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QUINAULT LOGGING CORP
TIMBER SALE #02-1 - BUD'S
FORESTRY
PUR
ROAD
- - Amount $432320.00 - -
Begin Date 07/31/2002
=F Insurance End Date 10/15/2003
Type Amount Review Date 02/15/2005
GL $2000000.00 =F
=1=
1=
Insurance Total $2000000.00
- - Insurance Review Date 05/01/2003
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1= Comments VAULT 01/01/2005 +
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QUINAULT LOGGING CORP
TIMBER SALE #02-1 - BUD'S
FORESTRY
PUR
ROAD
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$432320.00 +
07/31/2002 +
10/15/2003 +
08/01/2003 +
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$2000000.00 +
05/01/2003 +
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Insurance
Type Amount
GL $2000000.00
Amount
Begin Date
End Date
Review Date
Insurance Total
Insurance Review Date
Comments
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Timbo- $a1¢ Co~h~t 1 6/25/2002
CITY OF BREMERTON
Dqmrtment of Public Works and Utilities
BILL OF SALE AND CONTRACT TO PAY FOR AND
REMOVE FOREST PRODUCTS FROM CITY LANDS
SALE #: 02-1 SALE NAME: BUD'S ROAD
CONTRACT # EXPORT STATUS: Export Restricted
THE PARTIES to this Bill of Sale and Contract for the Removal of Forest Products are the CITY OF
BREMERTON, a Washin~qon mumcipal corporation, situated in the County of Kitsap, Stat~ of
Washington, the address of which is 239 - 4th Street, Bremerton, Washington 98337, hereinaflcer refClTed
to as the "CITY", and, Quinault Log~ng Corporation, whose mailing address is
1606 E. Terminal Way, Aberdeen, Washington 98520, hereinaflrr ~ferred to as the "PURCHASER".
1.0 GENERAL TERMS
1.1 Title Conveyed: The sale of forest products described herein has been authorized and
ordered by the City Council of Bremerton, the Purchaser having made the highest qualified bid for the
forest products described below, and that bid having been accepted by the City on July 10, 2002, the City
hereby sells and conveys to the Purehas~ title to the forest products described below.
1.2 Products Sold: The forest products conveyed to the Purchaser are described as follows:
tags/flagging, roads, and plantations, comprising approximately 1,065 MBF of Douglas fir, 8 MBF of
hemlock, 11 MBF of alder, and 6 MBF of maple.
1.2-1 Volume E~timates: Amounts of forest products sold under this contract or
described in the prospectus are estimates only. The City, malting such estimates, ne'aher warrants nor
limits the volume of forest products sold under this contract, it being agreed that each party has had full
opportunity to investigate the volumes on the sale area, and relies solely upon its own observations and
estnnates.
1.3 Sltle Area: The sale area comists of 40 acres, more or less, situated in Kitsap County,
State of Washington, and described as: part of the NWl/4 NWl/4 Section 29 and part of the El/2 El/2
Section 30, all m Township 24 North, Range 1 East, W.M.; Sale area is more fidly depicted on map
marked "Timber Sale Contract Unit Map" attached to this contract and made a part of said contract by this
reference.
1.4 O~ersfin~ Authority: Pureha~qer is hereby granted permission to enter upon City lands
and remove the forest products itemized m Clause 1.2 upon execution of this contract by the City and its
Timber Salo Co~rt~ 2 6/24/2002
authorized representatives and upon payment as set forth in Clause 2.0. Purchaser hereby agrees to
complete all contract requirements by October 15, 2003 .
1.5 R~r~tive~:
1.5-1 City: The rights and duties ofthe City under this contract will be exercised by the
City's PubY~e Works and Utilities Director or such officor as may be otherwise designated by the Director.
1.5-2 Purch~r: Purchaser agrees, prior to commencement of operations, to notify the
City in writing of the name, address and telephone number of a person who will be readily available at all
reasonable times during the eoustmetion and logging operations, and who shall be authorized to receive on
behaff of the Purchaser, any instruction or notice given by the City in regard to performance under this
contract, or breach thereof.
