HomeMy WebLinkAbout4408
Vendor
Subject
Department
Status Code
Amount
Begin Date
End Date
Review Date
Insurance
Comments
Contract Number 4408
KIT SAP CO ADMINISTRATIGE SERVICES
Revenue Sharing - Sales Tax - Lowes
Finance
GOV File Class LEG 12-1
$
03/01/2003
02/28/2006
02/15/2008
GL $
AL $
E&O $
Insurance Total $
Insurance Review Date
See Contract for payment formula
Vault 01/01/2008
INTERLOCAL AGREEMENT BETWEEN KITSAP COUNTY AND THE
CITY OF BREMERTON
This Agreement, made pursuant to Chapter 39.34 RCW, is between KITSAP COUNTY
(hereinafter, the "County"), a political subdivision of the state of Washington, and the CITY OF
BREMERTON (hereinafter, "City"), a municipal corporation of the state of Washington. ·
WHEREAS, through the Kitsap Regional Coordinating Council (hereinafter, "KRCC"),
the County and the City have worked together constructively on revenue sharing issues that in
the past have been adversarial; and r
WHEREAS, the County and the City sought a balanced set of revenue sharing provisions
that would benefit both the County and the City and support the orderly evolution of logical land
use patters and jurisdictional boundaries; and
WHEREAS, the County and the City reached accord on a set of Principles of Agreement
for Revenue Sharing in Annexations and in Major Land Use Decisions; and
WHEREAS, the County and the City desire to implement the Principles of Agreement
through an interlocal agreement; and
WHEREAS, the County and the City previously entered into an interlocal agreement
with an effective date of September 4, 2001 (See Attachment "A") that was intended to
memorialize all of the agreements; and
WHEREAS, the interlocal agreement entered into by the County and City with an
effective date of September 4, 2001 did not address an agreement between the City and County
with respect to sharing tax revenue from Lowes Home Improvement Warehouse (hereinafter
"Lowes") located at 5600 State Highway 303, Bremerton, Washington; and
WHEREAS, the County and the City desire to memorialize the agreement regarding the
sharing tax revenue from Lowes; and
NOW THEREFORE, in consideration of mutual covenants, terms and conditions
contained herein, the parties agree as follows:
SECTION I
DIVISION OF TAX REVENUE
The purpose of this section is to recognize that the relocation of Lowes from within the
Bremerton City limits to an area just outside City limits has an impact on the City of Bremerton
and, in particular, on existing businesses and the demand for public services and facilities. This
section is designed to mitigate these impacts by providing that sales tax revenues from Lowes
will be shared with the City.
lnterlocal re Revenue Sharing
1.1 The County agrees to share with the City sales tax revenue lost to the City and
gained by the County due to the relocation of Lowes fi.om inside Bremerton City limits to a
location in the County just outside city limits.
A. Revenue sharing payments will be required only for local retail sales tax
revenues.
For purposes of this section, the lost revenue has been agreed upon by the City and the
County to be $203,000 annually.
B. The County will make monthly revenue sharing payments to the City for
a three year period beginning with the month of March 2003 and con. eluding with the month of
Febmary 2006.
C. The revenue sharing payment fi.om the County to the City will be
calculated accord~g to the following formulas:
The total of twelve equal year one payments will be equal to 75% of the City's
annual lost revenue
The total of twelve equal year two payments will be equal to 50% of the City's
annual lost revenue
The total of twelve equal year three payments will be equal to 25% of the City's
annual lost revenue
SECTION 2
MISCELLANEOUS
2.1 Duration. This Agreement will remain in effect until the terms of the Agreement
are fulfilled. There is no other term agreed to by the parties.
2.2 Reevaluation. The City or the County may request immediate reevaluation of
this Agreement by the City and County. If the reevaluation falls to yield a resolution satisfactory
to the requesting party within six months from the date the request for reevaluation was made,
the requesting party may initiate the process for termination provided in this Agreement.
2.3 Termination. After completion of the reevaluation process required by this
Agreement, a party may terminate this Agreement by twelve (12) months' written notice to the
other party. Termination does not extinguish the obligations of the terminating party under this
Agreement for major land uses for which an application is filed, prior to the effective date of
termination.
Interlocal re Revenue Sharing
2.4 Filing. When fully executed, this Agreement shall be filed with the Kitsap
County Auditor.
2.5 Notices. Any Notices required by this Agreement shall be delivered, or mailed
postage prepaid, and addressed to:
Kitsap County City of Bremerton
Clerk to the Board City Clerk
Office of the Kitsap County Board of City of Bremerton
Commissioners 239 4th Street
614 Division Street Bremerton, WA 98337
Port Orchard, WA 98366 ~
2.6 Administration. As this Agreement contemplates no joint or cooperative
undertaking, each party shall admin/ster the Agreement as to its own responsibilities under the
Agreement.
2.7 Waiver. The failure by the County or the City to enforce any term or condition
of this Agreement shall not be construed to constitute a waiver of any other term or condition, or
of any subsequent breach of any provision of this Agreement.
2.8 Entire Agreement. This Agreement includes the entire agreement of the parties
with respect to any matter addressed in this Agreement.
2.9 Amendment. This Agreement may be amended only upon the written agreement
of the parties made with the same formalities as those required for its original execution.
2.11 Effective Date. This Agreement shall take effect retroactively to March 1,
2003 , as this date has been expressly agreed upon by the parties.
APPROVED BY THE KITSAP COUNTY BOARD OF COMMISSIONERS this
day of ~ ,LGt .,2003.
Jan AI~I, Chair
~-~'~e~, Comn~isioner
Patty ~ssioner
lnterlocal re Revenue Sharing
PASSED BY THE CITY OF BREMERTON CITY COUNCIL this ~ day of
APPROVED BY THE MAYOR OF THE CITY OF BREMERTON this(J/.~ day of
~~i~ 2003.
CARY BOZEMAN, MAYOR
ATTEST: ~
K~THLEEN)~c~LUSKEY, CITY CLERK
APPROVED AS TO FORM:
ROGER A. LUBOVICH, C--'rI~"ATTORNEY
InterlocaI re Revenue Sharing