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HomeMy WebLinkAboutReg 2025-03-17 COMPLETE AGENDA PACKETMonday, Tukwila City ❖REGULAR Council Agenda •MEETING ❖ �JOILA 11,4 a G., �� 2 / 1906 Thomas McLeod, Mayor Councilmembers: ❖ Mohamed Abdi ❖ Armen Papyan Marty Wine, City Administrator ❖ Jovita McConnell ❖ Dennis Martinez Tosh Sharp, Council President ❖ Hannah Hedrick ❖ Verna Seal ON -SITE PRESENCE: TUKWILA CITY HALL COUNCIL CHAMBERS 6200 SOUTHCENTER BOULEVARD REMOTE PARTICIPATION FOR THE PUBLIC: 1-253-292-9750, ACCESS CODE: 670077847# Click here to: Join Microsoft Teams Meetinn For Technical Support: 1-206-433-7155 March 17, 2025; 7:00 PM 1. CALL TO ORDER / PLEDGE OF ALLEGIANCE / ROLL CALL 2. LAND ACKNOWLEDGEMENT The City of Tukwila is located on the ancestral lands of the Coast Salish people. We acknowledge their continuing connections to land, waters and culture. We pay our respects to their elders past, present and emerging. 3. PUBLIC COMMENTS including comment on items both on and not on the meeting agenda Those wishing to provide public on -site at Tukwila City Hall items both on and not on the To provide comment via phone citycouncil@tukwilawa.gov comments may verbally address the City Council both or via phone or Microsoft Teams for up to 5 minutes for meeting agenda. or Microsoft Teams, please email with your name and topic by 5:00 PM on the meeting date. your message is for public comment during the meeting, and Please clearly indicate that you will receive further instructions. 4. PRESENTATION Recology 2024 Annual Report. Recology Pg.1 5. CONSENT AGENDA a. Approval of Minutes: 3/3/25 (RegularMtg.) b. Approval of Vouchers c. A resolution authorizing the duly -appointed administering agency for South King Housing and Homelessness Partners (SKHHP) to execute all documents necessary to enter into agreements for the funding of affordable housing projects, as recommended by the SKHHP Executive Board, utilizing funds contributed by the City of Tukwila to the SKHHP Housing Capital Fund. [Reviewed and forwarded to consent by the Planning and Community Development Committee on 3/10/2025.J d. Approve an application for Lodging Tax funds from the City of Tukwila for the Annual Juneteenth Commemoration, in the amount of $10,000.00. [Reviewed and forwarded to consent by the Planning and Community Development Committee on 3/10/25.J e. An ordinance amending Ordinance No. 2740 §3 (part), as codified at Tukwila Municipal Code (TMC) Section 17.16.040, "Preliminary Applications," to remove language requiring Phased Binding Site Improvement Plans to execute development agreements. [Reviewed and forwarded to consent by the Planning and Community Development Committee on 3/10/25.J (continued...) pg.7 Pg.45 Pg.57 REGULAR MEETING March 17, 2024 Page 2 6. NEW BUSINESS a. A resolution adopting a Federal Legislative Agenda for use during the 119th United States Congress. b. Authorize the Mayor to sign an Interlocal Agreement with the South County Area Transportation Board for transportation coordination in the South King County area. <rescheduled from 3/10/25 C.O. W. meeting> c. 2025 - 2026 Human Services Contracts <rescheduled from 3/10/25 C.O. W. meeting> (1) Authorize the Mayor to sign a contract with Children's Home Society (DBA Akin) for behavioral health services through December 31, 2026, in the amount of $70,000.00 (not to exceed $35,000.00 annually). (2) Authorize the Mayor to sign a contract with Multi -Service Center for rent and utility assistance through December 31, 2026, in the amount of $84,000.00 (not to exceed $42,000.00 annually). (3) Authorize the Mayor to sign a contract with Refugee Women's Alliance for basic needs and services through December 31, 2026, in the amount of $63,000.00 (not to exceed $31,500.00 annually). (4) Authorize the Mayor to sign a contract with Tukwila Pantry for food pantry services through December 31, 2026, in the amount of $80,000.00 (not to exceed $40,000.00 annually). (5) Authorize the Mayor to sign a lease agreement with St. Stephen Housing Association for Hartnett Manor (14688 Macadam Road South, Tukwila) for homelessness intervention/prevention through December 31, 2025. d. Authorize the Mayor to accept two grants from the Washington State Department of Commerce through the Local Community Projects Program for the Tukwila Community Center HVAC Replacement Phase 1 Project in the amounts of $250,260.00 and $499,550.00. <rescheduled from 3/10/25 C.O. W. meeting> Pg.85 Pg.91 Pg.99 Pg.135 7. REPORTS a. Mayor b. City Council c. Staff — City Administrator Report Pg.227 8. MISCELLANEOUS 9. ADJOURNMENT This agenda is available (Tukwila Council at www.tukwilawa.gov, and in alternate formats with advance notice for those with disabilities. meetings are audio and video taped. Available at www.tukwilawa.gov) nip, If you are in need of translation or interpretation services at a Council meeting, jr1 please contact us at 206-433-1800 by 12:00 p.m. on the meeting date. WELCOME TO THE TUKWILA CITY COUNCIL MEETING The Tukwila City Council encourages community participation in the local government process and welcomes attendance and public comment at its meetings. MEETING SCHEDULE Regular Meetings are held at 7:00 p.m. on the 1st and 3rd Mondays of each month. The City Council takes formal action in the form of motions, resolutions and ordinances at Regular Meetings. Committee of the Whole Meetings are held at 7:00 p.m. on the 2nd and 4th Mondays of each month. The City Council considers current issues, discusses policy matters in detail, and coordinates the work of the Council at Committee of the Whole meetings. PUBLIC COMMENTS Members of the public are given the opportunity to address the Council for up to 5 minutes on items both on and not on the meeting agenda during Public Comments. The City Council will also accept comments on an agenda item when the item is presented in the agenda, but speakers are limited to commenting once per item each meeting. When recognized by the Presiding Officer, please go to the podium if on -site or turn on your microphone if attending virtually and state your name clearly for the record. The City Council appreciates hearing from you but may not respond or answer questions during the meeting. Members of the City Council or City staff may follow up with you following the meeting. PUBLIC HEARINGS Public Hearings are required by law before the Council can take action on matters affecting the public interest such as land -use laws, annexations, rezone requests, public safety issues, etc. The City Council Rules of Procedure provide the following guidelines for Public Hearings: 1. City staff will provide a report summarizing and providing context to the issue at hand. 2. City staff shall speak first and be allowed 15 minutes to make a presentation. 3. The applicant is then allowed 15 minutes to make a presentation. 4. Each side is then allowed 5 minutes for rebuttal. 5. After City staff and the applicant have used their speaking time, the Council may ask further clarifying questions of the speakers. 6. Members of the public who wish to address the Council on the hearing topic may speak for 5 minutes each. 7. Speakers are asked to sign in on forms provided by the City Clerk. 8. The Council may ask clarifying questions of speakers and the speakers may respond. 9. Speakers should address their comments to the City Council. 10. If a large number of people wish to speak to the issue, the Council may limit the total amount of comment time dedicated to the Public Hearing. 11. Once the Presiding Officer closes the public hearing, no further comments will be accepted, and the issue is open for Councilmember discussion. 12. Any hearing being held or ordered to be held by the City Council may be continued in the manner as set forth by RCW 42.30.100. For more information about the City Council, including its complete Rules of Procedure, please visit: https://www.tukwilawa.gov/departments/city-council/ 3/11/2025 1 11= Customer Service & Operations Review - Consistent email and call volumes starting in March Cyber event in January and February Ongoing customer information validation in first quarter of contract commencement - Customer Service Satisfaction Average Score: 4.2/5 2500 2000 1500 1 1000 SOO Tukwila CaII and Email Volumes 0I ■ Dec-23 Jan-24 Feb-24 Mar-24 Apr-24 May- 24 Jura24 Sul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 I■ Customer Ern ails 453 785 • Calls 894 1555 506 926 334 650 350 663 349 611 424 726 407 620 324 4E6 364 664 312 615 333 451 301 647 2 3/11/2025 it Customer Service & Operations Review Majority of calls answered in 20 seconds (70%+) Trends of longer time to answer: - January and February due to Cyber incident June and September due to billing notices ASA (Seconds) A5A (' %in3 Average Seconds to Answer and Calls Answered in 30 Seconds 45.00 40.00 35.00 30.00 25.00 20.00 15.00 10.00 5.00 0.00 _ - 10( - 809 605 409 - 20`, ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ Dec-23 Jan-24 Feb-24 Mar- 24 Apr-24 May- 24 Jun-24 Jul-24 Aug- 24 Sep-24 Oct-24 Nov 24 Dec-24 0% ec) 34.90 45.84 36.30 20.33 20.21 20.49 37.62 25.07 16.23 34.50 12.26 13.64 16,47 1 Seconds 81.10%72.94%7&90%90.01%91.80%89.07%74.45%88.69% 94A1% 93.36% 94.96% 95.32% 92.81% Answered in 3 Customer Service & Operations Review - By June, customer data has been validated and misses are below the target - Reported misses increase in July due to accounts on credit hold - Target: 1 Miss/1,000 (39 total misses per month) 7.03 Misses/1000 Collections (target= <1) 120 .IW 40 Ea 40 70 6.03 5.03 4.03 3.00 2.03 ■ - - 1.W 0.000 - NM MI titer 6e8d4 M4.24 AK.24 M4y-.74 164-24 1u1.24 A6g.24 5ep.24 04624 Nov.24 oec-24 44� Misses 105 65 58 44 32 51 27 21 30 20 26 -M-Miss/1000 6.16 1.87 1.52 1.12 0.92 1.25 0.72 0.58 0,74 0.58 0.72 4 2 2 3/11/2025 Improvements Made Since Implementation • Increased Customer Service and Operations Support staff • Ongoing in -field follow ups to resident and business feedback • Streamlined collaboration between Customer Service, Outreach and Operations teams to address any unique issues or questions —�t t Henn 5 Contamination Reduction Program & Diversion Outreach • Over 2,250 units provided with Doorhanging materials to promote recycling and composting • Recycling contamination program success: • 1,097 container audits completed • 343 site visits and Technical Assistances completed • 85 sites improved from 10% contamination to acceptable levels (<10%) (out of 108 properties; this is nearly 80%!) • 148 Educational materials requests completed • Signage deliveries and installations (including multilingual signage) • Sorting Guides • Recycle Right tools • Recology Store Flyers 6 3 3 3/11/2025 Engaging with the Community • Southcenter Earth Day Fair — April 22nd • Tukwila Repair Event — May 11th • Recycling Event - May 18th • Tukwila and Recology 2024 ReThink Art Contest • Southcenter Touch -A -Truck — July 27th • Hullaballoo —August 17th • Senior Resource Fair — Oct. 9th • Yard Waste Collection Event — Nov. 9th 7 The Recology Store: 2024 Statistics for Tukwila Residents • 466 hard -to -recycle drop-offs! • 2024 Recology Store Workshops • February: Scissor Repair • May: Mending Workshop • August: Scissor Repair Workshop • December: Sustainable Furoshiki Wrapping Hard to Recycle Items Collected at The Recology Store for Tukwila Residents 47 Small Appliances 8 Propane Cylinders Recology 2024 Totals vet 4 Bicycles 238 Fluorescent Bulbs 2,900 Gallons of Styrofoam • Woof 49 Hardcover Books 5/0 1:11172� Electronics 11.56 Pounds of Batteries 570 Pounds of Textiles • 6 I 7 Strand Lights 4.4 OIL 22.05 Gallons of Cooking Oil RecologyRfr STORE 8 4 4 3/11/2025 • State of the City — April 2nd • Recycling Collection Event — March 22nd • Project Recycle Right — Winners Presented at City Council on April 21st! • Recycling Collection Event — June 14th • King County Repair Event — July 12th • Touch -A -Truck — August 23rd • Materials Recovery Facility (MRF) Innovation: Final two robotic additions (for a total of 6!) • Waste Zero Outreach — year-round for single-family, multifamily and commercial sectors in the City 9 206-944-3900 Tukwila@Recology.com 10 5 5 6 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 3/17/25 LH ITEM INFORMATION ITEM NO. 5.C. STAFF SPONSOR: LAUREL HUMPHREY ORIGINAL AGENDA DATE: 3/17/25 AGENDA ITEM TITLE Resolution authorizing allocation from SKHHP Housing Capital Fund. CATEGORY ® Discussion Mtg Date 3/17/25 ❑ Motion 3ltg Date ® Resolution Mtg Date 3/17/25 ❑ Ordinance Mtg Date ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ❑ Other Mtg Date SPONSOR ® Council ® Mayor ❑ Admin Svcs ❑ DCD ❑ Finance ❑ Fire ❑ P&'R ❑ Police ❑ PIF SPONSOR'S SUMMARY The proposed resolution authorizes the allocation of $91,832.00 from the city's existing contributions to the South King Housing & Homelessness Partners (SKHHP) Housing Capital Fund. This is an annual process for the participating jurisdictions in accordance with the Interlocal Agreement and the City Attorney has approved. These funds have already been contributed to SKHHP and this resolution is a formality. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ® Planning & Community Dev. ❑ LTAC ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. DATE: 3/10/25 COMMITTEE CHAIR: HEDRICK RECOMMENDATIONS: SPONSOR/ADMIN. City Council/Mayor's Office COMMITTEE Unanimous Approval; Forward to 03/17/2025 Regular Consent Agenda. COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED $91,832.00 AMOUNT BUDGETED $ APPROPRIATION REQUIRED $ Fund Source: HB 1406 SALES TAX PROCEEDS ALREADY CONTRIBUTED TO SKHHP Comments: MTG. DATE RECORD OF COUNCIL ACTION 3/17/25 MTG. DATE ATTACHMENTS 3/17/25 Informational Memo dated 2/18/25 Presentation Draft resolution 03/10/25 Planning & Community Development Committee Meeting Minutes - to be distributed separately. 7 8 City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM TO: Committee of the Whole FROM: Claire Goodwin, Executive Manager, SKHHP Laurel Humphrey, Legislative Analyst DATE: February 18, 2025 SUBJECT: Resolution authorizing allocation from SKHHP Housing Capital Fund ISSUE The proposed resolution authorizes the allocation of $91,832.00 from the City's existing contributions to the South King Housing and Homelessness Partners (SKHHP) Housing Capital Fund to finance affordable housing projects. SUMMARY SKHHP was created in 2019 through an interlocal agreement of several cities and King County to address housing needs in South King County. There are currently 12 member jurisdictions: Auburn, Burien, Covington, Des Moines, Federal Way, Kent, Maple Valley, Normandy Park, Renton, SeaTac, and Tukwila, and King County. SKHHP provides a meaningful opportunity to pool funds together with neighboring cities to collaboratively make an impact on the subregion's affordable housing shortage. To date, SKHHP has pooled over $11.2 million to house our low-income neighbors or rehabilitate deteriorating multifamily buildings. Mayor McLeod serves as Tukwila's representative on the SKHHP Executive Board, with Councilmember Martinez serving as alternate. Housing Capital Fund In 2019, RCW 82.14.540 (SHB 1406) became law allowing jurisdictions to enact a local sales and use tax for the purpose of supporting affordable housing. In 2021, eight of the nine SKHHP member cities entered into a second interlocal agreement for purposes of pooling sales tax receipts authorized by RCW 82.14.540 with SKHHP to create the Housing Capital Fund (Pooling ILA - SHB 1406). In 2024, an additional member city entered into the Pooling ILA - HB 1590 and a new member city made a contribution from municipal general funds. In 2023, two of the four SKHHP member cities who are able to collect RCW 82.14.530 (HB 1590) revenues desired to pool a portion of those funds with SKHHP for the 2023 funding round of the Housing Capital Fund to add to existing SHB 1406 pooled revenue and entered into an additional interlocal agreement (Pooling ILA - HB 1590). The Establishing ILA and Pooling ILAs established the SKHHP Housing Capital Fund, set parameters for the process for the selection of awards involving pooled funds, and determined the approval process. Pursuant to the ILAs, the SKHHP Executive Board recommends allocations for funding affordable housing projects to the participating City Councils. Even though the Council has already contributed funds to the 2024 Housing Capital Fund funding round, Council approval is needed to authorize the allocation of funds to specific projects. INFORMATIONAL MEMO Page 2 Funding Recommendations The SKHHP Executive Board adopts annual funding guidelines and priorities for each funding round. The SKHHP Advisory Board subsequently reviewed applications and provided a funding recommendation based on adopted priorities to the SKHHP Executive Board. The SKHHP Executive Board concurred with the SKHHP Advisory Board's recommendation and recommends funding four projects $4,100,000 as described in the 2024 SKHHP Housing Capital Fund Recommendation memo dated January 23, 2025 (attached). The SKHHP Executive Board requests approval to use $91,832 of the total $89,289 contributed funds from 2024 and $3,002 of the carry-over from 2023 from the City of Tukwila for the following recommended projects: Project Sponsor and Project Name Location # of Units Total Development Cost 2024 SKHHP Contribution 2024 City Contribution Mercy Housing NW - Burien Family Housing Burien 91 $58,048,463 $2,000,000 $0 TWG - Pandion at Star Lake Kent 251 $126,720,200 $770,000 $0 Multi -Service Center - White River Apartments Auburn 24 $975,939 $775,000 $69,097 Habitat for Humanity - Burien Miller Creek Burien 40 $26,193,686 $555,000 $22,735 As outlined in the attached memo, sales and use tax receipts from Tukwila have already been contributed to SKHHP's 2024 Housing Capital Fund, and with this Council approval, $91,832 of those funds may be allocated to the projects recommended by the SKHHP Executive Board. Detailed descriptions of the projects, funding requests, rationale, and recommended conditions of funding for projects by the SKHHP Executive Board are included in the attached memo. RECOMMENDATION Staff is seeking Council approval of the proposed resolution with possible final action on March 17, 2025. ATTACHMENTS 1. Draft Resolution 9 South King Housing and Homelessness Partners (SKHHP) Housing Capital Fund Recommendations Claire V. Goodwin, SKHHP Executive Manager SK:I: SKHHP's Housing Capital Fund ■ Meaningful opportunity to pool funds together with neighboring cities to collaboratively make an impact on the subregion's affordable housing shortage. ■ Funds pooled from eleven member jurisdictions: • Auburn ° Federal Way ° Renton ▪ Burien ° Kent ° SeaTac ▪ Covington ° Maple Valley ° Tukwila ▪ Des Moines ° Normandy Park ■ 2019: SHB 1406 (RCW 82.14.540) became law allowing jurisdictions to enact a local sales tax for the purpose of affordable housing; sales tax is a recapture of a portion of existing sales tax ■ 2020: HB 1590 (RCW 82.14.530) became law allowing jurisdictions to impose a 0.1% local sales and use tax to support affordable housing; limited window to act before County collected revenue 2 SK:I: Sou. King Housing and Homelessness Partners ilil 2024 Housing Capital Fund ■ The SKHHP Advisory Board reviewed and made recommendations to the SKHHP Executive Board to fund four of the six projects. ■ City of Renton to directly support two projects with HB 1590 funds. ■ The SKHHP Executive Board agreed with recommendation and is seeking concurrence from each jurisdiction. ■ The recommendation totals $4,100,000 ■ $1,030,000 from SHB 1406 ■ $2,770,000 from HB 1590 ■ $300,000 from GF SK:I: Recommended Projects 1. Mercy Housing NW — Burien Family Housing: Burien • 91-unit multifamily rental development adjacent to Mary's Place emergency shelter • 30%-60% of area median income (AMI); 34 units set -aside for families exiting homelessness and 18 units set -aside for households with physical disability. Previously awarded project. • $2,000,000 2. TWG — Pandion at Star Lake: Kent • 251-unit multifamily rental development adjacent to the future Kent/Star Lake Link light rail station • 30%-80% AMI; set -asides for families and families at -risk of homelessness. Previously awarded project. • $770,000 3. Multi -Service Center — White River Apartments: Auburn • 24-unit rehabilitation and preservation project • 3 units up to 30%AMI; 16 units up to 45%AMI; 5 units up to 60% AMI • $775,000 4. Habitat for Humanity — Burien Miller Creek: Burien • 40 units for affordable homeownership • 20 units at an average 50% AMI and 20 units up to 80% AMI. Previously awarded project. • $555,000 4 SK:I: Sou. King Housing and Homelessness Partners AttProposed Funding Sources for Recommended Projects - HB 1590 Jurisdiction Covington Kent Maple Valley 1. Mercy Housing-Burien Family 2. TWG-Pandion Total Contributed in 2024 Carry -Over from 2023 Unallocated $ 153,964 $ 59,276 $ 213,657 $ 43 $ 460 ■ 1,485,801 $ 572,034 $ 2,061,827 $ 442 $ 4,434 $ 360,235 $ 138,690 $ 500,000 $ - $ 1,075 Total $ 2,000,000 $ 770,000 $ 2,775,484 $ 485 $ 5,969 SK:I: South King Housing and Homelessness Partners Proposed Funding Sources for Recommended Projects - SHB 1406 Jurisdiction 3. MSC -White River 4. Habitat -Miller Creek Total Contributed in 2024 Carry -Over from 2023 Unallocated Auburn Burien Des Moines Federal Way Normandy Park Renton Tukwila Total $ 121,507 39,980 $ 135,475 $ 26,819 $ 807 $ 57,595 18,950 $ 64,623 $ 12,304 $ 382 $ 29,955 $ 9,856 $ 34,012 $ 5,998 $ 199 $ 116,047 38,184 $ 131,715 $ 23,286 $ 770 $ 173,408 57,057 $ 194,889 $ 36,726 $ 1,150 $ 4,930 $ 1,622 $ 5,426 32 $ 202,461 66,616 $ 228,107 $ 42,313 $ 1,343 $ 69,097 22,735 $ 89,289 $ 3,002 459 $ 775,000 $ 255,000 $ 883,536 $ 151,606 $ 5,142 SK:I: Sou. King Housing and Homelessness Partners (AtProposed Funding Sources for Recommended Projects -General Funds Jurisdiction 4. Habitat - Miller Creek Total Contributed in 2024 Unallocated NEI! Total $ 300,000 $ 300,000 $ 300,000 $ 300,000 $ 7 S South King Housing and Homelessness Partners Thank you Claire V. Goodwin, SKHHP Executive Manager cvgoodwin@skhhp.org SK:I: Sou. King Housing and Homelessness Partners A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AUTHORIZING THE DULY -APPOINTED ADMINISTERING AGENCY FOR SOUTH KING HOUSING AND HOMELESSNESS PARTNERS (SKHHP) TO EXECUTE ALL DOCUMENTS NECESSARY TO ENTER INTO AGREEMENTS FOR THE FUNDING OF AFFORDABLE H SING PROJECTS, AS RECOMMENDED B HE SKHHP EXECUTIVE BOARD, UTILIZING F DS CONTRIBUTED BY THE CITY OF TUKWILA THE SKHHP HOUSING CAPITAL FUND. WHEREAS, on February 21, 2019, the City of Tukwila entered into an Interlocal Agreement to form South King Housing and Homelessness Partners (SKHHP) to help coordinate the efforts of South King County jties to provide affordable housing; and N WHEREAS, n May 17, 2021, the City of Tukwila entered into an Interlocal ii Agreemen thnoses of pooling sales tax receipts with SKHHP to administer funds through h KHHP using Capital Fund; and vir HEREAS, the SKHHP Executive Board has recommended that the City of Tukwila participg'!e in the funding of certain affordable housing projects and programs hereinafter described; and WHEREAS, the SKHHP Executive Board has developed recommended conditions to ensure the City's affordable housing funds are used for their intended purpose and that projects maintain their affordability over time; and WHEREAS, pursuant to the SKHHP formation Interlocal Agreement, each legislative body participating in funding a project or program through SKHHP's Housing Capital Fund must authorize the application of a specific amount of the City's funds contributed to the SKHHP Housing Capital Fund to a specific project or program; and SKHHP Capital Fund Allocation Version: 02/28/2025 Staff: L. Humphrey Page 1 of 3 18 WHEREAS, the City Council desires to use $91,832 from funds contributed to the SKHHP Housing Capital Fund as designated below to finance the projects recommended by the SKHHP Executive Board; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. Pursuant to the Interlocal Agreement, the City Council authorizes the duly -appointed administering agency of SKHHP to execute all doc 'ents and take all necessary actions to enter into agreements on behalf of the City o utilize the City's SHB 1406 contribution of $91,832 (the sum of the City's 2024 ibution in the amount of $89,289 plus $2,543 of carry-over funds from 2023) to f ehabilitation of the Multi -Service Center's White River Apartments in the am. of $. • and to support the development of Habitat for Humanity's Burien Mille ek in the . t of $22,735, leaving $459 of the City's contributions unallocated, escribed below. Jurisdiction 3. MSC -White River 4. Habitat -Miller Creek Total Contributed in 2024 Carry -Over from 2023 Unallocated Auburn $ 121,507 $ 39,980 $ 135,475 $ 26,819 $ 807 Burien $ 57,595 $ t ‘11152_ $ IMILI $ 12,304 $ 382 Des Moines $ 29,955 $ 9,856 $ 34,012 $ 5,998 $ 199 Federal Way $ 116,047 $ k8,18 15 $ 23,286 $ 770 Kent $ 173,408 $ 57,057 $ 194,889 $ 36,726 $ 1,150 Normandy Park $ iligqiikW2 $ 5,426 $ 1,158 $ 32 Renton $ 202,461 $ 66,616 $ 228,107 $ 42,313 $ 1,343 Tukwila $ 69,097il 22S $ 89,289 $ 3,002 $ 459 Total $ 775,000 $ 255,000 $ 883,536 $ 151,606 $ 5,142 Sec shall i inten what c agency o Executive B hereto as Exhi e terms a urpose and t '•ns should b HP sh ' m entered into; pursuant to Section 1 of this resolution, ondito ensure that the City's funds are used for their the projects maintain affordability over time. In determining ncluded in the agreements, the duly -appointed administering e guided by the recommendations set forth in the SKHHP randum dated January 23, 2025, a copy of which is attached Section 3. This resolution shall take effect and be in full force immediately upon passage and signatures. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2025. SKHHP Capital Fund Allocation Version: 02/28/2025 Staff: L. Humphrey Page 2 of 3 19 ATTEST/AUTHENTICATED: Andy Youn-Barnett, CMC, City Clerk APPROVED AS TO FORM BY: Office of the City Attorney Attachment: Exhibit A — SKHHP Executive Board Tosh Sharp, Council President Filed with the Cit Passed by the Resolution randum •d January 23, 2025 <'' SKHHP Capital Fund Allocation Version: 02/28/2025 Staff: L. Humphrey Page3of3 20 Exhibit A SK:I: South King Housing and Homelessness Partners TO: FROM: DATE: RE: OVERVIEW 2024 was the third annual funding round of the SKHHP Ho resources among SKHHP member jurisdictions. 2024 was the funds towards the Housing Capital Fund and contributions totale funds from the 2023 funding round, SKHHP m received six applications for funding represents units of housing. The SKHHP Executive Board rec 1). Of this total, the Executive Board recommends City of Auburn City Council City of Burien City Council City of Covington City Council City of Des Moines City Council City of Federal Way City Council City of Kent City Council Memorandum City of Maple Valley City Council City of Normandy Park City Council City of Renton City Council City of SeaTac City Council City of Tukwila City Couri SKHHP Executive Board January 23, 2025 2024 SKHHP Housing Capital Fund Recommendation 1406 revenue contributions for $2,775,969 sourced from HB the total $300,000 source recommendation leaves Capital Fund that will rollov recommended pr•'-- undin as attachme awarded . is that reap ended Projec d made possible by pooling very member city contributed pooled 59,020. With the remaining unused he 2024 funding round. SKHHP s to develop or preserve 431 rojects totaling $4,100,000 (see Table he total $1,035,141 sourced from SHB wnershione preservation project; $2,770,000 of the total ontributi for two new construction projects; and $300,000 of ds to be a. -d to the homeownership project. This unds and $5,969 in HB 1590 funds in the Housing nd in 2025 (see Tables 2 and 3). A summary of the nale, and the conditions for funding are described in this memo. Included ries of the recommended projects, summary changes of previously ommended for funding, and standard conditions for funding. nd Recommended Funding Level Project sponsor and name Mercy Housing NW —''rien Burien Family Housing Location # of units Project type Amount Requested Recommended Funding — HB 1590 Recommended Funding — SHB 1406 & GF 91 New Construction Rental $2,000,000 $2,000,000 -- TWG — Pandion at Star Lake Kent 251 New Construction Rental $2,000,000 $770,000 -- Multi -Service Center— White River Apts. Auburn 24 Preservation Rental $975,939 -- $775,000 Habitat for Humanity — Burien Miller Creek Burien 40 New Construction Homeownership $1,300,000 -- $300,000-GF $255,000-SHB 1406 TOTAL -- 406 -- -- $2,770,000 $1,330,000 Page 1 of 23 21 Table 2: Proposed HB 1590 Allocations by Jurisdiction for Recommended Projects Jurisdiction 1. Mercy Housing-Burien Family 2. TWG-Pandion Total Contributed in 2024 Carry -Over from 2023 Unallocated Covington $ 153,964 $ 59,276 $ 213,657 $ 43 $ 460 Kent $ 1,485,801 $ 572,034 $ 2,061,827 $ 442 $ 4,434 Maple Valley $ 360,235 $ 138,690 $ 500,000 $ - $ 1,075 Total $ 2,000,000 $ 770,000 $ 2,775,484 $ 485 $ 5,969 Table 3: Proposed SHB 1406 Allocations by Jurisdiction for Recommended PP Jurisdiction 3. MSC -White River 4. Habitat -Miller Creek Total Contributed in 2024 Carry -Over from 2023 Unallocated Auburn $ 121,507 $ 39,980 $ 135,475 $ 26,819 $ 807 Burien $ 57,595 $ 18,950' 64,6246$ 12,304 7 382 Des Moines $ 29,955 $ 9,856 $ 34,012 $ 5,998 $ 199 Federal Way $ 116,047 $ 38,184 'V5 $ 23,286 $ 770 Kent $ 173,408 $ 57,057 $ 194,889 $ 36,726 $ 1,150 Normandy Park $ 4,930 $` $ Ilak $ 1,158 $ 32 Renton $ 202,461 $ 66,616 $ 228,107 $ 42,313 $ 1,343 Tukwila $ 69,097 $ 1,7354.11111111109 $ 3,002 $ 459 Total $ 775,000 $ 255,000 $ 883,536 $ 151,606 $ 5,142 Table 4: Proposed Unrestri�JGeneral d Allocatiy Jurisdiction for Recommended Projects Jurisdiction 3. Habitat -Miller Creek Total Contributed in 2024 Unallocated SeaTac 300 $ 300,000 $ - Total $ 300,000 $ 300,000 $ - BAC KG R The SKHHP Ad Board n October 3, 2024 and November 7, 2024 to review each project application and develop a fun. a endation for the SKHHP Executive Board's consideration. The SKHHP Executive Board met on Octobe 024 and November 15, 2024 to review each project and consider the recommendations of the Advisory Board. The Advisory Board adopted its recommendation on November 7, 2024 and the Executive Board took final action on November 15, 2024. Of the six applications received, two are located in Renton and both project applications are eligible to receive HB 1590 funds. The City of Renton collects HB 1590 funds but does not currently pool those funds with SKHHP. SKHHP pools HB 1590 funds from three of the four South King County cities that collect it. Because of this, the City of Renton plans to directly financially support these two projects. These projects include Homestead Community Land Trust's Willowcrest II and St. Stephen Housing Association & Way Back Inn's Steele House. Page 2 of 23 22 These two projects were removed from SKHHP's competitive list of projects under consideration prior to the Advisory Board and Executive Board making their funding recommendation. PROCESS Advisory Board recommendation (November 7, 2024) ATTACHMENTS Executive Board finalizes recommendation (November 15, 2024) 1. Economic summaires of recommended projects 2. Summary changes of previously awarded projects that reappjie 3. Standard conditions for funding Member Councils approve funding recommendation (January -March 2025) Page 3 of 23 23 1. Mercy Housing Northwest - Burien Family Housing Funding request: $2,000,000 Executive Board recommendation: $2,000,000 (forgivable loan) Address: 12845 Ambaum Blvd SW Burien, WA 98146 PROJECT SUMMARY Burien Family Housing is a new multifamily 91-unit rental project located near hig The project will support households earning between 30% area median incom focus on households with children, including 34 units set -aside for families and 18 units set -aside for households with a physical disability. quency transit in Burien. I) and 60% AMI with a ildren exiting homelessness The project includes the redevelopment of a 4.23 acre site current) ned by Mary emergency shelter on -site. Mary's Place will be donating 2-acre e project site to Northwest for the development of new affordable housing, retaining 1.31 acres of th development of a new shelter to replace the existing one •roject w development is comprised of a mix of one-, two-, three-, an• -b- ' .m units. 52% of the units are family - sized two-, three-, and four -bedroom units. This project received a financial award from S King County, the Washington State Departmen program, and the Amazon Housing Equity Fund a combination 4% and 9% LIHTC project. The proje County Housing Authority and a rvices a homelessness. PROJECT SCHEDULE ng the 2022 he 9% L e which operates an ousing for the four stories in size. The g round and secured funding from come Housing Tax Credit (LIHTC) course of 2023 and 2024. The project is red _ oject-based vouchers from the King rom King County to support the families exiting Activity Date Purchase and Ailliiioen'_ 8/29/2022 Zoning Approval 2/1/2024 Site PlagovaI 8/18/2022 Building Permits Issued 2/25/2025 Begin CFtion ■ 4/1/2025 Begin Lease -up 6/1/2026 Issued CertificIWOccu i 8/1/2026 FUNDING RATION The Executive Board supports the intent of this application for the following reasons: • The project has been awarded significant financial contributions from King County, State Department of Commerce (Housing Trust Fund), Amazon, and was awarded $1,093,308 from SKHHP in the 2022 funding round. Additionally, the project received a 9% bond allocation in the 2024 funding round through the Washington State Housing Finance Commission. • The project is ready to begin construction in the first half of 2025. Page 4 of 23 24 • The sponsor's partnership with Mary's Place demonstrates a commitment to serving households experiencing homelessness and will develop a pipeline of permanent housing for Mary's Place clients. • Project -based vouchers have been secured which increases the financial stability of the project. • 75% of the units will be constructed using advanced universal design principals. • The project includes set -asides for four -bedroom units which are greatly needed to serve larger families. • The project strongly aligns with SKHHP Housing Capital Fund adopted priorities including: collaboration with local community -based organizations, connections and direct experien e with populations the project is proposing to serve, addressing the needs of populations most • • portionately impacted by housing costs, advancing economic opportunity due to its proximi ransit and other amenities, providing rental housing for individuals and families earning 0-30% • incorporating supportive services, and the leverage of private and public investment. • The site has convenient access to transit, shopping, and ser PROPOSED CONDITIONS Standard conditions apply to all projects and are included Special Conditions 1. SKHHP will provide project fu forgivable loan. Loan terms wi fund sources and available cash funds and must be approved by S recorded against affordability as it maint 2. Timeframe m to opment lation. requirem tachme► :t the end of this memo. e Contractor • form of a deferred, contingent, rious fa ncluding loan terms from other be determined prior to release of he • . ill be secured by a deed of trust y to ensure that Contractor maintains the project's actor shall not be required to repay the loan so long mm - e funding commitment continues for thirty-six (36) e of Council approval of original award and shall expire thereafter if all ied. An extension may be requested to SKHHP staff no later than sixty the .tion date. At that time, the Contractor will provide a status report to and ; pected schedule for start of construction and project completion. ive Board will consider a twelve-month extension only on the basis of ningful progress in bringing the project to readiness or completion. At a ontractor will demonstrate that all capital funding has been secured or is likely within a reasonable period of time. 3. Project description of original award from 2022 funding round will be replaced by current description of the project. Previous funding award shall be combined with current recommended award but will retain eligibility of use under RCW. 82.14.540. 4. At least 34 of the housing units shall be set -aside for families with children exiting homelessness who earn no more than 60% AMI and 18 of the housing units shall be set -aside for households with a physical disability who earn no more that 60% AMI. Use of funds and population eligibility must be in -alignment with RCW 82.14.530 for 2024 award. Page 5 of 23 25 5. SKHHP funds shall be used solely for new construction, unless otherwise approved by SKHHP staff. 6. A covenant is recorded ensuring affordability for at least 50 years with size and affordability distribution per the following table. Changes may be considered based on reasonable justification as approved by SKHHP. AMI 1-bedroom 2-bedroom 3-bedroom 4-bedroom Total Units 30% 6 14 5 3 28 50% 30 11 7 - 48 60% 7 4 3 -- 14 Manager Units 1 -- -- -- 1 Total Units 44 29 3 91 Page 6 of 23 26 2. TWG Development - Pandion at Star Lake Funding request: $2,000,000 Executive Board recommendation: $770,000 (loan) Address: 2526 S 272nd St., Kent, WA 98032 PROJECT SUMMARY Pandion at Star Lake is a 251-unit multifamily, mixed -use rental project in Kent Kent/Star Lake Link light rail station. The project will support households ear 80% AMI. 47 units will support households up to 80% AMI. The project h Income Housing Tax Credit (LIHTC) development. The project secured Housing Capital Fund funding round totaling $1,170,000, although funding round. The project did not secure the needed public an towards beginning construction. The timeline for beginning can be secured to fill a $30 million gap. SKHHP's awards funders. This transit -oriented development (TOD) project will provide a bedroom units. The project will include grou '•r commercial center for low-income children operated by t `' - - ed STEM The property was purchased by the developer five stories of affordable housing over one story housing at the residential lobby - s basem parking. ar roject wa ate funds in 20 ruction has been move d adjacent to the etween 30% AMI and roposed as a 4% Low sist the p The 251 units includes 163 units for families with c homeless. 24 units wou bedrooms, and 52 3-bedro 29 units of t children Those 29-unit families. of home would be serve nits would be 2 FUNDING RATI ct in future app SKHHP in the 2023 ified for the 2024 ove forward until funds cations to studio, one-, two-, and three - consisting of a K-12 learning Innovation Network (SPIN). p -ject is a six -story building with hich also includes ten units of ion, 59 units for families with children, and 29 pportive services and are at -risk of being t includes 92 studios, 71 1-bedrooms, 36 2- HB 1590 funds which includes those units for families with ire permanent supportive services who earn up to 30% AMI. Vision . use which would provide on -site supportive services. Of the droom units and 9-units would be 3-bedroom units to accommodate The Executive Board ports the intent of this application for the following reasons: • The project secured a prior funding award from SKHHP and additional funds will assist the project to leverage other funding sources. • The project is located adjacent to the future Kent/Star Lake Link light rail station and has convenient access to transit, schools, grocery stores, and services. • The construction start date is anticipated farther out than other projects and the sponsor may have more time to secure the additional funds than other recommended projects prior to beginning construction. Page 7 of 23 27 • The project has strong partnerships with Vision House who will provide on -site supportive services for 29 families with children and SPIN who will operate a K-12 learning center in the commercial space. • The project will support 29 families with children at -risk of homelessness. • The project is large and will provide a high number of affordable units near areas with high displacement risk potential. • The project sponsor has been in close communication with the City of Kent on project feasibility and zoning requirements since the property was purchased in December 22. • The project sponsor has agreed to voluntarily meet the design standar' . r properties zoned as 'Midway Transit Community,' which is a higher degree of develop an what is required under general mixed -use commercial standards for the City of • The project strongly aligns with SKHHP Housing Capital Fund . •ted p -s including: being a transit -oriented development (TOD) project, collaborate ith local com y-based organizations, addressing the needs of populations m housing costs, advancing economic opportunity d station and other amenities, and providing rent 30% AMI and incorporating supportive services. PROPOSED CONDITIONS Standard conditions apply to all projects and . fQ __ �ttachm- .t the end of this memo. Special Conditions sproportionately i -d by is proxi ty to the future . light rail sing for ' duals and families earning 0- 1. SKHHP will pro t funds t Contractor in the form of a deferred, 1% interest, no givab . n to th TC partnership. The form of the funds are subject . nge, but I be agree on prior to contract execution. Loan terms will accoun arious • I.: n terms from other fund sources and available cash flow. . -rms s a . termined prior to release of funds and must be ed by " staff. The loan will be secured by a deed of trust recorded against erty to ensure that Contractor maintains the project's pulation. nding commitment. The funding commitment continues for thirty-six m the date of Council approval of original award and shall expire I conditions are not satisfied. An extension may be requested to SKHHP ster than sixty (60) days prior to the expiration date. At that time, the Cont . or will provide a status report on progress to date and expected schedule for start of construction and project completion. The SKHHP Executive Board will consider a twelve-month extension only on the basis of documented, meaningful progress in bringing the project to readiness or completion. At a minimum, the Contractor will demonstrate that all capital funding has been secured or is likely to be secured within a reasonable period of time. Page 8 of 23 28 3. Project description of original award from 2023 funding round will be replaced by current description of the project. Previous funding award shall be combined with current recommended award. 4. At least 29 housing units of the total shall be set -aside for families with children at -risk of homelessness who earn no more than 30% AMI per the requirements of RCW 82.14.530 and the U.S. Department of Housing and Urban Development's definition of "at -risk of homelessness." 5. SKHHP funds shall be used solely for new construction, unlerwise approved by SKHHP staff. 6. A covenant is recorded ensuring affordability for ast 50 years affordability distribution per the following tabl anges may be con reasonable justification as approved by SK ize and d based on AMI Studio 1-bedroom ' room 3-bedroom Total Units 30% -- -- 9 29 50% 52 41 20 114 60% 23 13 61 80% 17 10 tillilliiii26 47 Total Units 92 52 251 Page 9 of 23 29 3. Multi -Service Center - White River Apartments Funding request: $975,939 Executive Board recommendation: $775,000 (grant) Address: 1301 31st St SE, Auburn, WA PROJECT SUMMARY The White River Apartments is a multifamily, preservation and rehabilitation Auburn. The building was constructed in 1978 and the nonprofit Multi-Servi ownership in 2000. The project consists of 24 two -bedroom, one-bathro includes three units serving households earning up to 30% AMI, sixte at 80% AMI. The 80% AMI units are currently occupied by househo those units would shift to income restricted up to 60% AMI one not displace current residents. SKHHP funds are requested to support the rehabilitatio site lighting, parking lot improvements including curbs and tanks in all units, re -grading areas adjacent to siding and repla project previously applied to SKHHP's 2023 f • round. The project is located within walking distance and Sounder Commuter Rail Station. South Aub Park are within 0.5 mile of the pro. g A grocery PROJECT SCHEDULE rning les ding is awarded. e 24 un 24 rental project in ter took over in active use which a AMI, and five units 60% AMI and roject would uding: siding replacement, , replacing domestic hot water of exterior entry doors. This o the Auburn Transit Center Game Farm Park, and Ballard mile from the project. Activity Date Site Control ` -- - 1/1/1996 Building Permit Issued End of 2025 Begin Rehabilita and Rn End of 2025 End Rehabilitation and Renovation End of 2025 FUND The Exec ATIONALE • The p • The proje • 79%oftheh oard support intent of this application for the following reasons: of rehabilitation to support the health and safety of the residents. up of 2-bedroom units to support larger household sizes. eholds at White River Apartments earn no more than 45% AMI. • The property is close to parks, an elementary school, and transit access to the Auburn Transit Center and the Auburn Sounder train station. • The project includes a fenced play area with an accessible ramp into the play yard with recently installed play equipment. • Limited SKHHP funds available this funding round required a partial award which will still allow most of the residential building rehabilitation to move forward. Page 10 of 23 30 • There are limited funding sources available for preservation and rehabilitation — SKHHP is the only funder on this project. The focus for larger public funders has historically been on creating new units of affordable housing. Smaller preservation projects like this one are not as competitive against larger preservation projects competing for the same funds. The project applied for funding in early 2024 to the State Department of Commerce Housing Trust Fund and SKHHP provided a letter of support, but was not successful in securing funding at that time. • The rehabilitation will not displace current residents. • Preservation and rehabilitation of affordable housing is a high -priority for HHP. • The project strongly aligns with SKHHP Housing Capital Fund adopted • ies including: the project sponsor's community connection and engagement with th lations they intend to serve, advancing racial equity, addressing the needs of populati• • isproportionately impacted by housing costs, advancing geographic equity oft •using al Fund, providing rental housing for extremely -low income households, an. -nervation. • Multi -Service Center is a well -established South King y-based nonprofit ns and operates over 650 units of affordable housing. • Multi -Service Center's housing programs have a •ry of ser ' IPOC community members with 45% of residents of Multi -Service Center prop. i. ' ing as BIPOC. PROPOSED CONDITIONS Standard conditions apply to all projects and . fQ __ �ttachm- .t the end of this memo. Special Conditions 1. SKHHP will pro t funds t Contractor in the form of a secured grant with no repaym anal C. :ct term' :II be determined prior to release of funds and must be oved by S P staff. Th ant will be secured by a deed of trust recorded against 'ropert o ractor maintains the project's affordability and target pop. . ntractor . of be required to repay the grant so long as it ns the .ject requirements. Timefra (36) month conditions ar •xty (60) da s re funds mitment. The funding commitment continues for thirty-six the • .te of Council approval and shall expire thereafter if all t satisfied. An extension may be requested to SKHHP staff no later than rior to the expiration date. At that time, the Contractor will provide a n progress to date and expected schedule for start of construction and p pletion. The SKHHP Executive Board will consider a twelve-month extension only • the basis of documented, meaningful progress in bringing the project to readiness or completion. At a minimum, the Contractor will demonstrate that all capital funding has been secured or is likely to be secured within a reasonable period of time. 3. SKHHP funds shall be used solely for the rehabilitation of the property and may include the following, unless otherwise approved by SKHHP staff: a. Landscaping improvements b. Seal coating and restriping the parking lot Page 11 of 23 31 c. Site lighting improvements d. Recoating breezeways and replacing railings e. New siding f. Exterior paint g. Replacing gutters and downspouts h. Replacing unit entry doors and install metal screen doors i. Replace in -unit and laundry water heaters 4. SKHHP funds shall be prioritized to support building improvem- - parking lot improvements shall not be funded in favor of residential b . : rehabilitation. 5. SKHHP and Contractor shall agree to the specifics on executing a contract to ensure eligibility of expen and to mitigate cost -overruns. in alignment ded prior to CW 82.14.540 6. A covenant is recorded ensuring afford. , for at lea : years with size and affordability distribution per the followin: -. C s may be considered based on reasonable justification as approved by SKH AMI 30% 2-bedroom units 3 Units 45% 16 60% Total Units 7. Should work to funds throu sources. 5 24 t requi nds above SKHHP's contribution, sponsor will hrough their capital budget process or seeking Page 12 of 23 32 4. Habitat for Humanity Seattle -King & Kittitas Counties - Burien Miller Creek Funding request: $1,300,000 Executive Board recommendation: $555,000 (grant) Address: 511 S 136th St Burien, WA 98168 PROJECT SUMMARY Burien Miller Creek is a 40-unit homeownership project in Burien. The project i prised of three- and four -bedroom homes for purchase: 20 units for households earning an aver. ' • % AMI and 20 units for households earning up to 80% AMI. The project is currently under co► .n and SKHHP awarded the project $300,000 in the 2022 funding round which has been requ- ' o t the construction of five units for households earning an average of 50% AMI not to - .c- -d 60% A homebuyers must have lived in King County for a least one year and 25% of .mes are reserv- . households with a connection to the community — being defined as wit o miles from the proje The project will provide permanent affordability throug the home. Habitat will have the Right of First Option to bu year. When the home is resold, the price is set at the cost of a the home to be affordable to low- and moder home must be the buyer's primary residence buyer's housing costs will be kept at or below The project has secured awards tot funding gap is due to increase lower mortgage revenue d development. PROJECT SCHEDULE come buyers' ground lease upon sale of an appreciated rate of 1.5% per ion and any rehab needed, allowing etuity. Habitat requires that the for the life of the home. The in me. ports a ding gap of $3.3 million. The er interest rates on construction loans, and o serve families at lower AMIs in this Activity Date Site Contra . 3/26/2021 Building Permit Issued 3/24/2023 Begirktruction 1 11/08/2022 End Construction 2/1/2026 Full Occupa _ ' 6/30/2026 FUNDING RATIONA The Executive Board supports the intent of this application for the following reasons: • Homeownership is a high priority for SKHHP. • Over $7 million has been invested in the site and over $23 million has been committed. • Historically, out of the total number of households the sponsor has served, 65% identify as BIPOC families. • Habitat has implemented a community preference policy to help guide homeowner selection. All applicants must have been residents of King County in the past year and 25% of the homes Page 13 of 23 33 are reserved for those with a connection to the community (being defined as within a 2-mile radius of the project site). • The project began vertical construction in October 2024 and is fully permitted. • Every homebuyer will have a sale price and mortgage set at no more than 35% of their household income based on household size. • Limited funds available from SKHHP required a partial award to be made to balance the need of other priority projects with consideration of geographic equity. • SKHHP awarded this project $300,000 in the 2022 funding round. Habitat '- sorts a funding gap due to construction cost overruns and interest rates impacting the mo' .es at the AMI levels they wanted to serve. SKHHP funds will help the project close the : d enable them to serve the lower AMI households they have committed to serve. • The 32 3-bedrooms and 8 4-bedrooms spread across 10 buil• will p . - badly needed larger, family sized homes. • The project was approved for participation in the City rien affordable ho demonstration program. • The project strongly aligns with SKHHP Housing al Fun project sponsor's community connection and enga serve, advancing racial equity, addressing the needs o impacted by housing costs, leverage •' •lic and private PROPOSED CONDITIONS Standard conditions apply to a Special Conditions 1. SKHHP d . ed priorities including: the the populations they intend to ations most disproportionately , and homeownership. ed as Attachment 3 at the end of this memo. Contractor in the form of a secured grant with ontract ter shall be determined prior to release of funds and SKHHP staff. The grant will be secured by a deed of trust recorded ensure that Contractor maintains the project's affordability and tor shall not be required to repay the grant so long as it project requirements. unding commitment. The funding commitment continues for thirty-six rom the date of Council approval of original award and shall expire th- if all conditions are not satisfied. An extension may be requested to SKHHP staff n • later than sixty (60) days prior to the expiration date. At that time, the Contractor will provide a status report on progress to date and expected schedule for start of construction and project completion. The SKHHP Executive Board will consider a twelve-month extension only on the basis of documented, meaningful progress in bringing the project to readiness or completion. At a minimum, the Contractor will demonstrate that all capital funding has been secured or is likely to be secured within a reasonable period of time. Page 14 of 23 34 3. Project description of original award from 2022 funding round will be replaced by current description of the project. Previous funding award shall be combined with current recommended award. 4. The recommended $300,000 (2024) from general fund contributions shall support the development of five (5) housing units at an average 50% AMI on initial sale (among the 20 units with an average 50% AMI restriction) and be permanently restricted at 70% AMI upon resale. 5. The recommended $255,000 (2024) and the previously aw. . $300,000 (2022) shall support the development of five (5) units at an average .n initial sale (among the 20 units with an average 50% AMI restriction) an •erm. y restricted not to exceed 60% AMI upon resale. 6. SKHHP funds shall be used solely for new c• ction, soft costs, or othe elopment costs, unless otherwise approved by SK .taff. <'' Page 15 of 23 35 ATTACHMENT 1: Economic Summaires of Recommended Projects Project: Mercy Housing Northwest - Burien Family Housing Proposed Funding Sources by Amounts and Status Funding source Proposed Amount Status SKHHP (2024) $2,000,000 Recommended SKHHP (2022) $1,093,308 Committed 4% LIHTC Equity $9,405,093 Committed 9% LIHTC Equity $13,446,619 Committed State HTF $4,000,000 Con King County (2023) $6,000,000 Committed Permanent Amortizing Loan $5,892,060 Amazon HEF Loan $9,500,000 Committed Al Committed' Mercy Loan Fund $999,999 Land Contribution $1,800,000 $1,011,Ar $1,000,000 Committed Committed Committed Deferred Developer Fee National Housing Trust Fund King County 2024/CHIP Pass Thru $1,901416, $58,048,463 trommitted TOTAL Proposed Use of Funds and Total Residential Cost Proposed use Amount MI Per Unit Acquisition - '820,000 -- Construction $42,217,570 -- Soft Costs li III $8,634,716 -- Other Development Costs $5,376,177 -- TOTAL $58,048,463 $637,895 Residential Cost Per S uare Foo Item Amount Residegtii uare footage_ 86,543 Residential development cost $58,048,463 Cost pel sage foot ' $670.75 Residential Cost er Unit B n Unit Size Unit Size Number of Units Unit Square Footage Cost per Unit Average 1-bedroom 44 526 $352,813 Average 2-bedroom 29 788 $528,549 Average 3-bedroom 15 1062 $712,333 Average 4-bedroom 3 1291 $865,934 Common area and other residential spaces, including parking -- 20,380 $13,669,825 Page 16 of 23 36 Project: TWG — Pandion at Star Lake Proposed Use of Funds and Total Residential Cost Per Unit _ Proposed use Amount Per Unit Acquisition $6,207,361 -- Construction $87,306,025 -- Soft Costs $15,032,371 -- Construction Financing $9,298,009 -- Other Development Costs $8,876,434 -- TOTAL $126, 720, 200 -- TOTAL NON-RESIDENTIAL $4,413,357 -- TOTAL RESIDENTIAL (includes common areas) $122,306,843 $487,278 Residential Cost Per Square Foot Item Amount Residential square footage ` 2655 Residential development cost $122,306,843 Cost per square foot 439.55 Residential Cost Per Unit Based on Unit Size Unit Size Number of Units Unit Square Footage Cost per Unit Average Studio_ 92" 415 $182,413 Average 1-bedroom 71 650 $285,707 Average 2-bedroom , 1 it 36 926 $407,023 Average 3-bedroom 52 1,139 $500,647 Common area and other residential spaces, including parking -- 107,767 $47,368,930 Projec Olti-Service CentWhiteiliVer Apartments Proposedpg Sources by Ants and Status Fundi Proposed Amount Status _ SKHHP (2024) $975,939 Recommended TOTAL Proposed Use of Funds and Total Residential Cost Per Unit Proposed use Amount Per Unit Rehabilitation $747,939 -- Rehabilitation Contingency $150,000 -- Soft Costs $50,000 -- Other Development Costs $28,000 -- TOTAL $975,939 $40,664 Page 17 of 23 37 Project: Habitat for Humanity Seattle -King & Kittitas Counties - Burien Miller Creek Proposed Funding Sources by Amounts and Status Funding source Proposed Amount Status SKHHP (2022) $300,000 Committed SKHHP (2024) $550,000 Recommended King County $3,547,282 Committed HTF $3,125,000 Committed CHIP $1,934,500 Committed HUD $850,000 Committed HTF Unit Subsidy (2024) $1,000,000 Committed Construction Financing $12,562,607 Committed Habitat for Humanity $2,324,297 Committed TOTAL $26,193,686 Proposed Use of Funds and Total Residential Cost Per Unit Proposed use Amount Per Unit Acquisition $2,086,7 $52,169 Construction $20,931,597 $523,290 Soft Costs _L1,906,163 $47,654 Other Development Costs $1,269,168 $31,729 TOTAL $26,193,686 $654,842 Residential Cost Per Square Foot Item Amount Residential square footagi ' 54,662 Residential development cost $26,193,686 Cost per square foot $479.19 4C) Page 18 of 23 38 ATTACHMENT 2: Summary Changes of SKHHP Awarded Projects that Reapplied Project: Mercy Housing Northwest - Burien Family Housing Project changes between the awarded project from the 2022 SKHHP funding round and the 2024 application are as follows: 2024 2022 Changes Populations served 34 — families with children exiting homelessness 16 — families with children 18 — households with a physical disability 22—general population _ 35 — families with children exiting homelessness 54 — families with children • Fewer units for ilies with children dded units for households with a ' ability and general lation Total units 91 89 • On ' added for an on -sit ager • One addi al affordable unit AMI 0-60% 0-60% • No change AMI/unit count 0-30% - 28 30-50% 48 50-60% - 14 0-30% - 35 30 50% 28 ° 26 • More 50% units and fewer 30% and 60% units LIHTC 4%/9% % • Added 9% LIHTC Cost $59.7m 7.4 • Higher budget Page 19 of 23 39 Project: TWG — Pandion at Star Lake Project changes between the 2023 awarded project and the 2024 application are as follows: 2024 2023 Changes Number of buildings 1 2 • Modified from 2 buildings to 1 Populations served 163 units - general population 59 units - families with children 29 units - families with children that require permanent supportive services and are at -risk of being homeless Building 1: 109 units - general population 30 units - families with children 25 units - families with children that require permanent supportive services and who a transitioning out of homele sn. s or are at -risk of homeles 4 units - households ' DD Building 2: 173 units — seni rning 80 100% AMI • No seniors at 80-100% A 41 . amilies that are ansitioning out of •omelessness • ID units . L. umber of general pop units in lower income . ng • More units . r families with children Total units 251 341 (168 and 173) • 90 fewer units AMI 0-80% 0-100° • No 80-100% AMI units AMI/unit count 0-30% - 29 30-50% - 114 50-60% - 61 60-80% - 47 0-30°. 