic Facilities for Warren Ave. -$350K (Ranked 5 out of 51) •Total for Warren Ave. Playfield = $850K Warren Avenue Playfield AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Claims & Check Register Study Session Date: N/A COUNCIL MEETING Date: October 3, 2018 Department: Legal Services Presenter: Angela Woods Phone: (360) 473-5323 SUMMARY: Approval of the following checks and electronic fund transfers: 1) Check Numbers 381061 through 381301 and Electronic Fund Transfers V18964 through V19010 in the grand total amount of $2,083,929.16 2) Regular Payroll for the pay period ending September 15, 2018 in the amount of $811,068.93 3) Retiree Payroll for the pay period ending September 30, 2018 in the amount of $52,177.38 ATTACHMENTS: FISCAL IMPACTS (Include Budgeted Amount): STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Full Presentation STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to approve the consent agenda as presented. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 6A AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Minutes of Meeting – September 19, 2018 Study Session Date: N/A COUNCIL MEETING Date: October 3, 2018 Department: City Council Presenter: Council President Phone: (360) 473-5280 SUMMARY: The Minutes of Meeting held on September 19, 2018 are attached. ATTACHMENTS: Meeting Minutes FISCAL IMPACTS (Include Budgeted Amount): None STUDY SESSION AGENDA: ☒ N/A STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to approve the September 19, 2018 Meeting Minutes as presented. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 11/3/17 6B DIGITAL RECORDING CITY COUNCIL MEETING MINUTES Wednesday, September 19, 2018 The weekly meeting of the City Council of the City of Bremerton was called to order Wednesday, September 19, 2018, at 5:00 PM in Council Conference Room 603 of the NORM DICKS GOVERNMENT CENTER, 345 6th Street, Bremerton, Washington, with Council President Eric Younger presiding. Council Members present were Richard Huddy, Michael Goodnow, Tony Hillman, Kevin Gorman, and Leslie Daugs. Council Member Pat Sullivan was absent. Also present were City Attorney Roger Lubovich; City Clerk Angela Woods; Legislative Assistant Lori Smith; and Hans Nilsson, Information Services. A COUNCIL BRIEFING was held to discuss General Council Business at 5:00 PM in the Council Conference Room. At 5:30 PM the meeting moved to the Meeting Chambers. The Pledge of Allegiance was led by Council Member Leslie Daugs followed by the invocation provided by Pastor Sherwin Rulloda from Bremerton Church of the Nazarene. MAYOR’S REPORT Public Works & Utilities Director Chal Martin provided a briefing on the emergency repair currently taking place by Public Works and the Washington State Department of Transportation following a sink hole (10-feet wide, 20-feet long, and 6-feet deep) that was discovered on Burwell Street between High Street and Anoka Avenue. It is estimated to be repaired by tomorrow afternoon. PUBLIC RECOGNITION Eric Harrold encouraged the Council Members to attend the 20th Anniversary Benefit Dinner to be hosted by the Lord’s Neighborhood Diner on Friday, October 5 from 7:00 to 9:00 PM at St. Paul’s Episcopal Church where he hopes to engage with elected officials in a conversation on how the private sector can be more involved in working toward solving the homelessness problem without having to ask the City for money. CONSENT AGENDA 5A – Claims & Check Register: Check Numbers 380895 through 381060 and EFT- V18904 through EFT-V18963 in the amount of $1,944,328.77; and Regular Payroll for the pay period ending August 31, 2018 in the amount of $849,726.52 5B – Minutes of Meeting – September 5, 2018 5C – Minutes of Study Session – September 12, 2018 5D – Sole Source Purchase Agreement with Trebron Company, Inc. for a Barracuda Message Archiver and Mirror Cloud Storage Service 5E – Purchase of Marine Insurance with Travelers and Water Quality Insurance Syndicate for the City’s Argus Rescue Boat; and Budget Adjustment 5F – Contract Modification Agreement No. 1 with BHC Consultants, LLC for the Sewage Pump Station CW -4 Upgrade and OF-12 Modifications 5G – Change Order No. 2 with MJ Hughes Construction, Inc. for the West Belfair Valley Road and Tracyton Beach Road Innovative Safety Projects There were no questions or comments from the public… 05:42:03 M/S/C/U (Huddy/Gorman) Move to approve the CONSENT AGENDA as presented. City Council Reg. Mtg. Minutes Wednesday, September 19, 2018 Page 2 of 3 GENERAL BUSINESS 6A – PROFESSIONAL SERVICES AGREEMENT WITH RICE FERGUS MILLER ARCHITECTS FOR DESIGN OF QUINCY SQUARE ON 4TH STREET PROJECT: Project Manager Katie Ketterer, Public Works, explained that staff advertised a Request for Statement of Qualifications and based on an evaluation of the qualifications received from three firms, staff has determined Rice Fergus Miller is the most qualified to provide the design for the Quincy Square on 4th Street project. RFM will design and provide full plans, specifications and estimates for improvements to 4th Street from Washington Avenue to Pacific Avenue. A scope of work was submitted and the contract was negotiated in the amount of $495,000. There were no questions or comments from the public… 05:45:30 Motion was made by Gorman, and seconded by Goodnow… Comments were provided by Hillman and Goodnow; and questions were asked by Hillman, Gorman, and Younger; with responses provided by Ms. Ketterer… 05:49:05 M/S/C/U (Gorman/Goodnow) Move to approve the Professional Services Agreement with Rice Fergus Miller Architects for design of the Quincy Square on 4th Street Project in the amount of $495,000.00; and authorize the Mayor to finalize and execute the agreement with substantially the same terms and conditions as presented. COUNCIL MEMBER REPORTS Richard Huddy discussed his participation in the Walk to End Alzheimer’s; thanked Martina Mae and Karen Vargas for their efforts in organizing the SOS Kitsap 9/11 Remembrance Ceremony; enjoyed the celebration of the 75th Year for the Kitsap Transit Worker/Driver Program; appreciated the asphalt work being done on the 1100 block of North Montgomery Avenue; wished a happy 100-year birthday, and thanked all of the people involved with the Puget Sound Naval Shipyard’s Intermediated Maintenance Facility; and announced the Bremerton Central Lions 31st Annual Dinner & Auction to be held on Saturday, October 27 beginning at 5:30 PM at the Admiral Theatre. Michael Goodnow announced the City of Bremerton’s Tree Committee was participating in the Community Canopy Program by giving away 100 energy-saving trees to City residents who register at www.arborday.org/bremerton and provide their City of Bremerton utility billing account number. Trees will be available for pick up at the planting demo scheduled on Saturday, October 20, 2018 from 10:00 AM to Noon at Stephenson Canyon located off of Sheridan Road. Tony Hillman invited volunteers to the next Kiwanis Park Work Party on Saturday, September 22 from 9:00 to 11:00 AM; and shared the Bremerton Housing Authority Section 8 Housing Choice Voucher Waitlist Opening would be from October 8 through 12. Kevin Gorman encouraged residents to sign-up at Kevin.Gorman@ci.bremerton.wa.us to receive a District 3 newsletter that he intends to issue on a regular basis; and also announced a Design Review Board Meeting to discuss the Eagles Tower Project was now scheduled on Thursday, September 27 beginning at 6:00 PM in the First Floor Meeting Chambers. Leslie Daugs reiterated information on two upcoming events including Beautify Bremerton on Saturday, September 22 and the 20th Anniversary Dinner to be hosted by the Lord’s Neighborhood Diner on Friday, October 5 from 7:00 to 9:00 PM at St. Paul’s Episcopal Church. With no further business, President Younger adjourned the Council Meeting at 6:03 PM. City Council Reg. Mtg. Minutes Wednesday, September 19, 2018 Page 3 of 3 Prepared and Submitted by: ______________________________ LORI SMITH Legislative Assistant APPROVED by the City Council on the 3rd day of October, 2018. ________________________________________ ERIC YOUNGER, City Council President Attest: ________________________________________ ANGELA WOODS, City Clerk EY:AW:ls:cg AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Minutes of Study Session – September 26, 2018 Study Session Date: N/A COUNCIL MEETING Date: October 3, 2018 Department: City Council Presenter: Council President Phone: (360) 473-5280 SUMMARY: The Minutes of Study Session held on September 26, 2018 are attached. ATTACHMENTS: Study Session Minutes FISCAL IMPACTS (Include Budgeted Amount): None STUDY SESSION AGENDA: ☒ N/A STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to approve the September 26, 2018 Study Session Minutes as presented. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 11/3/17 6C DIGITAL RECORDING CITY COUNCIL STUDY SESSION MINUTES Wednesday, September 26, 2018 A Study Session of the City Council of the City of Bremerton was called to order in the Council Conference Room of the NORM DICKS GOVERNMENT CENTER, 345 6th Street, Bremerton, Washington, Wednesday, September 26, 2018, at 5:00 PM, with Council President Eric Younger presiding. Council Members present were Richard Huddy, Michael Goodnow, Tony Hillman, Kevin Gorman, Leslie Daugs, and Pat Sullivan. Lori Smith, Legislative Assistant, was present to provide staff support. President Younger emphasized that the Study Session is open to the public, but there will be no opportunities for input or participation; no action is anticipated except when deemed appropriate; and the content of these items is subject to change. If approved by the Council, items will be placed on the October 3, 2018 City Council Meeting Agenda. A. LIMITED PRESENTATION PLANNED – The following items are budgeted items or subjects that have been raised with the appropriate Council Committee Members: 1. Confirm Reappointment of Kyle Meagher to the BKAT Advisory Committee Consent Agenda 2. Confirm Reappointment of Bob Moore to the BKAT Advisory Committee Consent Agenda 3. Confirm Reappointment of Sheldon Parr to the BKAT Advisory Committee Consent Agenda 4. Sole Source Purchase of a Prebuilt Service/Water Truck for the Parks Department from Cobalt Truck Equipment of Spokane, WA Consent Agenda 5. Resolution to waive competitive bidding requirements and authorize Sole Source Purchase of Sensus FlexNet System from Ferguson Waterworks Study Session October 10 6. Proposed Public Hearing on Ordinance to vacate a portion of an alley west of Wheaton Way and south of E. 13th Street Public Hearing 7. Proposed Public Hearing for the 2018 Edward Byrne Memorial Justice Assistance Grant Public Hearing 8. Interlocal Agreement with the City of Poulsbo for Cooperative Police Efforts in the Special Operations Group Consent Agenda 9. Acceptance of Assistance to Firefighters Grant from Federal Emergency Management Agency Consent Agenda B. BRIEFINGS & FULL PRESENTATIONS 1. Proposed Public Hearing (1 of 2) for Telecommunications Tower Option & Lease Agreement with Vertical Bridge LLC for Forest Ridge Park Public Hearing 2. Lodging Tax Advisory Committee FY-2019 Recommendations General Business 3. Ordinance amending Chapter 3.78 of the Bremerton Municipal Code entitled “Multifamily Property Tax Exemption”; and establishing the Affordable Housing Capital Fund General Business President Younger called a recess from 7:08 to 7:20 PM… City Council Study Session Minutes Wednesday, September 26, 2018 Page 2 of 2 C. GENERAL COUNCIL BUSINESS 1. Review of 2018 City Council Goals – Council President Eric Younger 2. Audit Committee Briefing (09/25/18 Meeting) – Committee Member Pat Sullivan 3. Finance & Parking Committee Briefing (09/25/18 Meeting) – Chair Richard Huddy The meeting was rescheduled to October 1 4. Other General Council Business President Younger announced that following adjournment of this meeting, the Council would reconvene for an Exempt Closed Session to discuss Labor Negotiations allowed under RCW 42.30.140 (4) (b). The Study Session adjourned at 8:20 PM. Prepared and Submitted by: ______________________________ LORI SMITH, Legislative Assistant APPROVED by the City Council on the 3rd day of October, 2018. ________________________________________ ERIC YOUNGER, City Council President Attest: ________________________________________ ANGELA WOODS, City Clerk EY:AW :ls:cg AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Confirm Reappointment of Kyle Meagher to the Bremerton-Kitsap Access Television (BKAT) Advisory Committee Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: Executive Presenter: Greg Wheeler Phone: (360) 473-5266 SUMMARY: The Mayor is seeking confirmation for the reappointment of Kyle Meagher to the BKAT Citizens Advisory Committee. Mr. Meagher is re-applying to fill a Bremerton – Community seat. He has previously served on the BKAT CAC in the Bremerton – Education seat. It is a one year position. ATTACHMENTS: Application to the committee is available in the Mayor’s Office. FISCAL IMPACTS (Include Budgeted Amount): None. STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Briefing/Full Presentation STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to confirm the reappointment of Kyle Meagher to the Bremerton-Kitsap Access Television Advisory Committee for the term expiring December 31, 2019. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 6D AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Confirm Reappointment of Bob Moore to the Bremerton-Kitsap (BKAT) Access Television Advisory Committee Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: Executive Presenter: Greg Wheeler Phone: (360) 473-5266 SUMMARY: The Mayor is seeking confirmation for the re-appointment of Bob Moore to the BKAT Citizens Advisory Committee. Bob is a Senior at Bremerton High School. This is his second 1 year term. ATTACHMENTS: Application to the committee is available in the Mayor’s Office. FISCAL IMPACTS (Include Budgeted Amount): None. STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Briefing/Full Presentation STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to confirm the Reappointment of Bob Moore to the Bremerton-Kitsap Access Television Advisory Committee for the term expiring December 31, 2019. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 6E AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Confirm Reappointment of Sheldon Parr to the Bremerton-Kitsap Access Television (BKAT) Advisory Committee Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: Executive Presenter: Greg Wheeler Phone: (360) 473-5266 SUMMARY: The Mayor is seeking confirmation for the reappointment of Sheldon “Doc” Parr to the BKAT Citizens Advisory Committee. Mr. Parr is re-applying for his Bremerton – User seat. His non- profit group has one of the longest programs running on BKAT, “WestSound TV Presents”. This is his third one year term. ATTACHMENTS: Application to the committee is available in the Mayor’s Office. FISCAL IMPACTS (Include Budgeted Amount): None. STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Briefing/Full Presentation STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to confirm the reappointment of Sheldon Parr to the Bremerton-Kitsap Access Television Advisory Committee for the term expiring December 31, 2019. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 6F AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Sole Source Purchase of a Pre-built Service/Water Truck for the Parks Department from Cobalt Truck Equipment of Spokane, WA Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: PW&U / ERR Presenter: Milenka Hawkins-Bates Phone: (360) 473-5333 SUMMARY: July 28, 2018 the Parks water truck caught fire rendering it a complete loss. This vehicle was a surplus vehicle that had been outfitted for use to water the hanging flower baskets, pots, planters and planting beds associated with the City’s Flower Program. Due to savings in the Personnel budget, it is being requested to use the savings to offset the purchase of a new truck for this function. The requested vehicle is Ford F-550 outfitted with a flatbed chassis, water tank and pump. Over the past few years we have been purchasing pre-built service trucks built to our specifications from Cobalt Truck Equipment of Spokane WA. The total cost for the truck per quotes is $70,575.00 including Washington State sales tax. ATTACHMENTS: 1) Sole Source Memo; 2) Quote; 3) Picture FISCAL IMPACTS (Include Budgeted Amount): Parks & Recreation anticipates a minimum savings of $90,000 in the department’s 2018 Personnel budget due to vacancies. Staff is requesting a budget adjustment to reallocate $80,000 from Personnel to Supplies & Services as an equipment interfund charge. The total ERR budget increase (Fund 510) is $80,000. STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Full Presentation STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to approve the purchase of the pre-built service/water truck in the amount of $70,575.00 including Washington State sales tax from Cobalt Truck Equipment of Spokane WA; and approve a budget adjustment of up to $80,000 as described under Fiscal Impacts and adjust the General Fund Parks and ERR budgets for the same amount as described above. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 6G $26,420.00 $38,150.00 $64,570.00 $ 6,005.00 9.3% Tax $70,575.00 TOTAL AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Interlocal Agreement with the City of Poulsbo for Cooperative Police Efforts in the Special Operations Group Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: Police Presenter: T. Wolfe and R. Plumb Phone: (360) 473-5841 SUMMARY: To create a collaborative effort between the Bremerton Police Department and the Poulsbo Police Department to enhance joint investigative abilities in order to more effectively identify, arrest and deter those members of our community involved in the use, sale, manufacturing of narcotics, prostitution, gambling or criminal gang activity. ATTACHMENTS: 1) Interlocal Agreement Between the City of Bremerton and the City of Poulsbo 2) Exhibit A FISCAL IMPACTS (Include Budgeted Amount): The City of Poulsbo will receive a percentage of the year’s forfeiture proceeds based on the amount of time their officer participates with BPD’s Special Operations Group; the calculations are set forth in the ILA and in Exhibit A. STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Full Presentation STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to approve the Interlocal Agreement with the City of Poulsbo for Cooperative Police Efforts in the Special Operations Group; and authorize the Mayor to finalize and execute the Interlocal Agreement with substantially the same terms and conditions as presented. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 6H Page 1 of 4 INTERLOCAL AGREEMENT BETWEEN THE CITY OF BREMERTON AND THE CITY OF POULSBO This Interlocal Agreement is made and entered into pursuant to the provisions of Chapter 39.34 RCW by and between the City of Bremerton (“Bremerton”) and the City of Poulsbo (“Poulsbo”). WHEREAS, this Agreement is intended to create a collaborative effort between the City of Poulsbo Police Department (“PPD”) and the City of Bremerton Police Department (“BPD”) to enhance joint investigative abilities in order to more effectively identify, arrest and deter those members of our community involved in the use, sale, manufacturing and distribution of narcotics, prostitution, gambling or criminal gang activity. NOW THEREFORE, Poulsbo and Bremerton, through their respective legislative bodies, do hereby agree as follows: 1. Poulsbo shall assign, (i) on a case-by-case basis, or (ii) on a regular schedule upon mutual written agreement of the parties for a set period of time, a part-time officer to work in the BPD Special Operations Group (“SOG”) to participate in narcotics, prostitution, gambling and gang investigations. As of the date of this Agreement, PPD is participating in one case; however, this Agreement anticipates that PPD may commit an officer in future individual cases, or on a regular schedule to work on multiple cases. This understanding permits the Poulsbo police officer to work out of the SOG office in Bremerton, Washington. SOG will target criminal activities that impact both the City of Poulsbo and the City of Bremerton communities. These officers will liaise between the agencies and facilitate a closer working relationship. 2. BPD recognizes that the assigned Poulsbo police officer has responsibilities with PPD and may be required to provide investigative support, attend mandatory training, conduct investigations or attend to other work-related issues for Poulsbo. 3. BPD also recognizes that the assigned Poulsbo police officer has reporting responsibilities to PPD regarding his or her delegated duties in SOG. Prior to reporting any information to PPD regarding an ongoing SOG investigation or covert operation, the assigned Poulsbo police officer will obtain approval from the SOG supervisor. This will allow Poulsbo and SOG superiors to ensure that the investigation or operation is not compromised. 4. BPD will issue a limited police commission to the Poulsbo officer assigned to work with SOG. This limited commission is authorized when assigned to SOG and gives authority to the Poulsbo officer to enforce ordinances of the City of Bremerton and to protect the public peace within the City of Bremerton. This commission is valid during work hours and for the duration of the officer’s assignment. At the conclusion of this agreement all forms of identification and authorization issued by the Bremerton Police Department will be returned and terminated. 5. PPD will issue a limited police commission to the Bremerton Police officers assigned to SOG. This limited commission is authorized when assigned to SOG and gives authority to the Bremerton officers to enforce ordinances of the City of Poulsbo and to protect the public peace within the City of Poulsbo. This commission will be revoked upon the Bremerton officer leaving SOG. At the conclusion of this agreement all forms of identification and authorization issued by PPD will be returned and terminated. Page 2 of 4 6. Law enforcement personnel assigned to SOG shall have such authority to enforce state laws within the geographical area of the Cities of Bremerton and Poulsbo, or any other jurisdiction in Washington, as is given them by the Washington Mutual Aid Peace Officers Powers Act, R.C.W. 10.93. 