1.6 Time Extension~: An extension of operating authority time as established in Section 1.4
may be granted by the City upon written request received thirty (30) days prior to the expiration date of the
contract, and upon such additional terms and conditions as specified by the City in authorizing the
extension. At a minimum, au extension fee of $1,000 plus the interest on the unpaid balance of
the bid price will be required.
1.7 I~urance: Purchaser shall, before commencing operations, provide the City with a
certificate of insurance evidencing co~ general liability coverage of at least $1,000,000 per
occurnmee including logging broad form property damage. The City of Bremerton shall be named an
additional insured, and the policy shall be kept in full force during the lifetime of this agreement.
1.8 Business Liceuse: Prior to commencement of operations, the Purchaser shall obtain a
City of Bremerton business license.
1.9 T~xe~: Purchaser has sole responsibility for payment of timber excise tax as well as any
other taxes levied by any government agency having authority thereof.
1.10 Ex~ort R~,'~trictiuns: Timber conveyed under this contract is restricted from export under
WAC 240-15 and is subject to all laws applicable under this ehal~r.
1.10-1 Purch~r Certiflc~te: Purchaser shall complete a Purchaser Certificate included
with this contract and return to the City prior to the comneneement of logging operations.
1.10-2 Lon M~rldn~: All logs shall be branded at both ends with a registered log brand
and painted at both ends with durable red paint. Purchaser is responsible for providing the brand and paint
at his expeame.
Tim~- Sale ¢on~n 3 6/25/2002
2.0 PAYMENT
2.1 Fore~ Products: Purchaser agrees to pay for the forest products herein before conveyed
on the basis of the accepted bid price, said bid price being in the amount of $432~20. Bid price to be paid
accordin8 to the following schedule: a deposit of ten (10) percent of the bid price due upon award of
contract, the balance duc prior to ccmunoncement of timber f~lllng operations, or on an installment basis as
approved by the City Treasurer, provided the value of timber to be felled within thc installment period will
be paid for in advance of cutting, exclusive of the initial deposit. The initial deposit to be applied as fmal
payment (to equal the lump sum bid).
Provided: That one hundred I 100) percent of the bid price must be paid by December 31, 2002.
2.2 S~Rlin~ Information: Purchaser agrees to furnish the City with scaling information
showing the scale, count and measure of forest products removed. The scaling information shall be
furnished to the City within sixty (60) days a~r completion of log~inE operations.
3.0 DEPOSITS AND BONDS
3.1 Deoosit: Purchaser, having heretofore deposited $43~232, hcr~inaP(er called thc initial
deposit, is required to maintain this amount with the City. Said deposit is partial payment of the total bid
price.
3.2 Noncomulism:e: The payment of the Purchaser of any damages to the City resulting from
noncompliance with any rule, regulation, or law of the City or other govermng agency, is hereby made a
condition of this contract, the performance of which is secured by the required cash deposits and/or surety
bond.
3.3 Pcrf0rman~e Bond: As a guarantee of the faithful performance of the provisions of this
contract, m¢ludin~ not only the sums due to the City hereunder, but all damages accrued to the City by
reason of the operations of this contract, the Purchaser delivers here~th, a performance bond in the sum of
$20~000.00 in a form acceptable to the City.
4.0 LOGGING
4.1 Plan of Ooerations/Prtn:onstnl~ion and Pre-Lo~l~in~ Meeting: The Purchaser shall,
before starting operations within the sale area, submit to the City Representative, a plan of logging
operations, including a summary of methods to be utilized, the sequence to be followed, times to be
maintained, and such other information as may reasonably be required by the Public Works and Utilities
Director, or his appointee. Upon approval by the City, the Purchaser shall carry out its operation under
this contract in compliance with and pursuant to the plan.
Timber Sale Contract 4 6/24/2002
Purchaser shall arrange to racet wi~h file City Representative before commencing any operations on City
land.