30-50°. ' 50-60% 80-100% • Number of 0-30% units unchanged • More 30-60% units • Added 80% units • Removed 80-100% units LIHTC 4% 9% • Not applying for 9% LIHTC Page 20 of 23 40 Project: Habitat for Humanity Seattle -King & Kittitas Counties - Burien Miller Creek Project changes between the awarded project from the 2022 SKHHP funding round and the 2024 application are as follows: 2024 2022 Changes Number of buildings 10 10 • No change Populations served Homebuyers with connection to the community Homebuyers with connection to the community • o change Total units 40 Phase 1— 20 units Phase 2 — 20 units emoved Phase 1 and d are considering oject a single pro AMI 20 units - average of 50% AMI 20 units - 80% AMI Phase 1 (20 un up to 50% AMI Phase 2 (2► s) — 80% AMI • Chang 20 units at 5 o AMI to an average 50% AMI Cost $26.2m $8.4m (First 20 ly) • Higher development cost SKHHP funding request Request: $1.3m for 20 units at average 50% AMI. Recommended: P- - award of $300 for 5 units erage AMI wi ale up to AMI & 000 for units at a - £ MI , • esaleu. •I%AMI `�. '-d to 20 un • t, I % A • , apple to nits - % AM ,.00 applied to 5 units erage 50% AMI • Request to fund fewer of the 20 total units. Total project units unchanged. Page 21 of 23 41 ATTACHMENT 3: Standard Conditions for Funding 1. Contractor shall provide SKHHP with development and operating budgets based upon actual funding commitments for approval by SKHHP staff. Contractor must notify SKHHP staff immediately if it is unable to adhere to these budgets and must submit new budget(s) to SKHHP staff for approval. SKHHP staff shall not unreasonably withhold its approval of these budget(s), so long as they do not materially or adversely change the Project. This shall be a continuing obligation of the Contractor, and shall survive the transfer or assignment of the Contract. Contractor's failure to a• e to budgets (either original or new/amended) may result in SKHHP's withdrawal Contractor must prepare and submit final budgets to SKH construction and at the project's completion. funding commitment. he time it starts project 2. Contractor shall submit to SKHHP evidence of fun commitmen all proposed public and private funding sources. If Contrac . nnot secure an ide d commitment within an application's time f , Contractor shall immedi. notify SKHHP staff and describe its anticipated .ns and ti► ame for securing alternative funding. 3. Contractor shall use SKHHP provided funds to the Contract and consistent 82.14.540 a Contractor may not use SKHH authorizes such alternate use i exist after completion of the pro adjustments to t capita loan balanc 4. Contra (such as maximize th of at leas the project, pay RCW 39. nstructio s sustainability. ecific project costs as included in 82.14.530, as applicable. ther a - unless SKHHP staff items with unexpended balances and . -r public funders shall approve es (including potential reductions in public fund ximizing sustainability features for the Project and heat pumps) and shall propose a plan to d document an open and competitive bidding process (consisting bid onstruction and related consultant services associated with rdless .f the source of funds used to pay their costs. Contractor shall revailing wages in all projects funded by SKHHP that include ivities, unless federal funds awarded to the project mandate use of ing wage rates. 6. If C. tor uses federal funds toward the Project, it must meet applicable federal guidelines, including but not limited to: contractor solicitation; bidding and selection; wage rates; and federal laws and regulations. 7. Contractor shall maintain documentation of any necessary land use approvals, permits, and licenses required by the jurisdiction in which the project is located. 8. Contractor shall submit to SKHHP project monitoring reports quarterly through its completion of the project, and annually thereafter. Contractor shall submit a final Page 22 of 23 42 budget to SKHHP upon project completion. If applicable, Contractor shall submit initial tenant information as required by SKHHP. 9. Contractor is required to provide SKHHP with quarterly status reports for projects funded through SKHHP's Housing Capital Fund during the project's development stage (from the time funds are awarded until the project's completion and occupancy). These quarterly reports must include at a minimum the status of funds expended and progress to date. SKHHP will rely on these quarterly reports to determine whether Contractor is making satisfactory progress on the project. 10. SKHHP may inspect the project site during the project's co tion. 11. After occupancy, the Contractor will submit annual re• to P summarizing the number of project beneficiaries, housing expenses or a target • ation, and the proportion of those beneficiaries that are low- . . r moderate-inc. - nd that meet other eligibility criteria established in the CoIn addition, the Ann -.ort shall include certifications to SKHHP that it is i include the most current occupancy info are in each income class), a calculation justi previous rent schedule, consistent with the Co rents being charged to each - P shall hav compliance and approve or di . r. every ye submits annual certifications t. isfy the • equirements of multiple funders, Contractor will designate and re ► a s at t - come class required by the most restrictive fund .s the cl. .tion for purposes of the Covenant and this Contract. T . ntract. all also de with such certification any changes in the manage policies f. e Propert d such other information covering the prior calend. - r as SK - b otice at least ninety (90) days in advance of the due date, . i acco . - g documentation as SKHHP may request. The Repo - II be submitted by June 30 of each year and will be required for the ordability Period. SKHHP will also periodically evaluate all projects y. pliance • the Covenant, ich shall n, re edule (showing which Units creases in rents from the and the Contract, and the actual ight to review rents for the event the Contractor ts, Contractor shall maintain the project in good and habitable duration of its affordability term. 13. P s -imburse the Contractor for satisfactory completion of the requirements sp. the Contract and upon Contractor's submission to SKHHP of invoices and supping documentation of eligible expenses. 14. SKHHP shall retain 5% of the funding award ("retention") and shall release the retention only after construction is complete and all other obligations outlined in the contract have been satisfied. 15. A covenant is recorded ensuring affordability for at least 50 years, with unit size, number of units, and affordability distribution established prior to executing Contract. Page 23 of 23 43 44 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 3/17/25 BJM ITEM INFORMATION ITEM NO. 5.D. STAFF SPONSOR: BRANDON MILES ORIGINAL AGENDA DATE: 3/17/25 AGENDA ITEM TITLE Approval of Lodging Tax Funding Request for the City's 2025 Juneteenth Celebration. CATEGORY ❑ Discussion It Date ® Motion Mtg Date 3/17/25 ❑ Resolution Mtg Date ❑ Ordinance Mtg Date ❑ Bid Award nitg Date ❑ Public Hearing Mtg Date ❑ Other AItg Date SPONSOR ❑ Council ® Mayor ❑ Admin Svcs ❑ DCD ❑ Finance ❑ Fire ❑ P&R ❑ Police ❑ Ply SPONSOR'S SUMMARY Review of lodging tax funding requests in an amount not to exceed $10,000 from the City of Tukwila for the 2025 Juneteenth Celebration. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ® Planning & Community Dev. ❑ LTAC DATE: 3/10/25 ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. COMMITTEE CHAIR: HEDRICK RECOMMENDATIONS: SPONSOR/ADMIN. Mayor's Office COMMITTEE Unanimous Approval; Forward to 03/17/2025 Regular Consent Agenda. COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED $10,000 AMOUNT BUDGETED $$175,000 APPROPRIATION REQUIRED $0 Fund Source: LODGING TAX FUNDS. Comments: 101 Funds will be used, no general funds will be used for this application. MTG. DATE 3/17/25 RECORD OF COUNCIL ACTION MTG. DATE ATTACHMENTS 3/17/25 Informational Memoradum, dated March 4, 2025 Juneteenth Application LTAC Application Staff report to the Lodging Tax Advisory Committee 03/10/25 Planning & Community Development Committee Meeting Minutes (distributed separately) 45 City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM TO: Tukwila City Council FROM: Brandon Miles, Director, Strategic Initiatives CC: Mayor McLeod DATE: March 4, 2025 SUBJECT: Lodging Tax Funding Request ISSUE Review of lodging tax funding requests from the City of Tukwila for the 2025 Juneteenth Celebration. BACKGROUND The City collects a 1 % lodging tax on certain qualifying overnight stays in paid accommodations (hotels/motels/Airbnb) in the City. State law limits the use of these funds to tourism promotion'. There is currently just over $2.5 million in lodging tax funds available for use. The City's Lodging Tax Advisory Committee (LTAC) reviews all requests for use of lodging tax funds. LTAC then forwards a list of recommended applications to the City Council for its review and consideration. If LTAC does not recommend an application be funded, that application is not forwarded to the City Council. The City Council may approve or deny any of the applications recommended by the LTAC. The City Council may also approve an application and increase or decrease the dollar amount awarded'. The City accepts applications on a rolling basis, with the LTAC reviewing requests monthly. i RCW 67.28.080 (6) defines "tourism promotion" as "...activities, operations, and expenditures designed to increase tourism, including but not limited to advertising, publicizing, or otherwise distributing information for the purpose of attracting and welcoming tourists; developing strategies to expand tourism; operating tourism promotion agencies; and funding the marketing of or the operation of special events and festivals designed to attract tourists." 2 On August 17, 2016, the Washington State Attorney General's Office issued an informal opinion regarding whether a municipality could change the dollar amounts recommended by the local lodging tax advisory committee. Specifically, the informal opinion states: "When awarding lodging tax revenues pursuant to RCW 67.28.1816(2)(b)(ii), a municipality may award amounts different from the local lodging tax advisory committee's recommended amounts, but only after satisfying the procedural requirements of RCW 67.28.1817(2), according to which the municipality must submit its proposed change to the advisory committee for review and comment at least forty-five days before final action on the proposal." 46 INFORMATIONAL MEMO Page 2 Pending Applications At its meeting on February 8, 2025, the LTAC recommended approval of the City's request for funding for the 2025 Juneteenth Celebration. 1. City of Tukwila, Juneteenth (Not to Exceed $10,000) The City of Tukwila is requesting lodging tax funds to support the City of Tukwila's 5th Annual Juneteenth Commemoration. Juneteenth is the oldest historical celebration in the United States remembering the end of enslavement of African American people and the continued fight against racism. In 2020 the City of Tukwila Council adopted Resolution 1992, declaring that Juneteenth will be recognized in our community every year. The City is committed to honoring the legacy of the Juneteenth Commemoration and Tukwila's African American community by supporting this signature event for residents, community members, businesses, and guests. This year's event will occur on June 19 at the Sullivan Center on Tukwila International Blvd. LTAC Recommendation on Application: Approval. Staff Recommendation on Application: Approval. FINANCIAL IMPACT The total request for the lodging tax application will not exceed $10,000. No general funds dollars will be used for these funding allocations. The funding allocation is consistent with the six -year financial plan for the lodging tax fund and the City's adopted budget. Any unused funds will remain within the lodging tax fund. RECOMMENDATION Staff recommends that the City Council approve the three applications as presented. ATTACHMENTS 1. Juneteenth Application LTAC Application 2. Staff report to the Lodging Tax Advisory Committee 47 Application to the City of Tukwila for Use of 2025 Lodging Tax Funds Event or Activity Name (if applicable): City of Tukwila's 5th Annual Juneteenth Commemoration Amount of Lodging Tax Requested: $10,000 Applicant Organization: City of Tukwila Federal Tax ID Number: 91-6001519 Mailing Address: City of Tukwila ATTN: Jo Anderson — Inclusion & Engagement Manager Administrative Services and Community Engagement 6300 Southcenter Blvd, Suite 115 Tukwila, WA 98188 Primary Contact Name: Jo Anderson Primary Contact Phone: 206-658-7849 Primary Contact Email Address: Jo.Anderson@TukwilaWA.gov X Check all the service categories that apply to this application: X Tourism promotion or marketing X Operation of a special event or festival designed to attract tourists Operation of a tourism -related facility owned or operated by a non-profit organization Operation and/or capital costs of a tourism -related facility owned by a municipality or a public facilities district X Check which one of the following applies to your agency: Non -Profit (Note: Attach a copy of your current non-profit corporate registration from the Washington Secretary of State Office) X Municipality For Profit Corporation 1 am an authorized agent of the organization/agency applying for funding. 1 understand that: • I am proposing a tourism -related service for 2025. If awarded, my organization intends to enter into a services contract with the City; provide liability insurance for the duration of the contract, naming the City as additional insured and in an amount determined by the City; and file for a permit for use of City property, if applicable. • My agency will be required to submit a report documenting economic impact results in a format determined by the City. Signature: Jo Anderson Date: 12/5/24 48 1. Describe your tourism -related activity or event. The City of Tukwila is requesting lodging tax funds to support the City of Tukwila's 5th Annual Juneteenth Commemoration. Juneteenth is the oldest historical celebration in the United States remembering the end of enslavement of African American people and the continued fight against racism. In 2020 the City of Tukwila Council adopted Resolution 1992, declaring that Juneteenth will be recognized in our community every year. The City is committed to honoring the legacy of the Juneteenth Commemoration and Tukwila's African American community by supporting this signature event for residents, community members, businesses, and guests. To ensure a successful and collaborative event, the City will reach out to previous partners. This includes the Tukwila School District/Foster High School's Black Student Union, the King County Library System, King County Public Health, the Urban League of Metropolitan Seattle and Tukwila community members to plan the in -person event at the Tukwila Sullivan Center. If an event, list the event name, date(s), and projected overall attendance: City of Tukwila's 5th Annual Juneteenth Commemoration Thursday, June 19, 2025, from 11:00 AM to 1:00 PM Tukwila Sullivan Center and Plaza, 14350 Tukwila International Blvd, Tukwila, WA 98168 Attendance: 250+ 2. Is your event/activity/facility focusing on attracting overnight tourists, day tourists, or both? Primarily day tourists attending regional Juneteenth events and experiences. Describe why visitors will travel to Tukwila to attend your event/activity/facility: The City of Tukwila is centrally located in the transportation corridor that provides access to public light rail, King County's Metro bus system, and the Seattle -Tacoma International Airport. Tukwila is a destination for tourism, entertainment, shopping, and its diversity. Describe the geographic target of the visitors you hope to attract (locally, regionally, nationally and/or internationally): The geographic target of visitors is primarily a 50-mile radius, including summer month travelers staying in area hotels. Page 2 of 6 49 3. Describe the prior success of your event/activity/facility in attracting tourists: The City of Tukwila's 1st Juneteenth Commemoration in 2021 was adapted to an online program featured on the Experience Tukwila website. The hour-long commemoration was available in six segments, allowing viewers to explore different elements. Beginning in 2022, the annual event moved to an in -person format at the Sullivan Center outdoor plaza. Each year, important traditions are upheld, including the singing of the Black National Anthem. Further, event participants learn the story of Juneteenth, visit community resource tables, and enjoy educational and musical presentations from a keynote speaker and local artists as well as food from Black -owned businesses. Participation in the 2024 celebration exceeded expectations and drew well over 200 celebrants. This is attributed to moving the event to the actual holiday (as opposed to the following Saturday), gaining recognition as an annual celebration, and caliber of speakers and performers. The intention is to develop a program that will draw a wide audience and provide an experience that is distinctly Tukwila. This will include a mix of speakers and artists that are regionally and locally known. The event location is a community -centered space for residents and guests to visit the Tukwila library, frequent the small business, and take advantage of the open space where families and friends gather. See photos on page 6. 4. If this your first time holding the event/activity/facility, provide background on why you think it will be successful. N/A 5. Describe the media strategy you employ to promote your event/activity/facility to attract overnight and/or day tourists? Please list any digital or print media (newsletters, e-blasts, social media, etc.) your agency uses or intends to use to promote your event/activity/facility. The commissioning of a commemorative poster featuring a local African American artist has become an integral part of the event. In addition to the poster, the City creates a more detailed flyer announcing the program schedule. City staff and partners will promote the Juneteenth Commemoration on the City of Tukwila's Experience Tukwila website, social media platforms, community contacts, and print materials — the Hazelnut newsletter and posters. Additionally, the City will work with community -and faith -based organizations, the Tukwila School District, and the Southside Seattle Chamber of Commerce to assist in promoting the event on their social media platforms and through word-of-mouth. The program participants — speakers, artists, performers, educators, etc. will be asked to help spread the word to their networks as well. Page 3 of 6 50 6. Describe how you will promote lodging establishments, restaurants, retailers and entertainment establishments in the City of Tukwila. City staff will promote this event through the Experience Tukwila website and social media, word-of-mouth, and free online and print calendars through ethnic media channels. Event posters will be disseminated to partners and lodging establishments, restaurants, retailers, and entertainment establishments. 7. Is the City able to use your digital and print media for collaborative marketing? Yes. 8. Describe how you will use the name "Tukwila" in publications, promotions, and for your event? The event will be promoted as being sponsored and held in Tukwila. 9. Measurements and Metrics (Note: You will be required to report these metrics as part of the close out of the agreement between your organization and the City.) As a direct result of your proposed tourism -related service, provide an estimate of: A. Overall attendance at your proposed event/activity/facility. 250+ in -person B. Number of people who will travel fewer than 50 miles for your event/activity. 225 C. Number of people who will travel more than 50 miles for your event/activity. 10% D. Of the people who travel more than 50 miles, the number of people who will travel from another country or state. unknown E. Of the people who travel more than 50 miles, the number of people who will stay overnight in Tukwila. unknown F. Of the people staying overnight, the number of people who will stay in PAID accommodations (hotel/motel/bed-breakfast) in Tukwila. unknown G. Number of paid lodging room nights resulting from your proposed event/ activity/facility (for example: 25 paid rooms on Friday and 50 paid rooms on Saturday = 75 paid lodging room nights) unknown Page 4 of 6 51 10. What methodologies did you use to calculate the estimates and what methodologies will you use to track outcomes, such as total participants, estimated visitor spending, etc.? City staff will monitor, evaluate, and assess this event as part of planning the campaign to determine the 2026 Juneteenth Commemoration. 11. Are you applying for lodging tax funds from another community? If so, which communities and in what amounts? No. 12. Are you applying for funding from Seattle Southside Regional Tourism Authority (SSRTA)? If so, in what amount? No. 13. What is the overall budget for your event/activity/facility? What percent of the budget are you requesting from the City of Tukwila? 50% of the budget. Total costs for the event are estimated to be $20,000; $10,000 of which from the City operations budget. The requested funds in the amount of $10,000 will be used towards artist and performer honoraria, commissioned poster artwork, and food and beverage. Food/Bev $5,000 Poster Artwork $3,000 Honoraria $2,000 1) What will you cut from your proposal or do differently if full funding for your request is not available or recommended? Adjust/scale program costs. Applications are considered on a rolling basis. Please contact staff to discuss the process for having the application reviewed by the City's Lodging Tax Advisory Committee. Completed applications should be submitted to: Lodging Tax Advisory Committee c/o Brandon Miles City of Tukwila 6200 Southcenter Blvd Page 5 of 6 52 Tukwila, WA 98188 or Brandon.Miles@TukwilaWA.gov Questions? LTAC Contact: Brandon J. Miles (206) 431-3684 Brandon.Miles@TukwilaWA.gov 2024 Juneteenth Commemoration Tukwila Commemorates Celebatlngthe brilliance JOIN US�WEDNf the fESDAY, JU�NE !7auck&za� Wrea vncken t tSar 819-8256 ufarine (Aga ws wragoh@$nfaie.com any e 9l j 4 o' 7rcris k Page 6 of 6 53 fThbvi1a Staff Memorandum Lodging Tax Advisory Committee Funding Request Name of Applicant: City of Tukwila, Administrative Services Address: 6200 Southcenter Blvd. Tukwila, WA 98188 Total Funds Requested: $10,000 About the Applicant: The City of Tukwila is a non -charter City organized under the laws of the State of Washington. Founded in 1908, Tukwila is one of the oldest cities in King County. Since its founding, Tukwila has always been a community at the "crossroads." Tukwila lies at one of the busiest freeway interchanges in Washington State. The City has a small bedtime population of just under 20,000. During the day the City's population swells to over 150,000 people, with people coming to the City to work, shop, dine, stay in hotels, and to visit once in a life time experiences, such as the Museum of Flight or iFly. Funds Previously Awarded: In 2021 the City provided $5,000 for a digital event and in 2022 $10,000 for the event. Funding Request Narrative: The City of Tukwila is requesting lodging tax funds to support the City of Tukwila's 5th Annual Juneteenth Commemoration. Juneteenth is the oldest historical celebration in the United States remembering the end of enslavement of African American people and the continued fight against racism. In 2020 the City of Tukwila Council adopted Resolution 1992, declaring that Juneteenth will be recognized in our community every year. The City is committed to honoring the legacy of the Juneteenth Commemoration and Tukwila's African American community by supporting this signature event for residents, community members, businesses, and guests. City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 54 fThbvi1a Staff Comments: As part of the City's branding strategy, it was identified that the City should work on creating events tied to the City's multicultural population. The City of Tukwila lacks an authentic large community event that could be a draw for people from around the region. Juneteenth could be that event that the City grows overtime. Key metrics for the event will be total attendance, third party sponsorship participation, social media metrics, and web visits. Consistency with Six Year Financial Model: 2025 Sponsorship Funds Provided in Six Year Financial Plan: $175,000 PAC NW Soccer (Approved) ($25,000) Seawolves (Approved) ($90,000) City of Tukwila, Juneteenth (Pending) ($10,000) Remaining Funds: $50,000 For 2025, the Six Year Financial Plan shows the City spending $175,000 for sponsorship, such as this. There will be sufficient funds remaining in the budget for other 2025 other sponsorships opportunities that might arise. City of Tukwila Staff Recommendation to LTAC: Approval Notes: None. City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 55 56 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 3/17/2025 NT ITEM INFORMATION ITEM No. 5.E. STAFF SPONSOR: NEIL TABOR ORIGINAL AGENDA DATE: 3/17/25 AGENDA ITEM TITLE Phased Binding Site Improvement Plan Code Amendment CATEGORY ® Discussion Mtg Date 3/10/25 ❑ Motion Mtg Date ❑ Resolution Mtg Date ® Ordinance Mtg Date 3/17/25 ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ❑ Other Mtg Date SPONSOR ❑ Council ❑ Mayor ❑ Admit Svcs ® DCD ❑ Finance ❑ Fire ❑ Pv`R ❑ Police ❑ Pik SPONSOR'S SUMMARY Proposed ordinance to amend the Tukwila Muncipal Code to remove the requirement for phased binding site improvement plans (BSIPs) to also execute development agreements. City Council is being asked to consider and approve the ordinance. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ LTAC ❑ Arts Comm. ❑ Parks Comm. ® Planning & Community Dev. ® Planning Comm. DATE: 1/23/25; 3/10/25 COMMITTEE CHAIR: HEDRICK RECOMMENDATIONS: SPONSOR/ADMIN. Department of Community Development COMMITTEE Unanimous Approval; Forward to Consent COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED $0 AMOUNT BUDGETED $0 APPROPRIATION REQUIRED $0 Fund Source: N/A Comments: MTG. DATE RECORD OF COUNCIL ACTION 3/17/25 MTG. DATE ATTACHMENTS 3/17/25 Info Memo prepared 3/4/2025 Draft Ordinance Redlines of proposed code changes Written public comment received ahead of the 1/23/2025 Public Hearing Minutes from the 1/23/2025 Planning Commission Public Hearing Staff Report from the 1/23/2025 Planning Commission Public Hearing 3/10 Planning & Community Development Committee Minutes (distributed separately) 57 City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM TO: Planning and Community Development Committee CC: Mayor Thomas McLeod FROM: Nora Gierloff, AICP, DCD Director BY: Neil Tabor, AICP, Senior Planner DATE: March 4, 2025 SUBJECT: Proposal to amend regulations for phased binding site improvement plans ISSUE The proposed code amendment would streamline the process for Binding Site Improvement Plans. BACKGROUND Binding Site Improvement Plans (BSIPs) are plans used to provide flexibility for sale of property within a larger development. These developments often rely on shared features within the larger site, such as parking, access points, landscaping, utilities, refuse collection areas, etc. As an alternative to the traditional subdivision process, these plans are typically used for commercial or industrial sites, however, they can also be used for residential and mixed use developments, which may desire to sell individual portions of land for building sites, while retaining shared common areas. BSIPs can also provide flexibility when combined with creating condominium ownership or phased development. Phased BSIPs refer to developments that plan to develop in multiple stages, staggering certain site improvements over multiple phases. The City's regulations currently require that phased BSIPs also execute a development agreement, or contract between the City and developer, in all proposed phased BSIPs. Staff has found that this requirement is redundant to other phased BSIP requirements, burdensome to both City and developer time and resources, and generally out of step with standards of other comparable jurisdictions. Codified in TMC 17.16, BSIPs proposing to develop in phases are required to enter into a development agreement in addition to completing the BSIP. Development agreements add cost to a project by adding several months of process time for review, analysis, legal consultants, contracting, and scheduling of a public hearing before City Council. 58 Page 2 This equates to months of unnecessary additional carrying costs for developers on what are generally large scale projects, in addition to permit fees. In addition to the staff and City Council time exhausted, this process also creates uncertainty for the developer by changing the review from being entirely administrative, based on municipal code standards, to a legislative process before the City Council on a generally, technically complex topic. While there may be instances in which a development agreement may be desired by the developer due to project complexity, a desire to vest certain permits, or other factors, this is unlikely to be the case with most proposed phased BSIPs. PLANNING COMMISSION RECOMMENDATION A public hearing on the code amendment L25-0001 was held at the January 23rd, 2025, Planning Commission meeting. Commissioners passed a motion to recommend that the City Council adopt the code amendments without modifications. SUMMARY OF PROPOSED CHANGES The requirement for phased BSIPs to execute a development agreement is located in the Tukwila Municipal Code (TMC) 17.16.030(C) Preliminary Binding Site Improvement Plan (BSIP) approval, Approval Criteria. Staff proposes removing the sole provision requiring the execution of a development agreement. References requiring consistency with approvals and options to apply conditions and limitations for phased BSIPs are already present in other sections of TMC 17.16 and throughout the TMC. Language proposed for removal: TMC 17.16.040(C) 13. Additional Approval Criteria for Phased Development: If the applicant chooses to develop the property in a phased development the applicant must execs ate a e development agreement with the City pursuant to RCW 36.70B.170 if one is not al-- Tn—plac-e-T-his eem hal � rn,a a minima m to uc d development of the property subject to the BSIP, including: a). vesting applicable to subsequent permits; b). the manner in which each phase of the development will proceed to are constructed prior to the development of each phase; o expiration of the agreement anal all provisions therein Structure, formatting and other minor headings have also been edited in this section for consistency. 59 Page 3 ANALYSIS Staff Report Criteria TMC 18.82.030 requires that staff reports for proposed amendments to development regulations address the five listed criteria in this section. As criteria pertain to both privately initiated code amendment applications and those proposed by staff, some criteria may not be as relevant for all code amendment proposals. Criteria and staff responses are listed below. 1. An evaluation of the application materials; Staff Response: Not applicable. 2. Impact upon the Tukwila Comprehensive Plan and Zoning Code; Staff Response: The proposed code amendment is consistent with the comprehensive plan and does not require an amendment to the comprehensive plan. The proposed amendment to the zoning code intends to streamline the phased binding site improvement plan process and remove unnecessary requirements. 3. Impact upon surrounding properties, if applicable; Staff Response: Not applicable. 4. Alternatives to the proposed amendment; and Staff Response: If the proposed amendment were not adopted, any development proposing a phased binding site improvement plan would still be required to execute a development agreement in addition to the phased binding site improvement plan. Staff discussed the possibility of introducing other additional requirements with the removal of the development agreement requirement, but found other code sections within Title 17 to be sufficient to ensure that phased BSIPs would meet the conditions required of later phases of development. The concept of requiring a development agreement for phased BSIPs that surpass a specified threshold based on project size or other factors was discussed at Planning Commission. However, due to the variety of projects that may apply for a phased BSIP, the potential use of a relatively arbitrary threshold value, the overall lack of value to the City, and additional time, expense, and inconvenience for the developer to execute a development agreement, staff did not feel that requiring execution of a development agreement for projects meeting a specific threshold was of benefit to the City, the project, or the developer. In the draft ordinance proposed, developers would retain the ability to pursue a development agreement in conjunction with a phased BSIP, if so desired. 5. Appropriate code citations and other relevant documents. 60 Page 4 Staff Response: Existing code within TMC Chapter 17.16 Detailed Procedures For Binding Site Improvement Plans (BSIPs) provide staff with adequate ability to enforce phased binding site improvement plans and include additional relevant conditions and limitations without the need to do so through a development agreement. Relevant sections of code are copied below. TMC 17.16.060(C) Binding Effect: Approved BSIPs shall be binding and shall be enforceable by the City. All provisions, conditions and requirements of the BSIP shall be legally enforceable on the purchaser or on any person acquiring a lease or other ownership interest of any lot, tract, or parcel created pursuant to the BSIP. TMC 17.16.070(B) Phasing of Improvements: To satisfy improvement requirements, the Short Subdivision Committee is authorized to impose conditions and limitations on the BSIP. If the Short Subdivision Committee determines that any delay in satisfying requirements will not adversely impact the public health, safety or welfare, the Committee may allow requirements to be satisfied prior to: 1. Issuing the first building permit for the site; or 2. Prior to issuing the first building permit for any phase, ;or 3. Prior to issuing a specific building's certificate of occupancy; or 4. In accordance with an approved phasing plan; or 5. In accordance with plans established by a development agreement or as otherwise permitted or required by the TMC. Decision Criteria TMC 18.82.020, Decision Criteria provides criteria for the final City Council decision on proposed code amendments. Decision criteria are as follows: 1. Is the amendment consistent with the Comprehensive Plan? 2. Does the amendment meet at least one of the following criteria: a. Eliminates conflicts between TMC and the Comprehensive Plan; or b. Accomplishes policy directives of the Council or Administration; or c. Corrects an error or errors in the TMC. 61 Page 5 FINANCIAL IMPACT No direct costs to the City are expected from this code amendment. RECOMMENDATION The Council is being asked to approve the ordinance and consider this item at the March 10, 2025 Committee of the Whole and subsequent March 17, 2025 Regular meeting. ATTACHMENTS A. Draft Ordinance B. TMC 17.16.040 Proposed Code Amendments (Redlined) C. Written public comment received ahead of 1/23/2025 Public Hearing D. Minutes from 1/23/2025 Planning Commission Public Hearing E. Staff Report from 1/23/2025 Public Hearing 62 Attachment A AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AMENDING ORDINANCE NO. 2740 §3 (PART), AS CODIFIED AT TUKWILA MUNICIPAL CODE (TMC) SECTION 17.16.040, "PRELIMINARIP APPLICATIONS," TO REMOVE LANGUAGE REQUIRING PHASED BINDING SITE IMPROVEMENT PLANS TO EapECUTE DEVELOPMENT AGREEMENTS; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, Title 17 of the Tukwila -1 Cotablishes procedures for binding site improvement plans and the City des o edures to be consistent with the provisions of state law, as per RCW 58.17. .nd WHEREAS, the City desires to eliminate unnecessary development regulations; and WHEREAS, the requirement for all phased binding site improvement plans to execute a development agreement was identified as redundant to existing regulations within TMC Title 17; and WHEREAS, on January 23, 2025, the Tukwila Planning Commission, following adequate public notice, held a public hearing to receive testimony concerning amending the Tukwila Municipal Code and at that meeting adopted a motion recommending the proposed changes as set forth herein; and WHEREAS, on January 24, 2025, the City's State Environmental Policy Act (SEPA) Responsible Official issued a Determination of Non -Significance on the proposed amendments; and WHEREAS, the Tukwila City Council finds that the amendments set forth herein in the best interest of the public's health, safety, and welfare. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: 2025 Legislation: BSIP Amendments Version: 3/4/25 Staff: N. Tabor Page 1 of 4 63 Section 1. Adoption of Findings of Fact. The City Council finds as follows: A. The above recitals, set forth as "WHEREAS" clauses, are hereby adopted as Findings of Fact in support of the adoption of this ordinance. B. The amendments that are established below comply with the requirements of the Washington State Growth Management Act and the Tukwila Municipal Code. Section 2. Ordinance No. 2740 §3 (part), as codified at TMC Section 17.16.040, "Preliminary Applications," subparagraph C, is hereby amended to read as follows: 17.16.040 Preliminary Applications C. Approval Criteria: 1. Prior to approval of any BSIP, the Short Subdivision Committee shall ensure that the following improvements are provided to sufficiently ice the anticipated uses throughout the proposed plan and the decision criteria th low are met: a. Adequate water supply. b. Adequate sewage disposal. c. Appropriate storm drainage impro d. Adequate fire hydrants. e. Appropriate access to all an ip. esw'thin the plan. f. Provision for all appr► - '-te d: •edic.tion, and/or easements. g. Monumentation ► ;� for tr. t corners. 2. Legal Lots: a. Residen ' - s consist of one or more contiguous legally -created lots and each lot shall the u , imensional requirements of the applicable zone or overlay district. b. If the site , co commercial or industrial uses, or mixed -use commercial and residential uses, the shall meet the minimum dimensional requirements of the zoning district or meet the definition of "integrated site" in TMC 18.06, such that when taken as a whole and not considering interior lot lines, the integrated site meets all applicable zoning and subdivision requirements. 3. Appropriate easements and maintenance agreements for shared facilities, including but not limited to, circulation, parking, utilities and landscaping, have been provided. 4. Modifications to the minimum zoning standards for individual lots located within the integrated site -- including setbacks, parking, landscaping, lot area and lot dimension -- are not detrimental to the public health, safety and welfare, do not adversely affect the rest of the integrated site or other properties in the vicinity, and do not impede planned street, trail or pedestrian networks for the neighborhood or district. 2025 Legislation: BSIP Amendments Version: 3/4/25 Staff: N. Tabor Page 2 of 4 64 5. Common improvements necessary to serve any particular phase of development must be sufficient for meeting the zoning and subdivision requirements for that phase. 6. Access to the integrated site meets the subdivision ordinance standards. Access within the site provides for safe and efficient circulation and meets Fire Department access requirements. 7. The circulation system incorporates appropriate provisions for safe pedestrian activity to the site from the street and from building to building within the site. 8. The sign regulations shall be applied to the integrated site as a whole. For example, the number of freestanding signs allowed is based on one (1) site within the BSIP. Individual ownerships within the integrated site are not considered to be separate sites in determining the number of freestanding signs allowed. 9. The requirements of the Washington State Building ode are met. 10. Future Development: The BSIP shall contai subsequent development of the site shall be in conforma BSIP. 11. Dedication Statement: Where lands ar applicant shall provide a dedication statement a provision requiring that any the approved and recorded irgd or promised for dedication, the ledgement on the BSIP. 12. The BSIP shall be consistent with i City approved master plans and development agreements. D. 12. Additional Approval Ownership: Condominium deve of such approval is to divide th to either RCW Chapter 64.32 has already been constructed for an entire developm Crif!ria IPs Proposing Condominium is are igible for BSIP approval when the purpose so a p rtion of the parcel or tract can be subjected 1 Mn only be approved when the development theZrrroyal has been obtained and a building permit of a development is issued. develop the property phases .evelopment, the applicant must execute a development agrccmcnt with thc C. rs to RCW 36.70B.170 if one is not alr ady in plaec.-T#i,, agreement shall govern, a inimum, the use and development of the property subject to the BSIP, including: a. vesting applicable to subsequent permits; b. thc manner in which qach phase of thc development will proceed to ensure that the roads and utilities necessary to serve ch phase of the development arc constructed prior to the development of each phase; c. expiration of the agreement and all provisions therein. 14. Consistency: The BSIP shall be consistent with any City approved master plans and development agreements. Section 3. Corrections by City Clerk or Code Reviser Authorized. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; references to other 2025 Legislation: BSIP Amendments Version: 3/4/25 Staff: N. Tabor Page 3 of 4 65 local, state or federal laws, codes, rules, or regulations; or ordinance numbering and section/subsection numbering. Section 4. Severability. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. Section 5. Effective Date. This ordinance or a summary thereof shall be published in the official newspaper of the City, and shall take effect and be in full force five days after passage and publication as provided by law. PASSED BY THE CITY COUNCIL OF THE CITY OF T KWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2025. ATTEST/AUTHENTICATED: Andy Youn-Barnett, CMC, City Clerk \ as Leod, Mayor APPROVED AS TO FORM By ) iled with the City Clerk: assed by the City Council: Published: Office of the City At 2025 Legislation: BSIP Amendments Version: 3/4/25 Staff: N. Tabor Effective Date: Ordinance Number: Page 4 of 4 66 Attachment B CHAPTER 17.16 DETAILED PROCEDURES FOR BINDING SITE IMPROVEMENT PLANS (BSIPS) Sections: 17.16.010 Purpose 17.16.020 Applicability 17.16.030 Decision Process 17.16.040 Preliminary Applications 17.16.050 Expiration of Preliminary Approval 17.16.060 Final Applications 17.16.070 Improvements 17.16.080 Alterations and Vacations 17.16.010 Purpose A. This chapter is established to: 1. Provide an optional process for land under single ownership to be divided for the purpose of sale or lease; 2. Accommodate the division of land for the purpose of sale or lease of property within an integrated commercial or industrial center, which allows certain zoning standards (minimum parking, setbacks, landscaping, lot area and lot dimension) on the individual lots to be modified provided the standards for the entire center are met; 3. Facilitate alternative ownership options by allowing BSIPs in conjunction with a condominium process for residential, commercial, or industrial purposes (RCW 64.34); 4. Allow phased infrastructure improvements for large tracts of land. 17.16.020 Applicability A. Eligibility: A BSIP application may be submitted for a project located on any land zoned multi -family, commercial, or industrial, consistent with the terms of this chapter. B. Construction Authorization Through Other Permits: A BSIP creates or alters existing lot lines. A BSIP does not authorize construction. Construction is permitted upon approval of construction and building permits that implement the BSIP. 17.16.030 Decision Process A. Applications for BSIPs shall be processed as Type 2 decisions subject to the provisions of TMC 18.104. 17.16.040 Preliminary Applications A. Application Requirements: Applications for preliminary BSIPs shall meet the permit submittal requirements found at TMC 18.104.060. 67 B. Review Procedures: Applications for preliminary BSIPs shall be reviewed in the same manner prescribed in TMC 17.12.030(B) for preliminary short subdivisions. C. Approval Criteria: 1. Prior to approval of any BSIP, the Short Subdivision Committee shall ensure that the following improvements are provided to sufficiently service the anticipated uses throughout the proposed plan and the decision criteria that follow are met: a. Adequate water supply. b. Adequate sewage disposal. c. Appropriate storm drainage improvements. d. Adequate fire hydrants. e. Appropriate access to all anticipated uses within the plan. f. Provision for all appropriate deed, dedication, and/or easements. g. Monumentation of all exterior tract corners. 2. Legal Lots: a. Residential BSIPs shall consist of one or more contiguous legally - created lots and each lot shall meet the minimum dimensional requirements of the applicable zone or overlay district. b. If the site will contain commercial or industrial uses, or mixed -use commercial and residential uses, the lots shall meet the minimum dimensional requirements of the zoning district or meet the definition of "integrated site" in TMC 18.06, such that when taken as a whole and not considering interior lot lines, the integrated site meets all applicable zoning and subdivision requirements. 3. Appropriate easements and maintenance agreements for shared facilities, including but not limited to, circulation, parking, utilities and landscaping, have been provided. 4. Modifications to the minimum zoning standards for individual lots located within the integrated site -- including setbacks, parking, landscaping, lot area and lot dimension -- are not detrimental to the public health, safety and welfare, do not adversely affect the rest of the integrated site or other properties in the vicinity, and do not impede planned street, trail or pedestrian networks for the neighborhood or district. 5. Common improvements necessary to serve any particular phase of development must be sufficient for meeting the zoning and subdivision requirements for that phase. 6. Access to the integrated site meets the subdivision ordinance standards. Access within the site provides for safe and efficient circulation and meets Fire Department access requirements. 7. The circulation system incorporates appropriate provisions for safe pedestrian activity to the site from the street and from building to building within the site. 68 8. The sign regulations shall be applied to the integrated site as a whole. For example, the number of freestanding signs allowed is based on one (1) site within the BSIP. Individual ownerships within the integrated site are not considered to be separate sites in determining the number of freestanding signs allowed. 9. The requirements of the Washington State Building Code are met. 10. Future Development: The BSIP shall contain a provision requiring that any subsequent development of the site shall be in conformance with the approved and recorded BSIP. 11. Dedication Statement: Where lands are required or proposed for dedication, the applicant shall provide a dedication statement and acknowledgement on the BSIP. 12. The BSIP shall be consistent with any City approved master plans and development agreements. C. 12. Additional Approval Criteria for BSIPs Proposing Condominium Ownership: Condominium developments are eligible for BSIP approval when the purpose of such approval is to divide the property so a portion of the parcel or tract can be subjected to either RCW Chapter 64.32 or 64.34. A BSIP can only be approved when the development has already been constructed or when the approval has been obtained and a building permit for an entire development or a portion of a development is issued. 13. Additional Approval Criteria for Phased Development: If the applicant chooses to develop the property in a phased development, the applicant must execute a property subject to the BSIP, including: a. vesting applicable to subsequent permits; b. the manner in which each phase of the development will proceed to cyisure that the roads and utilitics neccssary to serve each phase of the development are constructed prior to the development of each phase; c. expiration of the agreement and all provisions therein. 14 Conoi t- ncy: TheBS' P shall be cons sent rany jity approved-mastter � � c�rrrcrray : -r-i� rrarrac-cvr i� c+TTY� T��'ccp}� plans and development agreements. 17.16.050 Expiration of Preliminary Approval A. If the BSIP is not recorded within three (3) years of the date of the preliminary BSIP, the BSIP shall become null and void. Upon written request by the applicant prior to the expiration date, the Short Subdivision Committee may grant one (1) extension of not more than one (1) year. B. Where all conditions of approval of the BSIP have been satisfied, and all required documents have been submitted within the three (3) year filing period, the Director may grant a single extension of up to one hundred eighty (180) days for the processing and recording of the final BSIP. 69 17.16.060 Final Applications A. Application Requirements: Applications for final BSIPs shall meet the permit requirements found at TMC 18.104.060. B. Final Approval Review Procedures: 1. The Short Subdivision Committee may grant final approval of the BSIP when they find that the survey, plan and other documents for recording are consistent with the preliminary approval. No formal meeting of the Committee is required so long as the Chair obtains the recommendations and consent of the other members of the Committee before issuing a decision. 2. Upon final approval of the BSIP, the applicant shall record the plat and all other relevant documents with the King County Department of Executive Services. The applicant is responsible for paying the recording fee(s). Upon completion of recording, the applicant shall provide the Department with a copy of the recorded documents. The BSIP shall not be considered final until these documents have been provided to the Department. C. Binding Effect: Approved BSIPs shall be binding and shall be enforceable by the City. All provisions, conditions and requirements of the BSIP shall be legally enforceable on the purchaser or on any person acquiring a lease or other ownership interest of any lot, tract, or parcel created pursuant to the BSIP. 17.16.070 Improvements A. Improvements: The following requirements shall be met for each BSIP prior to the issuance of a building permit for construction within a BSIP. 1. Improvements Required: Consistent with TMC 17.20, and subject to any applicable development agreement, the following tangible improvements shall be provided, either by actual construction or a construction schedule approved by the City and bonded by the applicant, before a BSIP may be recorded: a. grading and paving of streets and alleys; b. installation of curbs, gutters, sidewalks, monuments, sanitary and storm sewers, street lights, water mains and street name signs; together with all related appurtenances to the specifications and standards of this code, approved by the Short Subdivision Committee, and in accordance with other standards of the City. A separate construction permit will be required for any such improvements, along with associated engineering plans prepared per the City Drafting Standards. 2. Modifications: Proposals that contain commercial uses, industrial uses, or mixed -uses (commercial and residential), and that meet the definition of "integrated site" in TMC 18.06, are not required to submit a modification request. B. Phasing of Improvements: To satisfy improvement requirements, the Short Subdivision Committee is authorized to impose conditions and limitations on the BSIP. If the Short Subdivision Committee determines that any delay in satisfying requirements will 70 not adversely impact the public health, safety or welfare, the Committee may allow requirements to be satisfied prior to: 1. Issuing the first building permit for the site; or 2. Prior to issuing the first building permit for any phase; or 3. Prior to issuing a specific building's certificate of occupancy; or 4. In accordance with an approved phasing plan; or 5. In accordance with plans established by a development agreement or as otherwise permitted or required by the TMC. 17.16.070 Alterations and Vacations A. Alteration: Alteration of an approved BSIP, excluding standard easements for utilities and lot line adjustments, shall be accomplished following the same procedures required for a new BSIP application as set forth in this chapter; provided, that only owners of lots within the BSIP that are directly affected by the proposed alteration shall be required to authorize application for the alteration. If a property subject to a BSIP approval is the subject of a development agreement, the alteration of the approved BSIP shall not require an amendment to the development agreement or approval by the City Council and, after approval and recording, shall automatically be incorporated within the development agreement unless otherwise provided in the development agreement. B. Vacation: Vacation of a recorded BSIP shall be accomplished by following the same procedures required for a new BSIP application as set forth in this chapter. If a portion of a BSIP is vacated, the property subject to the vacation shall constitute one lot, and the balance of the approved BSIP shall remain as approved. Any non -conformities created by such a vacation must be remedied prior to final approval of the vacation. If a BSIP property subject to a BSIP approval is the subject of a development agreement, the vacation of the approved BSIP, whether total or partial, shall not require an amendment to the development agreement or approval by the City Council and, after approval and recording shall automatically be incorporated within the development agreement unless otherwise provided in the development agreement. 