7. PPD personnel assigned to SOG will adhere to the policies established by SOG and PPD and will work under the day-to-day supervision of the SOG supervisor. Nevertheless, at all times, PPD personnel assigned to SOG shall be considered employees of the PPD, which shall be solely and exclusively responsible for that employee. All rights, duties and obligations of the employer shall remain with PPD. The personnel assigned by PPD shall continue under the employment of PPD for purposes of any losses, claims, damages, or liabilities arising out of or related to the services provided to SOG or the activities of SOG. 8. Indemnification. a. In executing this agreement, Poulsbo does not assume liability or responsibility for or in any way release Bremerton from any liability or responsibility, which arises in whole or in part from the existence, validity or effect of Bremerton ordinances, rules or regulations. If any such cause, claim, suit, action or administrative proceeding is commenced, Bremerton shall defend the same at its sole expense and if judgment is entered or damages are awarded against Bremerton, Poulsbo, or both, Bremerton shall satisfy the same, including all chargeable costs and attorney's fees. b. In executing this agreement, Bremerton does not assume liability or responsibility for or in any way release Poulsbo from any liability or responsibility, which arises in whole or in part from the existence, validity or effect of Poulsbo ordinances, rules or regulations. If any such cause, claim, suit, action or administrative proceeding is commenced, Poulsbo shall defend the same at its sole expense and if judgment is entered or damages are awarded against Poulsbo, Bremerton or both, Poulsbo shall satisfy the same, including all chargeable costs and attorney's fees. c. Poulsbo shall indemnify and hold harmless Bremerton and its officers, agents, and employees, or any of them, from and against any and all claims, actions, suits liability, loss, costs, expenses, and damages of any nature whatsoever, which are caused by or result from a negligent act or omission of Poulsbo, its officers, agents, and employees in performing services pursuant to this agreement. In the event that any suit based upon such a claim, action, loss, or damage is brought against Bremerton or Bremerton and Poulsbo, Poulsbo shall defend the same at its sole cost and expense; and if final judgment be rendered against Bremerton and its officers, agents, and employees or jointly against Bremerton and Poulsbo and their respective officers, agents, and employees Poulsbo shall satisfy the same. d. Bremerton shall indemnify and hold harmless Poulsbo and its officers, agents, and employees, or any of them, from and against any and all claims, actions, suits, liability, loss, costs, expenses, and damages of any nature whatsoever, which are caused by or result from a negligent act or omission of Bremerton, its officers, agents, and employees in performing services pursuant to this agreement. In the event that any suit based upon such a claim, action, loss, or damage is brought against Poulsbo or Bremerton and Poulsbo, Bremerton shall defend the same at its sole cost and expense; and if final judgment be rendered against Poulsbo, and its Page 3 of 4 officers, agents, and employees or jointly against Poulsbo and Bremerton and their respective officers, agents, and employees Bremerton shall satisfy the same. e. If a claim is made that both parties are responsible for all or a portion of damages alleged to have been sustained as a result of acts or omissions of the parties hereto, then the above referenced indemnity and hold harmless provisions shall apply only to the extent of the proportion of liability attributable to the indemnifying party. If liability is not or cannot be apportioned, then the parties shall be responsible for their own costs and attorney’s fees incurred in the matter and shall indemnify and hold the other party harmless for one half of any amount awarded by the Court or other decision-making body with jurisdiction as a result of the alleged acts or omissions. 9. Poulsbo agrees to furnish and pay for service of a cellular system for its assigned agent that is compatible to cellular equipment utilized by SOG. 10. Bremerton will provide workspace and work station with required computer equipment and maintenance support for the assigned Poulsbo officer. 11. Bremerton, through its SOG supervisor, shall maintain a fund of ready cash so that day-to-day needs of SOG can be met. The Poulsbo officer assigned to SOG will be apportioned imprest monies from the fund by the SOG supervisor, in accordance with SOG polices, to conduct controlled narcotics purchases and other authorized official business. The assigned Poulsbo officer will be accountable for the proper handling of the funds in accordance with SOG policy and will be subject to audit. 12. For operational necessity, the assigned Poulsbo officer will be authorized to participate in SOG required training and meetings. 13. The Poulsbo officer assigned to SOG pursuant to this agreement will receive compensation from Poulsbo only. Should SOG participate in a federally-funded Organized Crime Drug Enforcement Task Force (OCDETF) case, Poulsbo may be reimbursed for any overtime costs directly associated with the officer’s participation in that case. 14. The terms of this agreement will commence as of the date signed by both parties. This agreement can be terminated at any time with 30 days written notice by either party with the understanding that all reasonable attempts will be made not to jeopardize personnel and active undercover operations. 15. The parties do not create through this Agreement a separate legal entity subject to suit. No jointly-owned property will be acquired or maintained pursuant to this Agreement. 16. Drug forfeiture cash and cash proceeds from sales of property forfeited as a result SOG operations pursuant to RCW 69.50.505 shall be placed into a forfeiture fund managed by Bremerton. Such monies shall remain subject to the use restrictions of RCW 69.50.505 in the hands of each party until fully expended for the law enforcement purposes permitted in RCW 69.50.505. 17. i. Case-by-Case Assignments: Poulsbo shall receive from Bremerton a sum equal to seven percent (7 %) of the drug forfeiture cash and cash proceeds from sales of forfeited property for Page 4 of 4 each case in which its officer participates with SOG. The seven percent is calculated after deduction of the State of Washington remittance required by RCW 69.50.505(9). ii. Regular Schedule: If the parties agree that a PPD officer is needed on more than a case-by- case basis, and agree on a regular weekly schedule per section 1.ii above, Bremerton shall provide to Poulsbo a portion of the annual SOG proceeds according to Exhibit A, which is attached hereto and incorporated herein. Annual proceeds are calculated based on the calendar year, and PPD shall be paid after any calendar year during which the PPD officer participates in SOG on a regular schedule. 18. BPD will issue tactical equipment that is available within the SOG quartermaster system. All other officer equipment will be purchased by and the responsibility of PPD. 19. BPD will assign a SOG unmarked / undercover vehicle to the Poulsbo officer when participating in SOG cases on a regular schedule. Fuel and maintenance will be the responsibility of PPD. 20. Poulsbo shall be responsible for record keeping, reporting, managing and dispersing of funds it receives from the forfeiture fund in accordance with the restrictions and provisions of RCW 69.50.505. 21. The Chiefs of BPD and PPD, or their designees, will administer this Agreement for each party, and will meet each quarter, or as needed, for the purpose of reviewing and discussing the operations and performance of SOG. 22. This Agreement shall be filed with the County Auditor or listed by subject on each party’s website pursuant to RCW 39.34. Signatures of approving authorities. Dated this ___________ day of _________________ 2018 ___________________________________ _____________________________ Dan Schoonmaker Jim Burchett Chief of Police, City of Poulsbo Chief of Police, City of Bremerton ___________________________________ ______________________________ Becky Erickson Grey Wheeler Mayor, City of Poulsbo Mayor, City of Bremerton EXHIBIT A *Calculations do not consider the required remittance to the State.* Example Parties agree that PPD officer will work 4 weeks, 10 hours per week = 40 hours In 4 weeks, BPD officers (always calculate at 4 officers @ 40hrs/week) would work 640 hours The total working hours of the BPD SOG officers plus the PPD officer are 640 + 40 = 680 hours The PPD officer’s hours are 5.88% of all the officers’ working hours: 40 hours = x% of 680 hours; x = .0588 = 5.88% 4 weeks of work is 7.69% of the weeks in a year: 4 weeks = x% of 52 weeks = .0769 = 7.69% PPD receives 5.88% of 7.69% of the year’s proceeds: $100,000(example year’s proceeds) x .0588 x .0769 = $452.35 AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Acceptance of Assistance to Firefighters Grant with the Federal Emergency Management Agency (FEMA) Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: Fire Presenter: David Schmitt, Fire Chief Phone: (360) 473-5381 SUMMARY: The Bremerton Fire Department has received approval for a regional Assistance to Firefighters Grant to fund the Firefighter Safety and Survival Training program (2018 budget goal). ATTACHMENTS: 1) Award Package from FEMA; and 2) Agreement with IAFF FISCAL IMPACTS (Include Budgeted Amount): $110,984 grant with a 10% matching requirement from three (3) agencies; CKFD, SKFD and BFD. Each will share the 10% cost ($11,098/3 = $3,700 each). STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Full Presentation STUDY SESSION ACTION: ☒ Consent Agenda ☐ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to approve and accept the Assistance to Firefighter Grant with the Federal Emergency Management Agency; and authorize the Mayor to finalize and execute the agreement with substantially the same terms and conditions as presented. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 6I 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…1/14 Award Package 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…2/14 U.S. Department of Homeland Security Washington, D.C. 20472 Mr. David Schmitt Bremerton Fire Department 911 Park Avenue Bremerton, Washington 98337-1550 Re: Award No.EMW-2017-FO-00888 Dear Mr. Schmitt: Congratulations, on behalf of the Department of Homeland Security, your application for financial assistance submitted under the Fiscal Year (FY) 2017 Assistance to Firefighters Grant has been approved in the amount of $100,895.00. As a condition of this award, you are required to contribute a cost match in the amount of $10,089.00 of non-Federal funds, or 10 percent of the Federal contribution of $100,895.00. Before you request and receive any of the Federal funds awarded to you, you must establish acceptance of the award through the Assistance to Firefighters Grant Programs' e-grant system. By accepting this award, you acknowledge that the terms of the following documents are incorporated into the terms of your award: Summary Award Memo Agreement Articles (attached to this Award Letter) Obligating Document (attached to this Award Letter) FY 2017 Assistance to Firefighters Grant Notice of Funding Opportunity. Please make sure you read, understand, and maintain a copy of these documents in your official file for this award. Prior to requesting Federal funds, all recipients are required to register in the System for Award Management (SAM.gov). As the recipient, you must register and maintain current information in SAM.gov until you submit the final financial report required under this award or receive the final payment, whichever is later. This requires that the recipient review and update the information annually after the initial registration, and more frequently for changes in your information. There is no charge to register in SAM.gov. Your registration must be completed on-line at https://www.sam.gov/portal/public/SAM/. It is your entity's responsibility to have a valid DUNS number at the time of registration. In order to establish acceptance of the award and its terms, please follow these instructions: Step 1: Please go to https://portal.fema.gov to accept or decline your award. This will take you to the Assistance to Firefighters eGrants system. Enter your User Name and Password as requested on the login screen. Your User Name and Password are the same as those used to complete the application on-line. Once you are in the system, the Status page will be the first screen you see. On the right side of the Status screen, you will see a column entitled Action. In this column, please select the View Award Package from the drop down menu. Click Go to view your award package and indicate your acceptance or declination of award. PLEASE NOTE: your period of performance has begun. If you wish to accept your grant, you should do so immediately. When you have finished, we recommend printing your award package for your records. Step 2: If you accept your award, you will see a link on the left side of the screen that says Update 1199A in the Action column. Click this link. This link will take you to the SF-1199A, Sign-up Form. Please complete the SF-1199A on-line if you have not done so already. When you have finished, you must submit the form electronically. Then, using the Print 1199A Button, print a copy and keep the original form in your grant files. Once approved you will be able to request payments online. If you have any questions or concerns regarding your 1199A, or the process to request your funds, please call (866) 274- 0960. 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…3/14 Sincerely, Thomas George DiNanno GPD Assistant Administrator 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…4/14 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…5/14 Summary Award Memo INSTRUMENT:GRANT AGREEMENT NUMBER:EMW-2017-FO-00888 GRANTEE:Bremerton Fire Department DUNS NUMBER:556846970 AMOUNT:$110,984.00, Operations and Safety Project Description The purpose of the Assistance to Firefighters Program is to protect the health and safety of the public and firefighting personnel against fire and fire-related hazards. After careful consideration, FEMA has determined that the recipient's project or projects submitted as part of the recipient's application, and detailed in the project narrative as well as the request details section of the application - including budget information - was consistent with the Assistance to Firefighters Grant program's purpose and worthy of award. The projects approved for funding are indicated by the budget or negotiation comments below. The recipient shall perform the work described in the grant application for the recipient's approved project or projects as itemized in the request details section of the application and further described in the grant application narrative. The content of the approved portions of the application - along with any documents submitted with the recipient's application - are incorporated by reference into the terms of the recipient's award. The recipient may not change or make any material deviations from the approved scope of work outlined in the above referenced sections of the application without prior written approval, via amendment request, from FEMA. Period of Performance 14-JUL-18 to 13-JUL-19 Amount Awarded The amount of the award is detailed in the attached Obligating Document for Award. The following are the budgeted estimates for object classes for this grant (including Federal share plus recipient match): Personnel:$33,984.00 Fringe Benefits $0.00 Travel $0.00 Equipment $32,000.00 Supplies $0.00 Contractual $45,000.00 Construction $0.00 Other $0.00 Indirect Charges $0.00 State Taxes $0.00 Total $110,984.00 NEGOTIATION COMMENTS IF APPLICABLE (max 8000 characters) Any questions pertaining to your award package, please contact your GPD Grants Management Specialist: Katrice Hagan at Katrice.hagan@fema.dhs.gov. FEMA Officials Program Officer: The Program Specialist is responsible for the technical monitoring of the stages of work and technical performance of the activities described in the approved grant application. If you have any programmatic questions regarding your grant, please call the AFG Help Desk at 866-274-0960 to be directed to a program specialist. 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…6/14 Grants Assistance Officer: The Assistance Officer is the Federal official responsible for negotiating, administering, and executing all grant business matters. The Officer conducts the final business review of all grant awards and permits the obligation of federal funds. If you have any questions regarding your grant please call ASK- GMD at 866-927-5646 to be directed to a Grants Management Specialist. Grants Operations POC: The Grants Management Specialist shall be contacted to address all financial and administrative grant business matters for this grant award. If you have any questions regarding your grant please call ASK-GMD at 866-927-5646 to be directed to a specialist. ADDITIONAL REQUIREMENTS (IF APPLICABLE) (max 8000 characters) Any questions pertaining to your award package, please contact your GPD Grants Management Specialist: Katrice Hagan at Katrice.hagan@fema.dhs.gov. 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…7/14 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…8/14 Agreement Articles U.S. Department of Homeland Security Washington, D.C. 20472 AGREEMENT ARTICLES ASSISTANCE TO FIREFIGHTERS GRANT PROGRAM - Operations and Safety GRANTEE: Bremerton Fire Department PROGRAM: Operations and Safety AGREEMENT NUMBER: EMW-2017-FO-00888 AMENDMENT NUMBER: TABLE OF CONTENTS The FY 2017 DHS Standard Terms and Conditions apply to all new federal financial assistance awards funded in FY 2017. The DHS financial assistance awards terms and conditions flow down to subrecipients, unless a particular award term or condition specifically indicates otherwise. Article I. Assurances, Administrative Requirements, Cost Principles, and Audit Requirements DHS financial assistance recipients must complete either the OMB Standard Form 424B Assurances - Non-Construction Programs, or OMB Standard Form 424D Assurances - Construction Programs as applicable. Certain assurances in these documents may not be applicable to your program, and the DHS financial assistance office (DHS FAO) may require applicants to certify additional assurances. Applicants are required to fill out the assurances applicable to their program as instructed by the awarding agency. Please contact the DHS FAO if you have any questions. DHS financial assistance recipients are required to follow the applicable provisions of the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards located at 2 C.F.R. Part 200, and adopted by DHS at 2 C.F.R. Part 3002. Article II. DHS Specific Acknowledgements and Assurances All recipients, subrecipients, successors, transferees, and assignees must acknowledge and agree to comply with applicable provisions governing DHS access to records, accounts, documents, information, facilities, and staff. 1. Recipients must cooperate with any compliance reviews or compliance investigations conducted by DHS. 2. Recipients must give DHS access to, and the right to examine and copy, records, accounts, and other documents and sources of information related to the federal financial assistance award and permit access to facilities, personnel, and other individuals and information as may be necessary, as required by DHS regulations and other applicable laws or program guidance. 3. Recipients must submit timely, complete, and accurate reports to the appropriate DHS officials and maintain appropriate backup documentation to support the reports. 4. Recipients must comply with all other special reporting, data collection, and evaluation requirements, as prescribed by law or detailed in program guidance. 5. If, during the past three years, recipients have been accused of discrimination on the grounds of race, color, national origin (including limited English proficiency (LEP)), sex, age, disability, religion, or familial status, recipients must provide a list of all such proceedings, pending or completed, including outcome and copies of settlement agreements to the DHS FAO and the DHS Office of Civil Rights and Civil 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&print…9/14 Liberties (CRCL) by e-mail at crcl@hq.dhs.gov or by mail at U.S. Department of Homeland Security Office for Civil Rights and Civil Liberties Building 410, Mail Stop #0190 Washington, D.C. 20528. 