4.2 F~m~t Practices and Other Aoolicable Laws: Purchaser shall fully comply with all
provisions of the Forest Practices Act of the State of Washin~oton as now existing or as subsequently
amended, and all other applicable laws, rules and regulations and shall hold file City harmless from any
obligation or liability arising filerennde~. Purchaser shall comply with the specific conditions of the forest
practices permit issued for this operation.
4.3 F,Ilin~: The Purchaser shall fall aH timber into the sale area whenever reasonably
possible. The tops, limbs and trees felled into adjacent areas shall be removed concurrently with the
logging operation. Directional falling is required along streams or stream courses, lakes, ponds, reservoirs,
etc. Care shall be taken to avoid damage to trees within adjacent plantation areas.
4.4 Stumo Heieht: AH trees shall be cut as close to the ground as practicable.
4.5 Eauioment: Forest products sold under this Contract shall be removed by rubber-tired
skiddv'r or tractor during the dr~ season~ and tracked skidder or shovel vcar around. Eouioment usod shall
be sized and operated so as not to cause damage to so'tis or residual stand.
4.6 Tops: If not otherwise treated, non-merchantable tops and limbs shall be lopped and
scattered within the sale area. AH woody debris generated within a fight-of-way area shall be disposed of in
a manner acceptable to file City.
4.7 Stream Protection: Yarding equipment and any other equipment shah be set back from
any stream bank so that file act of yarding, storing or operation will not damage or encroach upon file
flowing stream in violation of any statute, rule, regulation or agreement in relation thereto. No timber shall
be felled across, or into, and no yardinE shall be permitted in or through such stream courses, lakes, or
ponds, as designated by the City, or by any agency of the State having jurisdiction thereof, unless
permission to do so is granted in writing by file City and/or file appropriate State agency.
4.8 Rub Trees: Rub stumps or trees shall be lef~ on main skid wails, to protect leave trees.
Rub trees may be removed at the end of logging operations.
4.9 Sour Roads/Skid Roads: Whenever practical, existing spur roads and skid roads shall be
utilized. Additional spur roads shall be approved by the City prior to construction. No skidding on
existing main roads unless authorized in writing by the City Representative.
4.10 Landings: Wherever practical, existing opeoings shall be used for tandin~,,s. Landings
shall not be located on main access roads. Landing location shall be approved by the City Representative.
Provided: That aH mare access roads shall not be blocked during logging operations and shall be kept
open at aH times, unless permission for closure is granted by the City Representative.
Timber Sale ~ 5 6/24/2002
4.11 Additional Timber: The City may designate additional timber within the sale area
boundaries or within adjacent areas to be cut. The Purchaser must rernove all merchantable timber so
designated, prior to the expiration date of the oper~in~ authority as defined in Clause 1.4 herein. AH
merchantable timber so designated shall be paid for at the bid rate or at an appraised value as determined
by the City and agreed to by the Purchaser. Such payment shall be made at the same time and in the same
manner as provided for other forest products conveyed under the terms of this contract.
4.12 Lgave Trees: Leave trees shall consist of all individually marked or clumped trees so
designated by flagging or other marking. Understory trees shall be left whenever possible throughout the
sale area to meet the requirements for wildlife reserve and greea recrintmen~ trees as specified by forest
practice regulations.
4.13 Undealmmted Tree~: Any trees, standing or down, not desi~gaated for removal, that must
be re~noved in the construction of landinEs, skid roads, truck roads, firebreaks or other authorized
construction, shall be marked by the Purchaser, and the Purchaser shall pay for such trees at the rate bid
for s'unilar products or at an appraised value determined by the City.
4.14 Water Bars: Prior to termination of this contract or cessation of use, whichever is sooner,
the Purchaser shall construct water bars across hauling and yardinE roads and fire trails in locations
designated by the City if deemed necessary by the City Representative.
4.15 ~: Purchaser shall obtain a written logging release from the City where
there has been satisfactory compliance with all contractual requirements, including but not limited to, all
slash disposal work. The receipt of such logging release and/or acceptance does not relieve the Purchaser
of compliance with any slash disposal requirements that are listed within the cuntraet or additional fire
hazard reduction measures as may be provided herein. Upon issuance of said release, however, all cutting
fights revert to the City.