71 Attachment C trI SEATTLE KING COUNTY a REALTORS' DATE: January 21, 2025 TO: Tukwila Planning Commission c/o Nora Gierloff, Director of Community Development Neil Tabor, AICP, Senior Planner DELIVERY: email only to: Nora.Gierloff@TukwilaWA.gov Neil.Tabor@TukwilaWA.gov Planning@TukwilaWA.gov FROM: Sam Pace, Housing Specialist Seattle King County REALTORS° Sam@SamPace.com (253) 569-2663 RE: Planning Commission Public Hearing re: File Numbers: L25-0001 & E25-0002; Proposal to Amend Regulations for Phased Binding Site Improvement Plans Dear Commissioners, Director Gierloff and Senior Planner Tabor, I am writing to you on behalf of our 6,000+ members of Seattle King County REALTORS° to provide public hearing comments (of record) in connection with the Planning Commission's Public Hearing scheduled for January 23th regarding the City of Tukwila staff proposal to amend regulations for Phased Binding Site Improvement Plans. It is our understanding that: • Tukwila's city code currently provides: o Applicants proposing to develop a project as a Binding Site Improvement Plan, or BSIP, are required by section 17.16.030(C) of Tukwila's Municipal Code to: (a) enter into a Development Agreement, and (b) also complete the Binding Site Improvement Plan City staff have identified (in our view, correctly) that these requirements are duplicative, and there are numerous reasons that correcting the situation would be well-advised. • The proposal before the Planning Commission for public hearing on January 23rd: o Would remove the sole provision in the Tukwila Municipal Code (TMC) requiring the execution of a Development Agreement when there is a BSIP, 1 72 o Would not compromise, or dilute, existing development standards - because the substantive requirements of development agreements are already present, both in Chapter 17.16, and elsewhere in city code, o Would require that a Binding Site Improvement Plan be consistent with any City - approved master plans and development agreements; and o Would be applied city-wide if approved by the City Council. • No Environmental Determination has yet been issued, but one is anticipated prior to City Council action on the proposal, if the Planning Commission supports moving forward. We believe Neil Tabor has done a capable job of explaining that BSIPs can provide flexibility to accommodate a sale of property. We would add to his observation by noting that sometimes such sales are necessary to facilitate obtaining the financing that is required to make it possible to finish building -out a development. As Mr. Tabor notes, "...these developments often rely on shared features within the larger site, such as parking, access points, landscaping, utilities, refuse collection areas, etc. As an alternative to the traditional subdivision process, these plans are typically used for commercial or industrial sites, however, they can also be used for residential and mixed use developments, which may desire to sell individual portions of land for building sites, while retaining shared common areas. BSIPs can also provide flexibility when combined with creating condominium ownership or phased development." (Bold emphasis was added by the REALTORS°) We want to focus -in on the fact that (even though the BSIPs are typically used for large commercial and industrial projects), the issue before the Planning Commission in this public hearing is also important for housing. Over time, housing legislation passed in 2023 - including HB 1110 (Middle Housing) and HB 1337 (Accessory Dwelling Units) - will result in more dwelling units within cities. But most of that housing will be rentals, and will not likely provide many homeownership opportunities, absent additional changes to state law. More homeownership opportunities not only benefit would-be homebuyers, they also help renters by reducing the competition for rental units (by getting would-be homebuyers out of the rental market), and they create additional opportunities for historically disadvantaged households to access the single most important opportunity to create inter -generational wealth, which is ownership of residential real estate. One of the reasons those Middle Housing and Accessory Dwelling Units are likely to be mostly rentals is straightforward: 2 73 • The "amount of housing that gets built — even if it's Middle Housing or ADUs" is a different issue than "whether the housing is rentals or ownership units." • For a builder to create an "home ownership opportunity," the builder must be able to divide legal title to the property in a way that allows a buyer to "own" a unit, not just "rent" it. This is the case regardless what kind of dwelling unit gets built (single family, duplex, triplex, 4-plex, townhome, etc.). • The two major ways for a developer to divide legal title to the land (in a way that has the potential to create homeownership opportunities, rather than just rentals) are: 1. Platting of subdivisions (or short -subdivisions, aka short -plats), or 2. Creation of a condominium, including a preparing and recording a Declaration of Condominium and Plan, state -mandated Public Offering Statements, etc. Most folks tend to think of condominiums as a "product type." However, a condominium is really a "form of ownership" not a type of housing unit - which is why slips at marinas, aviation hangars, storage units, etc. can all be condominiums, even though they do not involve any housing. Both platting and condominiums are expensive, time-consuming processes that make it difficult to increase home ownership opportunities in the city. We believe that Binding Site Improvement Plans/Agreements can serve two important purposes: First, we believe they have the potential to evolve into an especially important alternative to traditional platting and condominiums. Second, we believe they hold the promise of achieving more timely reviews, and at less cost, then platting or condominiums - importantly, without sacrificing substantive environmental, health and safety concerns. But the potential and promise of Binding Site Improvement Plans/Agreements remains compromised if we unduly -burden the BSIP process with a requirement for an additional, duplicative, "Development Agreement." In our view, Tukwila city staff have correctly discerned that the additional requirement for a duplicative "Development Agreement" results in: • several months of delay (for review, analysis, processing time, scheduling and completing a public hearing before the City Council, seeking and issuing required permits, etc.) • unnecessary added costs to a project (for additional permit fees, legal consultants, interest "carrying costs" on project operating/construction debt, etc.) • a lack of predictability for the applicant, which can translate into higher financing costs (especially if lenders charge a "risk premium" due to lack of certainty regarding when/if the lender will be repaid). In the worst case, it may result in a desirable project not getting 3 74 built because of concerns about whether the project can be completed in time for it "to pencil" for the developer, and the developer's lender. In our view, Mr. Tabor is correct that a major reason for concern about the lack of predictability results from the fact that the BSIP process involves an administrative review of complex topics based on municipal code standards. The application of those objective standards in a technical administrative review helps to provide predictability. However, when the Development Agreement process is added to the mix, it changes the review from being entirely administrative, to a process before the City Council. The costs and operational impacts of a duplicative and unnecessary Development Agreement requirement do not fall solely on project applicants. They also impact city staff (at a time when obtaining/retaining qualified planning, development and public works professionals is a significant challenge for cities). Stated simply: Having an additional requirement for a Development Agreement also impacts the time of staff and City Council, with little benefit, if any, for the city, or its stakeholders. For these reasons: • We support the staff recommendation to a eliminate the duplicative and unnecessary requirement for a Development Agreement when there is a Binding Site Improvement Plan, and • We want to express our appreciation for the City taking the initiative to bring this recommendation forward to the Planning Commission. There is no magic wand for wringing unnecessary and unproductive costs out of the development -review process. It is a long series of sometimes tedious small steps. But, cumulatively, over time, they can reform our permitting processes in ways that improve the likelihood cities will not only "accommodate" housing consistent with RCW 36.70A.020(4), but do so in a way that makes housing affordable for "all economic segments" of the population. Thank you for the opportunity provide these public hearing comments of record. Please do not hesitate to let me know if you have any questions, comments, or concerns. Sincerely, SEATTLE KING COUNTY REALTORS(' Sam Pace, Housing Specialist Sam@SamPace.com • (253) 569-2663 cc: Taylor Shanaman, Director of Governmental & Public Affairs 4 75 Attachment D Thomas McLeod, Mayor Department of Community Development Nora Gierloff, AICP, Director CITY OF TUKWILA PLANNING COMMISSION (PC) MINUTES Date: January 23, 2025 Time: 6:30 p.m. Location: Hybrid Meeting - via Microsoft Teams / Public, In -Person Attendance, Council Chambers, 6200 Southcenter Blvd., Tukwila, WA 98188 I. Ca11 to Order Chair Probst called the Tukwila PC meeting to order at 6:35 p.m. II. Roll Ca11 The PC Secretary took roll call. Present: Chair Martin Probst; Vice Chair Ann Durant; Commissioners Louise Strander, Alex Kaehler, Richard McLeland Wieser, and Jacob Halverson Excused Absence: Commissioner Jane Ho Staff: Director Nora Gierloff, American Institute of Certified Planners (AICP), Department of Community Development (DCD); Long Range Planning Manager Nancy Eklund, AICP, DCD; Development Supervisor Max Baker, AICP, DCD; Senior Planner Neil Tabor, AICP, DCD; and PC Secretary Wynetta Bivens, DCD III. Amendment of the Agenda No changes to the agenda were requested. IV. Approval of Minutes Commissioner Halverson moved to adopt the 12/12/24 Minutes. Commissioner Durant seconded the motion. Commissioner Kaehler recused himself due to absence. Motion carried. V. Written General Public Comments No submittals. VI. Old Business None 76 Tukwila City Hall • 6200 Southcenter Boulevard • Tukwila, WA 98188 • 206-433-1800 • Website: TukwilaWA.gov 1 Planning Commission Minutes 1/23/25 Page 2 VII. New Business PUBLIC HEARING 1. Shelter, Transitional, Emergency, Permanent (STEP) Housing Changes FILE NUMBER: L24-0026, E25-0001 PURPOSE: Code amendment to comply with state law. LOCATION: Non -Project Action/Citywide Senior Planner Neil Tabor gave the presentation for staff. He provided background on STEP Housing and the purpose of the public hearing. He said that legislature narrowed restrictions for the STEP Housing types, which resulted in the allocation of certain housing targets. The City of Tukwila previously adopted code amendments to recognize the STEP Housing types. In 2021, the State legislature passed HB 1220 which sets requirements for STEP Housing. The following housing types are not included: • Temporary Encampments • Tiny Home Villages • Group Homes • Oxford Homes/Recovery Residence • Assisted Living Facility • Adult Family Homes • Senior Living • Traditional Income -Restricted Housing Staff noted that the State, Puget Sound Regional Council, and Countywide King County each commented that the city's current development regulations do not meet requirements. Staff went over the proposed standards and walked through the STEP housing requirements in which the City of Tukwila is not in compliance. To meet state law requirements and provide capacity to site the city's allotted amount of STEP Housing, while maintaining reasonable occupancy and spacing requirements, staff propose to amend TMC 18.50.250, 18.50.260 and Table 18-2 Tukwila Urban Center (TUC) Land Uses Allowed by District Staff addressed clarifying questions from the PC. Recommendation Staff are requesting that the Planning Commission forward a recommendation for adoption of the draft code amendments to the City Council (CC) for their review. Public Hearing Chair Probst opened the public hearing. Staff noted that there were no public hearing comments letters received. There was no public testimony. Chair Probst closed the public hearing. 2 Phone: 206-433-1800 • Email: Mayor@TukwilaWA.gov • Website: TukwilaWA.gov 77 Planning Commission Minutes 1/23/25 Page 3 Deliberations/Motion There was no deliberation. Commissioner Halverson moved to adopt the staff's recommendation and forward them to the CC for their review. Commissioner Durant seconded the motion. Motion carried. PUBLIC HEARING 2. Phased Binding Site Improvement Plans (BSIP) FILE NUMBER: L25-0001, E25-0002 PURPOSE: Code amendment to remove development agreement requirement. LOCATION: Non -Project Action/Citywide Senior Planner Neil Tabor gave the presentation for staff. He provided background on the proposed. BSIPs are plans used to provide flexibility for sale of property within a larger development. These developments often rely on shared features within the larger site, such as: Parking; access points; landscaping; utilities; refuse collection areas; etc. Phased BSIPs improvement plans and proposals to develop in phases are required to enter into a development agreement in addition to completing the BSIP. The requirement for phased BSIPs to execute a development agreement is listed in the Tukwila Municipal Code (TMC) 17.16.030(C) Preliminary Binding Site Improvement Plan (BSIP) approval, approval Criteria. Staff proposed removing the sole provision requiring the execution of a development agreement with phased BSIPs. References requiring consistency with approvals and options to apply conditions and limitations for phased BSIPs are already present in other sections of TMC 17.16 and throughout the TMC. Staff addressed clarifying questions from the PC. Recommendation Staff are requesting that the Planning Commission forward a recommendation for the adoption of the draft code amendments to the CC for their review. Public Hearing A public hearing comment letter was received from Sam Pace, Housing Specialist. Seattle King County REALTORS, on January 22, 2025, which was distributed to the PC on January 22, 2025. Chair Probst opened the public hearing. There was no public testimony. Chair Probst closed the public hearing. Deliberations/Motion There was no deliberation. Phone: 206-433-1800 • Email: Mayor@TukwilaWA.gov • Website: TukwilaWA.gov 78 Planning Commission Minutes 1/23/25 Page 4 Commissioner Durant moved to adopt the staff's recommendations and forward it to the CC for their review. Commissioner McLeland Wieser seconded the motion. Motion carried. PUBLIC HEARING 3. Townhouses in the TUC FILE NUMBER: L25-0003, E25-0004 PURPOSE: Code amendment to update residential allowances. LOCATION: Non -Project Action/Citywide Senior Planner Neil Tabor gave the presentation for staff. He provided background on the proposed. He stated this item is on townhouse allowances in the TUC, which is a regional center designated with the Puget Sound Regional Council for future growth, capitalizing on transit infrastructure to reduce car dependency. This center designation under the Regional Growth Strategy makes this area eligible for additional funding that helps them transition into denser, transit -oriented development over time. It covers Pierce, Snohomish, King, and Kitsap Counties. Within these counties, centers can be designated where high capacity transit exists, encouraging the greater use of public transportation. Part of the requirement for a center is that it plans for a minimum of 45 "activity units" per acre. Staff proposes removing townhouses from the list of allowed dwelling types in table 18-2, affecting the TUC Regional Center, Transit Oriented Development, Pond and portions of the Work Place Zoning Districts. Staff are requesting that the PC forward a recommendation for the adoption of the proposed redlined language to the CC for their further review and adoption. Staff addressed clarifying questions from the PC. Commissioner Halverson stated that he would propose an amendment, stating he is against removing townhomes from the use in the TUC. Commissioner Durant stated it was mentioned in the staff background report that regional growth strategy designation makes the area eligible for additional funding. She asked if townhomes are not stricken and allow zoning that wouldn't meet the 45 activity units whether the City of Tukwila would be ineligible for the funding or would it be less accessible to the city. She said the change makes sense to her. Mr. Tabor stated individual use allowances would be unlikely to eliminate funding eligibility, but regulations should be consistent with goals for the center. Commissioner Halverson inquired whether there is any concept to build small townhouse -style residential. Staff said they identified this as something that is inconsistent with the overall goals, which is why they are proposing it. Phone: 206-433-1800 • Email: Mayor@TukwilaWA.gov • Website: TukwilaWA.gov 79 Planning Commission Minutes 1/23/25 Page 5 Staff proposes removing townhouses from the list of allowed dwelling types in table 18-2, affecting the Tukwila Urban Center (TUC) Regional Center, Transit Oriented Development, Pond and portions of the Work Place Zoning Districts. There was extensive discussion around this subject. Recommendation Staff are requesting that the Planning Commission forward a recommendation for the adoption of the draft code amendments to the CC for their review. Public Hearing Chair Probst opened the public hearing Staff noted that there were no public hearing comments letters received. There was no public testimony Chair Probst closed the public hearing Deliberations/Motion There was no deliberation. Commissioner Halverson moved to amend staff's recommendation, to change townhomes to an accessory use in the Tukwila Urban Center instead of striking them. Commissioner Strander seconded the motion. There was a split decision. Commissioner Halverson moved to forward the split recommendation to the CC for their review. Commissioner Stander seconded the motion. Motion carried. Staff asked for clarification on how the PC would like to foiuiat the suggested amendment to change Townhouses to an accessory use. The PC deferred the decision to staff. PUBLIC HEARING 4. Residential Conversions FILE NUMBER: L25-0002, E25-0003 PURPOSE: Code amendment to comply with changes in state law. LOCATION: Non -Project Action Senior Planner Neil Tabor gave the presentation for staff. He provided background on the proposed amendment. He stated that in the 2023 legislative session, HB 1042 passed and broadened allowances for conversions of non-residential to residential spaces. Per the Municipal Research and Services Center (MRSC) he went over several of the key provisions of the requirements. He said the intent with this code amendment is to provide consistency with the state law. Also, to provide future allowances that the city can still maintain ground floor commercial space that is required in new use development and identified areas. Phone: 206-433-1800 • Email: Mayor@TukwilaWA.gov • Website: TukwilaWA.gov 80 5 Planning Commission Minutes 1/23/25 Page 6 In the interest in preserving the ability to maintain ground floor commercial space staff propose to adopt a major pedestrian corridor along Tukwila International Boulevard (TIB). Staff proposed adopting a new code section within the Tukwila Municipal Code (TMC). TMC 18.50.230 for Residential Conversion. Staff addressed clarifying questions from the PC. Recommendation Staff are requesting that the Planning Commission forward a recommendation for the adoption of the draft code amendments to the CC for their review. Public Hearing Chair Probst opened the public hearing. Staff noted that there were no public hearing comments letters received. There was no public testimony. Chair Probst closed the public hearing. Deliberations/Motion There was no deliberation. Commissioner McLeland Wieser moved to adopt staff's recommendations to adopt the draft code amendments and forward them to the PC for their review. Commissioner Durant seconded the motion. Commissioner Halverson abstained. Motion carried. VIII. Director's Report Coming up: (may meet more than once a month some months) February - Additional Middle Housing (MH) presentation and discussion. Review of mapping and density standards. Intro to design and road standards. March - Public Hearing #1 on MH, focusing on general development regulations and consistency. April - Public Hearing #2 on MH focusing on objective design standards and road standards. Move the full package to the City Council, aiming for adoption by the end of June. Quick Quack Carwash has received design review approval. Now they are working on some other issues. IX. Adjournment Commissioner McLeland Wieser moved to adjourn. Commissioner. Durant seconded the motion. Adjourned at: 7:59 p.m. Submitted by: Wynetta Bivens PC Secretary 6 Phone: 206-433-1800 • Email: Mayor@TukwilaWA.gov • Website: TukwilaWA.gov 81 City of Tukwila Attachment E Thomas McLeod, Mayor HEARING DATE: FILE NUMBERS: STAFF REPORT TO THE PLANNING COMMISSION Prepared January 14, 2025 January 23, 2025 L25-0001 E25-0002 APPPLICANT: City of Tukwila REQUEST: Code amendment proposal to amend regulations for phased binding site improvement plans LOCATION: Policies apply throughout the City of Tukwila NOTIFICATION: Hearing Notice was published in the Seattle Times on January 9, 2025, and posted on the City of Tukwila website on January 9, 2025. SEPA DETERMINATION: An environmental determination will be issued prior to City Council consideration. STAFF: Neil Tabor, AICP, Senior Planner BACKGROUND Binding Site Improvement Plans (BSIPs) are plans used to provide flexibility for sale of property within a larger development. These developments often rely on shared features within the larger site, such as parking, access points, landscaping, utilities, refuse collection areas, etc. As an alternative to the traditional subdivision process, these plans are typically used for commercial or industrial sites, however, they can also be used for residential and mixed use developments, which may desire to sell individual portions of land for building sites, while retaining shared common areas. BSIPs can also provide flexibility when combined with creating condominium ownership or phased development. FINDINGS Codified in TMC 17.16, BSIPs proposing to develop in phases are required to enter into a development agreement in addition to completing the BSIP. Staff believes this requirement is redundant to the BSIP process and existing requirements. Development agreements add cost to a project by adding several months of process time for review, analysis, legal consultants, contracting, and scheduling of a public hearing before City Council. This equates to months of unnecessary additional carrying costs for developers on what are generally large scale projects, in addition to permit fees. In addition to the 82 Page 2 staff and City Council time exhausted, this process also creates uncertainty for the developer by changing the review from being entirely administrative, based on municipal code standards, to a legislative process before the City Council on a generally, technically complex topic. While there may be instances in which a development agreement may be desired by the developer due to project complexity, desire to vest certain permits, or other factors, this is unlikely to be the case with most proposed phased BSIPs. SUMMARY OF PROPOSED CHANGES The requirement for phased BSIPs to execute a development agreement is located in the Tukwila Municipal Code (TMC) 17.16.030(C) Preliminary Binding Site Improvement Plan (BSIP) approval, Approval Criteria. Staff proposes removing the sole provision requiring the execution of a development agreement. References requiring consistency with approvals and options to apply conditions and limitations for phased BSIPs are already present in other sections of TMC 17.16 and throughout the TMC. Language proposed for removal: Additional Approval Criteria for Phased Development: If the applicant chooses to develop the property in a phased development, the applicant must execute a property subject to the BSIP, including: a. vesting applicable to subsequent permits; b. the manner in which each phase of the development will proceed to constructed prior to the development of each phase; c. expiration of the agreement and all provisions therein. Structure, formatting and other minor headings have also been edited in this section for consistency. REQUESTED ACTION Staff is requesting that the Planning Commission forward a recommendation for adoption of the draft code amendments to the City Council. ATTACHMENTS A. TMC 17.16 Proposed Code Amendments (Redlined) https://tukwilawa.sharepoint.com/sites/departmentofcommunitydevelopment/DCDPlanning/Long Range Planning/2024 Comprehensive Plan/00 - Planning Commission Coordination/2025-01-23 public hearing/L25-0001 Phased BSIPs/PC PH SR L25-0001.docx 83 84 COUNCIL AGENDA SYNOPSIS nitiais Meeting Date Prepared by Mayor's review Council review 3/17/25 BM ITEM INFORMATION ITEM No. 6.A. STAFF SPONSOR: BRANDON MILES ORIGINAL AGENDA DATE: 3/ 17/ 25 AGENDA ITEM TITLE Federal Legislative Agenda CATEGORY ❑ Discussion Mt Date ® Motion Mtg Date 3/17/25 ® Resolution Mtg Date 3/17/25 ❑ Ordinance Mtg Date ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ❑ Other Mtg Date SPONSOR ❑ Council ® Mayor ❑ Admin Svcs ❑ DCD ❑ Finance ❑ Fire ❑ P&R ❑ Police ❑ PW SPONSOR'S SUMMARY The 119th Congress was convened on January 3, 2025. Like with the State of Washington, the City adopts a legislative agenda that outlines the City's lobbying priorities. Items can always be added as they come up, with the agenda being used to provide an overview of the City's top initiatives. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ Planning & Community Dev. ❑ LTAC DATE: N/A ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. COMMITTEE CHAIR: N/A RECOMMENDATIONS: SPONSOR/ADMIN. COMMITTEE COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED $N/A AMOUNT BUDGETED $N/A APPROPRIATION REQUIRED $N/A Fund Source: N/A Comments: N/A MTG. DATE RECORD OF COUNCIL ACTION 3/17/25 MTG. DATE ATTACHMENTS 3/17/25 Staff Informational Memoradum, dated March 11, 2025 Draft Resolution with Federal Agenda 85 City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM TO: Tukwila City Council FROM: Brandon Miles, Mayor's Office CC: Thomas McLeod DATE: March 11, 2025 SUBJECT: Federal Legislative Agenda ISSUE Adoption of the City's Federal Legislative Agenda for the 119' Congress. BACKGROUND The 119' Congress was convened on January 3, 2025. Like with the State of Washington, the City adopts a legislative agenda that outlines the City's lobbying priorities. Items can always be added as they come up, with the agenda being used to provide an overview of the City's top initiatives. DISCUSSION The attached resolution, that outlines the City's priorities, was developed with the City's Federal advocate firm, CFM. Staff and CFM conducted several sessions with City staff to understand the City's current capital needs and to understand what projects would be well positioned to receive federal funding. RECOMMENDATION City Administration recommends the resolution be adopted as presented. ATTACHMENTS • Draft Resolution with Federal Agenda. 86 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, ADOPTING A FEDERAL LEGISLATIVE AGENDA FOR USE DURING THE 119TH UNITED STATES CONfaRESS. WHEREAS, the 119th United States Congress conveJanuary 3, 2025, and the City Council agrees to pursue certain legislative issues; an WHEREAS, a federal legislative agenda ou -s th- •riority ies that elected officials may discuss when speaking to members of Con. s . dministration officials; and WHEREAS, the City Council recog this a• •a is not all encompassing, in that certain additional items may arise during th �. . r- that require support or opposition; NOW, THEREFORE, THE CI ` UN • F THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FO The Tukwila City Council h a framework for advo Legislative Agenda i tifie• . orities for the 119th Congress 2025 that provide of the community. The City of Tukwila 2025 Federal d by reference as Attachment A. PASSED BY THCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof day of , 2025. ATTEST/AUTHENTICATED: Andy Youn-Barnett, CMC, City Clerk Tosh Sharp, Council President APPROVED AS TO FORM BY: Filed with the City Clerk: Passed by the City Council: Resolution Number: Office of the City Attorney Attachment A: City of Tukwila 2025 Federal Legislative Agenda 87 CITY OF TUKWILA 2025 Federal Agenda FY26 Appropriations Requests EXHIBIT A Tukwila Community Center HVAC Replacement $2,500,000 Located in Tukwila's Allentown neighborhood, the Tukwila Community Center (TCC) provides essential recreation, educational programming, and emergency shelter to a community where many residents are low-income and from disadvantaged backgrounds. The current HVAC system, installed in 1997, has exceeded its useful life, is unreliable, and no longer meets the needs of the facility or the community it serves. Replacing the system will allow the TCC to operate as a designated resilience hub, offering safe, climate - controlled shelter during extreme heat and cold events that are becoming more frequent and severe. The new system will improve air quality, lower operational costs, reduce carbon emissions by approximately 107.5 metric tons annually, and save an estimated 109,072 kilowatt-hours of electricity each year. Strander Boulevard Extension Phase III $2,000,000 Tukwila is requesting funding to advance engineering and design for Phase III of the Strander Boulevard Extension, which builds on significant investments already made to complete a new east -west corridor connecting the Cities of Tukwila and Renton. Tukwila's existing east - west corridors are heavily congested and do not facilitate the efficient movement of people and goods. The project will create a new east -west connector by constructing an underpass beneath Union Pacific Rail Tracks adjacent to the Tukwila Train Station, integrating seamlessly with infrastructure established in prior phases. This new corridor will leverage previous public investments and create a safer, more efficient and resilient transportation network that enhances regional freight mobility in the Green River Valley —home to the second-largest warehousing district on the West Coast. Further, the area most impacted by the completion of Phase III is poised for additional economic growth that will only continue to exacerbate the need for more efficient regional connections. City of Tukwila Police Technology Upgrades $1,000,000 Tukwila is seekingto upgrade its public safetytechnology infrastructure to help bring modern crime -fighting tools to its police department. Technology enhancement will include replacement of an outdated community camera system, acquisition of UAS and the associated equipment to support it. Tukwila's Police Department faces unique challenges due to the city's small residential population coupled with a high volume of visitors, concentrated retail and commercial hubs, and persistent crime levels well above the national average. Modernizing the City's camera system, enhancing real-time data collection, and investing in advanced surveillance and investigative technology will greatly improve the department's ability to prevent, respond to, and solve crimes. Page 1 of 3 88 CITY OF TUKWILA Federal Grant Priorities FEMA Shelter and Services Competitive Grant Tukwila is a gateway city for refugees and immigrants, welcoming families from across the globe impacted by conflict and crisis. This influx has placed increasing strain on the city's housing, healthcare, and social services, challenges that persist today. Tukwila is benefiting from FEMA's Shelter and Services Program (SSP), which provides critical federal funding to support temporary shelter, food, healthcare, and other essential services for newly arrived refugees and migrants. Continued federal investment through programs like SSP is vital to help Tukwila meet the needs of its refugee population and ensure the city can continue to serve as a safe and welcoming community for those seeking a fresh start. Allentown Truck Reroute Project The City of Tukwila is seeking federal investments to support completion of the Allentown Truck Reroute Project, which will bring significant improvements to the City of Tukwila's Allentown neighborhood. Completion of the project will establish an alternative corridor into Allentown, one of the City's most disadvantaged neighborhoods, which will allow for the rerouting of heavy truck traffic from BNSF's South Seattle Intermodal Facility. By rerouting freight traffic to this new corridor trucks will no longer move through Allentown's residential areas, producing a significant improvement to the area's safety and livability without compromising operations of an intermodal freight connection. The City anticipates completing an Environmental Impact Statement for the project this year. Policy Priorities Advanced Refunding The City strongly supports the bipartisan legislation H.R. 1255, the Investing in Our Communities Act. This legislation aims to reinstate tax-exempt advance refunding for municipal bonds, a critical financing tool that was eliminated in the 2017 Tax Cuts and Jobs Act. Restoring advance refunding will allow state and local governments, including publicly owned water utilities, to refinance existing bonds at lower interest rates, thereby saving money. These savings can be redirected towards essential projects such as water treatment and infrastructure upgrades, which are vital for maintaining and improving public health and safety. Passing this legislation will stimulate economic development, create jobs, and save taxpayer dollars. By freeing up funds for capital improvements, the Investing in Our Communities Act will enable local governments to undertake projects that enhance the quality of life for residents and promote sustainable growth. State and Local Tax (SALT) Deduction Restoring or increasing the SALT deduction cap would significantly benefit Tukwila residents by reducing their federal tax burden. This policy change would be particularly advantageous Page 2 of 3 89 CITY OF TUKWILA for homeowners and those paying higher state and local taxes, allowing them to deduct a larger portion of these taxes from their federal taxable income. This could lead to increased disposable income, stimulating local economic activity. Extension of Infrastructure Package Funding Extending the Infrastructure Investment and Jobs Act (MA) funding beyond 2026 would provide Tukwila with continued access to federal grants and programs such as RAISE/BUILD, Safe Streets, Transformational Habitat Restoration and Reconnecting Communities. Protect federal funding identified in the Bipartisan Infrastructure Law (BIL) and the Inflation Reduction Act (IRA) for cities of all sizes. These programs support a wide range of infrastructure improvements, including transportation, public safety, and community connectivity. Sustained funding would allow Tukwila to plan and execute long-term projects, enhancing the city's infrastructure, safety, and overall quality of life for its residents. Contacts: Brandon Miles, City of Tukwila Brandon.miles(@tukwilawa.gov 206.731.9071 David Hodges, CFM Advocates davidh@cfmpnw.com 360.521.1476 90 Page 3 of 3 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 3/17/25 LH ITEM INFORMATION ITEM No. 6.B. STAFF SPONSOR: LAUREL HUMPHREY ORIGINAL AGENDA DATE: 3/17/25 AGENDA ITEM TITLE South County Area Transportation Board (SCATBd) Interlocal Agreement Renewal CATEGORY ® Discussion Mtg Date 3/17/25 Z Motion Mtg Date3/ 17/25 ❑ Resolution Mtg Date ❑ Ordinance Mtg Date ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ❑ Other Mtg Date SPONSOR ® Council ® Mayor ❑ Admin Svcs ❑ DCD ❑ Finance ❑ Fire ❑ P&R ❑ Police ❑ PTV SPONSOR'S SUMMARY SCATBd is a multi -jurisdictional transportation planning partnership and Councilmember Martinez serves as Vice -Chair. The current Interlocal Agreement expires at the end of this year and participating agencies are asked to approve an updated agreement by March 18 when SCATBd members will take a vote. The City Attorney has approved the updated ILA. REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ Planning & Community Dev. ❑ LTAC DATE: ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. COMMITTEE CHAIR: RECOMMENDATIONS: SPONSOR/ADMIN. COMMIITLE n/a COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED $100 AMOUNT BUDGETED $ APPROPRIATION REQUIRED $ Fund Source: GENERAL FUND Comments: MTG. DATE RECORD OF COUNCIL ACTION 3/17/25 MTG. DATE ATTACHMENTS 3/17/25 Informational Memo dated 2/28/25 Draft agreement 91 City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM T0: Committee of the Whole FROM: Laurel Humphrey, Legislative Analyst DATE: February 28, 2025 SUBJECT: South County Area Transportation Board Agreement ISSUE The South County Area Transportation Board (SCATBd) is expected to vote on an updated Interlocal Agreement and member jurisdictions have been requested to complete approvals by then. SUMMARY The mission of the South County Area Transportation Board is to serve as a South King County forum for information sharing, consensus building and coordinating in order to resolve transportation issues and promote transportation programs that benefit the South King County area. Tukwila has been a member of SCATBd since the 1990s, and Councilmember Martinez currently serves as Tukwila's voting representative, also serving as 2025 Vice -Chair. Membership currently costs $100.00 per year. The changes in the updated agreement are summarized as follows: - Removing Renton from SCATBd (Renton has decided not to split their voting power and be a fulltime member of Eastside Transportation Partnership). - Adding letters of support for transportation projects to the Boards' abilities - Allowing for the option of co-chairs - Changing "shall" collect due to "may" collect dues RECOMMENDATION The Council is asked to approve the Agreement at the March 17, 2025 Regular Meeting in order to meet the deadline. ATTACHMENTS 1. Draft South County Area Transportation Board Agreement 92 South County Area Transportation Board Agreement Parties to Agreement City of Algona City of Auburn City of Black Diamond City of Burien City of Covington City of Des Moines City of Enumclaw City of Federal Way City of Kent City of Maple Valley City of Milton City of Normandy Park City of Pacific City of SeaTac City of Tukwila Muckleshoot Indian Tribe King County Transmitted to parties for approval and signature on THIS AGREEMENT is made and entered into by and among the CITY OF ALGONA, hereafter called "Algona"; the CITY OF AUBURN, hereafter called "Auburn"; the CITY OF BLACK DIAMOND, hereafter called "Black Diamond"; the CITY OF BURIEN, hereafter called `Burien"; the CITY OF COVINGTON, hereafter called "Covington"; the CITY OF DES MOINES, hereafter called "Des Moines"; the CITY OF ENUMCLAW, hereafter called "Enumclaw"; the CITY OF FEDERAL WAY, hereafter called "Federal Way"; the CITY OF KENT, hereafter called "Kent"; the CITY OF MAPLE VALLEY, hereafter called "Maple Valley"; the CITY OF MILTON, hereafter called "Milton"; the CITY OF NORMANDY PARK, hereafter called `Normandy Park"; the CITY OF PACIFIC, hereafter called "Pacific"; ; the CITY OF SEATAC, hereafter called "SeaTac"; the CITY OF TUKWILA, hereafter called "Tukwila"; the MUCKLESHOOT INDIAN TRIBE; and KING COUNTY, a legal subdivision of the State of Washington, hereafter called "King County" as members of the South County Area Transportation Board. WHEREAS, the parties to this agreement recognize that multi jurisdictional transportation planning and coordinated transportation plans benefit their citizens; and WHEREAS, the South County Area Transportation Board has served as the central forum for information sharing, consensus building, and coordination to develop recommendations for transportation policies, projects and programs for the south King County area; NOW THEREFORE, in consideration of the mutual covenants contained herein, the parties hereto agree as follows: 1.0 Purpose of this Agreement 93 The purpose of this Agreement is to recognize the South County Area Transportation Board as the transportation board for the south King County area to share information, build consensus, and provide advice on plans, programs, policies and priorities for countywide, regional, state and federal transportation decisions. 2.0 Members and Voting Members shall have full voting rights, limited voting rights or shall be non -voting members, as follows: 2.1 Members with Full Voting Rights: Only jurisdictions which are signatories to this agreement shall have full voting rights on all of the following issues before the South County Area Transportation Board, unless otherwise noted, including: 1. Administrative issues, such as additional members and use of dues. 2. Identification of projects for the regional competition, if prescribed by the process approved by the King County caucus of the Transportation Policy Board. 3. Recommendations to Sound Transit on policies and capital and service plans and implementation. 4. Recommendations to King County on Metro Transit planning, development and implementation of products and services. 5. Recommendations to WSDOT on policies, programs and projects. 6. Recommendations to the PSRC on plans, policies, programs and projects such as Transportation 2040 updates and regional funding policies, strategies or programs. 7. Recommendations to the State Legislature and committees and commissions established by the Legislature on transportation policy, budget and priorities and legislative proposals and studies. 8. Recommendations to the federal delegation on federal legislation including reauthorization and funding priorities and other transportation -related programs. 9. Letters of support for transportation projects. 2.2 Members with Limited Voting Rights: The South County Area Transportation Board may add members with limited voting rights on the issues such as those listed below by unanimous vote of the parties to this agreement in attendance at a regular meeting. 1. Recommendations to WSDOT on policies, programs and projects. 2. Recommendations to the PSRC on plans, policies, programs and projects such as Transportation 2040 updates and regional funding policies, strategies or programs. 3. Recommendations to the State Legislature and committees and commissions established by the Legislature on transportation policy, budget and priorities and legislative proposals and studies. 4. Recommendations to the federal delegation on federal legislation including reauthorization and funding priorities and other transportation -related programs. 2.2(a) Such members and voting rights, if any, shall be listed in operating procedures to be adopted by the South County Area Transportation Board. 2.3 Non -Voting Members: The South County Area Transportation Board may add non -voting members by unanimous vote of the parties to this agreement in attendance at a regular meeting. The South County Area Transportation Board may remove non -voting members by a unanimous vote of the parties to the agreement at a regular meeting. 2.3(a) Such members shall be included in operating procedures to be adopted by the South County Area Transportation Board. 2 94 3.0 Representation and Conduct 3.1 Representation of city and county members shall be as follows: Full Voting Members Number of Representatives./Votes City of Algona 1 City of Auburn 1 City of Black Diamond 1 City of Burien 1 City of Covington 1 City of Des Moines 1 City of Enumclaw 1 City of Federal Way 1 City of Kent 1 City of Maple Valley 1 City of Milton 1 City of Normandy Park 1 City of Pacific 1 City of SeaTac 1 City of Tukwila 1 Muckleshoot Indian Tribe 1 King County 3 3.2 Elected officials shall be appointed to the South County Area Transportation Board by their cities and counties for a one-year term. King County representation shall be a maximum of two Councilmembers and the King County Executive. 3.3 Each city or county participating member may appoint an alternate for a one-year term. Designated alternates may vote in place of designated voting representatives in the absence of the designated representative. 4.0 Operating Procedures 4.1 The South County Area Transportation Board shall adopt operating procedures to specify limited voting members and non -voting members, if any, dues for limited and non -voting members, if any, and operational issues such as election of officers, formation of subcommittees and rules of order. A chair and vice -chair or co-chairs shall be elected per the operating procedures and shall be responsible for setting meeting agenda, running meetings and any other activities identified in the operating procedures. 5.0 Lead Agency 5.1 King County will be the Lead Agency for receipt and disbursement of funds collected through annual dues, and general administrative and program support for the South County Area Transportation Board. King County assumes wage and benefit costs of its staff performing Lead Agency responsibilities to the extent that King County appropriates such funds. The Lead Agency, in its sole discretion, shall determine the level of staffing available based upon funding. 3 95 5.2 Lead Agency responsibilities may be limited to: maintaining the South County Area Transportation Board membership rosters and distribution lists; arranging for Board meetings, including scheduling, agendas and rooms; collecting, administering and disbursing Board dues; providing Board meeting support to the chair and vice chair or co-chairs; attending Board meetings; and preparing Board meeting summaries. 6.0 Financing and Cost Sharing Guidelines 6.1 Annual Review of Financing: The South County Area Transportation Board shall determine by June 30 of each year whether annual dues of $100.00 per voting representatives will be required of the South County Area Transportation Board member jurisdictions for the following year. Additionally, King County will provide the South County Area Transportation Board a status update on funds collected and funds remaining by June 30 of each year. 6.2 Yearly Dues: The Lead Agency may bill annually at the end of each year, and dues are to be paid within ninety days after receipt of the invoice. Members not in good standing shall lose voting rights until the required dues are paid. Additional dues above $100.00, and any dues required by limited or non -voting members, will be determined by the South County Area Transportation Board as prescribed in the operating procedures. Revenue from dues shall be used for refreshments, room rentals, speaker fees, special events, public education, or other expenses authorized by the South County Area Transportation Board. The designated Lead Agency shall not be required to pay yearly dues. 6.3 Additional financial contributions: If additional financial contributions beyond an increase in dues are determined to be necessary, costs shall be shared among all voting members, with an option for King County to recuse itself from further financial obligations. Recused members may not vote on determining the additional financial contribution or uses for the additional funds. 6.4 Modification to Agreement Required: If additional funds are determined to be necessary, a modification to this agreement specifying cost -sharing, purpose, scope of work, administration, collection and disbursement of funds and other details is required in order to obligate a member jurisdiction to funding participation. 7.0 Withdrawal of a Party from this Agreement Each party, for its convenience and without cause or for any reason whatsoever, may withdraw from participation in this Agreement by providing written notice, sent certified mail, return receipt required, to the chair of the South County Area Transportation Board at least thirty (30) days in advance of the effective date of the withdrawal. A withdrawing party shall not be entitled to a refund of any payments to the South County Area Transportation Board and shall pay any dues required to be paid under this Agreement for costs which had been obligated prior to the effective date of the withdrawal. All obligations other than dues cease upon withdrawal. Each party's funding to perform its obligations under the Agreement, beyond the current appropriation year, is conditional upon appropriation by the party's governing body of sufficient funds. Should such an appropriation not be approved for a future year, a party may exercise its right to withdraw from the Agreement. 8.0 Duration 96 4 This Agreement shall take effect upon being duly adopted by the governing bodies of all parties and executed by the authorized representatives of all parties. This Agreement shall remain in effect until December 31, 2027, provided that unless terminated earlier in accordance with Section 9.0, this Agreement shall be automatically extended upon the same terms or conditions for another term commencing January 1, 2028, and ending no later than December 31, 2029. 9.0 Termination All parties to this Agreement must agree to terminate this Agreement in order for such termination to be effective. If all parties desire to terminate this Agreement, they shall execute a Statement of Termination. Upon termination, no party shall be required to make any additional contributions. Any remaining funds shall be refunded to the parties to this Agreement according to Section 11.0. 10.0 Real and Personal Property The acquisition of real property is not anticipated under this Agreement. Any personal property acquired pursuant to this Agreement shall be held by the Lead Agency. In the event this Agreement expires or is terminated in accordance with Section 8.0 or 9.0, any personal property other than cash shall remain with the Lead Agency. 11.0 Return of Funds At such time as this Agreement expires without being extended or revised, or is terminated in accordance with Section 9.0, any unexpended and uncommitted funds shall be distributed proportionately to those parties to this Agreement at the time of termination based on each party's percentage share of the total balance at the time of termination. 12.0 Filing This Agreement shall be filed with the King County Department of Records and Elections. 13.0 Legal Relations 13.1 The parties shall comply with all applicable state and federal laws and regulations. 13.2 This Agreement is solely for the benefit of the parties hereto and gives no right to any other party. No joint venture or partnership is formed as a result of this Agreement. No employees or agents of one party or any of its contractors or subcontractors shall be deemed, or represent themselves to be, employees of any other party. 13.3 Each party shall defend, indemnify and hold harmless the other party and all of its officials, employees, principals and agents from all claims, demands, suits, actions, and liability of any kind whatsoever which arise out of, are connected with, or are incident to any negligent acts of the first party, its contractor, and/or employees, agents, and representatives in performing the first party's obligations under this Agreement. The parties agree that their obligations under this paragraph extend to claims made against one party by the other party's own employees. For this purpose, the parties, by mutual negotiation, hereby waive any immunity that, as respects the other party only, would otherwise be available against such claims under the industrial insurance provisions of RCW Title 51. In the event 5 97 either party incurs attorney's fees, costs or other legal expenses to enforce the provisions of this section, against the other party, all such fees, costs and expenses shall be recoverable by the prevailing party. 13.4 The provisions of this Section shall survive and remain applicable to each of the parties notwithstanding any termination or expiration of this Agreement and notwithstanding a party's withdrawal from this Agreement. 14.0 Entirety and Modifications 14.1 This Agreement merges and supersedes all prior negotiations, representations and agreements between the parties relating to the subject matter hereof and constitutes the entire agreement between the parties. 14.2 This Agreement may be modified or extended only by written instrument signed by all the parties hereto. 15.0 Counterparts The signature pages of this Agreement may be executed in any number of counterparts, each of which shall be an original. For purposes of this Agreement, a duly authorized electronic signature constitutes an original signature. IN WITNESS WHEREOF, the Parties have caused this Agreement to be signed and delivered by its duly authorized officer or representative as of the date set forth below its signature. City of Algona City of Auburn City of Black Diamond By: By: By: Date: Date: Date: City of Burien City of Covington City of Des Moines By: By: By: Date: Date: Date: City of Federal Way City of Kent City of Maple Valley By: By: By: Date: Date: Date: City of Normandy Park City of Pacific By: By: Date: Date: City of SeaTac City of Tukwila Muckleshoot Indian Tribe By: By: By: Date: Date: Date: King County City of Enumclaw City of Milton By: By: By: Date: Date: Date: 98 6 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 3/17/25 SH ITEM INFORMATION ITEM No. 6.C. STAFF SPONSOR: STACY HANSEN ORIGINAL AGENDA DATE: 03/ 17/ 25 AGENDA ITEM TITLE Human Servivces 2025-26 contracts over $60,000 St. Stephen's Housing Association Harnett Manor property lease CATEGORY ® Discussion Mtg Date 3-17-25 ® Motion Mtg Date 3-17-25 ❑ Resolution Mtg Date ❑ Ordinance Mtg Date ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ❑ Other Mtg Date SPONSOR ❑ Council ® Mayor ❑ Admit Svcs ❑ DCD ❑ Finance ❑ Fire ❑ Pcr-R ❑ Police ❑ PJF SPONSOR'S SUMMARY Staff is asking Council to authorize the Mayor's signature on four Human Services contracts that total over $60,000 each. These contracts were approved for funding as part of the Council adopted 2025-26 budget. Staff is also asking Council to authorize the Mayor's signature on a property lease for Hartnett Manor in partnership with St. Stephen's Housing Association REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ Planning & Community Dev. ❑ LTAC DATE: ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. COMMITTEE CHAIR: RECOMMENDATIONS: SPONSOR/ADMIN. Mayor's office/Human Servics Program COMMII'1EE Council President requested this item be presented to COW on 3/10/25 COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED $297,000 AMOUNT BUDGETED $297,000 APPROPRIATION REQUIRED $ Fund Source: GENERAL FUND Comments: MTG. DATE RECORD OF COUNCIL ACTION 3/17/25 MTG. DATE ATTACHMENTS 3/17/25 Info memo dated 2/28/25 Four Human Services contracts over $60,000 *Akin -school based mental health *Multi Service Center-rent/utility assistance program *Refugee Women's Alliance -basic needs/system navigation *Tukwila Pantry - food bank Property Lease signature for St. Stephen's Housing Association for Hartnett Manor 99 City of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM TO: Community Services and Safety FROM: Stacy Hansen, Human Services Program Coordinator CC: Thomas McLeod DATE: February 27, 2025 SUBJECT: Human Services Contracts over $60,000 for the 2025-26 funding cycle & St. Stephen Housing property lease ISSUE Human Services contracts with community -based organizations to support the residents' human services needs. Four contracts are above the Mayor's signature authority and require Council authorization. Authorization is also requested on a property lease with non-profit St. Stephen Housing Association regarding Hartnett Manor transitional housing located at 14688 Macadam Road South, Tukwila, WA. BACKGROUND The Human Services non-profit program contracts are part of the larger 2025-2026 Mayor's department budget. As in the past, each contract is for a two-year period. Information on the contracts above the threshold including agency, program and budget are listed below: Contract/Program Two-year contract total Akin -School based mental health services $70,000 ($35,000) Multi -Service Center-rent/utility assistance program $84,000 ($42,000) Refugee Women's Alliance -Basic needs/system navigation $63,000 ($31,500) Tukwila Pantry -food bank $80,000 ($30,000) 2 — year total for all contracts combined $297,000 ($148,500) In December 2024, the Way Back Inn merged with the non-profit St. Stephen Housing Association (SSHA). The Hartnett Manor property lease needs to reflect that St. Stephen Housing Association is the new City partner who will be managing Hartnett Manor as transitional housing, assisting unsheltered asylee seekers who are currently in Tukwila. FINANCIAL IMPACT Funding for the four non-profit contracts was approved as part of the Mayor's department budget for the 2025-2026 biennial budget. If repairs related to Hartnett Manor exceed $5,000, grant funding could be utilized to make necessary repairs to keep the home in good condition which will maintain critical bed nights for unsheltered asylee families. RECOMNMENDATION The Committee is being asked to forward the contract authorizations to the consent agenda on March 17, 2025, regular meeting. 