6. In the event courts or administrative agencies make a finding of discrimination on grounds of race, color, national origin (including LEP), sex, age, disability, religion, or familial status against the recipient, or recipients settle a case or matter alleging such discrimination, recipients must forward a copy of the complaint and findings to the DHS FAO and the CRCL office by e-mail or mail at the addresses listed above. The United States has the right to seek judicial enforcement of these obligations. Article III. Acceptance of Post Award Changes In the event FEMA determines that changes are necessary to the award document after an award has been made, including changes to period of performance or terms and conditions, recipients will be notified of the changes in writing. Once notification has been made, any subsequent request for funds will indicate recipient acceptance of the changes to the award. If you have questions about these procedures, please contact the AFG Help Desk at 1-866- 274-0960, or send an email to firegrants@dhs.gov. Article IV. Acknowledgment of Federal Funding from DHS All recipients must acknowledge their use of federal funding when issuing statements, press releases, requests for proposals, bid invitations, and other documents describing projects or programs funded in whole or in part with federal funds. Article V. Activities Conducted Abroad All recipients must ensure that project activities carried on outside the United States are coordinated as necessary with appropriate government authorities and that appropriate licenses, permits, or approvals are obtained. Article VI. Age Discrimination Act of 1975 All recipients must comply with the requirements of the Age Discrimination Act of 1975 (Title 42 U.S. Code, § 6101 et seq.), which prohibits discrimination on the basis of age in any program or activity receiving federal financial assistance. Article VII. Americans with Disabilities Act of 1990 All recipients must comply with the requirements of Titles I, II, and III of the Americans with Disabilities Act, which prohibits recipients from discriminating on the basis of disability in the operation of public entities, public and private transportation systems, places of public accommodation, and certain testing entities. (42 U.S.C. §§ 12101- 12213). Article VIII. Animal Welfare Act of 1966 Where applicable, recipients of financial assistance will comply with the requirements of the Animal Welfare Act, as amended (7 U.S.C. §2131 et seq.), which requires that minimum standards of care and treatment be provided for vertebrate animals bred for commercial sale, used in research, transported commercially, or exhibited to the public. Recipients must establish appropriate policies and procedures for the humane care and use of animals based on the Guide for the Care and Use of Laboratory Animals and comply with the Public Health Service Policy and Government Principles Regarding the Care and Use of Animals. Article IX. Best Practices for Collection and Use of Personally Identifiable Information (PII) DHS defines personally identifiable information (PII) as any information that permits the identity of an individual to be directly or indirectly inferred, including any information that is linked or linkable to that individual. All recipients who collect PII are required to have a publically-available privacy policy that describes standards on the usage and maintenance of PII they collect. Recipients may also find the DHS Privacy Impact Assessments: Privacy Guidance and Privacy template as useful resources respectively. Article X. Civil Rights Act of 1964 - Title VI All recipients must comply with the requirements of Title VI of the Civil Rights Act of 1964 (42 U.S.C. § 2000d et seq.), which provides that no person in the United States will, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving federal financial assistance. DHS implementing regulations for the Act are found at 6 C.F.R. Part 21 and 44 C.F.R. Part 7. 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&pri…10/14 Article XI. Civil Rights Act of 1968 All recipients must comply with Title VIII of the Civil Rights Act of 1968, which prohibits recipients from discriminating in the sale, rental, financing, and advertising of dwellings, or in the provision of services in connection therewith, on the basis of race, color, national origin, religion, disability, familial status, and sex (See 42 U.S.C. § 3601 et seq.), as implemented by the Department of Housing and Urban Development at 24 C.F.R. Part 100. The prohibition on disability discrimination includes the requirement that new multifamily housing with four or more dwelling units-i.e., the public and common use areas and individual apartment units (all units in buildings with elevators and ground-floor units in buildings without elevators)-be designed and constructed with certain accessible features. (See 24 C.F.R. § 100.201.) Article XII. Contract Provisions for Non-federal Entity Contracts under Federal Awards In addition to other provisions required by the Federal agency or non-Federal entity, all contracts made by the recipient under the Federal award must contain provisions as required by Appendix II of 2 C.F.R. Part 200, Contract Provisions for Non-Federal Entity Contracts Under Federal Awards, including but not limited to the following: a. Contracts for more than the simplified acquisition threshold set at $150,000. All recipients who have contracts exceeding the acquisition threshold currently set at $150,000, which is the inflation adjusted amount determined by Civilian Agency Acquisition Council and the Defense Acquisition Regulation Council as authorized by 41 U.S.C. §1908, must address administrative, contractual, or legal remedies in instance where contractors violate or breach contract terms and provide for such sanctions and penalties as appropriate. b. Contracts in excess of $10,000. All recipients that have contracts exceeding $10,000 must address termination for cause and for convenience by the non-Federal entity including the manner by which it will be effected and the basis for settlement. Article XIII. Copyright All recipients must affix the applicable copyright notices of 17 U.S.C. §§ 401 or 402 and an acknowledgement of U.S. Government sponsorship (including the award number) to any work first produced under federal financial assistance awards. Article XIV. Debarment and Suspension All recipients are subject to the non-procurement debarment and suspension regulations implementing Executive Orders (E.O.) 12549 and 12689, and 2 C.F.R. Part 180. These regulations restrict federal financial assistance awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in federal assistance programs or activities. Article XV. Disposition of Equipment Acquired Under the Federal Award When original or replacement equipment acquired under this award by the recipient or its sub-recipients is no longer needed for the original project or program or for other activities currently or previously supported by DHS/FEMA, you must request instructions from DHS/FEMA to make proper disposition of the equipment pursuant to 2 C.F.R. § 200.313. Article XVI. Drug-Free Workplace Regulations All recipients must comply with the Drug-Free Workplace Act of 1988 (41 U.S.C. § 8101 et seq.), which requires all organizations receiving grants from any federal agency agree to maintain a drug-free workplace. You as the recipient must comply with drug-free workplace requirements in Subpart B (or Subpart C, if the recipient is an individual) of 2 CFR part 3001, which adopts the Government-wide implementation (2 CFR part 182) of sec. 5152-5158 of the Drug-Free Workplace Act of 1988 (Pub. L. 100-690, Title V, Subtitle D; 41 U.S.C. 8101-8107). Article XVII. Duplication of Benefits Any cost allocable to a particular federal financial assistance award provided for in 2 C.F.R. Part 200, Subpart E may not be charged to other federal financial assistance awards to overcome fund deficiencies, to avoid restrictions imposed by federal statutes, regulations, or federal financial assistance award terms and conditions, or for other reasons. However, these prohibitions would not preclude recipients from shifting costs that are allowable under two or more awards in accordance with existing federal statutes, regulations, or the federal financial assistance award terms and conditions. Article XVIII. Education Amendments of 1972 (Equal Opportunity in Education Act) - Title IX 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&pri…11/14 All recipients must comply with the requirements of Title IX of the Education Amendments of 1972 (20 U.S.C. § 1681 et seq.), which provide that no person in the United States will, on the basis of sex, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any educational program or activity receiving federal financial assistance. DHS implementing regulations are codified at 6 C.F.R. Part 17 and 44 C.F.R. Part 19 Article XIX. Energy Policy and Conservation Act All recipients must comply with the requirements of 42 U.S.C. § 6201 which contain policies relating to energy efficiency that are defined in the state energy conservation plan issued in compliance with this Act. Article XX. Environmental Planning and Historic Preservation Screening AFG funded activities that may require an EHP review, involving the installation or requiring renovations to facilities, including but not limited to air compressor/fill station/cascade system (Fixed) for filling SCBA, air improvement systems, alarm systems, antennas, gear dryer, generators (fixed), permanently mounted signs, renovations to facilities, sprinklers, vehicle exhaust systems (fixed) or washer/extractors are subject to FEMA's Environmental Planning and Historic Preservation (EHP) review process. FEMA is required to consider the potential impacts to natural and cultural resources of all projects funded by FEMA grant funds, through its EHP Review process, as mandated by the National Environmental Policy Act; National Historic Preservation Act of 1966, as amended; National Flood Insurance Program regulations; and, any other applicable laws and Executive Orders. To access the FEMA's Environmental and Historic Preservation (EHP) screening form and instructions go to our Department of Homeland Security/Federal Emergency Management Agency website at: https://www.fema.gov/library/viewRecord.do?id=6906. In order to initiate EHP review of your project(s), you must complete all relevant sections of this form and submit it to the Grant Programs Directorate (GPD) along with all other pertinent project information. Failure to provide requisite information could result in delays in the release of grant funds. Article XXI. False Claims Act and Program Fraud Civil Remedies All recipients must comply with the requirements of 31 U.S.C. § 3729- 3733 which prohibits the submission of false or fraudulent claims for payment to the federal government. (See 31 U.S.C. § 3801-3812 which details the administrative remedies for false claims and statements made.) Article XXII. Federal Debt Status All recipients are required to be non-delinquent in their repayment of any federal debt. Examples of relevant debt include delinquent payroll and other taxes, audit disallowances, and benefit overpayments. (See OMB Circular A- 129.) Article XXIII. Federal Leadership on Reducing Text Messaging while Driving All recipients are encouraged to adopt and enforce policies that ban text messaging while driving as described in E.O. 13513, including conducting initiatives described in Section 3(a) of the Order when on official government business or when performing any work for or on behalf of the federal government. Article XXIV. Fly America Act of 1974 All recipients must comply with Preference for U.S. Flag Air Carriers (air carriers holding certificates under 49 U.S.C. § 41102) for international air transportation of people and property to the extent that such service is available, in accordance with the International Air Transportation Fair Competitive Practices Act of 1974 (49 U.S.C. § 40118) and the interpretative guidelines issued by the Comptroller General of the United States in the March 31, 1981 amendment to Comptroller General Decision B-138942. Article XXV. Hotel and Motel Fire Safety Act of 1990 In accordance with Section 6 of the Hotel and Motel Fire Safety Act of 1990, 15 U.S.C. § 2225a, all recipients must ensure that all conference, meeting, convention, or training space funded in whole or in part with federal funds complies with the fire prevention and control guidelines of the Federal Fire Prevention and Control Act of 1974, as amended, 15 U.S.C. § 2225. Article XXVI. Limited English Proficiency (Civil Rights Act of 1964, Title VI) All recipients must comply with the Title VI of the Civil Rights Act of 1964 (Title VI) prohibition against discrimination on the basis of national origin, which requires that recipients of federal financial assistance take reasonable steps to provide meaningful access to persons with limited English proficiency (LEP) to their programs and services. For additional assistance and information regarding language access obligations, please refer to the DHS Recipient Guidance https://www.dhs.gov/guidance-published-help-department- supported-organizations-provide-meaningful-access-people-limited and additional resources on http://www.lep.gov. 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&pri…12/14 Article XXVII. Lobbying Prohibitions All recipients must comply with 31 U.S.C. § 1352, which provides that none of the funds provided under an federal financial assistance award may be expended by the recipient to pay any person to influence, or attempt to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with any federal action concerning the award or renewal. Article XXVIII. National Environmental Policy Act All recipients must comply with the requirements of the National Environmental Policy Act (NEPA) and the Council on Environmental Quality (CEQ) Regulations for Implementing the Procedural Provisions of NEPA, which requires recipients to use all practicable means within their authority, and consistent with other essential considerations of national policy, to create and maintain conditions under which people and nature can exist in productive harmony and fulfill the social, economic, and other needs of present and future generations of Americans. Article XXIX. Nondiscrimination in Matters Pertaining to Faith- Based Organizations It is DHS policy to ensure the equal treatment of faith-based organizations in social service programs administered or supported by DHS or its component agencies, enabling those organizations to participate in providing important social services to beneficiaries. All recipients must comply with the equal treatment policies and requirements contained in 6 C.F.R. Part 19 and other applicable statues, regulations, and guidance governing the participations of faith-based organizations in individual DHS programs. Article XXX. Non-supplanting Requirement All recipients receiving federal financial assistance awards made under programs that prohibit supplanting by law must ensure that federal funds do not replace (supplant) funds that have been budgeted for the same purpose through non-federal sources. Article XXXI. Notice of Funding Opportunity Requirements All of the instructions, guidance, limitations, and other conditions set forth in the Notice of Funding Opportunity (NOFO) for this program are incorporated here by reference in the award terms and conditions. All recipients must comply with any such requirements set forth in the program NOFO. Article XXXII. Patents and Intellectual Property Rights Unless otherwise provided by law, recipients are subject to the Bayh-Dole Act, Pub. L. No. 96-517, as amended, and codified in 35 U.S.C. § 200 et seq. All recipients are subject to the specific requirements governing the development, reporting, and disposition of rights to inventions and patents resulting from federal financial assistance awards located at 37 C.F.R. Part 401 and the standard patent rights clause located at 37 C.F.R. § 401.14. Article XXXIII. Prior Approval for Modification of Approved Budget Before making any change to the DHS/FEMA approved budget for this award, you must request prior written approval from DHS/FEMA where required by 2 C.F.R. § 200.308. For awards with an approved budget greater than $150,000, you may not transfer funds among direct cost categories, programs, functions, or activities without prior written approval from DHS/FEMA where the cumulative amount of such transfers exceeds or is expected to exceed ten percent (10%) of the total budget DHS/FEMA last approved. You must report any deviations from your DHS/FEMA approved budget in the first Federal Financial Report (SF-425) you submit following any budget deviation, regardless of whether the budget deviation requires prior written approval. Article XXXIV. Procurement of Recovered Materials All recipients must comply with Section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act. The requirements of Section 6002 include procuring only items designated in guidelines of the Environmental Protection Agency (EPA) at 40 C.F.R. Part 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition. Article XXXV. Protection of Human Subjects Where applicable, recipients of financial assistance will comply with the requirements of the Federal regulations at 45 CFR Part 46, which requires that recipients comply with applicable provisions/law for the protection of human subjects for purposes of research. Recipients must also comply with the requirements in DHS Management Directive 026-04, Protection of Human Subjects, prior to implementing any work with human subjects. For purposes of 45 CFR Part 46, research means a systematic investigation, including research, development, testing, and evaluation, designed to develop or contribute to general knowledge. Activities that meet this definition constitute research for purposes of this policy, whether or not they are conducted or supported under a program that is considered research for other purposes. The regulations specify additional protections for research involving human fetuses, pregnant women, and neonates (Subpart B); prisoners (Subpart C); and children (Subpart D). The 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&pri…13/14 use of autopsy materials is governed by applicable State and local law and is not directly regulated by 45 CFR Part 46. Article XXXVI. Rehabilitation Act of 1973 All recipients must comply with the requirements of Section 504 of the Rehabilitation Act of 1973, 29 U.S.C. § 794, as amended, which provides that no otherwise qualified handicapped individuals in the United States will, solely by reason of the handicap, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving federal financial assistance. Article XXXVII. Reporting of Matters Related to Recipient Integrity and Performance If the total value of the recipient's currently active grants, cooperative agreements, and procurement contracts from all federal assistance offices exceeds $10,000,000 for any period of time during the period of performance of this federal financial assistance award, you must comply with the requirements set forth in the government- wide Award Term and Condition for Recipient Integrity and Performance Matters located at 2 C.F.R. Part 200, Appendix XII, the full text of which is incorporated here by reference in the award terms and conditions. Article XXXVIII. Reporting Subawards and Executive Compensation All recipients are required to comply with the requirements set forth in the government-wide Award Term on Reporting Subawards and Executive Compensation located at 2 C.F.R. Part 170, Appendix A, the full text of which is incorporated here by reference in the award terms and conditions. Article XXXIX. SAFECOM All recipients receiving federal financial assistance awards made under programs that provide emergency communication equipment and its related activities must comply with the SAFECOM Guidance for Emergency Communication Grants, including provisions on technical standards that ensure and enhance interoperable communications. Article XL. Terrorist Financing All recipients must comply with E.O. 13224 and U.S. law that prohibit transactions with, and the provisions of resources and support to, individuals and organizations associated with terrorism. Recipients are legally responsible to ensure compliance with the Order and laws. Article XLI. Trafficking Victims Protection Act of 2000 All recipients must comply with the requirements of the government-wide award term which implements Section 106(g) of the Trafficking Victims Protection Act of 2000, (TVPA) as amended by 22 U.S.C. § 7104. The award term is located at 2 C.F.R. § 175.15, the full text of which is incorporated here by reference in the award terms and conditions. Article XLII. Universal Identifier and System of Award Management (SAM) All recipients are required to comply with the requirements set forth in the government-wide financial assistance award term regarding the System for Award Management and Universal Identifier Requirements located at 2 C.F.R. Part 25, Appendix A, the full text of which is incorporated here by reference in the terms and conditions. Article XLIII. USA Patriot Act of 2001 All recipients must comply with requirements of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act (USA PATRIOT Act), which amends 18 U.S.C. §§ 175- 175c. Article XLIV. Use of DHS Seal, Logo and Flags All recipients must obtain permission from their DHS FAO, prior to using the DHS seal(s), logos, crests or reproductions of flags or likenesses of DHS agency officials, including use of the United States Coast Guard seal, logo, crests or reproductions of flags or likenesses of Coast Guard officials. Article XLV. Whistleblower Protection Act All recipients must comply with the statutory requirements for whistleblower protections (if applicable) at 10 U.S.C § 2409, 41 U.S.C. 4712, and 10 U.S.C. § 2324, 41 U.S.C. §§ 4304 and 4310. 9/17/2018 View Award Package https://eservices.fema.gov/FemaFireGrant/firegrant/jsp/fire_admin/awards/spec/view_award_package.do?agreementNo=EMW-2017-FO-00888&pri…14/14 FEDERAL EMERGENCY MANAGEMENT AGENCY OBLIGATING DOCUMENT FOR AWARD/AMENDMENT 1a. AGREEMENT NO. EMW-2017-FO-00888 2. AMENDMENT NO. 0 3. RECIPIENT NO. 91-6001231 4. TYPE OF ACTION AWARD 5. CONTROL NO. WX02682N2018T 6. RECIPIENT NAME AND ADDRESS Bremerton Fire Department 911 Park Avenue Bremerton Washington, 98337-1550 7. ISSUING OFFICE AND ADDRESS Grant Programs Directorate 500 C Street, S.W. Washington DC, 20528-7000 POC: Andrea Day 8. PAYMENT OFFICE AND ADDRESS FEMA, Financial Services Branch 500 C Street, S.W., Room 723 Washington DC, 20472 9. NAME OF RECIPIENT PROJECT OFFICER David Schmitt PHONE NO. 3604735381 10. NAME OF PROJECT COORDINATOR Catherine Patterson PHONE NO. 1-866-274-0960 11. EFFECTIVE DATE OF THIS ACTION 14-JUL-18 12. METHOD OF PAYMENT SF-270 13. ASSISTANCE ARRANGEMENT Cost Sharing 14. PERFORMANCE PERIOD From:14-JUL- 18 To:13-JUL-19 Budget Period From:30-APR- 18 To:30-SEP-18 15. DESCRIPTION OF ACTION a. (Indicate funding data for awards or financial changes) PROGRAM NAME ACRONYM CFDA NO.ACCOUNTING DATA (ACCS CODE) XXXX-XXX-XXXXXX-XXXXX- XXXX-XXXX-X PRIOR TOTAL AWARD AMOUNT AWARDED THIS ACTION + OR (-) CURRENT TOTAL AWARD CUMULATIVE NON- FEDERAL COMMITMENT AFG 97.044 2018-F7-C111-P4310000-4101- D $0.00 $100,895.00 $100,895.00 $10,089.00 TOTALS $0.00 $100,895.00 $100,895.00 $10,089.00 b. To describe changes other than funding data or financial changes, attach schedule and check here. N/A 16a. FOR NON-DISASTER PROGRAMS: RECIPIENT IS REQUIRED TO SIGN AND RETURN THREE (3) COPIES OF THIS DOCUMENT TO FEMA (See Block 7 for address) Assistance to Firefighters Grant recipients are not required to sign and return copies of this document. However, recipients should print and keep a copy of this document for their records. 