4.16 Ga~line: Purchaser shall cuntaot Cascade Natural Gas at (360) 373-1403 prior to
commencement of l°ggmg operations. Purchaser shall observe all pertmeot requirements specified by
Cascade Natural Gas when working in proximity to gasline located on west edge of 2210 road.
5.0 DAMAGES
$.1 General: All operations of the Purchaser under this agreement, including any
cunstruetion, whether of roads or otherwise, and cutting and removal of timber, shall be so conducted as to
minimize, so far as is reasonably practicable, danger to adjaeeot City timber, or reserve trees within the
sale area or within any area within which Purchaser carries on activities, whether transporattion or
othercdse, as well as to any stream eonrse, stream side, reservoir, lake or pond within such areas, and to all
other properties affected thereby.
Timber 8ale Conlract 6 6/24/2002
5.2 Stre~un Courses: Reservoirs, stxeam courses, stream sides, lakes and ponds in or adjacent
to the sale area shall be cleared of logs, chunk and other debris deposited therein, as a result of operations
under this coatcact. Such material shall be removed and deposited in such a manner as is satisfactory to the
City. Use of machine~ in such waters is prohibited unless provision for such is granted in writing by the
City and approved by all appropriate agencies having jurisdiction thereof.
5.3 Erosion and Dma~e to Soil: During operations under this agreement, including the
construction of roads and landinEs, Purchaser shall take such precautions as are necessary to minimize
erosion and damage to the soil, and make certain that no governmental laws, niles or regulations or laws
are violated through such erosion, or as a result of its operations. Purchaser shall exercise every necessary
means to prevent contamination and pollution of the waters or any reservoir, stream course, lake or pond as
a result of any operation by Purchaser during the performance of this contract.
5.4 Damane to Trees: Any trees damaged in the course ofnormal logging operatioos through
the utilization of reasonable methods may be marked by the City and the Purchaser shall pay for such trees
at the amount bid for similar products or at such appraised values as may be reasonably determined by the
City. Purchaser shall have the right to remove the products so marked after payment.
5.5 Payment for Forest Products Destroygnl or Damsged: In the event any forest products
included in this cuntmct axe destroyed or damaged from any cause not otherwise covered herein, the same
shall be paid for by the Purchaser on demand by the City, at rates contained in Section 2-0 or, if no rate is
therein fixed for a particular forest product, at appraised value as determined by the City. Purchaser shall
have the right to remove forest products remaining on the sale area upon payment therefore.
5.6 Deleterious Material: All possible care shall be takea by the Purchaser to prevent fi~el,
oil, grease or other harmful materials from entering the sffil or waters of any reservoir, lake, stream course
or pond as a result of any operation of Purchaser. Refuse resulting from Purchaser's use, servicing, repair
or betterment of its equipment shall be immediately removed from City property.
5.7 Other Damanes: Any damages to fences, gates, culverts, bridges, and/or other structures
caused by the Purchaser's operations shall be repaired in a timely manner at the Purchaser's sole expense.
6.0 SURVEYS AND MARKERS
6.1 City Marks: The City has located and marked or othel~se desiEnat~d all sale
boundaries. Purchaser has gone over the boundary lines on the ground, knows where they are and agrees to
confine his or its cutting to the forest products comained within the boundaries and to be responsible for
any violation of this requirement.
6.2 Prcaervatiou Of Marker~: Any land, subdivision, survey, comers, wimess objects or
survey markers of any type are to be preserved. If such are destroyed or disturbed the Purchaser shall
re-establish those by a l'lC~q~d land surveyor in accordance with United States General Land Office
Timber Sale C<nara~ 7 6/24/2062
Standards at Purchasers own and sole expense. Comers and/or wimess objects that must necessarily be
disturbed or destroyed in the process of road construction must be adequately referenced and such reference
approved by the Utilities Director prior to the removal of said comers and/or witness objects.