100 INFORMATIONAL MEMO Page 2 ATTACHMENTS Proposed — Children's Home Society — Akin contract Proposed — Multi Service Center rent/utility assistance contract Proposed — Refugee Women's Alliance — basic needs, system navigation Proposed — Tukwila Pantry — food bank Property lease agreement for Hartnett Manor between City of Tukwila and St. Stephen Housing Association. https://tukwilawa.sharepoint.com/sites/mayorsoffice/cc/Council Agenda Items/Human Services/2 Info Memo HS Contracts over $60K - updated.docx 101 City of Tukwila 6200 Southcenter Boulevard, Tukwila WA98188 CONTRACT FOR SERVICES Contract Number: This Agreement is entered into by and between the City of Tukwila, Washington, a non -charter optional municipal code city hereinafter referred to as "the City," and, Children's Home Society, dba Akin hereinafter referred to as "the Contractor," whose principal office is located at 12360 Lake City Way NE, Suite 100, Seattle, WA 98125. WHEREAS, the City has determined the need to have certain services performed for its citizens but does not have the manpower or expertise to perform such services; and WHEREAS, the City desires to have the Contractor perform such services pursuant to certain terms and conditions; now, therefore, IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties hereto agree as follows: 1. Scope and Schedule of Services to be Performed by Contractor. The Contractor shall perform those services described on Exhibit A attached hereto and incorporated herein by this reference as if fully set forth. In performing such services, the Contractor shall at all times comply with all Federal, State, and local statutes, rules and ordinances applicable to the performance of such services and the handling of any funds used in connection therewith. The Contractor shall request and obtain prior written approval from the City if the scope or schedule is to be modified in any way. 2. Compensation and Method of Payment. The City shall pay the Contractor for services rendered according to the rate and method set forth on Exhibit A attached hereto and incorporated herein by this reference. The total amount to be paid shall not exceed $35,000 in 2025 and $35,000 in 2026. 3. Contractor Budget. The Contractor shall apply the funds received under this Agreement within the maximum limits set forth in this Agreement. The Contractor shall request prior approval from the City whenever the Contractor desires to amend its budget in any way. 4. Duration of Agreement. This Agreement shall be in full force and effect for a period commencing January 1 , 2025, and ending December 31, 2026, unless sooner terminated under the provisions hereinafter specified. 5. Independent Contractor. Contractor and City agree that Contractor is an independent contractor with respect to the services provided pursuant to this Agreement. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the parties hereto. Neither Contractor nor any employee of Contractor shall be entitled to any benefits accorded City employees by virtue of the services provided under this Agreement. The City shall not be responsible for withholding or otherwise deducting federal income tax or social security or contributing to the State Industrial Insurance Program, or otherwise assuming the duties of an employer with respect to the Contractor, or any employee of the Contractor. 6. Indemnification. The Contractor shall defend, indemnify and hold the Public Entity, its officers, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or suits including attorney fees, arising out of or in connection with the performance of this Agreement, except for injuries and damages caused by the sole negligence of the Public Entity. CA Revised May 2020 Page 1 of 4 102 Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Contractor and the Public Entity, its officers, officials, employees, and volunteers, the Contractor's liability hereunder shall be only to the extent of the Contractor's negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Contractor's waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. 7. Insurance. The Contractor shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Contractor, their agents, representatives, employees or subcontractors. Contractor's maintenance of insurance, its scope of coverage and limits as required herein shall not be construed to limit the liability of the Contractor to the coverage provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in equity. A. Minimum Scope of Insurance. Contractor shall obtain insurance of the types and with the limits described below: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $1,000,000 per accident. Automobile liability insurance shall cover all owned, non -owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 2. Commercial General Liability insurance with limits no less than $2,000,000 each occurrence, $2,000,000 general aggregate and $2,000,000 products -completed operations aggregate limit. Commercial General Liability insurance shall be as least at broad as ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors, products -completed operations, stop gap liability, personal injury and advertising injury, and liability assumed under an insured contract. The Commercial General Liability insurance shall be endorsed to provide a per project general aggregate limit using ISO form CG 25 03 05 09 or an equivalent endorsement. There shall be no exclusion for liability arising from explosion, collapse or underground property damage. The City shall be named as an additional insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the City using ISO Additional Insured endorsement CG 20 10 10 01 and Additional Insured -Completed Operations endorsement CG 20 37 10 01 or substitute endorsements providing at least as broad coverage. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. B. Public Entity Full Availability of Contractor Limits. If the Contractor maintains higher insurance limits than the minimums shown above, the Public Entity shall be insured for the full available limits of Commercial General and Excess or Umbrella liability maintained by the Contractor, irrespective of whether such limits maintained by the Contractor are greater than those required by this Contract or whether any certificate of insurance furnished to the Public Entity evidences limits of liability lower than those maintained by the Contractor. C. Other Insurance Provision. The Contractor's Automobile Liability and Commercial General Liability insurance policies are to contain, or be endorsed to contain that they shall be primary insurance with respect to the City. Any insurance, self-insurance, or insurance pool coverage maintained by the City shall be excess of the Contractor's insurance and shall not contribute with it. D. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best rating of not less than A: VI I. CA Revised May 2020 Page 2 of 4 103 E. Verification of Coverage. Contractor shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Contractor before commencement of the work. Upon request by the City, the Contractor shall furnish certified copies of all required insurance policies, including endorsements, required in this Agreement and evidence of all subcontractors' coverage. F. Subcontractors. The Contractor shall cause each and every Subcontractor to provide insurance coverage that complies with all applicable requirements of the Contractor -provided insurance as set forth herein, except the Contractor shall have sole responsibility for determining the limits of coverage required to be obtained by Subcontractors. The Contractor shall ensure that the Public Entity is an additional insured on each and every Subcontractor's Commercial General liability insurance policy using an endorsement as least as broad as ISO CG 20 10 10 01 for ongoing operations and CG 20 37 10 01 for completed operations. G. Notice of Cancellation. The Contractor shall provide the City and all Additional Insureds for this work with written notice of any policy cancellation, within two business days of their receipt of such notice. H. Failure to Maintain Insurance. Failure on the part of the Contractor to maintain the insurance as required shall constitute a material breach of contract, upon which the City may, after giving five business days notice to the Contractor to correct the breach, immediately terminate the contract or, at its discretion, procure or renew such insurance and pay any and all premiums in connection therewith, with any sums so expended to be repaid to the City on demand, or at the sole discretion of the City, offset against funds due the Contractor from the City. 8. Record Keepina and Reporting. A. The Contractor shall maintain accounts and records, including personnel, property, financial and programmatic records which sufficiently and properly reflect all direct and indirect costs of any nature expended and services performed in the performance of this Agreement and other such records as may be deemed necessary by the City to ensure the performance of this Agreement. B. These records shall be maintained for a period of seven (7) years after termination hereof unless permission to destroy them is granted by the office of the archivist in accordance with RCW Chapter 40.14 and by the City. 9. Audits and Inspections. The records and documents with respect to all matters covered by this Agreement shall be subject at all times to inspection, review or audit by law during the performance of this Agreement. 10. Termination. This Agreement may at any time be terminated by the City giving to the Contractor thirty (30) days written notice of the City's intention to terminate the same. Failure to provide products on schedule may result in contract termination. If the Contractor's insurance coverage is canceled for any reason, the City shall have the right to terminate this Agreement immediately. 11. Discrimination Prohibited. The Consultant, with regard to the work performed by it under this Agreement, will not discriminate on the grounds of race, religion, creed, color, national origin, age, veteran status, sex, sexual orientation, gender identity, marital status, political affiliation, the presence of any disability, or any other protected class status under state or federal law, in the selection and retention of employees or procurement of materials or supplies. 12. Assignment and Subcontract. The Contractor shall not assign or subcontract any portion of the services contemplated by this Agreement without the written consent of the City. 13. Entire Agreement: Modification. This Agreement, together with attachments or addenda, represents the entire and integrated Agreement between the City and the Contractor and supersedes all prior negotiations, representations, or agreements written or oral. No amendment or modification of this Agreement shall be of any force or effect unless it is in writing and signed by the parties. CA Revised May 2020 Page 3 of 4 104 14. Severability and Survival. If any term, condition or provision of this Agreement is declared void or unenforceable or limited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall remain fully enforceable. The provisions of this Agreement, which by their sense and context are reasonably intended to survive the completion, expiration or cancellation of this Agreement, shall survive termination of this Agreement. 15. Notices. Notices to the City of Tukwila shall be sent to the following address: City Clerk, City of Tukwila 6200 Southcenter Blvd. Tukwila, Washington 98188 Notices to the Contractor shall be sent to the address provided by the Contractor upon the signature line below. 16. Applicable Law: Venue: Attornev's Fees. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. In the event any suit, arbitration, or other proceeding is instituted to enforce any term of this Agreement, the parties specifically understand and agree that venue shall be properly laid in King County, Washington. The prevailing party in any such action shall be entitled to its attorney's fees and costs of suit. DATED this day of , 20 ** City signatures to be obtained by ** Contractor signature to be obtained by City Clerk's Staff ONLY. ** sponsor staff. ** CITY OF TUKWILA Thomas McLeod, Mayor ATTEST/AUTHENTICATED: Andy Youn, City Clerk APPROVED AS TO FORM: Office of the City Attorney CONTRACTOR: By: Printed Name: Title: Address: CA Revised May 2020 Page 4 of 4 105 Exhibit A Scope of Services City of Tukwila 2025-2026 Program Services Agreement Agency: CHS dba Akin 2025 Funding: $35,000.00 Program: Outpatient Mental Health 2026 Funding: $35,000.00 Effective Date: January 1, 2025 thru December 31, 2026 Total: $70,000.00 Definition of Service Unit Provide behavioral health services in Tukwila schools/community locations (telehealth, office, home, etc.) Therapists will work with students and their family members to address a variety of emotional and behavioral issues. Individual and/or group settings. Quarter Service Unit # of Units Quarterly Billable 2025/26 1st Unduplicated Tukwila residents/students 10 Hours of counseling 40 $8750.00 2nd Unduplicated Tukwila residents/students 3 Hours of counseling 75 $8750.00 3rd Unduplicated Tukwila residents/students 2 Hours of counseling 35 $8750.00 4th Unduplicated Tukwila residents/students 3 Hours of counseling 75 $8750.00 ANNUAL GOALS UNDUPLICATED RESIDENTS/STUDENTS Hours of Counseling 18 225 $35,000.00 The City Of Tukwila will use a variety of measures as indicators of satisfactory contract performance. The Agency will be expected to meet at least 90% of the performance goals (outputs) as defined above. If the Agency does not meet the 90% of performance goals, payment for services rendered under the agreement will be reduced by the number of percentage points below the 90% level. At a 90% success rate, the Agency will be reimbursed at 100%. Any exceptions must be negotiated with the City. Exceptions may be made in cases where circumstances beyond the Agency's control impact their ability to meet their service unit goals and the Agency has shown reasonable effort to overcome those circumstances. Exceptions are made at the discretion of the City's Human Services Program Coordinator. The Agency shall make all reasonable efforts to ascertain the eligibility of applicants for Agency services, such eligibility to require residence within the City, and shall provide services under this Agreement only to eligible applicants. 2025 & 2026 Personnel $ 35,000.00 Non -Personnel $ Budget/Annual award total $ 35,000.00 Contract Administration: In addition to quarterly and annual reporting, staff may perform desktop or onsite monitoring to ensure contract compliance. Any onsite monitoring will be scheduled with adequate time to prepare for the visit. CA Revised May 2020 106 Page 5 of 4 Demographic and Outcome Data Report The Agency shall collect and retain demographic data from the persons served through this contract. Data should be tracked in an ongoing manner and submitted annually by January 31 of the following year. Outcome data shall be submitted annually in conjunction with the Demographic report. Data should be collected and demonstrate the program's progress toward Outcomes as specified below. Outcome: OPMH clients will make progress toward at least one goal on their individualized treatment plan by the end of each year. Measurement: 70% of program participants will achieve success in making progress in at least one individual goal. QUARTERLY REPORTS DUE DATES 1st thru 3rd Quarter Reports 1st = April 15 2nd= July 15 3rd = October 15 4th and Final Annual Reimbursement First week in January. Date to be announced. Outcomes and Demographics January 31, 2026 / January 31, 2027 CA Revised May 2020 Page 6 of 4 107 City of Tukwila 6200 Southcenter Boulevard, Tukwila WA98188 CONTRACT FOR SERVICES Contract Number: This Agreement is entered into by and between the City of Tukwila, Washington, a non -charter optional municipal code city hereinafter referred to as "the City," and Multi -Service Center, hereinafter referred to as "the Contractor," whose principal office is located at 1200 S. 336th St., Federal Way, WA 98003. WHEREAS, the City has determined the need to have certain services performed for its citizens but does not have the manpower or expertise to perform such services; and WHEREAS, the City desires to have the Contractor perform such services pursuant to certain terms and conditions; now, therefore, IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties hereto agree as follows: 1. Scope and Schedule of Services to be Performed by Contractor. The Contractor shall perform those services described on Exhibit A attached hereto and incorporated herein by this reference as if fully set forth. In performing such services, the Contractor shall at all times comply with all Federal, State, and local statutes, rules and ordinances applicable to the performance of such services and the handling of any funds used in connection therewith. The Contractor shall request and obtain prior written approval from the City if the scope or schedule is to be modified in any way. 2. Compensation and Method of Payment. The City shall pay the Contractor for services rendered according to the rate and method set forth on Exhibit A attached hereto and incorporated herein by this reference. The total amount to be paid shall not exceed $42,000 in 2025 and $42,000 in 2026. 3. Contractor Budget. The Contractor shall apply the funds received under this Agreement within the maximum limits set forth in this Agreement. The Contractor shall request prior approval from the City whenever the Contractor desires to amend its budget in any way. 4. Duration of Agreement. This Agreement shall be in full force and effect for a period commencing January 1 , 2025, and ending December 31, 2026, unless sooner terminated under the provisions hereinafter specified. 5. Independent Contractor. Contractor and City agree that Contractor is an independent contractor with respect to the services provided pursuant to this Agreement. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the parties hereto. Neither Contractor nor any employee of Contractor shall be entitled to any benefits accorded City employees by virtue of the services provided under this Agreement. The City shall not be responsible for withholding or otherwise deducting federal income tax or social security or contributing to the State Industrial Insurance Program, or otherwise assuming the duties of an employer with respect to the Contractor, or any employee of the Contractor. 6. Indemnification. The Contractor shall defend, indemnify and hold the Public Entity, its officers, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or suits including attorney fees, arising out of or in connection with the performance of this Agreement, except for injuries and damages caused by the sole negligence of the Public Entity. CA Revised May 2020 Page 1 of 6 108 Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Contractor and the Public Entity, its officers, officials, employees, and volunteers, the Contractor's liability hereunder shall be only to the extent of the Contractor's negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Contractor's waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. 7. Insurance. The Contractor shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Contractor, their agents, representatives, employees or subcontractors. Contractor's maintenance of insurance, its scope of coverage and limits as required herein shall not be construed to limit the liability of the Contractor to the coverage provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in equity. A. Minimum Scope of Insurance. Contractor shall obtain insurance of the types and with the limits described below: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $1,000,000 per accident. Automobile liability insurance shall cover all owned, non -owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 2. Commercial General Liability insurance with limits no less than $2,000,000 each occurrence, $2,000,000 general aggregate and $2,000,000 products -completed operations aggregate limit. Commercial General Liability insurance shall be as least at broad as ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors, products -completed operations, stop gap liability, personal injury and advertising injury, and liability assumed under an insured contract. The Commercial General Liability insurance shall be endorsed to provide a per project general aggregate limit using ISO form CG 25 03 05 09 or an equivalent endorsement. There shall be no exclusion for liability arising from explosion, collapse or underground property damage. The City shall be named as an additional insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the City using ISO Additional Insured endorsement CG 20 10 10 01 and Additional Insured -Completed Operations endorsement CG 20 37 10 01 or substitute endorsements providing at least as broad coverage. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. B. Public Entity Full Availability of Contractor Limits. If the Contractor maintains higher insurance limits than the minimums shown above, the Public Entity shall be insured for the full available limits of Commercial General and Excess or Umbrella liability maintained by the Contractor, irrespective of whether such limits maintained by the Contractor are greater than those required by this Contract or whether any certificate of insurance furnished to the Public Entity evidences limits of liability lower than those maintained by the Contractor. C. Other Insurance Provision. The Contractor's Automobile Liability and Commercial General Liability insurance policies are to contain, or be endorsed to contain that they shall be primary insurance with respect to the City. Any insurance, self-insurance, or insurance pool coverage maintained by the City shall be excess of the Contractor's insurance and shall not contribute with it. D. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best rating of not less than A: VI I. CA Revised May 2020 Page 2 of 6 109 E. Verification of Coverage. Contractor shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Contractor before commencement of the work. Upon request by the City, the Contractor shall furnish certified copies of all required insurance policies, including endorsements, required in this Agreement and evidence of all subcontractors' coverage. F. Subcontractors. The Contractor shall cause each and every Subcontractor to provide insurance coverage that complies with all applicable requirements of the Contractor -provided insurance as set forth herein, except the Contractor shall have sole responsibility for determining the limits of coverage required to be obtained by Subcontractors. The Contractor shall ensure that the Public Entity is an additional insured on each and every Subcontractor's Commercial General liability insurance policy using an endorsement as least as broad as ISO CG 20 10 10 01 for ongoing operations and CG 20 37 10 01 for completed operations. G. Notice of Cancellation. The Contractor shall provide the City and all Additional Insureds for this work with written notice of any policy cancellation, within two business days of their receipt of such notice. H. Failure to Maintain Insurance. Failure on the part of the Contractor to maintain the insurance as required shall constitute a material breach of contract, upon which the City may, after giving five business days notice to the Contractor to correct the breach, immediately terminate the contract or, at its discretion, procure or renew such insurance and pay any and all premiums in connection therewith, with any sums so expended to be repaid to the City on demand, or at the sole discretion of the City, offset against funds due the Contractor from the City. 8. Record Keepina and Reporting. A. The Contractor shall maintain accounts and records, including personnel, property, financial and programmatic records which sufficiently and properly reflect all direct and indirect costs of any nature expended and services performed in the performance of this Agreement and other such records as may be deemed necessary by the City to ensure the performance of this Agreement. B. These records shall be maintained for a period of seven (7) years after termination hereof unless permission to destroy them is granted by the office of the archivist in accordance with RCW Chapter 40.14 and by the City. 9. Audits and Inspections. The records and documents with respect to all matters covered by this Agreement shall be subject at all times to inspection, review or audit by law during the performance of this Agreement. 10. Termination. This Agreement may at any time be terminated by the City giving to the Contractor thirty (30) days written notice of the City's intention to terminate the same. Failure to provide products on schedule may result in contract termination. If the Contractor's insurance coverage is canceled for any reason, the City shall have the right to terminate this Agreement immediately. 11. Discrimination Prohibited. The Consultant, with regard to the work performed by it under this Agreement, will not discriminate on the grounds of race, religion, creed, color, national origin, age, veteran status, sex, sexual orientation, gender identity, marital status, political affiliation, the presence of any disability, or any other protected class status under state or federal law, in the selection and retention of employees or procurement of materials or supplies. 12. Assignment and Subcontract. The Contractor shall not assign or subcontract any portion of the services contemplated by this Agreement without the written consent of the City. 13. Entire Agreement: Modification. This Agreement, together with attachments or addenda, represents the entire and integrated Agreement between the City and the Contractor and supersedes all prior negotiations, representations, or agreements written or oral. No amendment or modification of this Agreement shall be of any force or effect unless it is in writing and signed by the parties. CA Revised May 2020 Page 3 of 6 110 14. Severabilitv and Survival. If any term, condition or provision of this Agreement is declared void or unenforceable or limited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall remain fully enforceable. The provisions of this Agreement, which by their sense and context are reasonably intended to survive the completion, expiration or cancellation of this Agreement, shall survive termination of this Agreement. 15. Notices. Notices to the City of Tukwila shall be sent to the following address: City Clerk, City of Tukwila 6200 Southcenter Blvd. Tukwila, Washington 98188 Notices to the Contractor shall be sent to the address provided by the Contractor upon the signature line below. 16. Applicable Law: Venue: Attorney's Fees. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. In the event any suit, arbitration, or other proceeding is instituted to enforce any term of this Agreement, the parties specifically understand and agree that venue shall be properly laid in King County, Washington. The prevailing party in any such action shall be entitled to its attorney's fees and costs of suit. DATED this day of , 20 ** City signatures to be obtained by ** Contractor signature to be obtained by City Clerk's Staff ONLY. ** sponsor staff. ** CITY OF TUKWILA Thomas McLeod, Mayor ATTEST/AUTHENTICATED: Andy Youn-Barnett, City Clerk APPROVED AS TO FORM: Office of the City Attorney CONTRACTOR: By: Printed Name: Title: Address: CA Revised May 2020 Page 4 of 6 111 Exhibit A Scope of Services City of Tukwila 2025-2026 Program Services Agreement Agency: Multi -Service Center 2025 Funding: $42,000.00 Program: EARNS Program 2026 Funding: $42,000.00 Effective Date: January 1, 2025 thru December 31, 2026 Total: $84,000.00 Definition of Service Unit Emergency assistance vouchers which include rent and utility assistance Quarter Service Unit # of Units Quarterly Billable 2025/26 1st Unduplicated Tukwila residents 12 Number of Tukwila vouchers written 6 2nd Unduplicated Tukwila residents 12 Number of Tukwila vouchers written 6 3rd Unduplicated Tukwila residents 13 Number of Tukwila vouchers written 7 4th Unduplicated Tukwila residents 13 Number of Tukwila vouchers written 7 ANNUAL GOALS Unduplicated Tukwila residents Tukwila vouchers 50 26 $42,000.00 The City Of Tukwila will use a variety of measures as indicators of satisfactory contract performance. The Agency will be expected to meet at least 90% of the performance goals (outputs) as defined above. If the Agency does not meet the 90% of performance goals, payment for services rendered under the agreement will be reduced by the number of percentage points below the 90% level. At a 90% success rate, the Agency will be reimbursed at 100%. Any exceptions must be negotiated with the City. Exceptions may be made in cases where circumstances beyond the Agency's control impact their ability to meet their service unit goals and the Agency has shown reasonable effort to overcome those circumstances. Exceptions are made at the discretion of the City's Human Services Program Coordinator. The Agency shall make all reasonable efforts to ascertain the eligibility of applicants for Agency services, such eligibility to require residence within the City, and shall provide services under this Agreement only to eligible applicants. 2025 & 2026 Personnel/Ops/Admin $ 10,161.00 Non -Personnel $ 31,839.00 Budget/Annual award total $ 42,000.00 Contract Administration: In addition to quarterly and annual reporting, staff may perform desktop or onsite monitoring to ensure contract compliance. Any onsite monitoring will be scheduled with adequate time to prepare for the visit. CA Revised May 2020 Page 5 of 6 112 Demographic and Outcome Data Report The Agency shall collect and retain demographic data from the persons served through this contract. Data should be tracked in an ongoing manner and submitted annually by January 31 of the following year. Outcome data shall be submitted annually in conjunction with the Demographic report. Data should be collected and demonstrate the program's progress toward Outcomes as specified below. Outcome: After receiving assistance, participants are able to maintain housing. Percentage of clients who will achieve result: 75% QUARTERLY REPORTS DUE DATES 1st thru 3rd quarter reports 1st = April 15th 2nd = July 15th 3rd = October 15th 4th and final annual reimbursement First week in January. Date to be announced. Outcomes and demographics January 31st, 2026 / January 31st 2027 CA Revised May 2020 Page 6 of 6 113 City of Tukwila 6200 Southcenter Boulevard, Tukwila WA98188 CONTRACT FOR SERVICES Contract Number: This Agreement is entered into by and between the City of Tukwila, Washington, a non -charter optional municipal code city hereinafter referred to as "the City," and Refugee Women's Alliance, hereinafter referred to as "the Contractor, "whose principal office is located at 4008 Martin Luther King Jr. Way S., Seattle, WA 98108 WHEREAS, the City has determined the need to have certain services performed for its citizens but does not have the manpower or expertise to perform such services; and WHEREAS, the City desires to have the Contractor perform such services pursuant to certain terms and conditions; now, therefore, IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties hereto agree as follows: 1. Scope and Schedule of Services to be Performed by Contractor. The Contractor shall perform those services described on Exhibit A attached hereto and incorporated herein by this reference as if fully set forth. In performing such services, the Contractor shall at all times comply with all Federal, State, and local statutes, rules and ordinances applicable to the performance of such services and the handling of any funds used in connection therewith. The Contractor shall request and obtain prior written approval from the City if the scope or schedule is to be modified in any way. 2. Compensation and Method of Payment. The City shall pay the Contractor for services rendered according to the rate and method set forth on Exhibit A attached hereto and incorporated herein by this reference. The total amount to be paid shall not exceed $31,500 in 2025 and $31,500 in 2026. 3. Contractor Budget. The Contractor shall apply the funds received under this Agreement within the maximum limits set forth in this Agreement. The Contractor shall request prior approval from the City whenever the Contractor desires to amend its budget in any way. 4. Duration of Agreement. This Agreement shall be in full force and effect for a period commencing January 1 , 2025, and ending December 31, 2026, unless sooner terminated under the provisions hereinafter specified. 5. Independent Contractor. Contractor and City agree that Contractor is an independent contractor with respect to the services provided pursuant to this Agreement. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the parties hereto. Neither Contractor nor any employee of Contractor shall be entitled to any benefits accorded City employees by virtue of the services provided under this Agreement. The City shall not be responsible for withholding or otherwise deducting federal income tax or social security or contributing to the State Industrial Insurance Program, or otherwise assuming the duties of an employer with respect to the Contractor, or any employee of the Contractor. 6. Indemnification. The Contractor shall defend, indemnify and hold the Public Entity, its officers, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or suits including attorney fees, arising out of or in connection with the performance of this Agreement, except for injuries and damages caused by the sole negligence of the Public Entity. CA Revised May 2020 Page 1 of 6 114 Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Contractor and the Public Entity, its officers, officials, employees, and volunteers, the Contractor's liability hereunder shall be only to the extent of the Contractor's negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Contractor's waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. 7. Insurance. The Contractor shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Contractor, their agents, representatives, employees or subcontractors. Contractor's maintenance of insurance, its scope of coverage and limits as required herein shall not be construed to limit the liability of the Contractor to the coverage provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in equity. A. Minimum Scope of Insurance. Contractor shall obtain insurance of the types and with the limits described below: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $1,000,000 per accident. Automobile liability insurance shall cover all owned, non -owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 2. Commercial General Liability insurance with limits no less than $2,000,000 each occurrence, $2,000,000 general aggregate and $2,000,000 products -completed operations aggregate limit. Commercial General Liability insurance shall be as least at broad as ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors, products -completed operations, stop gap liability, personal injury and advertising injury, and liability assumed under an insured contract. The Commercial General Liability insurance shall be endorsed to provide a per project general aggregate limit using ISO form CG 25 03 05 09 or an equivalent endorsement. There shall be no exclusion for liability arising from explosion, collapse or underground property damage. The City shall be named as an additional insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the City using ISO Additional Insured endorsement CG 20 10 10 01 and Additional Insured -Completed Operations endorsement CG 20 37 10 01 or substitute endorsements providing at least as broad coverage. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. B. Public Entity Full Availability of Contractor Limits. If the Contractor maintains higher insurance limits than the minimums shown above, the Public Entity shall be insured for the full available limits of Commercial General and Excess or Umbrella liability maintained by the Contractor, irrespective of whether such limits maintained by the Contractor are greater than those required by this Contract or whether any certificate of insurance furnished to the Public Entity evidences limits of liability lower than those maintained by the Contractor. C. Other Insurance Provision. The Contractor's Automobile Liability and Commercial General Liability insurance policies are to contain, or be endorsed to contain that they shall be primary insurance with respect to the City. Any insurance, self-insurance, or insurance pool coverage maintained by the City shall be excess of the Contractor's insurance and shall not contribute with it. D. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best rating of not less than A: VI I. CA Revised May 2020 Page 2 of 6 115 E. Verification of Coverage. Contractor shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Contractor before commencement of the work. Upon request by the City, the Contractor shall furnish certified copies of all required insurance policies, including endorsements, required in this Agreement and evidence of all subcontractors' coverage. F. Subcontractors. The Contractor shall cause each and every Subcontractor to provide insurance coverage that complies with all applicable requirements of the Contractor -provided insurance as set forth herein, except the Contractor shall have sole responsibility for determining the limits of coverage required to be obtained by Subcontractors. The Contractor shall ensure that the Public Entity is an additional insured on each and every Subcontractor's Commercial General liability insurance policy using an endorsement as least as broad as ISO CG 20 10 10 01 for ongoing operations and CG 20 37 10 01 for completed operations. G. Notice of Cancellation. The Contractor shall provide the City and all Additional Insureds for this work with written notice of any policy cancellation, within two business days of their receipt of such notice. H. Failure to Maintain Insurance. Failure on the part of the Contractor to maintain the insurance as required shall constitute a material breach of contract, upon which the City may, after giving five business days notice to the Contractor to correct the breach, immediately terminate the contract or, at its discretion, procure or renew such insurance and pay any and all premiums in connection therewith, with any sums so expended to be repaid to the City on demand, or at the sole discretion of the City, offset against funds due the Contractor from the City. 8. Record Keepina and Reporting. A. The Contractor shall maintain accounts and records, including personnel, property, financial and programmatic records which sufficiently and properly reflect all direct and indirect costs of any nature expended and services performed in the performance of this Agreement and other such records as may be deemed necessary by the City to ensure the performance of this Agreement. B. These records shall be maintained for a period of seven (7) years after termination hereof unless permission to destroy them is granted by the office of the archivist in accordance with RCW Chapter 40.14 and by the City. 9. Audits and Inspections. The records and documents with respect to all matters covered by this Agreement shall be subject at all times to inspection, review or audit by law during the performance of this Agreement. 10. Termination. This Agreement may at any time be terminated by the City giving to the Contractor thirty (30) days written notice of the City's intention to terminate the same. Failure to provide products on schedule may result in contract termination. If the Contractor's insurance coverage is canceled for any reason, the City shall have the right to terminate this Agreement immediately. 11. Discrimination Prohibited. The Consultant, with regard to the work performed by it under this Agreement, will not discriminate on the grounds of race, religion, creed, color, national origin, age, veteran status, sex, sexual orientation, gender identity, marital status, political affiliation, the presence of any disability, or any other protected class status under state or federal law, in the selection and retention of employees or procurement of materials or supplies. 12. Assignment and Subcontract. The Contractor shall not assign or subcontract any portion of the services contemplated by this Agreement without the written consent of the City. 13. Entire Agreement: Modification. This Agreement, together with attachments or addenda, represents the entire and integrated Agreement between the City and the Contractor and supersedes all prior negotiations, representations, or agreements written or oral. No amendment or modification of this Agreement shall be of any force or effect unless it is in writing and signed by the parties. CA Revised May 2020 Page 3 of 6 116 14. Severability and Survival. If any term, condition or provision of this Agreement is declared void or unenforceable or limited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall remain fully enforceable. The provisions of this Agreement, which by their sense and context are reasonably intended to survive the completion, expiration or cancellation of this Agreement, shall survive termination of this Agreement. 15. Notices. Notices to the City of Tukwila shall be sent to the following address: City Clerk, City of Tukwila 6200 Southcenter Blvd. Tukwila, Washington 98188 Notices to the Contractor shall be sent to the address provided by the Contractor upon the signature line below. 16. Applicable Law: Venue: Attornev's Fees. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. In the event any suit, arbitration, or other proceeding is instituted to enforce any term of this Agreement, the parties specifically understand and agree that venue shall be properly laid in King County, Washington. The prevailing party in any such action shall be entitled to its attorney's fees and costs of suit. DATED this day of , 20 ** City signatures to be obtained by ** Contractor signature to be obtained by City Clerk's Staff ONLY. ** sponsor staff. ** CITY OF TUKWILA Thomas McLeod, Mayor ATTEST/AUTHENTICATED: Andy Youn-Barnett, City Clerk APPROVED AS TO FORM: Office of the City Attorney CONTRACTOR: By: Printed Name: Title: Address: CA Revised May 2020 Page 4 of 6 117 Exhibit A - DRAFT Scope of Services City of Tukwila 2025-2026 Program Services Agreement Agency: Refugee Women's Alliance 2025 Funding: $31,500.00 Program: Basic Needs Program 2026 Funding: $31,500.00 Effective Date: January 1, 2025 thru December 31, 2026 Total: $63,000.00 Definition of Service Unit ReWA's services unit measures the number of case management hours. Services include advocacy, barrier removal, housing assistance, health, employment and social services TO BE CONFIRMED AT 3-6-25 CONTRACT MEETING Quarter Service Unit # of Units Quarterly Billable 2025/26 1st Unduplicated Tukwila residents served 13 Number of hours of case management 125 $7875.00 2nd Unduplicated Tukwila residents served 12 Number of hours of case management 124 $7875.00 3rd Unduplicated Tukwila residents served 12 Number of hours of case management 124 $7875.00 4th Unduplicated Tukwila residents served 12 Number of hours of case management 124 $7875.00 ANNUAL GOALS Unduplicated Tukwila residents Number of hours of case management 50 497 $31,500.00 The City Of Tukwila will use a variety of measures as indicators of satisfactory contract performance. The Agency will be expected to meet at least 90% of the performance goals (outputs) as defined above. If the Agency does not meet the 90% of performance goals, payment for services rendered under the agreement will be reduced by the number of percentage points below the 90% level. At a 90% success rate, the Agency will be reimbursed at 100%. Any exceptions must be negotiated with the City. Exceptions may be made in cases where circumstances beyond the Agency's control impact their ability to meet their service unit goals and the Agency has shown reasonable effort to overcome those circumstances. Exceptions are made at the discretion of the City's Human Services Program Coordinator. The Agency shall make all reasonable efforts to ascertain the eligibility of applicants for Agency services, such eligibility to require residence within the City, and shall provide services under this Agreement only to eligible applicants. 2025 & 2026 Personnel $ Non -Personnel $ Budget/Annual award total $ 31,500.00 Contract Administration: In addition to quarterly and annual reporting, staff may perform desktop or onsite monitoring to ensure contract compliance. Any onsite monitoring will be scheduled with adequate time to prepare for the visit. CA Revised May 2020 Page 5 of 6 118 Demographic and Outcome Data Report The Agency shall collect and retain demographic data from the persons served through this contract. Data should be tracked in an ongoing manner and submitted annually by January 31 of the following year. Outcome data shall be submitted annually in conjunction with the Demographic report. Data should be collected and demonstrate the program's progress toward Outcomes as specified below. Outcome: Basic needs participants will have increased knowledge of available resources and support in accessing them. Percentage of clients who will achieve this: 85% QUARTERLY REPORTS DUE DATES 1st thru 3rd quarter reports 1st = April 15th 2nd = July 15th 3rd = October 15th 4th and final annual reimbursement First week in January. Date to be announced. Outcomes and demographics January 31st, 2026 / January 31st 2027 CA Revised May 2020 Page 6 of 6 119 City of Tukwila 6200 Southcenter Boulevard, Tukwila WA98188 CONTRACT FOR SERVICES Contract Number: This Agreement is entered into by and between the City of Tukwila, Washington, a non -charter optional municipal code city hereinafter referred to as "the City," and Tukwila Pantry, hereinafter referred to as "the Contractor, "whose principal office is located at 3118 S. 140th St., Tukwila, WA 98168. WHEREAS, the City has determined the need to have certain services performed for its citizens but does not have the manpower or expertise to perform such services; and WHEREAS, the City desires to have the Contractor perform such services pursuant to certain terms and conditions; now, therefore, IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties hereto agree as follows: 1. Scope and Schedule of Services to be Performed by Contractor. The Contractor shall perform those services described on Exhibit A attached hereto and incorporated herein by this reference as if fully set forth. In performing such services, the Contractor shall at all times comply with all Federal, State, and local statutes, rules and ordinances applicable to the performance of such services and the handling of any funds used in connection therewith. The Contractor shall request and obtain prior written approval from the City if the scope or schedule is to be modified in any way. 2. Compensation and Method of Payment. The City shall pay the Contractor for services rendered according to the rate and method set forth on Exhibit A attached hereto and incorporated herein by this reference. The total amount to be paid shall not exceed $40,000 in 2025 and $40,000 in 2026. 3. Contractor Budaet. The Contractor shall apply the funds received under this Agreement within the maximum limits set forth in this Agreement. The Contractor shall request prior approval from the City whenever the Contractor desires to amend its budget in any way. 4. Duration of Aareement. This Agreement shall be in full force and effect for a period commencing January 1, 2025, and ending December 31, 2026, unless sooner terminated under the provisions hereinafter specified. 5. Independent Contractor. Contractor and City agree that Contractor is an independent contractor with respect to the services provided pursuant to this Agreement. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the parties hereto. Neither Contractor nor any employee of Contractor shall be entitled to any benefits accorded City employees by virtue of the services provided under this Agreement. The City shall not be responsible for withholding or otherwise deducting federal income tax or social security or contributing to the State Industrial Insurance Program, or otherwise assuming the duties of an employer with respect to the Contractor, or any employee of the Contractor. 6. Indemnification. The Contractor shall defend, indemnify and hold the Public Entity, its officers, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or suits including attorney fees, arising out of or in connection with the performance of this Agreement, except for injuries and damages caused by the sole negligence of the Public Entity. Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, CA Revised May 2020 Page 1 of 6 120 then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Contractor and the Public Entity, its officers, officials, employees, and volunteers, the Contractor's liability hereunder shall be only to the extent of the Contractor's negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Contractor's waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. 7. Insurance. The Contractor shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Contractor, their agents, representatives, employees or subcontractors. Contractor's maintenance of insurance, its scope of coverage and limits as required herein shall not be construed to limit the liability of the Contractor to the coverage provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in equity. A. Minimum Scope of Insurance. Contractor shall obtain insurance of the types and with the limits described below: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $1,000,000 per accident. Automobile liability insurance shall cover all owned, non -owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 2. Commercial General Liability insurance with limits no less than $2,000,000 each occurrence, $2,000,000 general aggregate and $2,000,000 products -completed operations aggregate limit. Commercial General Liability insurance shall be as least at broad as ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors, products -completed operations, stop gap liability, personal injury and advertising injury, and liability assumed under an insured contract. The Commercial General Liability insurance shall be endorsed to provide a per project general aggregate limit using ISO form CG 25 03 05 09 or an equivalent endorsement. There shall be no exclusion for liability arising from explosion, collapse or underground property damage. The City shall be named as an additional insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the City using ISO Additional Insured endorsement CG 20 10 10 01 and Additional Insured -Completed Operations endorsement CG 20 37 10 01 or substitute endorsements providing at least as broad coverage. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. B. Public Entity Full Availability of Contractor Limits. If the Contractor maintains higher insurance limits than the minimums shown above, the Public Entity shall be insured for the full available limits of Commercial General and Excess or Umbrella liability maintained by the Contractor, irrespective of whether such limits maintained by the Contractor are greater than those required by this Contract or whether any certificate of insurance furnished to the Public Entity evidences limits of liability lower than those maintained by the Contractor. C. Other Insurance Provision. The Contractor's Automobile Liability and Commercial General Liability insurance policies are to contain, or be endorsed to contain that they shall be primary insurance with respect to the City. Any insurance, self-insurance, or insurance pool coverage maintained by the City shall be excess of the Contractor's insurance and shall not contribute with it. D. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best rating of not less than A: VI I. CA Revised May 2020 Page 2 of 6 121 E. Verification of Coverage. Contractor shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Contractor before commencement of the work. Upon request by the City, the Contractor shall furnish certified copies of all required insurance policies, including endorsements, required in this Agreement and evidence of all subcontractors' coverage. F. Subcontractors. The Contractor shall cause each and every Subcontractor to provide insurance coverage that complies with all applicable requirements of the Contractor -provided insurance as set forth herein, except the Contractor shall have sole responsibility for determining the limits of coverage required to be obtained by Subcontractors. The Contractor shall ensure that the Public Entity is an additional insured on each and every Subcontractor's Commercial General liability insurance policy using an endorsement as least as broad as ISO CG 20 10 10 01 for ongoing operations and CG 20 37 10 01 for completed operations. G. Notice of Cancellation. The Contractor shall provide the City and all Additional Insureds for this work with written notice of any policy cancellation, within two business days of their receipt of such notice. H. Failure to Maintain Insurance. Failure on the part of the Contractor to maintain the insurance as required shall constitute a material breach of contract, upon which the City may, after giving five business days notice to the Contractor to correct the breach, immediately terminate the contract or, at its discretion, procure or renew such insurance and pay any and all premiums in connection therewith, with any sums so expended to be repaid to the City on demand, or at the sole discretion of the City, offset against funds due the Contractor from the City. 8. Record Keepina and Reporting. A. The Contractor shall maintain accounts and records, including personnel, property, financial and programmatic records which sufficiently and properly reflect all direct and indirect costs of any nature expended and services performed in the performance of this Agreement and other such records as may be deemed necessary by the City to ensure the performance of this Agreement. B. These records shall be maintained for a period of seven (7) years after termination hereof unless permission to destroy them is granted by the office of the archivist in accordance with RCW Chapter 40.14 and by the City. 9. Audits and Inspections. The records and documents with respect to all matters covered by this Agreement shall be subject at all times to inspection, review or audit by law during the performance of this Agreement. 10. Termination. This Agreement may at any time be terminated by the City giving to the Contractor thirty (30) days written notice of the City's intention to terminate the same. Failure to provide products on schedule may result in contract termination. If the Contractor's insurance coverage is canceled for any reason, the City shall have the right to terminate this Agreement immediately. 11. Discrimination Prohibited. The Consultant, with regard to the work performed by it under this Agreement, will not discriminate on the grounds of race, religion, creed, color, national origin, age, veteran status, sex, sexual orientation, gender identity, marital status, political affiliation, the presence of any disability, or any other protected class status under state or federal law, in the selection and retention of employees or procurement of materials or supplies. 12. Assianment and Subcontract. The Contractor shall not assign or subcontract any portion of the services contemplated by this Agreement without the written consent of the City. 13. Entire Agreement: Modification. This Agreement, together with attachments or addenda, represents the entire and integrated Agreement between the City and the Contractor and supersedes all prior negotiations, representations, or agreements written or oral. No amendment or modification of this Agreement shall be of any force or effect unless it is in writing and signed by the parties. 14. Severability and Survival. If any term, condition or provision of this Agreement is declared void or CA Revised May 2020 Page 3 of 6 122 unenforceable or limited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall remain fully enforceable. The provisions of this Agreement, which by their sense and context are reasonably intended to survive the completion, expiration or cancellation of this Agreement, shall survive termination of this Agreement. 15. Notices. Notices to the City of Tukwila shall be sent to the following address: City Clerk, City of Tukwila 6200 Southcenter Blvd. Tukwila, Washington 98188 Notices to the Contractor shall be sent to the address provided by the Contractor upon the signature line below. 16. Applicable Law: Venue: Attornev's Fees. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. In the event any suit, arbitration, or other proceeding is instituted to enforce any term of this Agreement, the parties specifically understand and agree that venue shall be properly laid in King County, Washington. The prevailing party in any such action shall be entitled to its attorney's fees and costs of suit. DATED this day of , 20 ** City signatures to be obtained by ** Contractor signature to be obtained by City Clerk's Staff ONLY. ** sponsor staff. ** CITY OF TUKWILA Thomas McLeod, Mayor ATTEST/AUTHENTICATED: Andy Youn-Barnett, City Clerk APPROVED AS TO FORM: Office of the City Attorney CONTRACTOR: By: Printed Name: Title: Address: CA Revised May 2020 Page 4 of 6 123 Exhibit A Scope of Services City of Tukwila 2025-2026 Program Services Agreement Agency: Tukwila Pantry 2025 Funding: $40,000.00 Program: Tukwila Pantry 2026 Funding: $40,000.00 Effective Date: January 1, 2025 thru December 31, 2026 Total: $80,000.00 Definition of Service Unit Report pounds of food distributed to all Tukwila residents. Report number of unduplicated Tukwila residents. No goal set. REPORT ON function. Quarter Service Unit # of Units Quarterly Billable 2025/26 1st Pounds of food distributed # of duplicated Tukwila residents # of unduplicated Tukwila residents $10,000.00 2nd Pounds of food distributed # of duplicated Tukwila residents # of unduplicated Tukwila residents $10,000.00 3rd Pounds of food distributed # of duplicated Tukwila residents # of unduplicated Tukwila residents $10,000.00 4th Pounds of food distributed # of duplicated Tukwila residents # of unduplicated Tukwila residents $10,000.00 ANNUAL GOALS Report on: Pounds of food distributed, Duplicated residents, Unduplicated residents $40,000.00 The City Of Tukwila will use a variety of measures as indicators of satisfactory contract performance. The Agency will be expected to meet at least 90% of the performance goals (outputs) as defined above. If the Agency does not meet the 90% of performance goals, payment for services rendered under the agreement will be reduced by the number of percentage points below the 90% level. At a 90% success rate, the Agency will be reimbursed at 100%. Any exceptions must be negotiated with the City. Exceptions may be made in cases where circumstances beyond the Agency's control impact their ability to meet their service unit goals and the Agency has shown reasonable effort to overcome those circumstances. Exceptions are made at the discretion of the City's Human Services Program Coordinator. The Agency shall make all reasonable efforts to ascertain the eligibility of applicants for Agency services, such eligibility to require residence within the City, and shall provide services under this Agreement only to eligible applicants. 