16b. FOR DISASTER PROGRAMS: RECIPIENT IS NOT REQUIRED TO SIGN This assistance is subject to terms and conditions attached to this award notice or by incorporated reference in program legislation cited above. 17. RECIPIENT SIGNATORY OFFICIAL (Name and Title) N/A DATE N/A 18. FEMA SIGNATORY OFFICIAL (Name and Title) Andrea Day DATE 12-JUL-18 Go Back AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Public Hearing for the 2018 Edward Byrne Memorial Justice Assistance Grant (JAG) Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: Police Presenter: T. Wolfe and R. Plumb Phone: (360) 473-5841 SUMMARY: The Bremerton Police Department is applying for the local solicitation of the Edward Byrne Memorial Justice Assistance Grant (JAG). Since 2010, funding has been used to help fund the salary for the position of the Community Resource Specialist. The grant will allow the City to continue the Community Resource Unit and its crime prevention function and programs. The grant is from the Department of Justice. No matching funds are required of the City. The total grant amount is $20,900. ATTACHMENTS: 2018 Edward Byrne Memorial Justice Assistance Grant Application FISCAL IMPACTS (Include Budgeted Amount): None STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Full Presentation STUDY SESSION ACTION: ☐ Consent Agenda ☐ General Business ☒ Public Hearing RECOMMENDED MOTION: Move to approve the 2018 Edward Byrne Memorial Justice Assistance Grant; and to authorize the Mayor to finalize and execute the agreement with substantially the same terms and conditions as presented. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 7A Purpose Area #4 8.Fringe Benefits Name Computation List each grant-supported position receiving fringe benefits. Show the basis for computation. Base Tota/Cost Non-Federal Federal Rate Contribution Request $73,936.00 44.84% $33,153 $33,153 Total(s) $33,153 $0 $33,153 Narrative Our Fringe benefit rate is 44.84 FICA -6.2%; Industrial Insurance -.. 05 center per hour worked; Workers Comp -.. 01 cents per hours worked; Retirement 12. 71%; Accumulated Leave - 1.45%; Unemployment -.06%; Medical/Dental/Vision -$1,445.15 per month 2 Budget Summary Budget Summary Note: Any errors detected on this page should be fixed on the corresponding Budget Detail tab. Year 1 Year 2 Year 3 Year4 Year 5 (if needed) (if needed) (if needed) (if needed) ... ............"' "' "' "' QI � QI � QI � QI � QI � ::::, .......::::, .... ...::::, .... ...::::, .... ...::::, .... ...CT QI "' CT QI "' CT QI "' CT QI "' CT QI "' 3 QI "C QI QI "C QI QI "C QI QI "C QI QI "C QI Budget Category 0::: QI ::::, 0::: QI ::::, 0::: QI ::::, 0::: QI ::::, 0::: QI ::::, � u. CT � u. CT � u. CT � u. CT � u. CT ... ' QI ' QI g � ' QI ' QI {:. QI g 0::: QI g 0::: QI QI g 0::: QI g 0::: "C z "C z "C z "C z "C z QI QI QI QI QI u. u. u. u. u. A.Personnel $73,937 $0 $0 $0 $0 $0 $0 $0 $0 $0 $73,937 B. Fringe Benefits $33,153 $0 $0 $0 $0 $0 $0 $0 $0 $0 $33,153 C. Travel $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 D. Equipment $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 E. Supplies $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 F. Construction $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 G. Subawards (Subgrants)$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 H.Procurement Contracts $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 I. Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Direct Costs $107,090 $0 $0 $0 $0 $0 $0 $0 $0 $0 $107,090 J. Indirect Costs $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Project Costs $107,090 $0 $0 $0 $0 $0 $0 $0 $0 $0 $107,090 Does this budget contain conference costs which is defined broadly to include meetings, retreats, seminars, symposia, and training activities? - Y /N No 1 AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Public Hearing on Ordinance No. 5352 to vacate a portion of an alley west of Wheaton Way and south of E. 13th Street Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: PW&U Presenter: Tom Knuckey Phone: (360) 473-2376 SUMMARY: The adjacent property owner has petitioned the City to have a portion of the alley located west of Wheaton Way and south of East 13th Street vacated to facilitate their planned townhome development. The alley portion fronts 3 properties; 1147 Wheaton Way (the applicant), 1145 Wheaton Way and 1903 East 13th Street. The owner of 1903 East 13th Street has signed the petition to support the vacation, the owner of 1145 Wheaton Way has not endorsed the vacation. The two property owners supporting the vacation comprise 78% of the vacation frontage. BMC 11.20.070 states “if the petition is signed by the owners of more than two-thirds of the property on a front footage basis…the council, shall by resolution, fix a time when the petition will be heard.” Easements will be retained for access, private utilities and potential City utilities. ATTACHMENTS: 1. Proposed Ordinance No. 5352; 2. Engineering Staff Report; 3. Exhibit A – Legal Description and Exhibit B – Site Plan; 4. Photographs; and 5. Petition for Vacation FISCAL IMPACTS (Include Budgeted Amount): None STUDY SESSION AGENDA: ☒ Limited Presentation ☐ Full Presentation STUDY SESSION ACTION: ☐ Consent Agenda ☐ General Business ☒ Public Hearing RECOMMENDED MOTION: Move to pass Ordinance No. 5352 to vacate a portion of the alley west of Wheaton Way and south of East 13th Street. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 7B 1 Vacation of Alley West of Wheaton Way & South of East 13th Street ORDINANCE NO. 5352 AN ORDINANCE of the City Council of the City of Bremerton, Washington, relating to the vacation of a portion of the alley west of Wheaton Way and south of East 13th Street. WHEREAS, the City has initiated the vacation in accordance with Bremerton Municipal Code (BMC) 11.20.080 to allow the adjacent property owner to meet set-back requirements for construction of a multi-family development on his property; and WHEREAS, the City passed Resolution No. 3310 setting a hearing date to consider the vacation, to take public comment or consider written objections to the vacation; and WHEREAS, fewer than fifty percent of the property owners abutting said right- of-way filed written objections to this action prior to the time set for public hearing herein; and WHEREAS, a public hearing was held with proper notice on October 3, 2018, in the City Council Chambers of the Bremerton City Hall to take public comment or consider written objections to the vacation; and WHEREAS, the City Council has determined that it is in the best interest of the public to proceed with the vacation; NOW, THEREFORE THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Recitals. The foregoing recitals are incorporated as if fully set forth herein. SECTION 2. Vacation of Right-of-Way. A portion of the alley west of Wheaton Way and South of East 13th Street legally described in Exhibit A and shown on the site plan set forth in Exhibit B, which exhibits are attached and incorporated herein by this reference, is hereby vacated to the abutting property owners subject to the reservation of easements, if any, as applicable. SECTION 3. Reservation of Easements. (a) Existing Utilities: easements are reserved for existing private utilities for operation, maintenance and repair of facilities over, under and upon the entire area vacated pursuant to this ordinance. (b) Future Utilities: easements are reserved for the City of Bremerton for construction, operation, maintenance and repair of potential future facilities over, under and upon the entire area vacated pursuant to this ordinance. (c) Access: easements are reserved for Tax Parcel Numbers 3905-000-004-0006, 3905-000-003-0007, 3905-000-001-0009 and 3914-003-003-0109 for access over and upon the entire area vacated pursuant to this ordinance. 2 Vacation of Alley West of Wheaton Way & South of East 13th Street SECTION 4. Vested Rights. No vested rights shall be affected by the provisions of this ordinance. SECTION 5. Severability. If any one or more sections, subsections, or sentences of this Ordinance are held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this Ordinance and the same shall remain in full force and effect. SECTION 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 of the City of Bremerton, Washington this ________ day of ________________, 2018. ERIC YOUNGER, Council President Approved this _______ day of ________________, 2018. GREG WHEELER, Mayor APPROVED AS TO FORM: ATTEST: ROGER A. LUBOVICH, City Attorney ANGELA WOODS, City Clerk PUBLISHED the ______ day of _______________________, 2018. EFFECTIVE the ______ day of _______________________, 2018 ORDINANCE NO. __________ R:\Legal\Legal\Ordinances\Public Works & Utilities\Street Vacation Ord. - Wheaton & 13th Street.doc AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Public Hearing (1 of 2) on Telecommunication Tower Option and Lease Agreement with Vertical Bridge Development, LLC for Forest Ridge Park Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 COUNCIL MEETING Date: October 17, 2018 Department: Parks & Recreation Presenter: Jeff Elevado Phone: (360) 473-5428 SUMMARY: The City was contacted by a T-Mobile Site Acquisition representative in late 2016 relative to locating a telecommunication tower on Parks & Recreation property in Forest Ridge Park near the existing Public Works water tanks. The proposal includes construction of a 150-foot monopole and antenna array with accompanying equipment buildings. The option was later acquired by Vertical Bridge Development, LLC. The City’s Legal and Parks & Recreation Departments have been in negotiations with the contractor to finalize the Tower Option and Lease Agreement that is presented here. The proposal has been presented at several Parks & Recreation Commission public meetings. ATTACHMENTS: 1) Telecommunication Tower Option and Lease Agreement; 2) Bremerton Parks & Recreation Commission Advisory Report; 3) Fifo Networks Reports (2); 4) T-Mobile Reports (2); and 5) “Acoustical Report” by SSA Acoustics FISCAL IMPACTS (Include Budgeted Amount): Base Rent Income revenue of $1,750 per month ($21,000 annually) and a $5,250 one-time payment. STUDY SESSION AGENDA: ☐ Limited Presentation ☒ Full Presentation STUDY SESSION ACTION: ☐ Consent Agenda ☐ General Business ☒ Public Hearing RECOMMENDED MOTION: October 3: No Action; Public Comment Only October 17: Move to approve the Telecommunication Tower Option and Lease Agreement with Vertical Bridge Development, LLC; authorize the Mayor to finalize and execute the agreement with substantially the same terms and conditions as presented; and transfer all revenues received from a fund dedicated to Parks Operation, Maintenance, and Capital Improvements, unless otherwise allocated by City Council. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 7C 1 City: The City of Bremerton 345 6th Street, Suite 100 Bremerton, WA 98337 Tenant: Vertical Bridge Development, LLC 750 Park of Commerce Drive, Suite 200 Boca Raton, FL 33487 Site #: US-WA-5107 Site Name: Forest Ridge OPTION AND LEASE AGREEMENT THIS OPTION AND LEASE AGREEMENT (this “Agreement”) is made this ____ day of ____________, 2018 (the “Effective Date”), by and between the City of Bremerton, a Washington municipal corporation (which acquired the portion of the Property in the East half of the Southwest quarter of the Southeast quarter as the City of Charleston), hereinafter the “City,” whose address is 345 6th Street, Suite 100, Bremerton, WA 98337, and Vertical Bridge Development, LLC, a Delaware limited liability company, hereinafter, “Tenant,” whose address is 750 Park of Commerce Drive, Suite 200, Boca Raton, FL 33487. WHEREAS, the City owns certain real property located at 3100 1st Street, Bremerton, WA 98337 (APN: 152401-4-021-2007) in the County of Kitsap, in the state of Washington, that is commonly known as Forest Ridge Park and that is more particularly described and/or depicted in Exhibit 1 attached hereto (the “Property”); and WHEREAS, the Tenant desires to lease from City a certain portion of the Property measuring approximately 40’ x 40’ (approximately 1,600 square feet) (the “Premises”), which Premises is more particularly described and/or depicted in Exhibit 2 attached hereto, for the erection of a communications tower. NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree: 1. OPTION TO LEASE. (a) City grants to Tenant the exclusive option to lease the Premises. (b) From and after the date of this Agreement as set forth above for the time period set forth below (the “Option Period”), and at any time during the Term (defined below) with advance notice to the City, Tenant and its agents, engineers, surveyors and other representatives will have the right to enter upon the Property to inspect, examine, conduct soil borings, drainage testing, material sampling, and other geological or engineering tests or studies of the Property (collectively, the “Tests”), to apply for and obtain licenses, permits, approvals, or other relief required of or deemed necessary or appropriate at Tenant’s sole discretion for its use of the Premises and include, without limitation, applications for zoning variances, zoning ordinances, amendments, special use permits, and construction permits (collectively, the “Government Approvals”), initiate the ordering and/or scheduling of necessary utilities, and otherwise to do those things on the Property that are necessary to determine the physical condition of the Property, the environmental history of the Property, City’s title to the Property and the feasibility or suitability of the Property for 2 Tenant’s Permitted Use, all at Tenant’s expense. Tenant will not be liable to City or any third party on account of any pre-existing defect or condition on or with respect to the Property, whether or not such defect or condition is disclosed by Tenant’s inspection. Tenant shall obtain City approval prior to any physical disturbance of the Property, and such approval shall not be unreasonably withheld, delayed or conditioned. Tenant will restore the Property to its condition as it existed at the commencement of the Option Period (as defined below), reasonable wear and tear and casualty not caused by Tenant excepted. In addition, Tenant shall indemnify, defend and hold City harmless from and against any and all injury, loss, damage or claims arising directly out of Tenant’s Tests. (c) In consideration of City granting Tenant the Option Period, Tenant agrees to pay City the sum of Five Hundred Dollars ($500.00) within thirty (30) business days of the full execution of this Agreement. The Option Period will be for a term of one (1) year from the Effective Date. (d) During the Option Period, Tenant may commence the Initial Term of this Agreement by notifying City in writing. If Tenant commences the Initial Term, then City leases the Premises to the Tenant subject to the terms and conditions of this Agreement. If Tenant does not commence the lease portion of this Agreement during the Option Period, this Agreement will terminate and the parties will have no further liability to each other. 2. TERM. (a) The lease portion and Term shall commence on the first day of the month in which Tenant begins construction if such construction commences on or before the 15th day of the month, or the first day of the month after Tenant commences construction if such construction commences after the 15th day of the month (the “Commencement Date”). Unless extended or sooner terminated as herein provided, the initial term shall be for a period of five (5) years following the Commencement Date (“Initial Term”). (b) Tenant shall have the option to extend the Term of this Agreement for four (4) successive terms of five (5) years each (each a “Renewal Term”). Each Renewal Term shall commence automatically, unless Tenant delivers notice to City of its intent not to renew, such notice to be delivered not less than sixty (60) days prior to the end of the then-current Term. For purposes of this Agreement, “Term” shall mean the Initial Term and any applicable Renewal Term(s). 3. RENT. (a) Base rent. Tenant shall pay City beginning at Commencement Date a monthly rental payment of One Thousand Seven Hundred Fifty Dollars ($1,750.00) (“Rent”), at the address set forth above on or before the fifth (5th) day of each calendar month in advance, together with such month’s leasehold excise tax in accordance with Section 4 below. Rent will be prorated for any partial month. The initial Rent payment will be forwarded by Tenant to City within thirty (30) days from Commencement Date. 3 Each year after the first year of the Term of the Agreement, the Rent shall be increased by three percent (3%). Any payments received after the due date and after any applicable cure period shall include a late payment penalty of two percent (2%) of the monthly rental fee for each day or part thereof past the due date. (b) One-Time Payment. In addition to the commencement of Rent as set forth above, Tenant will pay to City a one-time payment of Five Thousand Two Hundred Fifty Dollars ($5,250.00) within sixty (60) days after the Commencement Date, which shall not be a credit toward Rent or any other fee that may be due under this Agreement. There shall be no revenue share fee. However, Tenant’s right to sublet, consistent with this Agreement, shall be contingent upon: Tenant furnishing City with a copy of each proposed sublease and City approval thereof, sublessee compliance with this Agreement’s requirements to the extent applicable, and the Tenant’s continued ownership and control over the tower facility unless otherwise agreed by the City. The City encourages co-location on existing telecommunications facilities and to that end the City agrees not to unreasonably withhold, delay nor condition approval of subleases. (c) Reservation of Space on Tower for City - Additional consideration. (i) At no rent due from City to Tenant nor any reduction in the Rent, City shall be allowed, at City’s sole expense, to attach its communication antennas to Tenant’s telecommunications tower provided City first obtains Tenant’s written consent, with such consent not to be unreasonably withheld. Pursuant to the foregoing, Tenant hereby agrees to reserve on behalf of City a ten foot (10’) vertical envelope (360 degrees) at a height of eighty feet (80’) to ninety feet (90’) with a centerline of eighty-five (85’) on Tenant’s tower at the Premises in the event Tenant builds a tower on the Premises (“City’s Tower Space”). Any equipment installed on City’s Tower Space shall not exceed seven thousand and five hundred (7,500) square inches of wind loading capacity. Tenant’s approval for said attachments shall be contingent upon determining whether Tenant’s tower is properly engineered to accommodate City’s antenna system and such transmission shall not result in any impairment or diminution in the quality of Tenant’s service. Further, said approval shall be given only after Tenant has reviewed and approved City’s engineering plans for said antenna attachments. Approval shall not be unreasonably withheld. Upon written approval by Tenant, said attachments shall be installed, at City sole expense, by qualified licensed contractors and in accordance with Tenant’s directives for the method of installment. In addition to the City being responsible for its own installation, the City shall also be responsible for its own utilities and operations and agrees that any ground space required for City’s Tower Space shall be outside the Premises. City acknowledges and agrees that Tenant reserves the right to relocate City’s antennas at any time(s) to accommodate modifications required for Tenant’s future system requirements, provided such relocation shall provide equivalent quality of service after such relocation. (ii) Any reservation of right granted to the City pursuant to this Section is solely limited to City’s use only of the ten foot (10’) vertical envelope described above and City acknowledges and agrees that the City does not have the right to lease, license, sublease, 4 sublicense, etc. such space on the tower on the Premises to any other party including, without limitation, any wireless communication entity. 4. TAXES. Tenant shall pay any personal property taxes assessed on, or any portion of such taxes attributable to, the communication facility located on the Premises. Tenant agrees to pay the leasehold excise tax on the rent payment pursuant to Chapter 82.29A RCW currently in the amount of 12.84 percent (12.84%) and as may be adjusted pursuant to Chapter 82.29A RCW. The leasehold excise tax applies to revenue sharing of sublessees’ rent payments pursuant to Section 3 of this Agreement. Tenant shall be responsible for paying business and occupation, and/or other taxes or licenses which may in the future be assessed as a direct result of the Tenant’s operations at the Premises. 