7.0 SLASH DISPOSAL - FIRE PREVENTION AND CONTROL
7.1 Slash Defined: The term "slash", as that term is utilized for the purposes of this conUach
shall mean all debris of whatsoever type created on the sale area and right-of-way thereto by loggin~
milling, and other related operations of Purchaser, or by windstorm.
7.2 Sl~zh Disposai/Fir~ Hazard Reduction Plan: A slash disposal/fire baTnrd reduction
plan, if reqafired, will be part of this couhact by attachment and will become part of the contract therein.
Provided: Slash shall be lopped and scattered throughout the unit so that large accumulations are not
created. No slash shall be piled on or near the gasline right-of-way.
7.3 Waiver of Slash Disnosal Treatment. The City reserves the right to waive any
requiremem relating to slash disposal or rue prevention, so long as such waiver is made in writing by the
City after Purchaser has been provided alternative methods for disposal and fire prevention, which have
been approved by the City:
Provided: That such waiver shall be subject to revocation in the event of any failure of the Purchaser to
comply with such alternative methods.
7.4 Men and Eauioment: The Purchaser agrees to provide persons and equipment at its own
expense to i~dflll any requirement that may be established by law~ whether State or Federal, whether such
persons or equipmera are to be utilized for slash removal or fire prevention and suppression.
7.5 Clean Firebreaim: The Purchaser shall, upon completion of logging and at such other
periodic times as may be stated m writing by the City, clean out all fire trails and skid roads designated by
the City as fire breaks, leaving them free of debris for suitable fire breaks. When designated by the City,
water bars and cross ditches are to be installed on trails to prevem erosion.
7.6 Fire Reanonsibilitv: Purchaser shall reimburse the City, its agents or employees, for aH
costs and/or liab'thty of whatsoever nature recurred as a result of negligence of the Purchaser in the
creation, spreading or escape of fire, whether such liability is incurred by the City through and/or to private
parties or governmental agencies.
7.7 Ooerafin~ Eouioment Durin~ Closed ~ason: The Purchaser agrees: Not to operate
any eqmpment powered by a spark-emitting engine between April 15 and October 15 of each year for
logging, milling, fire suppression or road construction and maimenan~ or any activity whatsoever within
the sale area, unless it is equipped with spark arrestor of a type approved by the State of Washington for
Tim~ S~le Cobalt 8 6/24/200~
utilization within its lands. Nor shall it operate any power saw or power equipment in any condition, which
is known or can reasonably be known to start fires. The City reserves the right during periods of dangerous
weather as designated by the City, to prohibit the operation of any or all such spark emitting engines within
the sale area.
7.8 Fire Hazard Reduction: In the event the City furnishes a fire ha?ard redflchon plan to
provisions relating to but not limited to slash disposal and reduction of fire dangers, the Purchaser agrees to
cany forth the measures at such time as may be established within the plan, but no later than the
completion of logging in an area or at such other time as may be direct~xl by the City.
7.9 Fire Exfinmd~her~. Fire Tools: Every internal combustion motor, yarder or vehicle shall
be equipped with a chemical fire extinguisher and shall comply with all State established regulations
relating to such equipment. Purchaser further agrees during thc period of April 15 to October 15 to
maintain on his operation toolboxes and other fire equipmont as required by Washin~W~on State law.
7.10 Charge for Slaah Di~oo$al. Work Not Completed: In the event that the Purchaser fails
to carry forth the slash disposal preparation work or reasonable measures to prevent fires from starring or
spreading from or w/thin the timber sale area by the date that is designated by the City in any ha?ard
reduction plan set forth or within this contract, the City shall have thc right to complete such work or
preparation and thc Purchaser agrees to pay to the City thc sum of momes reasonably expended by the City
in such work. Thc Purchaser further agrees to pay all costs and liabilities incurred by the City as a result
of thc failure of Purchaser to either complete thc slash disposal preparation work, fire reduction measures,
or to make available the men and equipment as required by the terms of this contract.
7.11 Weather Inatrumeats: During the period from April 15 to October 15, the Purchaser
shall provide and maintain such weather insmunonts which will at all times measure the relative humidity
and temperature of the air, and make thc reports therefrom amiable to thc City upon request.