2025 & 2026 Personnel $ 40,000.00 Non -Personnel $ Budget/Annual award total $ 40,000.00 Contract Administration: In addition to quarterly and annual reporting, staff may perform desktop or onsite monitoring to ensure contract compliance. Any onsite monitoring will be scheduled with adequate time to prepare for the visit. CA Revised May 2020 124 Page 5 of 6 Demographic and Outcome Data Report The Agency shall collect and retain demographic data from the persons served through this contract. Data should be tracked in an ongoing manner and submitted annually by January 31 of the following year. Outcome data shall be submitted annually in conjunction with the Demographic report. Data should be collected and demonstrate the program's progress toward Outcomes as specified below. Outcome: Clients will report via survey that the food supplements have helped stabilize their nutritional needs. Percentage of patrons who will achieve this result: 75% QUARTERLY REPORTS DUE DATES 1st thru 3rd Quarter Reports 1st = April 15 2nd= July 15 3rd = October 15 4th and Final Annual Reimbursement First week in January. Date to be announced. Outcomes and Demographics January 31, 2026 / January 31, 2027 CA Revised May 2020 Page 6 of 6 125 RESIDENTIAL LEASE AGREEMENT HARTNETT MANOR This lease is made effective January 1, 2025, between the City of Tukwila, a municipal corporation, as "Lessor," and St. Stephen Housing Association, a Washington non-profit corporation, as "Lessee" (collectively, the "Parties"). WHEREAS, homelessness continues to be an issue for residents of the City of Tukwila and the greater community at large; and WHEREAS, Lessor, a Washington municipal corporation, has determined that the provision of transitional housing to homeless and impoverished members of the community serves a fundamental governmental purpose as it protects the public health, safety, and welfare; and WHEREAS, Lessee is a Washington non-profit corporation that provides temporary and transitional housing to the homeless; Now, therefore, the Parties agree as follows: 1. PREMISES: Lessor shall lease to Lessee the Residence currently situated at 14688 Macadam Road South, Tukwila, Washington ("Premises"). 2. TERM: The term of this lease shall be for one year, commencing on January 1, 2025 and shall terminate on December 31, 2025, unless sooner terminated as a result of Lessee's default hereunder in accordance with the termination provisions set forth in paragraph 19. The Lessor reserves the right to terminate the lease at its convenience prior to the completion of the five-year term at any time for any reason with 90 days' prior written notice. 3. POSSESSION: Lessee shall be deemed to have accepted possession of the leased premises in an "as -is" condition. Lessor has made no representations to Lessee respecting the condition of the lease premises. 4. CONSIDERATION: In consideration of Lessee providing housing to homeless members of the Tukwila community, Lessee may occupy the leased premises rent free for the duration of this Lease; provided, Lessee shall make any and all necessary improvements to the Premises, including the Residence located thereon, at Lessee's sole expense. Such improvements shall not be commenced without the express written consent of Lessor and shall be subject to final inspection and the approval of the Lessor. Further, Lessee shall be responsible for costs associated with or arising out of the maintenance and operation of the leased Premises as set forth herein. 5. USE: Lessee shall use the leased premises to provide free, temporary single-family dwellings for homeless families with children whose income falls below 50% of Page 1 of 8 {N M M4906-0469-8646;1/13175.000001/} 126 King County median income and all current uses incidental thereto, and for no other purpose without first obtaining Lessor's prior written consent. Lessee shall screen all housing applicants to ensure that applicants meet the income qualifications set forth herein. Lessee shall provide Lessor with an annual report each year reflecting data regarding the populations served by Lessee at the Premises. 6. MAINTENANCE AND REPAIR RESPONSILIBITY: Lessee shall, when and if needed, at Lessee's sole expense, make any and all necessary minor repairs to the Premises and every part thereof. For purposes of this provision, the term "minor repair" means any repair for which the sum total of parts and labor is under $5,000 per occurrence. Lessee shall not be required to pay more than a total of [$5,000] on minor repairs during the term of this agreement. Lessee shall notify Lessor immediately when Lessee has spent a total of $5,000 on minor repairs during the terms of this agreement. Lessee shall also notify Lessor immediately of any needed major repairs or unsafe conditions existing in or around the Premises. Lessor shall, when and if needed, at Lessor's sole expense, make all necessary major repairs to the Premises and every part thereof. For purposes of this provision, the term "major repair" means any repair for which the sum total of parts and labor is $5,000 or more. Lessee shall maintain the Premises in a neat, clean, and sanitary condition. Lessee shall surrender the leased Premises to Lessor in good condition upon the termination of this lease, reasonable wear and tear expected. 7. UTILITIES: Lessee shall pay prior to delinquency for all heat, light, water and other utility services supplied to the Premises. 8. ALTERATIONS AND ADDITIONS BY LESSEE: After obtaining the prior consent of Lessor, Lessee may make, at its sole expense, such additional improvements or alterations to the leased premises, which it may deem necessary or desirable. Any repairs or new construction by Lessee shall be done in conformity with plans and specifications approved by Lessor. All work performed shall be done in a workmanlike manner and shall become the property of the Lessor. 9. LIENS: Lessee shall keep the leased premises free from any liens arising out of any work performed, materials furnished, or obligations incurred by Lessee. 10. INSURANCE: Lessee shall procure and maintain for the duration of this Lease, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the Lessee's operation and use of the leased Premises. Lessee's maintenance of insurance as required by the agreement shall not be construed to limit the liability of the Lessee to the coverage provided by such insurance, or otherwise limit the Lessor's recourse to any remedy available at law or in equity. Lessee shall maintain Commercial General Liability insurance written with limits no less than $1,000,000 each occurrence, $2,000,000 general aggregate. Commercial General Liability insurance shall be at least as broad as Page 2 of 8 {N M M4906-0469-8646;1/13175.000001/} 127 Insurance Services Office (ISO) occurrence form CG 00 01 and shall cover premises and contractual liability. The Lessor shall be named as additional an insured on Lessee's Commercial General Liability insurance policy using ISO Additional Insured -Managers or Lessors of Premises Form CG 20 11 or a substitute endorsement providing at least as broad coverage. Lessee shall also maintain property insurance, which shall be written covering the full value of Lessee's property and improvements with no coinsurance provisions. Property insurance shall be written on an all risk basis. The Lessee's Commercial General Liability insurance policy or policies are to contain, or be endorsed to contain that they shall be primary insurance as respect the Lessor. Any Insurance, self-insurance, or self - insured pool coverage maintained by the Lessor shall be excess of the Lessee's insurance and shall not contribute with it. Insurance is to be placed with insurers with a current A.M. Best rating of not less than A: VII. Lessee shall furnish the Lessor with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Lessee. Lessee and Lessor hereby release and discharge each other from all claims, losses and liabilities arising from or caused by any hazard covered by property insurance on or in connection with the premises or said building. This release shall apply only to the extent that such claim, loss or liability is covered by insurance. The Lessee shall provide the Lessor with written notice of any policy cancellation within two business days of their receipt of such notice. Failure on the part of the Lessee to maintain the insurance as required shall constitute a material breach of lease, upon which the Lessor may, after giving five business days' notice to the Lessee to correct the breach, terminate the Lease or, at its discretion, procure or renew such insurance and pay any and all premiums in connection therewith, with any sums so expended to be repaid to the Lessor on demand. If the Lessee maintains higher insurance limits than the minimums shown above, the Lessor shall be insured for the full available limits of Commercial General and Excess or Umbrella liability maintained by the Lessee, irrespective of whether such limits maintained by the Lessee are greater than those required by this contract or whether any certificate of insurance furnished to the Lessor evidences limits of liability lower than those maintained by the Lessee. During the term of this Lease, the Lessor shall maintain all-risk property insurance covering the Residence located on the Premises for its full replacement value. Lessee expressly agrees that should damage arise to the Premises or Residence that is covered by Lessor's insurance but not Lessee's, Lessee shall reimburse Lessor for the cost of Lessor's deductible. Such reimbursement shall be made within thirty days of Lessor's written request for reimbursement. 11. INDEMNIFICATION: Lessee shall bear the sole risk for all personal property on the Premises. Lessor, its officials, employees and agents shall not be liable for any injury to or death of any person, or damage to property, sustained or alleged to have been sustained by Lessee, invitees or others as a result of any condition Page 3 of 8 {N M M4906-0469-8646;1/13175.000001/} 128 (including future conditions) in, on or about the Premises, or the improvements comprising any portion of the Premises; or as a result of the Premises becoming out of repair, or caused by fire or by the bursting or leaking of water, gas, sewer or steam pipes, or due to or the result of mold, fungus, water intrusion, asbestos, lead or other toxic materials or chemicals, or due to or the result of any accident from whatsoever cause in and about the Premises. Lessee agrees to indemnify, defend and hold Lessor, and its officials, staff, employees and agents, harmless from any and all claims, liabilities, losses, damages, actions, costs and expenses of any kind (including reasonable attorneys' fees) arising out of or related to Lessee's use of the Premises or the operation and/or conduct of its business or any activity or thing occurring on or about the Premises, and for property damage or bodily injury (including death) suffered on or about the Premises by any person, firm or corporation, except to the extent such loss or damage resulting from the gross negligence of the Lessor or a breach of the terms of this Lease. The terms of this Section 11 shall survive any expiration or termination of this Lease. The indemnification obligations contained in this Section 11 shall not be limited by any worker's compensation benefits or disability laws, and Lessee hereby waives any immunity that it may have under the Industrial Insurance Act, Title 51 RCW and similar worker's compensation benefits or disability laws. Lessee agrees that they have read the above provision and that any questions they had concerning it were fully explained to their satisfaction by Lessee's attorney or agent. Lessee understands that they will be the party held financially responsible under all conditions and not the City of Tukwila or its officials, employees, or agents. 12. ASSIGNMENT AND SUBLETTING: Lessee shall not assign this lease or any part thereof, either by operation of law or otherwise, without first obtaining the prior written consent of Lessor. 13. DEFAULT: Failure by Lessee to observe or perform any of the covenants, conditions, or provisions of this lease, where such failure shall continue for a period of ten days after written notice from Lessor to cure the default, shall constitute a default and breach of the lease by the Lessor. Lessee shall notify Lessor promptly of any default not by its nature necessarily known to Lessor. 14. ACCESS: Lessee shall permit Lessor to enter the leased premises at reasonable times for the purpose of inspecting the leased premises and ascertaining compliance with the provisions hereof by Lessee, but nothing herein shall be construed as imposing any obligation on Lessor to perform any such work or duties. Lessor reserves the right to property inspection and testing for the Lessor's future development purposes. Lessor will give Lessee at least 48 hours' notice in the event of access needed for property testing. Page 4 of 8 {N M M4906-0469-8646;1/13175.000001/} 129 15. COMPLIANCE WITH LAWS, RULES AND REGULATIONS: Lessee shall, at its sole cost and expense, promptly comply with all laws, statutes, ordinances, and governmental rules, regulations or requirements now in force or which may hereafter be in force relating to or affecting the conditions, use, or occupancy of the leased premises. Lessee shall faithfully observe and comply with the rules and regulations that Lessor shall from time to time promulgate, including, without limitation, those regulations affecting signage on the Property. 16. PERMITS: Lessee shall, at its sole cost and expense, be responsible for obtaining any permits or licenses that are necessary to perform the work and covenants of this lease Agreement. 17. LEASEHOLD EXCISE TAXES: The Parties believe that this Lease is exempt from the requirements of chapter 82.29A RCW; however, in the event that the Washington State Auditor's Office determines that leasehold excise tax is owing, such costs shall be born by Lessee. In such case, Lessor may make payment of the amount determined to be owed, and Lessee shall reimburse Lessor for such costs within 30 days of receipt of Lessor's request for reimbursement. 18. NOTICE: All notices under this lease shall be in writing and shall be effective when mailed by certified mail or delivered to Lessor at the address below stated, or to Lessee at the address below stated or to such other address as either party may designate from time to time: LESSOR: CITY OF TUKWILA LESSEE: St. Stephen Housing Association ATTN: Mayor's Office 13055 SE 192nd Street 6200 Southcenter Boulevard Renton, Washington 98058-7604 Tukwila, Washington 98188 19. TERMINATION: Either party has the right to terminate this Lease if the other party is in default of any material obligation or representation of this lease which default is incapable of cure, or which being capable of cure, is not cured within ten days after receipt of written notice of such default. 20. GENERAL PROVISIONS: A. TIME IS OF THE ESSENCE OF THIS LEASE. B. In the event of any action or proceeding brought by either party against the other under this lease, the Prevailing party shall be entitled to recover for the fees of its attorneys in such action or proceeding, including costs of appeal, if any, in such amount as the court may adjudge reasonable Attorneys' fees. For the purposes of this provision, the terms "action" or "proceeding" shall include arbitration, administrative, bankruptcy, and judicial proceedings, including appeals therefrom. Page 5 of 8 {N M M4906-0469-8646;1/13175.000001/} 130 C. This lease shall be construed and governed by the laws of the State of Washington. D. Upon termination of this lease, Lessee shall surrender all keys to the Lessor at the place then fixed for notice. 21. AUTHORITY OF LESSEE: Lessee, and each individual executing this lease on behalf of Lessee, represent and warrant that s/he is duly authorized to execute and deliver this lease, and that this lease is binding upon Lessee in accordance with its terms. 22. WAIVER AND FORBEARANCE: No waiver by Lessor of any breach or default by lessee of any of its obligations or agreement or covenants herein, shall be deemed to be a waiver of any subsequent breach or default of the same or any other covenant, agreement or obligation, nor shall forbearance by Lessor to seek remedy for any breach or default of Lessee be deemed a waiver by Lessor or its rights and remedies with respect to such breach or default. THIS LEASE IS SUBJECT TO ACCEPTANCE BY LESSOR. IN WITNESS THEREOF, the parties hereto have executed this Lease the date and year above written. LESSOR: LESSEE: By: By: Its: Its: Date: Date: APPROVED AS TO FORM: Office of the City Attorney Page 6 of 8 {N M M4906-0469-8646;1/13175.000001/} 131 STATE OF WASHINGTON ) ) ss. COUNTY OF KING ) On this day of , 2024, personally appeared before me the undersigned, a Notary Public, in and for the State of Washington, duly commissioned and sworn, , to me known to be the Mayor of the City of Tukwila, a Washington state municipal corporation, that executed the foregoing instrument and acknowledged the said instrument to be the free and voluntary act and deed of said City of Tukwila, for the uses and purposes therein mentioned, and on oath stated that they are authorized to execute the said instrument. WITNESS MY HAND AND OFFICIAL SEAL hereto affixed the day and year first above written. (Signature of Notary) (Legibly Print or Stamp Name of Notary) Notary public in and for the State of Washington, residing at My appointment expires Page 7 of 8 {N M M4906-0469-8646;1/13175.000001/} 132 STATE OF WASHINGTON ) ) ss. COUNTY OF KING ) On this day of , 2024, personally appeared before me the undersigned, a Notary Public, in and for the State of Washington, duly commissioned and sworn, , to me known to be the of the St. Stephen Housing Association, a Washington non-profit corporation, that executed the foregoing instrument and acknowledged the said instrument to be the free and voluntary act and deed of said St. Stephen Housing Association, for the uses and purposes therein mentioned, and on oath stated that they are authorized to execute the said instrument. WITNESS MY HAND AND OFFICIAL SEAL hereto affixed the day and year first above written. (Signature of Notary) (Legibly Print or Stamp Name of Notary) Notary public in and for the State of Washington, residing at My appointment expires Page 8 of 8 {N M M4906-0469-8646;1/13175.000001/} 133 134 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 3/17/25 DR ITEM INFORMATION ITEM No. 6.D. STAFF SPONSOR: DAVID ROSEN ORIGINAL AGENDA DATE: 3/17/25 AGENDA ITEM TIME Grant Award Acceptance: Washington State Department of Commerce Local Community Projects Program Grants for TCC HVAC Replacement Project Phase 1 CATEGORY El Discussion Mtg Date 3/ 17/25 ❑ Motion Mtg Date ❑ Resolution Mtg Date ❑ Ordinance Mtg Date ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ® Other Mtg Date 3/17/25 SPONSOR ❑ Council ❑ Alayor ❑ Adndn Svcs ❑ DCD ❑ Finance ❑ Fire ® IkFR ❑ Police ® Pik SPONSOR'S SUMMARY The City of Tukwila has been awarded grants via the Washington State Department of Commerce's Local Community Projects Program to complete the TCC HVAC Replacement Phase 1 Project. These grants total $749,810, an amount that requires council approval before the mayor may sign either grant agreement for final execution. City staff recommend the council approve these grant agreements on its 3/17/25 Regular Meeting Consent agenda. REVIEWED BY ❑ Trans&infrastrucnu-e Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ Planning & Community Dev. ❑ LTAC DATE: ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. COMMITTEE CHAIR: RECOMMENDATIONS: SPONSOR/ADMIN. Parks & Recreation Department COMMI fi EE COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED $0 AMOUNT BUDGETED $749,810 APPROPRIATION REQUIRED $749,810 Fund Source: STATE OF WASHINGTON 2023-25 CAPITAL BUDGET Comments: These funds will act as a reimbursement grant MTG. DATE RECORD OF COUNCIL ACTION 3/17/25 MTG. DATE ATTACHMENTS 3/17/25 Informational Memorandum dated 2/27/25 A --- Proposed Grant Agreement in the Amount of $250,260 (#23-96643-121) B --- Proposed Grant Agreement in the Amount of $499,550 (#24-96647-296) C --- Selected Sections of the TCC HVAC Replacement Phase 1 Energy Services Proposal 135 )City of Tukwila Parks & Recreation Department - Pete Mayer, Director INFORMATIONAL MEMORANDUM Thomas McLeod, Mayor TO: City Council FROM: David Rosen, Parks & Recreation Fiscal Analyst DATE: February 27, 2025 SUBJECT: Grant Acceptance: Washington State Department of Commerce Local Community Projects Program — TCC HVAC Replacement Project Phase 1 Funding ISSUE The City of Tukwila, by way of state appropriations in the State of Washington's 2023-25 Capital Budget has been awarded grants via the Washington State Department of Commerce's Local Community Projects Program to complete the TCC HVAC Replacement Phase 1 Project. These grants, between two contracts, total $749,810, an amount that requires council approval before the mayor may sign either grant agreement for final execution. BACKGROUND The Washington State Department of Commerce Local Community Projects Program acts as the direct grant funding program through the state for capital investment in community facilities such as community centers, early learning facilities, behavioral health facilities, and recreational facilities across the state. Contracting has been taking place the past several months with various efforts including cultural resources review, tribal consultation outreach, scope clarification, and now the final contract execution taking place now. DISCUSSION The Tukwila Community Center HVAC Replacement Project is currently nearing completion of Phase 1, which includes a full replacement of its boiler and HVAC controls system. This phase totals $1,735,419 in costs with funding coming from King County and State of Washington grants as well as existing fund balance in the city's Land Acquisition, Recreation, and Park Development Fund (301). In total, the city's contribution to the project is estimated to be about 23% of the project cost or approximately $399,000. FINANCIAL IMPACT This is a reimbursement grant, wherein the City of Tukwila will receive reimbursement from the Department of Commerce after the completion of the scope of work. Therefore, execution of the proposed grant agreements will not create any net inflows or outflows for any City of Tukwila fund. The contracts allow for incurring expenses for three years prior to the biennium awarded, meaning these contracts can cover July 2020 and forward, which encompasses the project's entire history to date. RECOMMENDATION City staff recommend the Committee of the Whole forward both grant agreements to the March 17' Regular Meeting Consent Agenda for final approval. ATTACHMENTS A --- Proposed Grant Agreement in the Amount of $250,260 (Grant Agreement # 23-96643-121) B --- Proposed Grant Agreement in the Amount of $499,550 (Grant Agreement # 24-96647-296) C --- Selected Sections of the TCC HVAC Replacement Phase 1 Energy Services Proposal Tukwila City Hall • 6200 Southcenter Boulevard • Tukwila, WA 98188 • 206-433-1800 • Website: TukwilaWA.gov 136 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 Grant to For ink Washington State 140 Department City of Tukwila through The Local Community Projects Program Tukwila Community Center 137 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 Table of Contents FACE SHEET 4 SPECIAL TERMS AND CONDITIONS 5 1. GRANT MANAGEMENT 5 2. COMPENSATION 5 3. CERTIFICATION OF FUNDS PERFORMANCE MEASURES 5 4. STATE PUBLIC WORKS 6 5. SITE CONTROL 6 6. DOCUMENTATION AND SECURITY 6 7. BASIS FOR ESTABLISHING REAL PROPERTY VALUES FOR ACQUISITIONS OF REAL PROPERTY PERFORMANCE MEASURES 7 8. EXPENDITURES ELIGIBLE FOR REIMBURSEMENT 7 9. BILLING PROCEDURES AND PAYMENT 8 10. CLOSEOUT CERTIFICATION 9 11. INSURANCE 9 12. ORDER OF PRECEDENCE 11 13. REDUCTION IN FUNDS 11 14. REAPPROPRIATION 12 15. OWNERSHIP OF PROJECT/CAPITAL FACILITIES 12 16. CHANGE OF OWNERSHIP OR USE FOR GRANTEE -OWNED PROPERTY 12 17. CHANGE OF USE FOR LEASED PROPERTY PERFORMANCE MEASURE 12 18. MODIFICATION TO THE PROJECT BUDGET 13 19. SIGNAGE, MARKERS AND PUBLICATIONS 13 20. HISTORICAL AND CULTURAL ARTIFACTS 14 21. TERMINATION FOR FRAUD OR MISREPRESENTATION 14 22. FRAUD AND OTHER LOSS REPORTING 15 23. PUBLIC RECORDS ACT 15 24. APPLICABILITY OF COPYRIGHT PROVISIONS TO ARCHITECTURAL/ENGINEERING DESIGN WORK 15 25. TREATMENT OF ASSETS 15 GENERAL TERMS AND CONDITIONS 16 1. DEFINITIONS 16 2. ACCESS TO DATA 16 3. ADVANCE PAYMENTS PROHIBITED 16 4. ALL WRITINGS CONTAINED HEREIN 16 5. ALLOWABLE COSTS 16 6. AMENDMENTS 17 7. AMERICANS WITH DISABILITIES ACT (ADA) OF 1990, PUBLIC LAW 101-336, ALSO REFERRED TO AS THE "ADA" 28 CFR PART 35 17 8. ASSIGNMENT 17 i 138 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 9. ATTORNEYS' FEES 17 10. AUDIT 17 11. BREACHES OF OTHER STATE CONTRACTS 18 12. CODE REQUIREMENTS 18 13. CONFIDENTIALITY/SAFEGUARDING OF INFORMATION 18 14. CONFORMANCE 19 15. CONFLICT OF INTEREST 19 16. COPYRIGHT PROVISIONS 19 17. DISALLOWED COSTS 20 18. DISPUTES 20 19. DUPLICATE PAYMENT 20 20. GOVERNING LAW AND VENUE 21 21. INDEMNIFICATION 21 22. INDEPENDENT CAPACITY OF THE GRANTEE 21 23. INDUSTRIAL INSURANCE COVERAGE 21 24. LAWS 21 25. LICENSING, ACCREDITATION, AND REGISTRATION 22 26. LIMITATION OF AUTHORITY 22 27. LOCAL PUBLIC TRANSPORTATION COORDINATION 22 28. NONCOMPLIANCE WITH NONDISCRIMINATION LAWS 22 29. PAY EQUITY 22 30. POLITICAL ACTIVITIES 23 31. PREVAILING WAGE LAW 23 32. PROHIBITION AGAINST PAYMENT OF BONUS OR COMMISSION 23 33. PUBLICITY 23 34. RECAPTURE 24 35. RECORDS MAINTENANCE 24 36. REGISTRATION WITH DEPARTMENT OF REVENUE AND SECRETARY OF STATE 24 37. RIGHT OF INSPECTION 24 38. SAVINGS 24 39. SEVERABILITY 25 40. SITE SECURITY 25 41. SUBGRANTING/SUBCONTRACTING 25 42. SURVIVAL 25 43. TAXES 25 44. TERMINATION FOR CAUSE 26 45. TERMINATION FOR CONVENIENCE 26 46. TERMINATION PROCEDURES 26 47. TREATMENT OF ASSETS 27 48. WAIVER 27 ATTACHMENT A - SCOPE OF WORK 28 ii 139 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 ATTACHMENT B - PROJECT BUDGET 29 ATTACHMENT C - CERTIFICATION OF THE AVAILABILITY OF FUNDS TO COMPLETE THE PROJECT 30 ATTACHMENT D - CERTIFICATION OF THE PAYMENT AND REPORTING OF PREVAILING WAGES 31 ATTACHMENT E - CERTIFICATION OF INTENT TO ENTER THE LEADERSHIP IN ENERGY AND ENVIRONMENTAL DESIGN (LEED) CERTIFICATION PROCESS 32 140 iii Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 FACE SHEET Grant Agreement Number: 23-96643-121 Project Name: Tukwila Community Center Washington State Department of Commerce Local Government Division Local Community Projects 1. GRANTEE City of Tukwila 6200 SOUTHCENTER BLVD TU KW I LA, WA 98188-8548 2. GRANTEE Doing Business As (optional) 3. GRANTEE Representative David Rosen Fiscal Analyst (206) 767-2310 david.rosen@tukwilawa.gov 4. COMMERCE Representative Pat Hughes Program Manager (360) 725-4187 pat.hughes@commerce.wa.gov P.O. Box 42525 1011 Plum Street SE Olympia, WA 98504-2525 5. Grant Amount $250,260.00 6. Funding Federal: Other: Source 7. Start Date Upon Final Signature 8. End Date June 30, 2025, if funds are not reappropriated; June 30, 2027, contingent on reappropriation. ❑ State: // ❑ N/A: ❑ 9. Federal Funds (as applicable) Federal Agency CFDA Number N/A N/A N/A 10.Tax ID# 91-6001519 11.SWV# SWV0018023-00 12.UBI# 179000208 13.UEI# U EQ N MC26C8T3 14. Grant Purpose The purpose of this performance -based Grant Agreement is to provide funding for the Tukwila Community Center HVAC Replacement Phase 1 Project located at 12424 42nd Ave S, Tukwila, WA 98168 as described in Attachment A — Scope of Work. COMMERCE, defined as the Washington State Department of Commerce, and the GRANTEE, as defined above, acknowledge and accept the terms of this Grant Agreement and attachments and have executed this Grant Agreement on the date below to start as of the date and year referenced above. The rights and obligations of both parties to this Grant Agreement are governed by this Grant Agreement and the following other documents incorporated by reference: Grant Agreement Terms and Conditions including Attachment A — Scope of Work, Attachment B — Budget, Attachment C — Certification of Availability of Funds to Complete the Project, Attachment D — Certification of the Payment and Reporting of Prevailing Wages, and Attachment E — Certification of Intent to Enter LEED Process, application as submitted for grant funding, applicable Local Community Projects Program Notice of Funding Availability, and applicable Local Community Projects Program Guidelines (as they may be revised from time to time). FOR GRANTEE FOR COMMERCE Tom McLeod, Mayor City of Tukwila Mark K. Barkley, Assistant Director Local Government Division Date TEMPLATE APPROVED AS TO FORM Lisa Koperski, Assistant Attorney General, on 7/22/2024 Date 4 141 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 SPECIAL TERMS AND CONDITIONS GENERAL GRANT STATE FUNDS THIS GRANT AGREEMENT, entered into by and between the Grantee, a Local Government, and WASHINGTON STATE DEPARTMENT OF COMMERCE, as defined on the Face Sheet of this Grant Agreement, WITNESSES THAT: WHEREAS, COMMERCE has the statutory authority under RCW 43.330.050(5) to cooperate with and provide assistance to local governments, businesses, and community -based organizations; and WHEREAS, COMMERCE is also given the responsibility to administer state funds and programs which are assigned to COMMERCE by the Governor or the Washington State Legislature; and WHEREAS, the Washington State Legislature has, in Laws of 2022, Chapter 296, Section 1026 made an appropriation to support the 2023 Local and Community Projects Program, which was amended and reappropriated in Laws of 2023, Chapter 474, Sections 6052 and 7007, and in Laws of 2024, Chapter 375, Section 6009, and directed COMMERCE to administer those funds; and Additionally, the GRANTEE has received an appropriation for the Tukwila Community Center HVAC Replacement Project #24-96647-296 in Engrossed Substitute Senate Bill 5200 Laws of 2023, Chapter 474, Section 1025, which has not yet been administered. WHEREAS, the enabling legislation also stipulates that the GRANTEE is eligible to receive funding for design, acquisition, construction and equipment, or rehabilitation activities of the Project. GRANTEE and COMMERCE are individually a "party" and, collectively, the "parties." NOW, THEREFORE, in consideration of covenants, conditions, performances, and promises hereinafter contained, the parties agree as follows: 1. GRANT MANAGEMENT The Representative for each of the parties shall be responsible for and shall be the contact person for all communications and billings regarding the performance of this Grant Agreement. 2. COMPENSATION COMMERCE shall pay an amount not to exceed $250,260.00 for the capital costs necessary for or incidental to the performance of work as set forth in Attachment A (Scope of Work). 3. CERTIFICATION OF FUNDS PERFORMANCE MEASURES A. The release of state funds under this Grant Agreement is contingent upon the GRANTEE certifying that it has expended or has access to funds from non -state sources as set forth in ATTACHMENT C (CERTIFICATION OF THE AVAILABILITY OF FUNDS TO COMPLETE THE PROJECT). Such non -state sources may consist of a combination of any of the following: i. Eligible Project expenditures prior to the execution of this Grant Agreement. ii. Cash dedicated to the Project. iii. Funds available through a letter of credit or other binding loan commitment(s). iv. Pledges from foundations or corporations. 142 5 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 v. Pledges from individual donors. vi. The value of real property when acquired solely for the purposes of this Project, as established and evidenced by a current market value appraisal performed by a licensed, professional real estate appraiser, or a current property tax statement. COMMERCE will not consider appraisals for prospective values of such property for the purposes of calculating the amount of non -state matching fund credit. vii. In -kind contributions, subject to COMMERCE'S approval. B. The GRANTEE shall maintain records sufficient to evidence that it has access to or has expended funds from such non -state sources and shall make such records available for COMMERCE's review upon reasonable request. 4. STATE PUBLIC WORKS For work done at the cost of the State, GRANTEE must comply with public works statutes RCW 39.04 and RCW 39.10, apprenticeship requirements, and the State and local building codes, as applicable. If GRANTEE has questions about compliance, GRANTEE will need to visit the Washington State Department of Labor & Industries Public Works Projects website for more information. 5. SITE CONTROL GRANTEES who receive grants for construction, purchase or renovation of facilities must provide written evidence of and maintain site control, either through outright ownership of the subject property or a long-term lease, for a minimum of 10 years after the later of: (1) final grant payment; or (2) the date when the facility is made usable to the public for the purpose intended by the Washington State Legislature, including GRANTEE having secured all required licenses, certifications, and/or permits. GRANTEES must provide written evidence of continuing site control as may be requested by COMMERCE. 6. DOCUMENTATION AND SECURITY The provisions of this Section shall apply to capital projects performed by nonprofit organizations and public benefit corporations that involve the expenditure of over $250,000 in State funds. The provisions may also apply to Tribes, depending on the location of the Project. Additionally, COMMERCE reserves the right to review all state -funded projects and to require that projects performed by other entity types comply with this Section. Projects for which the grant award or legislative intent documents specify that the state funding is to be used for pre -design or design only are exempt from this Section. A. Deed of Trust. This Grant Agreement shall be evidenced by a promissory note and secured by a deed of trust or other appropriate security instrument in favor of COMMERCE (the Deed of Trust). The Deed of Trust shall be recorded in the County where the Project is located, and the original returned to COMMERCE after recordation within 90 calendar days of Grant Agreement execution. The Deed of Trust must be recorded before COMMERCE will reimburse the GRANTEE for any Project costs. The amount secured by the Deed of Trust shall be the amount of the Grant Agreement as set forth on the Face Sheet. B. Term of Deed of Trust; Commitment Period. The Deed of Trust shall remain in full force and effect for a minimum period of 10 years following the later of: (1) final payment of state funds to the GRANTEE under this Grant Agreement; or (2) the date when: i. the facility improved or acquired with grant funds; or ii. a distinct phase of the Project 6 143 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 is made useable to the public for the purpose intended by the Washington State Legislature (the Commitment Period). Upon satisfaction of the Commitment Period term requirement and all other Grant Agreement terms and conditions, COMMERCE shall, upon written request of the GRANTEE, take appropriate action to reconvey the Deed of Trust. C. Title Insurance. The GRANTEE shall purchase an extended coverage lender's policy of title insurance insuring the lien position of the Deed of Trust in an amount not less than the amount of the grant. D. Covenant. If the Project will be partially funded by a loan and the term of said loan is less than the Commitment Period as defined in Special Terms and Conditions Section 6(B), COMMERCE may require that GRANTEE record or cause to be recorded a covenant in a superior lien position ahead of the lender's security instrument that restricts use of the facility or property for the purpose(s) stated elsewhere in this Grant Agreement for at least the term of the Commitment Period as defined in Special Terms and Conditions Section 6(B). E. Subordination. COMMERCE may agree to subordinate its Deed of Trust upon request from a private or public lender. Any such request shall be submitted to COMMERCE in writing, and COMMERCE shall respond to the request in writing within 30 calendar days of receiving the request. F. Deed of Trust on Leased Property. COMMERCE may require, at its sole discretion, a Deed of Trust on the fee interest of the real property where the Project is located, if the Project is on leased property 7. BASIS FOR ESTABLISHING REAL PROPERTY VALUES FOR ACQUISITIONS OF REAL PROPERTY PERFORMANCE MEASURES When all or part of the grant is used to fund the acquisition of real property, before funds are disbursed, the GRANTEE shall procure and provide to COMMERCE evidence establishing the value of the real property eligible for reimbursement under this Grant Agreement as follows: A. GRANTEE purchases of real property from an independent third -party seller shall be evidenced by a current appraisal prepared by a licensed Washington State commercial real estate appraiser or a current property tax statement. B. GRANTEE purchases of real property from a subsidiary organization, such as an affiliated LLC, shall be evidenced by a current appraisal prepared by a licensed Washington State commercial real estate appraiser or the prior purchase price of the property plus holding costs, whichever is less. 8. EXPENDITURES ELIGIBLE FOR REIMBURSEMENT Payments to the GRANTEE shall be made on a reimbursement basis only. The GRANTEE may be reimbursed, at the rate set forth elsewhere in this Grant Agreement, for work associated with the Project expenditures Unless authorized by the Washington State Legislature, only those Project costs incurred after the date of execution, may be reimbursed. Reimbursable cost are determined by the Scope of Work, Attachment A. Generally costs within the following cost categories are considered capital expenditures: A. Real property, and costs directly associated with such purchase, when purchased or acquired solely for the purposes of the Project; B. Design, engineering, architectural, and planning; C. Construction management and observation (from external sources only); D. Construction costs including, but not limited to, the following: i. Site preparation and improvements; ii. Permits and fees; 144 7 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 iii. Labor and materials; iv. Taxes on Project goods and services; v. Capitalized equipment; vi. Information technology infrastructure; and vii. Landscaping. E. Other costs authorized through the legislation. 9. BILLING PROCEDURES AND PAYMENT COMMERCE shall reimburse the GRANTEE for up to 100% of each invoice for eligible Project expenditures, up to the maximum payable under this Grant Agreement. When requesting reimbursement for expenditures made, the GRANTEE shall submit to COMMERCE a signed and completed Invoice Voucher (Form A-19), that documents capitalized Project activity performed — by budget line item — for the billing period. The GRANTEE must submit all Invoice Vouchers and any required documentation electronically. Submissions shall be in accordance with directions provided by COMMERCE. Funds are reimbursement based and cannot be advanced under any circumstance. Disbursements of funds for invoices due and payable within 30 days are not considered advanced payments. The GRANTEE shall evidence the costs claimed on each voucher by including copies of each invoice received from subgrantees/subcontractors providing Project goods or services covered by the Grant Agreement. The GRANTEE shall also provide COMMERCE with a copy of the cancelled check or electronic funds transfer, as applicable, that confirms that they have paid each expenditure being claimed at the time the voucher is submitted or within 30 calendar days of Commerce's disbursement of payment. The cancelled checks or electronic funds transfers may be submitted to COMMERCE at the time the voucher is initially submitted or within 30 calendar days thereafter. The voucher must be certified (i.e., signed) by an official of the GRANTEE with authority to bind the GRANTEE. The voucher shall be submitted to COMMERCE within 60 calendar days following the completion of work or other termination of this Grant Agreement, or within 15 calendar days following the end of the State biennium unless Grant Agreement funds are re -appropriated by the Washington State Legislature in accordance with Special Terms and Conditions Section 18 (Reappropriation). If GRANTEE has or will be submitting any of the invoices attached to a request for payment for partial reimbursement under another contract or grant agreement, GRANTEE must clearly identify such contracts or grant agreements in the transmittal letter and request for payment. Each request for payment must be accompanied by a Project Status Report, which describes, in narrative form, the progress made on the Project since the last invoice was submitted as well as a report of Project status to date. COMMERCE will not release payment for any reimbursement request received unless and until the Project Status Report is received. After approving the Invoice Voucher and Project Status Report, COMMERCE shall promptly remit a warrant to the GRANTEE. In the event that the award amount in Special Terms and Conditions Section 2 (Compensation) is expended before construction completion of the Project, as identified in Attachment A (Scope of Work), the GRANTEE agrees to continue providing complete Project Status Report updates to their COMMERCE Representative annually or upon request. COMMERCE will pay GRANTEE upon receipt and approval of properly completed invoices and supporting documentation, which shall be submitted to the Representative for COMMERCE not more often than monthly. After approving the Invoice Voucher and Project Status Report, COMMERCE shall promptly remit a warrant to the GRANTEE. Payment shall be considered timely if made by COMMERCE within 30 calendar days after receipt of properly completed invoices. Payment shall be sent to the address designated by the GRANTEE. 8 145 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 Notwithstanding the foregoing, COMMERCE may, in its sole discretion, holdback up to the final 10% of grant funds until the Project is complete and the facility has been issued a Certificate of Occupancy from the appropriate local permitting entity, or for projects without occupiable space, when comparable evidence of Project completion is submitted by GRANTEE. The Certificate of Occupancy /evidence of completion should be submitted with GRANTEE's final request for reimbursement. 10. CLOSEOUT CERTIFICATION The GRANTEE shall complete and submit a Closeout Certification Form when: A. All activities identified in the Scope of Work shown on Attachment A are complete and the Project is useable to the public for the purpose intended by the Washington State Legislature, or B. When final payment is made and GRANTEE has certified that the Project will be completed and the public benefit described will be maintained for the term of the Commitment Period as defined in Special Terms and Conditions Section 6(B). Notwithstanding anything in A. or B. above, the right of COMMERCE to recapture funds or seek other remedies for failure to make the Project usable to the public shall survive the closeout or termination of this Grant Agreement. COMMERCE reserves the right to request additional information related to the Project. 11. INSURANCE A. Insurance Requirements for Reimbursable Activities The GRANTEE must have insurance coverage that is substantially similar to the coverage described in Section 11 B below for all periods in which GRANTEE performed work for which it will seek reimbursement. The intent of the required insurance is to protect the State of Washington should there be any Claims, suits, actions, costs, damages or expenses arising from any loss or negligent or intentional act or omission of the GRANTEE or subgrantee/subcontractor, or agents of either, while performing under the terms of this Grant Agreement. B. Additional Insurance Requirements During the Term of the Grant Agreement i. The GRANTEE shall provide proof to COMMERCE of insurance coverage that shall be maintained in full force and effect, as indicated below, and shall submit renewal certificates not less than 30 calendar days prior to expiration of each policy required under this Section: a. Commercial General Liability Insurance Policy. Provide a Commercial General Liability Insurance Policy, including contractual liability, written on an occurrence basis, in adequate quantity to protect against legal liability arising out of or related to this Grant Agreement but in no less than $1,000,000 per occurrence. Additionally, the GRANTEE is responsible for ensuring that any subgrantee/subcontractor provide adequate insurance coverage for the activities arising out of or related to subgrants/subcontracts (if any). Commercial General Liability Insurance coverage shall be maintained in full force and effect during the term of this Grant Agreement and throughout the Commitment Period as defined in Special Terms and Conditions Section 6(B). This insurance must be maintained throughout the term of the Grant Agreement and the Commitment Period as defined in Special Terms and Conditions Section 6(B). b. Property Insurance. The GRANTEE shall keep the property insured in an amount sufficient to permit such insurance to be written at all times on a replacement cost basis. Such insurance shall cover the following hazards, as applicable: 1. Loss or damage by fire and such other risks; 2. Loss or damage from leakage or sprinkler systems now or hereafter installed in any building on the premises; 146 9 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 3. Loss or damage by explosion of steam boilers, pressure vessels, oil or gasoline storage tanks, or similar apparatus now or hereafter installed in a building or building on the premises. This property insurance coverage must be maintained in full force and effect throughout the term of this Grant Agreement and the Commitment Period as defined in Special Terms and Conditions Section 6(B). c. Professional Liability, Errors, and Omissions Insurance. If GRANTEE will be providing any professional services to be reimbursed under this Grant Agreement, the GRANTEE shall maintain Professional Liability or Errors and Omissions Insurance with minimum limits of no less than $1,000,000 per occurrence to cover all activities by the GRANTEE and licensed staff employed or under contract to the GRANTEE. The State of Washington, the Department of Commerce, its agents, officers, and employees need not be named as additional insureds under this policy. This insurance must be maintained throughout the Commitment Period as defined in Special Terms and Conditions Section 6(B). GRANTEE shall require that any subgrantees/subcontractors providing professional services that are reimbursable under this Grant Agreement maintain Professional Liability or Errors and Omissions Insurance at the coverage levels set forth in this subsection. d. Fidelity Insurance. Every officer, director, employee, or agent who is authorized to act on behalf of the GRANTEE for the purpose of receiving or depositing funds into program accounts or issuing financial documents, checks, or other instruments of payment for program costs shall be insured to provide protection against loss where: 1. The amount of fidelity coverage secured pursuant to this Grant Agreement shall be $2,000,000 or the highest of planned reimbursement for the Grant Agreement period, whichever is lower. Fidelity insurance secured pursuant to this paragraph shall name the State of Washington, the Department of Commerce, its agents, officers, and employees as beneficiary. 2. Subgrantees/subcontractors that receive $10,000 or more per year in funding through this Grant Agreement shall secure fidelity insurance as noted above. Fidelity insurance secured by subgrantees/subcontractors pursuant to this paragraph shall name the GRANTEE and the GRANTEE's fiscal agent (if any) as beneficiary. 3. Fidelity Insurance coverage shall be maintained in full force and effect from the start date of this Grant Agreement until GRANTEE has submitted a Closeout Certification Form, subject to the following: Fidelity Insurance must be issued on either (a) a "loss sustained" basis; or (b) if issued on a "loss -discovered" basis, provide coverage for at least 6 months following the date of COMMERCE's receipt of the Closeout Certification Form. H. The insurance required shall be issued by an insurance company authorized to do business within the State of Washington. Except as otherwise set forth in this Section, each insurance policy shall name "the State of Washington the Department of Commerce, its agents, officers, and employees" as additional insureds on all policies. All policies shall be primary to any other valid and collectable insurance. The GRANTEE shall instruct the insurers to give COMMERCE 30 calendar days' advance notice of any insurance cancellation or modification. iii. The GRANTEE shall submit to COMMERCE within 15 calendar days of the Grant Agreement start date, a certificate of insurance which outlines the coverage and limits defined in this insurance section including, without limitation, the type of insurance coverage under the policy, the designated beneficiary, who is covered, the amounts, the period of coverage, and that COMMERCE will be provided 30 days' advance written notice of cancellation. During the term of the Grant Agreement, the GRANTEE shall submit renewal certificates not less than 30 calendar days prior to expiration of each policy required under this Section. Additionally, GRANTEE shall 10 147 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 provide copies of insurance instruments or certifications at COMMERCE's request and until six month after COMMERCE has received a Closeout Certification Form from GRANTEE. Copies of such insurance instruments and certifications will be provided within 15 calendar days of COMMERCE's request unless otherwise agreed to by the parties. iv. GRANTEES and Local Governments that Participate in a Self -Insurance Program. Self-Insured/Liability Pool or Self -Insured Risk Management Program — With prior approval from COMMERCE, the GRANTEE may provide the coverage above under a self-insured/liability pool or self -insured risk management program. In order to obtain permission from COMMERCE, the GRANTEE shall provide: (1) a description of its self-insurance program, and (2) a certificate and/or letter of coverage that outlines coverage limits and deductibles. All self -insured risk management programs or self-insured/liability pool financial reports must comply with Generally Accepted Accounting Principles (GAAP) and adhere to accounting standards promulgated by: 1) Governmental Accounting Standards Board (GASB), 2) Financial Accounting Standards Board (FASB), and 3) the Washington State Auditor's annual instructions for financial reporting. GRANTEE's participating in joint risk pools shall maintain sufficient documentation to support the aggregate Claim liability information reported on the balance sheet. The State of Washington, the Department of Commerce, its agents, and employees need not be named as additional insured under a self -insured property/liability pool, if the pool is prohibited from naming third parties as additional insured. GRANTEE shall provide annually to COMMERCE a summary of coverages and a letter of self- insurance, evidencing continued coverage under GRANTEE's self-insured/liability pool or self - insured risk management program. Such annual summary of coverage and letter of self- insurance will be provided on the anniversary of the start date of this Grant Agreement. 12. ORDER OF PRECEDENCE In the event of an inconsistency in this Grant Agreement, the inconsistency shall be resolved by giving precedence in the following order: 1) Applicable federal and State of Washington statutes and regulations 2) Special Terms and Conditions 3) General Terms and Conditions 4) Attachment A — Scope of Work 5) Attachment B — Project Budget 6) Attachment C — Certification of the Availability of Funds to Complete the Project 7) Attachment D — Certification of the Payment and Reporting of Prevailing Wages 8) Attachment E — Certification of Intent to Enter the Leadership in Energy and Environmental Design (LEED) Certification Process 9) Application as submitted by the GRANTEE for funding 10) Notice of Funding Availability 11) Program Guidelines, as revised. GRANTEE acknowledges that the Program Guidelines may be revised by COMMERCE from time to time and agrees that the most recent version of the Guidelines shall be applicable. COMMERCE will post notice on its website https://www.commerce.wa.gov/buildinq-infrastructure/capital-facilities/ drawing attention to the sections of the Guidelines that have been revised. 13. REDUCTION IN FUNDS In the event that funds appropriated for the Project contemplated under this Grant Agreement are withdrawn, reduced, or limited in any way by the Governor or the Washington State Legislature, or other funding source, during the Grant Agreement period, the parties understand and agree that COMMERCE may suspend, amend, or terminate the Grant Agreement to abide by the revised 148 11 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 funding limitations. The parties understand and agree that GRANTEE shall be bound by any such revised funding limitations as implemented at the discretion of COMMERCE and shall meet and renegotiate the Grant Agreement accordingly. 14. REAPPROPRIATION A. The parties hereto understand and agree that any State funds not expended by the End Date listed on the Face Sheet will lapse on that date unless specifically reappropriated by the Washington State Legislature. If funds are so reappropriated, the State's obligation under the terms of this Grant Agreement shall be contingent upon the terms of such reappropriation. B. In the event any funds awarded under this Grant Agreement are reappropriated for use in a future biennium, COMMERCE reserves the right to assign a reasonable share of any such reappropriation for administrative costs. 15. OWNERSHIP OF PROJECT/CAPITAL FACILITIES COMMERCE makes no claim to any real property improved or constructed with funds awarded under this Grant Agreement and does not assert and will not acquire any ownership interest in or title to the capital facilities and/or equipment constructed or purchased with state funds under this Grant Agreement; provided, however, that COMMERCE may be granted a security interest in real property to secure funds awarded under this Grant Agreement. This provision does not extend to Claims that COMMERCE may bring against the GRANTEE in recapturing funds expended in violation of this Grant Agreement. 16. CHANGE OF OWNERSHIP OR USE FOR GRANTEE -OWNED PROPERTY A. The GRANTEE understands and agrees that any and all real property or facilities owned by the GRANTEE that are acquired, constructed, or otherwise improved using state funds under this Grant Agreement shall be held and used by the GRANTEE for the purpose or purposes stated elsewhere in this Grant Agreement for the Commitment Period as defined in Special Terms and Conditions Section 6(B). B. This provision shall not be construed to prohibit the GRANTEE from selling any property or properties described in this Section; provided, however, that any such sale shall be subject to prior review and approval by COMMERCE and that all proceeds from such sale shall be applied to the purchase price of a different facility or facilities of equal or greater value than the original facility and that any such new facility or facilities will be used for the purpose or purposes stated elsewhere in this Grant Agreement. C. In the event the GRANTEE is found to be out of compliance with this Section, the GRANTEE shall repay to the state general fund pursuant to General Terms and Conditions Section 34, the principal amount of the funds disbursed under the Grant Agreement, along with interest at the rate of the higher of: (i) five percent (5%) per annum, or (ii) the rate of interest of state of Washington general obligation bonds issued on the date most close in time to the effective date in which legislation authorized funding for the subject facility. Repayment shall be made pursuant to General Terms and Conditions Section 27 (Recapture). This repayment is in addition to any other remedies available at law or in equity. 