5. USE AND INSPECTION. (a) The Premises are being leased for the purpose of erecting, installing, operating and maintaining one (1) radio or communications tower, transmitting and receiving equipment, antennas, dishes, mounting structures, equipment shelters and other supporting structures, and related equipment (the “Facility,” or collectively, the “Communication Facilities”) and to sublease or license space to subtenants or licensees in accordance with the terms of this Agreement. Tenant may, subject to the foregoing, make any improvement, alteration or modification to the Premises as may be necessary; however, in the event Tenant desires to increase the height of the original Tower or place any Facility on the Tower that will protrude above the height of the Tower, or to add any Facility that protrudes off the side of the Tower in excess of ten feet (10’), Tenant must first obtain City’s permission which shall not be unreasonably denied. Tenant must obtain City permission to clear the Premises of any trees, vegetation, or undergrowth which interferes with Tenant’s use of the Premises for the intended purposes; City shall not unreasonably deny such clearing. Tenant shall have the exclusive right to install and operate upon the Premises one (1) communications tower, cabinets, equipment, antennas, dishes, fencing, and other accessories related thereto, and to alter, supplement, and/or modify same, pursuant to plans submitted to and approved by City. (b) Tenant agrees to obtain an inspection of its Communication Facilities at a minimum of once every five years by a state-licensed engineer capable of certifying the structural integrity of the facilities (the “Inspection”). The Inspection must be compliant with the inspection procedures set forth in the Telecommunications Industry Association’s TIA-222 (G or current revision). Any structural problems must be brought to the attention of the City immediately. Written reports shall be generated for all such Inspections, and Tenant shall retain all reports of all structural inspections – whether required under this Agreement or not for the duration of this Agreement. Tenant shall provide a copy of any inspection report to the City upon request. 6. ACCESS AND UTILITIES. At all times during the Term, Tenant, and its agents, customers, lessees, sublessees and assigns shall have the unrestricted, exclusive right to use, and shall have free access to, the Premises seven (7) days a week, twenty-four (24) hours a day. City for itself, its successors and assigns, hereby grants and conveys unto Tenant, its customers, employees, agents, sublessees, sublicensees, successors and assigns a nonexclusive Easement(s) (defined below) for: (i) ingress and egress, (ii) construction, installation, maintenance, and 5 operation of the Communication Facilities, and (iii) the construction, installation, operation and maintenance of overhead and underground electric and other utility facilities (includ ing wires, poles, cables, conduits and appurtenant equipment), with the right to reconstruct, improve, add to, enlarge, change and remove such facilities, over, across and through the Easement for the benefit of and access to the Premises, subject to the terms and conditions herein set forth. City agrees to cooperate with Tenant’s efforts to obtain such utilities and services. If there are utilities already existing on the Premises which serve the Premises, Tenant may utilize such utilities and services to the extent possible. The rights granted to Tenant herein shall also include the right to partially assign its rights hereunder to any public or private utility company or authority to facilitate the uses contemplated herein, and all other rights and privileges reasonably necessary for Tenant’s safe and efficient use and enjoyment of the easements for the purposes described above. The Easement(s) are defined as both the access and utility easements as depicted on Exhibit 2. The Easements shall be included in any recorded Memorandum of Lease. The Easements will not be perpetual and shall expire upon the last to occur of (i) expiration or termination of this Agreement, or (ii) removal by Tenant of all its property from the Premises after expiration or early termination of this Agreement. Tenant agrees that City may, at City’s expense, relocate the access only portion of the Easement to another location on the Property, provided that (i) City provides Tenant with at least sixty (60) days prior written notice, and (ii) Tenant’s resulting access and beneficial use of the Premises is equivalent to that contemplated in this Agreement. 7. EQUIPMENT, FIXTURES AND REMOVAL. Tenant’s tower, all improvements, equipment or other property attached to or otherwise brought onto the Premises shall at all times be the personal property of Tenant and/or its subtenants and licensees. Tenant or its customers shall have the right to erect, install, maintain, and operate on the Premises such equipment, structures, fixtures, signs, and personal property in accordance with the terms of this Agreement, and such property shall not be deemed to be part of the Premises, but shall remain the property of Tenant or its customers. Within ninety (90) days after the expiration or earlier termination of this Agreement (the “Removal Period”), Tenant at its sole expense shall remove its improvements and restore the Premises to grade and to its condition prior to this Agreement and shall perform all obligations under this Agreement during the Removal Period, including without limitation, the payment of Rent at the rate in effect upon the expiration or termination of th is Agreement. City may allow Tenant, by written agreement, to abandon its property in place, but City shall not be obligated to compensate Tenant for the property or any value derived therefrom. If City does not allow abandonment and Tenant does not remove its property within the Removal Period, Tenant must reimburse City for its reasonable costs in having the property removed and the Premises restored. Tenant understands and agrees that its improvements, equipment and other property shall meet all applicable local, State and Federal code. City may require screening, fencing, and other safety and aesthetic features due to the nature of the Property. In addition, City may limit any future changes (from the original approved installation) to the height and width of the Communication Facilities and all other improvements and modifications to maintain the overall aesthetic of the original design. 6 8. ASSIGNMENTS OR TRANSFERS OF THIS AGREEMENT. City may assign this Agreement only in its entirety and only to a purchaser acquiring fee title to the entire Property, subject to Section 17. As to Tenant, this Agreement may be sold, assigned or transferred by Tenant without any approval or consent of City to Tenant’s lender, principal, affiliates, subsidiaries, subsidiaries of its principal or to any entity which acquires all of or substantially all of Tenant’s assets or ownership interests by reasons of merger, acquisition or other business reorganization (a “Pre-Approved Transaction”). As to transfers or assignments that do not constitute a Pre- Approved Transaction, Tenant shall be required to obtain City’s prior written consent, which consent shall not be unreasonably conditioned, withheld or delayed and, provided that (i) City is provided an instrument of assumption by an assignee that assumes all of the obligations of Tenant under this Agreement (ii) such assignee owns not less than one thousand (1,000) telecommunications towers, and (iii) assignee pays City any assignment or other fee required under the Bremerton Municipal Code as currently written or hereafter amended, Tenant shall be relieved of all liability hereunder. Tenant shall have the exclusive right to sublease or grant licenses without City’s consent to use the radio tower or any other tower or structure or equipment on the Premises, but no such sublease or license shall relieve or release Tenant from its obligations under this Agreement. Further, with respect to Tenant: (a) This Agreement shall not be assigned or transferred in any manner within twelve (12) months after the initial grant of this Agreement, unless otherwise provided. (b) Absent extraordinary and unforeseeable circumstances, no system or integral part of a system shall be assigned or transferred before construction of the telecommunications facility has been completed. (c) Tenant shall provide to City any reasonable information pertaining to any transfer or assignment pursuant to this Section that is requested by City. (d) Any transfer or assignment of this Agreement, system, or integral part of a system not in accordance with the foregoing shall be void and is cause for revocation of this Agreement. 9. TRANSACTIONS AFFECTING CONTROL OF THIS AGREEMENT. Any transactions which singularly or collectively result in a change of fifty percent (50%) or more of the ownership or working control of the Tenant, of the ownership or working control of the telecommunications facility, of the ownership or working control of affiliated entities having ownership or working control of the Tenant or of a telecommunications facility, or of control of the capacity or bandwidth of the Tenant’s telecommunication system, facilities or substantial parts thereof, shall be considered an assignment or transfer requiring City approval pursuant to Section 8 hereof. Transactions between affiliated entities are not exempt from City approval. The Tenant shall promptly notify the City prior to any proposed change in, or transfer of, or acquisition by any other party of control of Tenant’s company. Every change, transfer, or acquisition of control of a Tenant’s company shall cause a review of the proposed transfer. In the event that the City adopts a resolution or other appropriate order denying its consent and such change, transfer or acquisition of control has been effected, the City may cancel this Agreement. Approval shall not be required 7 for mortgaging purposes or if said transfer is from the Tenant to another person or entity controlling, controlled by, or under common control with the Tenant. 10. COVENANTS, WARRANTIES AND REPRESENTATIONS. (a) City warrants and represents that it is the owner in fee simple of the Premises, free and clear of all liens and encumbrances except as to those which may have been disclosed to Tenant, in writing prior to the execution hereof, and that it alone has full right to lease the Premises for the Term set out herein. (b) City shall not do or knowingly permit anything that will interfere with or negate any special use permit or approval pertaining to the Premises or cause any tower on the Premises to be in nonconformance with applicable local, state, or federal laws. City shall cooperate with Tenant in any effort by Tenant to obtain certificates, permits, licenses and other approvals that may be required by any governmental authorities. City agrees to execute any necessary applications, consents or other documents as may be reasonably necessary for Tenant to apply for and obtain the proper zoning approvals required to use and maintain the Premises and the tower site, provided Tenant complies with application, zoning, and all other City department requirements. (c) Tenant shall not generate, release, spill, store, deposit, 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 applicable federal, state, and local laws and regulations (“Hazardous Substances”) in, on or about the Premises, the Property or any Easement. To the extent that Tenant must use generators , batteries or vehicles, the obligations of Tenant contained in this Section shall apply to any spill or leakage of fuel, acid, or any other chemical. Tenant shall clean up and restore all affected areas, including testing and abatement for any soil contamination, and shall obtain all applicable permits to so restore the areas, at Tenant’s sole expense and as soon as possible but not later than seven (7) days after such spill or leakage. Tenant shall indemnify, defend and hold City, its officers, employees, successors and assigns harmless from any and all debts, liens, claims, liabilities, administrative orders and notices, demands, losses, damages, cleanup costs, response costs, personal injuries, interest, fines, penalties, costs and expenses (including reasonable attorneys’ fees and consultants’ fees) and all other out-of-pocket expenses arising out of or in any way related to the Release by Tenant, or any of its agents, employees, customers, sublicensees or sublessees, or the 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 Tenant or any of its agents, employees, customers, sublicensees or sublessees. This Section shall not limit Tenant's liability as set forth in this Agreement. The provisions of this Section shall survive termination or expiration of this Agreement. (d) Tenant shall have access to all utilities required for the operation of the Tenant’s improvements on the Premises that are existing on the Property. Tenant will pay for all water, gas, heat, light, power, telephone service, and other utilities furnished to the Premises and used by Tenant, and all other costs and expenses of every kind whatsoever in connection with the use, operation, and maintenance of the Premises by Tenant and all activities conducted thereon by Tenant. 8 (e) Tenant will maintain the Premises in good condition and state of repair. (f) There currently exist no licenses, sublicenses, or other agreements, written or oral, granting to any party or parties the right of use or occupancy of any portion of the Premises; there are no outstanding options or rights of first refusal to purchase the Premises or any portion thereof or interest therein; and there are no parties (other than City) in possession of the Premises. (g) City does not grant, lease, let or demise hereby, but expressly excepts and reserves herefrom, all rights to oil, gas and other minerals in, on or under and that might be produced or mined from the Premises. No drilling or other activity will be undertaken on or beneath the surface of the Premises or Easement to recover any oil, gas or minerals during the Term. Any future oil, gas or mineral lease covering any part of the Premises will be in all respects subordinate and inferior to the rights, privileges, powers, options, immunities, and interests granted to Tenant under the terms of this Agreement provided that such oil, gas or mineral lease(s) do not interfere with Tenant’s use of the Premises hereunder. 11. HOLD OVER TENANCY. Should Tenant or any assignee, sublessee or licensee of Tenant hold over the Premises or any part thereof after the expiration of this Agreement, such holdover shall constitute and be construed as a tenancy from month-to-month only, but otherwise upon the same terms and conditions as set forth in this Agreement. 12. GENERAL INDEMNIFICATION. (a) Tenant covenants not to bring suit against the City and hereby agrees to defend, indemnify, and hold harmless the City, its appointed and elected officers, employees, agents and volunteers from and against any and all liability, loss, costs, damage, and expense, including costs and reasonable attorney fees in defense thereof, and including claims by the Tenant’s own employees to which the Tenant might otherwise be immune under Title 51 RCW, because of actions, claims or lawsuits for damages resulting from personal or bodily injury, including death at any time resulting therefrom, sustained or alleged to have been sustained by any person or persons, and on account of damage to property, arising or alleged to have arisen directly or indirectly out of or in consequence of the performance of this Agreement, whether such injuries to persons or damage to property is due to the negligence of the Tenant, its agents, employees, representatives or assigns. This provision shall be inapplicable to the extent such damage or injury is judicially found to be caused by the sole negligence of the City. This provision waiving immunity for claims arising out of Title 51 RCW was specifically negotiated by the parties. (b) Tenant assumes the risk of damage to its facilities located in the City’s public ways, rights-of-way, easements, and property from activities conducted by the City, its officers, employees, agents, and volunteers. The Tenant releases and waives any and all claims against the City, its officers, employees, agents, and volunteers for damage to or destruction of the Tenant’s facilities except to the extent any such damage or destruction is caused by the willful and malicious action of the City, its officers, employees, agents, or volunteers. 9 (c) Tenant shall not cause mechanic’s or materialman’s liens to be placed on the Premises and Tenant agrees to indemnify, defend and hold City harmless from any such lien from a party claiming by, through or under Tenant. 13. WAIVERS. EACH PARTY HERETO WAIVES ANY AND ALL CLAIMS AGAINST THE OTHER FOR ANY LOSS, COST, DAMAGE, EXPENSE, INJURY OR OTHER LIABILITY WHICH IS IN THE NATURE OF INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE OR CONSEQUENTIAL DAMAGES, INCLUDING BUSINESS LOSS AND BUSINESS INTERRUPTION, WHICH ARE SUFFERED OR INCURRED AS THE RESULT OF, ARISE OUT OF, OR ARE IN ANY WAY CONNECTED TO THE PERFORMANCE OF THE OBLIGATIONS UNDER THIS AGREEMENT. 14. INSURANCE. The Tenant shall, as a condition of this Agreement and prior to beginning any work on the Premises, secure, maintain and provide the City proof of the following liability insurance policies insuring both the Tenant and the City, and its elected and appointed officers, officials, agents, employees, representatives, engineers, consultants, and volunteers against claims for injuries to persons or damages to property which may arise from or in connection with the exercise of the rights, privileges, and authority granted to the Tenant: (a) Comprehensive general liability insurance, written on an occurrence basis, with limits not less than: i. $2,000,000.00 for bodily injury or death to each person; ii. $4,000,000.00 for property damage resulting from any one accident; and iii. $2,000,000.00 for all other types of liability. (b) Automobile liability for owned, non-owned and hired vehicles with a limit of $2,000,000.00 for each person and $2,000,000.00 for each accident; (c) If required by the laws of the State of Washington, worker’s compensation within statutory limits and employer’s liability insurance with limits of not less than $1,000,000.00; (d) Comprehensive form premises-operations, explosions and collapse hazard, underground hazard and products completed hazard with limits of not less than $4,000,000.00; (e) Tenant’s insurance shall contain a clause stating that coverage shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer’s liability; (f) The liability insurance policies required by this Section shall be maintained by the Tenant throughout the Term, and such other period of time during which the Tenant is operating without a lease hereunder, or is engaged in the removal of its telecommunications facilities. The Tenant shall provide an insurance certificate, together with an endorsement designating the City, and its elected and appointed officers, officials, agents, employees, representatives, engineers, 10 consultants, and volunteers as additional insureds, to the City prior to the commencement of any work or installation of any facilities pursuant to said Agreement. Payment of deductibles and self- insured retentions shall be the sole responsibility of the Tenant. The Tenant’s insurance shall be primary insurance as respects the City, its officers, officials, employees, agents, consultants, and volunteers. Any insurance maintained by the City, its officers, officials, employees, consultants, agents, and volunteers shall be in excess of the Tenant’s insurance and shall not contribute with it. All insurance policies provided by Tenant shall contain a waiver of subrogation against the City for claims arising out of any operations, liabilities and obligations to which coverage applies. (g) The City shall be provided thirty (30) days advance notice of cancellation of any coverages required above. Within thirty (30) days after receipt by the City of said notice, and in no event later than fifteen (15) days prior to said cancellation or intent not to renew, the Tenant shall obtain and furnish to the City replacement insurance policies meeting the requirements of this Section. (h) Any insurance required to be provided by Tenant may be provided by a blanket insurance policy covering the Premises and other properties leased or owned by Tenant, provided that such blanket insurance policy complies with all of the other requirements of this Section. 15. REMOVAL BOND. Within thirty (30) days of the Commencement Date, Tenant shall execute a bond in the amount of Thirty Thousand Dollars ($30,000.00) to the benefit of City for use for the removal of the improvements in the event Tenant fails to comply with the removal obligations described above. 16. INTERFERENCE. The Tenant acknowledges that the City may enter into leases with other tenants on the Property for the purposes of transmitting and receiving telecommunication signals. The City, however, is not in any way responsible or liable for any interference with Tenant’s use of the Premises which may be caused by the use and operation of any other tenant’s equipment, even if caused by new technology. In the event that any other tenant’s activities interfere with the Tenant’s use of the Property, and such use or operation was not in existence on the date of execution of this Agreement, and the Tenant cannot resolve this interference with the other tenants, the City will, upon written request by Tenant, cause such interfering use to cease. Tenant understands that if its use interferes with a prior tenant, and the interference problem cannot be cured, this Agreement may be terminated by the City. The Tenant shall cooperate with all other tenants to identify the causes of and work towards the resolution of any interference problem. In addition, the Tenant agrees to eliminate any radio or television interference caused to City-owned facilities or surrounding residences at Tenant’s own expense and without installation of extra filters on City-owned equipment. Tenant further agrees to accept such interference as may be received from City-operated telecommunications or other City facilities except any City antenna sites placed upon Tenant’s facilities. 