Observations shall not be required on any day that rain is falling At such time as the relative humidity is
30% or less, operation of any and all spark emitting machinery, with the exception of automobiles, must
vohimafily cease, unless permission to continue is given in writing by thc appropriate offi~mls of the City.
7.12 Watchoerson: During thc period April 15 to October 15 and such other times as may be
designated by the City, Purchaser shall have a watch person on duty for at least two hours afwr the closure
of operations for the day, or any part thereof in which operations occur:
Provided: That with the written permission of the City this requlremem may be waived or modified. All
watch persons shall be competent and trained in fire detection and suppression activities.
7.13 Open Fires: Purchaser shall not set or allow to be set or maintained by his employees or
subcontractors any open fire at any time of the year without first having obtained permission in writing
from the City.
Timber Sale Co~ract 9 6/24/2002
7.14 Fire Lin~s: Purchaser shall construct a fire lane or firebreak along the outer boundaries of
thc loKging area or areas if required by a slash disposal/fire haT, rd reduction plan alTached to this contract.
Such fire lanes or breaks shall be located and constructed to thc satisfaction of thc City. On or adjacent to
thc fire lane or break, all dead trees shall be felled and all flammable materials, including slash,
reproduction and debris, shall be pushed or otherwise moved into the area to be logged. The cleared width
ordinarily may not be required to exceed that of the bulldozer blade used in construction, but ad~tional
width may be required ff comidered reasonably necessary for safety by the City or Purchaser. When
dceracd necessary in the judgment of the City, a eontinuons lane cut to mineral earth shall be provided on
the exterior edge of the cleared area.
8.0 ROADS
8.1 Authorization: Purchaser is authorized to construct and maintain on the City lands all
necessary roads, bridges and other transportation facilities needed for the cutting and removal of the timber
included in this contract. VV~]cn utilized throughout this contract, the term, "construct", shall include the
term, "reconstruction", or "reconstruct". All work shall be accomplished in compliance with Washington
State law.
8.2 R0S~t C0nstru~ti0n: All construction, reconstruction, and betterment of roads covered
under this contra~ shall be loc_~*__ed and constructed as approved by the City and/or will be in accordance
with a plan provided by the City and made a part of this contract by attachment, ff required.
8.3 Location. l}esi~n, and Construction: Such roads and other fac'difles shall be located and
maintainlxl in mrdance with tho provisions and sp~c'rfications set forth in this contract or the attachments
thereto and shall at all times remain the property of the City. Any existing road orfa~ utilized by
the Purchaser in the performance of its acth, ities under this contract shall be maintained and left by
Purchaser, in as good or better condition than found at the date of Purchaser's initial use. The
relocation, design and construction techniques of all such roads and facilities shall be approved by the City
before construction is commenced by the Purchaser. Purchaser agrees that any transportation facility
needed for operation under this contract shall be loeated, constructed, operated, and mallatained in a
satisfactory manner. The City shall further have the right to utilize and allow the ufili?afion of any road
construction by the Purchaser under this coah'act for any and all purposes in cor~cetion with the
protection, administration and utilization of the area here in question, provided that as to any non-pubhc
road constructed by the Purchaser any such utilization shall not materially interfere with the operations of
the Purchaser.
8.4 LiabilitvforDamaee: Any required payment or maimenan~ carded out by the
Purchaser shall not relieve the Purchaser from liability to the City for repair or damage to the roads,
including bridges and culverts, due to overloading tracks, carelessness or negligence on the part of the
Purchaser, its employees, subcontractors and their employees, or any other party utilizing the roads with
permission of Purchaser.
Timber Sale Conlra~t 10 6/24/2002
8.5 Reservations: The City shall have the right to use, without charge, all existing roads
and/or any road constructed or reconstructed on City lands by the Purchaser under this commct for any and
all purposes deemed necessary or desirable in connection with the control, management, harvest and
administration of City-owned land or the resources thereof and the City may extend such rights and
privileges to others, provided such use by others shall be controlled so it will not, in the op'mion of the
Public Works and Utilities Director, interfere unduly with the use of the road by thc Purchaser.