17. CHANGE OF USE FOR LEASED PROPERTY PERFORMANCE MEASURE A. The GRANTEE understands and agrees that any and all real property or facilities leased by the GRANTEE that are constructed, renovated, or otherwise improved using state funds under this Grant Agreement shall be used by the GRANTEE for the purpose or purposes stated elsewhere in this Grant Agreement for a period of the Commitment Period as defined in Special Terms and Conditions Section 6(B). B. In the event the GRANTEE is found to be out of compliance with this Section, the GRANTEE shall repay to the state general fund pursuant to General Terms and Conditions Section 34, the principal amount of the funds disbursed under the Grant Agreement, along with interest at the 12 149 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 rate of the higher of: (i) five percent (5%) per annum, or (ii) the rate of interest of state of Washington general obligation bonds issued on the date most close in time to the effective date in which legislation authorized funding for the subject facility Repayment shall be made pursuant to General Terms and Conditions Section 27 (Recapture). This repayment is in addition to any other remedies available at law or in equity. 18. MODIFICATION TO THE PROJECT BUDGET A. Notwithstanding any other provision of this Grant Agreement, the GRANTEE may, at its discretion, make modifications to line items in Attachment B (Project Budget) that will not increase the line item by more than 15%. B. The GRANTEE shall notify COMMERCE in writing (by email or regular mail) when proposing any budget modification or modifications to a line item in Attachment B (Project Budget) that would increase the line item by more than 15%. Conversely, COMMERCE may initiate the budget modification approval process if presented with a request for payment under this Grant Agreement that would cause one or more budget line items to exceed the 15% threshold increase described above. C. Any such budget modification or modifications as described above shall require the written approval of COMMERCE (by email or regular mail), and such written approval shall amend the Project Budget. Each party to this Grant Agreement will retain and make any and all documents related to such budget modifications a part of their respective Grant Agreement file. D. Nothing in this Section shall be construed to permit an increase in the amount of funds available for the Project, as set forth in Special Terms and Conditions Section 2 (Compensation) of this Grant Agreement. 19. SIGNAGE, MARKERS AND PUBLICATIONS A. Taxpayers of Washington State as participant in funding Project If, during the period covered by this Grant Agreement, the GRANTEE displays or circulates any communication, publication, or donor recognition identifying the financial participants in the Project, any such communication or publication must identify "The Taxpayers of Washington State" as a participant. B. Ensure coordinated Climate Commitment Act branding. If Climate Commitment Act funding is involved in this Grant Agreement, then the following provisions apply to GRANTEE and its subgrantees/subcontractors including, without limitation, any and all contractors, subgrantees/subcontractors, service providers, and others who assist GRANTEE in implementing the Project in order to strengthen public awareness of how CCA funding is used and to ensure consistent branding and funding acknowledgments: i. Funding source acknowledgement. - The GRANTEE must display or circulate in any and all communications including, without limitation, on websites and in announcements, press releases, and publications used for media -related activities, publicity, and public outreach that: "The is supported with funding from Washington's Climate Commitment Act. The CCA supports Washington's climate action efforts by putting cap -and -invest dollars to work reducing climate pollution, creating jobs, and improving public health. Information about the CCA is available at www.climate.wa.gov." ii. Include the "Climate Commitment Act" logo at climate.wa.qov/brandtoolkit, consistent with the branding guidelines posted at climate.wa.qov/brandtoolkit for: a. any Project website or webpage that includes logos from other funding partners; and/or b. any Project media or public information materials that include logos from other funding partners; and/or c. On -site signage, to the extent possible. By way of example only, this means that for consumer -related projects or programs, a decal may be placed on front of installed heat pump or a logo printed on a delivery tag. 150 13 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 iii. The GRANTEE is responsible for ensuring that its subgrantees/subcontractors comply with Section 19(B). 20. HISTORICAL AND CULTURAL ARTIFACTS Prior to approval and disbursement of any funds awarded under this Grant Agreement, GRANTEE shall cooperate with COMMERCE to complete the requirements of Governor's Executive Order 21-02 or GRANTEE shall complete a review under Section 106 of the National Historic Preservation Act, if applicable. GRANTEE agrees that the GRANTEE is legally and financially responsible for compliance with all laws, regulations, and agreements related to the preservation of historical or cultural resources and agrees to hold harmless COMMERCE and the State of Washington in relation to any claim related to such historical or cultural resources discovered, disturbed, or damaged as a result of the Project funded by this Grant Agreement. In addition to the requirements set forth in this Grant Agreement, GRANTEE shall, in accordance with Governor's Executive Order 21-02 as applicable, coordinate with COMMERCE and the Washington State Department of Archaeology and Historic Preservation (DAHP), including any recommended consultation with any affected tribe(s), during Project design and prior to construction to determine the existence of any tribal cultural resources affected by Project. GRANTEE agrees to avoid, minimize, or mitigate impacts to the cultural resource as a continuing prerequisite to receipt of funds under this Grant Agreement. The GRANTEE agrees that, unless the GRANTEE is proceeding under an approved historical and cultural monitoring plan or other memorandum of agreement, if historical or cultural artifacts are discovered during construction, the GRANTEE shall immediately stop construction and notify the local historical preservation officer and the State's historical preservation officer at DAHP, and the COMMERCE Representative identified on the Face Sheet. If human remains are uncovered, the GRANTEE shall report the presence and location of the remains to the coroner and local enforcement immediately, then contact DAHP and the concerned tribe's cultural staff or committee. The GRANTEE shall require this provision to be contained in all subgrants/subcontracts for work or services related to the Project described in Attachment A (Scope of Work). In addition to the requirements set forth in this Grant Agreement, GRANTEE agrees to comply with RCW 27.44 regarding Indian Graves and Records, RCW 27.53 regarding Archaeological Sites and Resources, RCW 68.60 regarding Abandoned and Historic Cemeteries and Historic Graves, and WAC 25-48 regarding Archaeological Excavation and Removal Permits. Completion of the requirements of Section 106 of the National Historic Preservation Act shall substitute for completion of Governor's Executive Order 21-02. In the event that the GRANTEE finds it necessary to amend the Project described in Attachment A (Scope of Work), the GRANTEE may be required to re -comply with Governor's Executive Order 21- 02 or Section 106 of the National Historic Preservation Act. 21. TERMINATION FOR FRAUD OR MISREPRESENTATION In the event the GRANTEE commits fraud or makes any misrepresentation in connection with the grant application or during the performance of this Grant Agreement, COMMERCE reserves the right to terminate or amend this Grant Agreement accordingly, including the right to recapture all funds disbursed to the GRANTEE under the Grant Agreement. 14 151 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 22. FRAUD AND OTHER LOSS REPORTING GRANTEE shall report in writing all known or suspected fraud or other loss of any funds or other property furnished under this Grant Agreement immediately or as soon as practicable to the COMMERCE Representative identified on the Face Sheet. 23. PUBLIC RECORDS ACT Notwithstanding General Terms and Conditions Section 13 (Confidentiality/Safeguarding of Information), COMMERCE is a public agency subject to the Public Records Act, RCW 42.56 (PRA). Under the PRA, all materials relating to the conduct of government or the performance of any governmental or proprietary function prepared, owned, used, or retained by COMMERCE or its functional equivalents are considered public records. The PRA requires that public records responsive to a public records request be promptly produced unless the PRA or an "other statute" exempts such records from production. This Grant Agreement is not intended to alter COMMERCE's obligations under the PRA. The parties agree that if COMMERCE receives a public records request for files that may include confidential information under General Terms and Conditions Section 13 (Confidentiality/Safeguarding of Information), COMMERCE may notify the other party of the request and of the date that the records will be released to the requester unless GRANTEE obtains a court order enjoining disclosure. If the GRANTEE fails to obtain the court order enjoining disclosure, COMMERCE may release the requested information on the date specified. If the GRANTEE obtains a court order from a court of competent jurisdiction enjoining disclosure pursuant to the PRA, COMMERCE shall maintain the confidentiality of the information per the court order. 24. APPLICABILITY OF COPYRIGHT PROVISIONS TO ARCHITECTURAL/ENGINEERING DESIGN WORK General Terms and Conditions Section 16 (Copyright Provisions) are not intended to apply to any architectural and engineering design work funded by this Grant Agreement. 25. TREATMENT OF ASSETS Title to all property furnished by COMMERCE shall remain in COMMERCE. General Terms and Conditions Section 47 (Treatment of Assets) is superseded by this provision. 152 15 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 GENERAL TERMS AND CONDITIONS GENERAL GRANT STATE FUNDS 1. DEFINITIONS As used throughout this Grant Agreement, the following terms shall have the meaning set forth below: A. "Authorized Representative" shall mean the Director and/or the designee authorized in writing to act on the Director's behalf. B. "Claim" shall mean any and all claims, losses, costs, damage, expenses, liabilities, liens, actions, causes of action (whether in tort or contract, law or equity, or otherwise), and attorneys' fees and costs. C. "COMMERCE" shall mean the Washington State Department of Commerce. D. "Grant Agreement" shall mean the entire written agreement between COMMERCE and the GRANTEE, including any attachments, exhibits, documents, or materials incorporated by reference, and any amendments executed by the parties. E. "GRANTEE" shall mean the entity identified on the Face Sheet performing service(s) under this Grant Agreement and shall include all employees and agents of the GRANTEE. F. "Personal Information" shall mean information identifiable to any person, including, but not limited to, information that relates to a person's name, health, finances, education, business, use, or receipt of governmental services or other activities, addresses, telephone numbers, social security numbers, driver license numbers, other identifying numbers, and any financial identifiers. G. "State" shall mean the State of Washington. H. "Subgrantee/subcontractor" shall mean one not in the employment of the GRANTEE, who is performing all or part of those services under this Grant Agreement under a separate subcontract or subgrant with the GRANTEE. The term "subgrantee/subcontractor" refers to any tier. 2. ACCESS TO DATA In compliance with RCW 39.26.180, the GRANTEE shall provide access to data generated under this Grant Agreement to COMMERCE, the Joint Legislative Audit and Review Committee, and the Office of the State Auditor at no additional cost. This includes access to all information that supports the findings, conclusions, and recommendations of the GRANTEE's reports, including computer models and the methodology for those models. 3. ADVANCE PAYMENTS PROHIBITED No payments in advance of or in anticipation of goods or services to be provided under this Grant Agreement shall be made by COMMERCE. 4. ALL WRITINGS CONTAINED HEREIN This Grant Agreement contains all the terms and conditions agreed upon by the parties. Such amendments shall not be binding unless they are in writing and signed by personnel authorized to bind each of the parties. No other understandings, oral or otherwise, regarding the subject matter of this Grant Agreement shall be deemed to exist or to bind any of the parties hereto. 5. ALLOWABLE COSTS Costs allowable under this Grant Agreement are actual expenditures according to an approved budget up to the maximum amount stated on the Grant Agreement Award or Amendment Face Sheet. 16 153 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 6. AMENDMENTS This Grant Agreement may be amended by mutual agreement of the parties. Such amendments shall not be binding unless they are in writing and signed by personnel authorized to bind each of the parties. No other understandings, oral or otherwise, regarding the subject matter of this Grant Agreement shall be deemed to exist or to bind any of the parties hereto. 7. AMERICANS WITH DISABILITIES ACT (ADA) OF 1990, PUBLIC LAW 101-336, ALSO REFERRED TO AS THE "ADA" 28 CFR PART 35 The GRANTEE must comply with the ADA, which provides comprehensive civil rights protection to individuals with disabilities in the areas of employment, public accommodations, state and local government services, and telecommunications. 8. ASSIGNMENT Neither this Grant Agreement nor any Claim arising under this Grant Agreement, shall be transferred or assigned by the GRANTEE without prior written consent of COMMERCE. 9. ATTORNEYS' FEES Unless expressly permitted under another provision of the Grant Agreement, in the event of litigation or other action brought to enforce Grant Agreement terms, each party agrees to bear its own attorneys' fees and costs. 10. AUDIT A. General Requirements COMMERCE reserves the right to require an audit. If required, GRANTEEs are to procure audit services and provide documentation of the audit to COMMERCE based on the following guidelines. The GRANTEE shall maintain its records and accounts so as to facilitate audits and shall ensure that subgrantees/subcontractors also maintain auditable records. The GRANTEE is responsible for any audit exceptions incurred by its own organization or that of its subgrantees/subcontractors. COMMERCE reserves the right to recover from the GRANTEE all disallowed costs resulting from the audit. Responses to any unresolved management findings and disallowed or questioned costs shall be included with the audit report. The GRANTEE must respond to COMMERCE requests for information or corrective action concerning audit issues within 30 calendar days of the date of request. B. State Funds Requirements In the event an audit is required, if the GRANTEE is a state or local government entity, the Office of the State Auditor shall conduct the audit. Audits of non-profit organizations are to be conducted by a qualified certified public accountant. The GRANTEE shall include the above audit requirements in any and all subgrants or subcontracts. 154 17 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 In any case, the GRANTEE's records must be available for review by COMMERCE at any time during the Commitment Period as defined in Special Terms and Conditions Section 6(B). C. Documentation Requirements The GRANTEE must send a copy of the audit report described above no later than 9 months after the end of the GRANTEE's fiscal year(s) by sending a scanned copy to comacctoffice@commerce.wa.gov or a hard copy to: Washington State Department of Commerce ATTN: Audit Review and Resolution Office 1011 Plum Street SE PO Box 42525 Olympia. WA 98504-2525 In addition to sending a copy of the audit, when applicable, the GRANTEE must include: i. Corrective action plan for audit findings within three (3) months of the audit being received by COMMERCE; and ii. Copy of the Management Letter. If the GRANTEE is required to obtain a single audit consistent with Circular A-133 requirements, a copy must be provided to COMMERCE; no other report is required. 11. BREACHES OF OTHER STATE CONTRACTS GRANTEE is expected to comply with all other contracts and grant agreements executed between GRANTEE and the State of Washington. A breach of any other contract or grant agreement entered into between GRANTEE and the State of Washington may, in COMMERCE's sole discretion, be deemed a breach of this Grant Agreement. 12. CODE REQUIREMENTS All construction and rehabilitation projects must satisfy the requirements of applicable local, state, and federal building, mechanical, plumbing, fire, energy and barrier -free codes. Compliance with the Americans with Disabilities Act of 1990 28 C.F.R. Part 35 will be required, as specified by the local building Department. 13. CONFIDENTIALITY/SAFEGUARDING OF INFORMATION A. "Confidential Information" as used in this Section includes: i. All material provided to the GRANTEE by COMMERCE that is designated as "confidential" by COMMERCE; and ii. All material produced by the GRANTEE that is designated as "confidential" by COMMERCE; and iii. All Personal Information in the possession of the GRANTEE that may not be disclosed under state or federal law. B. The GRANTEE shall comply with all state and federal laws related to the use, sharing, transfer, sale, or disclosure of Confidential Information. The GRANTEE shall use Confidential Information solely for the purposes of this Grant Agreement and shall not use, share, transfer, sell, or disclose any Confidential Information to any third party except with the prior written consent of COMMERCE or as may be required by law. The GRANTEE shall take all necessary steps to assure that Confidential Information is safeguarded to prevent unauthorized use, sharing, transfer, sale, or disclosure of Confidential Information or violation of any related state or federal laws. Upon request, the GRANTEE shall provide COMMERCE with its policies and procedures on confidentiality. COMMERCE may require changes to such 18 155 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 policies and procedures as they apply to this Grant Agreement whenever COMMERCE reasonably determines that changes are necessary to prevent unauthorized disclosures. The GRANTEE shall make the changes within the time period specified by COMMERCE. Upon request, the GRANTEE shall immediately return to COMMERCE any Confidential Information that COMMERCE reasonably determines has not been adequately protected by the GRANTEE against unauthorized disclosure. C. Unauthorized Use or Disclosure. The GRANTEE shall notify COMMERCE within 5 working days of GRANTEE's discovery of any unauthorized use or disclosure of any confidential information and shall take necessary steps to mitigate the harmful effects of such use or disclosure. 14. CONFORMANCE If any provision of this Grant Agreement violates any statute or rule of law of the State of Washington, it is considered modified to conform to that statute or rule of law. 15. CONFLICT OF INTEREST Notwithstanding any determination by the Executive Ethics Board or other tribunal, COMMERCE may, in its sole discretion, by written notice to the GRANTEE terminate this Grant Agreement if it is found after due notice and examination by COMMERCE that there is a violation of the Ethics in Public Service Act, RCW 42.52 and RCW 42.23, or any similar statute involving the GRANTEE in the procurement of, or performance under, this Grant Agreement. Specific restrictions apply to contracting with current or former state employees pursuant to RCW 42.52. The GRANTEE and all subgrantees/subcontractors (if any) must identify any person employed in any capacity by the State of Washington that worked on this Grant Agreement, or any matter related to the Project funded under this Grant Agreement or any other state funded project, including, but not limited to, formulating or drafting legislation, participating in grant procurement, planning and execution, awarding grants, or monitoring grants, during the 24 month period preceding the start date of this Grant Agreement. Any person identified by the GRANTEE and their subgrantees/subcontractors (if any) must be identified individually by name, the agency previously or currently employed by, job title or position held, and separation date. If it is determined by COMMERCE that a conflict of interest exists, the GRANTEE may be disqualified from further consideration for the award of a grant. In the event this Grant Agreement is terminated as provided above, COMMERCE shall be entitled to pursue the same remedies against the GRANTEE as it could pursue in the event of a breach of the Grant Agreement by the GRANTEE. The rights and remedies of COMMERCE provided for in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law. The existence of facts upon which COMMERCE makes any determination under this clause shall be an issue and may be reviewed as provided in Section 18 General Terms and Conditions (Disputes) of this Grant Agreement. 16. COPYRIGHT PROVISIONS Unless otherwise provided, all Materials produced under this Grant Agreement shall be considered "works for hire" as defined by the U.S. Copyright Act and shall be owned by COMMERCE. COMMERCE shall be considered the author of such Materials. In the event that the Materials are not considered "works for hire" under the U.S. Copyright laws, the GRANTEE hereby irrevocably assigns all right, title, and interest in all Materials, including all intellectual property rights, moral rights, and rights of publicity to COMMERCE effective from the moment of creation of such Materials. "Materials" means all items in any format and includes, but is not limited to, data, reports, documents, pamphlets, advertisements, books, magazines, surveys, studies, computer programs, films, tapes, and/or sound reproductions. "Ownership" includes the right to copyright, patent, and register as well as the ability to transfer these rights. 156 19 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 For Materials that are delivered under the Grant Agreement, but that incorporate pre-existing materials not produced under the Grant Agreement, the GRANTEE grants to COMMERCE a nonexclusive, royalty -free, irrevocable license (with rights to sublicense to others) in such Materials to translate, reproduce, distribute, prepare derivative works, publicly perform, and publicly display. The GRANTEE warrants and represents that the GRANTEE has all rights and permissions, including intellectual property rights, moral rights, and rights of publicity, necessary to grant such a license to COMMERCE. The GRANTEE shall exert all reasonable effort to advise COMMERCE, at the time of delivery of Materials furnished under this Grant Agreement, of all known or potential invasions of privacy contained therein and of any portion of such document which was not produced in the performance of this Grant Agreement. The GRANTEE shall provide COMMERCE with prompt written notice of each notice or claim of infringement received by the GRANTEE with respect to any Materials delivered under this Grant Agreement. COMMERCE shall have the right to modify or remove any restrictive markings placed upon the Materials by the GRANTEE. 17. DISALLOWED COSTS The GRANTEE is responsible for any audit exceptions or disallowed costs incurred by its own organization or that of its subgrantees/subcontractors. 18. DISPUTES Except as otherwise provided in this Grant Agreement, when a dispute arises between the parties and it cannot be resolved by direct negotiation, either party may request a dispute hearing with the Director of COMMERCE, who may designate a neutral person to decide the dispute. The request for a dispute hearing must: i. be in writing; H. state the disputed issues; iii. state the relative positions of the parties; iv. state the GRANTEE's name, address, and Grant Agreement number; and v. be mailed to the Director and the other party's (respondent's) Grant Agreement Representative within 3 working days after the parties agree that they cannot resolve the dispute. The respondent shall send a written answer to the requestor's statement to both the Director or the Director's designee and the requestor within 5 working days. The Director or designee shall review the written statements and reply in writing to both parties within 10 working days. The Director or designee may extend this period if necessary by notifying the parties. The decision shall not be admissible in any succeeding judicial or quasi-judicial proceeding. The parties agree that this dispute process shall precede any action in a judicial or quasi-judicial tribunal. Nothing in this Grant Agreement shall be construed to limit the parties' choice of a mutually acceptable alternate dispute resolution (ADR) method in addition to the dispute hearing procedure outlined above. 19. DUPLICATE PAYMENT COMMERCE shall not pay the GRANTEE, if the GRANTEE has charged or will charge the State of Washington or any other party under any other grant, subgrant/subcontract, contract, or 20 157 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 agreement, for the same services or expenses. The GRANTEE certifies that work to be performed under this Grant Agreement does not duplicate any work to be charged against any other grant, subgrant/subcontract, contract, or agreement. 20. GOVERNING LAW AND VENUE This Grant Agreement shall be construed and interpreted in accordance with the laws of the State of Washington, and the venue of any action brought shall be in the Superior Court for Thurston County. 21. INDEMNIFICATION To the fullest extent permitted by law, the GRANTEE shall indemnify, defend, and hold harmless the State of Washington, COMMERCE, agencies of the State, and all officials, agents, employees, and representatives of the State, from and against all Claims for injuries or death arising out of or resulting from the performance of the Grant Agreement. The GRANTEE'S obligation to indemnify, defend, and hold harmless includes any Claim by any and all of GRANTEE'S agents, employees, representatives, and/or subgrantee(s)/subcontractor(s) (and their agents, employees, and representatives, to the extent that GRANTEE is using any subgrantee/subcontractor for the Project). The GRANTEE'S obligations shall not include such Claims that may be caused by the sole negligence of the State and its agencies, officials, agents, and/or employees. If the Claims or damages are caused by or result from the concurrent negligence of (a) the State, its agents, and/or employees and (b) the GRANTEE, its subgrantees/subcontractors, agents, and/or employees, this indemnity provision shall be valid and enforceable only to the extent of the negligence of the GRANTEE (and/or its subgrantees/subcontractors) and their agents, officers, representatives, and/or employees. The GRANTEE waives its immunity under RCW 51 to the extent it is required to indemnify, defend, and hold harmless the State and its agencies, officers, agents, and/or employees. 22. INDEPENDENT CAPACITY OF THE GRANTEE The parties intend that an independent contractor relationship will be created by this Grant Agreement. The GRANTEE and its employees, officers, representatives, and/or agents performing under this Grant Agreement are not employees or agents of the State of Washington or COMMERCE. The GRANTEE will not hold itself out as or claim to be an officer or employee of COMMERCE or of the State of Washington by reason hereof, nor will the GRANTEE make any claim of right, privilege, or benefit which would accrue to such officer or employee under law. Conduct and control of the work associated with the Project will be solely with the GRANTEE. 23. INDUSTRIAL INSURANCE COVERAGE The GRANTEE shall comply with all applicable provisions of RCW 51 (Industrial Insurance). If the GRANTEE fails to provide industrial insurance coverage or fails to pay premiums or penalties on behalf of its employees as may be required by law, COMMERCE may collect from the GRANTEE the full amount payable to the Industrial Insurance Accident Fund. COMMERCE may deduct the amount owed by the GRANTEE to the accident fund from the amount payable to the GRANTEE by COMMERCE under this Grant Agreement and transmit the deducted amount to the Department of Labor and Industries (L&I) Division of Insurance Services. This provision does not waive any of L&I's rights to collect from the GRANTEE. 24. LAWS The GRANTEE shall comply with all applicable laws, ordinances, codes, regulations, and policies of local and state and federal governments, as now or hereafter amended. 158 21 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 25. LICENSING, ACCREDITATION, AND REGISTRATION The GRANTEE shall comply with all applicable local, state, and federal licensing, accreditation, and registration requirements or standards necessary for the performance of this Grant Agreement. 26. LIMITATION OF AUTHORITY Only the Authorized Representative or Authorized Representative's delegate by writing (delegation to be made prior to action) shall have the express, implied, or apparent authority to enter, alter, amend, modify, or waive any clause or condition of this Grant Agreement. Furthermore, any alteration, amendment, modification, or waiver of any clause or condition of this Grant Agreement is not effective or binding unless made in writing and signed by the Authorized Representative. 27. LOCAL PUBLIC TRANSPORTATION COORDINATION Where applicable, GRANTEE shall participate in local public transportation forums and implement strategies designed to ensure access to services. 28. NONCOMPLIANCE WITH NONDISCRIMINATION LAWS A. During the performance of this Grant Agreement, the GRANTEE, including any subgrantee/subcontractor, shall comply with all federal, state, and local nondiscrimination laws, regulations, and policies including, but not be limited to, not discriminate on the bases enumerated at RCW 49.60.530(3). In addition, GRANTEE, including any subcontractor, shall give written notice of this nondiscrimination requirement to any labor organizations with which GRANTEE, or subgrantee/subcontractor, has a collective bargaining or other agreement. The funds provided under this Grant Agreement shall not be used to fund religious worship, exercise, or instruction. No person shall be required to participate in any religious worship, exercise, or instruction in order to have access to the facilities funded by this Grant Agreement. B. Obligation to Cooperate. GRANTEE, including any subcontractor, shall cooperate and comply with any Washington state agency investigation regarding any allegation that GRANTEE, including any subgrantee/subcontractor, has engaged in discrimination prohibited by this Agreement pursuant to RCW 49.60.530(3). C. Default. Notwithstanding any provision to the contrary, COMMERCE may suspend GRANTEE, including any subgrantee/subcontractor, upon notice of a failure to participate and cooperate with any state agency investigation into alleged discrimination prohibited by this Contract, pursuant to RCW 49.60.530(3). Any such suspension will remain in place until COMMERCE receives notification that GRANTEE, including any subgrantee/subcontractor, is cooperating with the investigating state agency. In the event GRANTEE, or subgrantee/subcontractor, is determined to have engaged in discrimination identified at RCW 49.60.530(3), COMMERCE may terminate this Agreement in whole or in part, and GRANTEE, subgrantee/subcontractor, or both, may be referred for debarment as provided in RCW 39.26.200. GRANTEE or subgrantee/subcontractor may be given a reasonable time in which to cure this noncompliance, including implementing conditions consistent with any court -ordered injunctive relief or settlement agreement. 29. PAY EQUITY The GRANTEE agrees to ensure that "similarly employed" individuals in its workforce are compensated as equals, consistent with the following: A. Employees are "similarly employed" if the individuals work for the same employer, the performance of the job requires comparable skill, effort, and responsibility, and the jobs are performed under similar working conditions. Job titles alone are not determinative of whether employees are similarly employed; 22 159 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 B. GRANTEE may allow differentials in compensation for its workers if the differentials are based in good faith and on any of the following: i. A seniority system; a merit system; a system that measures earnings by quantity or quality of production; a bona fide job -related factor or factors; or a bona fide regional difference in compensation levels; and/or ii. A bona fide job -related factor or factors may include, but not be limited to, education, training, or experience that is: Consistent with business necessity; not based on or derived from a gender -based differential; and accounts for the entire differential; and/or iii. A bona fide regional difference in compensation level must be: Consistent with business necessity; not based on or derived from a gender -based differential; and account for the entire differential. This Grant Agreement may be terminated by COMMERCE, if COMMERCE or the Department of Enterprise Services determines that the GRANTEE is not in compliance with this Section. 30. POLITICAL ACTIVITIES Political activity of GRANTEE employees and officers are limited by the Campaign Disclosure and Contribution provisions of RCW 42.17a and the Federal Hatch Act, 5 USC 1501 - 1508. No funds may be used for working for or against ballot measures or for or against the candidacy of any person for public office. 31. PREVAILING WAGE LAW The GRANTEE certifies that all subgrantees/subcontractors performing work on the Project shall comply with State Prevailing Wages on Public Works, RCW 39.12, as applicable to the Project funded by this Grant Agreement, including, but not limited to, the filing of the "Statement of Intent to Pay Prevailing Wages" and "Affidavit of Wages Paid" as required by RCW 39.12.040. The GRANTEE shall maintain records sufficient to evidence compliance with RCW 39.12 and shall make such records available for COMMERCE's review upon request. The GRANTEE is advised to consult the Industrial Statistician at the Washington Department of Labor and Industries to determine whether prevailing wages must be paid. COMMERCE is not responsible for determining whether prevailing wage applies to this Project or for any prevailing wage payments that may be required by law. 32. PROHIBITION AGAINST PAYMENT OF BONUS OR COMMISSION The funds provided under this Grant Agreement shall not be used in payment of any bonus or commission for the purpose of obtaining approval of the application for such funds or any other approval or concurrence under this Grant Agreement provided, however, that reasonable fees or bona fide technical consultant, managerial, or other such services, other than actual solicitation, are not hereby prohibited if otherwise eligible as Project costs. 33. PUBLICITY The GRANTEE agrees not to publish or use any advertising or publicity materials in which the State of Washington or COMMERCE's name is mentioned, or language used from which the connection with the State of Washington's or COMMERCE's name may reasonably be inferred or implied, without the prior written consent of COMMERCE. 160 23 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 34. RECAPTURE In the event that the GRANTEE fails to perform this Grant Agreement in accordance with state or federal laws, and/or the provisions of this Grant Agreement, COMMERCE reserves the right to recapture funds in an amount to compensate COMMERCE for the noncompliance (which may include all funds disbursed under the Grant Agreement, along with interest at the rate of the higher of: (i) five percent (5%) per annum, or (ii) the rate of interest of state of Washington general obligation bonds issued on the date most close in time to the effective date in which legislation authorized funding for the subject facility) in addition to any other remedies available at law or in equity. COMMERCE's ability to recapture or seek remedies shall survive any receipt of a Closeout Certification Form or termination of this Grant Agreement. Repayment by the GRANTEE of funds under this Section shall occur within the time period specified by COMMERCE. In the alternative, COMMERCE may recapture such funds from payments due under this Grant Agreement. 35. RECORDS MAINTENANCE The GRANTEE shall maintain books, records, documents, data, and other evidence relating to this Grant Agreement and performance of the services described herein, including, but not limited to, accounting procedures and practices that sufficiently and properly reflect all direct and indirect costs of any nature expended in the performance of this Grant Agreement. GRANTEE shall retain such records for a period of 6 years following the date of final payment. At no additional cost, these records, including materials generated under the Grant Agreement, shall be subject at all reasonable times to inspection, review, or audit by COMMERCE, personnel duly authorized by COMMERCE, the Office of the State Auditor, and federal and state officials so authorized by law, regulation, or agreement. If any litigation, Claim, or audit is started before the expiration of the 6 year period, the records shall be retained until all litigation, Claims, or audit findings involving the records have been resolved. 36. REGISTRATION WITH DEPARTMENT OF REVENUE AND SECRETARY OF STATE If required by law, the GRANTEE shall complete registration with the Washington State Department of Revenue and current with all required filings. Nonprofit and for -profit businesses must also be registered with the Washington Secretary of State. 37. RIGHT OF INSPECTION At no additional cost, the GRANTEE shall provide right of access to its facilities to COMMERCE, or any of its officers, or to any other authorized agent or official of the State of Washington or the federal government, at all reasonable times, in order to monitor and evaluate performance, compliance, and/or quality assurance under this Grant Agreement. At no additional cost, the GRANTEE shall also provide any documents related to this Grant Agreement to COMMERCE upon request to assist COMMERCE in the periodic monitoring of this Grant Agreement. 38. SAVINGS In the event funding from state, federal, or other sources is withdrawn, reduced, or limited in any way after the effective date of this Grant Agreement and prior to normal completion, COMMERCE may terminate the Grant Agreement under the "Termination for Convenience" clause, without the 10 calendar day notice requirement. In lieu of termination, the Grant Agreement may be amended to reflect the new funding limitations and conditions. 24 161 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 39. SEVERABILITY The provisions of this Grant Agreement are intended to be severable. If any term or provision is illegal or invalid for any reason whatsoever, such illegality or invalidity shall not affect the validity of the remainder of the Grant Agreement. 40. SITE SECURITY While on COMMERCE premises, GRANTEE, its agents, employees, and/or subgrantees/subcontractors shall conform in all respects with physical, fire, and other security policies or regulations. 41. SUBGRANTING/SUBCONTRACTING A. GRANTEE must execute binding agreements with all subgrantees/subcontractors that will perform work under this Grant Agreement. B. GRANTEE must ensure that any and all subgrantees/subcontractors that perform work related to this Project are duly authorized and licensed in Washington State to perform the work contemplated by this Grant Agreement. C. Neither the GRANTEE nor any subgrantee/subcontractor shall enter into subgrants/subcontracts for any of the work associated with the Project contemplated under this Grant Agreement without obtaining prior written approval of COMMERCE. In no event shall the existence of the subgrant/subcontract operate to release or reduce the liability of the GRANTEE to COMMERCE for any breach in the performance of the GRANTEE's duties. This clause does not include grants of employment between the GRANTEE and personnel assigned to perform work associated with the Project under this Grant Agreement. D. Additionally, the GRANTEE is responsible for ensuring that all terms, conditions, assurances, and certifications set forth in this Grant Agreement are carried forward to any subgrants/subcontracts. Every subgrant/subcontract shall include a term that COMMERCE and the State of Washington are not liable for Claims or damages arising from a subgrantee's/subcontractor's performance of the subgrant/subcontract. GRANTEE and its subgrantees/subcontractors agree not to release, divulge, publish, transfer, sell or otherwise make known to unauthorized persons personal information without the express written consent of COMMERCE or as provided by law. E. Data Collection - GRANTEE will submit reports, in a form and format to be provided by COMMERCE and at intervals as agreed by the parties, regarding work under this Grant Agreement performed by subgrantees/subcontractors and the portion of grant funds expended for work performed by subgrantees/subcontractors, including, but not necessarily limited to, minority -owned, woman -owned, and veteran -owned business subcontractors. "Subgrantees/subcontractors" shall mean subgrantees/subcontractors of any tier. 42. SURVIVAL The terms, conditions, and warranties contained in this Grant Agreement that by their sense and context are intended to survive the completion of the performance, cancellation, or termination of this Grant Agreement shall so survive including, without limitation, any Recapture provision in this Grant Agreement. 43. TAXES All payments accrued on account of payroll taxes, unemployment contributions, the GRANTEE's income or gross receipts, and/or any other taxes, insurance, or expenses for the GRANTEE or its staff shall be the sole responsibility of the GRANTEE. 162 25 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 44. TERMINATION FOR CAUSE In the event COMMERCE determines the GRANTEE has failed to comply with the conditions of this Grant Agreement in a timely manner, COMMERCE has the right to suspend or terminate this Grant Agreement. Before suspending or terminating the Grant Agreement, COMMERCE shall notify the GRANTEE in writing of the need to take corrective action. If corrective action is not taken within 30 calendar days, the Grant Agreement may be terminated or suspended. In the event of termination or suspension, the GRANTEE shall be liable for damages as authorized by law including, but not limited to, any cost difference between the original Grant Agreement and the replacement or cover Grant Agreement and all administrative costs directly related to the replacement Grant Agreement (e.g., cost of the competitive bidding, mailing, advertising and staff time). COMMERCE reserves the right to suspend all or part of the Grant Agreement, withhold further payments, or prohibit the GRANTEE from incurring additional obligations of funds during investigation of the alleged compliance breach and pending corrective action by the GRANTEE or a decision by COMMERCE to terminate the Grant Agreement. A termination shall be deemed a "Termination for Convenience" under General Terms and Conditions Section 45 (Termination for Convenience) if it is determined that the GRANTEE: (1) was not in default; or (2) failure to perform was outside of his or her control, fault or negligence. The rights and remedies of COMMERCE provided in this Grant Agreement are not exclusive and are in addition to any other rights and remedies provided by law. 45. TERMINATION FOR CONVENIENCE Except as otherwise provided in this Grant Agreement, COMMERCE may, by 10 business days written notice, beginning on the second day after the mailing, terminate this Grant Agreement, in whole or in part. If this Grant Agreement is so terminated, COMMERCE shall be liable only for payment required under the terms of this Grant Agreement for services rendered or goods delivered prior to the effective date of termination. 46. TERMINATION PROCEDURES Upon termination of this Grant Agreement, COMMERCE, in addition to any other rights provided in this Grant Agreement, may require the GRANTEE to deliver to COMMERCE any property specifically produced or acquired for the performance of such part of this Grant Agreement as has been terminated. The provisions of the "Treatment of Assets" clause shall apply in such property transfer. COMMERCE shall pay to the GRANTEE the agreed upon price, if separately stated, for completed work and services accepted by COMMERCE, and the amount agreed upon by the GRANTEE and COMMERCE for (i) completed work and services for which no separate price is stated, (ii) partially completed work and services, (iii) other property or services that are accepted by COMMERCE, and (iv) the protection and preservation of property, unless the termination is for default, in which case the Authorized Representative shall determine the extent of the liability of COMMERCE. Failure to agree with such determination shall be a dispute within the meaning of the "Disputes" clause of this Grant Agreement. COMMERCE may withhold from any amounts due the GRANTEE such sum as the Authorized Representative determines to be necessary to protect COMMERCE against potential loss or liability. The rights and remedies of COMMERCE provided in this Section shall not be exclusive and are in addition to any other rights and remedies provided by law or under this Grant Agreement. After receipt of a notice of termination, and except as otherwise directed by the Authorized Representative, the GRANTEE shall: 26 163 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 1) Stop work under the Grant Agreement on the date, and to the extent specified, in the notice; 2) Place no further orders or subgrants/subcontracts for materials, services, or facilities except as may be necessary for completion of such portion of the work under the Grant Agreement that is not terminated; 3) Assign to COMMERCE, in the manner, at the times, and to the extent directed by the Authorized Representative, all of the rights, title, and interest of the GRANTEE under the orders and subgrants/subcontracts so terminated, in which case COMMERCE has the right, at its discretion, to settle or pay any or all Claims arising out of the termination of such orders and subgrants/subcontracts; 4) Settle all outstanding liabilities and all Claims arising out of such termination of orders and subgrants/subcontracts, with the approval or ratification of the Authorized Representative to the extent the Authorized Representative may require, which approval or ratification shall be final for all the purposes of this clause; 5) Transfer title to COMMERCE and deliver in the manner, at the times, and to the extent directed by the Authorized Representative any property which, if the Grant Agreement had been completed, would have been required to be furnished to COMMERCE; 6) Complete performance of such part of the work associated with the Project as shall not have been terminated by the Authorized Representative; and 7) Take such action as may be necessary, or as the Authorized Representative may direct, for the protection and preservation of the property related to this Grant Agreement, which is in the possession of the GRANTEE and in which COMMERCE has or may acquire an interest. 47. TREATMENT OF ASSETS Title to all property furnished by COMMERCE shall remain in COMMERCE. Title to all property furnished by the GRANTEE, for the cost of which the GRANTEE is entitled to be reimbursed as a direct item of cost under this Grant Agreement, shall pass to and vest in COMMERCE upon delivery of such property by the GRANTEE. Title to other property, the cost of which is reimbursable to the GRANTEE under this Grant Agreement, shall pass to and vest in COMMERCE upon (i) issuance for use of such property in the performance of this Grant Agreement, or (ii) commencement of use of such property in the performance of this Grant Agreement, or (iii) reimbursement of the cost thereof by COMMERCE in whole or in part, whichever first occurs. A. Any property of COMMERCE furnished to the GRANTEE shall, unless otherwise provided herein or approved by COMMERCE, be used only for the performance of this Grant Agreement. B. The GRANTEE shall be responsible for any loss or damage to property of COMMERCE that results from the negligence of the GRANTEE or which results from the failure on the part of the GRANTEE to maintain and administer that property in accordance with sound management practices. C. If any COMMERCE property is lost, destroyed or damaged, the GRANTEE shall immediately notify COMMERCE and shall take all reasonable steps to protect the property from further damage. D. The GRANTEE shall surrender to COMMERCE all property of COMMERCE prior to settlement upon completion, termination or cancellation of this Grant Agreement All reference to the GRANTEE under this clause shall also include GRANTEE'S employees, agents or subgrantees/subcontractors. 48. WAIVER Waiver of any default or breach shall not be deemed to be a waiver of any subsequent default or breach. Any waiver shall not be construed to be a modification of the terms of this Grant Agreement unless stated to be such in writing and signed by Authorized Representative of COMMERCE. 164 27 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 ATTACHMENT A - SCOPE OF WORK Funds awarded under this grant shall be used by City of Tukwila toward the Tukwila Community Center HVAC Replacement Phase 1 Project located at 12424 42nd Ave S, Tukwila, WA 98188. This Project will include, but not be limited to, HVAC replacement, renovation, design, and capitalized equipment activities such as replacement of the on -site boiler and the controls system for the full HVAC system to allow for optimal heating resources during the winter season and as needed throughout the year. This Project will serve as a benefit to the public by providing a stable and fully functional heating system for this community center that offers several activities for youth, adults, and seniors in the community including recreation and fitness programs, wellness programs, a preschool, rentable meeting rooms and banquet space, and as a potential emergency weather shelter. This Project is anticipated to be completed by July 30, 2025. Costs related to the work associated with the Project will only be reimbursed to the extent the work is determined by Commerce to be within the scope of the legislative appropriation. CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that the Scope of Work set forth above has been reviewed and approved by the GRANTEE's governing body as of the date and year written below. GRANTEE Mayor TITLE DATE 28 165 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 ATTACHMENT B - PROJECT BUDGET Line Item Funding Amount Acquisition $0.00 Architecture & Engineering $181,401.00 Construction $1,270,068.00 Capitalized Equipment $283,950.00 Total Project Budget $1,735,419.00 CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that the Project Budget set forth above has been reviewed and approved by the GRANTEE's governing body or board of directors, as applicable, as of the date and year written below. GRANTEE Mayor TITLE DATE 166 29 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 ATTACHMENT C - CERTIFICATION OF THE AVAILABILITY OF FUNDS TO COMPLETE THE PROJECT Non -State Fund Sources Amount King County Grant $500,000.00 City of Tukwila Local Funds $485,609.00 Total Non -State Funds $985,609.00 State Funds Amount State Capital Budget $250,260.00 Commerce CCF Grant #24-96647-296 $499,550.00 Total Non -State and State Sources $1,735,419.00 Holdback: 0% $0.00 Project Reimbursement Rate 100% CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that Project funding from sources other than those provided by this Grant Agreement and identified above has been reviewed and approved by the GRANTEE's governing body or board of directors, as applicable, and has either been expended for eligible Project expenses, or is committed in writing and available and will remain committed and available solely and specifically for carrying out the purposes of this Project as described in elsewhere in this Grant Agreement, as of the date and year written below. The GRANTEE shall maintain records sufficient to evidence that it has expended or has access to the funds needed to complete the Project and shall make such records available for COMMERCE's review upon reasonable request. GRANTEE Mayor TITLE DATE 30 167 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 ATTACHMENT D - CERTIFICATION OF THE PAYMENT AND REPORTING OF PREVAILING WAGES CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that all contractors and subgrantees/subcontractors performing work on the Project shall comply with prevailing wage laws set forth in RCW 39.12, as applicable on the date the Project appropriation becomes effective, including but not limited to the filing of the "Statement of Intent to Pay Prevailing Wages" and "Affidavit of Wages Paid" as required by RCW 39.12.040. The GRANTEE shall maintain records sufficient to evidence compliance with RCW 39.12 and shall make such records available for COMMERCE's review upon request. If any state funds are used by the GRANTEE for the purpose of construction, applicable State Prevailing Wages must be paid. The GRANTEE, by its signature, certifies that the declaration set forth above has been reviewed and approved by the GRANTEE's governing body as of the date and year written below. GRANTEE Mayor TITLE DATE 168 31 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 ATTACHMENT E - CERTIFICATION OF INTENT TO ENTER THE LEADERSHIP IN ENERGY AND ENVIRONMENTAL DESIGN (LEED) CERTIFICATION PROCESS CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that it will enter into the Leadership in Energy and Environmental Design certification process, as stipulated in RCW 39.35D, as applicable to the Project funded by this Grant Agreement. The GRANTEE shall, upon receipt of LEED certification by the United States Green Building Council, provide documentation of such certification to COMMERCE. The GRANTEE, by its signature, certifies that the declaration set forth above has been reviewed and approved by the GRANTEE's governing body or board of directors, as applicable, as of the date and year written below. NOT APPLICABLE GRANTEE TITLE DATE 32 169 Docusign Envelope ID: C372AEAD-C7C8-4A0E-B4DA-B1 E33A852578 Community Capital Facilities Routing List Name & Title Signature Date Erin Lalonde Budget Analyst Review & Approval ,-DocuSignedby. frit& WAAL —3FFF0A48B8F04A0... 2/27/2025 I Addeline Craig Managing Director Review & Approval Tony Hanson Deputy Director Final Review & Approval :55 AM PST 170 docusign. Certificate Of Completion Envelope Id: C372AEAD-C7C8-4A0E-B4DA-B1E33A852578 Subject: Please DocuSign: S23121 Tukwila HVAC Replacement Contract Division: Local Government Program: CCF ContractNumber: 23-96643-121 DocumentType: Contract Source Envelope: Document Pages: 34 Signatures: 1 Certificate Pages: 5 Initials: 0 AutoNav: Enabled Envelopeld Stamping: Enabled Time Zone: (UTC-08:00) Pacific Time (US & Canada) Status: Sent Envelope Originator: Pat Hughes 1011 Plum Street SE MS 42525 Olympia, WA 98504-2525 pat.hughes@commerce.wa.gov IP Address: 198.239.10.165 Record Tracking Status: Original 2/27/2025 8:41:26 AM Security Appliance Status: Connected Storage Appliance Status: Connected Holder: Pat Hughes pat.hughes@commerce.wa.gov Pool: StateLocal Pool: Washington State Department of Commerce Location: DocuSign Location: Docusign Signer Events Signature Timestamp Erin LaLonde erin.lalonde@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign Tom McLeod mayor@tukwilawa.gov Mayor Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Accepted: 2/27/2025 10:19:41 AM ID:f1120b74-d30e-4f0d-9642-a0a1ca4c2700 Addeline Craig addeline.craig@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign Tony Hanson tony.hanson@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign p-DocuSigned by: tvitn. (Atotn,f.t, '-3FFF0A48B8F04A0... Signature Adoption: Pre -selected Style Using IP Address: 198.239.106.217 Sent: 2/27/2025 8:47:54 AM Viewed: 2/27/2025 8:50:18 AM Signed: 2/27/2025 8:55:58 AM Sent: 2/27/2025 8:56:00 AM Viewed: 2/27/2025 10:19:41 AM 171 Signer Events Signature Timestamp Mark Barkley mark.barkley@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign In Person Signer Events Signature Timestamp Editor Delivery Events Status Timestamp Agent Delivery Events Status Timestamp Intermediary Delivery Events Status Timestamp Certified Delivery Events Status Timestamp Pat Hughes pat.hughes@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign Carbon Copy Events Status Timestamp Pat Hughes pat.hughes@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign David Rosen david.rosen@tukwilawa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Accepted: 8/16/2024 9:15:56 AM ID: efab21a4-9ecf-4c13-af7a-dde90f8d26b0 Witness Events Signature Timestamp Notary Events Signature Timestamp Envelope Summary Events Status Timestamps Envelope Sent Hashed/Encrypted 2/27/2025 8:47:54 AM Payment Events Status Timestamps Electronic Record and Signature Disclosure 172 Electronic Record and Signature Disclosure created on: 8/11/2020 4:44:12 PM Parties agreed to: Tom McLeod, David Rosen ELECTRONIC RECORD AND SIGNATURE DISCLOSURE From time to time, Washington State Department of Commerce (we, us or Company) may be required by law to provide to you certain written notices or disclosures. 