17. RIGHT OF FIRST REFUSAL. In the event that City determines to sell, transfer, license or otherwise convey any interest, whether fee simple interest, easement interest, leasehold, or otherwise, and whether direct or indirect by way of transfer of ownership interests in City if City is an entity, which interest underlies or affects any or all of the Premises (the “ROFR Property”) to any third party, during the Option Period or Term, City shall offer Tenant a right of first refusal to purchase the Premises (or such larger portion of City’s property that encompasses the Premises, if applicable) or such interest proposed to be conveyed. City shall provide a copy of any offer to 11 purchase or acquire, or any executed purchase agreement or letter of intent (“Offer”), to Tenant which copy shall include, at a minimum, the purchase or acquisition price and financing terms (“Minimum Terms”). Within thirty (30) days of receipt of such Offer, Tenant shall provide written notice to City of Tenant’s election to purchase the ROFR Property on the same Minimum Terms; provided, the closing date shall be no sooner than sixty (60) days after Tenant’s purchase election notice. In such event, City agrees to sell the ROFR Property to Tenant subject to Tenant’s payment of the purchase price and compliance with a purchase and sale agreement to be negotiated in good faith between City and Tenant. If Tenant provides written notice that it does not elect to exercise its rights of first refusal to purchase the ROFR Property, or if Tenant does not provide notice of its election within the thirty (30) day period, Tenant shall be deemed to have waived such right of first refusal only with respect to the Minimum Terms of the Offer presented (and any subsequent Offers shall again be subject to Tenant’s continuing right of first refusal hereunder), and City shall be permitted to consummate the sale of the ROFR Property with the same Minimum Terms (“Permitted Sale”). 18. SECURITY. The parties recognize and agree that Tenant shall have the right to safeguard and protect its improvements located upon or within the Premises. Consequently, Tenant may elect, at its expense, to construct enclosures and/or fences to secure its improvements, including the tower(s), shelter(s), and related improvements situated upon the Premises. Tenant may also undertake any other appropriate means to restrict access to its communications towers, shelter(s), and related improvements. All enclosures, fencing and facilities are subject to City approval and must meet City code and concealment requirements, due to the nature of the Property. Such approval shall not be unreasonably withheld. 19. FORCE MAJEURE. The time for performance by City or Tenant of any term, provision, or covenant of this Agreement shall be deemed extended by time lost due to delays resulting from acts of God, strikes, civil riots, floods, material or labor restrictions by governmental authority, and any other cause not within the control of City or Tenant, as the case may be. 20. CONDEMNATION. Notwithstanding any provision of this Agreement to the contrary, in the event of condemnation of the Premises, the City and Tenant shall be entitled to separate awards with respect to the Premises, in the amount determined by the court conducting such condemnation proceedings based upon the City’s and Tenant’s respective interests in the Premises. If a separate condemnation award is not determined by such court, City shall permit Tenant to participate in the allocation and distribution of the award. In no event shall the condemnation award to City exceed the unimproved value of the Premises, without taking into account the improvements located thereon, and in no event shall this Agreement be terminated or modified (other than an abatement of rent) due to a casualty or condemnation without the prior written consent of Lender (as hereinafter defined). 21. DEFAULT. The failure of Tenant or City to perform any of the covenants of this Agreement shall constitute a default. In addition, City may terminate this Agreement for any of the following reasons: 12 (a) Tenant’s construction or operation in the City or in the public ways of the City or upon City property without proper City authorization; (b) Tenant’s construction or operation at an unauthorized location; (c) Unauthorized substantial transfer of control of the Tenant; (d) Unauthorized assignment of this Agreement; (e) Unauthorized sale, assignment or transfer of this Agreement, assets, or a substantial interest therein; (f) a material Misrepresentation by or on behalf of the Tenant in any application or written statement upon which the City relies in making the decision to grant, review or amend this Agreement; (g) Abandonment of telecommunications facilities in the public ways or upon City property; (h) Failure to relocate or remove facilities as required in this Agreement; (i) Failure to pay taxes, compensation, fees or costs when and as due the City; (j) Insolvency or bankruptcy of Tenant; (k) Failure to construct or operate in accordance with approved permits; and (l) Violation of any material provision or term of this Agreement. The non-defaulting party shall give the other written notice of such default, and the defaulting party shall cure such default within thirty (30) days after receipt of such notice if such default is non-monetary and within ten (10) days after receipt of such notice if such default is monetary. In the event any such non-monetary default cannot reasonably be cured within such thirty (30) day period, if the defaulting party shall proceed promptly after the receipt of such notice to cure such default, and shall pursue curing such default with due diligence, the time for curing shall be extended for such period of time as may be necessary to complete such curing, however, in no event shall this extension of time be in excess of sixty (60) days, unless agreed upon in writing by the non-defaulting party. 22. REMEDIES. Should the defaulting party fail to cure a default under this Agreement, the other party shall have all remedies available either at law or in equity, including the right to terminate this Agreement. In the event City elects to terminate this Agreement due to a default by Tenant, it shall continue to honor all sublease and sublicense commitments made by Tenant through the expiration of the term of any such commitment if (a) there is no threat to the safety of persons or property in maintaining then-current installations, and (b) City receives the appropriate 13 rental payments for each sublessee and sublicensee; it being intended hereby that each such commitment shall survive the early termination of this Agreement. 23. ATTORNEY’S FEES. If there is any legal proceeding between City and Tenant arising from or based on this Agreement, the unsuccessful party to such action or proceeding shall pay to the substantially prevailing party all costs and expenses, including reasonable attorney’s fees and disbursements, incurred by such prevailing party in such action or proceeding and in any appeal in connection therewith. If the substantially prevailing party recovers a judgment in any such action, proceeding or appeal, such costs, expenses and attorney’s fees and disbursements shall be included in and as a part of such judgment. 24. ADDITIONAL TERMINATION RIGHT. If at any time during the Term, Tenant determines, in its sole and absolute discretion, with or without cause, that the Premises is no longer suitable or desirable for Tenant’s intended use and/or purposes, Tenant shall have the right to terminate this Agreement upon one hundred eighty (180) days prior written notice to City. However, no prepaid rent shall be refundable except in the event any changes occur with respect to the City’s use of the Property subsequent to the effective date of this Agreement (including but not limited to additional lessees as permitted by the City) and such changes result in the property becoming unsuitable for Tenant’s intended purpose. 25. EMERGENCY REMOVAL OR RELOCATION OF FACILITIES. The City retains the right and privilege to cut or move any telecommunications facilities located within the public ways of the City and upon City property, as the City may determine to be necessary in response to any public health or safety emergency. The City shall not be liable to Tenant, or any other party for any direct, indirect, or any other such damages suffered by any person or entity of any type as a direct or indirect result of the City’s actions under this Section. 26. RELOCATION OR REMOVAL OF FACILITIES. Within one hundred eighty (180) days following written notice from the City, Tenant shall, at its own expense, temporarily or permanently remove, relocate, change or alter the position of any reasonably removable facilities (i.e., not to include the tower or any buildings) within the public ways or upon City property whenever the City shall have reasonably determined that such removal, relocation, change or alteration is necessary for: (a) The construction, repair, maintenance or installation of any City or other public improvement in or upon City property or the public ways; and (b) The operations of the City or other governmental entity in or upon City property or the public ways. Additional time for removal or relocation may be granted at the discretion of the City which extension shall not be unreasonably withheld. If Tenant fails to remove the property upon request by the City, Tenant agrees to reimburse the City for any and all reasonable removal costs incurred by the City. 14 27. PRIOR AGREEMENTS. The parties hereby covenant, recognize and agree that the terms and provisions of this Agreement shall constitute the sole embodiment of the arrangement between the parties with regard to the Premises, and that all other written or unwritten agreements, contracts, or leases by and between the parties with regard to the Premises are hereby terminated, superseded and replaced by the terms hereof. 28. SUBORDINATION, NON-DISTURBANCE AND ATTORNMENT. In the event the Property is encumbered by a mortgage or deed of trust or other security instrument of any kind (a “Landlord Mortgage”), City, within fifteen (15) days following Tenant’s request or immediately prior to the creation of any encumbrance created after the date this Agreement is fully executed, will obtain from the holder of each such Landlord Mortgage a fully-executed subordination, non- disturbance and attornment agreement (a “SNDA”) in recordable form, which shall be prepared or approved by Tenant. The holder of every such Landlord Mortgage shall, in the SNDA, agree that in the event of a foreclosure, or conveyance in lieu of foreclosure of City’s interest in the Premises, such Landlord Mortgage holder shall recognize and confirm the validity and existence of this Agreement and Tenant shall have the right to continue its use and occupancy of the Premises in accordance with the provisions of this Agreement, provided Tenant is not in default of this Agreement beyond applicable notice and cure periods. 29. LENDER’S RIGHTS. (a) City agrees to recognize the leases/licenses of all subtenants and sublicensees and will permit each of them to remain in occupancy of its premises notwithstanding any default hereunder by Tenant so long as (i) there is no threat to the safety of persons or property in maintaining then-current installations, and (ii) City receives the appropriate rental payments for each sublessee and sublicensee. City agrees to execute such documents as any such subtenant and/or sublicensee might reasonably require, including customary subordination, non-disturbance and attornment agreements if applicable and/or City recognition agreements, to further memorialize the foregoing, and further agrees to use reasonable efforts to also cause its lenders to similarly acknowledge, in writing, subtenant/sublicensee’s right to continue to occupy its premises as provided above. (b) City consents to the granting by Tenant of a lien and security interest in Tenant’s interest in this Agreement and all of Tenant’s personal property and fixtures attached to the real property described herein, and furthermore consents to the exercise by Tenant’s Lender of its rights of foreclosure with respect to its lien and security interest. City agrees to recognize Tenant’s Lender (as hereinafter defined) as Tenant hereunder upon any such exercise by Lender of its rights of foreclosure. Nothing contained herein shall be construed to grant a lien upon or security interest in any of City’s assets. (c) City hereby agrees to give Lender written notice of any breach or default of the terms of this Agreement, within fifteen (15) days after the occurrence thereof, at the address set forth in Section 33. City further agrees that in the event of any such breach or default under the terms of this Agreement, Lender shall have the right, to the same extent, for the same period and with the same effect, as the Tenant, plus an additional thirty (30) days after any applicable grace period to cure or correct any such default. 15 (d) City acknowledges that nothing contained herein shall be deemed or construed to obligate the Lender to take any action hereunder, or to perform or discharge any obligation, duty or liability of Tenant under this Agreement. No Lender shall become liable under the provisions of this Agreement or any lease executed pursuant to Section 30 hereof unless and until such time as it becomes, and then only for as long as it remains, the owner of the leasehold estate cre ated hereby or thereby. (e) The Tenant shall have the right from time to time to mortgage or otherwise encumber the Tenant’s interest in this Agreement; provided, however, in no event shall there be more than one such mortgage or encumbrance outstanding at any one time. If the Tenant shall so mortgage (each a “Tenant Mortgage”) the Tenant’s interest in this Agreement to one or more lenders (any such lender, and any successor, assign, designee or nominee of such lender, hereinafter a “Lender”), the Tenant shall ensure that the City is given prompt notice of such Tenant Mortgage and shall furnish the City with a complete and correct copy of such Tenant Mortgage, certified as such by the Tenant or such Lender, together with the name and address of such Lender. (f) This Agreement shall not be amended or modified in any respect which would be reasonably likely to have a material adverse effect on Lenders’ interest therein without the consent of any Lender. In the event that a Lender shall become the owner of such leasehold estate, such Lender shall not be bound by any such modification or amendment of this Agreement made subsequent to the date of the Tenant Mortgage unless Lender shall have consented to such modification or amendment at the time it was made. 30. RIGHT TO NEW LEASE. (a) In the case of termination of this Agreement for any reason, or in the event this Agreement is rejected or disaffirmed pursuant to any bankruptcy, insolvency or other law affecting creditor’s rights, the City shall give prompt notice thereof to a Lender at the address set forth in Section 33. Thereafter, City, upon written request of Lender, and within thirty (30) days after the receipt of such request, shall promptly execute and deliver a new lease of the Premises and assignment of all subleases and sublicenses to Lender or its designee or nominee, for the remainder of the Term upon all the covenants, conditions, limitations and agreements contained herein (including, without limitation, options to extend the Term) except for such provisions which must be modified to reflect such termination, rejection or disaffirmance and the passage of time, provided that such Lender (i) shall pay to the City, simultaneously with the delivery of such new lease, all unpaid rent due under this Agreement up to and including the date of the commencement of the term of such new lease and all reasonable expenses, including, without limitation, reasonable attorneys’ fees and disbursements and court costs, incurred by the City in connection with the default by the Tenant, the termination of this Agreement and the preparation of the new lease, and (ii) shall cure all defaults existing under this Agreement which are susceptible to being cured by such Lender promptly and with due diligence after the delivery of such new lease. Notwithstanding anything to the contrary contained herein, provided such Lender shall have otherwise complied with the provisions of this Section, such Lender shall have no obligation to cure any defaults which are not susceptible to being cured by such Lender (for example, the bankruptcy of the Tenant). 16 (b) For so long as Lender shall have the right to enter into a new lease with the City pursuant to this Section, the City shall not enter into a new lease of the Premises with any person or entity other than Lender, without the prior written consent of Lender, as long as the Lender acts reasonably and without undue delay. 31. ADDITIONAL PROVISIONS. (a) The parties hereto agree that (i) the Tenant is in possession of the Premises notwithstanding the fact that the Tenant has subleased, or may in the future sublease, certain of the improvements thereon to third parties and (ii) the requirements of Section 365(h) of Title II of the United States Code (the “Bankruptcy Code”) with respect to the Tenant’s possession of the leasehold under this Agreement are satisfied. Accordingly, the right of the Tenant to remain in possession of the leasehold under this Agreement shall continue notwithstanding any rejection of this Agreement in any bankruptcy proceeding involving the City, or any other actions by any party in such a proceeding. This provision, while included in this Agreement, has been separately negotiated and shall constitute a separate contract between the parties as well as a part of this Agreement. The provisions of this Section 31(a) are for the benefit of the Tenant and its assigns, including, without limitation, Lender. The parties hereto also agree that Lender is a party in interest and shall have the right to appear as a party in any proceeding brought under any bankruptcy law or under any other law which may affect this Agreement. (b) The provisions of Sections 29 and 30 hereof shall survive the termination, rejection or disaffirmance of this Agreement and shall continue in full force and effect thereafter to the same extent as if Sections 29 and 30 hereof were a separate and independent contract made by the City, the Tenant and Lender and, from the effective date of such termination, rejection or disaffirmance of this Agreement to the date of execution and delivery of such new lease, Lender may use and enjoy the leasehold estate created by this Agreement without hindrance by the City. The aforesaid agreement of the City to enter into a new lease with Lender shall be deemed a separate agreement between the City and such Lender, separate and apart from this Agreement as well as a part of this Agreement, and shall be unaffected by the rejection of this Agreement in any bankruptcy proceeding by any party. (c) City shall have no right and expressly waives any right arising under applicable law, in and to that portion of the rentals payable to the Tenant under any lease of the improvements on the land demised hereunder, if any, which rentals may be assigned by the Tenant to Lender. (d) If a Tenant Mortgage is in effect, (i) this Agreement shall not be modified or amended by the parties hereto in any respect which would be reasonably likely to have a material adverse effect on Lenders’ interest herein, or terminated or surrendered by the Tenant, nor shall the City accept any such termination or surrender of this Agreement by the Tenant, without the prior written consent of Lender and (ii) the City shall not have the right to terminate this Agreement in the event of a casualty or condemnation without the prior written consent of Lender. (e) The provisions of Sections 29 and 30 hereof are for the benefit of Lender and may be relied upon and shall be enforceable by Lender as if Lender were a party to this Agreement. 17 (f) The City shall, within ten (10) days of the request of the Tenant or any Lender or prospective Lender, provide an estoppel certificate as to any matters reasonably requested by the Tenant or Lender. (g) The right to extend or renew this Agreement and any right of first refusal to purchase the Premises may be exercisable by the holder of a Tenant Mortgage and, before the expiration of any periods to exercise such a right, the City must provide to Lender at least thirty (30) days prior written notice before the expiration of the right to so extend or renew in order to extinguish Lender’s right to so extend, renew or purchase. (h) Under no circumstances shall the fee estate of the City and the leasehold estate created hereby merge, even though owned by the same party, without the written consent of the holder of a Tenant Mortgage. 32. QUIET ENJOYMENT. So long as Tenant is not in default under this Agreement beyond the applicable notice and cure period, City covenants and agrees that Tenant shall peaceably and quietly hold and enjoy the Premises throughout the Term, without any hindrance, molestation or ejection by City, its successors or assigns or by those claiming by, through or under them. 33. NOTICES. All notices, requests, claims, demands, and other communications hereunder shall be in writing and may be hand delivered (provided the deliverer provides proof of delivery) or sent by nationally-established overnight courier that provides proof of delivery, or certified or registered mail (postage prepaid, return receipt requested). Notice shall be deemed received on the date of delivery as demonstrated by the receipt of delivery. Notices shall be delivered to a parties at the address below, or to such other address that a party below may provide from time to time: If to City: City of Bremerton City Clerk 345 6th Street, Suite 100 Bremerton, WA 98337 If to Tenant: Vertical Bridge Development, LLC 750 Park of Commerce Drive Suite 200 Boca Raton, FL 33487 Attn: General Counsel If to Lender: Toronto Dominion (Texas) LLC 31 West 52nd Street New York, NY 10019 Attn: Admin Agent Fax No. 416-982-5535 34. MISCELLANEOUS. (a) Each party hereto warrants and represents that it has the necessary power and authority to enter into and perform its respective obligations under this Agreement. (b) If any term of this Agreement is found to be void or invalid, such invalidity shall not affect the remaining terms of this Agreement, which shall continue in full force and effect. (c) All attached exhibits are hereby incorporated by this reference as if fully s et forth herein. 