8.6 R-~luired MalntmaneedCunstruction/Betterment: Roads utilized by Purchaser shall be
maintained and lei~ in a condition as good as or better thau found at the date of Purchaser's initial use.
Provided: That normal maintenance on main access roads shall be provided by the City.
9.0 BUILDINGS AND IMPROVEMENTS
9.1 Buiidines and Imorovements: Purchaser may construct on City lands, when authorized
to do so by the City, such buildings or otber improvements as may be reasonably necessary for logging thc
timber included in this agreement. All such buildings or improvements shall be located to prevent pollution
of the water in streams or lakes and shall in no event violate any applicable City, State or Federal law, rule
or regulation. When such improvements are to be moved or abandoned, the Purchaser shall dispose of the
improvement in such a manner as is acceptable to the City. The authorization granted bereunder to build or
maimaln improvements upon the City lands terminates with the termination of this agreement.
9.2 Abandoned Prooertv: Any improvement, whefl~er a building or otherwise, constructed
upon the property of the City may, with the consent of the City, be left upon the property fi.om the
termination of this contract:
Provid~l: That upon any such action, title thereof shall pass to the City.
10.0 OTHER CONDITIONS
10.1 Notice: Ail notices to be given by either party to this contract in relation to this agreement
shall be in writing and may be served personally upon the parties at the addresses noted above or by
certified mail, rctum receipt requested, addressed to the party to be served at thc address hereinafter set
forth. Any notice to be given by certified mail shall be deemed to have been received four days after the
posting thereof in thc Uinted State Postal Service, postage prepaid.
10.2 Breach of Contract: In thc event thc Purchaser violates or breaches any term of this
agr~ment or any requirement hereunder, the City shall have the right to suspend operations of thc
Purchaser hereunder by thc giving of wriOam notice, specifying thc breach alleged. If such breach is not
remedied within thirty (30) days afar the giving of the notice, thc City may terminate this agreement and
thc Purchaser shall have no further rights under this Bill of Sale and Contract. Upon such termination, the
Timber 8al¢ Cobalt 11 6/24/2002
City shall notify the Purchaser of a Breach of Contract and the deposit made in connection herewith may be
forfeited upon order of the City Council and action may be taken to recover damages from the Purchaser
and surety.
10.3 City's Rieht to Remedy Breach of Contract: In the event the Purchaser has violated or
breached any term of this agreenwnt and has failed to remedy the breach thereof, the City shall have the
option to remedy of any such breach if, after the giving of notice of breach required hereby, the Purchaser
shows no indication of attempting to remedy the breach, or if there is an apparent inability of Purchaser to
remedy the breach as such absence of attempt or inability may be reasonably determined by the City, the
City may, in its discretion, immediately eater upon the property and commence attempts to remedy the
breach. Any expense so incurred by the City shall be charged against the Purchaser and be paid to the City
by the Purchaser within thirty (30) days after receipt of thc billin~ for the expense. Ptlrehaser shall, in
addition to the cost of the attempt to remedy the breach, be responsible to the City for any such losses or
liabihties as may be incurred by the City, as a result of the breach, such losses to be paid to the City by
Purchaser within thirty (30) days of notice of the amount in question.
10.4 Assignment: The Purchaser shah not assign any rights hereunder without the consent of
the City in writing, signed by the Mayor of the City of Bremerton. No purported assignment of any such
right shall be effective without the consent herein anticipated.
10.5 P#l'chaser Complaints in Writing: Complaints by the Purchaser as to any action taken,
or any action not taken by the City, in ~spcet to this contract, shall not be considered unless made in
wrifmg to the City within thirty (30) days of any such action or non-action.
10.6 Comoliance with Laws: Purchaser, its employees, subcontractors and their employees
shall conduct their activities in a safe and workmanYtke manner to comply with all appropriate City, State
and Federal laws, rules and regulations in relation to such activities, and shall cooperate folly in making it
possible for the City's officers to inspect thc cutting, logging, construction and other activities of the
Purchaser under this contract, and to conduct their official duties on the sale area and its vicinity.