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By selecting the check -box next to `I agree to use electronic records and signatures', you confirm that: • You can access and read this Electronic Record and Signature Disclosure; and • You can print on paper this Electronic Record and Signature Disclosure, or save or send this Electronic Record and Disclosure to a location where you can print it, for future reference and access; and • Until or unless you notify Washington State Department of Commerce as described above, you consent to receive exclusively through electronic means all notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you by Washington State Department of Commerce during the course of your relationship with Washington State Department of Commerce. 175 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D ink Washington State 140 Department Grant to City Of Tukwila through The Local Community Projects Program For Tukwila Community Center HVAC Replacement 176 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D Table of Contents FACE SHEET 4 SPECIAL TERMS AND CONDITIONS 5 1. GRANT MANAGEMENT 5 2. COMPENSATION 5 3. CERTIFICATION OF FUNDS PERFORMANCE MEASURES 5 4. STATE PUBLIC WORKS 6 5. SITE CONTROL 6 6. DOCUMENTATION AND SECURITY 6 7. BASIS FOR ESTABLISHING REAL PROPERTY VALUES FOR ACQUISITIONS OF REAL PROPERTY PERFORMANCE MEASURES 7 8. EXPENDITURES ELIGIBLE FOR REIMBURSEMENT 7 9. BILLING PROCEDURES AND PAYMENT 8 10. CLOSEOUT CERTIFICATION 9 11. INSURANCE 9 12. ORDER OF PRECEDENCE 11 13. REDUCTION IN FUNDS 11 14. REAPPROPRIATION 12 15. OWNERSHIP OF PROJECT/CAPITAL FACILITIES 12 16. CHANGE OF OWNERSHIP OR USE FOR GRANTEE -OWNED PROPERTY 12 17. CHANGE OF USE FOR LEASED PROPERTY PERFORMANCE MEASURE 12 18. MODIFICATION TO THE PROJECT BUDGET 13 19. SIGNAGE, MARKERS AND PUBLICATIONS 13 20. HISTORICAL AND CULTURAL ARTIFACTS 14 21. TERMINATION FOR FRAUD OR MISREPRESENTATION 14 22. FRAUD AND OTHER LOSS REPORTING 15 23. PUBLIC RECORDS ACT 15 24. APPLICABILITY OF COPYRIGHT PROVISIONS TO ARCHITECTURAL/ENGINEERING DESIGN WORK 15 25. TREATMENT OF ASSETS 15 GENERAL TERMS AND CONDITIONS 16 1. DEFINITIONS 16 2. ACCESS TO DATA 16 3. ADVANCE PAYMENTS PROHIBITED 16 4. ALL WRITINGS CONTAINED HEREIN 16 5. ALLOWABLE COSTS 16 6. AMENDMENTS 17 7. AMERICANS WITH DISABILITIES ACT (ADA) OF 1990, PUBLIC LAW 101-336, ALSO REFERRED TO AS THE "ADA" 28 CFR PART 35 17 8. ASSIGNMENT 17 1 177 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 9. ATTORNEYS' FEES 17 10. AUDIT 17 11. BREACHES OF OTHER STATE CONTRACTS 18 12. CODE REQUIREMENTS 18 13. CONFIDENTIALITY/SAFEGUARDING OF INFORMATION 18 14. CONFORMANCE 19 15. CONFLICT OF INTEREST 19 16. COPYRIGHT PROVISIONS 19 17. DISALLOWED COSTS 20 18. DISPUTES 20 19. DUPLICATE PAYMENT 20 20. GOVERNING LAW AND VENUE 21 21. INDEMNIFICATION 21 22. INDEPENDENT CAPACITY OF THE GRANTEE 21 23. INDUSTRIAL INSURANCE COVERAGE 21 24. LAWS 21 25. LICENSING, ACCREDITATION, AND REGISTRATION 22 26. LIMITATION OF AUTHORITY 22 27. LOCAL PUBLIC TRANSPORTATION COORDINATION 22 28. NONCOMPLIANCE WITH NONDISCRIMINATION LAWS 22 29. PAY EQUITY 22 30. POLITICAL ACTIVITIES 23 31. PREVAILING WAGE LAW 23 32. PROHIBITION AGAINST PAYMENT OF BONUS OR COMMISSION 23 33. PUBLICITY 23 34. RECAPTURE 24 35. RECORDS MAINTENANCE 24 36. REGISTRATION WITH DEPARTMENT OF REVENUE AND SECRETARY OF STATE 24 37. RIGHT OF INSPECTION 24 38. SAVINGS 24 39. SEVERABILITY 25 40. SITE SECURITY 25 41. SUBGRANTING/SUBCONTRACTING 25 42. SURVIVAL 25 43. TAXES 25 44. TERMINATION FOR CAUSE 26 45. TERMINATION FOR CONVENIENCE 26 46. TERMINATION PROCEDURES 26 47. TREATMENT OF ASSETS 27 48. WAIVER 27 ATTACHMENT A - SCOPE OF WORK 28 178 ii Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D ATTACHMENT B - PROJECT BUDGET 29 ATTACHMENT C - CERTIFICATION OF THE AVAILABILITY OF FUNDS TO COMPLETE THE PROJECT 30 ATTACHMENT D - CERTIFICATION OF THE PAYMENT AND REPORTING OF PREVAILING WAGES 31 ATTACHMENT E - CERTIFICATION OF INTENT TO ENTER THE LEADERSHIP IN ENERGY AND ENVIRONMENTAL DESIGN (LEED) CERTIFICATION PROCESS 32 iii 1 79 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D FACE SHEET Grant Agreement Number: 24-96647-296 Project Name: Tukwila Community Center HVAC Replacement Washington State Department of Commerce Local Government Division Local Community Projects 1. GRANTEE City of Tukwila 6200 SOUTHCENTER BLVD TU KW I LA, WA 98188-8548 2. GRANTEE Doing Business As (optional) 3. GRANTEE Representative David Rosen Fiscal Analyst (206) 767-2310 david.rosen@tukwilawa.gov 4. COMMERCE Representative Pat Hughes Program manager (360) 725-4187 pat.hughes@commerce.wa.gov P.O. Box 42525 1011 Plum Street SE Olympia, WA 98504-2525 5. Grant Amount $499,550.00 6. Funding Federal: Other: Source 7. Start Date Upon Final Signature 8. End Date June 30, 2025, if funds are not reappropriated; June 30, 2027, contingent on reappropriation. ❑ State: // ❑ N/A: ❑ 9. Federal Funds (as applicable) Federal Agency CFDA Number N/A N/A N/A 10.Tax ID# 91-6001519 11.SWV# SWV0018023-00 12.UBI# 179000208 13.UEI# U EQ N MC26C8T3 14. Grant Purpose The purpose of this performance -based Grant Agreement is to provide funding for the Tukwila Community Center HVAC Replacement Phase 1 Project located at 12424 42nd Ave S, Tukwila, WA 98168 as described in Attachment A — Scope of Work. COMMERCE, defined as the Washington State Department of Commerce, and the GRANTEE, as defined above, acknowledge and accept the terms of this Grant Agreement and attachments and have executed this Grant Agreement on the date below to start as of the date and year referenced above. The rights and obligations of both parties to this Grant Agreement are governed by this Grant Agreement and the following other documents incorporated by reference: Grant Agreement Terms and Conditions including Attachment A — Scope of Work, Attachment B — Budget, Attachment C — Certification of Availability of Funds to Complete the Project, Attachment D — Certification of the Payment and Reporting of Prevailing Wages, and Attachment E — Certification of Intent to Enter LEED Process, application as submitted for grant funding, applicable Local Community Projects Program Notice of Funding Availability, and applicable Local Community Projects Program Guidelines (as they may be revised from time to time). FOR GRANTEE FOR COMMERCE Tom McLeod, Mayor City of Tukwila Mark K. Barkley, Assistant Director Local Government Division Date Date TEMPLATE APPROVED AS TO FORM Lisa Koperski, Assistant Attorney General, on 7/22/2024 4 180 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D SPECIAL TERMS AND CONDITIONS GENERAL GRANT STATE FUNDS THIS GRANT AGREEMENT, entered into by and between the Grantee, a Local Government, and WASHINGTON STATE DEPARTMENT OF COMMERCE, as defined on the Face Sheet of this Grant Agreement, WITNESSES THAT: WHEREAS, COMMERCE has the statutory authority under RCW 43.330.050(5) to cooperate with and provide assistance to local governments, businesses, and community -based organizations; and WHEREAS, COMMERCE is also given the responsibility to administer state funds and programs which are assigned to COMMERCE by the Governor or the Washington State Legislature; and WHEREAS, the Washington State Legislature has, in Laws of 2023, Chapter 474, Section 1025, made an appropriation to support the 2024 Local and Community Projects Program, which was amended in Laws of 2024, Chapter 375, Section 1011, and directed COMMERCE to administer those funds; and Additionally, the GRANTEE has received an appropriation for the Tukwila Community Center #23-96643-121 in Substitute Senate Bill 5651, Laws of 2022, Chapter 296, Section 1026, which has not yet been administered. WHEREAS, the enabling legislation also stipulates that the GRANTEE is eligible to receive funding for design, acquisition, construction and equipment, or rehabilitation activities of the Project. GRANTEE and COMMERCE are individually a "party" and, collectively, the "parties." NOW, THEREFORE, in consideration of covenants, conditions, performances, and promises hereinafter contained, the parties agree as follows: 1. GRANT MANAGEMENT The Representative for each of the parties shall be responsible for and shall be the contact person for all communications and billings regarding the performance of this Grant Agreement. 2. COMPENSATION COMMERCE shall pay an amount not to exceed $499,550.00 for the capital costs necessary for or incidental to the performance of work as set forth in Attachment A (Scope of Work). 3. CERTIFICATION OF FUNDS PERFORMANCE MEASURES A. The release of state funds under this Grant Agreement is contingent upon the GRANTEE certifying that it has expended or has access to funds from non -state sources as set forth in ATTACHMENT C (CERTIFICATION OF THE AVAILABILITY OF FUNDS TO COMPLETE THE PROJECT). Such non -state sources may consist of a combination of any of the following: i. Eligible Project expenditures prior to the execution of this Grant Agreement. ii. Cash dedicated to the Project. iii. Funds available through a letter of credit or other binding loan commitment(s). iv. Pledges from foundations or corporations. 5 181 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D v. Pledges from individual donors. vi. The value of real property when acquired solely for the purposes of this Project, as established and evidenced by a current market value appraisal performed by a licensed, professional real estate appraiser, or a current property tax statement. COMMERCE will not consider appraisals for prospective values of such property for the purposes of calculating the amount of non -state matching fund credit. vii. In -kind contributions, subject to COMMERCE'S approval. B. The GRANTEE shall maintain records sufficient to evidence that it has access to or has expended funds from such non -state sources and shall make such records available for COMMERCE's review upon reasonable request. 4. STATE PUBLIC WORKS For work done at the cost of the State, GRANTEE must comply with public works statutes RCW 39.04 and RCW 39.10, apprenticeship requirements, and the State and local building codes, as applicable. If GRANTEE has questions about compliance, GRANTEE will need to visit the Washington State Department of Labor & Industries Public Works Projects website for more information. 5. SITE CONTROL GRANTEES who receive grants for construction, purchase or renovation of facilities must provide written evidence of and maintain site control, either through outright ownership of the subject property or a long-term lease, fora minimum of 10 years after the later of: (1) final grant payment; or (2) the date when the facility is made usable to the public for the purpose intended by the Washington State Legislature, including GRANTEE having secured all required licenses, certifications, and/or permits. GRANTEES must provide written evidence of continuing site control as may be requested by COMMERCE. 6. DOCUMENTATION AND SECURITY The provisions of this Section shall apply to capital projects performed by nonprofit organizations and public benefit corporations that involve the expenditure of over $250,000 in State funds. The provisions may also apply to Tribes, depending on the location of the Project. Additionally, COMMERCE reserves the right to review all state -funded projects and to require that projects performed by other entity types comply with this Section. Projects for which the grant award or legislative intent documents specify that the state funding is to be used for pre -design or design only are exempt from this Section. A. Deed of Trust. This Grant Agreement shall be evidenced by a promissory note and secured by a deed of trust or other appropriate security instrument in favor of COMMERCE (the Deed of Trust). The Deed of Trust shall be recorded in the County where the Project is located, and the original returned to COMMERCE after recordation within 90 calendar days of Grant Agreement execution. The Deed of Trust must be recorded before COMMERCE will reimburse the GRANTEE for any Project costs. The amount secured by the Deed of Trust shall be the amount of the Grant Agreement as set forth on the Face Sheet. B. Term of Deed of Trust; Commitment Period. The Deed of Trust shall remain in full force and effect for a minimum period of 10 years following the later of: (1) final payment of state funds to the GRANTEE under this Grant Agreement; or (2) the date when: i. the facility improved or acquired with grant funds; or ii. a distinct phase of the Project 182 6 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D is made useable to the public for the purpose intended by the Washington State Legislature (the Commitment Period). Upon satisfaction of the Commitment Period term requirement and all other Grant Agreement terms and conditions, COMMERCE shall, upon written request of the GRANTEE, take appropriate action to reconvey the Deed of Trust. C. Title Insurance. The GRANTEE shall purchase an extended coverage lender's policy of title insurance insuring the lien position of the Deed of Trust in an amount not less than the amount of the grant. D. Covenant. If the Project will be partially funded by a loan and the term of said loan is less than the Commitment Period as defined in Special Terms and Conditions Section 6(B), COMMERCE may require that GRANTEE record or cause to be recorded a covenant in a superior lien position ahead of the lender's security instrument that restricts use of the facility or property for the purpose(s) stated elsewhere in this Grant Agreement for at least the term of the Commitment Period as defined in Special Terms and Conditions Section 6(B). E. Subordination. COMMERCE may agree to subordinate its Deed of Trust upon request from a private or public lender. Any such request shall be submitted to COMMERCE in writing, and COMMERCE shall respond to the request in writing within 30 calendar days of receiving the request. F. Deed of Trust on Leased Property. COMMERCE may require, at its sole discretion, a Deed of Trust on the fee interest of the real property where the Project is located, if the Project is on leased property 7. BASIS FOR ESTABLISHING REAL PROPERTY VALUES FOR ACQUISITIONS OF REAL PROPERTY PERFORMANCE MEASURES When all or part of the grant is used to fund the acquisition of real property, before funds are disbursed, the GRANTEE shall procure and provide to COMMERCE evidence establishing the value of the real property eligible for reimbursement under this Grant Agreement as follows: A. GRANTEE purchases of real property from an independent third -party seller shall be evidenced by a current appraisal prepared by a licensed Washington State commercial real estate appraiser or a current property tax statement. B. GRANTEE purchases of real property from a subsidiary organization, such as an affiliated LLC, shall be evidenced by a current appraisal prepared by a licensed Washington State commercial real estate appraiser or the prior purchase price of the property plus holding costs, whichever is less. 8. EXPENDITURES ELIGIBLE FOR REIMBURSEMENT Payments to the GRANTEE shall be made on a reimbursement basis only. The GRANTEE may be reimbursed, at the rate set forth elsewhere in this Grant Agreement, for work associated with the Project expenditures Unless authorized by the Washington State Legislature, only those Project costs incurred after the date of execution, may be reimbursed. Reimbursable cost are determined by the Scope of Work, Attachment A. Generally costs within the following cost categories are considered capital expenditures: A. Real property, and costs directly associated with such purchase, when purchased or acquired solely for the purposes of the Project; B. Design, engineering, architectural, and planning; C. Construction management and observation (from external sources only); D. Construction costs including, but not limited to, the following: i. Site preparation and improvements; ii. Permits and fees; 7 183 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D iii. Labor and materials; iv. Taxes on Project goods and services; v. Capitalized equipment; vi. Information technology infrastructure; and vii. Landscaping. E. Other costs authorized through the legislation. 9. BILLING PROCEDURES AND PAYMENT COMMERCE shall reimburse the GRANTEE for up to 100% of each invoice for eligible Project expenditures, up to the maximum payable under this Grant Agreement. When requesting reimbursement for expenditures made, the GRANTEE shall submit to COMMERCE a signed and completed Invoice Voucher (Form A-19), that documents capitalized Project activity performed — by budget line item — for the billing period. The GRANTEE must submit all Invoice Vouchers and any required documentation electronically. Submissions shall be in accordance with directions provided by COMMERCE. Funds are reimbursement based and cannot be advanced under any circumstance. Disbursements of funds for invoices due and payable within 30 days are not considered advanced payments. The GRANTEE shall evidence the costs claimed on each voucher by including copies of each invoice received from subgrantees/subcontractors providing Project goods or services covered by the Grant Agreement. The GRANTEE shall also provide COMMERCE with a copy of the cancelled check or electronic funds transfer, as applicable, that confirms that they have paid each expenditure being claimed at the time the voucher is submitted or within 30 calendar days of Commerce's disbursement of payment. The cancelled checks or electronic funds transfers may be submitted to COMMERCE at the time the voucher is initially submitted or within 30 calendar days thereafter. The voucher must be certified (i.e., signed) by an official of the GRANTEE with authority to bind the GRANTEE. The voucher shall be submitted to COMMERCE within 60 calendar days following the completion of work or other termination of this Grant Agreement, or within 15 calendar days following the end of the State biennium unless Grant Agreement funds are re -appropriated by the Washington State Legislature in accordance with Special Terms and Conditions Section 18 (Reappropriation). If GRANTEE has or will be submitting any of the invoices attached to a request for payment for partial reimbursement under another contract or grant agreement, GRANTEE must clearly identify such contracts or grant agreements in the transmittal letter and request for payment. Each request for payment must be accompanied by a Project Status Report, which describes, in narrative form, the progress made on the Project since the last invoice was submitted as well as a report of Project status to date. COMMERCE will not release payment for any reimbursement request received unless and until the Project Status Report is received. After approving the Invoice Voucher and Project Status Report, COMMERCE shall promptly remit a warrant to the GRANTEE. In the event that the award amount in Special Terms and Conditions Section 2 (Compensation) is expended before construction completion of the Project, as identified in Attachment A (Scope of Work), the GRANTEE agrees to continue providing complete Project Status Report updates to their COMMERCE Representative annually or upon request. COMMERCE will pay GRANTEE upon receipt and approval of properly completed invoices and supporting documentation, which shall be submitted to the Representative for COMMERCE not more often than monthly. After approving the Invoice Voucher and Project Status Report, COMMERCE shall promptly remit a warrant to the GRANTEE. Payment shall be considered timely if made by COMMERCE within 30 calendar days after receipt of properly completed invoices. Payment shall be sent to the address designated by the GRANTEE. 184 8 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D Notwithstanding the foregoing, COMMERCE may, in its sole discretion, holdback up to the final 10% of grant funds until the Project is complete and the facility has been issued a Certificate of Occupancy from the appropriate local permitting entity, or for projects without occupiable space, when comparable evidence of Project completion is submitted by GRANTEE. The Certificate of Occupancy /evidence of completion should be submitted with GRANTEE's final request for reimbursement. 10. CLOSEOUT CERTIFICATION The GRANTEE shall complete and submit a Closeout Certification Form when: A. All activities identified in the Scope of Work shown on Attachment A are complete and the Project is useable to the public for the purpose intended by the Washington State Legislature, or B. When final payment is made and GRANTEE has certified that the Project will be completed and the public benefit described will be maintained for the term of the Commitment Period as defined in Special Terms and Conditions Section 6(B). Notwithstanding anything in A. or B. above, the right of COMMERCE to recapture funds or seek other remedies for failure to make the Project usable to the public shall survive the closeout or termination of this Grant Agreement. COMMERCE reserves the right to request additional information related to the Project. 11. INSURANCE A. Insurance Requirements for Reimbursable Activities The GRANTEE must have insurance coverage that is substantially similar to the coverage described in Section 11 B below for all periods in which GRANTEE performed work for which it will seek reimbursement. The intent of the required insurance is to protect the State of Washington should there be any Claims, suits, actions, costs, damages or expenses arising from any loss or negligent or intentional act or omission of the GRANTEE or subgrantee/subcontractor, or agents of either, while performing under the terms of this Grant Agreement. B. Additional Insurance Requirements During the Term of the Grant Agreement i. The GRANTEE shall provide proof to COMMERCE of insurance coverage that shall be maintained in full force and effect, as indicated below, and shall submit renewal certificates not less than 30 calendar days prior to expiration of each policy required under this Section: a. Commercial General Liability Insurance Policy. Provide a Commercial General Liability Insurance Policy, including contractual liability, written on an occurrence basis, in adequate quantity to protect against legal liability arising out of or related to this Grant Agreement but in no less than $1,000,000 per occurrence. Additionally, the GRANTEE is responsible for ensuring that any subgrantee/subcontractor provide adequate insurance coverage for the activities arising out of or related to subgrants/subcontracts (if any). Commercial General Liability Insurance coverage shall be maintained in full force and effect during the term of this Grant Agreement and throughout the Commitment Period as defined in Special Terms and Conditions Section 6(B). This insurance must be maintained throughout the term of the Grant Agreement and the Commitment Period as defined in Special Terms and Conditions Section 6(B). b. Property Insurance. The GRANTEE shall keep the property insured in an amount sufficient to permit such insurance to be written at all times on a replacement cost basis. Such insurance shall cover the following hazards, as applicable: 1. Loss or damage by fire and such other risks; 2. Loss or damage from leakage or sprinkler systems now or hereafter installed in any building on the premises; 9 185 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 3. Loss or damage by explosion of steam boilers, pressure vessels, oil or gasoline storage tanks, or similar apparatus now or hereafter installed in a building or building on the premises. This property insurance coverage must be maintained in full force and effect throughout the term of this Grant Agreement and the Commitment Period as defined in Special Terms and Conditions Section 6(B). c. Professional Liability, Errors, and Omissions Insurance. If GRANTEE will be providing any professional services to be reimbursed under this Grant Agreement, the GRANTEE shall maintain Professional Liability or Errors and Omissions Insurance with minimum limits of no less than $1,000,000 per occurrence to cover all activities by the GRANTEE and licensed staff employed or under contract to the GRANTEE. The State of Washington, the Department of Commerce, its agents, officers, and employees need not be named as additional insureds under this policy. This insurance must be maintained throughout the Commitment Period as defined in Special Terms and Conditions Section 6(B). GRANTEE shall require that any subgrantees/subcontractors providing professional services that are reimbursable under this Grant Agreement maintain Professional Liability or Errors and Omissions Insurance at the coverage levels set forth in this subsection. d. Fidelity Insurance. Every officer, director, employee, or agent who is authorized to act on behalf of the GRANTEE for the purpose of receiving or depositing funds into program accounts or issuing financial documents, checks, or other instruments of payment for program costs shall be insured to provide protection against loss where: 1. The amount of fidelity coverage secured pursuant to this Grant Agreement shall be $2,000,000 or the highest of planned reimbursement for the Grant Agreement period, whichever is lower. Fidelity insurance secured pursuant to this paragraph shall name the State of Washington, the Department of Commerce, its agents, officers, and employees as beneficiary. 2. Subgrantees/subcontractors that receive $10,000 or more per year in funding through this Grant Agreement shall secure fidelity insurance as noted above. Fidelity insurance secured by subgrantees/subcontractors pursuant to this paragraph shall name the GRANTEE and the GRANTEE's fiscal agent (if any) as beneficiary. 3. Fidelity Insurance coverage shall be maintained in full force and effect from the start date of this Grant Agreement until GRANTEE has submitted a Closeout Certification Form, subject to the following: Fidelity Insurance must be issued on either (a) a "loss sustained" basis; or (b) if issued on a "loss -discovered" basis, provide coverage for at least 6 months following the date of COMMERCE's receipt of the Closeout Certification Form. H. The insurance required shall be issued by an insurance company authorized to do business within the State of Washington. Except as otherwise set forth in this Section, each insurance policy shall name "the State of Washington the Department of Commerce, its agents, officers, and employees" as additional insureds on all policies. All policies shall be primary to any other valid and collectable insurance. The GRANTEE shall instruct the insurers to give COMMERCE 30 calendar days' advance notice of any insurance cancellation or modification. iii. The GRANTEE shall submit to COMMERCE within 15 calendar days of the Grant Agreement start date, a certificate of insurance which outlines the coverage and limits defined in this insurance section including, without limitation, the type of insurance coverage under the policy, the designated beneficiary, who is covered, the amounts, the period of coverage, and that COMMERCE will be provided 30 days' advance written notice of cancellation. During the term of the Grant Agreement, the GRANTEE shall submit renewal certificates not less than 30 calendar days prior to expiration of each policy required under this Section. Additionally, GRANTEE shall 186 10 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D provide copies of insurance instruments or certifications at COMMERCE's request and until six month after COMMERCE has received a Closeout Certification Form from GRANTEE. Copies of such insurance instruments and certifications will be provided within 15 calendar days of COMMERCE's request unless otherwise agreed to by the parties. iv. GRANTEES and Local Governments that Participate in a Self -Insurance Program. Self-Insured/Liability Pool or Self -Insured Risk Management Program — With prior approval from COMMERCE, the GRANTEE may provide the coverage above under a self-insured/liability pool or self -insured risk management program. In order to obtain permission from COMMERCE, the GRANTEE shall provide: (1) a description of its self-insurance program, and (2) a certificate and/or letter of coverage that outlines coverage limits and deductibles. All self -insured risk management programs or self-insured/liability pool financial reports must comply with Generally Accepted Accounting Principles (GAAP) and adhere to accounting standards promulgated by: 1) Governmental Accounting Standards Board (GASB), 2) Financial Accounting Standards Board (FASB), and 3) the Washington State Auditor's annual instructions for financial reporting. GRANTEE's participating in joint risk pools shall maintain sufficient documentation to support the aggregate Claim liability information reported on the balance sheet. The State of Washington, the Department of Commerce, its agents, and employees need not be named as additional insured under a self -insured property/liability pool, if the pool is prohibited from naming third parties as additional insured. GRANTEE shall provide annually to COMMERCE a summary of coverages and a letter of self- insurance, evidencing continued coverage under GRANTEE's self-insured/liability pool or self - insured risk management program. Such annual summary of coverage and letter of self- insurance will be provided on the anniversary of the start date of this Grant Agreement. 12. ORDER OF PRECEDENCE In the event of an inconsistency in this Grant Agreement, the inconsistency shall be resolved by giving precedence in the following order: 1) Applicable federal and State of Washington statutes and regulations 2) Special Terms and Conditions 3) General Terms and Conditions 4) Attachment A — Scope of Work 5) Attachment B — Project Budget 6) Attachment C — Certification of the Availability of Funds to Complete the Project 7) Attachment D — Certification of the Payment and Reporting of Prevailing Wages 8) Attachment E — Certification of Intent to Enter the Leadership in Energy and Environmental Design (LEED) Certification Process 9) Application as submitted by the GRANTEE for funding 10) Notice of Funding Availability 11) Program Guidelines, as revised. GRANTEE acknowledges that the Program Guidelines may be revised by COMMERCE from time to time and agrees that the most recent version of the Guidelines shall be applicable. COMMERCE will post notice on its website https://www.commerce.wa.gov/buildinq-infrastructure/capital-facilities/ drawing attention to the sections of the Guidelines that have been revised. 13. REDUCTION IN FUNDS In the event that funds appropriated for the Project contemplated under this Grant Agreement are withdrawn, reduced, or limited in any way by the Governor or the Washington State Legislature, or other funding source, during the Grant Agreement period, the parties understand and agree that COMMERCE may suspend, amend, or terminate the Grant Agreement to abide by the revised 11 187 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D funding limitations. The parties understand and agree that GRANTEE shall be bound by any such revised funding limitations as implemented at the discretion of COMMERCE and shall meet and renegotiate the Grant Agreement accordingly. 14. REAPPROPRIATION A. The parties hereto understand and agree that any State funds not expended by the End Date listed on the Face Sheet will lapse on that date unless specifically reappropriated by the Washington State Legislature. If funds are so reappropriated, the State's obligation under the terms of this Grant Agreement shall be contingent upon the terms of such reappropriation. B. In the event any funds awarded under this Grant Agreement are reappropriated for use in a future biennium, COMMERCE reserves the right to assign a reasonable share of any such reappropriation for administrative costs. 15. OWNERSHIP OF PROJECT/CAPITAL FACILITIES COMMERCE makes no claim to any real property improved or constructed with funds awarded under this Grant Agreement and does not assert and will not acquire any ownership interest in or title to the capital facilities and/or equipment constructed or purchased with state funds under this Grant Agreement; provided, however, that COMMERCE may be granted a security interest in real property to secure funds awarded under this Grant Agreement. This provision does not extend to Claims that COMMERCE may bring against the GRANTEE in recapturing funds expended in violation of this Grant Agreement. 16. CHANGE OF OWNERSHIP OR USE FOR GRANTEE -OWNED PROPERTY A. The GRANTEE understands and agrees that any and all real property or facilities owned by the GRANTEE that are acquired, constructed, or otherwise improved using state funds under this Grant Agreement shall be held and used by the GRANTEE for the purpose or purposes stated elsewhere in this Grant Agreement for the Commitment Period as defined in Special Terms and Conditions Section 6(B). B. This provision shall not be construed to prohibit the GRANTEE from selling any property or properties described in this Section; provided, however, that any such sale shall be subject to prior review and approval by COMMERCE and that all proceeds from such sale shall be applied to the purchase price of a different facility or facilities of equal or greater value than the original facility and that any such new facility or facilities will be used for the purpose or purposes stated elsewhere in this Grant Agreement. C. In the event the GRANTEE is found to be out of compliance with this Section, the GRANTEE shall repay to the state general fund pursuant to General Terms and Conditions Section 34, the principal amount of the funds disbursed under the Grant Agreement, along with interest at the rate of the higher of: (i) five percent (5%) per annum, or (ii) the rate of interest of state of Washington general obligation bonds issued on the date most close in time to the effective date in which legislation authorized funding for the subject facility. Repayment shall be made pursuant to General Terms and Conditions Section 27 (Recapture). This repayment is in addition to any other remedies available at law or in equity. 17. CHANGE OF USE FOR LEASED PROPERTY PERFORMANCE MEASURE A. The GRANTEE understands and agrees that any and all real property or facilities leased by the GRANTEE that are constructed, renovated, or otherwise improved using state funds under this Grant Agreement shall be used by the GRANTEE for the purpose or purposes stated elsewhere in this Grant Agreement for a period of the Commitment Period as defined in Special Terms and Conditions Section 6(B). B. In the event the GRANTEE is found to be out of compliance with this Section, the GRANTEE shall repay to the state general fund pursuant to General Terms and Conditions Section 34, the principal amount of the funds disbursed under the Grant Agreement, along with interest at the 188 12 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D rate of the higher of: (i) five percent (5%) per annum, or (ii) the rate of interest of state of Washington general obligation bonds issued on the date most close in time to the effective date in which legislation authorized funding for the subject facility Repayment shall be made pursuant to General Terms and Conditions Section 27 (Recapture). This repayment is in addition to any other remedies available at law or in equity. 18. MODIFICATION TO THE PROJECT BUDGET A. Notwithstanding any other provision of this Grant Agreement, the GRANTEE may, at its discretion, make modifications to line items in Attachment B (Project Budget) that will not increase the line item by more than 15%. B. The GRANTEE shall notify COMMERCE in writing (by email or regular mail) when proposing any budget modification or modifications to a line item in Attachment B (Project Budget) that would increase the line item by more than 15%. Conversely, COMMERCE may initiate the budget modification approval process if presented with a request for payment under this Grant Agreement that would cause one or more budget line items to exceed the 15% threshold increase described above. C. Any such budget modification or modifications as described above shall require the written approval of COMMERCE (by email or regular mail), and such written approval shall amend the Project Budget. Each party to this Grant Agreement will retain and make any and all documents related to such budget modifications a part of their respective Grant Agreement file. D. Nothing in this Section shall be construed to permit an increase in the amount of funds available for the Project, as set forth in Special Terms and Conditions Section 2 (Compensation) of this Grant Agreement. 19. SIGNAGE, MARKERS AND PUBLICATIONS A. Taxpayers of Washington State as participant in funding Project If, during the period covered by this Grant Agreement, the GRANTEE displays or circulates any communication, publication, or donor recognition identifying the financial participants in the Project, any such communication or publication must identify "The Taxpayers of Washington State" as a participant. B. Ensure coordinated Climate Commitment Act branding. If Climate Commitment Act funding is involved in this Grant Agreement, then the following provisions apply to GRANTEE and its subgrantees/subcontractors including, without limitation, any and all contractors, subgrantees/subcontractors, service providers, and others who assist GRANTEE in implementing the Project in order to strengthen public awareness of how CCA funding is used and to ensure consistent branding and funding acknowledgments: i. Funding source acknowledgement. - The GRANTEE must display or circulate in any and all communications including, without limitation, on websites and in announcements, press releases, and publications used for media -related activities, publicity, and public outreach that: "The is supported with funding from Washington's Climate Commitment Act. The CCA supports Washington's climate action efforts by putting cap -and -invest dollars to work reducing climate pollution, creating jobs, and improving public health. Information about the CCA is available at www.climate.wa.gov." ii. Include the "Climate Commitment Act" logo at climate.wa.qov/brandtoolkit, consistent with the branding guidelines posted at climate.wa.qov/brandtoolkit for: a. any Project website or webpage that includes logos from other funding partners; and/or b. any Project media or public information materials that include logos from other funding partners; and/or c. On -site signage, to the extent possible. By way of example only, this means that for consumer -related projects or programs, a decal may be placed on front of installed heat pump or a logo printed on a delivery tag. 13 189 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D iii. The GRANTEE is responsible for ensuring that its subgrantees/subcontractors comply with Section 19(B). 20. HISTORICAL AND CULTURAL ARTIFACTS Prior to approval and disbursement of any funds awarded under this Grant Agreement, GRANTEE shall cooperate with COMMERCE to complete the requirements of Governor's Executive Order 21-02 or GRANTEE shall complete a review under Section 106 of the National Historic Preservation Act, if applicable. GRANTEE agrees that the GRANTEE is legally and financially responsible for compliance with all laws, regulations, and agreements related to the preservation of historical or cultural resources and agrees to hold harmless COMMERCE and the State of Washington in relation to any claim related to such historical or cultural resources discovered, disturbed, or damaged as a result of the Project funded by this Grant Agreement. In addition to the requirements set forth in this Grant Agreement, GRANTEE shall, in accordance with Governor's Executive Order 21-02 as applicable, coordinate with COMMERCE and the Washington State Department of Archaeology and Historic Preservation (DAHP), including any recommended consultation with any affected tribe(s), during Project design and prior to construction to determine the existence of any tribal cultural resources affected by Project. GRANTEE agrees to avoid, minimize, or mitigate impacts to the cultural resource as a continuing prerequisite to receipt of funds under this Grant Agreement. The GRANTEE agrees that, unless the GRANTEE is proceeding under an approved historical and cultural monitoring plan or other memorandum of agreement, if historical or cultural artifacts are discovered during construction, the GRANTEE shall immediately stop construction and notify the local historical preservation officer and the State's historical preservation officer at DAHP, and the COMMERCE Representative identified on the Face Sheet. If human remains are uncovered, the GRANTEE shall report the presence and location of the remains to the coroner and local enforcement immediately, then contact DAHP and the concerned tribe's cultural staff or committee. The GRANTEE shall require this provision to be contained in all subgrants/subcontracts for work or services related to the Project described in Attachment A (Scope of Work). In addition to the requirements set forth in this Grant Agreement, GRANTEE agrees to comply with RCW 27.44 regarding Indian Graves and Records, RCW 27.53 regarding Archaeological Sites and Resources, RCW 68.60 regarding Abandoned and Historic Cemeteries and Historic Graves, and WAC 25-48 regarding Archaeological Excavation and Removal Permits. Completion of the requirements of Section 106 of the National Historic Preservation Act shall substitute for completion of Governor's Executive Order 21-02. In the event that the GRANTEE finds it necessary to amend the Project described in Attachment A (Scope of Work), the GRANTEE may be required to re -comply with Governor's Executive Order 21- 02 or Section 106 of the National Historic Preservation Act. 21. TERMINATION FOR FRAUD OR MISREPRESENTATION In the event the GRANTEE commits fraud or makes any misrepresentation in connection with the grant application or during the performance of this Grant Agreement, COMMERCE reserves the right to terminate or amend this Grant Agreement accordingly, including the right to recapture all funds disbursed to the GRANTEE under the Grant Agreement. 190 14 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 22. FRAUD AND OTHER LOSS REPORTING GRANTEE shall report in writing all known or suspected fraud or other loss of any funds or other property furnished under this Grant Agreement immediately or as soon as practicable to the COMMERCE Representative identified on the Face Sheet. 23. PUBLIC RECORDS ACT Notwithstanding General Terms and Conditions Section 13 (Confidentiality/Safeguarding of Information), COMMERCE is a public agency subject to the Public Records Act, RCW 42.56 (PRA). Under the PRA, all materials relating to the conduct of government or the performance of any governmental or proprietary function prepared, owned, used, or retained by COMMERCE or its functional equivalents are considered public records. The PRA requires that public records responsive to a public records request be promptly produced unless the PRA or an "other statute" exempts such records from production. This Grant Agreement is not intended to alter COMMERCE's obligations under the PRA. The parties agree that if COMMERCE receives a public records request for files that may include confidential information under General Terms and Conditions Section 13 (Confidentiality/Safeguarding of Information), COMMERCE may notify the other party of the request and of the date that the records will be released to the requester unless GRANTEE obtains a court order enjoining disclosure. If the GRANTEE fails to obtain the court order enjoining disclosure, COMMERCE may release the requested information on the date specified. If the GRANTEE obtains a court order from a court of competent jurisdiction enjoining disclosure pursuant to the PRA, COMMERCE shall maintain the confidentiality of the information per the court order. 24. APPLICABILITY OF COPYRIGHT PROVISIONS TO ARCHITECTURAL/ENGINEERING DESIGN WORK General Terms and Conditions Section 16 (Copyright Provisions) are not intended to apply to any architectural and engineering design work funded by this Grant Agreement. 25. TREATMENT OF ASSETS Title to all property furnished by COMMERCE shall remain in COMMERCE. General Terms and Conditions Section 47 (Treatment of Assets) is superseded by this provision. 15 191 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D GENERAL TERMS AND CONDITIONS GENERAL GRANT STATE FUNDS 1. DEFINITIONS As used throughout this Grant Agreement, the following terms shall have the meaning set forth below: A. "Authorized Representative" shall mean the Director and/or the designee authorized in writing to act on the Director's behalf. B. "Claim" shall mean any and all claims, losses, costs, damage, expenses, liabilities, liens, actions, causes of action (whether in tort or contract, law or equity, or otherwise), and attorneys' fees and costs. C. "COMMERCE" shall mean the Washington State Department of Commerce. D. "Grant Agreement" shall mean the entire written agreement between COMMERCE and the GRANTEE, including any attachments, exhibits, documents, or materials incorporated by reference, and any amendments executed by the parties. E. "GRANTEE" shall mean the entity identified on the Face Sheet performing service(s) under this Grant Agreement and shall include all employees and agents of the GRANTEE. F. "Personal Information" shall mean information identifiable to any person, including, but not limited to, information that relates to a person's name, health, finances, education, business, use, or receipt of governmental services or other activities, addresses, telephone numbers, social security numbers, driver license numbers, other identifying numbers, and any financial identifiers. G. "State" shall mean the State of Washington. H. "Subgrantee/subcontractor" shall mean one not in the employment of the GRANTEE, who is performing all or part of those services under this Grant Agreement under a separate subcontract or subgrant with the GRANTEE. The term "subgrantee/subcontractor" refers to any tier. 2. ACCESS TO DATA In compliance with RCW 39.26.180, the GRANTEE shall provide access to data generated under this Grant Agreement to COMMERCE, the Joint Legislative Audit and Review Committee, and the Office of the State Auditor at no additional cost. This includes access to all information that supports the findings, conclusions, and recommendations of the GRANTEE's reports, including computer models and the methodology for those models. 3. ADVANCE PAYMENTS PROHIBITED No payments in advance of or in anticipation of goods or services to be provided under this Grant Agreement shall be made by COMMERCE. 4. ALL WRITINGS CONTAINED HEREIN This Grant Agreement contains all the terms and conditions agreed upon by the parties. Such amendments shall not be binding unless they are in writing and signed by personnel authorized to bind each of the parties. No other understandings, oral or otherwise, regarding the subject matter of this Grant Agreement shall be deemed to exist or to bind any of the parties hereto. 5. ALLOWABLE COSTS Costs allowable under this Grant Agreement are actual expenditures according to an approved budget up to the maximum amount stated on the Grant Agreement Award or Amendment Face Sheet. 192 16 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 6. AMENDMENTS This Grant Agreement may be amended by mutual agreement of the parties. Such amendments shall not be binding unless they are in writing and signed by personnel authorized to bind each of the parties. No other understandings, oral or otherwise, regarding the subject matter of this Grant Agreement shall be deemed to exist or to bind any of the parties hereto. 7. AMERICANS WITH DISABILITIES ACT (ADA) OF 1990, PUBLIC LAW 101-336, ALSO REFERRED TO AS THE "ADA" 28 CFR PART 35 The GRANTEE must comply with the ADA, which provides comprehensive civil rights protection to individuals with disabilities in the areas of employment, public accommodations, state and local government services, and telecommunications. 8. ASSIGNMENT Neither this Grant Agreement nor any Claim arising under this Grant Agreement, shall be transferred or assigned by the GRANTEE without prior written consent of COMMERCE. 9. ATTORNEYS' FEES Unless expressly permitted under another provision of the Grant Agreement, in the event of litigation or other action brought to enforce Grant Agreement terms, each party agrees to bear its own attorneys' fees and costs. 10. AUDIT A. General Requirements COMMERCE reserves the right to require an audit. If required, GRANTEEs are to procure audit services and provide documentation of the audit to COMMERCE based on the following guidelines. The GRANTEE shall maintain its records and accounts so as to facilitate audits and shall ensure that subgrantees/subcontractors also maintain auditable records. The GRANTEE is responsible for any audit exceptions incurred by its own organization or that of its subgrantees/subcontractors. COMMERCE reserves the right to recover from the GRANTEE all disallowed costs resulting from the audit. Responses to any unresolved management findings and disallowed or questioned costs shall be included with the audit report. The GRANTEE must respond to COMMERCE requests for information or corrective action concerning audit issues within 30 calendar days of the date of request. B. State Funds Requirements In the event an audit is required, if the GRANTEE is a state or local government entity, the Office of the State Auditor shall conduct the audit. Audits of non-profit organizations are to be conducted by a qualified certified public accountant. The GRANTEE shall include the above audit requirements in any and all subgrants or subcontracts. 17 193 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D In any case, the GRANTEE's records must be available for review by COMMERCE at any time during the Commitment Period as defined in Special Terms and Conditions Section 6(B). C. Documentation Requirements The GRANTEE must send a copy of the audit report described above no later than 9 months after the end of the GRANTEE's fiscal year(s) by sending a scanned copy to comacctoffice@commerce.wa.gov or a hard copy to: Washington State Department of Commerce ATTN: Audit Review and Resolution Office 1011 Plum Street SE PO Box 42525 Olympia. WA 98504-2525 In addition to sending a copy of the audit, when applicable, the GRANTEE must include: i. Corrective action plan for audit findings within three (3) months of the audit being received by COMMERCE; and ii. Copy of the Management Letter. If the GRANTEE is required to obtain a single audit consistent with Circular A-133 requirements, a copy must be provided to COMMERCE; no other report is required. 11. BREACHES OF OTHER STATE CONTRACTS GRANTEE is expected to comply with all other contracts and grant agreements executed between GRANTEE and the State of Washington. A breach of any other contract or grant agreement entered into between GRANTEE and the State of Washington may, in COMMERCE's sole discretion, be deemed a breach of this Grant Agreement. 12. CODE REQUIREMENTS All construction and rehabilitation projects must satisfy the requirements of applicable local, state, and federal building, mechanical, plumbing, fire, energy and barrier -free codes. Compliance with the Americans with Disabilities Act of 1990 28 C.F.R. Part 35 will be required, as specified by the local building Department. 13. CONFIDENTIALITY/SAFEGUARDING OF INFORMATION A. "Confidential Information" as used in this Section includes: i. All material provided to the GRANTEE by COMMERCE that is designated as "confidential" by COMMERCE; and ii. All material produced by the GRANTEE that is designated as "confidential" by COMMERCE; and iii. All Personal Information in the possession of the GRANTEE that may not be disclosed under state or federal law. B. The GRANTEE shall comply with all state and federal laws related to the use, sharing, transfer, sale, or disclosure of Confidential Information. The GRANTEE shall use Confidential Information solely for the purposes of this Grant Agreement and shall not use, share, transfer, sell, or disclose any Confidential Information to any third party except with the prior written consent of COMMERCE or as may be required by law. The GRANTEE shall take all necessary steps to assure that Confidential Information is safeguarded to prevent unauthorized use, sharing, transfer, sale, or disclosure of Confidential Information or violation of any related state or federal laws. Upon request, the GRANTEE shall provide COMMERCE with its policies and procedures on confidentiality. COMMERCE may require changes to such 194 18 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D policies and procedures as they apply to this Grant Agreement whenever COMMERCE reasonably determines that changes are necessary to prevent unauthorized disclosures. The GRANTEE shall make the changes within the time period specified by COMMERCE. Upon request, the GRANTEE shall immediately return to COMMERCE any Confidential Information that COMMERCE reasonably determines has not been adequately protected by the GRANTEE against unauthorized disclosure. C. Unauthorized Use or Disclosure. The GRANTEE shall notify COMMERCE within 5 working days of GRANTEE's discovery of any unauthorized use or disclosure of any confidential information and shall take necessary steps to mitigate the harmful effects of such use or disclosure. 14. CONFORMANCE If any provision of this Grant Agreement violates any statute or rule of law of the State of Washington, it is considered modified to conform to that statute or rule of law. 15. CONFLICT OF INTEREST Notwithstanding any determination by the Executive Ethics Board or other tribunal, COMMERCE may, in its sole discretion, by written notice to the GRANTEE terminate this Grant Agreement if it is found after due notice and examination by COMMERCE that there is a violation of the Ethics in Public Service Act, RCW 42.52 and RCW 42.23, or any similar statute involving the GRANTEE in the procurement of, or performance under, this Grant Agreement. Specific restrictions apply to contracting with current or former state employees pursuant to RCW 42.52. The GRANTEE and all subgrantees/subcontractors (if any) must identify any person employed in any capacity by the State of Washington that worked on this Grant Agreement, or any matter related to the Project funded under this Grant Agreement or any other state funded project, including, but not limited to, formulating or drafting legislation, participating in grant procurement, planning and execution, awarding grants, or monitoring grants, during the 24 month period preceding the start date of this Grant Agreement. Any person identified by the GRANTEE and their subgrantees/subcontractors (if any) must be identified individually by name, the agency previously or currently employed by, job title or position held, and separation date. If it is determined by COMMERCE that a conflict of interest exists, the GRANTEE may be disqualified from further consideration for the award of a grant. In the event this Grant Agreement is terminated as provided above, COMMERCE shall be entitled to pursue the same remedies against the GRANTEE as it could pursue in the event of a breach of the Grant Agreement by the GRANTEE. The rights and remedies of COMMERCE provided for in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law. The existence of facts upon which COMMERCE makes any determination under this clause shall be an issue and may be reviewed as provided in Section 18 General Terms and Conditions (Disputes) of this Grant Agreement. 16. COPYRIGHT PROVISIONS Unless otherwise provided, all Materials produced under this Grant Agreement shall be considered "works for hire" as defined by the U.S. Copyright Act and shall be owned by COMMERCE. COMMERCE shall be considered the author of such Materials. In the event that the Materials are not considered "works for hire" under the U.S. Copyright laws, the GRANTEE hereby irrevocably assigns all right, title, and interest in all Materials, including all intellectual property rights, moral rights, and rights of publicity to COMMERCE effective from the moment of creation of such Materials. "Materials" means all items in any format and includes, but is not limited to, data, reports, documents, pamphlets, advertisements, books, magazines, surveys, studies, computer programs, films, tapes, and/or sound reproductions. "Ownership" includes the right to copyright, patent, and register as well as the ability to transfer these rights. 19 195 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D For Materials that are delivered under the Grant Agreement, but that incorporate pre-existing materials not produced under the Grant Agreement, the GRANTEE grants to COMMERCE a nonexclusive, royalty -free, irrevocable license (with rights to sublicense to others) in such Materials to translate, reproduce, distribute, prepare derivative works, publicly perform, and publicly display. The GRANTEE warrants and represents that the GRANTEE has all rights and permissions, including intellectual property rights, moral rights, and rights of publicity, necessary to grant such a license to COMMERCE. The GRANTEE shall exert all reasonable effort to advise COMMERCE, at the time of delivery of Materials furnished under this Grant Agreement, of all known or potential invasions of privacy contained therein and of any portion of such document which was not produced in the performance of this Grant Agreement. The GRANTEE shall provide COMMERCE with prompt written notice of each notice or claim of infringement received by the GRANTEE with respect to any Materials delivered under this Grant Agreement. COMMERCE shall have the right to modify or remove any restrictive markings placed upon the Materials by the GRANTEE. 17. DISALLOWED COSTS The GRANTEE is responsible for any audit exceptions or disallowed costs incurred by its own organization or that of its subgrantees/subcontractors. 