18 (d) Failure of party to insist on strict performance of any of the conditions or provisions of this Agreement, or failure to exercise any of a party’s rights hereunder, shall not waive such rights. (e) This Agreement shall be governed by and construed in accordance with the laws of the state in which the leased Premises are located. Venue shall be in the Kitsap County Superior Court in the State of Washington. (f) This Agreement constitutes the entire Agreement and understanding of the parties and supersedes all offers, negotiations and other lease agreements with regard to the leased Premises. There are no representations or understandings of any kind not set forth herein. Any amendment to this Agreement must be in writing and executed by both parties. (g) This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective heirs, legal representatives, successors and assigns. (h) A short-form Memorandum of Option to Lease (and a short-form Memorandum of Lease in the event Tenant exercises its option to lease the Premises) may be recorded at City or Tenant’s option in the form as depicted in Exhibit 3 and Exhibit 4 attached hereto. [SIGNATURES BEGIN ON NEXT PAGE] 19 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date last signed by a party hereto. CITY: City of Bremerton A Municipal Corporation By:__________________________________ Greg Wheeler, Mayor Date:_________________________________ Approved as to Form: ___________________________________ City Attorney Attest: ___________________________________ City Clerk WITNESSES: ___________________________________ Name:______________________________ ___________________________________ Name:______________________________ TENANT: Vertical Bridge Development, LLC a Delaware limited liability company By:__________________________________ Name:________________________________ Title:_________________________________ Date:_________________________________ 20 EXHIBIT 1 Legal Description of the Property (Parent Parcel) 21 Tax Parcel No. 152401-4-021-2007 22 EXHIBIT 2 Premises (Site Sketch to be Replaced with a Final Survey) 23 EXHIBIT 3 Memorandum of Option to Lease (Attached) 24 ______________________________________________________________________________ (Above 3” Space for Recorder’s Use Only) Upon Recording Return to: Vertical Bridge Development, LLC 750 Park of Commerce Drive, Suite 200 Boca Raton, FL 33487 Attn: Daniel Marinberg Site Name: US-WA-5107 Site Number: Forest Ridge MEMORANDUM OF OPTION TO LEASE This Memorandum of Option to Lease (“Memorandum”) evidences an Option and Lease Agreement (the “Lease”) between by and between the City of Bremerton, a Washington municipal corporation (which acquired the portion of the Property in the East half of the Southwest quarter of the Southeast quarter as the City of Charleston), hereinafter the “City,” whose address is 345 6th Street, Suite 100, Bremerton, WA 98337, and Vertical Bridge Development, LLC, a Delaware limited liability company, hereinafter, “Tenant,” whose address is 750 Park of Commerce Drive, Suite 200, Boca Raton, FL 33487, dated _________________, 2018 (the “Effective Date”), for a portion (the “Premises”) of the real property (the “Property”) described in Exhibit A attached hereto. Pursuant to the Lease, City has granted Tenant an exclusive option to lease the Premises (the “Option”). The Option commenced as of the Effective Date and shall continue in effect for a period of one (1) year from the Effective Date. City ratifies, restates and confirms the Lease and, upon exercise of the Option, shall lease to Tenant the Premises, subject to the terms and conditions of the Lease. The Lease provides for the lease by the City to Tenant of the Premises for an initial term of five (5) years with four (4) renewal option(s) of an additional five (5) years each, and further provides: 1. The Lease may be assigned by City only in its entirety and only to a purchaser of the fee interest of the Property; and may be assigned by Tenant only in accordance with the terms of the Lease; 25 2. Under certain circumstances, Tenant has a right of first refusal to acquire the Premises from City; 3. This Memorandum is not intended to amend or modify, and shall not be deemed or construed as amending or modifying, any of the terms, conditions or provisions of the Lease. In the event of a conflict between the provisions of this Memorandum and the provisions of the Lease, the provisions of the Lease shall control. The Lease shall be binding upon and inure to the benefit of the City and Tenant and shall inure to the benefit of their respective heirs, successors, and assigns, subject to the provisions of the Lease. [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK, SIGNATURES BEGIN ON NEXT PAGE] 26 IN WITNESS WHEREOF, the parties hereto have executed this MEMORANDUM OF OPTION TO LEASE as of the date last signed by a party hereto. CITY: City of Bremerton a municipal corporation By:__________________________________ Name:________________________________ Title:_________________________________ Date:_________________________________ Approved as to Form: ___________________________________ Name:______________________________ Attest: ___________________________________ Name:______________________________ STATE OF ______________________ COUNTY OF ____________________ On this day of , 20 , before me, the undersigned, a Notary Public in and for the State of , duly commissioned and sworn, personally appeared , to me known to be the of , the corporation that executed the foregoing instrument and acknowledged the said instrument to be the free and voluntary act of and deed of said corporation, for the uses and purposes therein mentioned, and on oath stated that is authorized to execute the said instrument and that the seal affixed is the corporate seal of said corporation. Witness my hand and seal the day and year first above written. Notary Public residing at 27 Printed Name: My Commission Expires: 28 [Tenant’s Signature Page to Memorandum of Option to Lease] STATE OF ______________________ COUNTY OF ____________________ On this day of , 20 , before me, the undersigned, a Notary Public in and for the State of , duly commissioned and sworn, personally appeared , to me known to be the of Vertical Bridge Development, LLC, the limited liability company that executed the foregoing instrument and acknowledged the said instrument to be the free and voluntary act of and deed of said limited liability company, for the uses and purposes therein mentioned, and on oath stated that is authorized to execute the said instrument. Witness my hand and seal the day and year first above written. Notary Public residing at Printed Name: My Commission Expires: WITNESSES: _________________________________ Name:____________________________ _________________________________ Name:____________________________ TENANT: Vertical Bridge Development, LLC a Delaware limited liability company By:__________________________________ Name:________________________________ Title:_________________________________ Date:_________________________________ 29 EXHIBIT A (TO MEMORANDUM OF OPTION TO LEASE) The Property 30 Tax Parcel No. 152401-4-021-2007 31 EXHIBIT 4 Memorandum of Lease (Attached) 32 ______________________________________________________________________________ (Above 3” Space for Recorder’s Use Only) Upon Recording Return to: Vertical Bridge Development, LLC 750 Park of Commerce Drive, Suite 200 Boca Raton, FL 33487 Attn: Daniel Marinberg Site Name: US-WA-5107 Site Number: Forest Ridge MEMORANDUM OF LEASE This Memorandum of Lease (“Memorandum”) evidences a Lease Agreement (the “Lease”) between the City of Bremerton, a Washington municipal corporation (which acquired the portion of the Property in the East half of the Southwest quarter of the Southeast quarter as the City of Charleston), hereinafter the “City,” whose address is 345 6th Street, Suite 100, Bremerton, WA 98337, and Vertical Bridge Development, LLC, a Delaware limited liability company, hereinafter, “Tenant,” whose address is 750 Park of Commerce Drive, Suite 200, Boca Raton, FL 33487, dated _________________, 2018 (the “Effective Date”), for a portion (the “Premises”) of the real property (the “Property”) described in Exhibit A attached hereto. City hereby ratifies, restates and confirms the Lease and leases to Tenant the Premises, subject to the terms and conditions of the Lease. The Commencement Date of the Lease is ____________________. The Lease provides for the lease by the City to Tenant of the Premises for an initial term of five (5) years with four (4) renewal option(s) of an additional five (5) years each, and further provides: 1. As to Tenant’s interest in the Lease and all Tenant’s assets and personal property on the Premises, City will attorn to any mortgagee of Tenant and will subordinate any City’s lien to the liens of Tenant’s mortgagees; 2. Tenant (and persons deriving rights by, through, or under Tenant) are the sole parties to market, use, or sublease any portion of the Premises for wireless communications or 33 broadcast facilities during the term of the Lease (such restriction shall run with the land for the duration of the Lease and be binding on the successors and assigns of City); 3. The Premises may be used exclusively by Tenant for all legal purposes related to its installation and maintenance of communications facilities, including without limitation, erecting, installing, operating and maintaining radio and communications towers, and equipment; 4. Tenant is entitled to sublease and/or sublicense the Premises, including any communications tower located thereon; 5. Under certain circumstances, Tenant has a right of first refusal to acquire the Premises from City; 6. The Lease may be assigned by the City only in its entirety and only to a purchaser of the fee interest of the Property; and by the Tenant only in accordance with the terms of the Lease; and 7. This Memorandum is not intended to amend or modify, and shall not be deemed or construed as amending or modifying, any of the terms, conditions or provisions of the Lease. In the event of a conflict between the provisions of this Memorandum and the provisions of the Lease, the provisions of the Lease shall control. The Lease shall be binding upon and inure to the benefit of the City and Tenant and shall inure to the benefit of their respective heirs, successors, and assigns, subject to the provisions of the Lease. [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK, SIGNATURES BEGIN ON NEXT PAGE] 34 IN WITNESS WHEREOF, the parties hereto have executed this MEMORANDUM OF LEASE as of the date last signed by a party hereto. CITY: City of Bremerton a municipal corporation By:__________________________________ Name:________________________________ Title:_________________________________ Date:_________________________________ Approved as to Form: ___________________________________ Name:______________________________ Attest: ___________________________________ Name:______________________________ STATE OF ______________________ COUNTY OF ____________________ On this day of , 20 , before me, the undersigned, a Notary Public in and for the State of , duly commissioned and sworn, personally appeared , to me known to be the of , the corporation that executed the foregoing instrument and acknowledged the said instrument to be the free and voluntary act of and deed of said corporation, for the uses and purposes therein mentioned, and on oath stated that is authorized to execute the said instrument and that the seal affixed is the corporate seal of said corporation. Witness my hand and seal the day and year first above written. Notary Public residing at 35 Printed Name: My Commission Expires: 36 [Tenant’s Signature Page to Memorandum of Lease] STATE OF ______________________ COUNTY OF ____________________ On this day of , 20 , before me, the undersigned, a Notary Public in and for the State of , duly commissioned and sworn, personally appeared , to me known to be the of Vertical Bridge Development, LLC, the limited liability company that executed the foregoing instrument and acknowledged the said instrument to be the free and voluntary act of and deed of said limited liability company, for the uses and purposes therein mentioned, and on oath stated that is authorized to execute the said instrument. Witness my hand and seal the day and year first above written. Notary Public residing at Printed Name: My Commission Expires: WITNESSES: _________________________________ Name:____________________________ _________________________________ Name:____________________________ TENANT: Vertical Bridge Development, LLC a Delaware limited liability company By:__________________________________ Name:________________________________ Title:_________________________________ Date:_________________________________ 37 EXHIBIT A (TO MEMORANDUM OF LEASE) The Property 38 Tax Parcel No. 152401-4-021-2007 Said interest being over land more particularly described by the following description: Insert metes and bounds description of area Bremerton Parks and Recreation Commission Advisory Report Page 1 of 2 Forest Ridge Telecommunication Tower Lease Proposal September 25, 2018 To: Bremerton City Council and Mayor Greg Wheeler RE: Advisory Report on Proposed Telecommunication Tower Lease Application for Forest Ridge Park Per the procedures contained within “The Ordinance Providing Protection for Bremerton’s Parks, Play Fields, Open Spaces and Recreation Facilities” (BMC 13.12), the Bremerton Parks and Recreation Commission is pleased to present this Advisory Report on the proposed lease of parks property located at Forest Ridge Park for your consideration. The Parks and Recreation Commission has reviewed the proposal to lease the identified area of Forest Ridge Park for the construction and operation of a telecommunication tower and believe that it is in the best interest of the City and the Parks and Recreation Department to proceed with and approve this lease. In its review, the Commission has considered this proposal at several of its regularly scheduled Commission meetings over the past two years:  June 28, 2016 regular public meeting. Staff presented the initial proposal received from the vendor.  September 27, 2016 regular public meeting. Staff provided additional details on the location of the proposed tower along with information on the draft Lease Agreement.  October 25, 2016 regular public meeting. Further discussion was had on the final tower location and revenue potential of the lease agreement.  August 22, 2017 regular public meeting. Staff presented an updated draft of the lease agreement for review and discusses potential compensation levels that were being negotiated.  January 23, 2018 regular public meeting. Staff reported on status of negotiations and lease agreement.  August 7, 2018 regular public meeting. This meeting was held at the Forest Ridge Park site and included a tour of the proposed location for the tower. Concerns and questions were fielded from citizens attending the event. City staff provided answers to the concerns by sending responses provided by the vendor and the City’s Telecommunication Consultant to all citizens who provided their contact information. Attendees were also invited to the September 25, 2018 Parks and Recreation Commission meeting.  September 25, 2018 regular public meeting. The Parks and Recreation Commission voted to recommend City Council approve the Lease Agreement for the construction and operation of a telecommunication tower at Forest Ridge Park and further recommends that lease proceeds be directed to the Parks and Recreation budget to be used for operation, maintenance and improvements to Forest Ridge Park. 680 LEBO BOULEVARD • BREMERTON, WA 98310-5841 TEL: 360.473.5305, FAX : 360.473.5882 • www.ci.bremerton.wa.us BREMERTON PARKS AND RECREATION COMMISSION Bremerton Parks and Recreation Commission Advisory Report Page 2 of 2 Forest Ridge Telecommunication Tower Lease Proposal If you have any questions, the Commission is available. __________________________ _________________________ _________________________ Chair, Timothy Baker Vice Chair, Benjamin Burnette David Hedger __________________________ _________________________ _________________________ Patrick Watson Maggie Williams Elizabeth Wrenn Page 1 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com Comparing Wireless Telecommunications Antenna Heights Case Study: T-Mobile and Forest Ridge Background On April 4 of 2016, T-Mobile contacted the City of Bremerton about leasing space for a cell site at an existing tower, commonly referred to as the KBRO tower, on City property in Forest Ridge Park. On April 7, 2016, I sent the T-Mobile representative some requested information about how commercial electrical power reaches the KBRO tower, from a utility pole near the intersection of South Hartford Avenue and 1st Street. This utility pole is just south of Forest Ridge Park. There is some confusion over whether or not this intersection was ever considered by T-Mobile as a possible cell site. At least one City representative thought it was under evaluation. To my knowledge, it was never considered, but I have included it in this report for the sake of completeness, and in case it was a potential site. In the following days, T-Mobile concluded that the KBRO tower is unsuitable for their purposes. At that time, they began searching for an alternate location that would serve the same populace. On May 9 of 2016, a T-Mobile representative contacted me about modifying one of their existing installations, located at 3101 6th Street, which is just north of the park. They were interested in replacing the existing City pole (which they said was 80 feet) with a taller pole (150 feet) and replacing their old equipment with newer equipment at the higher elevation. Later, in October of 2016, T-Mobile contacted the City about constructing a new site adjacent to the City’s reservoir at Forest Ridge Park. This proposal included the construction of a new 150 foot monopole. To summarize, I have mentioned four possible sites: 1. The existing KBRO tower, which was rejected. 2. A utility pole at the intersection of S. Hartford Ave. and 1st Street. 3. A utility pole at 3101 6th Street (current site, 80 feet, considering 150 feet). 4. A 150 foot monopole adjacent to the Forest Ridge Reservoir (possible new site). Sites 2, 3, and 4 are the subject of this report. For their locations, refer to Figure 1 below. For reference, the KBRO tower location is also marked. Page 2 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com Figure 1: Possible T-Mobile sites for improved coverage The middle of Forest Ridge Park is at a higher elevation than either 1st Street or 6th Street. A telecommunications site at 1st Street is blocked from providing coverage north of the park, and a telecommunications site at 6th Street has its signal blocked to the south. Page 3 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com T-Mobile Antenna Simulations As part of the request for constructing a 150 foot monopole at the reservoir, T-Mobile provided some antenna simulation pictures. These pictures were taken at street level, and geometric calculations were performed so that a photograph of a monopole could be inserted into the picture and appear approximately to scale. See Figure 2 and Figure 3 below. Figure 2: From Summit Ave. N., looking Northwest Page 4 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com T-Mobile Antenna Simulations, continued Figure 3: from Marion Ave. N., looking East Page 5 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com An Inquiry Made As part of the City’s consideration of T-Mobile’s request, the following questions were asked: 1. Does the tower have to be visible above the tree line? 2. Is it necessary to have the tower at 150 feet instead of 80 feet? The rest of this report is the answer to those, and similar, questions. The Quick Answer To begin, here's the short, fast answer: if I was the RF engineer, and I was told I had to keep the antennas below the tree line at Forest Ridge, I'd say, "Never mind. They won't let us build a usable site, so we need to look elsewhere." Below the tree line at that location would be totally useless. Now, for the explanation. In More Detail Those who are familiar with the controversies surrounding wireless communications installations may have heard that sometimes wireless signals without direct line of site (LOS) can be practical. In some cases, that can be true. However, this isn't one of those cases. The site will need to support 1.9 gigahertz (GHz) frequencies, and almost certainly higher frequencies (2.5 GHz is being built out in many places now). These frequency bands (both 1.9 GHz and 2.5 GHz) don't perform well at all in a coniferous screen. Additionally, the RF engineer, if he or she knows what they're doing, will plan for at least ten years of tree growth and make the tower or monopole tall enough to compensate. It is further necessary to consider that the site is at a higher elevation than the area that T-Mobile is trying to cover. The usable signal will be aimed at a downward angle, which means it will have to go through more of the trees to get to the populated area. The antennas need to be high enough so that the downward angle is clear of lower trees slightly farther away. Economic Motivation Something to keep in mind is that the taller the tower, the more it costs the carrier to build and maintain it. The carrier will use several factors in making the height decision, but the end result is that they'll select the shortest tower that will reliably do the job, because they don't want to spend the money to build more tower than they need. Comparison To Existing Installation Now, about the current site with its 80 foot pole: the reason it could be only 80 feet tall is because it was in the right-of-way. It has the twin advantages of being closer to the desired population, and less obstructed. Page 6 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com Note that the existing site, to remain useful into the future, can’t remain at the same height. T-Mobile requested increasing the height of the pole at this site to 150 feet. The height increase would be necessary to (1) add new equipment while continuing to operate the older equipment that serves customers with older phones, (2) improve coverage in difficult to reach areas around the hill, and (3) add radios (transceivers) to support more customers as populations grow. “Math and physics. It's all math and physics.” In this section, we’ll examine some of the statements made earlier in more detail. The purpose is to explain (1) why a line of site (LOS) radio path is sometimes necessary, and sometimes not, and (2) why a given height is chosen for a given tower. INTRODUCTION 1. Radio waves and light waves are both electromagnetic energy. a. The only difference between a radio signal (such as a cellular signal) and light is the frequency of oscillation. Radio Frequency (RF) energy is at a lower frequency than light. It can’t be detected by the human eye because of its lower frequency, but a radio wave behaves the same way a light wave does. 2. Electromagnetic energy - radio waves and light - behaves in one of three ways when it encounters a solid object. a. It may penetrate the object (coming out the other side), b. It may be absorbed by the object (goes in, but doesn’t come out), or c. It may be reflected by the object (like light off a mirror). Let me add one clarification to item 2 above: electromagnetic energy behaves in all three ways for every object: there will be some percentage of reflection, absorption, and penetration, and the percentages will total up to 100 percent. Using light as our electromagnetic energy, here are some examples: 1. CLEAR GLASS. Almost all light passes through an ordinary, clear glass window. Most of the light penetrates. There is also a small amount of light absorbed by the glass, where it is re-radiated as heat. That small percentage of the light is absorbed by the window. When you see glare off a window, that is reflection. A small percentage of reflection always happens, but you may or may not be standing at an angle that allows you to observe it. 2. TINTED WINDOWS. A car with tinted windows allows a smaller percentage of penetration, and has higher percentages of both absorption and reflection. 