10.7 Indenmitv: The Purchaser agrees to defend, indemnify and hold harmless the City, its
appointed and elected officers and employees, from and against any and all liability, loss, costs, damage
and expense, including costs and attorney fees in defense thereof because of actions, claims or lawsuits for
damages resulting from personal or bodily injury, including death at any time resulting there from,
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 or the
performance of this Agreement, whether such injuries to persons or damage to property is due to the
negligence of the Purchaser, their subcontractors or agents. ~[~nis provision shall be inapplicable to the
extent the City is judicially found solely negligent for such damage or injmy.
10.8 City's Right to Close Ol~erations: fi, for any reasons, including but not limited to danger
of fire determined to be excessive by the City, and any reasonable perceived threat to persons, property or
the environment, the City exercises its right to order the closure of operations under this contract, (said
Timb~ S~I~ Comr~ ~ 6/24/2002
fight being hereby recognized, established, and acknowledged) the time of completion of this contract shall
be extended by the number of days or portion theacof contained within said closure, so long as the closure
is not as a ~sult of actions of Purchaser or any person or entity acting upon Purchaser's behaff which are
actions in breach of this contract. The extensions of time shall be Purchaser's sole remedy under this
contract for any such closures and shall be in lieu of any other right, whether at law or at equity, including
but not limited to monetary damages, ff thc closure is as a result of Purchaser's breach of this contract or
is a breach of thc couh~'t any person or entity acting on Purchaser's behalf, there shall be no fight to the
cxtcosion provided for hereunder.
10.9 V~nue: Any litigation commeuced between the parties to this contract arising out of this
contract shall be filed in the Superior Court of the State of Washington, in and for the County of Kitsap,
which shall be the com-t having proper venue thereof.
10.10 Settlement: In addition to any other relief granted to one party against the other, the
parties agree that the non-prevailing party in any such litigation shall pay to thc prevailing party, in
addition to any such other relief, thc sum determined by the court to constitute reasonable attorney's fees.
11.0 EQUAL OPPORTUNITY
11.1 During the performance of this contract, the Contractor agrees as follows:
(a) Thc Contractor will not discriminate against any employee or applicar~ for
employment because of race, color, religion, sex, or national origin. Thc Contractor will take affirmative
action to ensure that applicants are employed, and that employees are treated during employment without
regard to their race, color, religion, sex or national origin. Such action shall include but not be limited to
the following: employment, upgrading demotion, or transfer, recruitment or recruitment advertising; layoff
or tertninatiot~ rates of pay or other forms of compensation; and selection for training, including
apprenticeship.
(b) The Contractor will, in all solicitations or advcrtisemeuts for employees placed by
or on behalf of the Contractor, state that all qualified applicants will receive consideration for employment
without regard to race, color, religion, sex or national origin.
12.0 SPECIAL PROVISIONS
12.1 Sanitary Rec, ulations: Sanitary regulations by the Washin~on State Department of
Health shall be observed. Sani-Can type restroom facilities shall be provided at the job-site by the
Purcha.~r.
12.2 Firearms: No flrean~ shall be permitted on any properties covered by this agreea~nt or
Bremerton Water Utility lands.
Timber Sale Con~ra~ 13 6/24/2002
13.0 MISCELLANEOUS
13.1 Entire A~reement: This agreement constitutes the entire agreement between thc parades.
There shall be no oral modification of this agreemem.
13.2 Law Aoolicable: The laws of the State of Washington shall be applied in construing this
13.3 Time: Time is of the essence m performance of this agreement.
EXECUTED this ~ day of ~_~ox ,2002.
)
By '~' ~- By ~ ~~
~ ' ' ' ~ Cor~ ~ Mayor
D~~ROV~:
w.
Dior of ~b~c Wor~d Utilities
Roger Lu~hc~ Ci~ A~o~
A~ST:
~ffi~ L. McClusk~, ~ Cle~