18. DISPUTES Except as otherwise provided in this Grant Agreement, when a dispute arises between the parties and it cannot be resolved by direct negotiation, either party may request a dispute hearing with the Director of COMMERCE, who may designate a neutral person to decide the dispute. The request for a dispute hearing must: i. be in writing; H. state the disputed issues; iii. state the relative positions of the parties; iv. state the GRANTEE's name, address, and Grant Agreement number; and v. be mailed to the Director and the other party's (respondent's) Grant Agreement Representative within 3 working days after the parties agree that they cannot resolve the dispute. The respondent shall send a written answer to the requestor's statement to both the Director or the Director's designee and the requestor within 5 working days. The Director or designee shall review the written statements and reply in writing to both parties within 10 working days. The Director or designee may extend this period if necessary by notifying the parties. The decision shall not be admissible in any succeeding judicial or quasi-judicial proceeding. The parties agree that this dispute process shall precede any action in a judicial or quasi-judicial tribunal. Nothing in this Grant Agreement shall be construed to limit the parties' choice of a mutually acceptable alternate dispute resolution (ADR) method in addition to the dispute hearing procedure outlined above. 19. DUPLICATE PAYMENT COMMERCE shall not pay the GRANTEE, if the GRANTEE has charged or will charge the State of Washington or any other party under any other grant, subgrant/subcontract, contract, or 196 20 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D agreement, for the same services or expenses. The GRANTEE certifies that work to be performed under this Grant Agreement does not duplicate any work to be charged against any other grant, subgrant/subcontract, contract, or agreement. 20. GOVERNING LAW AND VENUE This Grant Agreement shall be construed and interpreted in accordance with the laws of the State of Washington, and the venue of any action brought shall be in the Superior Court for Thurston County. 21. INDEMNIFICATION To the fullest extent permitted by law, the GRANTEE shall indemnify, defend, and hold harmless the State of Washington, COMMERCE, agencies of the State, and all officials, agents, employees, and representatives of the State, from and against all Claims for injuries or death arising out of or resulting from the performance of the Grant Agreement. The GRANTEE'S obligation to indemnify, defend, and hold harmless includes any Claim by any and all of GRANTEE'S agents, employees, representatives, and/or subgrantee(s)/subcontractor(s) (and their agents, employees, and representatives, to the extent that GRANTEE is using any subgrantee/subcontractor for the Project). The GRANTEE'S obligations shall not include such Claims that may be caused by the sole negligence of the State and its agencies, officials, agents, and/or employees. If the Claims or damages are caused by or result from the concurrent negligence of (a) the State, its agents, and/or employees and (b) the GRANTEE, its subgrantees/subcontractors, agents, and/or employees, this indemnity provision shall be valid and enforceable only to the extent of the negligence of the GRANTEE (and/or its subgrantees/subcontractors) and their agents, officers, representatives, and/or employees. The GRANTEE waives its immunity under RCW 51 to the extent it is required to indemnify, defend, and hold harmless the State and its agencies, officers, agents, and/or employees. 22. INDEPENDENT CAPACITY OF THE GRANTEE The parties intend that an independent contractor relationship will be created by this Grant Agreement. The GRANTEE and its employees, officers, representatives, and/or agents performing under this Grant Agreement are not employees or agents of the State of Washington or COMMERCE. The GRANTEE will not hold itself out as or claim to be an officer or employee of COMMERCE or of the State of Washington by reason hereof, nor will the GRANTEE make any claim of right, privilege, or benefit which would accrue to such officer or employee under law. Conduct and control of the work associated with the Project will be solely with the GRANTEE. 23. INDUSTRIAL INSURANCE COVERAGE The GRANTEE shall comply with all applicable provisions of RCW 51 (Industrial Insurance). If the GRANTEE fails to provide industrial insurance coverage or fails to pay premiums or penalties on behalf of its employees as may be required by law, COMMERCE may collect from the GRANTEE the full amount payable to the Industrial Insurance Accident Fund. COMMERCE may deduct the amount owed by the GRANTEE to the accident fund from the amount payable to the GRANTEE by COMMERCE under this Grant Agreement and transmit the deducted amount to the Department of Labor and Industries (L&I) Division of Insurance Services. This provision does not waive any of L&I's rights to collect from the GRANTEE. 24. LAWS The GRANTEE shall comply with all applicable laws, ordinances, codes, regulations, and policies of local and state and federal governments, as now or hereafter amended. 21 197 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 25. LICENSING, ACCREDITATION, AND REGISTRATION The GRANTEE shall comply with all applicable local, state, and federal licensing, accreditation, and registration requirements or standards necessary for the performance of this Grant Agreement. 26. LIMITATION OF AUTHORITY Only the Authorized Representative or Authorized Representative's delegate by writing (delegation to be made prior to action) shall have the express, implied, or apparent authority to enter, alter, amend, modify, or waive any clause or condition of this Grant Agreement. Furthermore, any alteration, amendment, modification, or waiver of any clause or condition of this Grant Agreement is not effective or binding unless made in writing and signed by the Authorized Representative. 27. LOCAL PUBLIC TRANSPORTATION COORDINATION Where applicable, GRANTEE shall participate in local public transportation forums and implement strategies designed to ensure access to services. 28. NONCOMPLIANCE WITH NONDISCRIMINATION LAWS A. During the performance of this Grant Agreement, the GRANTEE, including any subgrantee/subcontractor, shall comply with all federal, state, and local nondiscrimination laws, regulations, and policies including, but not be limited to, not discriminate on the bases enumerated at RCW 49.60.530(3). In addition, GRANTEE, including any subcontractor, shall give written notice of this nondiscrimination requirement to any labor organizations with which GRANTEE, or subgrantee/subcontractor, has a collective bargaining or other agreement. The funds provided under this Grant Agreement shall not be used to fund religious worship, exercise, or instruction. No person shall be required to participate in any religious worship, exercise, or instruction in order to have access to the facilities funded by this Grant Agreement. B. Obligation to Cooperate. GRANTEE, including any subcontractor, shall cooperate and comply with any Washington state agency investigation regarding any allegation that GRANTEE, including any subgrantee/subcontractor, has engaged in discrimination prohibited by this Agreement pursuant to RCW 49.60.530(3). C. Default. Notwithstanding any provision to the contrary, COMMERCE may suspend GRANTEE, including any subgrantee/subcontractor, upon notice of a failure to participate and cooperate with any state agency investigation into alleged discrimination prohibited by this Contract, pursuant to RCW 49.60.530(3). Any such suspension will remain in place until COMMERCE receives notification that GRANTEE, including any subgrantee/subcontractor, is cooperating with the investigating state agency. In the event GRANTEE, or subgrantee/subcontractor, is determined to have engaged in discrimination identified at RCW 49.60.530(3), COMMERCE may terminate this Agreement in whole or in part, and GRANTEE, subgrantee/subcontractor, or both, may be referred for debarment as provided in RCW 39.26.200. GRANTEE or subgrantee/subcontractor may be given a reasonable time in which to cure this noncompliance, including implementing conditions consistent with any court -ordered injunctive relief or settlement agreement. 29. PAY EQUITY The GRANTEE agrees to ensure that "similarly employed" individuals in its workforce are compensated as equals, consistent with the following: A. Employees are "similarly employed" if the individuals work for the same employer, the performance of the job requires comparable skill, effort, and responsibility, and the jobs are performed under similar working conditions. Job titles alone are not determinative of whether employees are similarly employed; 198 22 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D B. GRANTEE may allow differentials in compensation for its workers if the differentials are based in good faith and on any of the following: i. A seniority system; a merit system; a system that measures earnings by quantity or quality of production; a bona fide job -related factor or factors; or a bona fide regional difference in compensation levels; and/or ii. A bona fide job -related factor or factors may include, but not be limited to, education, training, or experience that is: Consistent with business necessity; not based on or derived from a gender -based differential; and accounts for the entire differential; and/or iii. A bona fide regional difference in compensation level must be: Consistent with business necessity; not based on or derived from a gender -based differential; and account for the entire differential. This Grant Agreement may be terminated by COMMERCE, if COMMERCE or the Department of Enterprise Services determines that the GRANTEE is not in compliance with this Section. 30. POLITICAL ACTIVITIES Political activity of GRANTEE employees and officers are limited by the Campaign Disclosure and Contribution provisions of RCW 42.17a and the Federal Hatch Act, 5 USC 1501 - 1508. No funds may be used for working for or against ballot measures or for or against the candidacy of any person for public office. 31. PREVAILING WAGE LAW The GRANTEE certifies that all subgrantees/subcontractors performing work on the Project shall comply with State Prevailing Wages on Public Works, RCW 39.12, as applicable to the Project funded by this Grant Agreement, including, but not limited to, the filing of the "Statement of Intent to Pay Prevailing Wages" and "Affidavit of Wages Paid" as required by RCW 39.12.040. The GRANTEE shall maintain records sufficient to evidence compliance with RCW 39.12 and shall make such records available for COMMERCE's review upon request. The GRANTEE is advised to consult the Industrial Statistician at the Washington Department of Labor and Industries to determine whether prevailing wages must be paid. COMMERCE is not responsible for determining whether prevailing wage applies to this Project or for any prevailing wage payments that may be required by law. 32. PROHIBITION AGAINST PAYMENT OF BONUS OR COMMISSION The funds provided under this Grant Agreement shall not be used in payment of any bonus or commission for the purpose of obtaining approval of the application for such funds or any other approval or concurrence under this Grant Agreement provided, however, that reasonable fees or bona fide technical consultant, managerial, or other such services, other than actual solicitation, are not hereby prohibited if otherwise eligible as Project costs. 33. PUBLICITY The GRANTEE agrees not to publish or use any advertising or publicity materials in which the State of Washington or COMMERCE's name is mentioned, or language used from which the connection with the State of Washington's or COMMERCE's name may reasonably be inferred or implied, without the prior written consent of COMMERCE. 23 199 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 34. RECAPTURE In the event that the GRANTEE fails to perform this Grant Agreement in accordance with state or federal laws, and/or the provisions of this Grant Agreement, COMMERCE reserves the right to recapture funds in an amount to compensate COMMERCE for the noncompliance (which may include all funds disbursed under the Grant Agreement, along with interest at the rate of the higher of: (i) five percent (5%) per annum, or (ii) the rate of interest of state of Washington general obligation bonds issued on the date most close in time to the effective date in which legislation authorized funding for the subject facility) in addition to any other remedies available at law or in equity. COMMERCE's ability to recapture or seek remedies shall survive any receipt of a Closeout Certification Form or termination of this Grant Agreement. Repayment by the GRANTEE of funds under this Section shall occur within the time period specified by COMMERCE. In the alternative, COMMERCE may recapture such funds from payments due under this Grant Agreement. 35. RECORDS MAINTENANCE The GRANTEE shall maintain books, records, documents, data, and other evidence relating to this Grant Agreement and performance of the services described herein, including, but not limited to, accounting procedures and practices that sufficiently and properly reflect all direct and indirect costs of any nature expended in the performance of this Grant Agreement. GRANTEE shall retain such records for a period of 6 years following the date of final payment. At no additional cost, these records, including materials generated under the Grant Agreement, shall be subject at all reasonable times to inspection, review, or audit by COMMERCE, personnel duly authorized by COMMERCE, the Office of the State Auditor, and federal and state officials so authorized by law, regulation, or agreement. If any litigation, Claim, or audit is started before the expiration of the 6 year period, the records shall be retained until all litigation, Claims, or audit findings involving the records have been resolved. 36. REGISTRATION WITH DEPARTMENT OF REVENUE AND SECRETARY OF STATE If required by law, the GRANTEE shall complete registration with the Washington State Department of Revenue and current with all required filings. Nonprofit and for -profit businesses must also be registered with the Washington Secretary of State. 37. RIGHT OF INSPECTION At no additional cost, the GRANTEE shall provide right of access to its facilities to COMMERCE, or any of its officers, or to any other authorized agent or official of the State of Washington or the federal government, at all reasonable times, in order to monitor and evaluate performance, compliance, and/or quality assurance under this Grant Agreement. At no additional cost, the GRANTEE shall also provide any documents related to this Grant Agreement to COMMERCE upon request to assist COMMERCE in the periodic monitoring of this Grant Agreement. 38. SAVINGS In the event funding from state, federal, or other sources is withdrawn, reduced, or limited in any way after the effective date of this Grant Agreement and prior to normal completion, COMMERCE may terminate the Grant Agreement under the "Termination for Convenience" clause, without the 10 calendar day notice requirement. In lieu of termination, the Grant Agreement may be amended to reflect the new funding limitations and conditions. 200 24 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 39. SEVERABILITY The provisions of this Grant Agreement are intended to be severable. If any term or provision is illegal or invalid for any reason whatsoever, such illegality or invalidity shall not affect the validity of the remainder of the Grant Agreement. 40. SITE SECURITY While on COMMERCE premises, GRANTEE, its agents, employees, and/or subgrantees/subcontractors shall conform in all respects with physical, fire, and other security policies or regulations. 41. SUBGRANTING/SUBCONTRACTING A. GRANTEE must execute binding agreements with all subgrantees/subcontractors that will perform work under this Grant Agreement. B. GRANTEE must ensure that any and all subgrantees/subcontractors that perform work related to this Project are duly authorized and licensed in Washington State to perform the work contemplated by this Grant Agreement. C. Neither the GRANTEE nor any subgrantee/subcontractor shall enter into subgrants/subcontracts for any of the work associated with the Project contemplated under this Grant Agreement without obtaining prior written approval of COMMERCE. In no event shall the existence of the subgrant/subcontract operate to release or reduce the liability of the GRANTEE to COMMERCE for any breach in the performance of the GRANTEE's duties. This clause does not include grants of employment between the GRANTEE and personnel assigned to perform work associated with the Project under this Grant Agreement. D. Additionally, the GRANTEE is responsible for ensuring that all terms, conditions, assurances, and certifications set forth in this Grant Agreement are carried forward to any subgrants/subcontracts. Every subgrant/subcontract shall include a term that COMMERCE and the State of Washington are not liable for Claims or damages arising from a subgrantee's/subcontractor's performance of the subgrant/subcontract. GRANTEE and its subgrantees/subcontractors agree not to release, divulge, publish, transfer, sell or otherwise make known to unauthorized persons personal information without the express written consent of COMMERCE or as provided by law. E. Data Collection - GRANTEE will submit reports, in a form and format to be provided by COMMERCE and at intervals as agreed by the parties, regarding work under this Grant Agreement performed by subgrantees/subcontractors and the portion of grant funds expended for work performed by subgrantees/subcontractors, including, but not necessarily limited to, minority -owned, woman -owned, and veteran -owned business subcontractors. "Subgrantees/subcontractors" shall mean subgrantees/subcontractors of any tier. 42. SURVIVAL The terms, conditions, and warranties contained in this Grant Agreement that by their sense and context are intended to survive the completion of the performance, cancellation, or termination of this Grant Agreement shall so survive including, without limitation, any Recapture provision in this Grant Agreement. 43. TAXES All payments accrued on account of payroll taxes, unemployment contributions, the GRANTEE's income or gross receipts, and/or any other taxes, insurance, or expenses for the GRANTEE or its staff shall be the sole responsibility of the GRANTEE. 25 201 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 44. TERMINATION FOR CAUSE In the event COMMERCE determines the GRANTEE has failed to comply with the conditions of this Grant Agreement in a timely manner, COMMERCE has the right to suspend or terminate this Grant Agreement. Before suspending or terminating the Grant Agreement, COMMERCE shall notify the GRANTEE in writing of the need to take corrective action. If corrective action is not taken within 30 calendar days, the Grant Agreement may be terminated or suspended. In the event of termination or suspension, the GRANTEE shall be liable for damages as authorized by law including, but not limited to, any cost difference between the original Grant Agreement and the replacement or cover Grant Agreement and all administrative costs directly related to the replacement Grant Agreement (e.g., cost of the competitive bidding, mailing, advertising and staff time). COMMERCE reserves the right to suspend all or part of the Grant Agreement, withhold further payments, or prohibit the GRANTEE from incurring additional obligations of funds during investigation of the alleged compliance breach and pending corrective action by the GRANTEE or a decision by COMMERCE to terminate the Grant Agreement. A termination shall be deemed a "Termination for Convenience" under General Terms and Conditions Section 45 (Termination for Convenience) if it is determined that the GRANTEE: (1) was not in default; or (2) failure to perform was outside of his or her control, fault or negligence. The rights and remedies of COMMERCE provided in this Grant Agreement are not exclusive and are in addition to any other rights and remedies provided by law. 45. TERMINATION FOR CONVENIENCE Except as otherwise provided in this Grant Agreement, COMMERCE may, by 10 business days written notice, beginning on the second day after the mailing, terminate this Grant Agreement, in whole or in part. If this Grant Agreement is so terminated, COMMERCE shall be liable only for payment required under the terms of this Grant Agreement for services rendered or goods delivered prior to the effective date of termination. 46. TERMINATION PROCEDURES Upon termination of this Grant Agreement, COMMERCE, in addition to any other rights provided in this Grant Agreement, may require the GRANTEE to deliver to COMMERCE any property specifically produced or acquired for the performance of such part of this Grant Agreement as has been terminated. The provisions of the "Treatment of Assets" clause shall apply in such property transfer. COMMERCE shall pay to the GRANTEE the agreed upon price, if separately stated, for completed work and services accepted by COMMERCE, and the amount agreed upon by the GRANTEE and COMMERCE for (i) completed work and services for which no separate price is stated, (ii) partially completed work and services, (iii) other property or services that are accepted by COMMERCE, and (iv) the protection and preservation of property, unless the termination is for default, in which case the Authorized Representative shall determine the extent of the liability of COMMERCE. Failure to agree with such determination shall be a dispute within the meaning of the "Disputes" clause of this Grant Agreement. COMMERCE may withhold from any amounts due the GRANTEE such sum as the Authorized Representative determines to be necessary to protect COMMERCE against potential loss or liability. The rights and remedies of COMMERCE provided in this Section shall not be exclusive and are in addition to any other rights and remedies provided by law or under this Grant Agreement. After receipt of a notice of termination, and except as otherwise directed by the Authorized Representative, the GRANTEE shall: 202 26 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D 1) Stop work under the Grant Agreement on the date, and to the extent specified, in the notice; 2) Place no further orders or subgrants/subcontracts for materials, services, or facilities except as may be necessary for completion of such portion of the work under the Grant Agreement that is not terminated; 3) Assign to COMMERCE, in the manner, at the times, and to the extent directed by the Authorized Representative, all of the rights, title, and interest of the GRANTEE under the orders and subgrants/subcontracts so terminated, in which case COMMERCE has the right, at its discretion, to settle or pay any or all Claims arising out of the termination of such orders and subgrants/subcontracts; 4) Settle all outstanding liabilities and all Claims arising out of such termination of orders and subgrants/subcontracts, with the approval or ratification of the Authorized Representative to the extent the Authorized Representative may require, which approval or ratification shall be final for all the purposes of this clause; 5) Transfer title to COMMERCE and deliver in the manner, at the times, and to the extent directed by the Authorized Representative any property which, if the Grant Agreement had been completed, would have been required to be furnished to COMMERCE; 6) Complete performance of such part of the work associated with the Project as shall not have been terminated by the Authorized Representative; and 7) Take such action as may be necessary, or as the Authorized Representative may direct, for the protection and preservation of the property related to this Grant Agreement, which is in the possession of the GRANTEE and in which COMMERCE has or may acquire an interest. 47. TREATMENT OF ASSETS Title to all property furnished by COMMERCE shall remain in COMMERCE. Title to all property furnished by the GRANTEE, for the cost of which the GRANTEE is entitled to be reimbursed as a direct item of cost under this Grant Agreement, shall pass to and vest in COMMERCE upon delivery of such property by the GRANTEE. Title to other property, the cost of which is reimbursable to the GRANTEE under this Grant Agreement, shall pass to and vest in COMMERCE upon (i) issuance for use of such property in the performance of this Grant Agreement, or (ii) commencement of use of such property in the performance of this Grant Agreement, or (iii) reimbursement of the cost thereof by COMMERCE in whole or in part, whichever first occurs. A. Any property of COMMERCE furnished to the GRANTEE shall, unless otherwise provided herein or approved by COMMERCE, be used only for the performance of this Grant Agreement. B. The GRANTEE shall be responsible for any loss or damage to property of COMMERCE that results from the negligence of the GRANTEE or which results from the failure on the part of the GRANTEE to maintain and administer that property in accordance with sound management practices. C. If any COMMERCE property is lost, destroyed or damaged, the GRANTEE shall immediately notify COMMERCE and shall take all reasonable steps to protect the property from further damage. D. The GRANTEE shall surrender to COMMERCE all property of COMMERCE prior to settlement upon completion, termination or cancellation of this Grant Agreement All reference to the GRANTEE under this clause shall also include GRANTEE'S employees, agents or subgrantees/subcontractors. 48. WAIVER Waiver of any default or breach shall not be deemed to be a waiver of any subsequent default or breach. Any waiver shall not be construed to be a modification of the terms of this Grant Agreement unless stated to be such in writing and signed by Authorized Representative of COMMERCE. 27 203 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D ATTACHMENT A - SCOPE OF WORK Funds awarded under this grant shall be used by City of Tukwila toward the Tukwila Community Center HVAC Replacement Phase 1 Project located at 12424 42nd Ave S, Tukwila, WA 98188. This Project will include, but not be limited to, HVAC replacement, renovation, design, and capitalized equipment activities such as replacement of the on -site boiler and the controls system for the full HVAC system to allow for optimal heating resources during the winter season and as needed throughout the year. This Project will serve as a benefit to the public by providing a stable and fully functional heating system for this community center that offers several activities for youth, adults, and seniors in the community including recreation and fitness programs, wellness programs, a preschool, rentable meeting rooms and banquet space, and as a potential emergency weather shelter. This Project is anticipated to be completed by July 30, 2025. Costs related to the work associated with the Project will only be reimbursed to the extent the work is determined by Commerce to be within the scope of the legislative appropriation. CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that the Scope of Work set forth above has been reviewed and approved by the GRANTEE's governing body as of the date and year written below. GRANTEE Mayor TITLE DATE 204 28 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D ATTACHMENT B - PROJECT BUDGET Line Item Funding Amount Acquisition $0.00 Architecture & Engineering $181,401.00 Construction $1,270,068.00 Capitalized Equipment $283,950.00 Total Project Budget $1,735,419.00 CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that the Project Budget set forth above has been reviewed and approved by the GRANTEE's governing body or board of directors, as applicable, as of the date and year written below. GRANTEE Mayor TITLE DATE 29 205 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D ATTACHMENT C - CERTIFICATION OF THE AVAILABILITY OF FUNDS TO COMPLETE THE PROJECT Non -State Fund Sources Amount King County Grant $500,000.00 City of Tukwila Local Funds $485,609.00 Total Non -State Funds $985,609.00 State Funds Amount State Capital Budget $499,550.00 Commerce CCF Grant #24-96647-296 $499,550.00 Total Non -State and State Sources $1,735,419.00 Holdback: 0% $0.00 Project Reimbursement Rate 100% CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that Project funding from sources other than those provided by this Grant Agreement and identified above has been reviewed and approved by the GRANTEE's governing body or board of directors, as applicable, and has either been expended for eligible Project expenses, or is committed in writing and available and will remain committed and available solely and specifically for carrying out the purposes of this Project as described in elsewhere in this Grant Agreement, as of the date and year written below. The GRANTEE shall maintain records sufficient to evidence that it has expended or has access to the funds needed to complete the Project and shall make such records available for COMMERCE's review upon reasonable request. GRANTEE Mayor TITLE DATE 206 30 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D ATTACHMENT D - CERTIFICATION OF THE PAYMENT AND REPORTING OF PREVAILING WAGES CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that all contractors and subgrantees/subcontractors performing work on the Project shall comply with prevailing wage laws set forth in RCW 39.12, as applicable on the date the Project appropriation becomes effective, including but not limited to the filing of the "Statement of Intent to Pay Prevailing Wages" and "Affidavit of Wages Paid" as required by RCW 39.12.040. The GRANTEE shall maintain records sufficient to evidence compliance with RCW 39.12 and shall make such records available for COMMERCE's review upon request. If any state funds are used by the GRANTEE for the purpose of construction, applicable State Prevailing Wages must be paid. The GRANTEE, by its signature, certifies that the declaration set forth above has been reviewed and approved by the GRANTEE's governing body as of the date and year written below. GRANTEE Mayor TITLE DATE 31 207 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D ATTACHMENT E - CERTIFICATION OF INTENT TO ENTER THE LEADERSHIP IN ENERGY AND ENVIRONMENTAL DESIGN (LEED) CERTIFICATION PROCESS CERTIFICATION PERFORMANCE MEASURE The GRANTEE, by its signature, certifies that it will enter into the Leadership in Energy and Environmental Design certification process, as stipulated in RCW 39.35D, as applicable to the Project funded by this Grant Agreement. The GRANTEE shall, upon receipt of LEED certification by the United States Green Building Council, provide documentation of such certification to COMMERCE. The GRANTEE, by its signature, certifies that the declaration set forth above has been reviewed and approved by the GRANTEE's governing body or board of directors, as applicable, as of the date and year written below. NOT APPLICABLE GRANTEE TITLE DATE 208 32 Docusign Envelope ID: 2EDF68CC-97FB-4761-B201-3CA16301596D Community Capital Facilities Routing List Name & Title Signature Date Erin Lalonde Budget Analyst Review & Approval ,-DocuSignedby. frit& WAAL —3FFF0A48B8F04A0... 2/27/2025 I Addeline Craig Managing Director Review & Approval Tony Hanson Deputy Director Final Review & Approval :56 AM PST 209 docusign. Certificate Of Completion Envelope Id: 2EDF68CC-97FB-4761-B201-3CA16301596D Subject: Please DocuSign: S24296 Tukwila HVAC Replacement Contract Division: Local Government Program: CCF ContractNumber: 24-96647-296 DocumentType: Contract Source Envelope: Document Pages: 34 Signatures: 1 Certificate Pages: 5 Initials: 0 AutoNav: Enabled Envelopeld Stamping: Enabled Time Zone: (UTC-08:00) Pacific Time (US & Canada) Status: Sent Envelope Originator: Pat Hughes 1011 Plum Street SE MS 42525 Olympia, WA 98504-2525 pat.hughes@commerce.wa.gov IP Address: 198.239.10.165 Record Tracking Status: Original 2/27/2025 8:49:18 AM Security Appliance Status: Connected Storage Appliance Status: Connected Holder: Pat Hughes pat.hughes@commerce.wa.gov Pool: StateLocal Pool: Washington State Department of Commerce Location: DocuSign Location: Docusign Signer Events Signature Timestamp Erin LaLonde erin.lalonde@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign Tom McLeod mayor@tukwilawa.gov Mayor Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Accepted: 2/27/2025 10:05:14 AM ID: d319bef8-8bc5-425c-9089-b17b18130657 Addeline Craig addeline.craig@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign Tony Hanson tony.hanson@commerce.wa.gov Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Not Offered via Docusign p-DocuSigned by: tvita (Atotn,f.t, '-3FFF0A48B8F04A0... 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By selecting the check -box next to `I agree to use electronic records and signatures', you confirm that: • You can access and read this Electronic Record and Signature Disclosure; and • You can print on paper this Electronic Record and Signature Disclosure, or save or send this Electronic Record and Disclosure to a location where you can print it, for future reference and access; and • Until or unless you notify Washington State Department of Commerce as described above, you consent to receive exclusively through electronic means all notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you by Washington State Department of Commerce during the course of your relationship with Washington State Department of Commerce. 214 ... ,_ Tukwila Community Center - HVAC Upgrades Project # 2024 269 A(1) ENERGY SERVICES PROPOSAL TUKWILA, WA JUNE 4, 2024 For the Life of Your Building 215 Project Contacts AREA OF RESPONSIBILITY NAME CONTACT NUMBER EMAIL Primary Client Contact Peter M. Mayer 206-767-2305 pete.mayer@tukwilawa.gov Client Contact Hari Ponnekanti 206-431-2455 hari.ponnekanti@tukwilawa.gov Client Contact Henry Ancira 206-433-7152 henry.ancira@tukwilawa.gov WA DES Representative Bei Zhang 360-701-8431 bei.zhang@des.wa.gov Account Executive Shelby Hinkle 206-658-4389 shelbyh@mckinstry.com Program Manager Heramb Amonkar 206-832-8765 heramba@mckinstry.com Energy Engineer Marina Safonov 206-785-9917 marinas@mckinstry.com CONFIDENTIAL & PROPRIETARY l TUKWILA COMMUNITY CENTER 216 Contents SECTION 1. EXECUTIVE SUMMARY 05 1.1 Overview 1.2 Current Situation 1.3 Solutions 1.4 Summary of Benefits 1.5 McKinstry Differentiators SECTION 2. SCOPE OF WORK 07 2.1 Facility Improvement Measure (FIM) List 2.2 McKinstry Services 2.3 Extent of Subcontracting 2.4 Project Schedule Detailed Scope of Work Waste Recycling and Disposal Plan SECTION 3. ENERGY SAVINGS GUARANTEE 61 3.1 Guarantee Overview 3.2 FIM Specific Performance Assurance Methodology 3.3 Utility Rates 3.4 Standards of Comfort Service 3.5 Ongoing Owner Responsibilities 3.6 Non -Performance 3.7 Change of Use Energy Savings Tables TABLE 3.1 - ENERGY SAVINGS SUMMARY TABLE 3.2 - MEASUREMENT AND VERIFICATION (M&V) PLAN OUTLINE TABLE 3.3 - BASE UTILITY RATES SECTION 4. PROJECT FINANCIALS 68 4.1 Maximum Project Allowable Cost 4.2 Project Cost Table 4.3 Items Included in Maximum Project Cost 4.4 Construction Contingency 4.5 Allowances 4.6 Ongoing Services 4.7 Accounting Records 4.8 Reconciliation of Labor & Material Costs 4.9 Compensation 4.10 Financing 4.11 Termination Value 4.12 Terms of Agreement 4.13 Insurance & Bonding 4.14 Diverse Business Participation Goals for this Project CONFIDENTIAL & PROPRIETARY I TUKWILA COMMUNITY CENTER 217 Contents 4.15 Apprenticeship 4.16 Cost Effectiveness Criteria 4.17 Direct Purchase Equipment Warranty Cost Financial tables TABLE 4.1 - BUDGET SUMMARY TABLE 4.2 - FACILITY IMPROVEMENT MEASURE (FIM) SUMMARY SECTION 5. INVESTMENT GRADE AUDIT REPORT SEPARATE FILE 5.1 Purpose and Organization 5.2 Existing Facility Description 5.3 Facility Improvement Measures - Calculations 5.4 Facility Improvement Measures - Additional Scope Documents 5.5 FIMs Considered But Not Used 5.6 Utility Data Please note that this response provides the basic economic terms on which McKinstry would be willing to perform the scope of services outlined here. This response does not cover all of the terms and conditions relevant to a definitive agreement about these services. Nothing in this response approves legal terms such as warranties, indemnification, insurance requirements, and limitations of liability, even if those terms were included in the request for proposal. The details of those terms must be negotiated by the parties and set forth in a definitive agreement with respect to McKinstry's services. CONFIDENTIAL & PROPRIETARY I TUKWILA COMMUNITY CENTER 218 1. Executive Summary i OUTCOME SNAPSHOT This project represents an excellent opportunity to significantly improve facilities while saving energy and trimming utility spending. McKinstry looks forward to making this project a success. McKinstry estimates these savings if proposed facility improvement measures (FIMs) are installed: 0 $26,386 Utility cost savings/year $2,500 Operations & maintenance costs/year 84.815 Guaranteed kWh/year 13,946 Guaranteed Therms/year Carbon dioxide emissions reductions would equal: 0 0 35 Acres of trees planted 278,739 lbs. CO2/year 1.1 Overview Through the Washington State Department of Enterprise Services (DES) Energy Savings Performance Contracting (ESPC) program, McKinstry has completed an extensive study and investigation of energy upgrades for The City of Tukwila. Our Energy Services Proposal presents a holistic project solution for improving the overall facility efficiency and operation. Our proposed solutions will result in lower utility use and cost along with improved building system performance and occupant productivity. For additional information on the project, reference the Investment Grade Audit Report, original version dated 05/03/2024 (final version in progress). 1.2 Current Situation CHALLENGES The Tukwila Community center is primarily served by units that are nearing the end of their useful life. The existing controls systems are not fully functional and difficult to operate. GOALS The customer hopes to replace the aging HVAC system in the Tukwila Community Center building with more efficient and environmentally friendly equipment. The primary goals are to shift towards systems that comply with energy codes as well as meet pricing and comfort needs. 1.3 Solutions This project includes: FIM # 01.01-TCC — Full Building Controls and Boiler Plant Upgrades This measure will upgrade the boiler plant with new high efficiency condensing boilers and new pumps with variable speed operation. The controls system for the full building will be upgraded to a new BACNet based system. No other major facility equipment to be upgraded for this phase of work. 1.4 Summary of Benefits FINANCIAL BENEFITS Section 4 of this document provides a detailed look at the project financials. The guaranteed maximum project allowable cost is $1,521,887. Including sales tax and DES management fees and prior to any utility incentives, the final project cost is $1,735,419. The annual energy savings are $26,386. Operational and maintenance savings have been included in the cash flows as agreed to by the DES energy project manager and The City of Tukwila - these projections are based on reduced repair costs and future avoided capital expenditures and represent $2,500 in annual savings. Total first -year savings are estimated at $28,886. The estimated utility rebates for the project are $44,000. CONFIDENTIAL & PROPRIETARY I TUKWILA COMMUNITY CENTER 219 1. Executive Summary COMPANY AT -A -GLANCE • Established 1960 • Over 1,700 employees • 23 offices • 55+ Professional Engineers • 80+ LEED Accredited Professionals MCKINSTRY EXPERIENCE Customer utility $20 million savings guaranteed Grants & $100 million rebates secured for clients Kilowatt hours 636 million saved 453 Metric tons of thousand CO2 saved Gas Therms 91 million saved CO2 emission reductions resulting from McKinstry projects have environmental impacts equal to: Forest acres 3,167 acne saved from destruction Gallons of gas 51.5 million not used 83+ Cars taken off thousand the road 40+ Homes taken off thousand the power grid This project meets the cost effectiveness criteria as indicated in the Investment Grade Audit proposal dated 05/03/2024 and described in Section 4.16. ENVIRONMENTAL BENEFITS By taking the necessary steps to reduce energy consumption through the implementation of the various facility improvement measures detailed in this report, The City of Tukwila will attain the savings outlined in the outcome snapshot on the left. This is equivalent to: •12 average -sized homes being removed from the power grid; or •19,357 light bulbs (13.5 Watt LED) not energized; or •472,439 miles not driven per year by an average size vehicle. NEXT STEPS ESP approval by the City followed with Notice to Proceed and contract processing request. Refer to detailed schedule and key milestones in Section 2. 1.5 McKinstry Differentiators COMPANY OVERVIEW McKinstry has over 50 years of experience assessing and improving facilities in the Pacific Northwest. With more than 1,500 successful energy and facility improvement projects completed in the past 15 years, McKinstry has the expertise to offer comprehensive solutions to The City of Tukwila. McKinstry is more than just another energy services company, we believe in serving as your trusted advisor "For the Life of Your Building." MCKINSTRY APPROACH ADVANTAGES •Vendor- and product -neutral for truly consultative role •Transparent pricing •Total cost of ownership consideration •No "shared savings" model 220 CONFIDENTIAL & PROPRIETARY I TUKWILA COMMUNITY CENTER 2. Scope of Work 2.1 Facility Improvement Measure (FIM) List For full descriptions of the scope of work of each measure, please refer to Section 2 - Detailed Scope of Work. FIM # 01.01-TCC — Full Building Controls and Boiler Plant Upgrades 2.2 McKinstry Services McKinstry will include the following services related to this project: 1. Energy Audit: The energy audit is complete and is detailed in the Investment Grade Audit report. Initial report dated 05/03/2024 provided for review, additional review in progress. Final version to be agreed upon by all parties. 2. Design Services: McKinstry will provide a detailed engineering design as needed to obtain permitting, Owner review, and approval of the proposed systems. In addition, McKinstry will also provide construction support services, start-up, testing, as -built drawings of systems installed, and provide operations and maintenance manuals. 3. Construction: Provide, or cause to be provided, all material, labor, and equipment, including paying for permits, fees, bonds, and insurance, required for the complete and working installation of McKinstry's equipment. a. McKinstry will provide a site superintendent who will be responsible for the onsite supervision and coordination of trades and subcontractors. This individual's responsibilities will also include regular work observations, quality control, site security, enforcement of the site -specific safety plan, as well as coordinating any impact upon building tenants with the Owner. b. McKinstry may perform portions of the construction work or may subcontract portions to qualified firms. In either case, McKinstry will share information regarding actual costs of the work with the Owner and DES. 4. Construction Management: McKinstry will provide a dedicated construction manager who will provide contract administration services for the project. The owner is expected to coordinate day-to-day communications with tenants and any scheduling of tenant relocations in and around occupied areas. 5. Operation Training: McKinstry will provide relevant training of building staff during construction as agreed to by the Owner and DES. 6. Performance Maintenance: McKinstry will provide monitoring and support services to ensure guaranteed savings are achieved during the agreement term. These services shall be under separate agreement. These services shall be at the discretion of the Owner and DES to terminate. Specific tasks associated with proposed Measurement and Verification (M&V) can be found in Table 3.2 - M&V Plan Outline. For this project, McKinstry has recommended an initial M&V term of 01 year to the Owner and DES. The reason is that the efficiency of the proposed scope is not expected to change after the first year of performance has been verified. CONFIDENTIAL & PROPRIETARY I TUKWILA COMMUNITY CENTER 221 2. Scope of Work 7. Equipment Maintenance: McKinstry will provide no equipment maintenance or repairs after the warranty period. Following the completion of the installation and Owner acceptance of the equipment, the Owner shall provide all necessary service, repairs, and adjustments to the equipment so that the equipment will perform in the manner and to the extent set forth in the Proposal. McKinstry shall have no obligation to service or maintain the equipment after the warranty period. 8. Warranty: McKinstry will warrant equipment for one year following Notice of Commencement of Energy Savings. Specific information regarding equipment warranty will be passed on to owner. 2.3 Extent of Subcontracting McKinstry may subcontract the energy audit, design, construction management, start-up, and training portions of this Contract to qualified firms upon review and approval by owner. Construction subcontracts will be awarded competitively. McKinstry will endeavor to satisfy the Diverse Business Enterprise utilization goals of the Owner and DES. 2.4 Project Schedule Substantial completion is 181 calendar days from the date of fully executed design and construction contracts. LIQUIDATED DAMAGES Liquidated damages at $500 per day apply for schedule overruns beyond the substantial completion date. McKinstry will be granted additional schedule days for permitting and Equipment procurement durations that are beyond what is listed in this ESP project schedule. These additional days, if required, will extend the substantial completion date. CONFIDENTIAL & PROPRIETARY I TUKWILA COMMUNITY CENTER 222 Ile 8f Year 8u7+ding Table 3.1 - Energy Savings Summary Project Scenario Date City of Tukwila Tukwila CC - Controls and Boiler Plant 5/2/2024 I Facility Improvement Measures 01.01-TCC Full Building Controls and Boiler Plant Upgrades Facility Tukwila Community Center Electricity Fossil Natural Gam kWh kWh T e 84,815 84,815 $8,371 $8,371 13,946 13,946 $18,015 $18,015 $26,386 $26,386 Confidential and Proprietary Sheet 1 of 1 223 Table 4.1 - Buc Project Scenario Date get Summary City of Tukwila Tukwila CC - Controls and Boiler Plar 5/7/2024 ife Of Your Building Database ID FIM Name Mechanical Electrical EMCS Lighting General Equipment Other Total 01.01-TCC Controls and Boiler Plant Upgrades 234,904 ®111111:111 109,169 7,283 $ 987,432 Subtotal (FIM Cost and A) Total Construction Cost 4,3 B. Professional Services Costs Audit Fee Design Costt. Management & Proj. Admin Overhead Profit (Fee) Lump Lump $84,000 9.00% $65,773 10.00^ 8.00% Percent of Total Base FIM Cost Percent of Total Construction Cost Percent of Total Construction Cost $ 84,000 $ 88,869 $ 65,773 $ 98,743 $ 78,995 Total Professional Services Cost $ 416,38C C. Other Project Costs Project Contingency Repair Allowance Temporary Heating Allowance Apprenticeship Incentive Performance Assurance (M&V) Olo Lump Lump Lump Lump 5.00% $15,000 $30,000 $907 $12,554 Percent of Total Base FIM Cost WA State Apprenticeship Requirement for Projects with Construction Cost >_ $1M $ 44,802 $ 15,000 $ 30,000 $ 907 $ 12,554 Total Other Project Cost $ 103,264 Sales Tax 0/0 Interagency Fee Lump 10.20% Percent of Section E $58,300 $ 155,232 58,300 Total Non -Guaranteed Cost G. Total Maximum Project Cost (E + F) 1,735,419 224 01=57 Table 4.2 - Facility Improvement Measure (FIM) Summary Project Scenario Date City of Tukwila Tukwila CC - Controls and Boiler Plant May 7, 2024 Facility Improvement Measures 01.01-TCC Full Building Controls and Boiler Plant Upgrades jahainiiiiiii111111 Facility Budget This measure will upgrade the boiler plant with new high efficiency condensing boiler and new pumps with variable speed operation. The controls system for the full building will be upgraded to a new BACNet based system. All other equipment will be reused and remain as -is. Tukwila Community Center Totals $1,735,419 Annual Utility Annual Savings Operational Savings ** $26,386 $2,500 Potential Incentives *** $44,000 44 000 * Since design cost, audit cost, etc. are distributed among the FIMs, the total project cost will not go up or down by exactly the amounts shown here if a FIM or FIMs are dropped. ** For non recurring operational savings, the values are averaged over the 30 year length of this analysis. *** Incentives are contingent on final approval and are not guaranteed. Funds are shown for reference only. Confidential and Proprietary Sheet 1 of 1 225 226 TO: City of Tukwila Thomas McLeod, Mayor Mayor's Office - Marty Wine, City Administrator The city of opportunity, the community of choice Mayor McLeod Councilmembers FROM: Marty Wine, City Administrator DATE: March 11, 2025 SUBJECT: City Administrator's Report The City Administrator Report is meant to provide the Council, staff, and the community with an update on the activities of the City and on issues that concern Tukwila. Please let me know if you have any questions or need additional information about any of the following items. I. Intergovernmental Update • Kent Valley Air & Space Roundtable Meetings: On February 24 and 27 Economic Development staff attended the Kent Valley Air & Space Roundtable meetings at Skills, Inc. and Orion Industries. Roundtable businesses are still forming their priorities. • Soundside Alliance Operations Committee Meeting: Economic Development staff attended the Soundside Alliance operations committee meeting on February 26. • Puget Sound Regional Council (PSRC) Executive Board Meeting: On February 27 Mayor McLeod attended a PSRC Executive Board meeting. • 2025 Sports Star of the Year: On February 27 Mayor McLeod, Councilmember Papyan, Director Miles, and Council Analyst Humphrey attended the 2025 Sports Star of the Year event in Seattle, hosted by the Seattle Sports Commission. • Joint Recommendations Committee Meeting: Human Services staff attended the quarterly Joint Recommendations Committee meeting with King County on February 27. • Sound Cities Association City Manager/City Administrator Meeting: On March 5 City Administrator Wine and Deputy City Administrator Mayer participated in the Sound Cities Association City Manager/City Administrator monthly meeting. • Seattle Metro Chamber Regional Trade Mission: March 5 - 7 Mayor McLeod and Director Miles were part of a regional trade mission to Vancouver BC, hosted by the Seattle Metro Chamber. The mission allowed the City and region to reaffirm our partnership with Vancouver and to collaborate on a variety of items, such as the 2026 World Cup. • King County Urban Forestry Forum: Public Works staff participated in the King County Urban Forestry Forum quarterly meeting of jurisdictions to share information and resources on tree codes, best practices, and lessons learned. Tukwila City Hall • 6200 Southcenter Boulevard • Tukwila, WA 98188 • 206-433-1800 • Website: TukwilaWA.gov 227 City Administrator's Report March 11, 2025 Page 2 • King County Recycling Coordinators Meeting: Public Works staff attended the quarterly King County Recycling Coordinator's meeting; topics included homeless encampment clean- ups, FIFA world cup opportunities relating to solid waste, sharps, Food Waste Prevention Week, and creating a regional designated recyclables list. • Municipal Language Access Network: The Inclusion & Engagement Manager attended the Municipal Language Access Network, a national coalition to discuss best practices and answer policy questions. II. Community Events • Presentation to Airport University Class: Transportation Demand Management staff presented to an Airport University class and distributed ORCA cards on February 27. • Middle Housing Open House: On March 5 Community Development staff held an open house on upcoming middle housing changes on March 5 at the Sullivan Center. Staff answered questions and received feedback from community members on the proposed standards. • 2025 Storm Water Management Plan (SWMP) Open Houses: The 2025 SWMP will be open for Public Comment at the Sullivan Center on March 12 and March 19 from 12:00 PM to 7 PM to allow community members to participate. New permit requirements and existing permit actions will be presented for comment. • Recycling Collection Event: On March 22 the City will host a recycling collection event at Tukwila Community Center from 10 AM - 2 PM. Styrofoam, scrap metal, appliances, and electronics will be collected at this event. • Food Waste Reduction Event at the Tukwila Library: On March 29 staff will be tabling at the Tukwila Library from 1 PM - 4 PM with a focus on food waste reduction that will include food waste reduction tool giveaways and advertising for four food waste prevention workshops in April and May. • Adopt -A -Drain: Adopt -A -Drain is now available. Residents can sign up and receive a welcome letter and yard sign that coordinates with the watershed they live in. Visit Adopt - a -Drain - Washington, enter an address within Tukwila and see drains available to adopt, collect the trash and debris and report the volume/weight. III. Staff Updates Public Safety • Washington Organized Retail Crime Association (WAORCA) Meeting: On February 26 the Police Department hosted the monthly King County chapter meeting of WAORCA. Several area retail stores and local police departments were represented at the meeting. • Community Police Academy: The Police Department's annual Community Police Academy started on March 4 and will run through April 29. Classes are every Tuesday from 5:30 PM - 7:30 PM. Phone: 206-433-1800 • Email: Mayor@TukwilaWA.gov • Website: TukwilaWA.gov 228 City Administrator's Report March 11, 2025 Page 3 Project Updates • Cyber Security Performance Assessment: TIS started a cyber security performance assessment with the State Auditor's Office. • Tukwila Natural Area Infrastructure Assessment: In Partnership with King Conservation District and Equilibrium Economics, the City of Tukwila began the Tukwila's Natural Area Infrastructure Assessment. The goal of this project is to appraise the ecosystem services provided by Tukwila's urban forest. Boards, Commissions and Committees We welcome the City Council to encourage community members to apply for vacant Board & Commission positions. • Arts Commission: The next meeting is scheduled for March 19, 2025. 3 resident position terms expire March 31, 2025. No vacancies. • Civil Service Commission: The next meeting is scheduled for March 20, 2025. VACANT: 1 Resident Position. Applications are being accepted. • COPCAB: The next meeting is scheduled for March 13, 2025. VACANT: 1 Business Position and Student Representative. • Equity & Social Justice Commission: The next meeting is scheduled for April 3, 2025. 1 City Employee position term expires March 31, 2025. 1 Education/Community position term expires March 31, 2025. 2 Community position terms expire March 31, 2025. No vacancies. • Human Services Advisory Board: The next meeting is scheduled for April 17, 2025. 1 Resident position term expires March 31, 2025. 1 Faith -Based position term expires March 31, 2025. VACANT: 1 Resident position and 1 Business Community Representative. • Library Advisory Board: The next meeting is scheduled for April 1, 2025. 4 Resident position terms expire March 31, 2025. No vacancies. • Lodging Tax Advisory Committee: The next meeting is scheduled for April 11, 2025. All positions are 1-year terms. VACANT: 1 Business Collecting Tax Representative • Park Commission: The next meeting is scheduled for March 12, 2025. 3 Community position terms expire March 31, 2025. VACANT: 1 Community position and Student Representative. • Planning Commission: The next meeting is scheduled for March 27, 2025. No vacancies. Phone: 206-433-1800 • Email: Mayor@TukwilaWA.gov • Website: TukwilaWA.gov 229 Tentative Agenda Schedule MEETING 1— REGULAR MEETING 2 — C.O.W. MEETING 3 — REGULAR MEETING 4 — C.O.W. MARCH 3 See below links for the agenda packets to view the agenda items: March 3, 2025 Special Meeting March 3, 2025 Work Session - Cancelled March 3, 2025 Regular Meeting - Cancelled MARCH 10 See below links for the agenda packets to view the agenda items: March 10, 2025 Committee of the Whole Meeting - Cancelled MARCH 17 See below links for the agenda packets to view the agenda items: March 17, 2025 Work Session - Cancelled March 17, 2025 Regular Meeting MARCH 24 SPECIAL ISSUES - An ordinance amending the STEP Housing Code. MEETING 1— REGULAR MEETING 2 — C.O.W. MEETING 3 — REGULAR MEETING 4 — C.O.W. APRIL 7 APRIL 14 SPECIAL ISSUES - Local Road Safety Plan Adoption. - Lease Agreements and Deeds with Puget Sound Fire. APRIL 21 APRIL 28 UNFINISHED BUSINESS - An ordinance amending the Townhouse allowances in the Tukwila Urban Center. - An ordinance amending the Residential Conversions Code. WORK SESSION WORK SESSION Multi -Family Property Tax Exemption Program — discussion only. REGULAR MEETING REGULAR MEETING PRESENTATION - City of Tukwila and Recology Earth Day Art Contest winner presentation. CONSENT AGENDA - Contract for Parks, Recreation and Open Space (PROS) Plan. - Contract for On -Call Trails Paving. - Authorize the Mayor to sign a grant agreement with the Washington State Patrol for the National Criminal History Improvement Program (NCHIP), in the amount of $248,805.00. NEW BUSINESS - Local Road Safety Plan Adoption. - Lease Agreements and Deeds with Puget Sound Fire. APPOINTMENTS - Board and Commission Appointments and Reappointments. CONSENT AGENDA - An ordinance amending the STEP Housing Code. - Department of Ecology CBP3 Grant Award in the amount of $602,150.00. - Dell Rugged Tablet Refresh (Lease). 230