3. SILVER MIRRORED SUNGLASSES. These sunglasses have a very high percentage of reflection, some absorption, and the penetration number is often a smaller number than for tinted windows. Page 7 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com For any given material, the percentages of penetration, reflection, and absorption vary by frequency. Here are some examples of how different frequency bands are received inside a wooden house. 1. At 27 MHz (CB radio), a wooden house is like clear glass to a light wave. 2. At 450 MHz (older police radios), a wooden house is like tinted windows. 3. At 850 MHz (some cellular systems and modern police radios), a wooden house is like very dark sunglasses. Most of the radio waves go into a building through the actual clear glass windows, and then are reflected off of the interior walls to move around inside. The wood exhibits a lot of both absorption and reflection. 4. At 1,900 MHz (T-Mobile’s first cell phones), a wooden house is like silver mirrored sunglasses. Compared to 850 MHz, the percentage of reflection goes up, and the percentage of absorption goes down. Again, most of the signal enters the building through the clear glass windows. 5. At 2,500 MHz (the newest wireless phones), the radio waves behave pretty much the same as light reflecting off a mirror. The only useful signal enters through the windows and then reflects off of the interior walls to travel through the building. SUMMARY Now, with all of this background information, we’re ready to discuss the difference between putting the antennas at 80 feet at an intersection, and putting them below the tree line by the Forest Ridge reservoir. 1. At a height of 80 feet at an intersection of two streets, a. The antennas are higher than most houses, and b. The electromagnetic waves can reflect off of houses - and trees - to travel down the street and even around corners and down side streets. c. The trees are reflectors and the roads are corridors for the radio waves. 2. Below the tree line, completely encircled by trees at the reservoir, the radio waves are reflected multiple times until they are simply absorbed by the trees. The only radio waves that escape are the ones that are reflected up into the sky, in a conical pattern. 3. If the antennas are mounted above the tree line at the reservoir, then the electromagnetic waves can make the journey to the surrounding streets and neighborhoods. Also note that the coverage areas of the three locations will be vastly different. Page 8 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com 1. At the intersection of S. Hartford Ave. and 1st Street, with the antennas at 80 feet, the signal is entirely blocked to the north. Specifically, there will be no signal on the far side of Forest Ridge Park. 2. At 3101 6th Street, the signal is blocked to the south of Forest Ridge Park. 3. On the other hand, if the antennas are mounted on a monopole at the reservoir (high enough to clear the trees), the coverage area is much larger, and fewer towers may be needed to accommodate future growth in the numbers of cellular subscribers. The remainder of this report shows calculated coverages from each of the three locations. Coverage maps are made by using propagation analysis software designed for this purpose. Propagation analysis software is a generic engineering tool, and can be used for any frequency operated by any radio licensee. For example, the same propagation analysis software can be used to determine the coverage for a police or ambulance radio system, a commercial broadcast AM or FM station, a cellular carrier, or any other wireless service. Note, however, that the coverage pattern will be different for each frequency. For each of the three locations, there are two propagation analyses shown: one assuming a 150 foot tower, and one assuming an 80 foot tower. This combination of six propagation analyses allows us to compare one site with another, and also to compare the effects of two different tower or pole heights at the same site. Page 9: 3101 6th Street, 150 foot pole, with satellite map for comparison Page 10: S. Hartford and 1st Street, 150 foot pole, with satellite map for comparison Page 11: Water Tower, 150 foot pole, with satellite map for comparison Page 12: 3101 6th Street, 80 foot pole, with satellite map for comparison Page 13: S. Hartford and 1st Street, 80 foot pole, with satellite map for comparison Page 14: Water Tower, 80 foot pole, with satellite map for comparison Page 15: Comparing 150 and 80 foot poles: 3101 6th Street Page 16: Comparing 150 and 80 foot poles: S. Hartford and 1st Street Page 17: Comparing 150 and 80 foot poles: Water Tower Satellite Map – Centered on Forest Ridge Park 3101 6th Street, 150 foot pole Page 9 Satellite Map – Centered on Forest Ridge Park S. Hartford and 1st Street, 150 foot pole Page 10 Satellite Map – Centered on Forest Ridge Park Water Tower, 150 foot pole Page 11 Satellite Map – Centered on Forest Ridge Park 3101 6th Street, 80 foot pole Page 12 Satellite Map – Centered on Forest Ridge Park S. Hartford and 1st Street, 80 foot pole Page 13 Satellite Map – Centered on Forest Ridge Park Water Tower, 80 foot pole Page 14 Comparing 150 and 80 foot poles: 3101 6th Street 150 foot pole 80 foot pole Page 15 Comparing 150 and 80 foot poles: S. Hartford and 1st Street 150 foot pole 80 foot pole Page 16 Comparing 150 and 80 foot poles: Water Tower 150 foot pole 80 foot pole Page 17 Page 18 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com Conclusion Comparing the six scenarios, we see that: 1. For all locations, the coverage is improved if the antennas are at 150 feet compared to 80 feet. 2. The proposed location at the highest elevation (the water tower) provides the best coverage if the antennas are at 150 feet. 3. However, the water tower location provides the worst coverage if the antennas are below the tree line. Final Remarks While this report is a specific analysis of possible locations for a T-Mobile site, it contains many explanations and descriptions that are true of all wireless telecommunications installations. This report is a useful reference in considering other potential installations by other carriers. Report prepared by: Bob Young December 1, 2016 Page 19 FIFO Networks 227 Bellevue Way NE # 239 Bellevue, WA 98004 Phone 425-462-4034 http://www.fifonetworks.com About Bob Young OVERVIEW Bob Young is the Founder and CEO of Peripheral Vision Communications Inc., dba FIFO Networks. He is also a Professor of Wired and Wireless Technology at Bellevue College, where he provides training to Information Technology professionals and Telecommunications professionals. Courses he has developed and which are currently available include Ethical Hacking and Cyber Security, and two courses in the Cyber Security Essentials series: (1) Data Management and (2) Hiring Security Professionals. For the last several years he has been flying throughout the U.S. to deliver technical training to the technicians and engineers at public utilities and wireless carriers. UTILITY COMPANIES Mr. Young has provided training and consulting to regional utilities in network design, security, and maintenance for secure data systems, Voice over IP (VoIP) phone systems, and secure Wi-Fi network access. WIRELESS COMPANIES He has trained the system engineers at wireless telecommunications carriers in complex subjects such as data traffic management, calculations, and projections. He also teaches the technical staff the skills needed to operate test equipment to test and maintain the systems. CLIENTS He has provided specialized technical instruction to Verizon Wireless, AT&T Wireless, Sprint, T-Mobile, Ericsson, CenturyLink, Microsoft, Comcast, Bombardier, Boeing, Georgia Power, Alabama Power, Memphis Light Gas & Water, Southern California Edison, CenterPoint Energy, San Diego Gas & Electric, USMC, and many others. EARLIER At the beginning of his career, Mr. Young received a Secret clearance from the US Navy for his work with wireless communications electronics. Before starting his own company, he was the Director of National System Development at Western Wireless (Cellular One). AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Acceptance of the Lodging Tax Advisory Committee FY-2019 Recommendations Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: City Council Presenter: Pat Sullivan, LTAC Chair Phone: (360) 473-5280 SUMMARY: The Lodging Tax Advisory Committee had presented recommendations to the Bremerton City Council for their consideration. However, the recommendations were not approved as presented during the August 15, 2018 Council Meeting, and were returned to the Lodging Tax Advisory Committee (LTAC) with direction to increase funding to the Conference Center and to reconsider several of the applicants’ allocations. The LTAC then met on September 6, 2018 to review the requests. Revised recommendations to City Council were provided for consideration. During the September 26 Study Session, Council’s only suggestion was to increase the Dominion Historical Workboat Association’s allocation to $4,000 which then reduced the Reserve Allocation by $3,000. ATTACHMENTS: Summary of LTAC Revised Recommendations for 2019 FISCAL IMPACTS (Include Budgeted Amount): RCW 67.28 specifies that a municipality may either accept or reject the committee’s recommendations. If any individual recommendation is rejected by City Council, then the unallocated amount will be held in the fund’s reserve and that unfunded organization will have significantly reduced marketing efforts for Bremerton. STUDY SESSION AGENDA: ☐ Limited Presentation ☒ Full Presentation STUDY SESSION ACTION: ☐ Consent Agenda ☒ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to accept the Lodging Tax Advisory Committee’s recommendations as amended; and to include the allocations in the City of Bremerton’s Fiscal Year 2019 Proposed Budget. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/18 8A BREMERTON LODGING TAX ADVISORY COMMITTEE FY 2019 REVISED RECOMMENDATIONS Name of Organization Request Recommendation City of Bremerton Kitsap Conference Center $200,000 $100,000 Bremerton Historic Ships Association $79,000 $70,000 Visit Kitsap Peninsula (2) $45,000 & $75,500 $40,000 Washington State Science & Engineering Fair $45,000 $43,000 Bremerton Chamber of Commerce $38,000 $30,000 Roxy Bremerton Foundation $33,000 $15,000 Kitsap Entrepreneurial Center Kitsap Harbor Festival $40,000 $25,000 Downtown Bremerton Association WayzGoose Kitsap $30,000 $24,000 Downtown Bremerton Association $50,000 $20,000 Kitsap Historical Museum $26,600 $20,000 Bremerton Symphony Association $25,000 $20,000 City of Bremerton Quincy Square on 4th Street Project $25,000 $0 Manette Business Association Heavy Jeens Project $12,270 $9,000 Dominion Historical Workboat Association $15,000 $1,000 $4,000 Kitsap Pride $6,500 $6,500 Collective Visions Gallery $2,500 $2,500 SUB TOTAL $748,370 $429,000 BEGINNING FUND BALANCE/RESERVE $24,000 $21,000 GRAND TOTAL RECOMMENDED FY2019 ALLOCATIONS $450,000 **Does not include Kitsap Conference Center ($250,000) & Admiral Theatre ($150,000) Operations** AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Ordinance No. 5353 amending Chapter 3.78 of the Bremerton Municipal Code entitled “Multifamily Tax Exemption”; and establishing the Affordable Housing Capital Fund Study Session Date: September 26, 2018 COUNCIL MEETING Date: October 3, 2018 Department: City Council Presenter: Eric Younger Phone: (360) 473-5280 SUMMARY: This proposed ordinance includes revisions to Chapter 3.78 of the Bremerton Municipal Code entitled “Multifamily Property Tax Exemption” which authorizes the transfer of revenues received in sales tax for the construction of the projects utilizing the multifamily tax exemption to the Affordable Housing Capital Fund. ATTACHMENTS: Ordinance No. 5353 FISCAL IMPACTS (Include Budgeted Amount): STUDY SESSION AGENDA: ☐ Limited Presentation ☒ Full Presentation STUDY SESSION ACTION: ☐ Consent Agenda ☒ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to approve Ordinance No. 5353 amending Chapter 3.78 of the Bremerton Municipal Code entitled “Multifamily Property Tax Exemption”; and establishing the Affordable Housing Capital Fund COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 8B 1 Multifamily Property Tax Exemption - Affordable Housing Fund 2018 ORDINANCE NO. 5353 AN ORDINANCE of the City Council of the City of Bremerton, Washington, amending Chapter 3.78 of the Bremerton Municipal Code entitled “Multifamily Property Tax Exemption” to add provisions relating to affordable housing. WHEREAS, the City desires to encourage the development of affordable housing units in the City; and WHEREAS, the proposed revisions to Chapter 3.78 of the Bremerton Municipal Code entitled “Multifamily Property Tax Exemption” authorize the transfer of revenues received in sales tax for the construction of the projects utilizing the multifamily tax exemption to the Affordable Housing Capital Fund; NOW, THEREFORE; THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. The recitals set forth above are hereby adopted and incorporated as set forth in full. SECTION 2. A new section, Section 3.78.105 of the Bremerton Municipal Code entitled “Affordable Housing Capital Fund", is hereby adopted to read as follows: 3.78.105 AFFORDABLE HOUSING CAPITAL FUND If an application for the multifamily tax exemption is approved, the project has completed construction, and a Final Certificate of Property Tax Exemption has been issued as set forth in Section 3.78.100 above, the Director of Financial Services, or designee, shall transfer to the Affordable Housing Capital Fund revenues based on the anticipated sales tax received or to be received by the City for the construction of the project. The Director shall determine the value of the sales tax revenues to be transferred to the fund based on 1) the City’s portion of the current sales tax rate for the construction, and 2) the estimated cost of construction as established in the building permit application and other relevant information as the director deems appropriate. Once established, the funds will be transferred to the Affordable Housing Capital Fund at the beginning of the next fiscal year. The funds shall be used for affordable housing projects approved by the City Council, unless the funds are otherwise allocated by the City Council. SECTION 3. Severability. If any one or more sections, subsections, or sentences of this ordinance are held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this ordinance and the same shall remain in full force and effect. SECTION 4. 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. 2 Multifamily Property Tax Exemption - Affordable Housing Fund 2018 PASSED by the City Council the___________ day of ____________________, 2018. _________________________________ ERIC YOUNGER, Council President Approved this ________ day of ________________________, 2018. _________________________________ GREG WHEELER, Mayor ATTEST: APPROVED AS TO FORM: __________________________________ ________________________________ ANGELA WOODS, City Clerk ROGER A. LUBOVICH, City Attorney PUBLISHED the ________ day of ______________________, 2018. EFFECTIVE the ________ day of ______________________, 2018. ORDINANCE NO. ____________ R:\Legal\Legal\Files\Current Active Files\Affordable Housing\Multifamily Property Tax Exemption Affordable Housing Fund1- 2018.doc Valuation B‐Flats on Quincy Square 27 Units, Commercial, Storage $1,811,830 TOTAL $1,811,830 SALES TAX RATE (CITY PORTION)0.85% 2019 CONTRIBUTION TO AFFORDABLE HOUSING CAPITAL FUND $15,401 BUILDING PERMIT ISSUED Estimated Valuation One Build on Burwell 56 units $4,749,000 Water, Wind, and Sky 111 units $12,843,306 Bay Vista Apartments 216 units $11,065,730 BUILDING PERMIT PENDING Evergreen Pointe 2,500 sq ft retail, 109 units $14,948,543 Sage Apartments 29 units $905,120 LAND USE PERMITTING UNDERWAY Bay Bowl Apartments 186 units Unknown Marina Square Commercial/restaurant, hotel, 144 units Unknown TOTAL $44,511,699 SALES TAX RATE (CITY PORTION)0.85% ESTIMATED FUTURE CONTRIBUTION TO AFFORDABLE HOUSING CAPITAL FUND $378,349 LAND USE PERMITTING UNDERWAY Estimated Valuation Eagles Tower Commercial/restaurant, 224 units Unknown PROJECTS WITH PENDING PROPERTY TAX EXEMPTION APPLICATIONS PROJECTS WITH 3‐YEAR CONDITIONAL CERTIFICATE OF PROPERTY TAX EXEMPTION PROJECTS WITH FINAL CERTIFICATE OF PROPERTY TAX EXEMPTION ISSUED IN 2018 AGENDA BILL CITY OF BREMERTON CITY COUNCIL SUBJECT: Acceptance of Washington State Department of Commerce Grant for the preparation of a Market Study, Subarea Plan, and Planned Action EIS for the Eastside Employment Center Study Session Date: N/A COUNCIL MEETING Date: October 3, 2018 Department: DCD Presenter: Andrea L. Spencer Phone: (360) 473-5283 SUMMARY: The City received an allocation from the Washington State Legislature in the Capital Budget to support the economic revitalization of the Eastside Employment Center (area around Harrison Medical Center). The City desires to ensure that this Eastside Employment Center remain an economically vital center with both jobs and housing as Harrison Medical Center transitions to Silverdale. The timing is critically important now to conduct studies and do public outreach to ensure that there is a smooth transition for both Harrison and the Bremerton community. The grant funding will be used to prepare the plans that are necessary to ensure economic revitalization during this transition and that no blighting conditions occur in our community. There will be two phases of the project accomplished with this funding: 1) Preparation of an economic market analysis to determine the probable uses and residential densities that can be anticipated in the study area after the departure of Harrison in 2020, and 2) Community outreach visioning and adoption of a subarea plan with a Planned Action Environmental Impact Statement (EIS). This plan will ensure that there is a smooth transition from the current Harrison Medical Center to new uses that benefit the community as a whole. It is expected that the preparation of this plan will ensure that the City will have action steps to ensure that the area is economically viable and is not affected by blight, that we have a plan that is economically viable and market tested, and ensures that future permitting is streamlined. ATTACHMENTS: Washington State Department of Commerce Grant Agreement FISCAL IMPACTS (Include Budgeted Amount): The grant agreement is for $271,600, with no local match required (see Attachment C of the grant agreement that indicates no local match is required). STUDY SESSION AGENDA: ☒ N/A STUDY SESSION ACTION: ☐ Consent Agenda ☒ General Business ☐ Public Hearing RECOMMENDED MOTION: Move to accept the Grant from Washington State Department of Commerce for $271,600; and authorize the Mayor to finalize and execute the agreement with substantially the same terms and conditions as presented. COUNCIL ACTION: Approve Deny Table Continue No Action Form Updated 01/02/2018 8C Council District 1 Pat Sullivan Council District 2 Leslie Daugs Council District 4 Tony Hillman Council District 6 Richard Huddy